Quarterly Financial Information

12 Months Ended

Dec. 31, 2017

Note 15. Quarterly Financial Information (unaudited, in thousands, except per share data)


		1st Quarter		2nd Quarter		3rd Quarter		4th Quarter
2017:
Net Sales	$	2,368,216	$	2,390,720	$	2,443,382	$	2,336,479
Gross profit		472,154		392,518		396,518		320,824
Operating income		334,566		265,353		271,015		195,947
Net income		198,666		152,947		151,012		303,171
Net income attributable to Steel Dynamics, Inc.		200,817		153,933		153,258		304,733
Earnings per share:
Basic		0.83		0.64		0.64		1.28
Diluted		0.82		0.63		0.64		1.28

2016:
Net Sales	$	1,741,301	$	2,023,902	$	2,101,310	$	1,910,596
Gross profit		236,036		380,383		408,503		309,942
Operating income		131,965		256,122		283,855		56,024
Net income		61,318		140,443		154,413		3,832
Net income attributable to Steel Dynamics, Inc.		62,737		141,969		157,397		20,012
Earnings per share:
Basic		0.26		0.58		0.65		0.08
Diluted		0.26		0.58		0.64		0.08

The fourth quarter of 2017 net income and net income attributable to Steel Dynamics, Inc. reflects $180.6 million of tax benefit related primarily to the impacts of the revaluation of the company’s deferred tax liabilities as of December 31, 2017, using the lower federal tax rate enacted in the Tax Cuts and Jobs Act of 2017.

The fourth quarter of 2016 reflects non-cash asset impairment charges associated with the company’s Minnesota ironmaking operations and certain OmniSource goodwill, which reduced operating and pretax income by $132.8 million, net income by $89.5 million and net income attributable to Steel Dynamics, Inc. by $76.4 million. The fourth quarter of 2016 also reflects non-operating expenses of $16.5 million associated with call premiums and the write off of deferred financing costs related to the refinancing of $400.0 million of outstanding 6.125% Senior Notes due 2019 with $400.0 million 5.000% Senior Notes due 2026, and repayment of the $228.1 million outstanding senior secured term debt.

Earnings per share are computed independently for each of the quarters presented. Therefore, the sum of the quarterly earnings per share may not equal the total for the year.