US Steel (X-US), a major steel producer, announced the third quarter financial report for the 2021 fiscal year after the market on Thursday (28th). Benefited from the economic restart and rising steel prices, revenue increased by 150% and announced that it would implement 3 The repurchase of billion-dollar treasury stocks stimulated the stock price to soar by nearly 8% after the market.
David B. Burritt, Chief Executive Officer of U.S. Steel, said: “U.S. Steel’s balance sheet has been successfully transformed, and the cash flow of the business gives us confidence that we can invest in potential organic growth, which will expand our existing competitive advantage.”
In addition to the silver bullet for investment opportunities, U.S. Steel will also issue a cash dividend of US$0.05 and execute a share repurchase of US$300 million.
However, the recent rise in steel prices in the United States has slowed down, and the steel industry is experiencing noise in the outlook. NUE-US, the largest steel company in the United States, recently stated that supply chain bottlenecks are causing shipments to be blocked. Cleveland-Cliffs (CLF-US), the second largest steel company, said that signing long-term contracts with customers can get higher steel. Price to avoid the impact of steel prices falling to affect performance.
U.S. Steel’s closing stock price rose 0.26% to US$23.38 per share on Thursday. After the news of large-scale stock repurchase after the market came out, the stock price surged 7.83% to US$25.21 per share.
Q3 (As of 9/30) Key Financial Report Data:
- Net sales: US$5.964 billion vs. US$5.8 billion (FactSet survey analyst expectations)
- Adjusted net profit: US$1.543 billion
- Adjusted EBITDA: US$2.027 billion
- Adjusted EPS (non-GAAP): 5.36 vs 4.81 USD (FactSet survey analysts expect)
Benefited from the economic restart and the surge in U.S. steel prices, U.S. Steel’s third-quarter revenue was reported at 5.964 billion U.S. dollars, an annual increase of 154%. Net profit even reversed last year’s decline and turned from loss to profit. Current assets reached 4.503 billion U.S. dollars and cash accounted for 2.044 billion U.S. dollars. Dollar.
U.S. Steel’s Q3 total steel shipments reached 4.12 million tons, of which Flat-Rolled accounted for 2.328 million tons, U.S. Steel Europe accounted for 1.064 million tons, Mini Mill accounted for 608,000 tons, and the rest was produced by Tubular.
In terms of capacity utilization, Flat-Rolled is 61%, U.S. Steel Europe is 101%, Mini Mill is 90%, and Tubular is 52%.