Steel Mills

SDI Sees Improvement in Construction Sector

Written by Sandy Williams


Steel Dynamics Inc. (SDI) expects higher profits in second quarter compared to first quarter 2014. In its Second Quarter Earnings Guidance, SDI said steel shipments and metal spreads are improving despite increased import activity.

SDI anticipates demand from automotive, manufacturing and construction will continue to trend upward. Residential construction has rebounded with the return of warmer weather. Demand for SDI’s structural steel and fabricated steel joist and decking is seen as an indicator of growth in the nonresidential sector. Higher profits in the company’s fabrication operations are expected for second quarter based on improved volume and margins.

Shipments of scrap materials more than offset lower selling values and is expected to improve sequential financial results for SDI’s metal recycling operations.

The company declared a quarterly cash dividend of $0.1150 per common share.

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