The US’ Steel Dynamics Inc plans to announce record company earnings for 2018 based on its projections for the fourth quarter, Kallanish understands from company guidance.

Steel Dynamics expects to earn $1.11-1.15/diluted share in Q4. For comparison, the company earned $1.28/share, or $305 million, in Q4 2017 and $3.36/share, or $813m, for full-year 2017.

The company has earned a combined total of $4.18/share already this year, or $988m through Q3.

“The company anticipates record annual 2018 earnings significantly higher than its previous record set in 2017,” Steel Dynamics writes in its guidance, without naming a specific 2018 figure. “Based on strong steel demand fundamentals and customer optimism, the company believes steel consumption and market dynamics will remain strong in 2019 and has confidence in its ability to continue to deliver consistent strong free cash flow.”

Higher maintenance and transportation costs bit into Steel Dynamics’ Q4 results relative to Q3, though business overall remains strong, the company says.

“Fourth quarter 2018 profitability from the company's steel operations is expected to be strong, but lower than record sequential third quarter results, primarily driven by lower earnings from the company's flat roll operations,” the company says. “The company's flat roll operations incurred higher maintenance costs and lower shipments, due to major maintenance outages at both its Butler (Pennsylvania) and Columbus (Ohio) locations, as well as, flat roll metal spread compression, and seasonally lower steel shipments.”

Competing mill Nucor also expects to announce record profits in 2018.