off-the-wire

Steelmaker Nucor delivers profit beat, strong outlook on construction boost

Kitco Media
By Reuters
Published:
Updated:
Reuters
April 20 (Reuters) - Steelmaker Nucor Corp forecast a sequential increase in current-quarter earnings after higher infrastructure spending and a recovery in manufacturing activity from pandemic lows helped it beat estimates for first-quarter profit.


Recent U.S. legislation under the Biden administration has incentivized the manufacturing of electric vehicles, semiconductors and batteries, boosting demand for steel and steel products.


"Demand from non-residential construction, our largest end market, continues to be robust driven by strength in infrastructure and manufacturing investment," said CEO Leon Topalian.


Shares of Nucor rose 1.62% to $150 in premarket trading.


On an adjusted basis, the Charlotte, North Carolina-based company reported earnings per share of $4.45 for the first quarter ended April 1, beating expectations of $3.81, according to Refinitiv.


The steel producer, which uses scrap steel as the primary raw material in producing steel and steel products, said revenue fell nearly 17% to $8.71 billion, missing estimates of $8.99 billion. Net earnings attributable to Nucor stockholders fell 45.7% to $1.14 billion.


(Reporting by Amna Karimi and Aishwarya Nair in Bengaluru; Editing by Devika Syamnath)

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