Nucor reported third-quarter profit of $1.32 billion on Monday, more than double its year-earlier earnings, as higher steel selling prices and shipments lifted its mills business.
The Charlotte-based steelmaker earned $5.80 per diluted share for the quarter ended October 3, compared with $2.63 a share and $607 million in the same period last year. Net sales rose to $11.25 billion from $8.52 billion, according to the company’s earnings release.
The results also improved from the second quarter, when Nucor reported $1.16 billion in profit on $10.40 billion in sales.
Its steel mills segment generated $1.79 billion in earnings before income taxes and noncontrolling interests, up from $793 million a year earlier and $1.56 billion in the preceding quarter. Nucor attributed the sequential increase to higher average selling prices and volumes, partly offset by higher production costs.
Steel products segment earnings on the same basis increased to $465 million from $353 million in the second quarter. Raw materials earnings fell to $105 million from $146 million as pricing and shipments declined.
Chief executive Leon Topalian said Nucor reached the first heat at its West Virginia sheet mill in September and recently started its second galvanizing line at Nucor Steel Berkeley.
Nucor ended the quarter with $3.64 billion in cash, cash equivalents and short-term investments. Its $2.25 billion revolving credit facility remained undrawn. The company returned approximately $629 million to shareholders through dividends and share repurchases during the quarter.
The company will hold its earnings call on Tuesday, October 27, at 10 a.m. Eastern time.
JBizNews Desk | Charlotte, North Carolina
© JBizNews.com. All rights reserved. Unauthorized reproduction or redistribution is strictly prohibited.
