Company Performance - Steel Dynamics (STLD) closed at $136.69, down 1.71% from the previous trading session, underperforming the S&P 500's loss of 0.55% [1] - Over the past month, shares of Steel Dynamics gained 4.34%, slightly trailing the Basic Materials sector's gain of 4.52% and outperforming the S&P 500's gain of 3.64% [1] Upcoming Earnings - The earnings report for Steel Dynamics is scheduled for October 20, 2025, with projected earnings per share (EPS) of $2.66, indicating a 29.76% increase year-over-year [2] - The Zacks Consensus Estimate for revenue is $4.7 billion, reflecting an 8.26% increase from the same quarter last year [2] Full Year Projections - For the full year, the Zacks Consensus Estimates project earnings of $8.93 per share and revenue of $18.34 billion, representing changes of -9.25% and +4.54% from the prior year, respectively [3] - Recent revisions to analyst forecasts are important as they reflect near-term business trends, with positive changes indicating a favorable outlook on business health and profitability [3] Valuation Metrics - Steel Dynamics has a Forward P/E ratio of 15.57, which is a premium compared to the industry average Forward P/E of 14.14 [6] - The company has a PEG ratio of 1.13, while the Steel - Producers industry has an average PEG ratio of 0.78 [6] Industry Context - The Steel - Producers industry is part of the Basic Materials sector and currently holds a Zacks Industry Rank of 165, placing it in the bottom 34% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [7]

Core Insights - Nucor Corporation (NUE) and Steel Dynamics, Inc. (STLD) are leading steel producers in the U.S., serving critical markets such as construction, automotive, and industrial sectors [1] - U.S. steel prices have declined due to weak demand and high production levels, with hot-rolled coil (HRC) prices falling below $800 per short ton [2] - A comparison of Nucor and Steel Dynamics reveals differing investment prospects amid current market conditions [3] Nucor Corporation (NUE) - Nucor is the largest steel producer in North America, focusing on increasing production capacity to enhance profitability and maintain its low-cost producer status [4] - The company is experiencing strong demand from various sectors, including construction, military, and energy, supported by a healthy order backlog [4] - Nucor has made strategic acquisitions, such as Southwest Data Products and Rytec Corporation, to diversify its offerings and expand into related downstream businesses [5] - The company ended Q2 2025 with liquidity of approximately $3.4 billion and increased its revolving credit facility to $2.25 billion [6] - Nucor has returned around $13.2 billion to shareholders since 2020, with a recent quarterly dividend increase to 55 cents per share [7] - The current dividend yield for Nucor is 1.6%, with a payout ratio of 36% and a five-year annualized dividend growth rate of 7.5% [8] - Nucor faces demand weakness in markets such as heavy equipment and agriculture, which accounted for about 28% of its total shipments in 2024 [9][10] Steel Dynamics, Inc. (STLD) - Steel Dynamics employs a customer-focused approach and market diversification, positioning itself for future growth [11] - The company is ramping up operations at its new electric arc furnace flat-rolled steel mill in Sinton, TX, with a capacity of approximately three million tons per year [12] - STLD is investing in value-added flat-rolled steel coating lines and a $2.7 billion low-carbon aluminum flat rolled mill, enhancing its growth strategy [13] - The company generated solid cash flow from operations of $1.8 billion in 2024 and ended Q2 2025 with liquidity of around $1.9 billion [14] - Steel Dynamics raised its quarterly dividend by 9% to 50 cents per share and repurchased shares worth $450 million in the first half of 2025 [15] - The automotive sector is significant for STLD, but a slowdown in global automotive production may impact steel consumption in this market [16] Comparative Analysis - Year-to-date, both NUE and STLD stocks have increased by 22.4%, while the Zacks Steel Producers industry rose by 24.1% [17] - STLD trades at a forward 12-month earnings multiple of 11.86, while NUE trades at 14.11, indicating a premium for Nucor [18][19] - Steel Dynamics has a higher return on equity of 11.88% compared to Nucor's 6.65%, reflecting more efficient use of shareholder funds [21] - The Zacks Consensus Estimate for Nucor's 2025 sales suggests a 5.3% increase, while EPS is expected to decline by 6.5% [22] - For Steel Dynamics, the 2025 sales estimate implies a 4.5% increase, with EPS expected to decline by 5.9% [26] - Both companies are ramping up growth plans, but STLD appears to have a slight edge due to its attractive valuation, higher dividend growth rate, and superior return on equity [28]

Market Overview - Investors have maintained a bullish outlook recently, but markets experienced a slight decline as the Federal Reserve's two-day meeting commenced, with the S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all slightly lower than their all-time highs [1] - The S&P 500 closed 0.13% lower after reaching a new 52-week high at the open, while the Nasdaq also saw a 0.07% drop from its new 52-week high [1] Stock Performance - The Dow Jones Industrial Average (DJIA) fell by 0.27%, with Nvidia experiencing a 1.64% drop in stock price [2] - Webtoon, a digital comic platform, surged by 36.8% following news of a Disney deal, while Steel Dynamics rose by 7.2%, making it a top performer in the S&P 500 [2] - Warner Bros Discovery was the worst performer, declining by 6.5% after a downgrade from TD Cowen, which changed its rating from Buy to Hold due to unattractive risk/reward dynamics [2][7] Notable Stocks - Warner Bros Discovery's stock has increased by 72.7% year-to-date, despite recent performance issues [3] - Other notable stock movements include APA Corp (+6.9%), Steel Dynamics Inc (+6.2%), and Occidental Petroleum Corp (+5%) [6] - Conversely, Warner Bros Discovery (-6.2%), Paramount Skydance Corp (-5.7%), and Emerson Electric Co (-4.9%) were among the worst performers [6] Acquisition Concerns - Warner Bros Discovery faces uncertainty regarding a potential takeover, with analysts suggesting the stock could "quickly round-trip" if the acquisition does not materialize [7] - Senator Elizabeth Warren expressed concerns over the concentration of media power related to a potential merger involving Warner Bros Discovery and Paramount [8] - Warner Bros, Disney, and Universal have filed a copyright infringement lawsuit against a Chinese AI firm, Minimax, amidst these acquisition concerns [8]

Core Insights - Steel Dynamics, Inc. (STLD) has provided third-quarter 2025 earnings guidance, expecting earnings per share in the range of $2.60 to $2.64, an increase from $2.01 in the second quarter and $2.05 in the same quarter last year [1][2][7] Group 1: Earnings and Profitability - The steel operations are anticipated to show improved profitability due to strong shipments and an expansion in metal spread, as scrap raw material costs are expected to decline more than the average realized steel pricing [2][3] - Earnings from metals recycling operations are projected to be significantly stronger in the third quarter compared to the second quarter, with steel fabrication operations also expected to benefit from increased volume and steady metal spread [3] Group 2: Operational Developments - The aluminum division is on track to successfully commission the Columbus, MS, aluminum flat rolled products mill and the San Luis Potosi satellite recycled slab center, with cast houses and hot strip mills operating effectively [4] - As of September 11, 2025, the company has repurchased $185 million, or 1%, of its common stock during the third quarter [4] Group 3: Market Performance - STLD's shares have increased by 16.8% over the past year, contrasting with a 15.4% decline in the industry [5]

Core Viewpoint - Steel Dynamics, Inc. (STLD) has agreed to acquire the remaining 55% equity interest in New Process Steel, L.P., enhancing its position in the flat roll steel market and value-added manufacturing solutions [1][8]. Company Overview - New Process Steel is a significant metal and supply-chain solutions company based in Houston, TX, employing approximately 1,275 individuals and serving as STLD's largest flat roll steel customer [2][8]. - The acquisition will add six facilities, including two manufacturing locations in Mexico and four in the United States, to Steel Dynamics' operations [3][8]. Market Context - STLD stock has increased by 12.4% over the past year, contrasting with a 14.7% decline in the industry [5]. - The company anticipates improvements in trade uncertainties and tax impacts, with expectations for a better interest rate environment and a decline in unfairly traded imports, which will support pricing and demand in the manufacturing sector [6]. Strategic Implications - The acquisition is expected to enhance Steel Dynamics' exposure to value-added manufacturing solutions while maintaining its focus on legacy flat rolled steel solutions [2][6]. - The U.S. International Trade Commission's preliminary determinations on coated flat rolled steel are expected to improve STLD's operating platforms, although final determinations are pending [6].

[PART I. Financial Information](index=4&type=section&id=PART%20I.%20Financial%20Information) [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements for the three and six-month periods ended June 30, 2025, and 2024, detailing the company's financial position and performance [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total current assets | $5,690,599 | $5,431,338 | | Total assets | $15,548,638 | $14,935,233 | | Total current liabilities | $1,819,081 | $2,150,583 | | Long-term debt | $3,779,559 | $2,804,017 | | Total liabilities | $6,704,588 | $5,989,987 | | Total Steel Dynamics, Inc. equity | $8,864,052 | $8,934,287 | [Consolidated Statements of Income](index=6&type=section&id=Consolidated%20Statements%20of%20Income) Q2 2025 vs Q2 2024 Performance (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total net sales | $4,565,123 | $4,632,634 | | Gross profit | $618,468 | $774,837 | | Operating income | $382,855 | $559,123 | | Net income attributable to SDI | $298,726 | $427,998 | | Diluted EPS | $2.01 | $2.72 | H1 2025 vs H1 2024 Performance (in thousands, except per share data) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Total net sales | $8,934,318 | $9,326,637 | | Gross profit | $1,105,012 | $1,755,635 | | Operating income | $657,999 | $1,310,098 | | Net income attributable to SDI | $515,877 | $1,012,039 | | Diluted EPS | $3.44 | $6.39 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Six-Month Cash Flow Summary (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $454,214 | $737,778 | | Net cash used in investing activities | ($484,455) | ($502,520) | | Net cash used in financing activities | ($101,488) | ($806,196) | | **Decrease in cash** | **($131,729)** | **($570,938)** | [Notes to Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) This section provides detailed explanations of the company's accounting policies and financial results, covering business segments, debt, inventory, equity, and segment performance - The company operates through four reporting segments: steel operations, metals recycling operations, steel fabrication operations, and aluminum operations. The aluminum operations segment was recently reorganized to include an entity previously in the metals recycling segment[14](index=14&type=chunk) - In March 2025, the company issued **$600.0 million** of 5.250% notes due 2035 and **$400.0 million** of 5.750% notes due 2055. Proceeds were used for general corporate purposes, including the repayment of **$400.0 million** notes that matured in June 2025[36](index=36&type=chunk)[38](index=38&type=chunk) Segment Operating Income (in thousands) | Segment | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Steel Operations | $381,094 | $438,620 | | Metals Recycling Operations | $21,290 | $22,839 | | Steel Fabrication Operations | $93,114 | $180,740 | | Aluminum Operations | ($40,627) | ($13,862) | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=21&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management analyzes the company's financial performance for Q2 and H1 2025 versus 2024, covering consolidated and segment results, liquidity, capital resources, and debt management - Consolidated operating income for Q2 2025 decreased **32%** YoY to **$382.9 million**, primarily due to metal spread contraction in the steel and steel fabrication segments[65](index=65&type=chunk) - For the first half of 2025, consolidated operating income fell **50%** YoY to **$658.0 million**, with net income attributable to SDI decreasing by **49%** to **$515.9 million**[66](index=66&type=chunk) [Segment Operating Results](index=23&type=section&id=Segment%20Operating%20Results) This section details the performance of each of the company's four operating segments, noting lower income for steel and fabrication, a slight decrease for recycling, and increased start-up costs for aluminum - **Steel Operations:** Q2 2025 operating income decreased **13%** YoY to **$381.1 million**. This was caused by a **3%** decrease in metal spread, as rising scrap costs outpaced flat average selling prices, and a **$32.3 million** write-off of consumable assets[74](index=74&type=chunk) - **Metals Recycling Operations:** Q2 2025 operating income decreased **7%** YoY to **$21.3 million**. While ferrous shipments hit a record high, a **9%** decrease in ferrous metal spreads offset these gains[78](index=78&type=chunk) - **Steel Fabrication Operations:** Q2 2025 operating income dropped **48%** YoY to **$93.1 million**. The decline was driven by a **15%** decrease in volume and a **19%** contraction in metal spread as selling prices fell faster than steel input costs[84](index=84&type=chunk)[85](index=85&type=chunk) - **Aluminum Operations:** The segment produced and sold its first aluminum coils late in Q2 2025. Results primarily reflect increasing construction, start-up, and commissioning costs, leading to a higher operating loss compared to the prior year[87](index=87&type=chunk) [Liquidity and Capital Resources](index=32&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position, with over $1.9 billion available as of June 30, 2025, and invested significantly in capital projects, dividends, and share repurchases during the first half of the year Liquidity Position as of June 30, 2025 (in thousands) | Component | Amount | | :--- | :--- | | Cash and equivalents | $458,048 | | Short-term and other investments | $285,455 | | Revolver availability | $1,190,673 | | **Total liquidity** | **$1,934,176** | - Total outstanding debt increased by **$550.0 million** from year-end 2024 to **$3.8 billion**, following the issuance of new senior notes in March 2025[99](index=99&type=chunk) - The company repurchased **$450.2 million** of its common stock in the first half of 2025. As of June 30, 2025, **$1.2 billion** remained available under the current share repurchase authorization[106](index=106&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company is exposed to market risk from commodity price fluctuations and uses fixed-price contracts and financial derivatives to manage this risk, particularly for nonferrous and ferrous metals - The company is exposed to price fluctuations in raw materials such as metallic scrap, electricity, natural gas, and zinc[108](index=108&type=chunk) - To mitigate risk, the company enters into base metal financial contracts to protect profit margins on certain fixed-price sales and purchase commitments. Most of these contracts settle within the next twelve months[110](index=110&type=chunk) [Controls and Procedures](index=36&type=section&id=Item%204.%20Controls%20and%20Procedures) As of June 30, 2025, the company's disclosure controls and procedures were deemed effective, with no material changes to internal control over financial reporting during the quarter - Management concluded that as of June 30, 2025, the company's disclosure controls and procedures were effective at a reasonable assurance level[111](index=111&type=chunk) - No changes occurred during the quarter ended June 30, 2025, that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[112](index=112&type=chunk) [PART II. Other Information](index=38&type=section&id=PART%20II.%20Other%20Information) [Legal Proceedings](index=38&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various litigation matters arising in the ordinary course of business, none of which are expected to materially impact its financial condition, results of operations, or liquidity - Ongoing litigation, administrative proceedings, and environmental matters are not expected to have a material impact on the company[113](index=113&type=chunk) [Risk Factors](index=38&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes to the company's risk factors have occurred since the filing of the 2024 Form 10-K[115](index=115&type=chunk) [Issuer Purchases of Equity Securities](index=38&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's repurchases of its own common stock during the second quarter of 2025, all made under the publicly announced share repurchase program authorized in February 2025 Share Repurchases for Q2 2025 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | April 2025 | 795,009 | $119.36 | | May 2025 | 515,824 | $132.19 | | June 2025 | 279,492 | $132.27 | | **Total Q2** | **1,590,325** | | - In February 2025, the board of directors authorized a new share repurchase program for up to **$1.5 billion** of the company's common stock[117](index=117&type=chunk) [Exhibits](index=40&type=section&id=Item%206.%20Exhibits) This section provides an index of all exhibits filed with the Form 10-Q, including corporate governance documents, officer certifications, and interactive data files (XBRL) - The exhibits filed with this report include CEO and CFO certifications under Sections 302 and 906 of the Sarbanes-Oxley Act, as well as XBRL financial data[124](index=124&type=chunk)[125](index=125&type=chunk)

Core Viewpoint - The U.S. Department of Commerce has preliminarily determined that Oman is circumventing anti-dumping and countervailing duties on similar products from China by using hot-rolled steel produced in China to manufacture circular welded carbon steel pipes (CWP) [1][3]. Group 1: Investigation and Findings - The investigation began on November 19, 2024, focusing on circumvention activities across Oman, with Al Jazeera Steel Products Company SAOG identified as the mandatory respondent [3]. - The average anti-dumping duty rate for Chinese CWP is 85.55%, while the countervailing duty rate is as high as 198.49% [3]. - The U.S. has intensified scrutiny on imported steel products, particularly those processed through third countries to evade tariffs [3][4]. Group 2: Market Impact - In 2024, the U.S. imported approximately 50,000 tons of CWP from Oman, accounting for 2.5% of total imports, with Chinese hot-rolled steel remaining competitive in the global market due to price advantages [4]. - The preliminary ruling may lead to the imposition of tariffs on Omani CWP similar to those on Chinese products, potentially exceeding 200%, which would significantly raise export costs for Oman and affect its competitiveness in the U.S. market [5]. - U.S. domestic steel producers like Nucor and Steel Dynamics may benefit from this situation as their market share could increase [5]. Group 3: Broader Context - The global steel market is currently facing an oversupply situation, with low-priced steel from China entering the U.S. market through third countries, leading to ongoing trade disputes [5]. - Similar circumvention issues have been observed in global trade, with countries like Vietnam and Thailand also facing investigations by the U.S. [4].

Group 1: Industrial Sector Overview - The industrial sector is currently experiencing neglect as investor focus and capital have shifted towards the artificial intelligence sector, indicating a potential future rotation back to industrials [1] - Implementing dollar-cost averaging (DCA) can help investors gradually expose their portfolios to the industrial sector, which shows significant upside potential [2] Group 2: Cleveland-Cliffs Inc. - Cleveland-Cliffs Inc. is highlighted as a potential catch-up play in the steel industry, currently trading at only 68% of its 52-week high, while peers are trading at an average of 90% [5] - Analyst Phillip Gibbs from KeyCorp upgraded Cleveland-Cliffs' rating from Sector Weight to Overweight, setting a price target of $14 per share, suggesting approximately 40% upside potential [6][7] - Institutional buyers, such as JB Capital, increased their holdings in Cleveland-Cliffs by 14.6%, indicating growing interest in building positions through DCA [8] Group 3: Commercial Metals Co. - Commercial Metals Co. is noted for its exposure to both aluminum and steel production in the U.S. and China, providing a valuable business opportunity amid trade tariff uncertainties [10] - Analysts project a significant increase in earnings per share (EPS) for Commercial Metals, estimating $1.25 for Q4 2025, a 70% increase from the current $0.74 EPS [11] - The stock is currently trading at a price-to-earnings (P/E) ratio of 167.3, reflecting market willingness to pay a premium for expected outperformance [12][13] Group 4: Steel Dynamics Inc. - Steel Dynamics is recognized as a strong performer in the steel industry, with analysts boosting its valuation target from $138 to $150 per share, indicating a potential 20% upside [14] - Expected EPS growth for Steel Dynamics is projected at $2.88 for Q4 2025, suggesting a 43% growth rate from the current $2.01 EPS [15][16] - Institutional investors, such as Robeco Institutional Asset Management, increased their holdings in Steel Dynamics by 40.6%, reflecting confidence in the stock's performance [18]

Core Viewpoint - Steel Dynamics Inc. reported second quarter 2025 earnings with slight misses on revenue and earnings per share, but investors remain optimistic about future growth due to expanding economic activity and operational expansions [2][3][5]. Financial Performance - Revenue for the quarter was $4.57 billion, missing expectations of $4.82 billion, but up from $4.37 billion in the previous quarter and only down about 1% year-over-year [2]. - Earnings per share (EPS) were $2.01, which was 21% lower than analysts' forecasts of $2.56 and down 26% year-over-year [2]. Operational Developments - The company has completed a new steel plant in Texas and is ramping up operations at its $2.7 billion aluminum plant in Mississippi, anticipating renewed economic activity [3]. - Steel Dynamics' steel fabrication business saw a decline of approximately 50% year-over-year and 20% from the prior quarter, but there is a backlog that is up 15% extending into 2026 [6]. Market Context - The Trump administration's tariffs on foreign steel are expected to make U.S. steel manufacturers like Steel Dynamics more attractive, particularly in flat-rolled steel, which is essential for infrastructure projects [4]. - Current analyst sentiment has a consensus price target of $149.33, indicating a potential upside of 14.16% from the current price [5][10]. Stock Performance - Steel Dynamics stock has been trading above its 50-day simple moving average, and if it can maintain this level, it may indicate a potential upward movement [9]. - The stock has gained 17% year-to-date, with a dividend yield of 1.5%, suggesting it may be approaching its three-year average total return of around 33% [10].

Financial Data and Key Metrics Changes - The company reported a net income of $299 million or $2.01 per diluted share for Q2 2025, with adjusted EBITDA of $533 million [13][19] - Revenue for Q2 2025 was $4.6 billion, exceeding the previous quarter due to higher realized pricing [13] - Operating income increased by 39% sequentially to $383 million, driven by steel metal spread expansion [14] Business Line Data and Key Metrics Changes - Steel operations generated operating income of $382 million in Q2, over 65% higher sequentially, despite a decline in flat rolled shipments [14][15] - Metal recycling operations reported operating income of $21 million, $4 million lower than the previous quarter due to lower ferrous pricing [15] - Steel fabrication achieved operating income of $93 million, lower than Q1 due to increased substrate costs [16] Market Data and Key Metrics Changes - The domestic steel industry operated at an estimated production utilization rate of 77%, while the company's mills operated at 85% [28] - Coated flat rolled steel volume and pricing compressed due to an inventory overhang related to imports [29] - The company is the largest North American metals recycler for ferrous and nonferrous metals, with ongoing growth in supplier relationships [15][27] Company Strategy and Development Direction - The company is focused on sustainability, with a target to reduce greenhouse gas emissions intensity by 15% by 2030 [21][22] - The aluminum operations are expected to ramp up production, with a projected EBITDA breakeven before the end of 2025 [18][45] - The company aims to leverage its competitive position in the aluminum market, which is experiencing a domestic supply deficit [39][41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the steel demand and pricing dynamics, citing ongoing onshoring activities and infrastructure spending [35][47] - The company anticipates a significant increase in profitability for the aluminum operations in the second half of 2025 [18][90] - Management highlighted the importance of maintaining a strong safety culture and operational reliability [12][37] Other Important Information - The company repaid $400 million in senior notes and ended the quarter with liquidity of $1.9 billion [19] - Capital investments for the second half of 2025 are expected to be around $400 million, primarily for aluminum and biocarbon projects [19][20] - The company has a strong cash flow generation capability, with free cash flow increasing from an average of $540 million to $3 billion over the past five years [20] Q&A Session Summary Question: Insights on the aluminum business and utilization rates - Management confirmed that there is no material change in expectations for aluminum operations, with confidence in achieving EBITDA positivity in the second half of the year [54][57] Question: Sinton mill's EBITDA performance - Management did not disclose specific financial metrics for Sinton but indicated significant improvement compared to Q1, with expectations for further increases in the second half [60][62] Question: Market environment for aluminum ramp-up - Management noted a positive market environment for aluminum, with a growing supply deficit and strong customer interest [65][68] Question: Impact of tariffs on pig iron sourcing - Management clarified that their long products mills do not use pig iron, and they are monitoring the tariff situation closely [72][74] Question: Benefits of biocarbon - Biocarbon is expected to reduce carbon footprint by up to 35% and could potentially replace a significant portion of anthracite usage in steelmaking [83][84]