- Second quarter 2024 net earnings of $183 million, or $0.72
per diluted share.
- Second quarter 2024 adjusted net earnings of $211 million,
or $0.84 per diluted share.
- Second quarter 2024 adjusted EBITDA of $443
million.
United States Steel Corporation (NYSE: X) reported second
quarter 2024 net earnings of $183 million, or $0.72 per diluted
share. Adjusted net earnings was $211 million, or $0.84 per diluted
share. This compares to second quarter 2023 net earnings of $477
million, or $1.89 per diluted share. Adjusted net earnings for the
second quarter 2023 was $483 million, or $1.92 per diluted
share.
Commenting on the Company’s second quarter performance, U. S.
Steel President and Chief Executive Officer, David B. Burritt said,
“We were pleased with our performance during the second quarter, as
adjusted EBITDA of $443 million improved sequentially in spite of
pricing headwinds that grew in the quarter across our operating
segments. Most notable was better than forecasted results in our
North American Flat-Rolled segment, in large part from enhanced
product mix and cost management that kept earnings resilient in a
dynamic market. Our Mini Mill segment performed well, delivering
17% EBITDA margin when adjusting for $30 million in one-time
start-up costs for strategic projects. Both Tubular and USSE
performed as expected in the second quarter.”
Burritt continued, “We expect third quarter adjusted EBITDA in
the range of $275 million and $325 million, as recent pricing
dynamics continue to impact our business. Our North American
Flat-Rolled segment results should soften slightly, as lower spot
prices more than offset continuing strength in our contract order
book and lower spending. Our Mini Mill segment results will likely
reflect lower spot prices and $30 million of related start-up and
one-time construction costs ahead of a planned fourth quarter
start-up of Big River 2 (BR2). In Europe, results are expected to
be consistent with the second quarter reflecting lower selling
prices largely offset by lower raw material costs. Our Tubular
segment results should be lower as selling prices decline in the
third quarter.”
Commenting on the Company’s transaction with Nippon Steel
Corporation, Burritt noted, “We continue to make progress on the
U.S. regulatory processes ahead of the anticipated closing of our
transaction with Nippon Steel Corporation later this year, which
will bring advanced technologies to U. S. Steel to support a
stronger domestic steel industry with enhanced competition and will
strengthen national, economic, and job security.”
Commenting on the Company’s other strategic initiatives, Burritt
concluded, “Separately, construction on BR2 is achieving key
milestones as we target start-up in the fourth quarter. Also at Big
River, the recently commissioned dual galvalume® / galvanized
coating line is ramping as expected. Galvanized coils are being
delivered to customers and the team is on-track to produce
galvalume coils later this summer. You can find additional details
and photos of these Big River Steel projects in the investor
presentation posted today on our website.”
Earnings Highlights
Three Months Ended June 30,
Six Months Ended June 30,
(Dollars in millions, except per share
amounts)
2024
2023
2024
2023
Net Sales
$
4,118
$
5,008
$
8,278
$
9,478
Segment earnings (loss) before interest
and income taxes
Flat-Rolled
$
183
$
231
$
217
$
224
Mini Mill
28
132
127
144
U. S. Steel Europe
(10
)
72
6
38
Tubular
29
157
86
389
Other
(4
)
(12
)
(6
)
(9
)
Total segment earnings before interest
and income taxes
$
226
$
580
$
430
$
786
Other items not allocated to segments
(45
)
(16
)
(95
)
(33
)
Earnings before interest and income
taxes
$
181
$
564
$
335
$
753
Net interest and other financial
benefits
(58
)
(57
)
(113
)
(118
)
Income tax expense
56
144
94
195
Net earnings
$
183
$
477
$
354
$
676
Earnings per diluted share
$
0.72
$
1.89
$
1.40
$
2.67
Adjusted net earnings (a)
$
211
$
483
$
417
$
678
Adjusted net earnings per diluted share
(a)
$
0.84
$
1.92
$
1.64
$
2.68
Adjusted earnings before interest,
income taxes, depreciation and amortization (EBITDA) (a)
$
443
$
804
$
857
$
1,231
(a) Please refer to the non-GAAP Financial
Measures section of this document for the reconciliation of these
amounts.
UNITED STATES STEEL
CORPORATION
PRELIMINARY SUPPLEMENTAL
STATISTICS (Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2024
2023
2024
2023
OPERATING STATISTICS
Average realized price: ($/net ton unless
otherwise noted) (a)
Flat-Rolled
1,051
1,088
1,052
1,050
Mini Mill
869
1,011
923
897
U. S. Steel Europe
821
965
826
939
U. S. Steel Europe (€/net ton)
762
886
763
868
Tubular
2,108
3,493
2,190
3,636
Steel shipments (thousands of net tons):
(a)
Flat-Rolled
2,045
2,235
4,094
4,513
Mini Mill
562
587
1,130
1,246
U. S. Steel Europe
875
1,034
1,947
1,917
Tubular
109
111
223
242
Total steel shipments
3,591
3,967
7,394
7,918
Intersegment steel (unless otherwise
noted) shipments (thousands of net tons):
Mini Mill to Flat-Rolled
92
142
204
225
Flat-Rolled to Mini Mill
—
—
1
—
Flat-Rolled to Mini Mill (pig iron)
88
86
165
115
Flat-Rolled to USSE (coal)
139
159
258
458
Raw steel production (thousands of net
tons):
Flat-Rolled
2,072
2,529
4,183
4,922
Mini Mill
725
749
1,442
1,508
U. S. Steel Europe
980
1,213
2,059
2,305
Tubular
117
129
263
300
Raw steel capability utilization: (b)
Flat-Rolled
63
%
77
%
64
%
75
%
Mini Mill
88
%
91
%
88
%
92
%
U. S. Steel Europe
79
%
97
%
83
%
93
%
Tubular
52
%
57
%
59
%
67
%
CAPITAL EXPENDITURES (dollars in
millions)
Flat-Rolled
125
104
264
243
Mini Mill
475
488
938
1,051
U. S. Steel Europe
27
16
55
42
Tubular
4
5
14
17
Other Businesses
—
—
—
—
Total
$
631
$
613
$
1,271
$
1,353
(a) Excludes intersegment shipments.
(b) Based on annual raw steel production
capability of 13.2 million net tons for Flat-Rolled, 3.3 million
net tons for Mini Mill, 5.0 million net tons for U. S. Steel Europe
and 0.9 million net tons for Tubular.
UNITED STATES STEEL
CORPORATION
CONDENSED STATEMENT OF OPERATIONS
(Unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
(Dollars in millions, except per share
amounts)
2024
2023
2024
2023
Net Sales
$
4,118
$
5,008
$
8,278
$
9,478
Operating expenses (income):
Cost of sales
3,629
4,161
7,294
8,114
Selling, general and administrative
expenses
105
103
224
202
Depreciation, depletion and
amortization
217
224
427
445
Earnings from investees
(45
)
(38
)
(59
)
(25
)
Asset impairment charges
12
—
19
4
Restructuring and other charges
—
2
6
3
Other losses (gains), net
19
(8
)
32
(18
)
Total operating expenses
3,937
4,444
7,943
8,725
Earnings before interest and income
taxes
181
564
335
753
Net interest and other financial
benefits
(58
)
(57
)
(113
)
(118
)
Earnings before income taxes
239
621
448
871
Income tax expense
56
144
94
195
Net earnings
183
477
354
676
Less: Net earnings attributable to
noncontrolling interests
—
—
—
—
Net earnings attributable to United States
Steel Corporation
$
183
$
477
$
354
$
676
COMMON STOCK DATA:
Net earnings per share attributable to
United States Steel Corporation Stockholders
Basic
$
0.82
$
2.12
$
1.58
$
2.99
Diluted
$
0.72
$
1.89
$
1.40
$
2.67
Weighted average shares, in thousands
Basic
224,893
225,538
224,496
226,430
Diluted
254,248
254,155
254,428
255,757
Dividends paid per common share
$
0.05
$
0.05
$
0.10
$
0.10
UNITED STATES STEEL
CORPORATION
CONDENSED CASH FLOW STATEMENT
(Unaudited)
Six Months Ended June 30,
Six Months Ended June 30,
(Dollars in millions)
2024
2023
Increase (decrease) in cash, cash
equivalents and restricted cash
Operating activities:
Net earnings
$
354
$
676
Depreciation, depletion and
amortization
427
445
Asset impairment charges
19
4
Restructuring and other charges
6
3
Pensions and other postretirement
benefits
(62
)
(84
)
Active employee benefit investments
41
7
Deferred income taxes
87
135
Working capital changes
(219
)
(111
)
Income taxes receivable/payable
(42
)
48
Other operating activities
(165
)
(229
)
Net cash provided by operating
activities
446
894
Investing activities:
Capital expenditures
(1,271
)
(1,353
)
Proceeds from sale of assets
1
3
Other investing activities
(5
)
—
Net cash used in investing activities
(1,275
)
(1,350
)
Financing activities:
Issuance of long-term debt, net of
financing costs
—
238
Repayment of long-term debt
(33
)
(20
)
Common stock repurchased
—
(150
)
Other financing activities
(43
)
(42
)
Net cash (used in) provided by financing
activities
(76
)
26
Effect of exchange rate changes on
cash
(10
)
8
Net decrease in cash, cash equivalents and
restricted cash
(915
)
(422
)
Cash, cash equivalents and restricted cash
at beginning of year
2,988
3,539
Cash, cash equivalents and restricted cash
at end of period
$
2,073
$
3,117
UNITED STATES STEEL
CORPORATION
CONDENSED BALANCE SHEET
(Unaudited)
June 30,
December 31,
(Dollars in millions)
2024
2023
Cash and cash equivalents
$
2,031
$
2,948
Receivables, net
1,678
1,548
Inventories
2,020
2,128
Other current assets
221
319
Total current assets
5,950
6,943
Operating lease assets
90
109
Property, plant and equipment, net
11,222
10,393
Investments and long-term receivables,
net
809
761
Intangibles, net
426
436
Goodwill
920
920
Other noncurrent assets
999
889
Total assets
$
20,416
$
20,451
Accounts payable and other accrued
liabilities
2,680
3,028
Payroll and benefits payable
333
442
Short-term debt and current maturities of
long-term debt
162
142
Other current liabilities
281
336
Total current liabilities
3,456
3,948
Noncurrent operating lease liabilities
58
73
Long-term debt, less unamortized discount
and debt issuance costs
4,078
4,080
Employee benefits
117
126
Deferred income tax liabilities
679
587
Other long-term liabilities
542
497
United States Steel Corporation
stockholders' equity
11,393
11,047
Noncontrolling interests
93
93
Total liabilities and stockholders'
equity
$
20,416
$
20,451
UNITED STATES STEEL
CORPORATION
NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF ADJUSTED NET
EARNINGS
Three Months Ended June 30,
Six Months Ended June 30,
(Dollars in millions)
2024
2023
2024
2023
Net earnings and diluted net earnings per
share attributable to United States Steel Corporation, as
reported
$
183
$
0.72
$
477
$
1.89
$
354
$
1.40
$
676
$
2.67
Restructuring and other charges
—
2
6
3
Stock-based compensation expense
16
12
27
23
Asset impairment charges
12
—
19
4
VEBA asset surplus adjustment
(8
)
(8
)
(12
)
(30
)
Environmental remediation charges
1
2
3
2
Strategic alternatives review process
costs
18
—
41
—
Other charges, net
(2
)
—
(1
)
1
Adjusted pre-tax net earnings to United
States Steel Corporation
220
485
437
679
Tax impact of adjusted items (a)
(9
)
(2
)
(20
)
(1
)
Adjusted net earnings and diluted net
earnings per share attributable to United States Steel
Corporation
$
211
$
0.84
$
483
$
1.92
$
417
$
1.64
$
678
$
2.68
Weighted average diluted ordinary shares
outstanding, in millions
254.2
254.2
254.4
255.8
(a) The tax impact of adjusted items for
both the three and six months ended June 30, 2024, and 2023 were
calculated using a blended tax rate of 24%.
UNITED STATES STEEL
CORPORATION
NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF ADJUSTED
EBITDA
Three Months Ended June 30,
Six Months Ended June 30,
(Dollars in millions)
2024
2023
2024
2023
Reconciliation to Adjusted EBITDA
Net earnings attributable to United States
Steel Corporation
$
183
$
477
$
354
676
Income tax expense
56
144
94
195
Net interest and other financial
benefits
(58
)
(57
)
(113
)
(118
)
Depreciation, depletion and amortization
expense
217
224
427
445
EBITDA
398
788
762
1,198
Restructuring and other charges
—
2
6
3
Stock-based compensation expense
16
12
27
23
Asset impairment charges
12
—
19
4
Environmental remediation charges
1
2
3
2
Strategic alternatives review process
costs
18
—
41
—
Other charges, net
(2
)
—
(1
)
1
Adjusted EBITDA
$
443
$
804
$
857
$
1,231
Net earnings margin (a)
4.4
%
9.5
%
4.3
%
7.1
%
Adjusted EBITDA margin (a)
10.8
%
16.1
%
10.4
%
13.0
%
(a) The net earnings and adjusted EBITDA
margins represent net earnings or adjusted EBITDA divided by net
sales.
UNITED STATES STEEL
CORPORATION
NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF PAST TWELVE
MONTHS OF FREE AND INVESTABLE CASH FLOW
3rd
4th
1st
2nd
Quarter
Quarter
Quarter
Quarter
Total of the
(Dollars in millions)
2023
2023
2024
2024
Four Quarters
Net cash provided (used) by operating
activities
$
817
$
389
$
(28
)
$
474
$
1,652
Net cash used in investing activities
(585
)
(633
)
(645
)
(630
)
(2,493
)
Free cash flow
232
(244
)
(673
)
(156
)
(841
)
Strategic capital expenditures
423
425
468
468
1,784
Investable free cash flow
$
655
$
181
$
(205
)
$
312
$
943
We present adjusted net earnings, adjusted net earnings per
diluted share, earnings before interest, income taxes, depreciation
and amortization (EBITDA), adjusted EBITDA and adjusted EBITDA
margin, which are non-GAAP measures, as additional measurements to
enhance the understanding of our operating performance. We believe
that EBITDA, considered along with net earnings, is a relevant
indicator of trends relating to our operating performance and
provides management and investors with additional information for
comparison of our operating results to the operating results of
other companies.
Adjusted net earnings and adjusted net earnings per diluted
share are non-GAAP measures that exclude the effects of items that
include: restructuring and other charges, stock-based compensation
expense, asset impairment charges, VEBA asset surplus adjustment,
environmental remediation charges, strategic alternatives review
process costs, tax impact of adjusted items and other charges, net
(Adjustment Items). Adjusted EBITDA and adjusted EBITDA margins are
also non-GAAP measures that exclude the effects of certain
Adjustment Items. We present adjusted net earnings, adjusted net
earnings per diluted share, adjusted EBITDA and adjusted EBITDA
margin to enhance the understanding of our ongoing operating
performance and established trends affecting our core operations by
excluding the effects of events that can obscure underlying trends.
U. S. Steel's management considers adjusted net earnings, adjusted
net earnings per diluted share, adjusted EBITDA, and adjusted
EBITDA margin as alternative measures of operating performance and
not alternative measures of the Company's liquidity. U. S. Steel’s
management considers adjusted net earnings, adjusted net earnings
per diluted share, adjusted EBITDA, and adjusted EBITDA margin
useful to investors by facilitating a comparison of our operating
performance to the operating performance of our competitors.
Additionally, the presentation of adjusted net earnings, adjusted
net earnings per diluted share, adjusted EBITDA, and adjusted
EBITDA margin provides insight into management’s view and
assessment of the Company’s ongoing operating performance because
management does not consider the Adjustment Items when evaluating
the Company’s financial performance. Adjusted net earnings,
adjusted net earnings per diluted share, adjusted EBITDA, and
adjusted EBITDA margin should not be considered a substitute for
net earnings, earnings per diluted share or other financial
measures as computed in accordance with U.S. GAAP and are not
necessarily comparable to similarly titled measures used by other
companies.
We also present free cash flow, a non-GAAP measure of cash
generated from operations after any investing activity and
investable free cash flow, a non-GAAP measure of cash generated
from operations after any investing activity adjusted for strategic
capital expenditures. We believe that free cash flow and investable
free cash flow provide further insight into the Company's overall
utilization of cash. A condensed consolidated statement of
operations (unaudited), condensed consolidated cash flow statement
(unaudited), condensed consolidated balance sheet (unaudited) and
preliminary supplemental statistics (unaudited) for U. S. Steel are
attached.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This release contains information regarding the Company and NSC
that may constitute “forward-looking statements,” as that term is
defined under the Private Securities Litigation Reform Act of 1995
and other securities laws, that are subject to risks and
uncertainties. We intend the forward-looking statements to be
covered by the safe harbor provisions for forward-looking
statements in those sections. Generally, we have identified such
forward-looking statements by using the words “believe,” “expect,”
“intend,” “estimate,” “anticipate,” “project,” “target,”
“forecast,” “aim,” “should,” “plan,” “goal,” “future,” “will,”
“may” and similar expressions or by using future dates in
connection with any discussion of, among other things, statements
expressing general views about future operating or financial
results, operating or financial performance, trends, events or
developments that we expect or anticipate will occur in the future,
anticipated cost savings, potential capital and operational cash
improvements and changes in the global economic environment, the
construction or operation of new or existing facilities or
capabilities, statements regarding our greenhouse gas emissions
reduction goals, as well as statements regarding the proposed
transaction, including the timing of the completion of the
transaction. However, the absence of these words or similar
expressions does not mean that a statement is not forward-looking.
Forward-looking statements include all statements that are not
historical facts, but instead represent only the Company’s beliefs
regarding future goals, plans and expectations about our prospects
for the future and other events, many of which, by their nature,
are inherently uncertain and outside of the Company’s or NSC’s
control. It is possible that the Company’s or NSC’s actual results
and financial condition may differ, possibly materially, from the
anticipated results and financial condition indicated in these
forward-looking statements. Management of the Company believes that
these forward-looking statements are reasonable as of the time
made. However, caution should be taken not to place undue reliance
on any such forward-looking statements because such statements
speak only as of the date when made. In addition, forward looking
statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from the Company’s
or NSC's historical experience and our present expectations or
projections. Risks and uncertainties include without limitation:
the ability of the parties to consummate the proposed transaction
on a timely basis or at all; the timing, receipt and terms and
conditions of any required governmental and regulatory approvals of
the proposed transaction; the occurrence of any event, change or
other circumstances that could give rise to the termination of the
definitive agreement and plan of merger relating to the proposed
transaction (the “Merger Agreement”); the risk that the parties to
the Merger Agreement may not be able to satisfy the conditions to
the proposed transaction in a timely manner or at all; risks
related to disruption of management time from ongoing business
operations due to the proposed transaction; certain restrictions
during the pendency of the proposed transaction that may impact the
Company’s ability to pursue certain business opportunities or
strategic transactions; the risk that any announcements relating to
the proposed transaction could have adverse effects on the market
price of the Company’s common stock; the risk of any unexpected
costs or expenses resulting from the proposed transaction; the risk
of any litigation relating to the proposed transaction; the risk
that the proposed transaction and its announcement could have an
adverse effect on the ability of the Company or NSC to retain
customers and retain and hire key personnel and maintain
relationships with customers, suppliers, employees, stockholders
and other business relationships and on its operating results and
business generally; and the risk the pending proposed transaction
could distract management of the Company. The Company directs
readers to its Quarterly Report on Form 10-Q for the quarter ended
March 31, 2024 and Form 10-K for the year ended December 31, 2023,
and the other documents it files with the SEC for other risks
associated with the Company’s future performance. These documents
contain and identify important factors that could cause actual
results to differ materially from those contained in the
forward-looking statements. All information in this report is as of
the date above. The Company does not undertake any duty to update
any forward-looking statement to conform the statement to actual
results or changes in the Company’s expectations whether as a
result of new information, future events or otherwise, except as
required by law.
Founded in 1901, United States Steel Corporation is a leading
steel producer. With an unwavering focus on safety, the Company’s
customer-centric Best for All® strategy is advancing a more secure,
sustainable future for U. S. Steel and its stakeholders. With a
renewed emphasis on innovation, U. S. Steel serves the automotive,
construction, appliance, energy, containers, and packaging
industries with high value-added steel products such as U. S.
Steel’s proprietary XG3® advanced high-strength steel. The Company
also maintains competitively advantaged iron ore production and has
an annual raw steelmaking capability of 22.4 million net tons. U.
S. Steel is headquartered in Pittsburgh, Pennsylvania, with
world-class operations across the United States and in Central
Europe. For more information, please visit www.ussteel.com.
©2024 U. S. Steel All Rights Reserved
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240801471450/en/
Corporate Communications T - (412) 433-1300 E - media@uss.com
Emily Chieng Investor Relations Officer T - (412) 618-9554 E -
ecchieng@uss.com
US Steel (NYSE:X)
Gráfica de Acción Histórica
De Jul 2024 a Ago 2024
US Steel (NYSE:X)
Gráfica de Acción Histórica
De Ago 2023 a Ago 2024
