Industrial metals solutions company Steel Dynamics, Inc. (STLD) late Wednesday said it expects significantly higher profit in its second quarter amid strong demand, despite an asset write-down.
In the steel fabrication operations, the company expects further volume improvement throughout the year and into 2027, supported by investment in domestic manufacturing and U.S. infrastructure, other stimulus programs, and ongoing onshoring activity.
In the overnight trading, the shares were losing around 2.7% to $262.75, extending the loss of 1.5% on Wednesday's regular trading close.
For the quarter, the company projects earnings in the range of $3.51 to $3.55 per share, compared to $2.01 per share last year, and $2.78 per share in the sequential first quarter.
The firm noted that estimated second-quarter earnings have been reduced by $16 million, due to asset write-downs as its planned second satellite aluminum recycled slab center is being relocated from Arizona to Columbus, Mississippi. The decision follows differences with Arizona state officials that risked the construction and operations of the facility.
Profitability from the company's steel operations is expected to be meaningfully higher than first-quarter results, while earnings from metals recycling operations will be flat sequentially.
Steel Dynamics' steel fabrication operations' earnings would decline sequentially.
The steel fabrication order backlog is now nearly 40% higher than a year ago and extends through the end of the year and into 2027. Current demand is being supported by commercial construction, data center and warehouse buildouts, manufacturing, and healthcare end markets, the firm noted.
Further, earnings from the company's aluminum operations are expected to improve significantly compared to sequential results, based on increased shipments and higher realized pricing.
The company currently plans to release its second quarter 2026 earnings after the market closes on July 20.
For comments and feedback contact: editorial@rttnews.com
Business News
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.