Stock Report: NUCOR

May 22

00:00 2013

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FIN STOCK REPORT
Stock Report: NUCOR

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2014
Nucor Corp. reported Cold Finished Steel sales, including results from Nucor Fastener, declined 6% to 130,000 tons in the opening quarter of 2015.

Nucor’s consolidated net sales decreased 14% to $4.4 billion in Q1. Average sales price per ton fell 5%. Total tons shipped to outside customers declined 9% to 5.6 million tons. Total first quarter steel mill shipments decreased 10% from the first quarter of 2014 and dropped 8% from the fourth quarter of 2014.

First quarter downstream steel products shipments to outside customers increased 1% over the first quarter of 2014 and decreased 4% from the fourth quarter of 2014.

The average scrap and scrap substitute cost per ton slipped 19% to $324.

“We expect to further benefit from the large decrease in scrap prices that occurred in February during the second quarter of 2015, as we finish consuming scrap and pig iron purchased before the February price correction,” the company stated.

Nucor reported sales increased 11% to $21.1 billion in 2014. Average sales price per ton increased 3%. Total tons shipped to outside customers in 2014 were 25,413,000, an increase of 7% from the full year 2013.

Cold finished steel sales, including results from Nucor Fastener, grew 6% to 504,000 tons for the year.

Fourth quarter cold finished steel sales declined 10% to 104,000 tons.

Overall Q4 sales fell 12% to $5 billion. Average sales price per ton decreased 2% from the third quarter of 2014 and increased 1% from the fourth quarter of 2013. Total tons shipped to outside customers were 6,070,000 tons in the fourth quarter of 2014, an 11% decrease from the third quarter of 2014 and a 1% increase over the fourth quarter of 2013.

Q4 operating earnings increased 48% to $351.2 million, with net earnings up 28% to $245 million.

In April 2015, Nucor Fastener named Mike Veech as national sales manager.

Veech started his career with Nucor in 2014 as a district sales manager for the sheet mill group in the Midwest. Prior to Nucor, he worked at Gallatin Steel as a regional sales manager focused on the structural, mechanical and OCTG pipe and tube market.

In addition, he worked at ITW for 17 years in various sales and management roles, including serving as Engineered Fastening Systems Manager for ITW Paslode from 1997 to September 2013, according to his LinkedIn account.

Veech, who replaced Christopher Gasser, holds a B.S. degree in Business Administration from the University of Tennessee.

Nucor Corp. reported cold finished steel sales, including results from Nucor Fastener, rose 13% to 138,000 tons in the opening quarter of 2014.

Overall Nucor sales increased 12% to $5.11 billion, with net earnings grew 31% to $111 million compared to the first quarter of 2013 but declined 35% compared to $170.5 million in earnings reported in the fourth quarter of 2013.

“The largest factor contributing to this decrease was severe weather conditions, which disrupted customer demand, decreased the amount of railcar availability, contributed to increased energy costs at our steel mills and exacerbated conditions in the seasonally weaker perform-ance of our fabricated construction products businesses,” the company stated.

2013

For the full year 2013, Nucor’s consolidated net sales decreased 2% to $19.05 billion. Average sales price per ton decreased 5% from full year 2012. Total tons shipped to outside customers were 23,730,000 tons, an increase of 3% from 2012 levels.

Full-year net earnings slipped 3.3% to $488 million.

Nucor Corp. reported Cold Finished Steel sales, including results from Nucor Fastener, rose 11% to 115,000 tons in the final quarter of 2013.

However, the quarterly increase was not enough to keep overall segment sales from slipping 4% to 492,000 tons for the year.

Overall Q4 sales at Nucor rose 10% year-on-year to $4.89 billion – a decrease of 1% from the company’s third quarter revenue. Net earnings climbed 24% to $170.5 million.

Average sales price per ton increased 1% over the third quarter of 2013 and remained flat when compared with the fourth quarter of 2012.

Total tons shipped to outside customers were 6,019,000 tons in the fourth quarter of 2013, a 2% decrease from the third quarter of 2013 and a 10% increase over the fourth quarter of 2012.

Total fourth quarter steel mill shipments decreased 3% from the third quarter of 2013 and increased 9% over the fourth quarter of 2012. Fourth quarter downstream steel products shipments to outside customers decreased 6% from the third quarter of 2013 and increased 3% over the fourth quarter of 2012.

2012

Nucor Corporation reported sales in its cold finished steel segment, including Nucor Fastener, declined 8% to 104,000 tons in the final quarter of 2012. Full-year cold finished steel sales dipped slightly to 492,000 tons.

Overall Nucor sales declined 3% to $19.43 billion in 2012 despite a slight increase in total tons shipped to 23.1 million. Net earnings decreased 35% to $504.6 million. Average sales price per ton decreased 3%.

The average scrap and scrap substitute cost per ton used for the full year 2012 was $407, a decrease of 7% from $439 in 2011.

Full-year results were hurt by a fourth-quarter drop in overall sales, which decreased 7% to $4.45 billion. Q4 average sales price per ton slipped 2% from the third quarter of 2012 and decreased 4% from the fourth quarter of 2011. Total tons shipped to outside customers were 5,478,000 tons in the fourth quarter of 2012, a 5% decrease from the third quarter of 2012.

In April 2012 Nucor Fastener won approval from the DeKalk County Council for an $8.7 million tax phase-in for upgrades to create 20 new jobs at its St. Joe, IN, facility, which as capacity for more than 75,000 tons.

2011
In May 2012 Nucor Fastener unveiled a $23.2 million, four-year plan to expand its St. Joe, IN, plant, add new equipment and create as many as 30 jobs.
The company has begun adding 40,000 sq ft to its existing facility at a cost of $4 million. Nucor Fastener has also begun hiring electricians, machine operators and production associates.

“We’ve already started ramping up for this expansion,” Nucor Fastener controller J.J. McCoy told GlobalFastenerNews.com.

McCoy said the updated numbers reflect a bigger picture of the operation’s growth.

In April Nucor Fastener won approval from the DeKalk County Council for an $8.7 million tax phase-in for upgrades to create new jobs at its St. Joe facility. The new jobs would pay $32 per hour plus benefits.

The 10-year phase-in will reduce property taxes on $5.9 million in new machinery and $2.7 million in building upgrades.

Nucor’s automated fastener facility employs 250 and has capacity in excess of 75,000 tons.

Nucor Corp. reported Cold Finished Steel sales, including Nucor Fastener, rose 7% to 494,000 tons in 2011, which included a 2% sales gain to 113,000 during the fourth quarter.

Consolidated net sales increased 26% to $20.02 billion in 2011. Average sales price per ton increased 21%, while total tons shipped to outside customers were 23,044,000 tons, an increase of 5%.

The average scrap and scrap substitute cost per ton used for the full year 2011 was $439, an increase of 25% over $351 in 2010. The average scrap and scrap substitute cost per ton used in the fourth quarter of 2011 was $441, a decrease of 2% from $449 in the third quarter and an increase of 23% over $359 in the fourth quarter of 2010.

Nucor Fastener filed antidumping and countervailing petitions with the U.S. Commerce Department in September 2009. The petitions allege average dumping margins of 145% for Chinese imports, and 74% for imports from Taiwan.

Nucor Fastener appealed the International Trade Commission’s unanimous decision that the domestic fastener industry had not been injured by alleged dumping. That appeal is still pending.

Nucor Corp. reported cold finished steel sales, including revenue from Nucor Fastener, rose 10% to 129,000 tons in the second quarter of 2011.

First-half cold finished steel sales climbed 15% to 263,000 tons.

Consolidated net sales increased 22% to $5.11 billion in Q2, while average sales price per ton grew 21%. Total tons shipped to outside customers dropped 1% to 5,598,000 tons, and Q2 downstream steel products shipments to outside customers increased 3%. Net earnings soared 229% to $299.8 million.

“These increases in profits…were achieved despite the rebalancing by our customers of supply chain inventories, the impact on the manufacturing/auto sector of the devastating Japanese earthquake/tsunami and the lost sales, production and shipments from the weather-related power outages and historic river flooding in North America,” the company stated.

In the first half of 2011, Nucor’s consolidated net sales increased 27% to $9.94 billion, compared with $7.85 billion in last year’s first half. Average sales price per ton increased 21% while total tons shipped to outside customers increased 5%.

2010

Nucor reported cold finished steel sales, including results from Nucor Fastener, grew 21% to 134,000 tons in the first quarter of 2011.

In 2010 cold finished steel sales rose 40% to 462 ,000 tons. Fastener segment results during the fourth quarter included a 28% gain in sales to 111,000 tons.

2009
Nucor reported cold finished steel sales, including revenue from Nucor Fastener, jumped 39% to 111,000 tons during the opening quarter of 2010, up 27% over the previous quarter.

In 2009 cold finished steel sales declined 32% to 330,000 tons, while overall sales at Nucor dropped 53% to $11.19 billion.

Importers strongly criticized Nucor Fastener for seeking tariffs on low-carbon standard fasteners that haven’t been produced in the U.S. since the 1960s.

The U.S. International Trade Commission unanimously rejected Nucor Fastener’s petitions in November, terminating the preliminary investigation. Nucor Fastener has appealed that decision, claiming that U.S. production and capacity utilization decreased by 50% during a time when Chinese and Taiwanese imports grew to 56.8% of the market; and that the U.S. industry lost production jobs, along with declines in shipments, investment, R&D and profit while Chinese and Taiwanese producers “substantially increased capacity and inventories.”

The appeal is under review by the U.S. Court of International Trade.

From 2006 to 2008 imports of certain standard steel fasteners from China increased by 4.48% and were valued at an estimated $291 million in 2008, according to ITC figures. Imports from Taiwan over the same time period decreased by 19.09%.

2008
Nucor reported cold finish steel sales, including fasteners, dropping 28% to $91 million during the fourth quarter of 2008, hurt by the economic meltdown.

“Fourth quarter results were unfavorably impacted by the decrease in end-use demand for steel and the consumption of higher cost raw materials purchased earlier in the year,” the steelmaker stated.

For 2008, cold finish steel sales grew 8% to $485 million.

Consolidated sales in 2008 grew 43% to a record $23.66 billion, boosted by major acquisitions, while net earnings grew 24% to $1.83 billion. Average sales price per ton increased 30%, while total tons shipped to outside customers rose 10%. For the full year 2008, the average scrap and scrap substitute cost per ton used jumped 58% to $438.

HISTORY
Capacity at Nucor’s highly automated fastener facility is more than 75,000 tons. The facility produces hex-head cap screws, hex bolts, structural bolts and custom engineered fasteners.

Nucor fasteners are used in automotive, machine tool, farm implement, construction and military applications.

Nucor entered the fastener business in 1986 when it opened its $25 million plant in St. Joe, IN. Web: nucor-fastener.com

Corporate Office: 2100 Rexford Rd., Charlotte, NC 28211.
Tel: 704 366-7000 Fax 704 362-4208
Web: nucor.com
CEO: John Ferriola Key fastener executives: David Sumoski, executive vice president, bar products; Tomas Miller, general manager of fastener division; Mike Veech, national sales manager

Global Fastener News