Posted on 17 Jun 2022
Electric arc furnace (EAF) steelmaker Steel Dynamics (SDI) expects to post record earnings in the second quarter.
The company said it expects profits to grow by 11-12pc compared with the previous record set in the first quarter.
SDI's earnings could be up by between 90-92pc in the quarter compared with the profit made in the second quarter of 2021.
SDI expects lower profitability from its flat-rolled steel mills with lower prices offsetting increased volumes. The company expects record shipments for its engineered bar products, Roanoke bar, and structural and rail steel divisions.
The steelmaker has seen steady steel demand across the automotive, construction, and industrial sectors.
Metals recycling profits are expected to be significantly higher given higher pricing and increased shipments.
In steel fabrication, profits are expected to increase driven by record shipments and higher prices, which will offset higher steel input costs. The nonresidential construction sector remains strong with robust order activity and a historically strong order backlog, SDI said. Momentum in the business is expected to continue into 2023.
Source:Argus Media
