Corporation (USS) is reporting net earnings in the third quarter of 2018 of
$291 million or $1.62 per diluted share, compared to $214 million or $1.20
in the second quarter and $147 million or 83 cents in the year-ago period.
results were in line with our expectations, with a significant improvement
in earnings from our flat-rolled segment and a return to profitability for
our tubular segment,” USS President and CEO David Burritt said in a
statement released today.
remain solid, with stable end-user steel consumption,” Burritt said. “We
experienced lower customer order rates for an extended period, driven by
falling spot and index prices. However, we expect continued strength in
steel demand will support favorable market conditions as we enter 2019.”
specifically expects flat-rolled “to continue to improve primarily due to
increased shipments and lower maintenance and outage costs, partially offset
by lower average realized prices.” USS also expects tubular to continue to
improve--“despite a softening in the energy tubulars market”--due “to
increased shipments, partially offset by lower average realized prices.”
segment earnings: $305 million (2Q $224 million, year-ago $161 million).
* U.S. Steel Europe
earnings (USSE): $72 million (2Q $115 million, year-ago $73 million).
* Tubular earnings:
$7 million (2Q loss of $35 million, year-ago loss of $7 million).
* Other business
earnings: $16 million (2Q $17 million, year-ago $12 million).
* Average realize
price net ton of flat-rolled: $859 (2Q $819, year-ago $728)
* Total USS and
USSE shipments: 3.94 million net tons (2Q 3.94 million, year-ago 3.79
capability at U.S. facilities: 68 percent (2Q 67 percent, year-ago 66
* Raw flat-rolled
steel production at U.S. facilities: 2.93 million net tons (2Q 2.84 million,
year-ago 2.82 million).
capital expenditures: $213 million (2Q $142 million, year-ago $134).
shipments of flat-rolled to tubular: 26,000 net tons (2Q 65,000, year-ago
* Net sales: $3.72
billion (2Q $3.6 billion, year-ago $3.24 billion).