United States Steel Corporation (NYSE:X) reported modest beats in third quarter earnings per share (EPS) and revenue as sales of flat-rolled and tubular steel picked up in the quarter, boosted in part by tariffs imposed by the Trump administration on the sector.
The quarterly EPS reached $1.79 versus the year-ago mark of $0.92 and the consensus of $1.73. Revenue reached $3.729 billion, from last year's $3.25 billion and the consensus of $3.71 billion.
"Our third quarter results were in line with our expectations, with a significant improvement in earnings from our flat-rolled segment and a return to profitability for our tubular segment," said David Burritt, president and CEO of the company.
But shares of the company were down 4.3% in after-hours trade to $26.20, having closed 2.41% higher at $27.17 on Thursday.
Burritt said: "Market conditions remain solid, with stable end-user steel consumption. We experienced lower customer order rates for an extended period, driven by falling spot and index prices. However, we expect continued strength in steel demand will support favorable market conditions as we enter 2019."
The US steel industry received government support from the tariffs slapped on Washington's trading partners and on China by US President Donald Trump.
The company said they expect fourth quarter 2018 adjusted EBITDA to be approximately $575 million, which would result in full-year 2018 adjusted EBITDA of approximately $1.8 billion.
United States Steel is an integrated steel producer headquartered in Pittsburgh, Pennsylvania, with production operations in the United States and Central Europe.
Reporting by Rene Pastor, contactable on [email protected]