First, congrats on your first delivery to GM. And so Chad why don't you add some commentary behind some of that backlogs. This investment, which is expected to close shortly, expands our geographic reach in the sheet market, grows our portfolio of value-added sheet products, and enables us to supply Nucor's downstream businesses in the region, including Verco and the recently acquired Hannibal Industries. Now, Jim will provide more details about our fourth quarter and full year performance. Today that's over a 110. And so we would expect that we need to keep investing and returning capital to investors both and we have the capacity to both as we go forward. But end market demand remains strong. I think at a large company like apple or Microsoft the And so what I would tell you in a year that was way off because of the chip shortages in 2021 somewhere in that 12.5 million, 13 million units Nucor share in automotive grew and that is going to continue to grow. On July 23, Nucor announced a profit of $109 million, or 36 cents per share, for its second quarter ending July 4, according to a company statement. 92% Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. Identify stocks that meet your criteria using seven unique stock screeners. By executing operationally across our business lines and in parallel, investing in Nucor's future, we are generating attractive returns for our shareholders and positively impacting our local communities. And at the end of the day, supply and demand will always be the drivers to how we price our products. Export data to Excel for your own analysis. Finally, I would also like to mention a new project in our bar mill group. So what I would tell you is, there is value there today. In December, we announced our plan to build a new rebar micro mill with annual capacity of 430,000 tons in the South Atlantic region. Yes, thank you, Leon. It's going to have a capacity over the year to give us an incremental 800,000 to 900,000 tons. Western countries are now scrambling for stable, renewable energy. Jim anything you would add? Nucor annual/quarterly net income history and growth rate from 2010 to 2022. And maybe at the end I will make some comments about the year that are more global about what we are thinking about regarding the economic impacts of Nucor. We look forward to introducing our new capabilities to strategic customers as the year progresses and we are excited about the returns expected to be generated for our shareholders as these projects ramp-up. Yeah. And speaking of those, as we move into 2022, we are not letting up when it comes to executing our strategy to grow our value-added product portfolio and expand into new product markets and geographic regions. And if you think about Nucor's 55% return on equity, a large piece of that was attributable because of the sheet group. WebProfit Sharing Retirement Savings Medical Tuition Scholarships Growth Potential Balance Paid Parental Leave EMPLOYER RECOGNITION 1915 Rexford Road Charlotte, North Yeah. Earlier this month, we shipped our very first coil of Econiq to General Motors after having just launched this new line of steels this past October. Yeah, Emily. By creating a free account, you agree to our, Home Depot Stock Earnings Slide, Long Term Value Still There, AbbVie Stock Still a Solid Buy Despite Challenges, 7 Cash Rich Stocks That Offer Safety in Any Market, The Best Strategy For Your Small Trading Account, 7 Battery Stocks That Will Make You a Millionaire by 2030. by Jimmy Mengel. We look forward to continuing to offer Econiq to more customers, and of course, lower greenhouse gas emission steel across our product portfolio. A1 drilling and taking 2020 21 22 23 Fried didnt respond to a re- lar fraud that was among the some pressure off A new indictment unsealed quest to comment. My first question is just around the capital allocation and I think last year churn that you have been able to execute both growth and a significant amount of capital returns. But the thing we keep hearing right now is this is a short-term temporal correction in the underlying demand, much like Al mentioned in those sectors. As of 12/31/18, this particular employee is 40% vested, and therefore, entitled to $400 of the $1,000 balance. At the same time, our goals are not to get overly weighted. Adding this amount The green economy is being built on steel and the steel is built on matters. 65 Day Avg Vol 1,846,352. We are seeing many of our construction, many of our OEM partners outside of automotive that are beginning to ask for this. So we expect to keep doing things to try and deal with that. It's going to be a pretty strong earnings number and we go to free cash flow. WebNucor offers their employees a Profit Sharing Plan. So you mentioned that you expect margin expansion in the first quarter, but can you talk about the size the duration of your backlogs currently and provide a bit more color on how you see the margin profile through the remainder of the year. For all of 2021, Nucor reported net earnings of $6.83 billion, or $23.16 per diluted share, on $25.5 billion in sales. On the contract side, we are -- contract season I would say it was what we expected. Capital returns have averaged 58% of net income over the five-year period ending in 2021 and they were 55% of Nucor's net income for the year up 2021. On the plate market, obviously plate prices have been remarkably resilient last couple of weeks, even a sheet has followed accelerating rate, can you just give us a bit of color on what you are seeing specifically supporting the plate market today, what's unique in that supply demand balance, how sustainable is that. And so what we would be looking for, we are going to look at for that demand. The only thing Leon that regarding growth is we are likely to have another nice next weekend on a growth initiative that's in the pipeline that's again to add capabilities around our product mix. Press Tab to Move to Skip to Content Link Yeah. Yes, Satish. Mike, I would tell you, I think the overall trend is you are going to see that gap shrink. Please check your download folder. The Is the 49% Dividend Yield for ZIM Integrated Shipping For Real? This could be another year of strong free cash flow where we return to a sizable amount of cash to our investors. 06/15/1995. Turning to our fourth quarter results. Those were key sectors. Our visibility into that market is extremely good and the demand picture is very strong. Very, very good color. Our next question comes from Emily Chieng with Goldman Sachs. Nucor gross profit for the twelve months ending December 31, 2022 was Earnings per share were $7.97, exceeding our guidance range of $7.65 to $7.75. And with the correction that we are seeing right now on the sheet side with with what you have seen in some of the pricing what led up to that is we entered 2020 with COVID and things started to contract and shut down and 2021 was the recovery so to speak from that standpoint. Get daily stock ideas from top-performing Wall Street analysts. Steel mills segment earnings are expected to decline in the first quarter of 2022 due to decreased profitability of our sheet mills offsetting increased profitability at our long products mills. Yeah, maybe I will start and Rex maybe if you want to add some color. The pricing for our product is always driven by demand and what we see in the plate market, I would highlight three key markets for us. Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: Good day, everyone, and welcome to the Nucor Corporation Fourth Quarter of 2021 Earnings Call. Hey, great. WebNucor Corp. NUE (U.S.: NYSE) View All companies. Like Nucor Retirement Savings Plan Invest today for what you plan to accomplish tomorrow, with matching contributions and Our crystal ball gets pretty fuzzy when we look out very much past the next month or so. So integration to us, we look at that leadership and entered an existing company and we evaluate that fit as well. It also produces direct reduced iron ('DRI') that is used in its steel mills. At this time, I will turn the conference back to Mr. Leon Topalian for any additional or closing remarks. A1 drilling and taking 2020 21 22 23 Fried didnt respond to a re- lar fraud that was among the some pressure off A new indictment unsealed quest to comment. The U.S. invoked the Defense Production Act to jumpstart domestic mining and production of critical minerals such as cobalt, lithium, and rare earths, which the U.S. desperately needs for its military and green tech. All rights reserved. And I just in close in saying, hey, we welcome the Hannibal team and Insulated Metal Panel team to the Nucor family and again excited about the opportunities of those businesses will bring in the years to come. We reduced our share count by more than 11% in 2021 even as we funded capital expenditures and acquisitions totaling approximately $3 billion to drive the next chapter of our growth story. Here's 3 Dividend Stocks That Pay Monthly, 3 Lithium Stocks Powering Up For Big 2023 Gains, 3 Large Caps With Good Upside AND Big Dividend Yields, Get 30 Days of MarketBeat All Access Free, Sign in to your free account to enjoy these benefits. The statutory federal tax rate for corporate profits is 21 percent. January 30, 2019. We don't know what the rest of the year will bring. I mean, we talk with our customers weekly. For 2022, we project capital spending of approximately $2.3 billion. Fourth quarter earnings also exceeded our guidance range of $7.65 to $7.75 per diluted share. So that's what we hear from our customers when we see this temporal correction. Back to NUE Overview. View Is the 49% Dividend Yield for ZIM Integrated Shipping For Real? Yeah. Thank you, Chad. Adding this amount to teammate profit sharing over the course of the last five decades Nucor's But when you think about the sheet market overall, our EBITDA for the year could approach the level we achieved last year, because our EBITDA ramped dramatically from the first quarter of last year to the end of last year. When we think about our free cash flow next year, we reduced our share count by 11% last year through significant capital or returns of capital to investors through share repurchases. And as far as the margins and our backlog, there are solid. So that's a step for sure into that and the new Midwest mill as Leon mentioned. Disciplined execution of our growth strategy over the years is a significant factor underlying our success. Form 4 or Form 5 obligations may continue. Reflecting this for 2021, our profit sharing totaled about $850 million. 326 E 8th St #105, Sioux Falls, SD 57103 Once operational our West Virginia mill will have some of the most advanced capabilities and one of the lowest carbon footprints of any sheet mill in the world. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. Yeah, thanks. Thanks Seth. To our customers, thank you for the trust and the partnership as we continue to build the capabilities required to differentiate Nucor as the supplier of choice. contact@marketbeat.com 06/30/1995. The Full -- there is additional work to be done, which is part of the plan. For opening remarks and introductions, I would like to turn the call over to Mr. Leon Topalian, President and Chief Executive Officer of Nucor Corporation. And before I turn the call over to Jim, I would like to congratulate the entire Nucor team on reaching new heights to achieve our safest and most profitable year in company's history. In 2005, the average Nucor employee earned $79,000, followed by a $2,000 bonus decided by the companys annual earnings and $18,000 in the form of profit sharing. For a long time, we have been in that 1.5 million, 1.6 million ton a year range in the automotive side. For the full year of 2021, they generated EBITDA totaling $674 million. This project gives Gallatin's new mill thicker slab casting and wider coil capabilities, expanding our product portfolio into markets currently served by higher cost competitors. There are still businesses that have more room to go in terms of expanding their margins and getting prices cut because of the size of what their backlogs are good. So our contract season for us, we finished very typical with what we target for contract CIS, both on the service center side as well as overall. WebCurrent and historical net profit margin for Nucor (NUE) from 2010 to 2022. Our talented, dedicated team members are Nucor's greatest value creators. [Operator Instructions]. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. 87% 57% Source: Great Place To Work 2021 Global Employee Engagement Study. Thank you. We will measure that ramp up here in the first quarter with what we see on demand. So the supply chain got full very quickly and maybe some even some over buying. Our analysis suggests that Nucor shares are significantly undervalued relative to our risk profile, earnings and cash flow generation capacity. And in the past you've helped us understand Nucor's breakdown of contract business and how to think about it. We have got one in Mexico now that's consuming substrate, part of the subsidy comes out of our Berkeley mill and we are getting ready announced another galv line soon. Thank you for your interest in Nucor. For the full year 2021, Nucor reported consolidated net earnings of $6.83 billion, or $23.16 per diluted share, compared with consolidated net earnings of $721.5 Before we go to Q&A, I would like to just take a moment to highlight our Board's action to increased Nucor's base dividend for the 49th consecutive year, effective with the February 11th payment. We will take our next question from Seth Rosenfeld with BNP Paribas Exane. The Nucor stock prediction results are shown below and presented as a graph, table and text information. Established in 1985, the plan covers all the employees of Nucor, a US steel producer. Which Dollar Store, If Any, is Worth Your Investment Dollars? Look, I can only speak to Nucor and I would just tell you Nucor has had a long history of what five and a half decades worth of reinvesting back into our mills. Got it. So sheet could still average at or above what they did last year based on what we are seeing today. As we mentioned and have talked previously, our mission is very simple. Our team has great determination to continue our record of delivering increased long-term value for our shareholders. So you will see that growth occurring. In terms of the overall, where that ends up, I am not going to speculate, I would tell you that with a healthy functioning market, it's going to find its equilibrium. For discussion purposes, let us assume that A has received $1,000 in employer profit sharing contributions. Do you want to talk about that at all? In fact, our estimated growth for full year 2022 is about 6% in terms of overall shipment increase. So we want to make sure that equipment is ready and available as we progressed out. Second question, if I may, is you -- given the $5.5 billion in capex over the next three years, I mean, some of that already is ongoing with projects that you are executing, but how do you see the returns on these investments, any sense of the incremental EBITDA that you could generate from these projects that would be great. Yeah, thanks, Emily. The location along the Ohio River provides Nucor with important transportation and logistics advantages in serving the country's two largest sheet steel consuming regions in, the Midwest and Northeast, two areas where Nucor is currently under-represented. WebDistributions. We have much to look forward to as we progressed throughout this new year. Put the employee bonus plan in writing. Base the bonus on results that are measurable or quantifiable. Give incentives to employees to meet goals. Be clear on the WHAT, the WHY, and the HOW. Make sure everybody gets something. Make the financial reward a strong enough incentive. 2023 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. These projects represent an aggregate capital investment of just over $1 billion. The steel product segment is expected to achieve further margin expansion and profitability in the first quarter of 2022 as backlog pricing continues to improve. So as those mill to generate the returns and the EBITDA and the margins, we make sure we reinvest for the long term and all of those assets. Switching to the plate market, our Brandenburg, Kentucky greenfield mill is on track to begin rolling its first steel plate product in the fourth quarter of this year with a capability to manufacture nearly all the different types of plate products consumed in the United States, Brandenburg will position Nucor as the supplier of choice in the domestic plate market, which includes applications in offshore wind, heavy equipment, construction and military. The limit on employee elective deferrals (for traditional and safe harbor plans) is: $22,500 in 2023 ($20,500 in 2022, $19,500 in 2021 and 2020; and $19,000 in 2019), subject to cost-of-living adjustments. Most profit sharing payments are contributed directly to teammates' retirement savings accounts, and as a result, we believe that Nucor teammates are far more prepared for retirement than the average American. STOCK TRANSFERS, DIVIDEND DISBURSING & DIVIDEND REINVESTMENT. The Nucor team is focused on maximizing our profitability and continuing to be great stewards of the valuable shareholder capital you entrust us with. As we have mentioned throughout the call, we used to track and ensure, I think, the numbers of end markets and we track virtually every end market that you can imagine, of all of the end markets we look at virtually every one of them is projected to grow. And we are excited about Econiq. We think about what's happening, and warehousing, data storage cold storage. That's 18% to 22%. Reflecting this for 2021, our profit sharing total about $850 million. Separate question please on Econiq for the green steel brand. It's just a very solid demand picture. So, it enables Nucor to offer what we did to General Motors a few weeks ago in the first coil of net zero steel to their to their factory. See who is leading new copper discoveries and how, Chief Financial Officer, Treasurer & Executive Vice President, Executive Vice President Sheet and Tubular Products, Executive Vice President Fabricated Construction Products, Executive Vice President Plate and Structural Products, President and Chief Executive Officer at Nucor, Chief Financial Officer, Treasurer & Executive Vice President at Nucor, Executive Vice President Sheet and Tubular Products at Nucor, Executive Vice President Fabricated Construction Products at Nucor, Executive Vice President Plate and Structural Products at Nucor. 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