THIRD
QUARTER
1994
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For quarter ended October 1, 1994 Commission file number 1-4119
NUCOR CORPORATION
(Exact name as specified in charter)
Delaware 13-1860817
(State or other jurisdiction of (I.R.S. employer
incorporation or organization) identification no.)
2100 Rexford Road, Charlotte, North Carolina 28211
(Address of principal executive offices) (Zip code)
Telephone number, including area code: (704) 366-7000
Indication by check mark whether Nucor Corporation
(1) has filed all reports required to be filed by
Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding twelve months, and (2)
has been subject to such filing requirements for the
past 90 days: Yes X No
87,210,589 shares of common stock were outstanding at October 1, 1994.
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<PAGE>
PART I - FINANCIAL INFORMATION
Consolidated Condensed Statements of Earnings
<TABLE>
<CAPTION>
Nine Months (39 Weeks) Ended Three Months (13 Weeks) Ended
Oct. 1, 1994 Oct. 2, 1993 Oct. 1, 1994 Oct. 2, 1993
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Net sales.................. $2,176,227,606 $1,641,992,294 $786,424,788 $587,280,572
Costs and expenses:
Cost of products sold.... 1,844,132,395 1,431,624,215 647,794,603 506,197,293
Marketing, administrative
and other expenses..... 90,967,237 68,871,679 35,609,119 24,731,682
Interest expense......... 11,444,067 9,727,225 3,397,244 3,644,469
1,946,543,699 1,510,223,119 686,800,966 534,573,444
Earnings before
federal income taxes..... 229,683,907 131,769,175 99,623,822 52,707,128
Federal income taxes..... 80,600,000 44,800,000 35,100,000 17,900,000
Net earnings........... $149,083,907 $86,969,175 $64,523,822 $34,807,128
Net earnings per share..... $1.71 $1.00 $.74 $.40
Dividends declared
per share................ $.135 $.12 $.045 $.04
Average number of
shares outstanding... 87,147,660 86,878,785 87,183,177 86,952,262
</TABLE>
The information furnished reflects all
adjustments which are, in the opinion of management,
necessary to a fair statement of the results for the
interim periods.
The information furnished has not been audited
and is subject to year-end adjustments.
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<PAGE>
Consolidated Condensed Balance Sheets
<TABLE>
<CAPTION>
October 1, December 31,
1994 1993
Assets (Unaudited) (Audited)
<S> <C> <C>
Current assets:
Cash and short-term investments................. $ 47,695,208 $ 27,254,817
Accounts receivable............................. 276,133,427 202,176,241
Inventories..................................... 223,467,776 215,014,570
Other current assets............................ 24,448,981 23,786,254
Total current assets.......................... 571,745,392 468,231,882
Property, plant and equipment..................... 1,402,853,222 1,361,036,440
Total assets.................................. $1,974,598,614 $1,829,268,322
Liabilities and stockholders' equity
Current liabilities:
Long-term debt due within one year.............. $ 250,000 $ 200,000
Accounts payable................................ 184,471,534 165,734,528
Salaries, wages and related accruals............ 105,996,469 60,892,849
Federal income taxes............................ 12,995,929 14,267,152
Accrued expenses and other current liabilities.. 144,387,085 109,396,252
Total current liabilities..................... 448,101,017 350,490,781
Long-term debt due after one year................. 217,000,000 352,250,000
Deferred credits and other liabilities............ 97,773,098 81,273,098
Minority interests................................ 169,596,143 143,087,504
Stockholders' equity:
Common stock.................................... 35,754,317 35,701,222
Additional paid-in capital...................... 32,469,821 29,913,677
Retained earnings............................... 992,172,899 854,857,471
1,060,397,037 920,472,370
Treasury stock.................................. (18,268,681) (18,305,431)
1,042,128,356 902,166,939
Total liabilities and stockholders' equity.... $1,974,598,614 $1,829,268,322
</TABLE>
Inventories consisted of approximately 50% raw
materials and supplies, and 50% finished and semi-
finished products at October 1, 1994 (50% and 50% at
December 31, 1993).
The information furnished has not been audited
and is subject to year-end adjustments.
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<PAGE>
Consolidated Condensed Statements of Cash Flows
<TABLE>
<CAPTION>
Nine Months (39 Weeks) Ended
Oct. 1, 1994 Oct. 2, 1993
(Unaudited) (Unaudited)
<S> <C> <C>
Operating activities:
Net earnings............................................ $149,083,907 $ 86,969,175
Adjustments:
Depreciation of plant and equipment................... 113,154,831 90,892,691
Minority interests.................................... 14,408,469 10,747,527
Changes in:
Current assets...................................... (83,073,119) (58,677,729)
Current liabilities................................. 97,560,236 73,846,537
Other............................................... 16,060,189 (1,918,216)
Cash provided by operating activities................. 307,194,513 201,859,985
Investing activities:
Capital expenditures.................................... (154,531,802) (284,325,561)
Cash (used in) investing activities................... (154,531,802) (284,325,561)
Financing activities:
Increase (decrease) in long-term debt................... (135,200,000) 95,500,000
Contributions for (distributions to) minority interests. 12,100,170 (6,421,940)
Issuance of common stock................................ 2,645,989 3,774,011
Cash dividends.......................................... (11,768,479) (10,430,769)
Cash provided by (used in) financing activities....... (132,222,320) 82,421,302
Increase (decrease) in cash
and short-term investments.............................. $ 20,440,391 $ (44,274)
</TABLE>
The information furnished has not been audited
and is subject to year-end adjustments.
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<PAGE>
Analysis of Operations and Finances
Operations
Net sales increased by about 35% from the third
quarter of 1993 to the third quarter of 1994, and
increased by more than 30% from the first nine
months of 1993 to the first nine months of 1994.
About 60% of the net sales increase resulted from an
increase in sales volume. Average sales prices
increased by less than 10% from the third quarter of
1993 to the third quarter of 1994, and increased
about 10% from the first nine months of 1993 to the
first nine months of 1994.
The major component of cost of products sold is
raw material costs. The average price of raw
materials increased about 10% in the third quarter
of 1994 compared with the third quarter of 1993, and
increased about 20% in the first nine months of 1994
from the comparable year-earlier period.
Major components of marketing, administrative
and other expenses are freight and profit sharing
costs. Unit freight costs decreased about 10% from
the third quarter of 1993 to the third quarter of
1994, and decreased more than 10% from the first
nine months of 1993 to the first nine months of
1994. Profit sharing costs increased about 100%
from the third quarter of 1993 to the third quarter
of 1994, and increased about 85% from the first nine
months of 1993 to the first nine months of 1994.
Profit sharing costs are based upon and generally
fluctuate with pre-tax earnings.
Interest expense, which is reduced by interest
income from short-term investments, decreased for
the third quarter of 1994 from the third quarter of
1993, due primarily to decreased borrowings; and
increased for the first nine months of 1994 from the
first nine months of 1993 due to increased
borrowings and increased average interest rates.
Federal income taxes were at a rate of about 35%
for the third quarter and first nine months of 1994,
and about 34% for the third quarter and first nine
months of 1993.
Net earnings increased during the third quarter
and first nine months of 1994, compared with the
third quarter and first nine months of 1993,
principally due to increased sales volume and
improved margins.
Margins were about 18% for the third quarter of
1994 and about 15% for the first nine months of
1994, versus about 14% for the third quarter of 1993
and 13% for the first nine months of 1993.
Liquidity and capital resources
The current ratio was about 1.3 at the end of
the first nine months of 1994, and about 1.3 at
year-end 1993. The percentage of long-term debt to
total capital was about 15% at the end of the first
nine months of 1994, and about 25% at year-end 1993.
Capital expenditures decreased about 45% during
the first nine months of 1994, compared with the
first nine months of 1993. Capital expenditures are
projected to be more than $200 million for all of
1994. Funds provided from operations, existing
credit facilities and new borrowings are expected to
be adequate to meet future capital expenditure and
working capital requirements.
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<PAGE>
PART II - OTHER INFORMATION
Item 6 - Exhibits and Reports on Form 8-k
Exhibit 11 - Computation of net earnings per share.
Reports on Form 8-K - None filed for the quarter.
Exhibit 11 - Computation of net earnings per share
<TABLE>
<CAPTION>
Nine Months (39 Weeks) Ended Three months (13 Weeks) Ended
Oct. 1, 1994 Oct. 2, 1993 Oct. 1, 1994 Oct. 2, 1993
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C>
Primary:
Primary net earnings.......... $149,083,907 $86,969,175 $64,523,822 $34,807,128
Average shares outstanding
(excludes dilutive effect
of employee stock options
because less than 3%)...... 87,147,660 86,878,785 87,183,177 86,952,262
Primary
net earnings per share...... $1.7107 $1.0010 $.7401 $.4003
Fully diluted:
Fully diluted net earnings.... $149,083,907 $86,969,175 $64,523,822 $34,807,128
Fully diluted
average shares outstanding:
Primary shares outstanding.. 87,147,660 86,878,785 87,183,177 86,952,262
Dilutive effect of
employee stock options.... 350,043 396,852 341,371 382,523
87,497,703 87,275,637 87,524,548 87,334,785
Fully diluted
net earnings per share...... $1.7039 $.9965 $.7372 $.3985
</TABLE>
The information furnished has not been audited
and is subject to year-end adjustments.
SIGNATURES
Pursuant to the requirements of the Securities
Exchange Act of 1934, Nucor Corporation has duly
caused this report to be signed on its behalf by the
undersigned, who is (1) a duly authorized officer,
and (2) the principal financial officer.
NUCOR CORPORATION
By: SAMUEL SIEGEL
Samuel Siegel
Vice Chairman,
Dated: November 11, 1994 Chief Financial Officer
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<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> OCT-01-1994
<CASH> 47,695,208
<SECURITIES> 0
<RECEIVABLES> 290,064,107
<ALLOWANCES> 13,930,680
<INVENTORY> 223,467,776
<CURRENT-ASSETS> 571,745,392
<PP&E> 1,975,170,122
<DEPRECIATION> 572,316,900
<TOTAL-ASSETS> 1,974,598,614
<CURRENT-LIABILITIES> 448,101,017
<BONDS> 217,000,000
<COMMON> 35,754,317
0
0
<OTHER-SE> 1,024,642,720
<TOTAL-LIABILITY-AND-EQUITY> 1,974,598,614
<SALES> 2,176,227,606
<TOTAL-REVENUES> 2,176,227,606
<CGS> 1,844,132,395
<TOTAL-COSTS> 1,844,132,395
<OTHER-EXPENSES> 90,967,237
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 11,444,067
<INCOME-PRETAX> 229,683,907
<INCOME-TAX> 80,600,000
<INCOME-CONTINUING> 149,083,907
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 149,083,907
<EPS-PRIMARY> 1.71
<EPS-DILUTED> 1.70
</TABLE>
