American Recycler News, Inc.

 

Nucor reports reduced earnings for first quarter 2013

Nucor Corporation announced consolidated net earnings of $84.8 million, or $0.26 per diluted share, for the first quarter of 2013. By comparison, Nucor reported net earnings of $145.1 million, or $0.46 per diluted share, for the first quarter of 2012 and net earnings of $136.9 million, or $0.43 per diluted share, in the fourth quarter of 2012.

Nucor incurred a charge to value inventories using the last-in, first-out (LIFO) method of accounting of $18.0 million ($0.03 per diluted share) in the first quarter of 2013, compared with a charge of $14.5 million ($0.03 per diluted share) in the first quarter of 2012 and a credit of $71.9 million ($0.14 per diluted share) in the fourth quarter of 2012. Also affecting earnings in the first quarter 2012 was a non-cash gain of $12.6 million ($0.04 per diluted share) related to the recognition of state tax credits and the adjustment of tax expense to previously filed returns.

Nucor’s consolidated net sales decreased 10 percent to $4.55 billion in the first quarter of 2013 from $5.07 billion in the first quarter of 2012 and increased 2 percent compared with $4.45 billion in the fourth quarter of 2012. Average sales price per ton decreased 7 percent from the first quarter of 2012 and decreased 2 percent from the fourth quarter of 2012. Total tons shipped to outside customers were 5,706,000 tons in the first quarter of 2013, a 4 percent decrease from the first quarter of 2012 and a 4 percent increase over the fourth quarter of 2012.

The average scrap and scrap substitute cost per ton used during the first quarter of 2013 was $379, a decrease of 15 percent from $445 in the first quarter of 2012 and an increase of 2 percent compared to $372 in the fourth quarter of 2012.

Overall operating rates at their steel mills decreased to 72 percent in the first quarter of 2013 as compared to 79 percent in the first quarter of 2012, but increased from 71 percent in the fourth quarter of 2012.

In February, Nucor’s board declared a cash dividend of $0.3675 per share payable on May 10, 2013 to stockholders of record on March 28, 2013. This dividend was Nucor’s 160th consecutive quarterly cash dividend.