Steel Dynamics

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Steel Dynamics(STLD) - 2024 Q4 - Earnings Call Transcript
2025-01-23 19:57
Financial Data and Key Metrics - The company held its Q4 2024 earnings conference call on January 23, 2025, discussing both quarterly and full-year results [2][4] Business Line Data and Key Metrics - No specific data or metrics related to individual business lines were provided in the content Market Data and Key Metrics - No specific data or metrics related to individual markets were provided in the content Company Strategy and Industry Competition - No specific details on company strategy, development direction, or industry competition were provided in the content Management Commentary on Operating Environment and Future Outlook - Some statements made during the call were forward-looking and predictive, typically preceded by words like "believe," "expect," or "anticipate," and are protected by the Private Securities Litigation Reform Act of 1995 [5] Other Important Information - The call was recorded and will be available for replay on the company's website [4] Q&A Session Summary - No specific questions or answers from the Q&A session were provided in the content
Steel Dynamics(STLD) - 2024 Q4 - Earnings Call Presentation
2025-01-23 15:36
2022 23 January 2025 Investor Presentation Investor Call Presentation Fourth Quarter and Full-Year 2024 z Health and Safety Entrepreneurial Culture Customer Commitment Strategic Growth Innovation Financial Strength z Health and Safety Entrepreneurial Culture Customer Commitment Strategic Sustainable Growth Innovation Financial Strength Forward-looking statements and Non-GAAP financial measures Forward-Looking Statements This presentation contains some predictive statements about future events, including sta ...
Steel Dynamics(STLD) - 2024 Q4 - Annual Results
2025-01-23 14:56
Financial Performance - Q4 2024 net sales were $3.9 billion with net income of $207 million, or $1.36 per diluted share, compared to Q3 2024 net income of $318 million and Q4 2023 net income of $424 million[2] - Annual 2024 net sales were $17.5 billion, operating income was $1.9 billion, and net income was $1.5 billion, or $9.84 per diluted share, compared to 2023 net income of $2.5 billion[10] - Net sales for Q4 2024 decreased to $3.87 billion, down 8.5% from $4.23 billion in Q4 2023[23] - Gross profit for Q4 2024 dropped to $441.7 million, a 39.6% decline from $730.9 million in Q4 2023[23] - Net income for Q4 2024 fell to $209.9 million, a 50.8% decrease from $427.0 million in Q4 2023[23] - Basic earnings per share for Q4 2024 decreased to $1.36, a 48.3% decline from $2.63 in Q4 2023[23] - Consolidated Net Sales for 2024 were $17,540,390, down from $18,795,316 in 2023[29] - Adjusted EBITDA for 2024 was $2,493,758, a decrease from $3,662,975 in 2023[29] Steel Operations - Annual 2024 steel shipments reached 12.7 million tons, with steel operations achieving operating income of $1.6 billion and steel fabrication operations achieving operating income of $667 million[5] - Q4 2024 steel operations operating income was $165 million, a 46% sequential decline due to lower shipments and metal spread compression, with an unplanned outage reducing volume by 50,000 tons[6] - External Net Sales for Steel in Q4 2024 were $2,645,994, a decrease from $2,915,325 in Q4 2023[29] - Operating Income for Steel in Q4 2024 was $164,989, compared to $364,829 in Q4 2023[29] - Average external sales price for Steel in Q4 2024 was $1,011 per ton, down from $1,090 in Q4 2023[29] - Flat Roll shipments in 2024 totaled 7,702,731 tons, up from 7,459,023 tons in 2023[29] - Total Shipments for 2024 were 12,660,487 tons, slightly down from 12,821,753 tons in 2023[29] - Ferrous shipments in 2024 were 5,850,544 gross tons, up from 5,792,484 gross tons in 2023[29] Metals Recycling Operations - Q4 2024 metals recycling operations operating income was $23 million, a $13 million increase from Q3 2024, driven by metal spread improvement and cost efficiencies[8] - Nonferrous shipments in 2024 were 965,491 thousand pounds, compared to 970,445 thousand pounds in 2023[29] Steel Fabrication Operations - Q4 2024 steel fabrication operations operating income was $142 million, with a strong order backlog extending into H1 2025 at attractive pricing levels[9] - Steel Fabrication shipments in 2024 were 607,407 tons, down from 662,539 tons in 2023[29] Cash Flow and Investments - Annual 2024 cash flow from operations was $1.8 billion, with $1.9 billion invested in organic growth, $283 million in dividends, and $1.2 billion in share repurchases, representing 6% of outstanding shares[12] - Cash and equivalents decreased to $589.5 million at the end of 2024, down 57.9% from $1.40 billion at the end of 2023[25] - Net cash provided by operating activities for Q4 2024 was $346.9 million, a 59.9% decrease from $864.6 million in Q4 2023[27] - Purchases of property, plant and equipment totaled $1.87 billion for the full year 2024, a 12.7% increase from $1.66 billion in 2023[27] - Dividends declared per share increased to $0.46 in Q4 2024, up 8.2% from $0.425 in Q4 2023[23] Future Outlook and Strategic Initiatives - The company expects increased demand in 2025 due to stabilized steel pricing, lower-carbon emission steel demand, and reduced unfairly traded steel imports, particularly for coated flat rolled steel[13] - Four new flat rolled steel coating lines began operations in H1 2024, with full run-rate earnings potential expected in 2025, contributing to over 65% of steel revenues from higher-margin products[14] - The aluminum team successfully cast the first industrial and beverage can ingots on January 12, 2025, with commercial production expected by mid-2025, targeting the sustainable beverage can and packaging industry[15] Balance Sheet and Liabilities - Total assets remained stable at $14.94 billion at the end of 2024, compared to $14.91 billion at the end of 2023[25] - Total current liabilities decreased to $2.15 billion at the end of 2024, down 7.8% from $2.33 billion at the end of 2023[25]
Steel Dynamics(STLD) - 2024 Q3 - Quarterly Report
2024-11-08 19:00
Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended September 30, 2024 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from _______ to _______ Commission File Number 0-21719 Steel Dynamics, Inc. (Exact name of registrant as specified in its charter) 35-1929476 (I.R.S. Em ...
Steel Dynamics(STLD) - 2024 Q3 - Earnings Call Presentation
2024-10-17 18:45
2022 17 October 2024 Investor Investor Call Presentation Third Quarter 2024 Presentation Health and Safety Health and Safety Entrepreneurial Culture Entrepreneurial Culture Customer Commitment Customer Commitment Financial Strength z z Strategic Growth Strategic Sustainable Growth Innovation Innovation Financial Strength Forward-looking statements and Non-GAAP financial measures Forward-Looking Statements This presentation contains some predictive statements about future events, including statements related ...
Steel Dynamics(STLD) - 2024 Q3 - Earnings Call Transcript
2024-10-17 18:43
Financial Data and Key Metrics Changes - The third quarter 2024 net income was $318 million, or $2.05 per diluted share, with adjusted EBITDA of $557 million [11] - Third quarter 2024 revenue was $4.3 billion, which was lower than the sequential second quarter results due to lower realized flat-rolled steel pricing [11][12] - Operating income for the third quarter was $395 million, a 29% decrease from the sequential second quarter results [11] Business Line Data and Key Metrics Changes - Steel operations generated operating income of $305 million in the third quarter, lower than sequential results due to a decline in average realized pricing [12] - Metals recycling operating income was $12 million, lower than the previous quarter due to lower realized pricing and volume, along with a noncash copper hedging loss of $10 million [13] - Steel fabrication achieved strong operating income of $166 million, although it was lower than the second quarter results due to a 5% decrease in realized pricing [14] Market Data and Key Metrics Changes - The domestic steel industry operated at an estimated production utilization rate of 78%, while the company's steel mills operated at a rate of 86% [23] - The average flat-rolled steel price declined due to contract lags, but prices stabilized and improved during the quarter [24] - Underlying steel demand remains steady, but a surge in steel imports has put pressure on supply dynamics in certain product areas [26] Company Strategy and Development Direction - The company is focused on high-return strategic growth and maintaining a positive dividend profile while preserving investment-grade credit [17] - The construction of aluminum facilities is expected to be EBITDA positive in the second half of 2025, with plans to operate the rolling mill at approximately 75% capacity in 2026 [15][36] - The company is committed to sustainability and has set greenhouse gas emissions intensity targets aligned with the Paris Agreement [19] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding steel demand and pricing dynamics as they approach 2025, driven by moderating interest rates and increased fixed asset investment [27][41] - The company anticipates that the aluminum growth strategy will leverage core competencies and address the significant deficit in aluminum in North America [30][32] - Management highlighted the importance of a performance-driven culture and diversified business model in driving superior financial metrics [28] Other Important Information - The company generated cash from operations of $760 million in the third quarter and ended the quarter with strong liquidity of $3.1 billion [16] - Capital investments for the fourth quarter of 2024 are expected to be in the range of $500 million to $550 million, with preliminary estimates for 2025 capital investments between $700 million to $800 million [17] - The company has repurchased $970 million of its common stock year-to-date 2024, representing 4.5% of outstanding shares [17] Q&A Session Summary Question: Are there any key personnel additions needed for the aluminum project? - Management stated that the team is well built out with a solid blend of seasoned aluminum professionals and SDI leaders, making talent acquisition easier compared to previous challenges [45][46] Question: Are there any pricing strengths in steel fabrication? - Management indicated that while normal seasonality is expected in the fourth quarter, they foresee opportunities for price appreciation in 2025 due to increased demand from public funding [48] Question: Will the percentage of contractual business change with further ramp-up? - Management expects the contractual relationships to remain in the 70% to 80% range as they grow their new lines [50][51] Question: What is the path to optimal utilization at Sinton? - Management highlighted the importance of reducing unplanned downtime and improving equipment reliability to achieve higher utilization rates [72][74] Question: Will Sinton be EBITDA positive in the fourth quarter? - Management confirmed that Sinton was not EBITDA positive in the third quarter but expects it to be in the fourth quarter and next year [86]
Steel Dynamics(STLD) - 2024 Q3 - Quarterly Results
2024-10-17 14:07
Exhibit 99.1 Press Release October 16, 2024 7575 W. Jefferson Blvd. Fort Wayne, IN 46804 Steel Dynamics Reports Third Quarter 2024 Results FORT WAYNE, INDIANA, October 16, 2024 / PRNewswire / Third Quarter 2024 Performance Highlights: § Steel shipments of 3.2 million tons § Net sales of $4.3 billion, operating income of $395 million, net income of $318 million, and adjusted EBITDA of $557 million § Cash flow from operations of $760 million § Strong liquidity of $3.1 billion, as of September 30, 2024 § Share ...
Steel Dynamics(STLD) - 2024 Q2 - Quarterly Report
2024-08-08 17:22
Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended June 30, 2024 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from _______ to _______ Commission File Number 0-21719 Steel Dynamics, Inc. (Exact name of registrant as specified in its charter) | Indiana | 35-1929476 | | ...
Steel Dynamics(STLD) - 2024 Q2 - Earnings Call Transcript
2024-07-18 18:03
Financial Data and Key Metrics Changes - In Q2 2024, the company reported net income of $428 million or $2.72 per diluted share, with adjusted EBITDA of $686 million and revenues of $4.6 billion, slightly below the previous quarter due to lower realized steel pricing [10][18] - Operating income decreased by 26% sequentially to $559 million, primarily due to steel metal spread contraction as pricing declined more than scrap raw material costs [10][11] - Cash flow from operations was strong at $383 million, with liquidity ending at $2.7 billion, including $1.5 billion in cash and short-term investments [17][19] Business Line Data and Key Metrics Changes - Steel operations generated operating income of $442 million, a 34% decrease sequentially, attributed to a decline in average realized pricing [11] - The steel fabrication team achieved operating income of $181 million, slightly higher than the first quarter, supported by an 11% increase in shipments [12] - Operating income from metals recycling operations was $32 million, significantly higher than the previous quarter, driven by increased volumes and operational efficiencies [12][22] Market Data and Key Metrics Changes - The domestic steel industry operated at an estimated production utilization rate of 78%, while the company's steel mills operated at 81% [24] - Realized steel pricing declined across product portfolios, but value-added flat rolled steel pricing spreads remained resilient [25] - North American automotive production estimates for 2024 were revised to a strong 16 million units, with continued growth expected in 2025 and 2026 [27] Company Strategy and Development Direction - The company is focused on expanding its aluminum growth strategy, with a $2.7 billion investment in aluminum flat rolled facilities expected to be EBITDA positive in the second half of 2025 [14][34] - The construction of new value-added flat rolled steel coating lines is expected to increase volume and profitability [29] - Sustainability is a key part of the long-term value creation strategy, with initiatives aimed at reducing greenhouse gas emissions [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding steel demand and pricing dynamics for 2024, citing onshoring and infrastructure spending as supportive factors [28][39] - The company anticipates a significant step-up in profitability from the Sinton facility in the second half of the year [55] - Management highlighted the importance of maintaining a strong balance sheet while pursuing growth opportunities [66] Other Important Information - The company repurchased $607 million of its common stock in 2024, representing 3% of outstanding shares, and increased its quarterly cash dividend by 8% [18][19] - The total project costs for aluminum investments are reaffirmed at $2.7 billion, with $1.5 billion already invested through June 2024 [16][34] Q&A Session Summary Question: What is the expected recycled content in the aluminum project? - The target for UBC is around 90% to 95%, while for can sheet it is aimed at 90% to 95% [43] Question: Can you provide an update on processing capacity for low copper shredded scrap? - The company is expanding processing capabilities at shredding operations and is confident in creating a volume that matches productivity at sheet mills [46][49] Question: Why is Sinton still guided at 75% utilization for the second half? - The company is confident in the market's ability to absorb higher volumes from Sinton, particularly due to demand in Mexico [60][59] Question: What is the margin difference between industrial products and can sheet? - Thinner margins tend to be in can sheet, while industrial products, especially those processed through paint lines, are more valuable [62] Question: What is the direction of the balance sheet moving forward? - The balance sheet has extra capacity for leverage, and the company plans to maintain strong shareholder distributions while exploring growth opportunities [66]
Steel Dynamics(STLD) - 2024 Q2 - Quarterly Results
2024-07-18 13:22
Steel Dynamics Reports Second Quarter 2024 Results FORT WAYNE, INDIANA, July 17, 2024 / PRNewswire / Press Release July 17, 2024 Exhibit 99.1 7575 W. Jefferson Blvd. Fort Wayne, IN 46804 Second Quarter 2024 Performance Highlights: Steel Dynamics, Inc. (NASDAQ/GS: STLD) today announced second quarter 2024 financial results. The company reported second quarter 2024 net sales of $4.6 billion and net income of $428 million, or $2.72 per diluted share. Comparatively, the company's sequential first quarter 2024 n ...