Steel Dynamics, Inc. (NASDAQ:STLD) shares climbed 2.6% after the company reported fourth-quarter earnings that came in ahead of market expectations, even as revenue missed consensus estimates.
The steelmaker delivered net income of $266 million for the quarter, equal to $1.82 per diluted share, beating analysts’ forecasts of $1.69 per share. Quarterly revenue totaled $4.4 billion, below the expected $4.53 billion. Results marked a sequential slowdown from the third quarter, when net income reached $404 million, or $2.74 per diluted share.
“The teams delivered solid operational and financial performance across our operating platforms in 2025,” said Mark D. Millett, Chairman and Chief Executive Officer. “This performance demonstrates the strength and consistency of our cash generation, as we generated $1.4 billion in cash flow from operations during the year.”
For the full year 2025, Steel Dynamics reported net sales of $18.2 billion, up 3.6% from $17.5 billion in 2024, while achieving record steel shipments of 13.7 million tons.
Operating income from steel operations in the fourth quarter totaled $322 million, down 35% from the previous quarter. The decline reflected lower average selling prices and reduced shipment volumes tied to seasonal demand softness and scheduled maintenance outages at flat-rolled steel facilities. Average external selling prices fell $12 sequentially to $1,107 per ton.
Looking ahead, management struck an optimistic tone on demand trends. “We anticipate that improving market conditions, including increased trade stability and a more favorable interest rate environment, will support solid domestic demand for steel and aluminum products,” Millett added.