Nucor Earnings: Revenue Ticks Lower

S&P 500 (NYSE:SPY) component Nucor Corporation (NYSE:NUE) reported its results for the third quarter. Nucor and its affiliates manufacture steel and steel products for customers mainly located in North America.

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Nucor Corporation Earnings Cheat Sheet

Results: Net income for the steel-producers fell to $110.3 million (35 cents per share) vs. $181.5 million (57 cents per share) a year earlier. This is a decline of 39.2% from the year-earlier quarter.

Revenue: Fell 8.6% to $4.8 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Nucor Corporation fell short of the mean analyst estimate of 45 cents per share. It fell short of the average revenue estimate of $5.06 billion.

Key Stats:

The company has now fallen short of estimates in the last two quarters. In the second quarter, it missed expectations by 2 cents with net income of 45 cents versus a mean estimate of net income of 47 cents per share.

Over the last five quarters, revenue has increased 9.7% on average year-over-year. The biggest increase came in the third quarter of the last fiscal year, when revenue rose 26.9% from the year-earlier quarter.

Cost of sales dropped to $4.45 billion, down 6.8% from the year-earlier quarter. Last quarter, cost of sales was 92.7% of revenue versus 90.9% a year earlier.

Looking Forward: The outlook for the company’s results in the upcoming quarter is unfavorable. The average estimate for the fourth quarter is 50 cents per share, down from 66 cents ninety days ago. For the fiscal year, the average estimate has moved down from $2.38 a share to $1.90 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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