01—Abstract
Summary
Summary of the 8-K filed June 17, 2024. Cited figures are marked; the original filing is the authoritative source.
Steel Dynamics, Inc. (NASDAQ/GS: STLD) furnished a Regulation FD 8-K on June 17, 2024 attaching a press release that provides its second quarter 2024 earnings guidance of $2.64 to $2.68a per diluted share.
The company notes that this compares with $3.67b per diluted share in the sequential first quarter of 2024 and $4.81 per diluted share in the prior-year second quarter. By segment, the company expects second quarter steel operations profitability to be meaningfully lower than the first quarter, reflecting lower realized pricing offsetting steady shipments, and cites steel buying hesitancy tied to a weakening scrap price environment. Metals recycling earnings are expected to be higher than the first quarter on stronger ferrous and nonferrous volumes, while steel fabrication earnings are expected to be in line with the first quarter, with steel joist and deck backlog extending into the fourth quarter of 2024.
The company also disclosed that it repurchased $247 millionc, or 1.1 percent, of its common stock in the second quarter through June 10, 2024, and plans to release full second quarter results after the market close on July 17, 2024, followed by a conference call on July 18, 2024 at 11:00 a.m. Eastern Daylight Time.
02—Key points
Key Highlights
- Second quarter 2024 diluted EPS guidance of $2.64 to $2.68, versus $3.67 in the sequential first quarter and $4.81 in the prior-year second quarter
- Steel operations profitability expected to be meaningfully lower than first quarter due to lower realized pricing, partially offset by steady shipments
- Metals recycling earnings expected to be higher than first quarter on stronger ferrous and nonferrous volumes
- Steel fabrication earnings expected in line with first quarter; joist and deck order backlog extends into fourth quarter 2024
- Company repurchased $247 million, or 1.1 percent, of common stock in the second quarter through June 10, 2024
- Full second quarter results to be released July 17, 2024 after market close, with conference call on July 18, 2024 at 11:00 a.m. EDT
- Management cites continued demand strength from automotive, non-residential construction, energy, and industrial sectors
03—Questions
Frequently Asked Questions
What is Steel Dynamics' second quarter 2024 earnings guidance?
The company guided to second quarter 2024 earnings of $2.64 to $2.68 per diluted share.
How does the guidance compare with recent quarters?
The filing states that sequential first quarter 2024 earnings were $3.67 per diluted share and prior-year second quarter earnings were $4.81 per diluted share.
Why are steel operations expected to earn less in the second quarter?
Profitability from steel operations is expected to be meaningfully lower than the first quarter, based on lower realized pricing offsetting steady shipments, and steel buying hesitancy linked to a weakening scrap price environment.
Is the company still buying back stock?
Yes. The company repurchased $247 million, or 1.1 percent, of its common stock during the second quarter through June 10, 2024, citing confidence in its earnings outlook and cash flow generation.
When will the company report full second quarter results?
The company plans to release second quarter 2024 earnings after the markets close on Wednesday, July 17, 2024, with a conference call the following day at 11:00 a.m. Eastern Daylight Time.
04—Continue