Steel Dynamics Inc has provided fourth quarter earnings guidance in the range of USD 0.18 to USD 0.22 per diluted share, which includes an expected favorable tax adjustment of approximately USD 0.06 per diluted share.
Excluding the tax adjustment, fourth quarter 2012 estimated results would have been in the range of USD 0.12 to USD 0.16 per diluted share, comparable to the company's third quarter adjusted 2012 earnings of USD 0.15 per diluted share, before charges of USD 0.09 per diluted share related to refinancing and asset impairment charges. The company reported earnings of USD 0.14 per diluted share in the fourth quarter of 2011.
Fourth quarter overall steel shipments are expected to be fairly flat in comparison to the third quarter, as increases in sheet volume are expected to be somewhat offset by decreased shipments at the Roanoke Bar and Engineered Bar divisions, with customers continuing to maintain tight control over inventory. The combination of global economic and political uncertainty continues to impact customer confidence and buying patterns.
Metals recycling financial results are expected to show some improvement for the fourth quarter 2012, compared to the sequential quarter, as an anticipated decrease in ferrous shipments is expected to be more than offset by improved ferrous metal margins. Although at slightly lower levels, the company's fabrication operations are still expected to remain profitable for the quarter.
The company's board of directors has declared a quarterly cash dividend of USD 0.10 per common share. The dividend is payable to shareholders of record at the close of business on December 31, 2012, and is payable on or about January 11, 2013.
