CHARLOTTE, N.C., June 14, 2018 /PRNewswire/ -- Nucor Corporation (NYSE: NUE) announced today guidance for its second quarter ending June 30, 2018. Nucor expects second quarter results to be in the range of $2.05 to $2.10 per diluted share. This range is an increase compared to the first quarter of 2018 consolidated net earnings of $1.10 per diluted share and second quarter of 2017 earnings of $1.00 per diluted share.
Included in the first quarter of 2018 results was an expense of $21.8 million, or $0.07 per diluted share, related to the write off of deferred tax assets due to the change in the tax status of a subsidiary.
Earnings in the second quarter of 2018 are expected to increase significantly compared to the first quarter of 2018. The performance of the steel mills segment is expected to be significantly improved in the second quarter of 2018 as compared to the first quarter of 2018 due to higher average selling prices and increased profitability across all steel mill product groups, with the strongest increase at our sheet mills. We also expect increased profitability in our steel products segment and raw materials segment in the second quarter of 2018 as compared to the first quarter of 2018.
Our improved earnings are the result of much stronger market conditions that we believe have been positively impacted by deregulation, tax reform and higher, stable oil prices.
Based on the current steel market fundamentals and communications with our customers, we are confident in our belief that there is sustainable strength in steel end use markets. Our steel mill and steel product backlogs are robust and have trended upward since the beginning of the year. We therefore expect strong performance and profitability to continue through the remainder of the year.
Nucor and its affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; hollow structural section tubing; electrical conduit; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; steel grating; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.
Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties. The words "believe," "expect," "project," "will," "should," "could" and similar expressions are intended to identify those forward-looking statements. Factors that might cause the Company's actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) competitive pressure on sales and pricing, including competition from imports and substitute materials; (2) U.S. and foreign trade policies affecting steel imports or exports; (3) the sensitivity of the results of our operations to prevailing steel prices and the changes in the supply and cost of raw materials, including scrap steel; (4) market demand for steel products; and (5) energy costs and availability. These and other factors are discussed in Nucor's regulatory filings with the Securities and Exchange Commission, including those in Nucor's fiscal 2017 Annual Report on Form 10-K, Item 1A. Risk Factors. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not assume any obligation to update them.
SOURCE Nucor Corporation