Nucor 2Q net income falls 24 pct on lower prices

Nucor 2nd-qtr net income drops 24 pct hurt by lower steel prices

Associated Press

CHARLOTTE, N.C. (AP) -- Steel company Nucor Corp. said Thursday that its second-quarter net income tumbled 24 percent, hurt by lower steel prices.

The Charlotte, N.C.-based company earned $85.1 million, or 27 cents per share, down from $112.3 million, or 35 cents per share, in the same quarter of 2012.

Revenue fell 9 percent to $4.67 billion from $5.1 billion.

The profit fell short of Wall Street expectations, while the revenue exceeded them. Analysts, on average, expected a profit of 30 cents per share on $4.59 billion in revenue, according to FactSet.

The company said its average sale price per ton fell 7 percent from a year ago, while tons shipped to outside customers edged down 1 percent to 5.8 million. Total steel mill shipments decreased 3 percent.

Nucor's average scrap and scrap substitute cost fell 12 percent to $377 per ton.

The company said it expects a "modest improvement" in earnings for the third quarter, with sheet steel prices continuing to increase.

Nucor shares rose 36 cents to $45.65 in morning trading.

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