U.S. Steel sees Q3 EPS $1.10-$1.15, consensus $1.01

CEO David B. Burritt said, “We are on track to safely deliver a strong third quarter, with each of our operating segments outperforming earlier estimates and contributing to a healthy adjusted EBITDA for the company. A more resilient commercial portfolio and management actions driving higher cost benefits are resulting in better-than-expected performance this quarter. Today’s guidance also reflects the expected impact on third quarter financial results from the United Autoworkers union strike announced earlier this month. Consistent with actions taken in 2022 to balance our melt capacity with our order book, we will temporarily idle blast furnace ‘B’ at Granite City Works and are reallocating volumes to other domestic facilities to efficiently meet customer demand. We are executing our Best for All strategy as we advance our portfolio of in-flight capital projects on-time and on-budget. The start-up this quarter of the non-grain oriented electrical steel line at Big River Steel continues as planned with first coil expected by the end of the month. Meanwhile, our recently completed pig iron machine at Gary Works is consistently delivering low-cost pig iron to our electric arc furnaces at Big River Steel. Notably, our balance sheet remains strong, as we fund these strategic initiatives while generating cash flow from operations. We expect to end the third quarter with cash on hand of approximately $3 billion. Total liquidity is expected to exceed $5 billion for the seventh consecutive quarter.”