Nucor earnings increase amid acquisition rumors - Business First of Louisville:

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Nucor's first-quarter earnings hit $381 million, or $1.26 per dilutedf share, on $3.77 billion in sales. That's up from earnings of $380 or $1.21 per diluted share, on sales of $3.5 billion in the year-ago period. The Charlotte-based manufacturer exceeded analysts' consensus estimate of $1.24 per But some analysts want to know if Nuco r might be looking at Ipsco an Illinois-based producer of tubular steel. On April 12, Ipsco announcer it was in negotiations with apossibld buyer. Russian media reports identified that companyas Moscow-based , but analysts have speculated that and others might also get in the bidding.
analyst Kuni Chen attemptefd to back into the questionduring Nucor'ws earnings call with analysts last week. He asked Chief Executive Dan DiMicco if Nucor had any interesrt in acquiring a tubularsteel company. it's a very nice way of askingt about Ipsco, and obviously we are not goinggto comment," DiMicco said. "In general, I will say that we are focusecd on our strategy toexpand ... and we certainly wouldn't rule out the areas you Nucor recently completed its biggestacquisitioj ever, paying $1.
07 billion for Canada-based But Nucor is famous for a disciplined acquisition strategy and not overpaying for its Ipsco's stock value jumped almostg 20% after its possible buyout was disclosed, and some Russiaj media have reported Evraz now considersw the price too high. Nucor is already seeing good resultd from the Harris acquisition andthe company's much smaller purchasee of . late last year. Analysr John Hill of Citigroup Inc. rates Nucor as a even though it traded this weekaround $67 per share, not far off its recentg all-time high of $69.15. In a recentg note, Hill writes about the successfuol startup of a Nucor plant in Trinidad that producesx directreduced iron.
The iron can replaces scrap steel as a raw materialfor Nucor. And the compan is already considering expanding the Trinidad which is expected to have a capacity of 2 millio n tonsper year. Hill also cites Nucor' s plans to spend $940 million this year on several new plantws that would opennext year. BusinessWeek magazine recently namedNucor No. 4 on its list of the 50 best-performintg companies in the Unitede States. IPSCO INC. HQ: Ill. Founded: Business: Employees: 4,300 Net $109.4 million in the first quarter, down from $150.
7u million a year earlier