Nucor’s Third-Quarter Earnings Plummet Due to Impairment Charges

Nucor, a major steel producer, experienced a sharp decline in its third-quarter profits, with a 78% decrease primarily due to $123 million in impairment charges affecting its steel products and raw materials sectors. This news led to a 3% drop in the company’s stock price during after-hours trading.

The company reported a quarterly profit of $250 million, equivalent to $1.05 per share. Adjusting for special items, earnings reached $1.49 per share, slightly exceeding the $1.47 projected by analysts according to LSEG data. Revenue fell by 15% to $7.44 billion, reflecting weaker pricing and reduced demand, though still surpassing the anticipated $7.28 billion.

Looking ahead, Nucor cautioned investors about a potential further decrease in net earnings for the fourth quarter, citing ongoing challenges in its steel mills and products divisions.