U.S. Steel Enjoys Profitable Quarter
By Metal Center News Staff
on Dec 4, 2018
United States Steel Corp., Pittsburgh, reported net earnings of $291 million in the third quarter, nearly doubling the figure from the same quarter last year.
For the year to date, U.S. Steel’s net earnings totaled $523 million, an increase of 129.3 percent from third-quarter 2017.
Net sales in the quarter reached $3.7 billion, an increase of 14.8 percent from the same quarter last year. Year-to-date sales of $10.5 billion were up 15 percent from the first nine months of 2017.
"Our third quarter results were in line with our expectations, with a significant improvement in earnings from our Flat-rolled segment and a return to profitability for our Tubular segment," said President and CEO David B. Burritt.
The company benefited from increased shipments and higher prices during the quarter. The average realized price for U.S. flat-rolled products was $859 per ton, up from $728 in the same quarter last year, while tubular product prices increased from $1,433 to $1,602 per ton. Flat-rolled shipments increased 4.5 percent to 2.7 million tons.
"Market conditions remain solid, with stable end-user steel consumption. We experienced lower customer order rates for an extended period, driven by falling spot and index prices. However, we expect continued strength in steel demand will support favorable market conditions as we enter 2019,” said Burritt.