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Steel Dynamics, Inc. STLD logged first-quarter 2025 earnings of $1.44 per share, down from $3.67 in the year-ago quarter. However, the bottom line topped the Zacks Consensus Estimate of $1.40.
Net sales in the first quarter were down around 6.9% year over year to $4,369.2 million. It beat the Zacks Consensus Estimate of $4,146.2 million.
The steel demand strengthened in the first quarter, with customer orders rebounding and backlogs growing steadily across the company’s steel and steel fabrication operations.
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Steel Dynamics, Inc. Price, Consensus and EPS Surprise
Steel Dynamics, Inc. price-consensus-eps-surprise-chart | Steel Dynamics, Inc. Quote
STLD’S Segment Highlights
Net sales for steel operations were $3,067 million in the reported quarter, down around 8.9% year over year. STLD registered steel shipments of roughly 3.5 million tons in the quarter. This compares to our estimate of 3.45 million tons.
STLD's steel operations reported an average external product selling price of $998 per ton, down from $1,201 per ton in the year-ago quarter and $1,011 per ton in the previous quarter. It missed our estimate of $1,019 per ton.
Net sales of Metal’s recycling operations were $534.9 million in the quarter under review, up around 5.4% from the year-ago quarter. STLD registered ferrous shipments of around 1.45 million gross tons in the quarter, stable year over year. The figure lagged our estimate of 1.49 million gross tons.
The company's steel fabrication operations raked in sales of around $352.3 million, down roughly 21.2% year over year. Steel Dynamics recorded steel fabrication shipments of 135,581 tons in the quarter, down around 5.7% year over year. The figure topped our estimate of 126,841 tons.
STLD’S Financial Position
Steel Dynamics ended the quarter with cash and cash equivalents of $1,186.9 million, up around 14.1% year over year. Long-term debt was $3,777.1 million, up roughly 44.6% from the year-ago quarter.
The company generated cash flow from operations of $152.6 million in the reported quarter, down around 57% year over year.
STLD’S Outlook
The company issued a positive outlook on domestic steel demand, expecting it to remain strong through 2025 and beyond. It reported improved order activity across its businesses and noted that steel prices strengthened in early 2025. However, some customer hesitation has emerged due to recent trade measures.
Overall, the company believes that strong demand for U.S.-produced, lower-carbon steel products —along with reduced import levels—will continue to support both pricing and demand. It also sees the ongoing trend of onshoring of manufacturing and anticipated investments in fixed assets, backed by both public and private funding, as key factors enhancing the competitiveness of the domestic steel industry.
Additionally, the company expects that recent preliminary determinations by the International Trade Commission on coated flat-rolled steel will help curb unfair imports of these products into the United States, which would be particularly beneficial given its position as the largest non-automotive flat-rolled steel coater in the country. It believes these broader industry trends will have a positive impact across all its business platforms.