UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 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): April 19, 2012

 

NUCOR CORPORATION

 

(Exact name of registrant as specified in its charter)

 

Delaware

 

(State or other jurisdiction of incorporation)

 

1-4119   13-1860817
     
(Commission File Number)   (IRS Employer Identification No.)

 

1915 Rexford Road, Charlotte, North Carolina   28211
     
(Address of principal executive offices)   (Zip Code)

 

Registrant's telephone number, including area code: (704) 366-7000

 

N/A

(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:

 

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 

 
 

 

Item 2.02 Results of Operations and Financial Condition

 

On April 19, 2012, Nucor Corporation issued a news release reporting its financial results for the fiscal quarter ended March 31, 2012. A copy of the news release is furnished as Exhibit 99.1 and incorporated herein by reference.

 

The information contained in this Current Report on Form 8-K, including the exhibit attached hereto, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Current Report on Form 8-K shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.

 

 

Item 9.01 Financial Statements and Exhibits

 

(d)Exhibits

 

99.1News Release of Nucor Corporation, issued April 19, 2012

 

 

 

SIGNATURES

 

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 hereunto duly authorized.

 

 

  NUCOR CORPORATION
   
  By:  /s/ James D. Frias
    James D. Frias
Chief Financial Officer, Treasurer and Executive Vice President

 

Dated: April 19, 2012

 

2
 

 

INDEX TO EXHIBITS

 

 

Exhibit No.Description 
  
99.1News Release of Nucor Corporation, issued April 19, 2012

 

3

 

Nucor Reports Results For First Quarter Of 2012

CHARLOTTE, N.C., April 19, 2012 /PRNewswire/ -- Nucor Corporation (NYSE: NUE) announced today consolidated net earnings of $145.1 million, or $0.46 per diluted share, for the first quarter of 2012. By comparison, Nucor reported net earnings of $159.8 million, or $0.50 per diluted share, for the first quarter of 2011 and net earnings of $137.1 million, or $0.43 per diluted share, in the fourth quarter of 2011. Diluted earnings per share of $0.46 for the first quarter are greater than our guidance range of $0.30 to $0.35 per share due primarily to actual March shipments to outside customers in the steel mills segment exceeding the expectations included in our earnings guidance.

Nucor incurred a charge to value inventories using the last-in, first-out (LIFO) method of accounting of $14.5 million ($0.03 per diluted share) in the first quarter of 2012, compared with a charge of $31.0 million ($0.06 per diluted share) in the first quarter of 2011 and a charge of $51.8 million ($0.11 per diluted share) in the fourth quarter of 2011.

Nucor's consolidated net sales increased 5% to $5.07 billion compared with $4.83 billion in the first quarter of 2011 due to a 6% increase in average sales price per ton partially offset by a 1% decrease in total tons shipped to outside customers. Consolidated net sales increased 5% compared with $4.83 billion in the fourth quarter of 2011 due to a 1% increase in average sales price per ton and a 4% increase in total tons shipped to outside customers. First quarter downstream steel products shipments to outside customers increased 3% over the first quarter of 2011 and decreased 3% from the fourth quarter of 2011.

The average scrap and scrap substitute cost per ton used during the first quarter of 2012 was $445, an increase of 5% over $424 in the first quarter of 2011 and an increase of 1% compared to $441 in the fourth quarter of 2011.

The first quarter 2012 results were impacted by a non-cash gain of $12.6 million ($0.04 per diluted share) related to the recognition of state tax credits and the adjustment of tax expense to previously filed returns. These out-of-period items did not have a material impact on the current or any previously reported periods.

Overall operating rates at our steel mills remained relatively flat at approximately 79% in the first quarter of 2012 as compared to 80% in the first quarter of 2011, but increased from 71% in the fourth quarter of 2011.

Total energy costs in the first quarter of 2012 decreased approximately $2 per ton compared to both the first and fourth quarters of 2011. The decrease was due mainly to decreased unit costs for natural gas.

Construction is going well on our 2,500,000-ton DRI facility in Louisiana. The majority of the equipment will arrive in 2012, and we are on schedule for completion of construction and beginning of start-up in mid-2013.

During the first quarter of 2012, the David J. Joseph Company ("DJJ"), through its wholly owned subsidiaries, acquired three metal recycling companies that will strengthen and expand its regional recycling platforms. These acquisitions will provide an estimated additional annual capacity of 275,000 tons.

Our liquidity position remains strong with $2.96 billion in cash and cash equivalents, short-term investments, and restricted cash and investments, and an untapped $1.5 billion revolving credit facility that matures in December 2016.

In February, Nucor's board declared a cash dividend of $0.365 per share payable on May 11, 2012 to stockholders of record on March 30, 2012. This dividend is Nucor's 156th consecutive quarterly cash dividend, a record we expect to continue.

First quarter diluted earnings per share of $0.46 exceeded our quantitative guidance of between $0.30 and $0.35 per diluted share, and was an improvement on fourth quarter 2011 earnings of $0.43 per share. Our results for the first quarter of 2012 reflect a flattening in the favorable pricing and margin trends that began mid-quarter and an unexpected margin weakness in our raw materials business. The deterioration in steel mill pricing and margin trends as compared to our earlier expectations is due to a resurgence in imports and increased competition from new and restarted domestic sheet mill supply. For the second quarter of 2012, we currently expect to see only a modest improvement in earnings. Construction markets remain very challenging, with evidence of only slight improvements at this time. End markets such as automotive, heavy equipment, energy and general manufacturing have continued to experience improvements in demand, primarily benefitting special bar quality, sheet and plate products.

Nucor and affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; steel grating and expanded metal; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.

Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties. The words "believe," "expect," "project," "will," "should," "could" and similar expressions are intended to identify those forward-looking statements. Factors that might cause the Company's actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) the sensitivity of the results of our operations to prevailing steel prices and the changes in the supply and cost of raw materials, including scrap steel; (2) market demand for steel products; (3) energy costs and availability; and (4) competitive pressure on sales and pricing, including competition from imports and substitute materials. These and other factors are outlined in Nucor's regulatory filings with the Securities and Exchange Commission, including those in Nucor's December 31, 2011 Annual Report on Form 10-K. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not assume any obligation to update them.

You are invited to listen to the live broadcast of Nucor's conference call in which management will discuss Nucor's first quarter results on April 19, 2012 at 2:00 p.m. eastern time. The conference call will be available over the Internet at www.nucor.com, under Investor Relations.










 TONNAGE DATA 


 (in thousands) 














 Three Months (13 Weeks) Ended 





March 31, 2012


April 2, 2011


Percentage Change


Steel mills production


5,259


5,219


1%


Steel mills total shipments


5,235


5,200


1%











Sales tons to outside customers:









Steel mills


4,424


4,418


-



Joist


64


67


-4%



Deck


65


72


-10%



Cold finished


138


134


3%



Fabricated concrete









reinforcing steel


250


221


13%



Other


980


1,066


-8%





5,921


5,978


-1%











Unaudited figures are as follows:





CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited)

(In thousands, except per share data)






  Three Months (13 Weeks) Ended  






March 31, 2012


April 2, 2011





Net sales

$      5,072,594


$ 4,833,934





Costs, expenses and other:




  Cost of products sold

4,692,067


4,410,199

  Marketing, administrative and other expenses

107,119


110,704

  Equity in losses of unconsolidated affiliates

6,674


4,210

  Interest expense, net

41,672


42,566


4,847,532


4,567,679

Earnings before income taxes and




noncontrolling interests

225,062


266,255

Provision for income taxes

61,650


85,133

Net earnings

163,412


181,122

Earnings attributable to




noncontrolling interests

18,308


21,281

Net earnings attributable to 




Nucor stockholders

$        145,104


$    159,841





Net earnings per share:




  Basic

$0.46


$0.50

  Diluted

$0.46


$0.50





Average shares outstanding:




  Basic

317,689


316,595

  Diluted

317,779


316,874













 

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In thousands)






March 31, 2012


Dec. 31, 2011

ASSETS




Current assets:





Cash and cash equivalents

$ 1,179,814


$ 1,200,645


Short-term investments

1,198,289


1,362,641


Accounts receivable, net

1,791,695


1,710,773


Inventories, net

2,258,645


1,987,257


Other current assets

431,042


446,765






Total current assets

6,859,485


6,708,081





Property, plant and equipment, net

3,817,402


3,755,604





Restricted cash and investments

586,190


585,833





Goodwill

1,855,971


1,830,661





Other intangible assets, net

792,031


784,640





Other assets

903,386


905,531






Total assets

$ 14,814,465


$ 14,570,350





LIABILITIES




Current liabilities:





Short-term debt

$ 8,040


$ 1,826


Long-term debt due within one year

650,000


650,000


Accounts payable

1,188,433


958,645


Salaries, wages and related accruals

211,988


333,341


Accrued expenses and other current liabilities

490,586


452,247






Total current liabilities

2,549,047


2,396,059





Long-term debt due after one year

3,630,200


3,630,200





Deferred credits and other liabilities

839,516


837,511






Total liabilities

7,018,763


6,863,770





EQUITY




Nucor stockholders' equity:





Common stock

150,574


150,496


Additional paid-in capital

1,773,089


1,756,534


Retained earnings

7,140,228


7,111,566


Accumulated other comprehensive income (loss),






net of income taxes

24,494


(38,177)


Treasury stock

(1,502,801)


(1,505,534)



Total Nucor stockholders' equity

7,585,584


7,474,885





Noncontrolling interests

210,118


231,695






Total equity

7,795,702


7,706,580






Total liabilities and equity

$ 14,814,465


$ 14,570,350



































 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) 


 (In thousands) 


















Three Months (13 Weeks) Ended


















March 31, 2012


April 2, 2011












Operating activities:







Net earnings 

$          163,412


$     181,122



Adjustments:







Depreciation

131,338


127,229




Amortization

16,584


17,437




Stock-based compensation

6,835


9,508




Deferred income taxes

(21,897)


4,311




Equity in losses of unconsolidated affiliates

6,674


4,210




Changes in assets and liabilities (exclusive of acquisitions):








Accounts receivable

(74,627)


(259,773)





Inventories

(263,153)


(397,537)





Accounts payable

228,679


216,308





Federal income taxes

73,281


76,060





Salaries, wages and related accruals

(119,116)


17,421





Other

59,641


51,199







Cash provided by operating activities

207,651


47,495







Investing activities:






Capital expenditures

(167,329)


(96,036)



Investment in and advances to affiliates

(38,441)


(24,475)



Disposition of plant and equipment

7,953


3,985



Acquisitions (net of cash acquired)

(58,848)


-



Purchases of investments

(185,073)


(140,454)



Proceeds from the sale of investments

349,729


151,005



Proceeds from the sale of restricted investments

38,350


-



Changes in restricted cash

(38,707)


21,949







Cash used in investing activities

(92,366)


(84,026)







Financing activities:






Net change in short-term debt

6,158


3,594



Issuance of common stock

5,876


2,658



Excess tax benefits from stock-based compensation

5,200


(300)



Distributions to noncontrolling interests

(39,857)


(29,694)



Cash dividends

(116,325)


(115,233)



Other financing activities

357


-







Cash used in financing activities 

(138,591)


(138,975)







Effect of exchange rate changes on cash

2,475


3,044







Decrease in cash and cash equivalents

(20,831)


(172,462)







Cash and cash equivalents - beginning of year

1,200,645


1,325,406







Cash and cash equivalents - end of three months

$       1,179,814


$  1,152,944









CONTACT: Nucor Executive Offices, +1-704-366-7000, or fax, +1-704-362-4208