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Researched by Industrial Info Resources (Sugar Land, Texas)--Overall, top steel producers in the U.S. expect second-quarter 2021 earnings to be very good indeed in the face of surging demand and rising prices.
Four steel producers released their second-quarter earnings outlook numbers last week. These include Nucor Corporation (NYSE: NUE) (Charlotte, North Carolina), Steel Dynamics Incorporated (NASDAQ:STLD) (Fort Wayne, Indiana), United States Steel Corporation (NYSE:X) (Pittsburgh, Pennsylvania) and Cleveland-Cliffs Incorporated (NYSE:CLF) (Cleveland, Ohio). All four will officially announced their second-quarter earnings starting next month.
Industrial Info is tracking $1.45 billion worth of high-and-medium-probability (70-99% chance of moving forward as planned) capital projects by the four steelmakers that are planned to commence construction in the second half of 2021. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for a list of detailed project reports.
Click on the image at right for a graph showing second-half 2021 project kickoff activity by the four steelmakers.
Nucor said it expects second-quarter earnings to be the highest quarterly earnings in the company's history, surpassing the previous record set in the first quarter. It said all three of its operating segments continue to "generate robust profitability as overall strong demand is supporting higher average selling prices," with improved results from its sheet and plate mills, along with its steel products and raw materials segments.
In May, Nucor announced the approval of a project to upgrade its engineered bar mill in Nebraska to better serve the automotive market. The project will include a new reheat furnace, intermediate mill and coil inspection and trimming station. Nucor said it expects the upgrade to be completed in the fourth quarter of 2022. For more information, see Industrial Info's project report.
Steel Dynamics also said it expects to report record second-quarter earnings, excluding the impact from costs associated with the construction of the company's flat-rolled steel mill in Sinton, Texas.
"The earnings are driven by strong underlying steel demand and significant metal spread expansion across the entire platform, but most pronounced within the flat-roll steel operations," according to a Steel Dynamics press release. The company expects to complete construction of a $1.9 billion Sinton flat-rolled steel mill in August. It will produce 3 million tons per year of various steel products via an electric arc furnace and two value-added coating lines, for the energy, automotive, construction and appliance sectors. For more information, see Industrial Info's project report.
United States Steel (U.S. Steel) said second-quarter net income is expected to be about $815 million, excluding certain asset and impairment charges, as a result of higher steel prices, strong flat-rolled steel demand and low steel inventories. First-quarter earnings amounted to $91 million.
"These market fundamentals are showing no signs of slowing down and have us increasingly confident of another strong year in 2022," according to a U.S. Steel press release, which added, "As a result, we recently announced a new sustainable non-grain oriented electrical steel line investment at Big River Steel."
The project at the Big River Steel minimill operation in Osceola, Arkansas, would include construction of a 200,000-ton-per-year, non-grained-oriented electrical steel line to meet growing demand for electric vehicles. For more information, see Industrial Info's project report.
Cleveland-Cliffs said it expects to report second-quarter adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $1.3 billion, and full-year 2021 adjusted EBITDA of $5 billion, up $1 billion from its previous forecast. First-quarter adjusted EBITDA was $513 billion. Earlier this month, Cleveland-Cliffs celebrated the initial six months of continued operation and production at its 1.9 million-ton-per-year hot-briquetted iron (HBI) facility in Toledo, Ohio.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.
Four steel producers released their second-quarter earnings outlook numbers last week. These include Nucor Corporation (NYSE: NUE) (Charlotte, North Carolina), Steel Dynamics Incorporated (NASDAQ:STLD) (Fort Wayne, Indiana), United States Steel Corporation (NYSE:X) (Pittsburgh, Pennsylvania) and Cleveland-Cliffs Incorporated (NYSE:CLF) (Cleveland, Ohio). All four will officially announced their second-quarter earnings starting next month.
Industrial Info is tracking $1.45 billion worth of high-and-medium-probability (70-99% chance of moving forward as planned) capital projects by the four steelmakers that are planned to commence construction in the second half of 2021. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for a list of detailed project reports.
Nucor said it expects second-quarter earnings to be the highest quarterly earnings in the company's history, surpassing the previous record set in the first quarter. It said all three of its operating segments continue to "generate robust profitability as overall strong demand is supporting higher average selling prices," with improved results from its sheet and plate mills, along with its steel products and raw materials segments.
In May, Nucor announced the approval of a project to upgrade its engineered bar mill in Nebraska to better serve the automotive market. The project will include a new reheat furnace, intermediate mill and coil inspection and trimming station. Nucor said it expects the upgrade to be completed in the fourth quarter of 2022. For more information, see Industrial Info's project report.
Steel Dynamics also said it expects to report record second-quarter earnings, excluding the impact from costs associated with the construction of the company's flat-rolled steel mill in Sinton, Texas.
"The earnings are driven by strong underlying steel demand and significant metal spread expansion across the entire platform, but most pronounced within the flat-roll steel operations," according to a Steel Dynamics press release. The company expects to complete construction of a $1.9 billion Sinton flat-rolled steel mill in August. It will produce 3 million tons per year of various steel products via an electric arc furnace and two value-added coating lines, for the energy, automotive, construction and appliance sectors. For more information, see Industrial Info's project report.
United States Steel (U.S. Steel) said second-quarter net income is expected to be about $815 million, excluding certain asset and impairment charges, as a result of higher steel prices, strong flat-rolled steel demand and low steel inventories. First-quarter earnings amounted to $91 million.
"These market fundamentals are showing no signs of slowing down and have us increasingly confident of another strong year in 2022," according to a U.S. Steel press release, which added, "As a result, we recently announced a new sustainable non-grain oriented electrical steel line investment at Big River Steel."
The project at the Big River Steel minimill operation in Osceola, Arkansas, would include construction of a 200,000-ton-per-year, non-grained-oriented electrical steel line to meet growing demand for electric vehicles. For more information, see Industrial Info's project report.
Cleveland-Cliffs said it expects to report second-quarter adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $1.3 billion, and full-year 2021 adjusted EBITDA of $5 billion, up $1 billion from its previous forecast. First-quarter adjusted EBITDA was $513 billion. Earlier this month, Cleveland-Cliffs celebrated the initial six months of continued operation and production at its 1.9 million-ton-per-year hot-briquetted iron (HBI) facility in Toledo, Ohio.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.
