Steel Dynamics Reports First Quarter 2026 Results
Rhea-AI Summary
Steel Dynamics (NASDAQ: STLD) reported Q1 2026 results: net sales of $5.2B, operating income of $538M, and net income of $403M ($2.78 diluted EPS). Record steel shipments reached 3.6 million tons and adjusted EBITDA was $700M. The company increased its cash dividend by 6%, repurchased $115M of stock, invested $138M in capex, and held $2.0B liquidity as of March 31, 2026.
Aluminum flat rolled operations produced early qualifications but recorded $65M operating losses during startup; management expects shipments and earnings to rise in Q2 2026.
Positive
- Record steel shipments of 3.6 million tons
- Net income of $403 million in Q1 2026
- Adjusted EBITDA of $700 million
- Raised cash dividend by 6% in Q1 2026
- Repurchased $115 million of common stock
- Liquidity of $2.0 billion as of March 31, 2026
Negative
- Aluminum operations operating loss of $65 million in Q1 2026
- Working capital increased $413 million, tying up cash
- Cash flow from operations $148 million after $120M profit-sharing
Key Figures
Market Reality Check
Peers on Argus
STLD showed a 2.33% gain pre-release with strong volume. Key peers were mixed: NUE +3.70%, RS +3.37%, MT +0.87% contrasted with PKX -0.18% and GGB -0.47%. Only one momentum-peer (SIM) screened lower, suggesting today’s setup was more company-specific than a broad, synchronized steel move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 17 | Earnings guidance | Positive | -0.9% | Raised Q1 2026 EPS guidance well above Q4 2025 and Q1 2025 levels. |
| Dec 17 | Earnings guidance | Negative | +2.1% | Guided to meaningfully lower Q4 2025 profitability versus Q3 on weaker pricing. |
| Oct 20 | Quarterly results | Positive | +5.2% | Q3 2025 results with $4.8B sales, $404M net income, record shipments. |
| Sep 15 | Earnings guidance | Positive | +6.2% | Q3 2025 guidance pointing to EPS improvement across all operating platforms. |
| Jul 21 | Quarterly results | Neutral | -1.7% | Q2 2025 results showed sequential improvement but remained below prior-year levels. |
Earnings-related announcements often trigger meaningful moves, with both positive and negative reactions. Guidance updates have previously produced outsized swings, and full quarterly reports have tended to draw stronger, generally positive responses.
Over the past year, STLD has issued several earnings updates spanning guidance and full quarterly reports. Prior events highlighted expanding steel and recycling margins, commissioning progress at the Columbus aluminum mill, record steel shipments of 3.6M tons, and net sales up to $4.8B. Guidance pieces frequently emphasized improving EPS trends versus prior quarters. Today’s Q1 2026 results continue that theme with higher net sales and net income versus both Q4 2025 and Q1 2025, reinforcing the ongoing ramp in steel and aluminum platforms.
Historical Comparison
Across 5 recent earnings-related releases, STLD’s next-day moves averaged 2.16%, with both guidance and full results often prompting notable reactions, indicating this type of update has been a consistent catalyst.
Earnings news has tracked a progression from 2025 results and guidance through the ramp of the Columbus aluminum mill and record steel shipments, into 2026 guidance and Q1 results that emphasize higher EPS, expanding margins, and growing aluminum and steel platforms.
Market Pulse Summary
This announcement details a strong Q1 2026, with net sales of $5.2 billion, net income of $403 million (or $2.78 per share), and record steel shipments of 3.6 million tons, alongside growing aluminum shipments. It also highlights aluminum startup losses and higher operating costs early in the quarter. Investors may track margin trends, aluminum ramp progress, capital spending, and working capital changes in future quarters to assess the durability of these results.
Key Terms
adjusted EBITDA financial
cash flow from operations financial
AI-generated analysis. Not financial advice.
First Quarter 2026 Performance Highlights:
- Record steel shipments of 3.6 million tons
- Continued commissioning and increased production from aluminum flat rolled sheet operations
- Net sales of
$5.2 billion $538 million $403 million - Adjusted EBITDA of
$700 million $148 million $120 million - First quarter 2026 cash dividend increase of six percent
Steel Dynamics, Inc. (NASDAQ/GS: STLD) today announced first quarter 2026 financial results. The company reported first quarter 2026 net sales of
"The teams executed well, delivering a strong first quarter 2026 performance across all of our platforms, with operating income increasing
"Underlying steel demand strengthened during the first quarter 2026, as customer orders rebounded and backlogs increased across our steel and steel fabrication operations," said Millett. "Steel prices continued to improve, and lead times extended. Additionally, value‑added flat rolled steel margins expanded from fourth quarter 2025 lows. We are seeing an improved steel market environment, supported by domestic trade actions, manufacturing onshoring, infrastructure program funding, and the increasing regionalization of supply chains in
"The aluminum team is continuing with the successful commissioning and startup of our
First Quarter 2026 Comments
First quarter 2026 operating income for the company's steel operations was
Compared to sequential fourth quarter results, first quarter 2026 operating income from the company's metals recycling operations increased 155 percent to
The company's steel fabrication operations achieved operating income of
First quarter 2026 operating losses associated with the continued construction and startup of the company's aluminum operations in the
The company generated cash flow from operations of
Outlook
"We remain constructive that market conditions are in place for domestic steel and aluminum consumption to be strong through 2026 and into the following years," said Millett. "Customer optimism, order entry activity, and pricing have been improving across our business. Additionally, discussions with our customers further underscore the growing importance of lower-carbon, domestically produced steel and aluminum products, positioning our businesses for a sustainable long-term competitive advantage. As unfair trade practices diminish, policy clarity improves, and
"The aluminum team continues to make progress commissioning the company's
"We have deliberately aligned our growth strategy with our customers' developing needs, prioritizing product excellence, supply-chain efficiency, and sustainability. Building on our strong positions in steel, we are expanding into high recycled-content aluminum to serve adjacent markets where customer demand is accelerating. This opportunity spans the counter-cyclical beverage can and packaging segment and extends to automotive, industrial, and construction applications. Backed by a performance-based culture and a proven ability to develop and operate cost-efficient, high-margin mills, we are well positioned to deliver attractive long-term value through this expansion.
"Our commitment is to the health and safety of our teams, families, and communities, while meeting the current and future needs of our customers. Our culture and business model continues to positively differentiate our performance from the rest of the industry. We continue to focus on delivering superior value to our team members, customers, and shareholders," concluded Millett.
Conference Call and Webcast
Steel Dynamics, Inc. will hold a conference call to discuss first quarter 2026 operating and financial results on Tuesday, April 21, 2026, at 11:00 a.m. Eastern Daylight Time. You may access the call and find dial-in information on the Investors section of the company's website at www.steeldynamics.com. A replay of the call will be available on our website until 11:59 p.m. Eastern Daylight Time on April 30, 2026.
About Steel Dynamics, Inc.
Steel Dynamics is a leading industrial metals solutions company, with facilities located throughout
Note Regarding Financial Metrics
The company believes that after-tax return-on-invested capital (After-tax ROIC) provides an indication of the effectiveness of the company's invested capital and is calculated as follows:
After-tax | Net Income Attributable to Steel Dynamics, Inc. |
(Quarterly Average Current Maturities of Long-term Debt + Long-term Debt + Total Equity) |
Note Regarding Non-GAAP Financial Measures
The company reports its financial results in accordance with
Forward-Looking Statements
This press release contains some predictive statements about future events, including statements related to conditions in domestic or global economies, conditions in steel, aluminum, and recycled metals marketplaces, Steel Dynamics' revenues, costs of purchased materials, future profitability and earnings, and the operation of new, existing or planned facilities. These statements, which we generally precede or accompany by such typical conditional words as "anticipate", "intend", "believe", "estimate", "plan", "seek", "project", or "expect", or by the words "may", "will", or "should", are intended to be made as "forward-looking", subject to many risks and uncertainties, within the safe harbor protections of the Private Securities Litigation Reform Act of 1995. These statements speak only as of this date and are based upon information and assumptions, which we consider reasonable as of this date, concerning our businesses and the environments in which they operate. Such predictive statements are not guarantees of future performance, and we undertake no duty to update or revise any such statements. Some factors that could cause such forward-looking statements to turn out differently than anticipated include: (1) domestic and global economic factors; (2) global steelmaking overcapacity and imports of steel, together with increased scrap prices; (3) the cyclical nature of the metals industries and the industries we serve; (4) volatility and major fluctuations in prices and availability of scrap metal, scrap substitutes and supplies, and our potential inability to pass higher costs on to our customers; (5) cost and availability of electricity, natural gas, oil, and other energy resources are subject to volatile market conditions; (6) increased environmental, greenhouse gas emissions and sustainability considerations from our customers and investors or related regulations; (7) compliance with and changes in environmental and remediation requirements; (8) significant price and other forms of competition from other steel and aluminum producers, scrap processors and alternative materials; (9) availability of an adequate source of supply of scrap for our metals recycling operations; (10) cybersecurity threats and risks to the security of our sensitive data and information technology; (11) the implementation of our growth strategy; (12) our ability to retain, develop and attract key personnel; (13) litigation and legal compliance; (14) unexpected equipment downtime or shutdowns; (15) difficulties in the launch or production ramp-up of new products; (16) our aluminum operations depend on a core group of significant customers; (17) governmental agencies may refuse to grant or renew some of our licenses and permits; (18) our existing debt agreements contain, and any future financing agreements may contain, restrictive covenants that may limit our flexibility; and (19) the impacts of impairment charges.
More specifically, we refer you to our more detailed explanation of these and other factors and risks that may cause such predictive statements to turn out differently, as set forth in our most recent Annual Report on Form 10-K under the headings Special Note Regarding Forward-Looking Statements and Risk Factors, in our Quarterly Reports on Form 10-Q, or in other reports which we file with the Securities and Exchange Commission. These reports are available publicly on the Securities and Exchange Commission website, www.sec.gov, and on our website, www.steeldynamics.com under "Investors – SEC Filings."
Steel Dynamics, Inc. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (in thousands, except per share data) | |||||||||
Three Months Ended | Three Months | ||||||||
March 31, | Ended | ||||||||
2026 | 2025 | Dec. 31, 2025 | |||||||
Net sales | $ | 5,204,858 | $ | 4,369,195 | $ | 4,414,048 | |||
Costs of goods sold | 4,441,635 | 3,882,651 | 3,884,757 | ||||||
Gross profit | 763,223 | 486,544 | 529,291 | ||||||
Selling, general and administrative expenses | 175,220 | 181,808 | 184,646 | ||||||
Profit sharing | 42,198 | 22,695 | 27,196 | ||||||
Amortization of intangible assets | 7,801 | 6,897 | 7,219 | ||||||
Operating income | 538,004 | 275,144 | 310,230 | ||||||
Interest expense, net of capitalized interest | 33,241 | 12,131 | 26,958 | ||||||
Other (income) expense, net | (8,450) | (17,641) | (27,333) | ||||||
Income before income taxes | 513,213 | 280,654 | 310,605 | ||||||
Income tax expense | 113,108 | 62,975 | 46,090 | ||||||
Net income | 400,105 | 217,679 | 264,515 | ||||||
Net loss (income) attributable to noncontrolling interests | 3,331 | (528) | 1,518 | ||||||
Net income attributable to Steel Dynamics, Inc. | $ | 403,436 | $ | 217,151 | $ | 266,033 | |||
Basic earnings per share attributable to | |||||||||
Steel Dynamics, Inc. stockholders | $ | 2.79 | $ | 1.45 | $ | 1.83 | |||
Weighted average common shares outstanding | 144,797 | 150,262 | 145,627 | ||||||
Diluted earnings per share attributable to | |||||||||
Steel Dynamics, Inc. stockholders, including the | |||||||||
effect of assumed conversions when dilutive | $ | 2.78 | $ | 1.44 | $ | 1.82 | |||
Weighted average common shares | |||||||||
and share equivalents outstanding | 145,321 | 150,809 | 146,249 | ||||||
Dividends declared per share | $ | 0.53 | $ | 0.50 | $ | 0.50 | |||
Steel Dynamics, Inc. CONSOLIDATED BALANCE SHEETS (in thousands) | ||||||
March 31, | December 31, | |||||
Assets | 2026 | 2025 | ||||
(unaudited) | ||||||
Current assets | ||||||
Cash and equivalents | $ | 556,527 | $ | 769,878 | ||
Accounts receivable, net | 2,056,434 | 1,682,660 | ||||
Inventories | 3,908,120 | 3,738,516 | ||||
Other current assets | 274,089 | 293,117 | ||||
Total current assets | 6,795,170 | 6,484,171 | ||||
Property, plant and equipment, net | 8,549,876 | 8,569,466 | ||||
Intangible assets, net | 323,489 | 331,290 | ||||
Goodwill | 477,471 | 477,471 | ||||
Other assets | 574,213 | 557,382 | ||||
Total assets | $ | 16,720,219 | $ | 16,419,780 | ||
Liabilities and Equity | ||||||
Current liabilities | ||||||
Accounts payable | $ | 1,379,494 | $ | 1,231,358 | ||
Income taxes payable | 135,202 | 67,315 | ||||
Accrued expenses | 633,899 | 788,926 | ||||
Current maturities of long-term debt | 22,124 | 34,655 | ||||
Total current liabilities | 2,170,719 | 2,122,254 | ||||
Long-term debt | 4,178,669 | 4,176,508 | ||||
Deferred income taxes | 1,042,980 | 1,004,375 | ||||
Other liabilities | 194,449 | 186,232 | ||||
Total liabilities | 7,586,817 | 7,489,369 | ||||
Commitments and contingencies | ||||||
Redeemable noncontrolling interests | 141,226 | 141,226 | ||||
Equity | ||||||
Common stock | 653 | 653 | ||||
Treasury stock, at cost | (8,088,699) | (7,980,549) | ||||
Additional paid-in capital | 1,237,939 | 1,248,634 | ||||
Retained earnings | 16,015,823 | 15,689,042 | ||||
Accumulated other comprehensive loss | (858) | (598) | ||||
Total Steel Dynamics, Inc. equity | 9,164,858 | 8,957,182 | ||||
Noncontrolling interests | (172,682) | (167,997) | ||||
Total equity | 8,992,176 | 8,789,185 | ||||
Total liabilities and equity | $ | 16,720,219 | $ | 16,419,780 | ||
Steel Dynamics, Inc. CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands) | |||||
Three Months Ended | |||||
March 31, | |||||
2026 | 2025 | ||||
Operating activities: | |||||
Net income | $ | 400,105 | $ | 217,679 | |
Adjustments to reconcile net income to net cash provided by | |||||
operating activities: | |||||
Depreciation and amortization | 159,280 | 133,756 | |||
Equity-based compensation | 17,451 | 17,040 | |||
Deferred income taxes | 32,669 | 16,249 | |||
Other adjustments | (2,293) | (4,195) | |||
Changes in certain assets and liabilities: | |||||
Accounts receivable | (373,774) | (303,602) | |||
Inventories | (174,427) | 13,810 | |||
Other assets | 21,001 | (32,115) | |||
Accounts payable | 156,905 | 248,600 | |||
Income taxes receivable/payable | 74,432 | 42,815 | |||
Accrued expenses | (163,033) | (197,434) | |||
Net cash provided by operating activities | 148,316 | 152,603 | |||
Investing activities: | |||||
Purchases of property, plant and equipment | (137,979) | (305,506) | |||
Purchases of short-term investments | - | (10,000) | |||
Proceeds from maturities of short-term investments | - | 137,811 | |||
Other investing activities | (1,087) | (1,064) | |||
Net cash used in investing activities | (139,066) | (178,759) | |||
Financing activities: | |||||
Issuance of current and long-term debt | 599,469 | 1,405,943 | |||
Repayment of current and long-term debt | (612,359) | (432,527) | |||
Dividends paid | (72,470) | (69,514) | |||
Purchase of treasury stock | (115,087) | (250,138) | |||
Other financing activities | (22,312) | (30,469) | |||
Net cash (used in) provided by financing activities | (222,759) | 623,295 | |||
Increase (decrease) in cash, cash equivalents, and restricted cash | (213,509) | 597,139 | |||
Cash, cash equivalents, and restricted cash at beginning of period | 775,272 | 595,010 | |||
Cash, cash equivalents, and restricted cash at end of period | $ | 561,763 | $ | 1,192,149 | |
Supplemental disclosure information: | |||||
Cash paid for interest | $ | 26,000 | $ | 28,477 | |
Cash paid for income taxes, net | $ | 4,491 | $ | 3,717 | |
Steel Dynamics, Inc. SUPPLEMENTAL INFORMATION (UNAUDITED) (dollars in thousands) | |||||||||
First Quarter | |||||||||
2026 | 2025 | Q4 2025 | |||||||
External Net Sales | |||||||||
Steel | $ | 3,538,743 | $ | 3,067,016 | $ | 3,141,366 | |||
Steel Fabrication | 355,433 | 352,307 | 347,252 | ||||||
Metals Recycling | 593,183 | 534,895 | 463,039 | ||||||
Aluminum | 227,393 | 66,576 | 157,747 | ||||||
Other | 490,106 | 348,401 | 304,644 | ||||||
Consolidated Net Sales | $ | 5,204,858 | $ | 4,369,195 | $ | 4,414,048 | |||
Operating Income (Loss) | |||||||||
Steel | $ | 556,564 | $ | 229,963 | $ | 322,337 | |||
Steel Fabrication | 89,514 | 116,745 | 90,545 | ||||||
Metals Recycling | 47,467 | 25,710 | 18,642 | ||||||
Aluminum | (64,592) | (28,735) | (47,098) | ||||||
628,953 | 343,683 | 384,426 | |||||||
Non-cash amortization of intangible assets | (7,801) | (6,897) | (7,219) | ||||||
Profit sharing expense | (42,198) | (22,695) | (27,196) | ||||||
Non-segment operations | (40,950) | (38,947) | (39,781) | ||||||
Consolidated Operating Income | $ | 538,004 | $ | 275,144 | $ | 310,230 | |||
Adjusted EBITDA | |||||||||
Net income | $ | 400,105 | $ | 217,679 | $ | 264,515 | |||
Income taxes | 113,108 | 62,975 | 46,090 | ||||||
Net interest expense | 26,053 | 2,316 | 17,135 | ||||||
Depreciation | 149,194 | 125,122 | 136,467 | ||||||
Amortization of intangible assets | 7,801 | 6,897 | 7,219 | ||||||
EBITDA | 696,261 | 414,989 | 471,426 | ||||||
Non-cash adjustments | |||||||||
Unrealized (gains) losses on derivatives | |||||||||
and currency remeasurement | (11,594) | 19,153 | 9,482 | ||||||
Equity-based compensation | 15,230 | 14,181 | 24,513 | ||||||
Adjusted EBITDA | $ | 699,897 | $ | 448,323 | $ | 505,421 | |||
Other Operating Information | |||||||||
Steel | |||||||||
Average external sales price (Per ton) | $ | 1,193 | $ | 998 | $ | 1,107 | |||
Average ferrous cost (Per ton Melted) | $ | 396 | $ | 386 | $ | 374 | |||
Flat Roll shipments | |||||||||
Butler, | 2,011,443 | 2,119,187 | 1,902,346 | ||||||
Steel Processing divisions * | 686,440 | 492,627 | 556,336 | ||||||
Long Product shipments | |||||||||
Structural and Rail Division | 490,971 | 437,398 | 445,978 | ||||||
Engineered Bar Products Division | 194,022 | 191,658 | 170,539 | ||||||
Roanoke Bar Division | 167,837 | 144,186 | 139,287 | ||||||
Steel of | 88,155 | 96,483 | 89,648 | ||||||
Total Shipments (Tons) | 3,638,868 | 3,481,539 | 3,304,134 | ||||||
External Shipments (Tons) | 2,966,124 | 3,071,735 | 2,837,126 | ||||||
Steel Mill Production (Tons) | 3,039,367 | 3,021,593 | 2,838,233 | ||||||
Metals Recycling | |||||||||
Nonferrous shipments (000's of pounds) | 197,385 | 233,080 | 195,003 | ||||||
Ferrous shipments (Gross tons) | 1,473,457 | 1,452,432 | 1,521,629 | ||||||
External ferrous shipments (Gross tons) | 553,367 | 557,618 | 507,102 | ||||||
Steel Fabrication | |||||||||
Average sales price (Per ton) | $ | 2,478 | $ | 2,599 | $ | 2,509 | |||
Shipments (Tons) | 143,422 | 135,581 | 138,375 | ||||||
* Includes Heartland, The Techs, United Steel Supply, and New Process Steel (beginning December 1, 2025) operations | |||||||||
View original content to download multimedia:https://www.prnewswire.com/news-releases/steel-dynamics-reports-first-quarter-2026-results-302747715.html
SOURCE Steel Dynamics, Inc.