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Metal Dynamics (Nasdaq: STLD) -1.8% After issuing downward revenue steering for the second quarter earlier than the market opened on Monday, it stated it expects the profitability of its metal enterprise to be “considerably decrease” than its first-quarter outcomes on account of decrease realized pricing and steady shipments.
The corporate stated it noticed Second-quarter earnings per share have been $2.64-$2.68, nicely under the $3.67 within the first quarter and $4.81 in the identical interval final yr, in addition to analysts’ consensus estimate of $2.98.
The corporate stated home metal demand stays intact regardless of a weak scrap value setting resulting in hesitancy on metal purchases.
Metal Dynamics (STLD) additionally expects earnings from its metallic recycling enterprise to be increased within the second quarter than within the first quarter on account of robust gross sales of ferrous and non-ferrous supplies, whereas earnings from its metal fabrication enterprise must be consistent with the primary quarter on account of outflows. Greater volumes offset step by step decrease realized pricing.
