X - Earnings call 4 2023 | United States Steel Corporation

Due to licensing restrictions, you must log in to view earnings call transcripts.

David Burritt

Hello, everybody. Thank you for watching. And please take some time to review our fourth quarter and full year 2023 earnings materials available here. In light of the pending merger with Nippon Steel Corporation, or NSC, we are not posting a traditional earnings call this quarter.

However, we want to highlight our fourth quarter financial results and provide an update on the business. Excited. is word key The Excited about U.S. the projects Steel another record and strong excited, quarter, in-flight of for start-up the closer have terrific the achieved have financial transaction strategic our that of to course, excited excited another safety and another quarter to future, delivered now are announcement year, the by to excited NSC. with U.S. Together, world-leading to capabilities. are NSC best the and creating looking forward maker Steel with deal

of information the We The continue on closing towards statement or with preliminary XXXX. to merger. quarter filed the transaction proxy second January third in XX, on work the SEC has the more

As business remain and we focused deglobalization, we the the harnessing of of megatrends performance with progress on digitization closing, decarbonization on towards and the intelligence. artificial

to people profitable solutions deliver steel unchanged and sustainable for and mission Our planet. is

me turn results. quarter fourth provide to on Jess, over XXXX update brief things who a Now will our let

Jessica Graziano

Thanks, Dave.

the for as Our in with better-than-expected fourth strong financial of in quarter and off capped XXXX Steel U.S. begin year XXXX. quarter great performance another results we momentum

full the diluted $X.XX earnings adjusted of quarter Fourth $XXX reported year, earnings net or were share. diluted or net $X.XX per share. million $XXX per million we For

benefited Now from year-end Mill EBITDA adjusted EPS $XXX better inventory in well of in Mini Flat-Rolled adjustments both across performance favorable American our and million segment. as and segments of Tubular from as impacts North our

the fourth to with the support continuing on-time quarter. on our in gas, of $XXX million projects our in-flight strategic of foot strategic We CapEx kept execution spent the

$XXX business. investable flow We $XXX by CapEx negative was million of at expected as cash would the strategic free the spending be by our that offset generated flow cash million

$X.X billion liquidity, as we the Our ended balance year including with cash. as of $X.X steel of it strong sheet, total billion remains

EBITDA. leverage at to adjusted low debt year-end Xx Our at gross super remains

into operating a segment quarter. take dive deeper the for fourth Let's results our

of EBITDA. Our $XXX Flat-Rolled segment million delivered

at the continuing about execution pellet segment I'll million EBITDA that direct is steel project. sequentially December, note lower our another QX the As includes lower prices our of grade And the startup budget. commissioned our to quarter-over-quarter. strategy. successful and And on operations of expected, $XX reduced time our point Keetac proof we investment on in Flat-Rolled in costs mining resulted related EBITDA this Keetac of in

Mill Mill our of the $XX XX% start-up Mini our generated EBITDA in are projects Our results to expenses, earnings the about anticipated Included And XX% through prices million segment for would million quarter in have a notably, at been quarter segment throughout EBITDA those rise December. EBITDA. nonrecurring margins of those Mini margin in increasing Mini in-flight including costs in end, for in steel River. Mill Adjusting $XX Big QX. healthy led

costs. business. higher in delivered third The customer quarter. fourth generated $XXX was enough an lower mix $X operational raw of by demand, improvement was the Moving versus unfavorable volumes to fourth offset segment The stronger not to We our performance quarter Tubular million material shipping mainly driven impact EBITDA sequential the the million during the during EBITDA European favorable in And increased quarter. sales of and quarter. we of finally, lower the and prices

seasonal EBITDA primarily for River I Looking forward, sequentially. The partially providing our segment, Minnesota. in trend sequential from QX EBITDA. fixed-priced we Flat-Rolled operations mentioned from typical sizable in offset in Mini steel a Big in our spot and a QX our of mining anticipate steel in prices higher expected ended rising improvement contract see impact ahead of first from expect successful will as we carries EBITDA in XXXX, Mill headwinds momentum we the segment, improvement QX. segment At negotiations, of the by to QX we That be the quarter QX prices come in the stronger also

higher first to will still segment drive more challenged pricing remember, selling EBITDA material Tubular, both than volumes the lower start in sequential European offset anticipated decrease experiencing and we expected and the in But expect first in year. are higher In we remain quarter. sustained prices to receiving in Headwinds stakeholders COX the quarter. as costs pricing raw we historical the Our land million a and are add exciting you is for than in the surprise as should up, we Tubular. And to margins no time of when come Steel U.S. EBITDA at It Steel's expected first for this $XXX million. questions to that quarter from adjusted that $XXX trends are in all U.S. history. range

of to to we Dave? here's questions have So some responses been Dave, receiving. the asked frequently more provide

David Burritt

weeks. on Thanks, We've review process Jess. checks alternatives confidently I competitive announced the past that stated we August At the the running strategic several the and was Board's a boxes. heard transaction focus value. and stockholder can NSC outset process these maximizing over both of fair you many say in with of of XXXX, the from

may me some on your that spend let few be moments addressing a questions So mind.

with and factors. merger value, of best received The form other payment, the closing consideration, was of NSC of certainty based proposal on certainty

cash subject deal a is XX value, and timely result strategic process. approvals, And security competitive confident we recommendation that board's with the First, filed with Board's in been processes be with a alternative transaction about in can manner. our Commission those website. and certain judgment, decision second, all the offer the is Details on available has the Securities to certainty. the Exchange share was we're highest statement, will of NSC proxy preliminary and regulatory January has on and per which $XX found The we our NSC clear the best a received transaction as in

expeditiously them and continue making been stakeholders, has transaction. that and towards with the center to the NSC key transaction. NSC closing front to their Steel to We're clear commitment work U.S. excited and

safety, occur we and to XXXX. in strong of running meantime, focused operating deliver and second the performance. the continue customers continuing to We expect serve on third our closing or to In to are financial quarter business our

has stakeholders. The of benefits with NSC transaction for our all

investing expressed honoring has to and their retaining in For to and talent collective our employees, all agreements. bargaining commitment NSC

in For with American leader experience NSC landscape well-capitalized competitive and global operations, transaction industry. the will with steel and customers, improve blast to expertise and decarbonization the furnace innovation a the bring

Steel areas. the and communities, and of retain U.S. commercial, research, our Steel maintain jobs and safety, and retain steel its Steel will melt communities name, environmental in will continue For in all mine, headquarters States to advance corporate to jobs enhance positively NSC U.S. America operations transaction education X,XXX safe that projects will U.S. Pittsburgh, the quality make of and and communities support continue will to in United which in opportunities facilities. stewardship. its and and support other information Together, technology improve and in secure impact to life

NSC merger the truly stated I December As deal in but it announcement, maximize not stockholders, only the for value XX achieves best for our does with all.

are We will confident the close. transaction

facts the serious Our review robust and process, grounded experts in of Board should it scrutiny. that That's and with data as That's anticipated strategic alternatives -- many would assistance we transaction smart. receive be. and a conducted the

it all and also confident involved. parties allow that close the relevant this NSC to customers, committed regulatory will for and but what country, transaction U.S. to Steel and communities, to are employees transaction both outcomes and economy our We agencies are stockholders and takes are committed our doing will only great working our see with not for the this

and the today. continue doubt, make the No maintain will to after and And in closing, jobs in while melt best mine, Steel its steel Pittsburgh. America transaction headquarters U.S. supporting

Thanks our for watching reviewing for and materials. earnings

the grateful I are your every We very principles work grateful Above to on day. dedication are customer we are excited about for have environmental U.S. of brought believe us the future are support. all, where truly safety are in for truly employees satisfaction best steel today. Steel's industry. They're the to their do to steel and we they our and embodiment the Steel focused excellence, and and U.S. their they

safely. work Now let's get back to

United States Steel (X) 2 Feb 242023 Q4 Earnings call transcript