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Oct 02, 2021

Nucor Q3 2021 Earnings Report

Nucor achieved record quarterly earnings driven by strong market conditions and efficient operations.

Key Takeaways

Nucor Corporation reported record quarterly consolidated net earnings of $2.13 billion, or $7.28 per diluted share, for the third quarter of 2021, surpassing the previous record of $5.04 set in the second quarter of this year. Net sales increased 17% to $10.31 billion compared to the second quarter of 2021 and 109% compared to the third quarter of 2020.

Nucor reported record quarterly consolidated net earnings of $2.13 billion, or $7.28 per diluted share.

Net sales increased 17% to $10.31 billion compared to the second quarter of 2021.

Average sales price per ton increased 22% compared with the second quarter of 2021 and 86% compared with the third quarter of 2020.

The company repurchased approximately 8.2 million shares of its common stock during the third quarter of 2021.

Total Revenue
$10.3B
Previous year: $4.93B
+109.3%
EPS
$7.28
Previous year: $0.67
+986.6%
Total external shipments
7.17M
Previous year: 6.37M
+12.6%
Gross Profit
$3.41B
Previous year: $502M
+578.3%
Cash and Equivalents
$1.76B
Previous year: $2.87B
-38.5%
Free Cash Flow
$1.23B
Previous year: $454M
+171.6%
Total Assets
$24.9B
Previous year: $19.5B
+27.8%

Nucor

Nucor

Forward Guidance

Nucor expects continued strong results for the fourth quarter of 2021, potentially exceeding the net earnings record set in the third quarter of 2021.

Positive Outlook

  • Demand remains robust across most end-use markets, a trend we expect will continue well into 2022.
  • Backlogs in our steel mills and steel products segments remain elevated compared to historical levels.
  • We expect the profitability of the steel mills segment to improve in the fourth quarter of 2021 as compared to the third quarter of 2021, driven by additional earnings growth at our sheet and plate mills.
  • We expect the profitability of the steel products segment to increase in the fourth quarter of 2021 compared to the third quarter of 2021.

Challenges Ahead

  • The raw materials segment’s earnings in the fourth quarter of 2021 are expected to decrease compared to the third quarter of 2021 due primarily to margin compression at our direct reduced iron facilities.