Steel Dynamics (STLD) Q2 2026 earnings summary

Executive summary

• Achieved record quarterly steel shipments of 3.7 million tons and adjusted EBITDA of $921 million in Q2 2026, with net income of $534 million ($3.69 per diluted share) and revenues of $6.1 billion, reflecting strong operational and financial performance across platforms.

• Aluminum operations ramped up, with flat-rolled sheet shipments rising to 53,000 metric tons, significant progress in commissioning and customer qualifications, and expectations for sharp volume and profitability increases in H2 2026 and 2027.

• Strong demand and order activity in steel fabrication, with a 45% year-over-year increase in backlog, and robust market fundamentals across steel and recycling segments.

• Continued focus on safety, with recordable injury rates below industry averages and a commitment to a zero-incident culture.

• Maintained a differentiated, circular business model with high steel mill utilization rates and strong cash generation.

Financial highlights

• Adjusted EBITDA reached $921 million, operating income was $700 million, and net income was $534 million ($3.69 per diluted share), all up significantly year-over-year and sequentially.

• Steel operations generated $721 million in operating income, a 30% sequential and 89% year-over-year increase, with average selling prices up $105/ton.

• Metals recycling platform delivered $48 million in operating income, and steel fabrication $85 million, both stable sequentially.

• Aluminum operations posted a $33 million operating loss (improved 48% sequentially), with a $16 million non-cash impairment charge for a slab center relocation.

• Cash flow from operations was $428 million, with liquidity of $2 billion at quarter-end.

Outlook and guidance

• Expect improved steel pricing and value-added spreads to benefit Q3 results due to lagging contract structures.

• Aluminum rolling mill volumes and profitability forecast to rise sharply in H2 2026 and into 2027 as new mills come online and startup costs subside.

• Steel fabrication volumes expected to remain strong, with pricing improvements likely in the next 6–9 months and into 2027.

• Growth strategy funded through free cash flow and debt capacity, with a commitment to maintain investment grade credit metrics.

• Working capital expected to be a funding source in H2 2026.