Nucor President and CEO Leon Topalian speaks during a groundbreaking ceremony October 20, 2023 for the Mason County steel plant with Sens. Joe Manchin, D-W.Va., and Shelley Moore Capito, R-W.Va.
Nucor President and CEO Leon Topalian speaks during a groundbreaking ceremony October 20, 2023 for the Mason County steel plant with Sens. Joe Manchin, D-W.Va., and Shelley Moore Capito, R-W.Va.
CHARLOTTE, N.C. — Nucor Corporation announced increased first quarter earnings Monday, when compared to the fourth quarter of last year.
Nucor reported earnings of $844.8 million compared to $785.4 million for the fourth quarter of 2023. However, earnings are down when compared to the $1.14 billion earnings in the first quarter of 2023.
Leon Topalian, Nucor’s chair, president and chief executive officer, said during an earnings call Tuesday steel mills segment earnings in the first quarter of 2024 increased from the fourth quarter of 2023, primarily due to higher average selling prices and increased volumes, particularly at its sheet mills.
He said earnings in the steel products segment decreased due to lower average selling prices and decreased volumes, but earnings in the raw materials segment increased.
“Nucor’s performance continues to be strong even as steel market conditions have come off their post-pandemic record highs,†Topalian said.
Topalian said Nucor’s capital spending will increase with investments continuing at the West Virginia sheet mill, Brandenburg, Kentucky plate mill and micro mill bar projects in North Carolina and Arizona.
Nucor plans $3.5 billion of capital expenditures this year, with about $1.2 billion of that being at the sheet steel mill under construction in Mason County, according to the company’s earnings presentation.
He said the company expects earnings in the second quarter to decrease.
“The largest driver for the expected decrease in earnings in the second quarter of 2024 is the decreased earnings of the steel mills segment, primarily due to lower average selling prices partially offset by modestly increased volumes,†he said. “The steel products segment is expected to have moderately decreased earnings in the second quarter of 2024 as compared to the first quarter of 2024 due to lower average selling prices, partially offset by increased volumes.â€
Nucor officials added earnings in the raw materials segment are expected to be higher due to the increased profitability of the company’s direct reduced iron facilities and scrap processing operations.
Fred Pace is the regional business reporter for HD Media. Follow him at Facebook.com/FredPaceHD
