Core Insights - Steel Dynamics reported Q4 2024 earnings of $1.36 per share, a decrease from $2.61 in the same quarter last year, but exceeded the Zacks Consensus Estimate of $1.29 [2] - Net sales for Q4 2024 were approximately $3.87 billion, down 8.5% year over year, and missed the Zacks Consensus Estimate of $3.96 billion [2] - For FY24, net sales totaled $17.5 billion, a decline from $18.8 billion in FY23, with earnings per share dropping to $9.84 from $14.64 [6] Segment Performance - Steel operations generated net sales of about $2.65 billion, down 9.2% year over year, with total steel shipments of approximately 3.02 million tons, slightly below the estimate of 3.1 million tons [3] - Metal recycling operations saw net sales of $482 million, reflecting a 9.7% increase from the previous year, although ferrous shipments of 1.42 million gross tons fell short of the estimate [4] - Steel fabrication operations reported sales of around $396.2 million, down 23.8% year over year, with shipments of 145,901 tons, also below estimates [5] Financial Position - In 2024, Steel Dynamics generated cash flow from operations of $1.8 billion, invested $1.9 billion in organic growth projects, paid $283 million in dividends, and repurchased $1.2 billion of common stock, representing 6% of total outstanding shares [7] - The company maintained strong liquidity of $2.2 billion as of December 31, 2024 [7] Market Outlook - Steel Dynamics anticipates favorable market conditions for rising demand in 2025, with stabilized steel pricing and strong customer optimism [8] - The company expects that demand for domestically manufactured steel products with reduced carbon emissions will support future domestic steel prices [8] - The ongoing onshoring of manufacturing and expected public funding for infrastructure projects are expected to bolster the domestic steel industry [8] Estimate Trends - Estimates for Steel Dynamics have trended downward recently, with a consensus estimate shift of -6.25% [10] - The stock currently holds a Zacks Rank 3 (Hold), indicating an expectation of in-line returns in the coming months [12]

This account is managed by Noah's Arc Capital Management. Our goal is provide Wall Street level insights to main street investors. Our research focus is mainly on 20th century stocks (old economy) undergoing a 21st century transformation, but occasionally we'll write on companies that help transform 20th century firms as well. We look for innovations in a business model that will cause a stock to change dramatically. Associated with SA contributors Thomas Potter and Elijah Buell.Analyst’s Disclosure: I/we h ...

Core Insights - Steel Dynamics, Inc. has been recognized as one of the World's Most Admired Companies for 2025 by Fortune, marking the eighth consecutive year of this recognition [1][2] Company Overview - Steel Dynamics is one of the largest domestic steel producers and metals recyclers in North America, with facilities across the United States and Mexico [3] - The company produces a variety of steel products, including hot roll, cold roll, coated sheet steel, structural steel beams, rail, and specialty steel sections, as well as liquid pig iron and scrap processing [3] Recognition Details - The recognition is based on a survey evaluating corporate reputation across nine key attributes, including innovation, people management, and financial soundness [2] - The ranking reflects the strong reputation of Steel Dynamics within the metals industry, highlighting its operational and financial performance [1][2]

Core Insights - Steel Dynamics, Inc. has been recognized as one of the 2025 Global 100 Most Sustainable Corporations, ranking 29th overall and leading the steelmaking industry globally [1][2]. Group 1: Recognition and Methodology - The recognition by Corporate Knights is attributed to the dedication and excellence of the company's teams in safety, innovation, and sustainability [2]. - The Global 100 methodology involved a rigorous assessment of over 8,300 publicly-traded companies with revenues exceeding $1 billion, evaluated across 25 key performance indicators [2]. Group 2: Company Overview - Steel Dynamics is one of the largest domestic steel producers and metals recyclers in North America, with facilities across the United States and Mexico [3]. - The company produces a variety of steel products, including hot roll, cold roll, coated sheet steel, structural steel beams, rail, and specialty steel sections, as well as liquid pig iron and scrap processing [3].

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

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 ...

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]

Earnings Performance - Steel Dynamics reported Q4 2024 earnings of $1.36 per share, down from $2.61 in the year-ago quarter but beating the Zacks Consensus Estimate of $1.29 [1] - Full-year 2024 earnings were $9.84 per share, declining from $14.64 per share in 2023 [6] Revenue Performance - Q4 2024 net sales decreased 8.5% YoY to $3,872.1 million, missing the Zacks Consensus Estimate of $3,956.4 million [2] - Full-year 2024 net sales were $17.5 billion, down from $18.8 billion in 2023 [6] Segment Performance - Steel operations net sales declined 9.2% YoY to $2,645.9 million, with shipments down to 3.02 million tons from 3.06 million tons [3] - Metals recycling operations net sales increased 9.7% YoY to $482 million, with ferrous shipments up to 1.42 million gross tons from 1.36 million tons [4] - Steel fabrication operations net sales decreased 23.8% YoY to $396.2 million, with shipments down to 145,901 tons from 150,002 tons [5] Financial Position - The company generated $1.8 billion in cash flow from operations in 2024 [7] - STLD spent $1.9 billion on organic growth projects, paid $283 million in cash dividends, and repurchased $1.2 billion of its common stock, representing 6% of total outstanding shares [7] - The company maintained excellent liquidity of $2.2 billion as of Dec 31, 2024 [7] Market Outlook - Steel Dynamics expects rising demand across its operational platforms in 2025, supported by stabilized steel pricing and strong customer optimism [8] - The company anticipates increased demand for US-manufactured steel products with reduced carbon emissions, driven by onshoring of manufacturing businesses and public funding from US infrastructure and energy programs [8] Stock Performance - Steel Dynamics shares gained 5.5% over the past year, outperforming its industry's 23% decline [9] Industry Comparison - Carpenter Technology Corporation (CRS) is expected to report Q2 earnings of $1.58, with a Zacks Rank 2 (Buy) [11] - Hecla Mining Company (HL) is expected to report Q4 earnings of 4 cents, with a Zacks Rank 1 [12] - Ingevity Corporation (NGVT) is expected to report Q4 earnings of 12 cents, with a Zacks Rank 1 [13]

Core Insights - Steel Dynamics reported revenue of $3.87 billion for Q4 2024, an 8.5% decline year-over-year, with EPS of $1.36 compared to $2.61 a year ago, missing the Zacks Consensus Estimate of $3.96 billion by 2.13% [1] - The company delivered an EPS surprise of +5.43%, exceeding the consensus EPS estimate of $1.29 [1] Financial Performance Metrics - Average external sales price for steel was $1,011 per ton, surpassing the four-analyst average estimate of $981.38 per ton [4] - Average sales price for steel fabrication was $2,718 per ton, slightly below the four-analyst average estimate of $2,727.95 per ton [4] - External net sales for steel were reported at $2.65 billion, matching the average estimate but reflecting a year-over-year decline of 9.2% [4] - External net sales for steel fabrication were $396.23 million, below the average estimate of $407.75 million, with a year-over-year decline of 23.9% [4] - External net sales for metals recycling were $482.08 million, compared to the average estimate of $546.89 million, showing a year-over-year change of -1.2% [4] - External net sales for other segments were $287.74 million, below the average estimate of $353.72 million, representing a year-over-year decline of 7% [4] Stock Performance - Steel Dynamics shares returned +6.5% over the past month, outperforming the Zacks S&P 500 composite's +2.1% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Group 1: Earnings Performance - Steel Dynamics reported quarterly earnings of $1.36 per share, exceeding the Zacks Consensus Estimate of $1.29 per share, but down from $2.61 per share a year ago, representing an earnings surprise of 5.43% [1] - The company posted revenues of $3.87 billion for the quarter ended December 2024, missing the Zacks Consensus Estimate by 2.13% and down from $4.23 billion year-over-year [2] Group 2: Stock Performance and Outlook - Steel Dynamics shares have increased approximately 9.3% since the beginning of the year, outperforming the S&P 500's gain of 2.9% [3] - The current consensus EPS estimate for the upcoming quarter is $1.92 on revenues of $4.22 billion, and for the current fiscal year, it is $9.18 on revenues of $17.71 billion [7] Group 3: Industry Context - The Zacks Industry Rank indicates that the Steel - Producers industry is currently in the bottom 17% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Another company in the same industry, Nucor, is expected to report a significant decline in earnings, with a projected EPS of $0.67, reflecting a year-over-year change of -78.8% [9]