Nucor expects a robust third-quarter financial performance

Nucor announced it guidance for its third quarter of 2018. Nucor expects third quarter results to be in the range of $2.35 to $2.40 per diluted share. This range is an increase compared to the second quarter of 2018 consolidated net earnings of $2.13 per diluted share and third quarter of 2017 earnings of $0.79per diluted share.

Projected third quarter of 2018 results include an estimated benefit of approximately $25 million, or $0.06 per diluted share, related to insurance recoveries. Included in the second quarter of 2018 results was a benefit of $23.3 million, or $0.06 per diluted share, related to insurance recoveries.  Included in third quarter of 2017 results was a net benefit of $13.2 million, or $0.04 per diluted share, related to tax return true-ups and state tax credits. Also included in the third quarter of 2017 earnings was an expense of $22.5 million, or $0.05 per diluted share, related to certain legal matters.

Earnings in the third quarter of 2018 are expected to continue the trend of strong 2018 performance. Nucor continues to believe there is sustainable strength in steel end use markets. The company expects the performance of its steel mills segment in the third quarter of 2018 to increase compared to the second quarter of 2018 due primarily to higher earnings at our sheet mills and plate mills, despite the impact of both planned and weather-related outages at certain mills.

The earnings of the steel products segment are expected to decrease in the third quarter of 2018 as compared to the second quarter of 2018. Nucor expects raw materials segment’s earnings in the third quarter of 2018 to be lower as compared to the second quarter of 2018 due to the decreased performance of its scrap brokerage and processing operations and the decreased performance of its DRI facilities as its Louisiana DRI facility experienced outages for much of the third quarter.

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