Steel Dynamics reports Q2 operating income $295M, down 6% from Q1
Q2 average external product selling price for the company's overall steel operations decreased $23 sequentially to $879 per ton. Q2 The average ferrous scrap cost per ton melted at the company's steel mills decreased $22 to $316 per ton. CEO Mark Millett says: "A weakening scrap price environment coupled with steel inventory destocking led to steel buying hesitancy. Despite these challenges, supported by the addition of United Steel Supply and the continued ramp-up of Heartland, our steel platform shipments improved. As underlying steel demand remains constructive and scrap prices have steadied, we have recently seen stabilization and improvement in flat roll steel prices, resulting in increased flat roll order activity and improved order backlogs. However, structural, merchant bar, and reinforcing bar steel pricing remain pressured from domestic and import market competition."