Steel Dynamics, Inc. has provided its second quarter 2025 earnings guidance, expecting to earn between $2.00 and $2.04 per diluted share. This is a significant increase compared to the sequential first quarter 2025 earnings of $1.44 per diluted share but a decrease from the prior year second quarter earnings of $2.72 per diluted share.
In the steel operations segment, the company anticipates a substantial improvement in profitability compared to the sequential first quarter results. This is attributed to expanded metal spreads and an increase in average realized steel pricing, which has outpaced scrap raw material costs. Although flat rolled volumes contracted modestly due to inventory overhang from coated flat rolled steel imports, long product steel shipments improved sequentially, with demand from the energy, non-residential construction, automotive, and industrial sectors leading the way.
However, the steel segment pretax earnings for the second quarter of 2025 were impacted by approximately $32 million due to a noncash write-off of consumable assets.
In the metals recycling operations, earnings are expected to remain steady sequentially, driven by stronger shipments offsetting lower realized pricing.
On the other hand, in the steel fabrication operations, earnings for the second quarter of 2025 are projected to be lower than the sequential first quarter results. This is attributed to steady shipments combined with metal spread compression due to increased steel raw material costs and a modest decline in average realized sales price.
The company also provided an update on its aluminum operations, reporting successful commissioning of the Columbus, Mississippi aluminum flat rolled products mill and San Luis Potosi satellite recycled slab center. The first aluminum ingots were successfully cast at the Mississippi operations in January and at the Mexico location in March of the same year. The company expects to begin shipping material from these operations in mid-2025.
Additionally, the company had repurchased $179 million, or one percent, of its common stock during the second quarter of 2025.
Steel Dynamics, Inc. plans to release its second quarter 2025 earnings after the markets close on Monday, July 21, 2025, and will hold a conference call the following day at 11:00 a.m. Eastern Daylight Time to review the company's results. Following these announcements, the company's shares moved -2.29%, and are now trading at a price of $130.11. For the full picture, make sure to review STEEL DYNAMICS INC's 8-K report.
