Nucor Bumps up 2nd Quarter Earnings Guidance
06/06/2008 - Strong shipments and higher margins are prompting Nucor Corp. to increase its earnings guidance in the range of $1.75 to $1.80 per diluted share for the second quarter, significantly better than the $1.55 to $1.60 per share that Nucor had previously forecast.
Strong shipments and higher margins are prompting Nucor Corp. to increase its earnings guidance for the second quarter ending June 28, 2008.
The company said that continued strength in its sheet, plate, beam and bar businesses due to solid global demand for steel and better-than-expected margins continue to favorably impact the second quarter. Nucor said its upstream and downstream businesses also continue to perform well.
Nucor said it now expects second-quarter net earnings to be in the range of $1.75 to $1.80 per diluted share, significantly better than the $1.55 to $1.60 per share that Nucor had previously forecast. By comparison, Nucor earned $1.14 per share in the second quarter of 2007, and $1.41 per share in the first quarter of 2008.
The forecasted range reflects an increase in the diluted average shares outstanding over the first quarter of more than 3% due to Nucor's common-stock offering of approximately 27.7 million shares, which closed on May 29, 2008. While the additional shares will be outstanding only for a portion of the second quarter, they will be outstanding for all of the third quarter, resulting in an increase of more than 9% in diluted average shares outstanding from the first quarter of 2008 to the third quarter of 2008.
Nucor and affiliates manufacture steel products, with operating facilities primarily in the U.S. and Canada. Products include carbon and alloy steel bars, beams, sheet and plate; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; light gauge steel framing; steel grating and expanded metal; and wire and wire mesh. Nucor, through The David J. Joseph Co., also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and non ferrous scrap. Nucor is North America's largest recycler.
