US Steel profits recede from prior quarter

United States Steel Corp. has reported net earnings of $299 million in this year’s third quarter, representing a 37.3 percent drop from the $470 million it earned the prior quarter.

The Pittsburgh-based company’s earnings also are down from the $490 million it cleared in the third quarter of last year, equating to a 39 percent decline.

U.S. Steel also reports adjusted net earnings for its most recently completed quarter at $350 million. “The prior year was retroactively adjusted to reflect the reclassification of stock-based compensation expense. The adjustment was $10 million, $28 million, $10 million and $34 million, net of taxes, for the three and nine months ended Sept. 30, 2023, and 2022, respectively," the company says regarding that $51 million adjustment.

“Our business continues to safely deliver strong results highlighting the benefits of a diverse order book, well-run operations and a focused U. S. Steel team," company President and CEO David B. Burritt says. "Our diverse flat-rolled product portfolio allowed us to adapt to changing demand dynamics and our teamwork drove cost benefits in the quarter.

“The third quarter marked another key milestone towards our ‘Best for All’ future. Our nongrain-oriented, or NGO, electrical steel line produced its first coil in September and first industrial-grade coil in October. NGO steel is essential to our country’s green energy future and serves the automotive and power generation sectors.”

Burritt says the scrap-fed electric arc furnace (EAF) Big River Steel campus in Arkansas remains a key focus for U.S. Steel. “This investment further expands our capabilities to meet customers’ needs," he says. "The nearly $4 billion of strategic investment in the mini mill segment is progressing on time and budget.”

The company also lists a $16 million line item in this year’s third quarter for its strategic review process tied to bids by Cleveland-Cliffs and, reportedly, other companies to acquire all or part of U.S. Steel.

“As we announced in August, the board of directors, with the assistance of the management team and its advisors, is fully engaged in and is progressing a robust and competitive strategic alternatives review process to maximize stockholder value," Burritt says of that process.

"Meanwhile, we are focused on running our business safely, delivering on our commitments to customers and executing on our ongoing strategic investments to increase stockholder value.”