CHARLOTTE, N.C., March 15, 2018 /PRNewswire/ -- Nucor Corporation
(NYSE: NUE) announced today guidance for its first quarter ending
March 31, 2018. Nucor expects first
quarter results to be in the range of $1.00 to $1.05 per
diluted share. This range is a decrease compared to the fourth
quarter of 2017 consolidated net earnings of $1.20 per diluted share and first quarter of 2017
earnings of $1.11 per diluted share.
Excluding the non-operating items described below, expected first
quarter of 2018 performance is better than the fourth quarter of
2017 and comparable to the first quarter of 2017.
Projected first quarter of 2018 results include an expense of
$21.8 million, or $0.07 per diluted share, related to the write off
of deferred tax assets due to the change in the tax status of a
subsidiary. Included in the fourth quarter of 2017 results was a
net benefit of $175.2 million, or
$0.55 per diluted share, related to
the impacts of U.S. federal tax legislation enacted in the fourth
quarter of 2017. Included in the first quarter of 2017 results were
inventory related purchase accounting charges of $9.8 million, or $0.02 per diluted share, associated with the
acquisitions of Southland Tube and Republic Conduit.
We expect earnings in the steel mills segment to be improved
compared to the fourth quarter of 2017. Average selling prices have
increased each month for all steel mill product groups thus far in
2018, and we expect that positive pricing momentum to continue into
the second quarter. We believe there is significant optimism in
steel end use markets, and we are encouraged by recent actions made
by the Trump administration to address the massive flood of dumped
and illegally subsidized imports into the
United States. We expect decreased earnings in the steel
products segment in the first quarter of 2018 compared to the
fourth quarter of 2017 due to typical seasonality. We expect
earnings in our raw materials segment in the first quarter of 2018
to improve compared to the fourth quarter of 2017.
Nucor and its affiliates are manufacturers of steel products,
with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and
alloy steel -- in bars, beams, sheet and plate; hollow structural
section tubing; electrical conduit; steel piling; steel joists and
joist girders; steel deck; fabricated concrete reinforcing steel;
cold finished steel; steel fasteners; metal building systems; steel
grating; and wire and wire mesh. Nucor, through The David J. Joseph
Company, also brokers ferrous and nonferrous metals, pig iron and
HBI/DRI; supplies ferro-alloys; and processes ferrous and
nonferrous scrap. Nucor is North
America's largest recycler.
Certain statements contained in this news release are
"forward-looking statements" that involve risks and
uncertainties. The words "believe," "expect," "project,"
"will," "should," "could" and similar expressions are intended to
identify those forward-looking statements. Factors that might
cause the Company's actual results to differ materially from those
anticipated in forward-looking statements include, but are not
limited to: (1) competitive pressure on sales and pricing,
including competition from imports and substitute materials; (2)
U.S. and foreign trade policies affecting steel imports or exports;
(3) the sensitivity of the results of our operations to prevailing
steel prices and the changes in the supply and cost of raw
materials, including scrap steel; (4) market demand for steel
products; and (5) energy costs and availability. These and
other factors are discussed in Nucor's regulatory filings with
the Securities and Exchange Commission, including those
in Nucor's fiscal 2017 Annual Report on Form 10-K, Item
1A. Risk Factors. The forward-looking statements contained in
this news release speak only as of this date,
and Nucor does not assume any obligation to update
them.
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SOURCE Nucor Corporation