Nucor Steel Mill Segment Earnings to Dip in Q1 2022

SEATTLE (Scrap Monster): Charlotte, North Carolina-headquartered Nucor Corporation announced guidance for its first quarter ending April 2, 2022.

The company foresees first quarter earnings of between $7.20 and $7.30 per diluted share in Q1 2022, which will be a new record in company’s history for the first quarter. It must be noted that the company had reported earnings per diluted share of $3.10 in the corresponding first quarter in 2021.

The steel mill segment earnings are expected to dip from the fourth quarter of 2021, mainly due to decreased profitability of the sheet mills. The end market demand remained strong during the quarter. However, average realized sheet selling prices softened, impacted by increased import volumes.

The company expects boosted earnings from steel products segment in the first quarter of 2022, in comparison with the prior quarter, due to strong demand from non residential construction sector and expanding profit margins. Meantime, the earnings for the raw materials segment are expected to be more or less in line with those during Q4 2021, said the company press release.

Nucor expects 2022 to be another strong year. It anticipates notable improvement in profitability, driven by recently announced price hikes across steel mills segment.