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Mar 30, 2024

Nucor Q1 2024 Earnings Report

Nucor's earnings increased slightly despite steel market normalization, with strategic growth investments made.

Key Takeaways

Nucor reported net earnings attributable to Nucor stockholders of $844.8 million, or $3.46 per diluted share, for Q1 2024. Net sales reached $8.14 billion. The company saw strong performance despite steel market conditions normalizing from post-pandemic highs, and advanced growth, sustainability, and commercial strategies.

Net earnings attributable to Nucor stockholders were $844.8 million, or $3.46 per diluted share.

Net sales totaled $8.14 billion.

Net earnings before noncontrolling interests amounted to $959.0 million and EBITDA was $1.50 billion.

5.5 million shares of common stock were repurchased at an average price of $180.79 per share.

Total Revenue
$8.14B
Previous year: $8.71B
-6.6%
EPS
$3.46
Previous year: $4.45
-22.2%
Total external shipments
6.22M
Previous year: 6.44M
-3.4%
Gross Profit
$1.53B
Previous year: $2B
-23.5%
Cash and Equivalents
$4.56B
Previous year: $3.8B
+19.9%
Free Cash Flow
-$211M
Previous year: $675M
-131.2%
Total Assets
$33.9B
Previous year: $32.2B
+5.2%

Nucor

Nucor

Forward Guidance

Nucor anticipates a decrease in earnings for the second quarter of 2024 compared to the first quarter.

Positive Outlook

  • Modestly increased steel mill volumes are expected to partially offset lower average selling prices.
  • Steel products segment anticipates increased volumes to partially offset lower average selling prices.
  • Raw materials segment expects higher earnings due to increased profitability of direct reduced iron facilities.
  • Raw materials segment expects higher earnings due to increased profitability of scrap processing operations.
  • Overall demand remains solid across most end-use markets.

Challenges Ahead

  • Steel mills segment earnings are expected to decrease primarily due to lower average selling prices.
  • Steel products segment is expected to have moderately decreased earnings due to lower average selling prices.
  • Market conditions are expected to soften in the second quarter.
  • Increased import competition may put pressure on pricing.
  • Geopolitical uncertainties could impact global steel demand.