Nucor Steel Louisiana had an operating loss of about $28 million in the third quarter, which included a $7.7 million write off of two remaining storage domes at the facility.
The loss at the St. James plant was included in the steelmaker’s third-quarter earnings report. Nucor’s earnings totaled of $227.1 million, or 71 cents per share, which the company said was better than the 45 cents to 50 cents it expected because of larger-than-forecasted credit and better-than-expected performance in its steel mills segment.
Nucor Corp.’s sales decreased 26 percent to $4.23 billion in the third quarter from $5.70 billion in the third quarter of 2014.
Earnings in the fourth quarter are expected to decrease compared to the third quarter due to continued deterioration in global steel markets, the company said. A slowing economy in China is causing global overcapacity and resulting in significant levels of steel imports into the U.S. market.
However, Nucor said it is encouraged by the strength in the automotive market and gradual improvement in the nonresidential construction market, the largest market for Nucor products.