SECOND
QUARTER
1995
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 July 1, 1995 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
87,437,211 shares of common stock were outstanding at July 1, 1995.
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<PAGE>
PART I - FINANCIAL INFORMATION
Consolidated Condensed Statements of Earnings
<TABLE>
<CAPTION>
Six Months (26 Weeks) Ended Three Months (13 Weeks) Ended
July 1, 1995 July 2,1994 July 1, 1995 July 2, 1994
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Net sales..................... $1,721,886,767 $1,389,802,818 $880,152,115 $740,101,570
Costs and expenses:
Cost of products sold....... 1,437,075,166 1,196,337,792 735,088,241 629,028,479
Marketing, administrative
and other expenses........ 69,525,134 55,358,118 35,818,776 30,514,935
Interest expense............ 1,644,340 8,046,823 411,422 4,178,025
1,508,244,640 1,259,742,733 771,318,439 663,721,439
Earnings before
federal income taxes........ 213,642,127 130,060,085 108,833,676 76,380,131
Federal income taxes........ 76,400,000 45,500,000 38,900,000 26,700,000
Net earnings.............. $ 137,242,127 $ 84,560,085 $ 69,933,676 $ 49,680,131
Net earnings per share........ $1.57 $.97 $.80 $.57
Dividends declared
per share................. $.14 $.09 $.07 $.045
Average number of
shares outstanding...... 87,393,162 87,129,998 87,422,538 87,153,715
</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>
July 1, December 31,
1995 1994
(Unaudited) (Audited)
<S> <C> <C>
Assets
Current assets:
Cash and short-term investments................. $ 202,280,765 $ 101,930,479
Accounts receivable............................. 307,102,019 258,131,947
Inventories..................................... 248,907,803 243,026,854
Other current assets............................ 37,448,299 35,612,117
Total current assets.......................... 795,738,886 638,701,397
Property, plant and equipment..................... 1,356,908,140 1,363,218,768
Total assets.................................. $2,152,647,026 $2,001,920,165
Liabilities and stockholders' equity
Current liabilities:
Long-term debt due within one year.............. $ 150,000 $ 250,000
Accounts payable................................ 220,825,082 182,846,410
Salaries, wages and related accruals............ 72,770,978 88,706,273
Federal income taxes............................ 12,907,659 15,507,659
Accrued expenses and other current liabilities.. 118,571,065 95,154,860
Total current liabilities..................... 425,224,784 382,465,202
Long-term debt due after one year................. 136,850,000 173,000,000
Deferred credits and other liabilities............ 153,009,517 147,859,517
Minority interests................................ 187,955,340 175,985,189
Stockholders' equity:
Common stock.................................... 35,843,756 35,803,072
Additional paid-in capital...................... 41,207,475 39,272,431
Retained earnings............................... 1,190,799,425 1,065,796,421
1,267,850,656 1,140,871,924
Treasury stock.................................. (18,243,271) (18,261,667)
1,249,607,385 1,122,610,257
Total liabilities and stockholders' equity.... $2,152,647,026 $2,001,920,165
</TABLE>
Inventories consisted of approximately 50% raw materials and
supplies, and 50% finished and semi-finished products at July 1, 1995
(55% and 45% at December 31, 1994).
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>
Six Months (26 Weeks) Ended
July 1, 1995 July 2, 1994
(Unaudited) (Unaudited)
<S> <C> <C>
Operating activities:
Net earnings............................................ $137,242,127 $ 84,560,085
Adjustments:
Depreciation of plant and equipment................... 82,743,171 73,621,764
Minority interests.................................... 11,086,551 7,776,574
Changes in:
Current assets...................................... (56,687,203) (76,231,412)
Current liabilities................................. 42,859,582 72,040,012
Other............................................... 5,109,163 7,203,105
Cash provided by operating activities................. 222,353,391 168,970,128
Investing activities:
Capital expenditures (net).............................. (76,391,706) (128,135,457)
Cash used in investing activities..................... (76,391,706) (128,135,457)
Financing activities:
Decrease in long-term debt.............................. (36,250,000) (33,200,000)
Contributions for (distributions to) minority interests. 883,600 14,163,560
Issuance of common stock................................ 1,994,124 1,712,847
Cash dividends.......................................... (12,239,123) (7,844,002)
Cash used in financing activities..................... (45,611,399) (25,167,595)
Increase in cash and short-term investments............... $100,350,286 $ 15,667,076
</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 20% from the second quarter of
1994 to the second quarter of 1995, and increased by about 25%
from the first half of 1994 to the first half of 1995. About
three fourths of the net sales increase resulted from an increase
in sales volume, and about one fourth resulted from an increase
in average sales prices. Average sales prices increased by about
5% from both the second quarter of 1994 to the second quarter of
1995, and also from the first half of 1994 to the first half of
1995.
The major component of cost of products sold is raw material
costs. The average price of raw materials increased about 10% in
the second quarter of 1995 compared with the second quarter of
1994, and increased by more than 5% in the first half of 1995
from the first half of 1994.
Major components of marketing, administrative and other
expenses are freight and profit sharing costs. Unit freight
costs were unchanged from the second quarter of 1994 to the
second quarter of 1995, and decreased slightly from the first
half of 1994 to the first half of 1995. Profit sharing costs
increased about 25% from the second quarter of 1994 to the second
quarter of 1995, and increased about 50% from the first half of
1994 to the first half of 1995. 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 second quarter and
first half of 1995 from the second quarter and first half of
1994, due primarily to decreased borrowings and increased short-term
investments.
Federal income taxes were at a rate of about 36% for the
first half and second quarter of 1995, versus a rate of about 35%
for the second quarter and first half of 1994.
Net earnings increased during the second quarter and first
half of 1995, compared with the second quarter and first half of
1994, principally due to increased sales volume and improved
margins.
Margins were about 16.5% for the second quarter and first
half of 1995, versus about 15% for the second quarter of 1994 and
about 14% for the first half of 1994.
Liquidity and capital resources
The current ratio was about 1.9 at the end of the first half
of 1995, and about 1.7 at year-end 1994. The percentage of long-term
debt to total capital was about 9% at the end of the first
half of 1995, and about 12% at year-end 1994.
Capital expenditures decreased about 40% during the first
half of 1995, compared with the first half of 1994. Capital
expenditures are projected to be more than $250 million for all
of 1995. Funds provided from operations, existing credit
facilities, and new long-term debt are expected to be more than
adequate to meet future capital expenditure and working capital
requirements.
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<PAGE>
PART II - OTHER INFORMATION
Item 4 - Submission of Matters to a Vote of Security Holders
At the annual meeting of stockholders held on May 11, 1995, one
director was elected for a term of three years expiring in 1998; 74,483,635
shares were voted for John D. Correnti (1,238,792 abstained). A
stockholder proposal regarding selection of directors was defeated;
59,074,553 shares were voted against the proposal (8,534,094 shares for and
2,638,224 abstained).
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>
Six Months (26 Weeks) Ended Three months (13 Weeks) Ended
July 1, 1995 July 2, 1994 July 1, 1995 July 2, 1994
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Primary:
Primary net earnings..........$137,242,127 $84,560,085 $69,933,676 $49,680,131
Average shares outstanding
(excludes dilutive effect
of employee stock options
because less than 3%)...... 87,393,162 87,129,998 87,422,538 87,153,715
Primary
net earnings per share...... $1.5704 $.9705 $.8000 $.5700
Fully diluted:
Fully diluted net earnings....$137,242,127 $84,560,085 $69,933,676 $49,680,131
Fully diluted
average shares outstanding:
Primary shares outstanding.. 87,393,162 87,129,998 87,422,538 87,153,715
Dilutive effect of
employee stock options.... 195,479 354,357 168,023 353,423
87,588,641 87,484,355 87,590,561 87,507,138
Fully diluted
net earnings per share...... $1.5669 $.9666 $.7984 $.5677
</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
Vice Chairman,
Dated: August 11, 1995 Chief Financial Officer
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<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUL-01-1995
<CASH> 202,280,765
<SECURITIES> 0
<RECEIVABLES> 323,958,190
<ALLOWANCES> 16,856,171
<INVENTORY> 248,907,803
<CURRENT-ASSETS> 795,738,886
<PP&E> 2,048,997,552
<DEPRECIATION> 692,089,412
<TOTAL-ASSETS> 2,152,647,026
<CURRENT-LIABILITIES> 425,224,784
<BONDS> 136,850,000
<COMMON> 35,843,756
0
0
<OTHER-SE> 1,232,006,900
<TOTAL-LIABILITY-AND-EQUITY> 2,152,647,026
<SALES> 880,152,115
<TOTAL-REVENUES> 880,152,115
<CGS> 735,088,241
<TOTAL-COSTS> 735,088,241
<OTHER-EXPENSES> 35,818,776
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 411,422
<INCOME-PRETAX> 108,833,676
<INCOME-TAX> 38,900,000
<INCOME-CONTINUING> 69,933,676
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 69,933,676
<EPS-PRIMARY> .80
<EPS-DILUTED> .80
</TABLE>
