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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC  20549

 

 

 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (date of earliest event reported) October 20, 2022 (October 19, 2022)

 

STEEL DYNAMICS, INC.

(Exact name of registrant as specified in its charter)

 

Indiana   0-21719   35-1929476
(State or other jurisdiction
of incorporation)
  (Commission File Number)   (IRS Employer
Identification No.)

 

7575 West Jefferson Blvd, Fort Wayne, Indiana 46804

(Address of principal executive offices) (Zip Code)

 

Registrant’s telephone number, including area code:  260-969-3500

 

Not Applicable

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class Trading Symbol Name of each exchange on which registered
Common Stock voting, $0.0025 par value STLD NASDAQ Global Select Market

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ¨

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

 

 

 


 

Item 2.02. Results of Operations and Financial Condition

 

On October 19, 2022, Steel Dynamics, Inc. issued a press release titled “Steel Dynamics Reports Third Quarter 2022 Results.”  A copy of that press release is attached hereto as Exhibit 99.1.

 

The information contained in Exhibit 99.1 is furnished under this Item 2.02 and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or incorporated by reference in any filing thereunder or under the Securities Act of 1933, as amended, except as may be expressly set forth by specific reference in any such filing.

 

Item 9.01. Financial Statements and Exhibits

 

(d )          Exhibits.

 

The following exhibit is furnished with this report:

 

  Exhibit Number Description
     
99.1 A press release dated October 19, 2022, titled “Steel Dynamics Reports Third Quarter 2022 Results.”
     
104 Cover Page Interactive Data File – the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned hereto duly authorized.

 

    STEEL DYNAMICS, INC.
   
    /s/ Theresa E. Wagler
   
Date: October 20, 2022 By: Theresa E. Wagler
  Title: Executive Vice President and Chief Financial Officer

 

 

 

EX-99.1 2 tm2228617d1_ex99-1.htm EXHIBIT 99.1

Exhibit 99.1

 

Press Release

October 19, 2022

 
  7575 W. Jefferson Blvd.
  Fort Wayne, IN 46804

 

Steel Dynamics Reports Third Quarter 2022 Results

 

FORT WAYNE, INDIANA, October 19, 2022 / PRNewswire /

 

Third Quarter 2022 Performance Highlights:

 

§ Record steel shipments of 3.2 million tons

§ Record steel fabrication operating income of $677 million and record shipments of 218,000 tons

§ Net sales of $5.7 billion, operating income of $1.2 billion, and Adjusted EBITDA of $1.3 billion

§ Record cash flow from operations of $1.5 billion

§ Share repurchases of $482 million of the company’s common stock, representing 3.3 percent of its outstanding shares

 

Steel Dynamics, Inc. (NASDAQ/GS: STLD) today announced third quarter 2022 financial results. The company reported third quarter 2022 net sales of $5.7 billion and net income of $914 million, or $5.03 per diluted share. Excluding the impact from the company’s newly started Sinton Texas Flat Roll Steel Mill of $111 million, or $0.43 per diluted share, the company’s third quarter 2022 adjusted net income was $992 million, or $5.46 per diluted share.

 

Comparatively, the company’s sequential second quarter 2022 earnings were $6.44 per diluted share, and adjusted earnings were $6.73 per diluted share, excluding costs of $0.29 per diluted share, associated with startup of the company's Texas Flat Roll Steel Mill. Prior year third quarter earnings were $4.85 per diluted share and adjusted earnings were $4.96 per diluted share, excluding costs of $0.11 per diluted share, associated with construction of the company's Texas Flat Roll Steel Mill.

 

“The team delivered a strong performance during the quarter,” said Mark D. Millett, Chairman, President, and Chief Executive Officer. “Our third quarter 2022 consolidated operating income was $1.2 billion, with adjusted EBITDA of $1.3 billion and record cash flow from operations of $1.5 billion. These results continue to display the power of our highly diversified, value-added, circular manufacturing model — as the strength in our steel fabrication operations meaningfully offset lower earnings in our flat rolled steel businesses, with realized flat rolled steel selling values declining almost 15 percent during the quarter. We achieved record quarterly steel shipments of 3.2 million tons, as a result of steady steel demand, led by the construction industry, and complemented by the automotive, industrial, and energy sectors.

 

“Third quarter operating income from our steel operations declined to $658 million despite record volume, due to significant metal spread compression within our flat rolled operations, while our long product metal spreads were steady to expanding,” continued Millett. “Ferrous scrap pricing indices have decreased each month beginning in May and continued through October 2022, resulting in significantly lower earnings from our metals recycling operations. In contrast, our steel fabrication business achieved another record quarter, with earnings of $677 million, based on higher realized selling values, declining steel input costs, and a continued steady construction demand environment. Steel joist and deck pricing and order entry continues to be steady, supporting a historically strong order backlog and forward pricing outlook.”

 

Third Quarter 2022 Comments

 

Third quarter 2022 operating income for the company’s steel operations was $658 million, or 41 percent lower than sequential second quarter results, due to metal spread compression within the company’s flat rolled steel operations, as lower average flat rolled steel pricing more than offset higher flat rolled steel shipments. Demand for the company’s long product steel continued to be strong, supporting steady to expanded metal margins. Third quarter 2022 average external product selling price for the company’s steel operations decreased $158 sequentially to $1,381 per ton. The average ferrous scrap cost per ton melted at the company’s steel mills decreased $66 sequentially to $472 per ton.

 

 


 

Third quarter 2022 operating income from the company’s metals recycling operations meaningfully declined sequentially to $10 million, as a result of lower sequential ferrous and non-ferrous scrap pricing and lower volume. The company’s realized average ferrous scrap pricing declined almost 30 percent during the third quarter. The company believes scrap prices have stabilized for the remainder of the year.

 

The company’s steel fabrication operations reported record operating income of $677 million in the third quarter 2022, 13% higher than second quarter results, due to higher selling values, lower steel input costs, and record shipments. The non-residential construction sector remains strong, as evidenced by realized product pricing and the company’s order backlog extending well into the first half of 2023.

 

Year-to-Date September 30, 2022 Comparison

 

For the nine months ended September 30, 2022, net income was $3.2 billion, or $17.21 per diluted share, with net sales of $17.4 billion, as compared to net income of $2.1 billion, or $10.15 per diluted share, with net sales of $13.1 billion for the same prior year period. Excluding the impact from the company’s newly started Sinton Texas Flat Roll Steel Mill of $271 million, or $1.01 per diluted share (net of capitalized interest), the company’s nine-months ended September 30, 2022, adjusted net income was $3.4 billion, or $18.22 per diluted share. Similarly, adjusting for the company’s Texas steel mill construction and startup costs for the same period in 2021, net income was $2.2 billion, or $10.40 per diluted share.

 

Net sales for the first nine months of 2022 increased 33 percent and operating income increased 51 percent to $4.3 billion, when compared to the same prior year period. Higher earnings were driven by metal spread expansion within the company’s steel fabrication business, as increased product pricing and record volume, more than offset increased raw materials costs, resulting in operating income of $1.7 billion for the first nine months of 2022. Operating income from the company’s steel operations for the same period was $2.9 billion. The average external selling price for the company’s steel operations increased $198 to $1,491 per ton compared to prior year’s same period, and the average ferrous scrap cost per ton melted at the company’s steel mills increased $62 to $495 per ton.

 

Based on the company’s differentiated business model and highly, variable cost structure, the company achieved cash flow from operations of $3.3 billion during the first nine months of 2022, representing a record performance. The company also invested $565 million in capital investments, paid cash dividends of $177 million, and repurchased $1.4 billion of its common stock representing 10 percent of its outstanding shares, while increasing liquidity to a record $3.2 billion.

 

Outlook

 

“Customer order entry activity continues to be healthy across our businesses, with expectations for seasonally moderated volume for our steel and metals recycling operations in the coming months,” said Millett. “Despite weaker flat rolled steel pricing, our order activity and backlogs remain solid. We believe North American steel consumption will remain steady, and that demand for lower-carbon, U.S. produced steel products coupled with lower imports will support steel pricing. Our steel fabrication operations order backlog also remains historically high based on volume and forward pricing levels. This, in combination with our existing and recently announced expansion initiatives, are firm drivers for our continued growth in the coming years.

 

“Operations continue to ramp up at our Sinton Flat Roll Steel Division. The product surface quality is excellent, and grade development and dimensional tolerances have exceeded our expectations. The Sinton team has been running at a rate of 65 percent during October and achieving rates of over 80 percent for several single day periods, supporting our expectations to achieve a run rate of at least 80 percent for the full year 2023. In addition, our four additional value-added flat rolled steel coating lines comprised of two paint lines and two galvanizing lines with Galvalume® coating capability, are expected to begin operating in the second half of 2023. One set will be located onsite at Sinton, providing it with the same diversification and higher-margin product capabilities as our two existing flat rolled steel divisions. The other two lines will be placed at our Heartland Flat Roll Division to support growing coated flat rolled steel demand in the region and to further increase the diversification and cash generation capacity of our existing Midwest operations.

 

 


 

“We are quickly progressing on our aluminum flat rolled products mill and are incredibly excited about this meaningful growth opportunity, which is aligned with our existing business and operational expertise,” said Millett. “We have intentionally grown with our customers’ needs, providing efficient sustainable supply-chain solutions for the highest quality products. Thus far, this has primarily been achieved within the carbon steel industry — however, a significant number of our carbon flat rolled steel customers are also consumers and processors of aluminum flat rolled products. We are pleased to further diversify our end markets with plans to supply aluminum flat rolled products with high recycled content to the countercyclical sustainable beverage can industry, in addition to the automotive and industrial sectors. We believe our unique performance-based operating culture, coupled with our considerable experience in successfully constructing and operating cost-effective, highly profitable flat rolled steel mills, positions us exceptionally well to execute this strategic opportunity and to deliver strong long-term value creation.

 

“Our customers and our people are also incredibly excited for this growth opportunity. Our commitment is to the health and safety of our teams, families, and communities, while meeting the growing needs of our customers. Our culture and business model continue to positively differentiate our performance compared to others. We believe there are strong drivers for our continued growth, and we remain in a position of strength. Our planned investments in a new state-of-the-art low-carbon aluminum flat rolled mill and associated recycled aluminum slab centers continues our strategic growth, is aligned with our core steelmaking and recycling platforms, benefits many of our existing customers, and provides for future value creation. We are well-positioned for sustainable long-term growth,” concluded Millett.

 

Conference Call and Webcast

 

Steel Dynamics, Inc. will hold a conference call to discuss third quarter 2022 operating and financial results on Thursday, October 20, 2022, at 11:30 a.m. Eastern Daylight Time. You may access the call and find dial-in information on the Investors section of the company’s website at www.steeldynamics.com.  A replay of the call will be available on our website until 11:59 p.m. Eastern Daylight Time on October 26, 2022.

 

About Steel Dynamics, Inc.

 

Steel Dynamics is one of the largest domestic steel producers and metals recyclers in the United States, based on estimated annual steelmaking and metals recycling capability, with facilities located throughout the United States, and in Mexico. Steel Dynamics produces steel products, including hot roll, cold roll, and coated sheet steel, structural steel beams and shapes, rail, engineered special-bar-quality steel, cold finished steel, merchant bar products, specialty steel sections and steel joists and deck. In addition, the company produces liquid pig iron and processes and sells ferrous and nonferrous scrap.

 

Note Regarding Non-GAAP Financial Measures

 

The company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). Management believes that Adjusted Net Income, Adjusted Diluted Earnings Per Share, EBITDA, and Adjusted EBITDA, non-GAAP financial measures, provide additional meaningful information regarding the company’s performance and financial strength. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the company’s reported results prepared in accordance with GAAP. In addition, because not all companies use identical calculations, Adjusted Net Income, Adjusted Diluted Earnings Per Share, EBITDA, and Adjusted EBITDA included in this release may not be comparable to similarly titled measures of other companies.

 

 


 

Forward-Looking Statements

 

This report contains some predictive statements about future events, including statements related to conditions in domestic or global economies, conditions in steel, aluminum, and recycled metals market places, Steel Dynamics' revenues, costs of purchased materials, future profitability and earnings, and the operation of new, existing or planned facilities. These statements, which we generally precede or accompany by such typical conditional words as "anticipate","intend","believe","estimate","plan","seek","project", or "expect", or by the words "may", "will", or "should", are intended to be made as "forward-looking", subject to many risks and uncertainties, within the safe harbor protections of the Private Securities Litigation Reform Act of 1995. These statements speak only as of this date and are based upon information and assumptions, which we consider reasonable as of this date, concerning our businesses and the environments in which they operate. Such predictive statements are not guarantees of future performance, and we undertake no duty to update or revise any such statements. Some factors that could cause such forward-looking statements to turn out differently than anticipated include: (1) domestic and global economic factors; (2) global steelmaking overcapacity and imports of steel and North American aluminum flat rolled supply deficit, together with increased scrap prices; (3) pandemics, epidemics, widespread illness or other health issues, such as the COVID-19 pandemic; (4) the cyclical nature of the steel industry and the industries we serve; (5) volatility and major fluctuations in prices and availability of scrap metal, scrap substitutes, and our potential inability to pass higher costs on to our customers; (6)cost and availability of electricity, natural gas, oil, or other energy resources are subject to volatile market conditions; (7) increased environmental, greenhouse gas emissions and sustainability considerations or regulations; (8)compliance with and changes in environmental and remediation requirements; (9)significant price and other forms of competition from other steel and aluminum producers, scrap processors and alternative materials; (10)availability of an adequate source of supply of scrap for our metals recycling operations; (11)cybersecurity threats and risks to the security of our sensitive data and information technology; (12) the implementation of our growth strategy; (13) litigation and legal compliance; (14) unexpected equipment downtime or shutdowns; (15) governmental agencies may refuse to grant or renew some of our licenses and permits; (16) our senior unsecured credit facility contains, and any future financing agreements may contain, restrictive covenants that may limit our flexibility; (17) the impacts of impairment charges; (18) unanticipated difficulties in integrating or starting up new assets; and (19) risks and uncertainties involving product and/or technology development.

 

More specifically, refer to Steel Dynamics' more detailed explanation of these and other factors and risks that may cause such predictive statements to turn out differently, as set forth in our most recent Annual Report on Form 10-K under the headings Special Note Regarding Forward-Looking Statements and Risk Factors, in our quarterly reports on Form 10-Q, or in other reports which we file with the Securities and Exchange Commission. These are available publicly on the Securities and Exchange Commission website, www.sec.gov, and on the Steel Dynamics website, www.steeldynamics.com under “Investors — SEC Filings”.

 

Contact: Investor Relations — +1.260.969.3500

 

 


 

Steel Dynamics, Inc.

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

(in thousands, except per share data)

 

    Three Months Ended     Nine Months Ended     Three Months  
    September 30,     September 30,     Ended  
    2022     2021     2022     2021     June 30, 2022  
Net sales   $ 5,651,707     $ 5,088,288     $ 17,434,487     $ 13,098,193     $ 6,212,878  
Costs of goods sold     4,187,278       3,487,659       12,304,203       9,497,606       4,329,536  
Gross profit     1,464,429       1,600,629       5,130,284       3,600,587       1,883,342  
                                         
Selling, general and administrative expenses     132,627       157,526       403,019       461,686       118,377  
Profit sharing     105,122       113,880       373,333       244,868       139,742  
Amortization of intangible assets     6,836       7,178       21,158       22,054       7,160  
Operating income     1,219,844       1,322,045       4,332,774       2,871,979       1,618,063  
                                         
Interest expense, net of capitalized interest     25,347       12,704       67,683       44,871       25,667  
Other expense (income), net     (13,975 )     6,776       2,472       26,886       (4,021 )
Income before income taxes     1,208,472       1,302,565       4,262,619       2,800,222       1,596,417  
                                         
Income tax expense     289,997       302,406       1,022,138       649,105       381,765  
Net income     918,475       1,000,159       3,240,481       2,151,117       1,214,652  
Net income attributable to noncontrolling interests     (4,150 )     (9,396 )     (12,671 )     (27,556 )     (5,098 )
Net income attributable to Steel Dynamics, Inc.   $ 914,325     $ 990,763     $ 3,227,810     $ 2,123,561     $ 1,209,554  
                                         
Basic earnings per share attributable to Steel Dynamics, Inc. stockholders   $ 5.07     $ 4.89     $ 17.33     $ 10.22     $ 6.49  
                                         
Weighted average common shares outstanding     180,264       202,450       186,288       207,704       186,442  
                                         
Diluted earnings per share attributable to Steel Dynamics, Inc. stockholders, including the effect of assumed conversions when dilutive   $ 5.03     $ 4.85     $ 17.21     $ 10.15     $ 6.44  
                                         
Weighted average common shares and share equivalents outstanding     181,613       204,167       187,531       209,222       187,740  
                                         
Dividends declared per share   $ 0.34     $ 0.26     $ 1.02     $ 0.78     $ 0.34  

 

 


 

Steel Dynamics, Inc.

CONSOLIDATED BALANCE SHEETS

(in thousands)

 

    September 30,     December 31,  
    2022     2021  
    (unaudited)        
Assets            
Current assets                
Cash and equivalents   $ 1,420,497     $ 1,243,868  
Short-term investments     583,211       -  
Accounts receivable, net     2,333,994       1,916,434  
Inventories     3,376,532       3,531,130  
Other current assets     99,210       209,591  
Total current assets     7,813,444       6,901,023  
                 
Property, plant and equipment, net     5,146,606       4,751,430  
                 
Intangible assets, net     276,586       295,345  
                 
Goodwill     451,594       453,835  
                 
Other assets     359,468       129,601  
Total assets   $ 14,047,698     $ 12,531,234  
Liabilities and Equity                
Current liabilities                
Accounts payable   $ 1,165,147     $ 1,280,555  
Income taxes payable     41,121       13,746  
Accrued expenses     902,177       835,894  
Current maturities of long-term debt     22,951       97,174  
Total current liabilities     2,131,396       2,227,369  
                 
Long-term debt     3,012,120       3,008,702  
                 
Deferred income taxes     856,650       854,905  
                 
Other liabilities     112,327       120,087  
Total liabilities     6,112,493       6,211,063  
                 
Commitments and contingencies                
                 
Redeemable noncontrolling interests     172,403       211,414  
                 
Equity                
Common stock     649       649  
Treasury stock, at cost     (4,046,555 )     (2,674,267 )
Additional paid-in capital     1,219,947       1,218,933  
Retained earnings     10,799,863       7,761,417  
Accumulated other comprehensive income     (2,748 )     (2,091 )
Total Steel Dynamics, Inc. equity     7,971,156       6,304,641  
Noncontrolling interests     (208,354 )     (195,884 )
Total equity     7,762,802       6,108,757  
Total liabilities and equity   $ 14,047,698     $ 12,531,234  

 

 


 

Steel Dynamics, Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(in thousands)

 

    Three Months Ended     Nine Months Ended  
    September 30,     September 30,  
    2022     2021     2022     2021  
Operating activities:                                
Net income   $ 918,475     $ 1,000,159     $ 3,240,481     $ 2,151,117  
                                 
Adjustments to reconcile net income to net cash provided by operating activities:                                
Depreciation and amortization     98,714       87,407       281,961       261,373  
Equity-based compensation     12,093       9,917       39,681       36,765  
Deferred income taxes     3,990       71,008       3,986       188,474  
Other adjustments     (12,409 )     (781 )     (1,892 )     (2,915 )
Changes in certain assets and liabilities:                                
Accounts receivable     326,731       (321,771 )     (417,550 )     (920,877 )
Inventories     270,628       (412,952 )     154,391       (1,052,475 )
Other assets     (15,789 )     (20,361 )     (9,274 )     (18,818 )
Accounts payable     (264,313 )     48,726       (152,763 )     472,562  
Income taxes receivable/payable     8,269       (353 )     146,822       86,791  
Accrued expenses     149,766       169,817       31,132       278,240  
Net cash provided by operating activities     1,496,155       630,816       3,316,975       1,480,237  
                                 
Investing activities:                                
Purchases of property, plant and equipment     (241,229 )     (214,629 )     (564,701 )     (801,698 )
Purchases of short-term investments     (283,188 )     -       (634,698 )     -  
Proceeds from maturities of short-term investments     49,794       -       49,794       -  
Acquisition of business, net of cash and restricted cash acquired     (47,638 )     -       (47,638 )     -  
Investments in unconsolidated affiliates     -       -       (222,480 )     -  
Other investing activities     4,113       1,024       9,340       3,273  
Net cash used in investing activities     (518,148 )     (213,605 )     (1,410,383 )     (798,425 )
                                 
Financing activities:                                
Issuance of current and long-term debt     348,286       343,007       1,050,933       1,059,912  
Repayment of current and long-term debt     (363,060 )     (382,489 )     (1,127,051 )     (1,095,338 )
Dividends paid     (62,088 )     (53,380 )     (177,131 )     (161,025 )
Purchase of treasury stock     (481,676 )     (337,616 )     (1,387,890 )     (730,814 )
Other financing activities     (6,057 )     (4,776 )     (88,825 )     (27,468 )
Net cash used in financing activities     (564,595 )     (435,254 )     (1,729,964 )     (954,733 )
                                 
Increase (decrease) in cash, cash equivalents, and restricted cash     413,412       (18,043 )     176,628       (272,921 )
Cash, cash equivalents, and restricted cash at beginning of period     1,012,585       1,119,244       1,249,369       1,374,122  
Cash, cash equivalents, and restricted cash at end of period   $ 1,425,997     $ 1,101,201     $ 1,425,997     $ 1,101,201  
                                 
Supplemental disclosure information:                                
Cash paid for interest   $ 9,214     $ 9,174     $ 59,496     $ 62,216  
Cash paid for income taxes, net   $ 276,948     $ 222,691     $ 867,350     $ 370,835  

 

 


 

Steel Dynamics, Inc.

SUPPLEMENTAL INFORMATION

(dollars in thousands)

 

    Third Quarter     Year to Date              
    2022     2021     2022     2021     1Q 2022     2Q 2022  
External Net Sales                                                
Steel   $ 3,720,826     $ 3,667,718     $ 11,625,343     $ 9,412,921     $ 3,762,496     $ 4,142,021  
Steel Fabrication     1,140,273       493,804       3,156,007       1,081,641       929,981       1,085,753  
Metals Recycling     472,065       587,091       1,701,426       1,632,798       579,625       649,736  
Other     318,543       339,675       951,711       970,833       297,800       335,368  
Consolidated Net Sales   $ 5,651,707     $ 5,088,288     $ 17,434,487     $ 13,098,193     $ 5,569,902     $ 6,212,878  
Operating Income                                                
Steel   $ 658,264     $ 1,350,736     $ 2,931,868     $ 3,009,199     $ 1,166,945     $ 1,106,659  
Steel Fabrication     676,767       89,430       1,742,915       127,775       466,916       599,232  
Metals Recycling     9,918       46,985       115,693       151,883       48,146       57,629  
      1,344,949       1,487,151       4,790,476       3,288,857       1,682,007       1,763,520  
                                                 
Non-cash amortization of intangible assets     (6,836 )     (7,178 )     (21,158 )     (22,054 )     (7,162 )     (7,160 )
Profit sharing expense     (105,122 )     (113,880 )     (373,333 )     (244,868 )     (128,469 )     (139,742 )
Non-segment operations     (13,147 )     (44,048 )     (63,211 )     (149,956 )     (51,509 )     1,445  
Consolidated Operating Income   $ 1,219,844     $ 1,322,045     $ 4,332,774     $ 2,871,979     $ 1,494,867     $ 1,618,063  
                                                 
Adjusted EBITDA                                                
Net income   $ 918,475     $ 1,000,159     $ 3,240,481     $ 2,151,117     $ 1,107,354     $ 1,214,652  
Income taxes     289,997       302,406       1,022,138       649,105       350,376       381,765  
Net interest expense     16,902       12,434       57,116       43,853       16,055       24,159  
Depreciation     90,278       78,631       256,011       234,534       78,790       86,943  
Amortization of intangible assets     6,836       7,178       21,158       22,054       7,162       7,160  
Noncontrolling interest (a)     (4,806 )     (9,928 )     (13,534 )     (28,015 )     (3,272 )     (5,456 )
EBITDA     1,317,682       1,390,880       4,583,370       3,072,648       1,556,465       1,709,223  
Non-cash adjustments                                                
Unrealized (gains) losses     6,053       6,355       (7,648 )     808       300       (14,001 )
Inventory valuation     7,696       141       28,149       394       11,125       9,328  
Equity-based compensation     14,518       9,917       39,794       29,935       19,794       5,482  
Adjusted EBITDA   $ 1,345,949     $ 1,407,293     $ 4,643,665     $ 3,103,785     $ 1,587,684     $ 1,710,032  
Other Operating Information                                                
Steel                                                
Average external sales price (Per ton) (b)   $ 1,381     $ 1,550     $ 1,491     $ 1,293     $ 1,561     $ 1,539  
Average ferrous cost (Per ton melted) (c)   $ 472     $ 489     $ 495     $ 433     $ 474     $ 538  
                                                 
Flat Roll shipments                                                
Butler, Columbus, and Sinton Flat Roll divisions   1,766,726       1,442,783       5,009,403       4,451,844       1,551,845       1,690,832  
Steel Processing divisions (d)     425,304       415,254       1,269,658       1,248,700       411,653       432,701  
Long Product shipments                                                
Structural and Rail Division     477,305       497,016       1,457,296       1,472,782       466,821       513,170  
Engineered Bar Products Division     234,993       204,429       688,339       610,262       226,053       227,293  
Roanoke Bar Division     161,832       151,751       463,103       463,561       143,619       157,652  
Steel of West Virginia     88,697       92,338       276,131       269,972       94,837       92,597  
Total Shipments (Tons)     3,154,857       2,803,571       9,163,930       8,517,121       2,894,828       3,114,245  
                                                 
External Shipments (Tons) (b)     2,694,709       2,366,928       7,796,390       7,281,752       2,409,763       2,691,918  
                                                 
Steel Mill Production (Tons)     2,793,463       2,528,480       8,039,107       7,448,733       2,508,184       2,737,460  
Metals Recycling                                                
Nonferrous shipments (000's of pounds)     257,710       271,325       785,381       818,993       260,890       266,781  
Ferrous shipments (Gross tons)     1,320,117       1,371,126       3,944,068       4,167,416       1,265,222       1,358,729  
External ferrous shipments (Gross tons)     423,184       475,567       1,298,413       1,433,475       437,228       438,001  
Steel Fabrication                                                
Average sales price (Per ton)   $ 5,245     $ 2,339     $ 4,896     $ 1,855     $ 4,424     $ 5,001  
Shipments (Tons)     218,441       211,197       646,685       584,621       210,237       218,007  

 

(a) Net of income tax expense (benefit) on noncontrolling interests.
(b) Represents all steel operations
(c) Represents ferrous cost per ton melted at our electric arc furnace steel mills
(d) Includes Heartland, The Techs, and United Steel Supply operations