- Fourth quarter 2020 net earnings of $49 million, or $0.22
per diluted share; full-year 2020 net loss of $1,165 million, or
$5.92 per diluted share.
- Fourth quarter 2020 adjusted net loss of $60 million, or
$0.27 per diluted share; full-year 2020 adjusted net loss of $920
million, or $4.67 per diluted share.
- Fourth quarter 2020 adjusted EBITDA of $87 million;
full-year 2020 adjusted EBITDA of $(162) million.
- Liquidity of $3.153 billion, including cash of $1.985
billion.
United States Steel Corporation (NYSE: X) reported fourth
quarter 2020 net earnings of $49 million, or $0.22 per diluted
share. Adjusted net loss was $60 million, or $0.27 per diluted
share. This compares to fourth quarter 2019 net loss of $668
million, or $3.93 per diluted share. Adjusted net loss for the
fourth quarter 2019 was $109 million, or $0.64 per diluted
share.
Full-year 2020 net loss was $1,165 million, or $5.92 per diluted
share. Adjusted net loss was $920 million, or $4.67 per diluted
share. This compares to full-year 2019 net loss of $630 million, or
$3.67 per diluted share. Adjusted net earnings for 2019 were $15
million, or $0.09 per diluted share.
Earnings Highlights
Quarter Ended
Year Ended
December 31,
December 31,
(Dollars in millions, except per share
amounts)
2020
2019
2020
2019
Net Sales
$
2,562
$
2,824
$
9,741
$
12,937
Segment (loss) earnings before interest
and income taxes
Flat-Rolled
$
(73
)
$
(79
)
$
(596
)
$
196
U. S. Steel Europe
36
(30
)
9
(57
)
Tubular
(32
)
(46
)
(179
)
(67
)
Other Businesses
(6
)
(3
)
(39
)
23
Total segment (loss) earnings before
interest and income taxes
$
(75
)
$
(158
)
$
(805
)
$
95
Other items not allocated to segments
118
(218
)
(270
)
(325
)
Earnings (loss) before interest and
income taxes
$
43
$
(376
)
$
(1,075
)
$
(230
)
Net interest and other financial
costs
88
71
232
222
Income tax (benefit) provision
(94
)
221
(142
)
178
Net earnings (loss)
$
49
$
(668
)
$
(1,165
)
$
(630
)
Earnings (loss) per diluted
share
$
0.22
$
(3.93
)
$
(5.92
)
$
(3.67
)
Adjusted net (loss) earnings
(a)
$
(60
)
$
(109
)
$
(920
)
$
15
Adjusted net (loss) earnings per
diluted share (a)
$
(0.27
)
$
(0.64
)
$
(4.67
)
$
0.09
Adjusted earnings (loss) before
interest, income taxes, depreciation and amortization (EBITDA)
(a)
$
87
$
4
$
(162
)
$
711
(a)
Please refer to the non-GAAP
Financial Measures section of this document for the reconciliation
of these amounts.
“We finished 2020 strong and are optimistic about the
opportunity to deliver incremental value for our stakeholders in
2021,” said U. S. Steel President and CEO David B. Burritt. “Our
fourth quarter adjusted EBITDA of $87 million is only just
beginning to show the potential of our earnings growth as we begin
to realize the benefits of higher prices, adaptive operations, and
our continued focus on cost management. Our performance continues
to strengthen as we enter 2021 and we are bullish that the market
will continue to be fueled by robust demand, low inventories, and
supportive raw material prices.”
Commenting on its Best of BothSM strategy execution in 2020,
Burritt continued, “The team at U. S. Steel created unprecedented
value in the trough by continuing our transformation into a
world-competitive, Best of Both steel producer. By keeping the
business resilient, we were able to execute our number one
strategic priority to acquire the remaining stake in Big River
Steel. With Big River Steel now fully part of the U. S. Steel
portfolio, we are well positioned to drive significant earnings
growth while delivering our customers an unmatched value
proposition. Our future starts now and we cannot wait to show the
world the value that the only Best of Both steel company can
create.”
*****
The Company will conduct a conference call on the fourth quarter
and full-year 2020 earnings on Friday, January 29, at 8:30 a.m.
Eastern Standard. To listen to the webcast of the conference call,
and to access the company's slide presentation, visit the U. S.
Steel website, www.ussteel.com, and click on the “Investors”
section. Replays of the conference call will be available on the
website after 10:30 a.m. on January 29.
UNITED STATES STEEL
CORPORATION
PRELIMINARY SUPPLEMENTAL
STATISTICS (Unaudited)
Quarter Ended
Year Ended
December 31,
December 31,
2020
2019
2020
2019
OPERATING STATISTICS
Average realized price: ($/net ton unless
otherwise noted) (a)
Flat-Rolled
731
699
718
753
U. S. Steel Europe
652
622
626
652
U. S. Steel Europe (€/net ton)
547
562
549
582
Tubular
1,267
1,298
1,271
1,450
Steel shipments (thousands of net
tons):(a)
Flat-Rolled
2,257
2,517
8,711
10,700
U. S. Steel Europe
840
757
3,041
3,590
Tubular
74
193
464
769
Total Steel Shipments
3,171
3,467
12,216
15,059
Intersegment steel (unless otherwise
noted) shipments (thousands of net tons):
Flat-Rolled to Tubular
—
46
101
258
Flat-Rolled to U. S. Steel Europe (iron
ore pellets and fines)
506
—
1,418
424
Raw steel production (thousands of net
tons):
Flat-Rolled
2,490
2,567
9,313
11,409
U. S. Steel Europe
966
773
3,366
3,903
Tubular
16
—
16
—
Raw steel capability utilization:(b)
Flat-Rolled
58
%
60
%
55
%
67
%
U. S. Steel Europe
77
%
61
%
67
%
78
%
Tubular (c)
7
%
—
%
7
%
—
%
CAPITAL EXPENDITURES (dollars in
millions)
Flat-Rolled
$
93
$
179
$
484
$
943
U. S. Steel Europe
15
42
79
153
Tubular
26
48
159
145
Other Businesses
—
5
3
11
Total
$
134
$
274
$
725
$
1,252
(a) Excludes intersegment shipments.
(b) Based on annual raw steel production
capability of 17.0 million net tons for Flat-Rolled, 5.0 million
net tons for U. S. Steel Europe and 0.9 million net tons for
Tubular.
(c) The Fairfield Electric Arc Furnace
commenced operation in October 2020. The new 1.6 million ton
electric arc furnace is currently used to feed our 0.9 million ton
rounds caster. As a result, the Tubular segment now has annual raw
steel production capability of 0.9 million tons. The 2020
production as a % of total capability amount is based on an October
1, 2020 start date.
UNITED STATES STEEL
CORPORATION
CONDENSED STATEMENT OF OPERATIONS
(Unaudited)
Quarter Ended
Year Ended
December 31,
December 31,
(Dollars in millions, except per share
amounts)
2020
2019
2020
2019
NET SALES
$
2,562
$
2,824
$
9,741
$
12,937
Operating expenses (income):
Cost of sales (excludes items shown
below)
2,384
2,781
9,558
12,082
Selling, general and administrative
expenses
75
66
274
289
Depreciation, depletion and
amortization
162
162
643
616
Loss (earnings) from investees
39
(11
)
117
(79
)
Asset impairment charges
—
—
263
—
Gain on equity investee transactions
—
—
(31
)
—
Restructuring charges
8
221
138
275
Net gain on disposal of assets
(147
)
(4
)
(149
)
(1
)
Other loss (income), net
(2
)
(15
)
3
(15
)
Total operating expenses
2,519
3,200
10,816
13,167
EARNINGS (LOSS) BEFORE INTEREST AND INCOME
TAXES
43
(376
)
(1,075
)
(230
)
Net interest and other financial costs
88
71
232
222
(LOSS) EARNINGS BEFORE INCOME TAXES
(45
)
(447
)
(1,307
)
(452
)
Income tax (benefit) provision
(94
)
221
(142
)
178
Net earnings (loss)
49
(668
)
(1,165
)
(630
)
Less: Net earnings (loss) attributable to
noncontrolling interests
—
—
—
—
NET EARNINGS (LOSS) ATTRIBUTABLE TO UNITED
STATES STEEL CORPORATION
$
49
$
(668
)
$
(1,165
)
$
(630
)
COMMON STOCK DATA:
Net (loss) earnings per share attributable
to
United States Steel Corporation
stockholders:
Basic
$
0.22
$
(3.93
)
$
(5.92
)
$
(3.67
)
Diluted
$
0.22
$
(3.93
)
$
(5.92
)
$
(3.67
)
Weighted average shares, in thousands
Basic
220,412
170,041
196,721
171,418
Diluted
223,781
170,041
196,721
171,418
Dividends paid per common share
$
0.01
$
0.05
$
0.04
$
0.20
UNITED STATES STEEL
CORPORATION
CONDENSED CASH FLOW STATEMENT
(Unaudited)
Year Ended
December 31,
(Dollars in millions)
2020
2019
Cash provided by (used in) operating
activities:
Net loss
$
(1,165
)
$
(630
)
Depreciation, depletion and
amortization
643
616
Asset impairment charges
263
—
Gain on equity investee transactions
(31
)
—
Restructuring charges
138
275
Pensions and other post-employment
benefits
(21
)
101
Deferred income taxes
(130
)
202
Net gain on sale of assets
(149
)
(1
)
Working capital changes
575
276
Income taxes receivable/payable
20
13
Other operating activities
(5
)
(170
)
Total
138
682
Cash used in investing activities:
Capital expenditures
(725
)
(1,252
)
Investment in Big River Steel
(9
)
(710
)
Proceeds from sale of assets
167
4
Proceeds from sale of ownership interests
in equity investees
8
—
Investments, net
(4
)
—
Total
(563
)
(1,958
)
Cash provided by (used in) financing
activities:
Net change in short-term debt, net of
financing costs
170
—
Revolving credit facilities - borrowings,
net of financing costs
1,402
860
Revolving credit facilities -
repayments
(1,621
)
(100
)
Issuance of long-term debt, net of
financing costs
1,148
702
Repayment of long-term debt
(13
)
(155
)
Net proceeds from public offering of
common stock
410
—
Proceeds from Stelco Option agreement, net
of financing costs
94
—
Common stock repurchased
—
(88
)
Taxes paid for equity compensation
plans
(1
)
(7
)
Dividends paid
(8
)
(35
)
Total
1,581
1,177
Effect of exchange rate changes on
cash
23
(2
)
Net increase (decrease) in cash, cash
equivalents and restricted cash
1,179
(101
)
Cash, cash equivalents and restricted cash
at beginning of the year
939
1,040
Cash, cash equivalents and restricted cash
at end of the period
$
2,118
$
939
UNITED STATES STEEL
CORPORATION
CONDENSED BALANCE SHEET
(Unaudited)
December 31,
December 31,
(Dollars in millions)
2020
2019
Cash and cash equivalents
$
1,985
$
749
Receivables, net
994
1,177
Inventories
1,402
1,785
Other current assets
51
102
Total current assets
4,432
3,813
Operating lease assets
214
230
Property, plant and equipment, net
5,444
5,447
Investments and long-term receivables,
net
1,177
1,466
Intangible, net
129
150
Deferred income tax benefits
22
19
Other noncurrent assets
641
483
Total assets
$
12,059
$
11,608
Accounts payable and other accrued
liabilities
1,884
2,054
Payroll and benefits payable
308
336
Short-term debt and current maturities of
long-term debt
192
14
Other current liabilities
272
221
Total current liabilities
2,656
2,625
Noncurrent operating lease liabilities
163
177
Long-term debt, less unamortized discount
and debt issuance costs
4,695
3,627
Employee benefits
322
532
Other long-term liabilities
344
554
United States Steel Corporation
stockholders' equity
3,786
4,092
Noncontrolling interests
93
1
Total liabilities and stockholders'
equity
$
12,059
$
11,608
UNITED STATES STEEL
CORPORATION
NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF ADJUSTED NET
(LOSS) EARNINGS
Quarter Ended
Year Ended
December 31,
December 31,
(Dollars in millions, except per share
amounts) (a)
2020
2019
2020
2019
Reconciliation to adjusted net (loss)
earnings attributable to United States Steel Corporation
Net earnings (loss) attributable to United
States Steel Corporation, as reported
$
49
(668
)
$
(1,165
)
$
(630
)
Asset impairment charge
—
—
263
—
Restructuring and other charges
8
221
131
263
Tubular inventory impairment
—
—
24
—
Big River Steel debt extinguishment
charges (b)
18
—
18
—
Uncertain tax positions
—
—
13
—
Big River Steel financing costs
8
—
8
—
Big River Steel transaction and other
related costs
3
—
3
—
Fairless property sale
(145
)
—
(145
)
—
Big River Steel options and forward
adjustments
1
7
(39
)
7
Gain on previously held investment in
UPI
—
—
(25
)
—
December 24, 2018 Clairton coke making
facility fire
(2
)
(3
)
(6
)
41
Tax valuation allowance
—
334
—
334
Total adjustments
(109
)
559
245
645
Adjusted net (loss) earnings attributable
to United States Steel Corporation
$
(60
)
$
(109
)
$
(920
)
$
15
Reconciliation to adjusted diluted net
(loss) earnings per share
Diluted net earnings (loss) per share
0.22
(3.93
)
(5.92
)
(3.67
)
Asset impairment charge
—
—
1.34
—
Restructuring and other charges
0.04
1.30
0.67
1.53
Tubular inventory impairment
—
—
0.12
—
Big River Steel debt extinguishment
charges (b)
0.08
—
0.09
—
Uncertain tax positions
—
—
0.07
—
Big River Steel financing costs
0.04
—
0.04
—
Big River Steel transaction and other
related costs
0.01
—
0.02
—
Fairless property sale
(0.66
)
—
(0.74
)
—
Big River Steel options and forward
adjustments
0.01
0.04
(0.20
)
0.04
Gain on previously held investment in
UPI
—
—
(0.13
)
—
December 24, 2018 Clairton coke making
facility fire
(0.01
)
(0.01
)
(0.03
)
0.23
Tax valuation allowance
—
1.96
—
1.96
Total adjustments
(0.49
)
3.29
1.25
3.76
Adjusted diluted net (loss) earnings per
share
$
(0.27
)
$
(0.64
)
$
(4.67
)
$
0.09
(a) The adjustments included in this table
for the three and twelve months ended December 31, 2020 have been
tax effected for our European operations and not tax effected for
our U.S. operations due to the full valuation allowance on our
domestic deferred tax assets. The 2019 adjustments included in this
table have been tax effected through the third quarter of 2019 as a
valuation allowance was not applied to our deferred tax assets
until the fourth quarter of 2019.
(b) The Big River Steel debt
extinguishment charges were related to Big River Steel refinancing
activity that was recognized by U. S. Steel through its equity
method income.
UNITED STATES STEEL
CORPORATION
NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF ADJUSTED
EBITDA
Quarter Ended
Year Ended
December 31,
December 31,
(Dollars in millions)
2020
2019
2020
2019
Reconciliation to Adjusted EBITDA
Net earnings (loss) attributable to United
States Steel Corporation
$
49
$
(668
)
$
(1,165
)
$
(630
)
Income tax (benefit) provision
(94
)
221
(142
)
178
Net interest and other financial costs
88
71
232
222
Depreciation, depletion and amortization
expense
162
162
643
616
EBITDA
205
(214
)
(432
)
386
Asset impairment charge
—
—
263
—
Restructuring and other charges
8
221
138
275
Tubular inventory impairment
—
—
24
—
Big River Steel debt extinguishment
charges
18
—
18
—
Big River Steel transaction and other
related costs
3
—
3
—
Fairless property sale
(145
)
—
(145
)
—
Gain on previously held investment in
UPI
—
—
(25
)
—
December 24, 2018 Clairton coke making
facility fire
(2
)
(3
)
(6
)
50
Adjusted EBITDA
$
87
$
4
$
(162
)
$
711
We present adjusted net (loss) earnings, adjusted net (loss)
earnings per diluted share, (loss) earnings before interest, income
taxes, depreciation and amortization (EBITDA) and adjusted EBITDA,
which are non-GAAP measures, as additional measurements to enhance
the understanding of our operating performance. We believe that
EBITDA, considered along with net (loss) earnings, is a relevant
indicator of trends relating to our operating performance and
provides management and investors with additional information for
comparison of our operating results to the operating results of
other companies.
Adjusted net earnings (loss) and adjusted net earnings (loss)
per diluted share are non-GAAP measures that exclude the effects of
items that include: the asset impairment charge, restructuring and
other charges, the Fairless property sale, the Big River Steel
options and forward adjustments, the December 24, 2018 Clairton
coke making facility fire, the tax valuation allowance, loss on
extinguishment of debt and other related costs, the USW labor
agreement signing bonus and related costs, Granite City Works
restart and related costs and gain on equity investee transactions
that are not part of the Company's core operations (Adjustment
Items). Adjusted EBITDA is also a non-GAAP measure that excludes
the effects of certain Adjustment Items. We present adjusted net
earnings (loss), adjusted net earnings (loss) per diluted share and
adjusted EBITDA to enhance the understanding of our ongoing
operating performance and established trends affecting our core
operations, by excluding the effects of events that can obscure
underlying trends. U. S. Steel's management considers adjusted net
earnings (loss), adjusted net earnings (loss) per diluted share and
adjusted EBITDA as alternative measures of operating performance
and not alternative measures of the Company's liquidity. U. S.
Steel’s management considers adjusted net earnings (loss), adjusted
net earnings (loss) per diluted share and adjusted EBITDA useful to
investors by facilitating a comparison of our operating performance
to the operating performance of our competitors. Additionally, the
presentation of adjusted net earnings (loss), adjusted net earnings
(loss) per diluted share and adjusted EBITDA provides insight into
management’s view and assessment of the Company’s ongoing operating
performance, because management does not consider the adjusting
items when evaluating the Company’s financial performance. Adjusted
net earnings (loss), adjusted net earnings (loss) per diluted share
and adjusted EBITDA should not be considered a substitute for net
earnings (loss), earnings (loss) per diluted share or other
financial measures as computed in accordance with U.S. GAAP and is
not necessarily comparable to similarly titled measures used by
other companies. A condensed consolidated statement of operations
(unaudited), condensed consolidated cash flow statement
(unaudited), condensed consolidated balance sheet (unaudited) and
preliminary supplemental statistics (unaudited) for U. S. Steel are
attached.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This release contains information that may constitute
“forward-looking statements” within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. We intend the
forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements in those sections.
Generally, we have identified such forward-looking statements by
using the words “believe,” “expect,” “intend,” “estimate,”
“anticipate,” “project,” “target,” “forecast,” “aim,” “should,”
“will,” “may,” and similar expressions or by using future dates in
connection with any discussion of, among other things, operating
performance, trends, events or developments that we expect or
anticipate will occur in the future, statements relating to volume
changes, share of sales and earnings per share changes, anticipated
cost savings, potential capital and operational cash improvements,
anticipated disruptions to our operations and industry due to the
COVID-19 pandemic, changes in global supply and demand conditions
and prices for our products, international trade duties and other
aspects of international trade policy, the integration of Big River
Steel in our existing business, business strategies related to the
combined business and statements expressing general views about
future operating results. However, the absence of these words or
similar expressions does not mean that a statement is not
forward-looking. Forward-looking statements are not historical
facts, but instead represent only the Company’s beliefs regarding
future events, many of which, by their nature, are inherently
uncertain and outside of the Company’s control. It is possible that
the Company’s actual results and financial condition may differ,
possibly materially, from the anticipated results and financial
condition indicated in these forward-looking statements. Management
believes that these forward-looking statements are reasonable as of
the time made. However, caution should be taken not to place undue
reliance on any such forward-looking statements because such
statements speak only as of the date when made. Our Company
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law. In addition,
forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially
from our Company's historical experience and our present
expectations or projections. These risks and uncertainties include,
but are not limited to our ability to realize the level of cost
savings, productivity improvement, growth or other anticipated
benefits and additional future synergies, including in the time
period anticipated, of the acquisition of Big River Steel; our
ability to successfully integrate the businesses of Big River Steel
into our existing businesses, including uncertainties associated
with maintaining relationships with customers, vendors and
employees, as well as differences in operating technologies,
cultures, and management philosophies that may delay successful
integration; additional debt, which we assumed in connection with
the acquisition of Big River Steel and incurred to enhance our
liquidity during the COVID-19 pandemic, may negatively impact our
credit profile and limit our financial flexibility; business
strategies for the combined company's operations; the diversion of
management’s attention from ongoing business operations; our
ability to retain and hire key personnel, including within the Big
River Steel business, and to access our distribution channels,
including the availability of workforce and subcontractors;
potential adverse reactions or changes to business relationships
resulting from the completion of the acquisition of Big River
Steel; unknown or underestimated liabilities and unforeseen
increased expenses or delays associated with the acquisition and
integration beyond current estimates; and the risks and
uncertainties described in “Item 1A. Risk Factors” of our Annual
report on Form 10-K, quarterly reports on Form 10-Q and those
described from time to time in our future reports filed with the
Securities and Exchange Commission. References to "we," "us,"
"our," the "Company," and "U. S. Steel," refer to United States
Steel Corporation and its consolidated subsidiaries.
Founded in 1901, the United States Steel Corporation is a
Fortune 250 company and a leading steel producer. Together with its
subsidiary Big River Steel and an unwavering focus on safety, the
company’s customer-centric Best of BothSM world-competitive
integrated and mini mill technology strategy is advancing a more
secure, sustainable future for U. S. Steel and its stakeholders.
With a renewed emphasis on innovation, U. S. Steel serves the
automotive, construction, appliance, energy, containers and
packaging industries with high value-added steel products such as
U. S. Steel’s proprietary XG3™ advanced high-strength steel. The
company also maintains competitively advantaged iron ore production
and has an annual raw steelmaking capability of 26.2 million net
tons. U. S. Steel is headquartered in Pittsburgh, Pennsylvania,
with world-class operations across the United States and in Central
Europe. For more information, please visit www.ussteel.com.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210128006127/en/
John Ambler Vice President Corporate Communications T - (412)
433-2407 E - joambler@uss.com
Kevin Lewis Vice President Investor Relations T - (412) 433-6935
E - KLewis@uss.com
US Steel (NYSE:X)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
US Steel (NYSE:X)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024