CHARLOTTE, N.C., Oct. 23, 2014 /PRNewswire/ -- Nucor Corporation (NYSE: NUE) announced today consolidated net earnings of $245.4 million, or $0.76 per diluted share, for the third quarter of 2014. By comparison, Nucor reported net earnings of $147.0 million, or $0.46 per diluted share, in the second quarter of 2014 and net earnings of $147.6 million, or $0.46 per diluted share, in the third quarter of 2013. Third quarter of 2014 diluted net earnings per share of $0.76 was above our guidance range of $0.70 to $0.75 per diluted share due to better than forecasted performance in the steel mills segment partially offset by a larger than expected loss in the raw materials segment.

In the first nine months of 2014, Nucor reported consolidated net earnings of $503.5 million, or $1.57 per diluted share, compared with consolidated net earnings of $317.5 million, or $0.99 per diluted share, in the first nine months of last year.

Nucor's results include a credit of $14.5 million ($0.03 per diluted share) to value inventories using the last-in, first-out (LIFO) method of accounting in the third quarter of 2014, compared with no charge recorded in the second quarter of 2014 and a credit of $18.0 million ($0.03 per diluted share) recorded in the third quarter of 2013. As a result, the LIFO charges and credits netted to zero in the first nine months of 2014 and the first nine months of 2013. Included in the third quarter results is a $12.5 million charge ($0.03 per diluted share) related to the partial write down of assets within the steel mills segment. Earnings in the third quarter of 2013 included a net $14.0 million ($0.03 per diluted share) partial write down of inventory and fixed asset balances associated with the collapse of a storage dome at Nucor Steel Louisiana.

Nucor's consolidated net sales increased 8% to $5.70 billion in the third quarter of 2014 compared with $5.29 billion in the second quarter of 2014 and increased 15% compared with $4.94 billion in the third quarter of 2013. Average sales price per ton increased 1% over the second quarter of 2014 and increased 5% over the third quarter of 2013. Total tons shipped to outside customers were 6,784,000 tons in the third quarter of 2014, a 6% increase over the second quarter of 2014 and an increase of 10% over the third quarter of 2013. Total third quarter steel mill shipments increased 5% over the second quarter of 2014 and 7% over the third quarter of 2013. Third quarter downstream steel products shipments to outside customers increased 9% over the second quarter of 2014 and increased 18% over the third quarter of 2013.

In the first nine months of 2014, Nucor's consolidated net sales increased 14% to $16.10 billion, compared with $14.16 billion in last year's first nine months. Total tons shipped to outside customers increased 9% from the first nine months of 2013, while average sales price per ton increased 4%.

The average scrap and scrap substitute cost per ton used in the third quarter of 2014 was $379, a 1% decrease from $384 in the second quarter of 2014 and an increase of 2% over $372 in the third quarter of 2013. The average scrap and scrap substitute cost per ton used in the first nine months of 2014 was $387, an increase of 3% over $376 in the first nine months of 2013.

Overall operating rates at our steel mills increased to 81% in the third quarter of 2014 as compared with 79% in the second quarter of 2014 and 78% in the third quarter of 2013. Steel mill utilization increased to 78% in the first nine months of 2014 from 74% in the first nine months of 2013.

Total steel mill energy costs in the third quarter of 2014 increased approximately $1 per ton compared with the second quarter of 2014 and the third quarter of 2013. Energy costs for the first nine months of 2014 increased approximately $2 per ton over the first nine months of 2013 due to increased natural gas and electricity unit costs.

Cash and cash equivalents and short-term investments totaled $1.40 billion as of the end of the third quarter of 2014. After the quarter ended, Nucor closed on its purchase of all the equity of Gallatin Steel Company for approximately $770 million, which was paid for in cash. Subsequent to the end of the third quarter, Nucor issued approximately $300 million of commercial paper to help fund the Gallatin transaction. Nucor's liquidity position remains strong after the acquisition, and our undrawn $1.5 billion revolving credit facility does not expire until August 2018.

In September, Nucor's board of directors declared a cash dividend of $0.37 per share payable on November 10, 2014 to stockholders of record on September 30, 2014. This dividend is Nucor's 166(th) consecutive quarterly cash dividend, a record we expect to continue.

Overall operating performance at our steel mills segment for the third quarter was much improved compared to the second quarter of 2014 due to increased profitability in sheet, structural, bar and plate steel. Structural steel had no major outages in the third quarter, as compared to the planned three week outage at Nucor-Yamato Steel in the second quarter associated with our $115 million sheet piling capital project. The strongest markets for the steel mills continue to be manufactured goods, including energy and automotive. Though third quarter results are much improved from the second quarter, imports remain at high levels, applying downward pressure on pricing.

Our fabricated construction products businesses (rebar fabrication, joist and decking and pre-engineered metal buildings) also generated much stronger profits compared to the second quarter of 2014. This performance reflects improving conditions in the nonresidential construction markets, although nonresidential construction markets remain at historically low levels.

The performance of our raw materials segment during the third quarter of 2014 includes an operating loss of more than $45 million (approximately $0.09 per diluted share) at our new direct reduced iron (DRI) plant in St. James Parish, Louisiana. The Louisiana DRI facility has continued to achieve excellent quality and volume levels. Production outages in June, July and September were necessary to implement changes intended to improve consistency in the production process and material yield performance. An additional factor affecting the performance of Nucor Steel Louisiana is the impact of consuming higher cost iron ore purchased early in the year under a quarterly lag pricing mechanism. As a result of the process improvements and lower iron ore costs, combined with a steady run-rate, we expect significant improvement in the performance of the Louisiana DRI facility in the fourth quarter and profitable results during the first quarter of 2015.

We currently expect to see a moderate decrease in earnings for the fourth quarter of 2014. The profitability of the steel mills and downstream products segments is expected to be impacted by end of year seasonality that is typical in the fourth quarter.

Nucor and affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; steel grating and expanded metal; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.

Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties. The words "believe," "expect," "project," "will," "should," "could" and similar expressions are intended to identify those forward-looking statements. Factors that might cause the Company's actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) the sensitivity of the results of our operations to prevailing steel prices and the changes in the supply and cost of raw materials, including scrap steel; (2) market demand for steel products; (3) energy costs and availability; and (4) competitive pressure on sales and pricing, including competition from imports and substitute materials. These and other factors are discussed in Nucor's regulatory filings with the Securities and Exchange Commission, including those in Nucor's December 31, 2013 Annual Report on Form 10-K, Item 1A. Risk Factors. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not assume any obligation to update them.

You are invited to listen to the live broadcast of Nucor's conference call in which management will discuss Nucor's third quarter results on October 23, 2014 at 2:00 p.m. eastern time. The conference call will be available over the Internet at www.nucor.com, under Investor Relations.



                                                                                       TONNAGE DATA
                                                                                       ------------

                                                                                      (in thousands)


                                                                          Three Months (13 Weeks) Ended                               Nine Months (39 Weeks) Ended
                                                                         -----------------------------                               ----------------------------

                                                         October 4, 2014             Sept. 28, 2013              Percentage Change       October 4, 2014                     Sept. 28, 2013          Percentage Change
                                                         ---------------             --------------              -----------------       ---------------                     --------------          -----------------

    Steel mills production                                                5,412                         5,202                      4%                              15,930                   14,912                     7%

    Steel mills total shipments                                           5,741                         5,359                      7%                              16,650                   15,459                     8%


    Sales tons to outside customers:

                                     Steel mills                             4,851                         4,640                      5%                              14,097                   13,248                     6%

                                     Joist                                     128                            86                     49%                                 317                      248                    28%

                                     Deck                                      113                            90                     26%                                 301                      242                    24%

                                     Cold finished                             129                           113                     14%                                 400                      359                    11%

                                     Fabricated concrete

                                     reinforcing steel                         342                           305                     12%                                 902                      813                    11%

                                     Other                                   1,221                           932                     31%                               3,326                    2,801                    19%

                                                                           6,784                         6,166                     10%                              19,343                   17,711                     9%
                                                                           =====                         =====                                                      ======                   ======

                                                                                 CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited)
                                                                                 --------------------------------------------------------

                                                                                           (In thousands, except per share data)


                                                    Three Months (13 Weeks) Ended                         Nine Months (39 Weeks) Ended
                                                   -----------------------------                          ----------------------------


                                                           Oct. 4, 2014                                          Sept. 28, 2013             Oct. 4, 2014             Sept. 28, 2013
                                                           ------------                                          --------------             ------------             --------------


    Net sales                                                                 $5,701,869                                         $4,940,936              $16,101,388                $14,157,296
                                                                              ----------                                         ----------              -----------                -----------


    Costs, expenses and other:

      Cost of products sold                                                    5,102,283                                          4,532,393               14,708,733                 13,132,412

      Marketing, administrative and other expenses                               152,604                                            125,126                  418,851                    364,501

      Equity in earnings of

    unconsolidated affiliates                                                    (2,352)                                           (2,252)                (10,028)                   (2,665)

      Interest expense, net                                                       45,349                                             37,467                  130,481                    109,186
                                                                                  ------                                             ------                  -------                    -------

                                                                               5,297,884                                          4,692,734               15,248,037                 13,603,434
                                                                               ---------                                          ---------               ----------                 ----------

    Earnings before income taxes and

    noncontrolling interests                                                     403,985                                            248,202                  853,351                    553,862

    Provision for income taxes                                                   129,784                                             70,087                  282,519                    158,749
                                                                                 -------                                             ------                  -------                    -------

    Net earnings                                                                 274,201                                            178,115                  570,832                    395,113

    Earnings attributable to

    noncontrolling interests                                                      28,754                                             30,518                   67,313                     77,582
                                                                                  ------                                             ------                   ------                     ------

    Net earnings attributable to

    Nucor stockholders                                                          $245,447                                           $147,597                 $503,519                   $317,531
                                                                                ========                                           ========                 ========                   ========


    Net earnings per share:

      Basic                                                                        $0.76                                              $0.46                    $1.57                      $0.99
                                                                                   =====                                              =====                    =====                      =====

      Diluted                                                                      $0.76                                              $0.46                    $1.57                      $0.99
                                                                                   =====                                              =====                    =====                      =====


    Average shares outstanding:

      Basic                                                                      320,023                                            319,341                  319,737                    318,979

      Diluted                                                                    320,337                                            319,526                  320,025                    319,132



                                             CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
                                              ------------------------------------------------

                                                               (In thousands)


                                                                                               October 4, 2014                    Dec. 31, 2013
                                                                                               ---------------                    -------------

     ASSETS

     Current assets:

                                            Cash and cash equivalents                                           $1,295,945                       $1,483,252

                                            Short-term investments                                                 100,000                           28,191

                                            Accounts receivable, net                                             2,243,908                        1,810,987

                                            Inventories, net                                                     2,683,235                        2,605,609

                                            Other current assets                                                   473,156                          482,007



                                            Total current assets                                                 6,796,244                        6,410,046


     Property, plant and equipment, net                                  4,884,010                                4,917,024


     Goodwill                                                            1,982,776                                1,973,608


     Other intangible assets, net                                          819,078                                  874,154


     Other assets                                                        1,011,486                                1,028,451
                                                                         ---------                                ---------


                                            Total assets                                                       $15,493,594                      $15,203,283
                                                                                                               ===========                      ===========


     LIABILITIES

     Current liabilities:

                                            Short-term debt                                                        $41,101                          $29,202

                                            Long-term debt due within one year                                      16,300                            3,300

                                            Accounts payable                                                     1,113,284                        1,117,078

                                            Federal income taxes payable                                            65,096                                -

                                            Salaries, wages and related accruals                                   341,875                          282,860

                                            Accrued expenses and other current
                                             liabilities                                                           578,840                          527,776



                                            Total current liabilities                                            2,156,496                        1,960,216


     Long-term debt due after one year                                   4,360,600                                4,376,900


     Deferred credits and other liabilities                                960,795                                  955,889
                                                                           -------                                  -------


                                            Total liabilities                                                    7,477,891                        7,293,005
                                                                                                                 ---------                        ---------


     EQUITY

     Nucor stockholders' equity:

                                            Common stock                                                           151,227                          151,010

                                            Additional paid-in capital                                           1,876,728                        1,843,353

                                            Retained earnings                                                    7,287,500                        7,140,440

                                            Accumulated other comprehensive (loss)
                                             income, net of income taxes

                                                                                     (85,341)                               9,080


                                            Treasury stock                                                     (1,494,832)                     (1,498,114)


                                            Total Nucor stockholders'
                                             equity                                                              7,735,282                        7,645,769


     Noncontrolling interests                                              280,421                                  264,509
                                                                           -------                                  -------


                                            Total equity                                                         8,015,703                        7,910,278
                                                                                                                 ---------                        ---------


                                            Total liabilities and equity                                       $15,493,594                      $15,203,283
                                                                                                               ===========                      ===========





                                                                  CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
                                                                  ----------------------------------------------------------

                                                                                        (In thousands)


                                                                                                              Nine Months (39 Weeks) Ended
                                                                                                              ----------------------------


                                                                                                                      Oct. 4, 2014                             Sept. 28, 2013
                                                                                                                      ------------                             --------------


    Operating activities:

                            Net earnings                                              $570,832                                                        $395,113

                            Adjustments:

                            Depreciation                                               486,684                                                         390,495

                            Amortization                                                54,127                                                          56,051

                             Stock-based
                             compensation                        40,325                  40,551

                             Deferred income
                             taxes                             (43,712)                 10,881

                             Distributions from
                             affiliates                          11,504                   7,708

                             Equity in earnings
                             of unconsolidated
                             affiliates                        (10,028)                (2,665)

                            Loss on assets                       21,546                  14,000

                             Changes in assets
                             and liabilities
                             (exclusive of

                                 acquisitions and
                                  dispositions):

                                                       Accounts
                                                       receivable                   (418,353)                                                      (204,540)

                                                      Inventories                    (80,975)                                                      (129,280)

                                                       Accounts
                                                       payable                        84,161                                                         122,520

                                                       Federal
                                                       income taxes                   94,999                                                          70,210

                                                       Salaries,
                                                       wages and
                                                       related
                                                       accruals                       65,027                                                          12,796

                                                       Other
                                                       operating
                                                       activities                     49,426                                                          99,800
                                                                                      ------                                                          ------


    Cash provided by operating activities                                                                                                 925,563                            883,640
                                                                                                                                          -------                            -------


    Investing activities:

                            Capital expenditures              (557,249)              (887,929)

                             Investment in and
                             advances to affiliates            (94,128)               (64,762)

                             Repayment of advances to
                             affiliates                          26,500                  42,000

                             Disposition of plant and
                             equipment                           18,748                  29,328

                             Acquisitions (net of
                             cash acquired)                    (38,466)                      -

                            Purchases of investments          (100,000)               (19,349)

                             Proceeds from the sale
                             of investments                      27,529                  73,428

                             Proceeds from the sale
                             of restricted
                             investments                                                 -                                                        148,725

                             Changes in restricted
                             cash                                                        -                                                        126,045

                             Other investing
                             activities                                                  -                                                          4,862
                            ----------------


    Cash used in investing activities                                                                                                   (717,066)                         (547,652)
                                                                                                                                         --------                           --------


    Financing activities:

                             Net change in short-
                             term debt                                                11,900                                                           8,331

                             Proceeds from long-term
                             debt, net of discount                                       -                                                        999,100

                             Repayment of long-
                             term debt                                                (3,300)                                                      (250,000)

                            Bond issuance costs                                            -                                                        (7,625)

                             Issuance of common
                             stock                                                     4,465                                                               -

                             Excess tax benefits from
                             stock-based
                             compensation                         3,200                   2,100

                             Distributions to
                             noncontrolling
                             interests                         (51,401)               (63,318)

                            Cash dividends                                           (356,230)                                                       (353,155)

                             Other financing
                             activities                                               (1,651)                                                            110



    Cash (used in) provided by financing activities                                                                                     (393,017)                           335,543
                                                                                                                                         --------                            -------


    Effect of exchange rate changes on cash                                                                                               (2,787)                           (1,484)
                                                                                                                                           ------                             ------


    Increase in cash and cash equivalents                                                                                               (187,307)                           670,047


    Cash and cash equivalents - beginning of year                                                                                       1,483,252                          1,052,862
                                                                                                                                        ---------                          ---------


    Cash and cash equivalents - end of nine months                                                                                     $1,295,945                         $1,722,909
                                                                                                                                       ==========                         ==========


    Non-cash investing activity:

                             Change in accrued plant
                             and equipment purchases                               $(98,050)                                                      $(30,416)
                            ========================

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SOURCE Nucor Corporation