Nucor shares fall as revenue misses expectations despite earnings beat

Published 28/07/2025, 21:56
 Nucor shares fall as revenue misses expectations despite earnings beat

CHARLOTTE - Nucor Corporation (NYSE:NUE) reported second-quarter earnings that exceeded analyst expectations, but shares fell 3.8% after the steel producer’s revenue fell short of forecasts and the company warned of lower earnings ahead.

The steel manufacturer posted adjusted earnings of $2.60 per share for the second quarter, beating analyst estimates of $2.52. However, revenue came in at $8.46 billion, missing the consensus forecast of $8.54 billion despite increasing 5% YoY from $8.08 billion. The company’s stock declined following the mixed results and cautious outlook.

"Our team delivered a solid second quarter, with sequential earnings growth from all three of Nucor’s reporting segments, and did so while setting another safety record in the first half of 2025," said Leon Topalian, Nucor’s Chair, President and Chief Executive Officer.

The company’s consolidated net sales increased 8% from the first quarter of 2025, while total steel mill shipments in the second quarter increased 10% compared to the same period last year. Operating rates at the company’s steel mills improved to 85% in the second quarter, up from 80% in the first quarter and 75% in the second quarter of 2024.

Looking ahead, Nucor expects earnings in the third quarter to be "nominally lower" than the second quarter, primarily due to decreased earnings in the steel mills segment despite resilient backlogs and stable demand. The company specifically cited expected margin compression in the steel mills segment.

During the quarter, Nucor repurchased approximately 1.8 million shares of its common stock at an average price of $111.89 per share. The company also declared a quarterly cash dividend of $0.55 per share, marking its 209th consecutive quarterly dividend.

At the end of the second quarter, Nucor reported $2.48 billion in cash and cash equivalents and short-term investments, maintaining what it describes as "the strongest credit ratings in the North American steel sector."

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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