Steel Dynamics has announced the Q2 2020 earnings guidance in the range of $0.29 – $0.33 per diluted share. The additional financing costs of the company were $25 million. The start-up costs of the company’s Sinton Texas Flat Roll Steel Mill reach approximately to $10 million.
The company’s sequential Q1 2020 earnings were $0.88 per diluted share as compared to the previous quarter earnings of $0.87 per diluted share.
The company has further said that it is expected that the overall earnings from the company’s steel operations would be lower in the Q1 2020 financial results, due to the Covid-19 pandemic. The company has further added that the domestic supply line chain, which disrupted in March due to Covid-19 pandemic, is expected to grow in the coming months.
Chief Executive Officer and President of Steel Dynamics, Mark Millett said, “I could not be prouder of the Steel Dynamics team. The operating, commercial, and financial teams have come together to deliver strong results within the current unprecedented health and economic environment. We are operating safely, providing ongoing customer support, and taking advantage of long-term financing opportunities.”
“Even though our second quarter 2020 earnings are expected to be significantly lower than our robust sequential first quarter, the results are tremendous given the circumstances. Our commercial teams and downstream manufacturing businesses are helping us maintain higher steel production utilization rates, and our metals recycling platform is ensuring our steel mills are receiving the required raw materials,” Mark Millett further added.
“Our commitment is to the safety of our teams, families, communities and to meet the needs of our customers. Our culture and our business model continue to differentiate our performance from the rest of the industry,” Chief Executive Officer and President of Steel Dynamics Mark Millet concluded.