Fort Wayne Indiana headquartered Steel Dynamics has reported third quarter 2022 net sales of USD 5.7 billion and net income of USD 914 million. SDI Chairman, President & Chief Executive Officer Mr Mark D. Millett said “The team delivered a strong performance during the quarter. Our third quarter 2022 consolidated operating income was USD $1.2 billion, with adjusted EBITDA of USD 1.3 billion and record cash flow from operations of USD 1.5 billion. These results continue to display the power of our highly diversified, value-added, circular manufacturing model – as the strength in our steel fabrication operations meaningfully offset lower earnings in our flat rolled steel businesses, with realized flat rolled steel selling values declining almost 15% during the quarter. We achieved record quarterly steel shipments of 3.2 million tons, as a result of steady steel demand, led by the construction industry, and complemented by the automotive, industrial, and energy sectors.” For the nine months ended September 30, 2022, net income was USD 3.2 billion with net sales of USD 17.4 billion, as compared to net income of USD 2.1 billion with net sales of USD 13.1 billion for the same prior year period. Operations continue to ramp up at our Sinton Flat Roll Steel Division. The product surface quality is excellent, and grade development and dimensional tolerances have exceeded our expectations. The Sinton team has been running at a rate of 65 percent during October and achieving rates of over 80 percent for several single day periods, supporting our expectations to achieve a run rate of at least 80 percent for the full year 2023. In addition, our four additional value-added flat rolled steel coating lines comprised of two paint lines and two galvanizing lines with Galvalume® coating capability, are expected to begin operating in the second half of 2023. One set will be located onsite at Sinton, providing it with the same diversification and higher-margin product capabilities as our two existing flat rolled steel divisions. The other two lines will be placed at our Heartland Flat Roll Division to support growing coated flat rolled steel demand in the region and to further increase the diversification and cash generation capacity of our existing Midwest operations. Outlook “Despite weaker flat rolled steel pricing, our order activity and backlogs remain solid. We believe North American steel consumption will remain steady, and that demand for lower-carbon, US produced steel products coupled with lower imports will support steel pricing.”
Fort Wayne Indiana headquartered Steel Dynamics has reported third quarter 2022 net sales of USD 5.7 billion and net income of USD 914 million. SDI Chairman, President & Chief Executive Officer Mr Mark D. Millett said “The team delivered a strong performance during the quarter. Our third quarter 2022 consolidated operating income was USD $1.2 billion, with adjusted EBITDA of USD 1.3 billion and record cash flow from operations of USD 1.5 billion. These results continue to display the power of our highly diversified, value-added, circular manufacturing model – as the strength in our steel fabrication operations meaningfully offset lower earnings in our flat rolled steel businesses, with realized flat rolled steel selling values declining almost 15% during the quarter. We achieved record quarterly steel shipments of 3.2 million tons, as a result of steady steel demand, led by the construction industry, and complemented by the automotive, industrial, and energy sectors.” For the nine months ended September 30, 2022, net income was USD 3.2 billion with net sales of USD 17.4 billion, as compared to net income of USD 2.1 billion with net sales of USD 13.1 billion for the same prior year period. Operations continue to ramp up at our Sinton Flat Roll Steel Division. The product surface quality is excellent, and grade development and dimensional tolerances have exceeded our expectations. The Sinton team has been running at a rate of 65 percent during October and achieving rates of over 80 percent for several single day periods, supporting our expectations to achieve a run rate of at least 80 percent for the full year 2023. In addition, our four additional value-added flat rolled steel coating lines comprised of two paint lines and two galvanizing lines with Galvalume® coating capability, are expected to begin operating in the second half of 2023. One set will be located onsite at Sinton, providing it with the same diversification and higher-margin product capabilities as our two existing flat rolled steel divisions. The other two lines will be placed at our Heartland Flat Roll Division to support growing coated flat rolled steel demand in the region and to further increase the diversification and cash generation capacity of our existing Midwest operations. Outlook “Despite weaker flat rolled steel pricing, our order activity and backlogs remain solid. We believe North American steel consumption will remain steady, and that demand for lower-carbon, US produced steel products coupled with lower imports will support steel pricing.”
