Charlotte, North Carolina-based Nucor Corp., which is currently building a new sheet mill in Mason County, reported lower 2024 third quarter earnings Monday afternoon.
Nucor reported consolidated third-quarter net earnings of $249.9 million, or $1.05 per diluted share. By comparison, Nucor reported consolidated net earnings attributable to Nucor stockholders of $645.2 million, or $2.68 per diluted share, for the second quarter of 2024 and $1.14 billion, or $4.57 per diluted share, for the third quarter of 2023.
ÃÛÁÄÖ±²¥œNucorÃÛÁÄÖ±²¥™s steel products segment saw a 20% decline in adjusted pre-tax earnings to $354 million in Q3, with a 6% drop in volumes and lower pricing for joist deck and tubular products,ÃÛÁÄÖ±²¥ said Steve Laxton, NucorÃÛÁÄÖ±²¥™s chief financial officer, treasurer and executive vice president, during the quarterly conference call with investment analysts.
Laxton said the largest driver for the decrease in earnings in the third quarter of 2024 as compared to the second quarter of 2024 is the decreased earnings of the steel products segment, due primarily to lower average selling prices.
ÃÛÁÄÖ±²¥œThe quarter saw lower realized pricing for joist, deck and tubular products, while pricing for most other products in this segment remained relatively stable,ÃÛÁÄÖ±²¥ he said.
Laxton said NucorÃÛÁÄÖ±²¥™s joist, deck and tubular products business typically account for about 40% of segment shipments.
ÃÛÁÄÖ±²¥œDespite this, joist and deck pricing remains above historic averages, and the company remains optimistic about future growth,ÃÛÁÄÖ±²¥ he said.
Laxton said the raw materials segmentÃÛÁÄÖ±²¥™s earning fell by $22 million. He said it was due primarily to the non-cash impairment charge taken in the third quarter of 2024.
Reflected in the third quarter of 2024 losses and impairments of assets are non-cash charges of $83 million, or 27 cents per diluted share, and $40 million, or 17 cents per diluted share, related to the impairment of certain non-current assets in the raw materials and steel products segments, respectively, he said.
Laxton said the company also expects lower earning across most segments in the fourth quarter of 2024.
ÃÛÁÄÖ±²¥œThe largest driver for the expected decrease in earnings in the fourth quarter of 2024 is the continued decreased earnings of the steel mills segment caused by lower average selling prices and decreased volumes,ÃÛÁÄÖ±²¥ he said.
Leon Topalian, NucorÃÛÁÄÖ±²¥™s chair, president and chief executive officer, gave a brief update on NucorÃÛÁÄÖ±²¥™s construction of its new sheet mill in Mason County.
ÃÛÁÄÖ±²¥œBy the end of 2026 we expect to complete construction of our new state-of-the-art sheet mill in West Virginia,ÃÛÁÄÖ±²¥ he said.
He said the project is designed to address specific customer needs and will serve as a catalyst for long term earnings growth.
ÃÛÁÄÖ±²¥œWhile it can take time for large projects like these to reach their full earnings potential, our team has a strong track record of safely doing whatever it takes to get there,ÃÛÁÄÖ±²¥ he said.
Fred Pace is the regional business reporter for HD ÃÛÁÄÖ±²¥. Follow him at and via X (formerly Twitter) @FredPaceHD.
