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Steel Dynamics (NASDAQ:STLD) should restart its Sinton steel mill in Texas in the next few days following an unplanned outage, CEO Mark Millett said Thursday during the company’s earnings conference call.
The outage will cost the company 50K-70K short tons in shipments, CFO Theresa Wagler said, as reported by Argus.
The 3M st/year flat rolled steel mill’s hot mill shut down July 1 when problems with its caster shear equipment caused the company to idle its electric arc furnace.
Millett said on the call that Sinton should ramp up to run at 80% capacity by the end of the year.
Steel Dynamics (STLD) said its steel mills excluding Sinton ran at 93% utilization rates in Q2, down from 95% in the year-earlier quarter and 94% in Q1.
According to Argus, Millett said Sinton ran at 52% overall in Q2 and produced 390K st of steel, down from 420K st in Q1.
Steel Dynamics (STLD) stock closed -2.9% in Thursday’s trading after reporting Q2 earnings of $4.81/share that edged past estimated but fell sharply from $6.44 a year ago, and net sales fell 18% Y/Y to a lower than expected $5.08B.
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