Steel Dynamics Inc (STLD) 2022 Q1 法說會逐字稿

Good day, and welcome to the Steel Dynamics First Quarter 2022 Earnings Conference Call. (Operator Instructions) Please be advised this call is being recorded today, April 21, 2022, and your participation implies consent to our recording this call. If you do not agree to these terms, please disconnect.

美好的一天，歡迎參加 Steel Dynamics 2022 年第一季財報電話會議。 （操作員說明）請注意，本次通話將於今天（2022 年 4 月 21 日）進行錄音，您的參與即表示同意我們對本次通話進行錄音。如果您不同意這些條款，請中斷連線。

At this time, I would like to turn the conference over to David Lipschitz, Director, Investor Relations. Please go ahead.

現在，我想將會議交給投資者關係總監 David Lipschitz。請繼續。

Thank you, Holly.

謝謝你，霍莉。

Good morning, and welcome to Steel Dynamics First Quarter 2022 Earnings Conference Call. As a reminder, today's call is being recorded and will be available on our website for replay later today.

早上好，歡迎參加 Steel Dynamics 2022 年第一季財報電話會議。謹此提醒，今天的通話正在錄音中，並將在今天晚些時候在我們的網站上重播。

Leading today's call are Mark Millett, Chairman and Chief Executive Officer of Steel Dynamics; and Theresa Wagler, Executive Vice President and Chief Financial Officer. The other members of our senior leadership team are joining us on this call individually.

今天的電話會議由 Steel Dynamics 董事長兼執行長 Mark Millett 主持。執行副總裁兼財務長Theresa Wagler。我們高級領導團隊的其他成員將單獨參加本次電話會議。

Some of today's statements, which speak only as of this date, may be forward-looking and predictive typically preceded by believe, expect, anticipate or words of similar meaning. They are intended to be protected by the Private Securities Litigation Reform Act of 1995 should actual results turn out differently.

今天的一些陳述僅代表當前情況，可能具有前瞻性和預測性，通常前面帶有相信、期望、預期或類似含義的詞語。如果實際結果有所不同，它們將受到 1995 年《私人證券訴訟改革法案》的保護。

Such statements involve risks and uncertainties related to our steel, metals recycling and our fabrication businesses as well as to general business and economic conditions. Examples of these are described in the related press release as well as in our annually filed SEC Form 10-K under the headings Forward-Looking Statements and Risk Factors found on the Internet at www.sec.gov and if applicable, in any later SEC Form 10-Q.

此類陳述涉及與我們的鋼鐵、金屬回收和製造業務以及一般業務和經濟狀況相關的風險和不確定性。這些範例在相關新聞稿以及我們每年提交的SEC 表格10-K 中的前瞻性陳述和風險因素標題下進行了描述，可在互聯網www.sec.gov 上找到，如果適用，還可在任何後續SEC中找到表格 10-Q。

You will also find any reference to non-GAAP financial measures reconciled to the most directly comparable GAAP measures in the press release issued yesterday entitled Steel Dynamics Reports Record First Quarter 2022 Results.

您還可以在昨天發布的題為“Steel Dynamics 報告創紀錄的 2022 年第一季業績”的新聞稿中找到與最直接可比的 GAAP 衡量標準一致的非 GAAP 財務衡量標準的參考內容。

Now I'm pleased to turn the call over to Mark.

現在我很高興將電話轉給馬克。

Thank you, David. Welcome to our first quarter earnings call. And as always, we appreciate and value your time with us this morning. Record results are of no importance if our teams did not remain safe. So before beginning this morning, I want to pause for a moment to acknowledge a recent workplace fatality that occurred at our Heartland Flat Roll division. We are deeply saddened, our thoughts and prayers reside with his family and friends.

謝謝你，大衛。歡迎參加我們的第一季財報電話會議。一如既往，我們感謝並珍惜您今天早上與我們在一起的時光。如果我們的團隊不能保證安全，那麼創紀錄的成績就毫無意義。因此，在今天早上開始之前，我想暫停一下，了解最近在我們的 Heartland Flat Roll 部門發生的工作場所死亡事件。我們深感悲痛，我們的思念和祈禱與他的家人和朋友同在。

The reason I always begin our calls with a topic of safety is because it can never be overemphasized. Safety is our #1 value and first priority. Nothing is more important than sustaining a safe environment for our employees.

我總是以安全話題開始我們的通話，因為它永遠不會被過度強調。安全是我們的第一個價值觀和首要任務。沒有什麼比為我們的員工維持一個安全的環境更重要的了。

We must all be continuously aware of our surroundings and our team members. We must actively think about safety at all times, keeping it top of mind, an active conversation. Simply, safety comes before everything. And with this backdrop, it's difficult to celebrate an otherwise phenomenal performance. But we're here this morning to share what the team accomplished in the first quarter and to congratulate them.

我們都必須不斷了解我們的周圍環境和我們的團隊成員。我們必須時時積極思考安全問題，並將其放在首位，進行積極的對話。簡而言之，安全高於一切。在這樣的背景下，很難慶祝一場原本非凡的表演。但今天早上我們在這裡分享球隊在第一季的成就並向他們表示祝賀。

Their record performance this quarter was another extraordinary achievement driven by the commitment, innovation and passion of our people, executing on our long-term strategies of diversified value-adding growth. I thank the whole team, the entire team for your dedication to excellence in every pursuit. We're committed to operating our business in an environmentally responsible manner, and have been since our founding.

本季創紀錄的業績是我們員工的承諾、創新和熱情推動的另一項非凡成就，是我們執行多元化增值成長長期策略的結果。我感謝整個團隊，感謝你們在每一個追求中追求卓越的奉獻精神。自成立以來，我們一直致力於以對環境負責的方式經營我們的業務。

We have always been and continue to be a leader in production of sustainable low-carbon emission steel products. We encourage the use of new technologies and processes to reduce our impact on the environment, including a strategic focus on carbon emissions mitigation with a goal for our steel mills to be carbon neutral by 2050.

我們一直並將繼續成為可持續低碳排放鋼鐵產品生產的領導者。我們鼓勵使用新技術和製程來減少對環境的影響，包括戰略重點減少碳排放，目標是到 2050 年我們的鋼廠實現碳中和。

Our sustainability strategy is an ongoing journey. We are starting from a leadership position within the industry and plan to stay there by doing even more. But before I continue with more market commentary, Theresa will share insights into our performance.

我們的永續發展策略是一個持續的旅程。我們從行業內的領導地位開始，並計劃透過做更多的事情來維持這一地位。但在我繼續發表更多市場評論之前，特蕾莎將分享對我們業績的見解。

Thank you, Mark. Good morning, everyone. It's exciting to continue to see all the new milestones being continually reached throughout the company. A personal thanks to our teams and congratulations. Your performance resulted in another record quarter for Steel Dynamics with net income of $1.1 billion or $5.71 per diluted share for the first quarter of 2022.

謝謝你，馬克。大家，早安。繼續看到整個公司不斷達到所有新的里程碑是令人興奮的。對我們團隊的個人感謝和祝賀。你們的業績為 Steel Dynamics 帶來了另一個創紀錄的季度業績，2022 年第一季淨利潤為 11 億美元，即稀釋後每股收益 5.71 美元。

In the quarter, we incurred cost of $84 million or $0.31 per diluted share for the continued commissioning start-up of our Sinton Texas Flat Roll Steel Mill. Excluding these costs, first quarter 2022 adjusted net income was $1.2 billion or $6.02 per diluted share.

本季度，我們為繼續調試辛頓德州扁鋼廠而產生了 8,400 萬美元的成本，即稀釋後每股 0.31 美元的成本。不包括這些成本，2022 年第一季調整後淨利為 12 億美元，即稀釋後每股收益 6.02 美元。

First quarter 2022 record revenues of $5.6 billion and record operating income of $1.5 billion were both 5% higher than sequential fourth quarter results driven by higher realized selling values in our steel fabrication business and continued strong performance in our steel and metals recycling operations.

2022 年第一季創紀錄的56 億美元收入和創紀錄的15 億美元營業收入均比第四季度連續業績增長5%，這得益於我們的鋼鐵製造業務實現銷售價值的提高以及鋼鐵和金屬回收業務的持續強勁表現。

We also achieved record quarterly cash flow from operations of $819 billion (sic) [$819 million] and adjusted EBITDA of $1.6 billion, a truly exceptional performance. We see positive industry fundamentals for at least the remainder of 2022 and believe our second quarter 2022 results could achieve yet another new record performance.

我們也實現了創紀錄的季度營運現金流 8,190 億美元（原文如此）[8.19 億美元]，調整後 EBITDA 為 16 億美元，這是一個真正出色的業績。我們預計，至少在 2022 年剩餘時間內，產業基本面將呈現正面的態勢，並相信 2022 年第二季的業績可能再創新紀錄。

Our steel operations generated very strong operating income of $1.2 billion in the first quarter, achieving record shipments of 2.9 million tons, of which Sinton contributed 50,000 tons. Earnings from our steel operations were 15% lower than sequential record fourth quarter results related to metal spread compression and our flat-roll steel operations as realized pricing declined more than raw material costs.

我們的鋼鐵業務第一季創造了 12 億美元的強勁營業收入，出貨量達到創紀錄的 290 萬噸，其中 Sinton 貢獻了 5 萬噸。我們的鋼鐵業務獲利比第四季連續創紀錄的業績低 15%，這與金屬價差壓縮和我們的扁鋼業務有關，因為實現價格下降幅度超過了原材料成本。

In contrast, our long product steel operations experienced metal spread expansion based on rising product prices. Despite hitting record volumes, we still have additional steel shipping capacity, much of which is within the long product steel group. When Sinton is fully operational, it will contribute an additional 750,000 tons per quarter of availability.

相較之下，我們的長材鋼材業務因產品價格上漲而經歷了金屬價差擴大。儘管產量達到創紀錄水平，我們仍然擁有額外的鋼鐵運輸能力，其中大部分屬於長材鋼鐵組。當 Sinton 全面投入營運後，每季將額外貢獻 75 萬噸的可用量。

Operating income from our mills recycling operations for the first quarter were strong at $48 million, based on improved metal margins as both average ferrous and nonferrous pricing improved in the quarter. The team continues to effectively lever the strength of our circular manufacturing operating model benefiting both our steel and metals recycling operations by providing higher quality scrap, which improves furnace efficiency and by reducing company-wide raw material working capital requirements.

第一季我們工廠回收業務的營運收入強勁，達到 4,800 萬美元，這是由於本季黑色金屬和有色金屬平均價格均有所改善，金屬利潤率有所提高。團隊繼續有效地利用我們循環製造營運模式的優勢，透過提供更高品質的廢鋼來提高鋼鐵和金屬回收業務，從而提高熔爐效率並減少全公司的原材料營運資金需求。

Mark will expand on the meaningful benefit of our steel and metals recycling teams working together to reduce our cost of raw materials as well. A huge congratulations to our steel fabrication team. They almost doubled their previous record results, achieving a new record high quarterly operating income of $467 million, eclipsing the entire full year of 2021 results by almost 30% in just 1 quarter. These earnings were driven by record pricing supported by near-record shipments of 210,000 tons.

馬克將詳細介紹我們的鋼鐵和金屬回收團隊共同努力降低原料成本所帶來的有意義的好處。熱烈祝賀我們的鋼鐵製造團隊。他們的業績幾乎是先前創紀錄的兩倍，實現了 4.67 億美元的季度營業收入新高，僅 1 個季度就比 2021 年全年業績增長了近 30%。這些收益是由接近創紀錄的 21 萬噸出貨量支撐的創紀錄定價所推動的。

Steel joist and deck order activity remains incredibly strong. Our steel fabrication business continues to operate with a record backlog considering both forward product pricing and volumes, which currently extends through the first quarter of 2023. Based on this strength, we expect steel fabrication earnings to continue to increase even further as the year progresses.

鋼托樑和甲板訂單活動仍然非常強勁。考慮到遠期產品定價和銷量，我們的鋼鐵製造業務繼續以創紀錄的積壓狀態運營，目前這一情況一直持續到2023 年第一季。基於這一優勢，我們預計隨著時間的推移，鋼鐵製造業務的獲利將繼續進一步成長。

Our cash generation continues to be consistently strong based on our differentiated circular business model. At the end of March, we had liquidity of $2.4 billion comprised of cash of $1.2 billion and our fully undrawn unsecured revolver.

基於我們差異化的循環業務模式，我們的現金產生能力持續強勁。截至 3 月底，我們的流動性為 24 億美元，其中包括 12 億美元現金和完全未提取的無擔保左輪手槍。

During the first quarter of 2022, we generated record cash flow from operations of $819 million. Working capital grew $757 million due to higher customer account values stemming from higher prices and volume, coupled with the payment of our 2021 company-wide profit sharing of $360 million. We also funded $159 million in organic capital investments.

2022 年第一季度，我們的營運現金流達到創紀錄的 8.19 億美元。由於價格和銷售上漲導致客戶帳戶價值增加，加上我們支付 2021 年全公司利潤分成 3.6 億美元，營運資金增加了 7.57 億美元。我們也資助了 1.59 億美元的有機資本投資。

We believe full year 2022 capital investments will approximate $750 million the majority of which relate to our 4 new flat-rolled value-added coating lines to be located in Sinton and Heartland.

我們相信 2022 年全年資本投資將約為 7.5 億美元，其中大部分與我們位於 Sinton 和 Heartland 的 4 條新平軋增值塗裝線有關。

We also finalized the purchase of 45% of the equity interest in New Process Steel on February 1. We increased our first quarter cash dividend by 31% to $0.34 per common share based on the additional ongoing through-cycle free cash flow expected from our new Sinton steel mill.

我們也於2 月1 日完成了對New Process Steel 45% 股權的收購。我們將第一季現金股利增加了31%，達到每股普通股0.34 美元，這是基於我們新製程鋼預計將帶來的額外持續整個週期自由現金流。辛頓鋼鐵廠。

We repurchased 390 -- excuse me, we repurchased $389 million of our common stock in the first quarter, representing 3% of our outstanding shares. As we exhausted our previous program, we also announced the Board's approval on an additional $1.25 billion share repurchase authorization, further demonstrating our confidence in Steel Dynamics future cash flow generation.

我們回購了 390 股——對不起，我們在第一季回購了 3.89 億美元的普通股，占我們已發行股票的 3%。在我們用盡先前的計畫時，我們也宣布董事會批准額外 12.5 億美元的股票回購授權，進一步表明我們對 Steel Dynamics 未來現金流產生的信心。

Since 2017, we've increased our cash dividend per share by 143% and we've repurchased $2.7 billion of our common stock, representing 27% of our outstanding shares. Our capital allocation strategy prioritizing strategic growth with shareholder distributions comprised of a base positive dividend profile that's complemented with a variable share repurchase program while also dedicated to preserving our investment-grade credit designation.

自 2017 年以來，我們將每股現金股利增加了 143%，並回購了價值 27 億美元的普通股，占我們已發行股票的 27%。我們的資本配置策略優先考慮股東分配的策略成長，包括基本的正股利狀況，並輔以可變股票回購計劃，同時也致力於維持我們的投資等級信用稱號。

We're squarely positioned for the continuation of sustainable optimized long-term value creation. Sustainability is a part of that long-term value creation strategy, and we're dedicated to our people, our communities and our environment. We're committed to operating our business with the highest integrity.

我們已做好充分準備，持續可持續優化的長期價值創造。永續發展是長期價值創造策略的一部分，我們致力於為我們的人民、我們的社區和我們的環境服務。我們致力於以最高的誠信經營我們的業務。

Further committing to this path, in 2021, we announced greenhouse gas reduction and renewable energy goals, including a goal for our steel mills to be carbon neutral by 2050. To increase transparency and accountability, we've also set interim milestones for 2025 and 2030. We had led the steel industry with our exclusive use of electric arc core steelmaking technology, our circular manufacturing model and our innovative solutions.

為了進一步致力於這條道路，我們在2021 年宣布了溫室氣體減排和可再生能源目標，包括我們的鋼廠到2050 年實現碳中和的目標。為了提高透明度和問責制，我們也設定了2025 年和2030 年的中期里程碑我們憑藉獨家的電弧核心煉鋼技術、循環製造模式和創新解決方案引領鋼鐵業。

We plan to sustain our leadership position by executing our carbon reduction goals through among other avenues, investing in emission reduction projects, increasing the use of renewable energy and developing and supporting new innovative technology. As an example, we're incredibly excited to recently invest $25 million in the equity of Aymium. Aymium is a producer of renewable biocarbon products that replace fossil fuels and reduce emissions in large global industries, including new electric arc furnace steel industry.

我們計劃透過其他途徑執行我們的碳減排目標、投資減排項目、增加再生能源的使用以及開發和支持新的創新技術，以維持我們的領導地位。舉個例子，我們最近對 Aymium 的股權投資 2,500 萬美元感到非常興奮。 Aymium 是一家再生生物碳產品生產商，這些產品可取代化石燃料並減少全球大型工業（包括新型電弧爐鋼鐵工業）的排放。

We have an actionable path towards carbon neutrality that is more manageable and we believe considerably less expensive than most of our peers. Our sustainability and carbon reduction strategy is an ongoing journey, and we are moving towards the intention to make a positive difference. We plan to continue to address these matters and to play a leadership role moving forward.

我們擁有一條更易於管理的實現碳中和的可行途徑，而且我們相信比大多數同行的成本要低得多。我們的永續發展和減碳策略是一個持續的旅程，我們正在朝著做出積極改變的意圖邁進。我們計劃繼續解決這些問題並發揮領導作用。

For those of you that like to track our detailed flat roll shipments for the quarter, hot rolled and Pickled and Oiled shipments were 736,000 tons, cold-rolled shipments were 162,000 tons and coated shipments were 1,065,000 tons. Mark?

對於喜歡追蹤本季詳細扁捲出貨量的人來說，熱軋和酸洗塗油出貨量為 736,000 噸，冷軋出貨量為 162,000 噸，塗層出貨量為 1,065,000 噸。標記？

Thank you, Theresa. Our steel fabrication operations executed another exceptional record quarter. The earnings power of this platform in this environment still has not been completely displayed as customer demand and pricing continue to be strong.

謝謝你，特蕾莎。我們的鋼鐵製造業務又創造了一個創紀錄的季度業績。由於客戶需求和定價持續強勁，該平台在此環境下的獲利能力仍未完全發揮。

Our steel joist and deck order backlog remain at record volume and forward pricing levels, extending well into the first quarter of '23. The nonresidential construction market remains solid, considering the trend we have seen over the last year, especially in areas that support online retail, specifically represented by construction of distribution and warehouse facilities, along with data centers, schools and health care.

我們的鋼托樑和甲板訂單積壓保持在創紀錄的數量和遠期定價水平，一直延續到 23 年第一季。考慮到我們去年看到的趨勢，非住宅建築市場仍然穩健，特別是在支援線上零售的領域，特別是配送和倉庫設施以及資料中心、學校和醫療保健的建設。

Our steel fabrication operations provide a significant natural hedge to our steel production operations in a stable or moderating steel price environment. They also support our steel mills during periods of weaker steel demand as a ready internal customer, what we call pull-through volume, increasing the through-cycle utilization of our steel mills. We have steel fabrication facilities located throughout the U.S. and in Mexico, providing us with an advantaged broad-based customer-centric supply chain.

在穩定或溫和的鋼材價格環境下，我們的鋼鐵製造業務為我們的鋼鐵生產業務提供了重要的自然對沖。他們還在鋼鐵需求疲軟期間作為現成的內部客戶為我們的鋼廠提供支持，我們稱之為拉動量，從而提高了我們鋼廠的全週期利用率。我們在美國和墨西哥擁有鋼鐵製造工廠，為我們提供了一個優勢廣泛、以客戶為中心的供應鏈。

As I move into metals recycling, I'll just take a moment to thank Russ Rinn given his impending retirement in July for the truly significant contributions he's made to that platform over his 10 years, 11-year tenure. He's helped transform that business. Today, we're operating at the same volumes with 1,500 less teammates. So the consolidation there and rationalization has been excellent. And I got massive faith in Miguel Alvarez, who now is leading that platform. I've got great faith that he's going to continue that transformation and do great things with that business. So Russ, my sincere thanks mate.

當我進入金屬回收領域時，鑑於 Russ Rinn 即將於 7 月退休，我要花點時間感謝他在 10 年、11 年的任期內為該平台做出的真正重大貢獻。他幫助改變了該業務。如今，我們的營運量保持不變，但團隊成員減少了 1,500 人。因此，那裡的整合和合理化非常出色。我對米格爾·阿爾瓦雷斯 (Miguel Alvarez) 充滿信心，他現在正在領導這個平台。我堅信他將繼續這一轉型，並在該業務上做出偉大的事情。拉斯，我衷心感謝夥伴。

Our metals recycling operations also performed well in the quarter with steady operating income of $48 million. As one of the largest ferrous and nonferrous metal recyclers in North America with operations throughout the U.S. and Mexico, we have a competitive advantage in providing the highest quality, cost-effective scrap to our EAF-based steel mills and to our other customers.

我們的金屬回收業務在本季也表現良好，營業收入穩定達到 4,800 萬美元。作為北美最大的黑色金屬和有色金屬回收商之一，業務遍及美國和墨西哥，我們在向電弧爐鋼廠和其他客戶提供最高品質、最具成本效益的廢鋼方面具有競爭優勢。

In today's environment, our advantage of having our metals recycling platform is even greater. During the last 18 months, our recycling and steel teams have worked closely in developing a higher-quality shredded scrap that can be used in place of prime scrap.

在現今的環境下，我們擁有金屬回收平台的優勢更大。在過去 18 個月中，我們的回收和鋼鐵團隊密切合作，開發出可取代優質廢鋼的更高品質的碎廢鋼。

The combined effort resulted in our Butler Flat Roll Steel division, reducing its need for prime scrap from 65% of its mix to only 40%, while achieving the same steel qualities. We are currently rolling this out to our Columbus and Sinton Steel divisions, allowing for a lower cost, readily available, low-residual scrap supply. Additionally, given the historically high spread between prime and obsolete grades, which is around $170 a ton today, the reduced prime scrap requirement has provided a significant cost savings.

透過共同努力，我們的巴特勒扁鋼部門將其對優質廢鋼的需求從其混合物的 65% 減少到僅 40%，同時實現了相同的鋼材品質。我們目前正在哥倫布和辛頓鋼鐵部門推廣這項技術，以實現成本更低、易於取得、低殘留廢鋼供應。此外，考慮到優質品級和過時品級之間的歷史性高價差（目前約為每噸 170 美元），優質廢鋼要求的減少顯著節省了成本。

The teams are also working together as global pig iron supply chains have been disrupted with the advent of the invasion of Ukraine. Our flat-roll steel operations have reduced the demand of pig iron usage while maintaining the highest level of steel quality through changes in our operating practices and the health of our metals recycling team and sourcing alternative inputs. We have sufficient resources for our steel production to continue operating uninterrupted.

由於烏克蘭入侵導致全球生鐵供應鏈中斷，這些團隊也正在共同努力。我們的扁鋼業務減少了生鐵的使用需求，同時透過改變我們的營運實踐和金屬回收團隊的健康狀況以及採購替代原料，維持了最高水準的鋼材品質。我們有足夠的資源讓鋼鐵生產能夠不間斷地繼續運作。

Additionally, of particular note, our Butler Flat Roll division has the advantage of iron dynamics, an on-site liquid pig iron production facility that supplies almost all of Butler's pig iron requirements. Charging liquid pig iron into the electric hot furnace also significantly increases productivity and reduces melting costs.

此外，特別值得注意的是，我們的巴特勒平輥部門擁有鐵動力的優勢，這是一個現場液態生鐵生產設施，幾乎可以滿足巴特勒的所有生鐵需求。將液態生鐵裝入電熱爐還可顯著提高生產率並降低熔化成本。

We developed the technology years ago and it's the only existing facility of its kind today. We are currently in the process of pursuing opportunities to become even more pig iron self-sufficient for the future. The steel team had an outstanding quarter as well, achieving record shipments and operating income of $1.2 billion. During the quarter, the domestic steel industry operated at production utilization rate of 80%, while our steel mills operated at a rate of 93%.

我們幾年前開發了這項技術，它是當今同類設施中唯一存在的。我們目前正在尋求機會，以期在未來實現生鐵更加自給自足。鋼鐵團隊的季度表現也很出色，出貨量和營業收入達到創紀錄的 12 億美元。本季度，國內鋼鐵業開工率為80%，我國鋼廠開工率為93%。

We consistently operated at higher utilization due to our value-added product diversification, our differentiated customer supply chain solutions and to support our internal manufacturing businesses. hot roll coil pricing moderated during the early part of the first quarter, but prices have recently firmed with extending order lead times across the product set, especially in coated products.

由於我們的增值產品多元化、差異化的客戶供應鏈解決方案以及支援我們的內部製造業務，我們始終保持較高的利用率。第一季初期，熱軋捲價格放緩，但隨著整個產品系列訂單交貨時間的延長，價格最近趨於堅挺，尤其是塗層產品。

With continued strong demand, we believe steel prices will remain strong. Based on higher raw material input costs, global flat-rolled steel supply disruptions related to the Ukraine, Russia conflict and lower steel imports. Throughout our company history, we have intentionally grown our value-added steel product portfolio and created valuable customer supply chain solutions to mitigate the impact of price volatility.

由於需求持續強勁，我們相信鋼材價格將維持堅挺。由於原料投入成本上升、烏克蘭、俄羅斯衝突導致全球扁鋼供應中斷、鋼材進口減少。縱觀我們公司的歷史，我們有意擴大我們的加值鋼鐵產品組合，並創建有價值的客戶供應鏈解決方案，以減輕價格波動的影響。

Today, at least 70% of our steel sales are considered value-added. This differentiated business model will continue to provide best-in-class financial metrics and through cycle cash generation. Looking forward, we remain optimistic. The automotive sector steel consumption is expected to grow with production through 2024 returning to over 17 million units supported by an extreme lack of automotive dealer inventory and strong pent up demand.

如今，我們至少 70% 的鋼材銷售被視為增值。這種差異化的商業模式將繼續提供一流的財務指標並透過循環現金產生。展望未來，我們保持樂觀。由於汽車經銷商庫存極度缺乏和被壓抑的需求強勁，汽車行業的鋼材消費量預計將增長，到 2024 年產量將恢復到 1700 萬輛以上。

The nonresidential construction sector is strong as evidenced by the strength of our customer backlogs within our long product steel group. Our Structural and Rail and Roanoke Bar divisions both achieved record quarterly earnings and our Engineered Bar Products division is operating at historically strong volumes.

非住宅建築業表現強勁，我們的長材鋼鐵集團客戶積壓訂單的實力證明了這一點。我們的結構和鐵路以及羅阿諾克棒材部門均實現了創紀錄的季度收益，而我們的工程棒材產品部門的營運量創歷史新高。

And additionally, as we discussed steel fabrication operations are operating at never seen before levels. Residential construction is also good, resulting in high demand for HVAC appliance and other related products. Strong energy prices continue to push up the rig count, and we have seen solid demand for energy products. In aggregate, our steel order backlogs and order input strength coupled with broad optimistic customer commentary and general market momentum drive us to conclude that steel market dynamics will remain strong throughout 2022. Steel Dynamics is a dynamic growth company, increasing through-cycle earnings and cash flow to support continuous long-term value creation.

此外，正如我們所討論的，鋼鐵製造業務正以前所未有的水平運作。住宅建設也良好，導致對暖通空調設備和其他相關產品的需求很高。強勁的能源價格持續推高鑽孔機數量，我們看到了對能源產品的強勁需求。總的來說，我們的鋼鐵訂單積壓和訂單輸入強度，加上廣泛樂觀的客戶評論和整體市場勢頭，促使我們得出結論，鋼鐵市場動態將在2022 年保持強勁。Steel Dynamics 是一家充滿活力的成長型公司，整個週期的利潤和現金都在增加流動以支持持續的長期價值創造。

Our most recent and significant investment represented by a new state-of-the-art electric arc furnace flat roll steel mill located in Sinton, Texas. This differentiated strategic investment facilitates significant through-cycle operational and financial growth for our teams and customers and for our vendors and shareholders. This electric arc furnace steel mill represents next-generation lower carbonate emitting steel production capabilities, providing differentiated products and supply chain solutions. The 3 million tons state-of-the-art facility is designed to have product capabilities beyond that of any existing electric arc furnace flat-rolled steel producer, competing even more effectively with higher carbon-emitting integrated steel facilities and high carbon foreign competition.

我們最近的重大投資是位於德克薩斯州辛頓的一座新的最先進的電弧爐扁鋼廠。這種差異化的策略投資有助於我們的團隊和客戶以及我們的供應商和股東實現顯著的全週期營運和財務成長。這家電弧爐鋼廠代表了下一代低碳排放鋼鐵生產能力，提供差異化產品和供應鏈解決方案。這棟年產能300 萬噸、最先進的工廠旨在擁有超越任何現有電弧爐平軋鋼生產商的產品能力，從而更有效地與碳排放較高的綜合鋼鐵工廠和高碳國外競爭對手進行競爭。

It provides us with a more diverse value-added steel product portfolio and benefits our customers with an even broader climate conscious supply option. Sinton's strategic location is centralized in our underserved steel consumer region that represents over 27 million tons of relevant flat roll steel consumption in the U.S. and Mexico. We offer shorter delivery lead times, providing a superior customer supply chain solution for the region.

它為我們提供了更加多樣化的增值鋼鐵產品組合，並透過更廣泛的氣候意識供應選擇使我們的客戶受益。 Sinton 的戰略位置集中在我們服務不足的鋼鐵消費地區，該地區代表美國和墨西哥超過 2700 萬噸的相關扁鋼消費量。我們提供更短的交貨週期，為該地區提供卓越的客戶供應鏈解決方案。

We will also effectively compete with steel imports arriving in Houston and the West Coast. We have 7 customers locating on our site, representing up to 1.8 million tons of annual flat-rolled steel processing and consumption capability, 4 are already operating, and the other 2 have broken ground -- 3 have broken ground actually. This represents a unique closed loop process as we provide them on-site steel and simultaneously reclaiming the scrap to be remelted into new steel products.

我們也將有效地與到達休士頓和西海岸的進口鋼材競爭。現有客戶7家，年扁鋼加工消費量達180萬噸，其中4家已投產，2家已破土動工，其中3家已實際破土動工。這代表了一種獨特的閉環流程，因為我們為他們提供現場鋼材，同時回收廢鋼以重熔成新的鋼材產品。

We have an advantaged raw material procurement strategy for Sinton. Our acquisition of a Mexican metals recycling company in 2020 provides a critical source of prime scrap supply. These operations are strategically located near high-volume industrial scrap sources throughout Central and Northern Mexico.

我們對新東有得天獨厚的原料採購策略。我們於 2020 年收購了一家墨西哥金屬回收公司，為優質廢棄物供應提供了重要來源。這些業務策略性地位於墨西哥中部和北部的大量工業廢料來源附近。

Sinton provides a differentiated product offering, a unique regional supply chain solution, with significant geographic freight and lead time advantage and offers a lower carbon alternative to imports in a region in need of options. We currently expect 2022 shipments from Sinton to be over 1.5 million tons achieving utilization of approximately 80% by the end of the third quarter and over 90% before year-end.

Sinton 提供差異化的產品、獨特的區域供應鏈解決方案，具有顯著的地理貨運和交貨時間優勢，並為需要選擇的地區提供替代進口的低碳替代品。我們目前預計 2022 年 Sinton 的出貨量將超過 150 萬噸，第三季末利用率約為 80%，年底前利用率超過 90%。

In addition, our previously announced additional 4 value-added flat roll coating lines are still on schedule to begin operating mid-'23 in support of our Sinton steel mill and our Heartland flat roll operations. The 4 lines are comprised of 2 new paint lines and 2 new galvanizing lines with Galvalume coating capability. Our unique value-added coating supply chain strategy has resulted in our existing lines consistently running at or near full capacity. Existing customers are anxiously awaiting the volume from these new lines. We're the largest domestic non-automated coater of flat roll steels with an annual coating capacity of over 6 million tons. And these 4 lines will increase that capacity by an additional 1.1 million tons.

此外，我們先前宣布的另外 4 條增值平輥塗裝線仍按計劃於 23 年中期開始運營，以支持我們的 Sinton 鋼廠和 Heartland 平輥業務。這 4 條生產線包括 2 條新油漆生產線和 2 條具有鍍鋁鋅塗層能力的新鍍鋅生產線。我們獨特的增值塗料供應鏈策略使我們現有的生產線始終以滿載或接近滿載運行。現有客戶正在焦急地等待這些新產品線的銷售量。我們是國內最大的扁鋼非自動化塗裝機，年塗裝量超過600萬噸。這 4 條生產線將使產能額外增加 110 萬噸。

In closing, our sustainable symbiotic operating platforms and customer-centric supply solutions demonstrate our financial and operating stability differentiating from any competition. We're not the same company that we were nearly 5 years ago. We are not just a steel company. Our average annual free cash flow has more than doubled and is still growing. The consistency and industrial strength of our earnings is clear and we are investing for transformational growth.

最後，我們可持續的共生營運平台和以客戶為中心的供應解決方案顯示我們的財務和營運穩定性有別於任何競爭對手。我們已經不再是五年前的同一家公司了。我們不僅僅是一家鋼鐵公司。我們的平均年度自由現金流量增加了一倍多，並且仍在成長。我們獲利的一致性和產業實力是顯而易見的，我們正在為轉型成長進行投資。

Our people and their spirit of excellence provides the foundation for this success. And I thank you, each and every one of you for your passion and dedication and remind you that safety is always our most critical priority. So everyone, thank you for joining us today, and we'll open the line up for questions.

我們的員工和他們的卓越精神為這一成功奠定了基礎。我感謝你們每一個人的熱情和奉獻，並提醒你們，安全始終是我們最重要的優先事項。謝謝大家今天加入我們，我們將開放提問隊列。

(Operator Instructions) Your first question for today is coming from Emily Chieng with Goldman Sachs.

（操作員說明）今天您的第一個問題來自高盛的 Emily Chieng。

My first question is just around your raw material update there. Can you remind us what the raw material mix is or was previously before the shift to using more obsolete versus prime scrap. The amount of IDI that your liquid pig iron that you're using and perhaps how we should see that changing over time?

我的第一個問題是關於你們那裡的原料更新。您能否提醒我們，在轉向使用更過時的廢品和優質廢品之前，原料的混合情況是怎樣的？您使用的液態生鐵的 IDI 量以及我們應該如何看待它隨時間的變化？

Well, IDI is consistently running at about a 260,000 ton rate as we speak. It's been very, very consistent for many years now. And after the original pioneering efforts or challenges that we had many, many years ago, is an absolutely solid, solid, solid technology for us. And again, as I mentioned, virtually all our pig iron needs that Butler is captive from that facility.

就在我們說話的時候，IDI 一直以 26 萬噸左右的速度運行。多年來，它一直非常非常一致。經過許多很多年前我們最初的開創性努力或挑戰，對我們來說是絕對可靠、可靠、可靠的技術。再次，正如我所提到的，幾乎我們所有的生鐵需求巴特勒都是從該設施中捕獲的。

Emily, one way to look at it from the shift that Mark talked about from going to -- from prime scrap to an upgraded type of obsolete scrap all the way from 65% to 40%. So if that were able to be accomplished with Columbus, Sinton and Butler, if you just make high-level assumptions that generally we would use approximately 20% of pig iron. And then the rest would be more geared toward that prime scrap. If you think about that from a volume perspective, it could be as much as 1.5 million to 2 million tons shifting from prime scrap to higher grade. So if you apply any spread to that.

艾米麗，從馬克談到的轉變來看，一種方式是從優質廢品到升級型過時廢品，從 65% 一直到 40%。因此，如果哥倫布、辛頓和巴特勒能夠做到這一點，如果你只是做出高級假設，通常我們會使用大約 20% 的生鐵。然後其餘的將更適合主要廢料。如果從數量角度考慮，可能有多達 150 萬噸到 200 萬噸從優質廢鋼轉移到更高等級的廢鋼。因此，如果您對此應用任何價差。

Today, I think Mark mentioned it's like around $170 per ton, which is higher than normal. Even if it's $100, $150 per ton, that could be a significant change once -- if all 3 mills are fully operational.

今天，我想馬克提到每噸大約 170 美元，比正常情況要高。即使價格為每噸 100 美元、150 美元，如果所有 3 家工廠都全面投入運營，這也可能是一個重大變化。

Your next question for today is coming from Michael Glick with JPMorgan.

今天的下一個問題來自摩根大通的 Michael Glick。

Just on the cost side, beyond scrap, how should we think about energy costs more broadly, just given some of the recent moves we've seen in several of the regional power hubs and natural gas prices as well?

僅在成本方面，除了廢品之外，考慮到我們最近在幾個區域電力中心和天然氣價格上看到的一些變動，我們應該如何更廣泛地考慮能源成本？

Just as a reminder, from a natural gas perspective, for electric arc furnaces for Steel Dynamics specifically, it isn't a huge part of the cost structure. It ends up being somewhere around 2% or 3% of the cost of manufacturing of steel products.

提醒一下，從天然氣的角度來看，特別是對於 Steel Dynamics 的電弧爐來說，它並不是成本結構的重要組成部分。它最終約佔鋼鐵產品製造成本的 2% 或 3% 左右。

But obviously, there's impact. We're likely to see increasing prices across the spectrum from a natural gas perspective, but nothing that we believe is necessarily significantly impractical. And from a power perspective across the spectrum, we're operating in all different grades. And so it's very different.

但顯然，影響是存在的。從天然氣的角度來看，我們可能會看到各種價格上漲，但我們認為這不一定是不切實際的。從整個頻譜的功率角度來看，我們正在所有不同的層級進行運作。所以這是非常不同的。

In some areas, we're in the open market and others, we actually have contracts in place. So there should be some escalating prices, but nothing that we think will be material at this point.

在某些領域，我們處於公開市場，而在其他領域，我們實際上已經簽訂了合約。因此，價格應該會有所上漲，但我們認為目前還沒有什麼實質的內容。

And just to add, if you look at it from a global perspective, obviously, energy prices in other parts of the world have appreciated far greater than the U.S., along with other commodity pricing issues. And so the actual global cost curve has risen and should support pricing further. And obviously, given our low-cost position advantages Steel Dynamics.

補充一點，如果從全球角度來看，顯然，世界其他地區的能源價格漲幅遠遠超過美國，還有其他大宗商品定價問題。因此，實際的全球成本曲線已經上升，應該會進一步支持定價。顯然，考慮到我們 Steel Dynamics 的低成本地位優勢。

Your next question for today is coming from David Gagliano with BMO Capital Markets.

今天的下一個問題來自 BMO 資本市場部的 David Gagliano。

I just wanted to ask a little more about the fabrication business, unbelievable how much this has exploded higher over the last year, I know it's directionally not new, but again, another doubling in basically the profit contribution this quarter, which is fabulous.

我只是想多問一些有關製造業務的問題，令人難以置信的是，它比去年增長了多少，我知道這在方向上並不新鮮，但同樣，本季度的利潤貢獻基本上又翻了一番，這真是太棒了。

But it's -- there's a lot of moving parts embedded in that business. And mind me, the visibility towards longer term is still fairly low. So I'm just trying to see if you could give us a little more information on that segment. Can you talk more about how this business is priced? Are there cost pass-throughs? Are there lags between those pass-throughs and contract prices?

但事實是——該業務中有很多變化的部分。請注意，長期的可見度仍然相當低。所以我只是想看看您是否可以向我們提供有關該細分市場的更多資訊。能詳細談談這項業務的定價方式嗎？是否存在成本轉嫁？這些轉手價格和合約價格之間是否存在滯後？

I know there's a lot of different pieces within that business. But if there's any more visibility, I really appreciate it. And it really just to summarize, if you could just give us what you think your view is on a normalized go-forward EBITDA contribution basis from this business beyond the first quarter of 2023.

我知道這個行業有很多不同的部分。但如果有更多的知名度，我真的很感激。這實際上只是總結一下，如果您能告訴我們您對 2023 年第一季之後該業務正常化的未來 EBITDA 貢獻的看法。

Several points, somewhat collected maybe. But firstly, demand is at historic highs. If you follow the American Joist Institute numbers, it's at peak, peak levels for sure. And it is driven largely by the change in retail, going online retail distribution houses along with the data centers. So that arena is truly pushing massive demand.

幾點，也許有些收集。但首先，需求處於歷史高點。如果你有關注美國托樑研究所的數據，它肯定處於高峰水準。它主要是由零售業的變化所推動的，即線上零售分銷商和資料中心。因此，這個領域確實推動了巨大的需求。

Secondly, I think it needs to be recognized that the industry since prior peaks has changed dramatically. It's a rationalized, consolidated industry today. And that allows -- it's just a change dynamic that allows us to have, I think, greater pricing strength. And as a realization today, the value of the product is a lot higher than people would suggest in past history, that product is going to sell at higher levels going forward no matter where we are in the cycle.

其次，我認為需要認識到，自之前的高峰以來，該行業已經發生了巨大的變化。如今，這是一個合理化、整合的行業。我認為，這只是一種變化動態，使我們能夠擁有更大的定價能力。今天我們意識到，產品的價值比人們在過去的歷史中認為的要高得多，無論我們處於週期的哪個階段，產品的銷售水平都會更高。

Good morning, David. Just a couple of other points to add to what Mark described. So if you're looking at a backlog for the fabrication business versus the steel business, it's very different. So once a project enters the backlog in our fabrication business, the entire project has been highly engineered and is part of a bigger construction project overall.

早安，大衛。對於馬克所描述的內容，還有幾點需要補充。因此，如果您查看製造業務與鋼鐵業務的積壓情況，您會發現這是非常不同的。因此，一旦專案進入我們製造業務的積壓狀態，整個專案就已經經過精心設計，並且是整個更大建設專案的一部分。

And if you look at the steel costs that are involved in these large projects that we're participating in, it's really not a large percentage of the entire project. So the customer base, if you will, is not as sensitive to steel pricing as one would think. I mean I think you saw that in the first quarter where even though flat rolled steel prices had a couple of months of weakening that didn't change at all what we were putting in the order backlog at our fabrication business.

如果你看看我們參與的這些大型計畫所涉及的鋼鐵成本，它實際上佔整個計畫的比例並不大。因此，如果你願意的話，客戶群對鋼鐵定價並不像人們想像的那麼敏感。我的意思是，我認為您在第一季看到，儘管扁鋼價格經歷了幾個月的疲軟，但這根本沒有改變我們在製造業務中積壓的訂單。

And so that's one thing. The second thing is because our backlog is out much longer than it typically is, we typically would see a backlog of maybe 4 to 6 months. Now it's out and that would be a very good backlog. I mean now we're out into -- well into 2023. And so we changed some of the contract terms as well to try to ensure there's more security and what I would say is more visibility and certainty around the backlog.

這是一回事。第二件事是因為我們的積壓工作比平常要長得多，我們通常會看到積壓時間可能為 4 到 6 個月。現在它已經出來了，這將是一個非常好的積壓。我的意思是，現在我們已經進入 2023 年了。因此，我們也更改了一些合約條款，以確保更高的安全性，我想說的是，積壓訂單的可見性和確定性更高。

So we believe that we have a great deal of visibility. We know where we're pricing today, and Mark mentioned in his notes that, that forward pricing is higher than what we even realized at this point in time. And that's why I had the confidence in my notes to say that we expect earnings from the fabrication business to continue to increase throughout 2022. And so I'm not sure if there's no specific you asked about pass-throughs of costs, specific surcharges, et cetera, like you might see in some of the steel businesses in fabrication.

所以我們相信我們有很大的知名度。我們知道今天的定價，馬克在他的筆記中提到，遠期定價比我們此時意識到的要高。這就是為什麼我在筆記中充滿信心地說，我們預計製造業務的收入將在 2022 年繼續增長。因此，我不確定您是否有具體詢問成本轉嫁、特定附加費、等等，就像您可能在在一些製造業的鋼鐵企業中看到的那樣。

But all of that, once it hits the backlog, it's already guaranteed from a price perspective. So I'll just pause on that and see if Mark and I have addressed your question.

但這一切，一旦達到積壓，從價格角度來看就已經得到了保證。所以我會暫停一下，看看馬克和我是否已經解決了你的問題。

Yes. That's absolutely helpful. Just again, I'm trying to gauge what the comfort level is around a normalized -- the EBITDA contribution now is 20x what it was historic average for well over 5 years, and that 20x increase happened in 4 quarters. So I'm just trying to figure out as we go out beyond 2022 and in 1Q '23. Some of this is structural and some of it is not, I'm trying to figure out what you think a normal sort of contribution should be for a business that's relatively low visibility from my perspective.

是的。這絕對有幫助。再說一次，我試圖衡量正常化的舒適程度——現在的 EBITDA 貢獻是 5 年多來歷史平均值的 20 倍，而且 20 倍的成長發生在 4 個季度內。所以我只是想弄清楚 2022 年之後和 23 年第一季的情況。其中有些是結構性的，有些不是，我試圖弄清楚您認為對於從我的角度來看知名度相對較低的企業來說，正常的貢獻應該是什麼。

Sure, David, I would tell you that -- and I can't answer you specifically at this point, but what I would tell you is that it's certainly not what the last 5 years were because Mark pointed to some structural changes within the industry itself from consolidation and other avenues as well as the construction market itself and what it's doing.

當然，大衛，我會告訴你——目前我無法具體回答你，但我要告訴你的是，這肯定不是過去 5 年的情況，因為馬克指出了行業內的一些結構性變化本身來自整合和其他途徑以及建築市場本身及其正在做的事情。

So there has been some structural change, which I think will make that normalized earnings moving forward are higher than we've seen historically as well as what we've done internally. The fabrication team has really done an incredible job. And I know that you've been to some of our operations and we're looking to further automate and to do some really exciting things in the future as well. But also not what we're experiencing today from a normalized level.

因此，出現了一些結構性變化，我認為這將使未來的正常化收益高於我們歷史上以及我們內部所做的事情。製造團隊確實做得非常好。我知道您已經參加過我們的一些營運活動，我們希望進一步實現自動化，並在未來做一些真正令人興奮的事情。但也不是我們今天在正常層面上經歷的情況。

There are some specific things that happened and with extended steel prices with a very strong construction market, we think that market will continue. I mean specific to there's a large concentration in warehouses at this point. but we will do our best in the future to try to give you a little better idea of what normalized might look like.

發生了一些具體的事情，隨著鋼材價格的上漲和建築市場的強勁，我們認為市場將繼續下去。我的意思是，目前倉庫大量集中。但我們將來會盡力讓您更了解標準化可能會是什麼樣子。

Your next question for today is coming from Seth Rosenfeld with BNP.

今天的下一個問題來自法國巴黎銀行 (BNP) 的 Seth Rosenfeld。

I have 2 follow-ups, please with regards to the raw material strategy. First, thanks for the color on your efforts to cut your reliance on prime scrap and pig iron. Can you just talk a bit more about those markets and the outlook into spring, so you had a huge squeeze in March. Are you now seeing any signs of some softening of those markets as availability improves?

我有兩個關於原料策略的後續行動。首先，感謝您為減少對優質廢鋼和生鐵的依賴所做的努力。您能否多談談這些市場和春季前景，所以您在三月經歷了巨大的擠壓。隨著可用性的改善，您現在是否看到這些市場出現一些疲軟的跡象？

And a follow-up, please, you commented quickly in your prepared remarks with regards to some interest in becoming more self-sufficient for pig iron. What might that include? Is it going to be organic or inorganic in nature. I'll stop there, please.

請跟進，您在準備好的發言中迅速評論了對變得更加自給自足的生鐵的一些興趣。其中可能包括什麼？它本質上是有機的還是無機的？我就到此為止吧。

Well, firstly, on the pig iron opportunities I prefer not to go into that. Just suffice it to say that we have plans. Relative to -- and I apologize, I didn't necessarily hear all the first question.

好吧，首先，關於生鐵機會，我不想談這個。只要說我們有計畫就夠了。相對於——我很抱歉，我不一定會聽到第一個問題的全部內容。

Mark, the question Seth asked relates to pricing around raw materials and what we're seeing kind of in the near term and longer term for scrap and maybe for pig iron?

馬克，塞斯提出的問題與原材料的定價有關，以及我們在短期和長期內看到的廢鋼和生鐵的情況如何？

Well, obviously, the unimaginable human tragedy of U.K. -- of Ukraine, sorry, should be at the forefront of everyone's mind but the consequences of that on our industry has obviously been massive, and I think just on commodities in general, all commodities.

嗯，顯然，英國——烏克蘭，對不起，難以想像的人類悲劇應該是每個人最關心的問題，但它對我們行業的影響顯然是巨大的，我認為只是對一般商品，所有商品。

If you look at pig iron, the typical global trade is around about 12 million tons merchant trade, roughly 7, maybe 8 million tons of that were originating from Russia and Ukrainian mills. So there's been a big chunk of availability or supply taken out.

如果你看一下生鐵，典型的全球貿易量約為 1,200 萬噸商業貿易，其中約 700 至 800 萬噸來自俄羅斯和烏克蘭鋼廠。因此，大量的可用性或供應已經被取消。

We -- I can't speak really for other metals, but I think they followed suit that we scrambled as an industry to cover our needs for the rest of the year into 2023 from other sources, we were very, very successful in procuring material from Brazil and from India in particular and at the same time, changing our sort of operations and process to lower the need or the requirement of that pig iron.

我們——我不能真正代表其他金屬，但我認為他們也效仿了我們作為一個行業爭先恐後地從其他來源滿足我們在 2023 年剩餘時間內的需求，我們在採購材料方面非常非常成功特別是來自巴西和印度的產品，同時改變了我們的運作方式和流程，以降低對生鐵的需求或要求。

So typically, where a mill is around about 22% pig iron input, our mills today are running around about 14%. So in combination, that's got us into 2023 from an uninterrupted supply. Consequence of all that, though, obviously, pushed pig iron pricing up, it peaked at around about $1,100 a ton.

通常情況下，一家工廠的生鐵投入量約為 22%，而我們今天的工廠的運作率約為 14%。因此，綜合起來，我們將在 2023 年實現不間斷供應。不過，這一切的後果顯然推高了生鐵價格，最高達到每噸約 1,100 美元。

And that drew particularly if we prime scrap up with it, prime scrap today is around $75-ish I guess. Pig iron there is turned over. Transactions are in the kind of the very low $900 range today. And we foresee that pressuring scrap pricing down, at least sideways, but more likely pressuring it down going forward into the summer.

如果我們把它報廢的話，這一點尤其引人注目，我猜今天的報廢價格約為 75 美元左右。那裡的生鐵是翻過來的。今天的交易價格非常低，只有 900 美元。我們預計廢鋼價格將受到壓低，至少橫向壓低，但更有可能在夏季繼續壓低廢鋼價格。

On the flip side, on the obsolete side, when you have pricing at these levels. And as Theresa suggested, there's a record spread between obsolete shred grades to prime of around about $170 a ton. Historically, that was only about $40 a ton. So at these trading levels, everyone is out there with their pickup trucks picking up old cars and old refrigerators. And so the obsolete stream is considerable today. Flow is very, very, very high, and we feel that is going to pressure scrap pricing over the next few months as well.

另一方面，當你的定價處於這些水平時，就會過時。正如 Theresa 所言，過時的碎片等級與優質等級之間的價差創紀錄，約為每噸 170 美元。從歷史上看，每噸價格僅為 40 美元左右。因此，在這些交易水平上，每個人都開著皮卡車去撿舊汽車和舊冰箱。所以今天過時的流是相當可觀的。流量非常非常高，我們認為這也會對未來幾個月的廢鋼定價帶來壓力。

If I can have just 1 follow-up, please. Within your recycling business noticed that the fair shipments were down year-over-year quite considerably. Can you touch on what's driving that decrease and how you'd expect it to transpire into Q2.

如果我只能進行 1 次跟進，請。在您的回收業務中，我們注意到公平出貨量較去年同期大幅下降。您能否談談是什麼導致了這種下降，以及您預計這種下降將如何發生在第二季。

So from a fairs perspective, the shipments were down in the first quarter. It wasn't structural per se. It had to do with where raw material inventories were at the end of the year, heading into the first quarter. There were some mill outages during the first quarter as well.

因此，從展會角度來看，第一季的出貨量有所下降。它本身並不是結構性的。這與年底進入第一季的原料庫存狀況有關。第一季也出現了一些工廠停產的情況。

Heading forward is when traditionally, you're going to see seasonality kick in and based on where we see steel demand and how that translates then into raw material demand as well, we would expect to see increasing volumes second and third quarter for mill recycling.

展望未來，傳統上，你會看到季節性的影響，根據我們對鋼鐵需求的看法以及它如何轉化為原材料需求，我們預計第二季和第三季工廠回收量將會增加。

Your next question is coming from Timna Tanners with Wolfe Research.

您的下一個問題來自沃爾夫研究公司的 Timna Tanners。

So first, I just wanted to just get a little bit more color on the new guidance for Sinton starting up. I think now 1.5 million and it was previously 2 million. Is it possible? There's just further delays. Can you give us a little more color on that and what's happened there?

首先，我只是想對 Sinton 啟動的新指南有更多了解。我想現在是150萬，以前是200萬。是否可以？只是還有進一步的延誤。你能給我們更多關於這件事的資訊以及那裡發生了什麼嗎？

Sure. Absolutely. And I would say and just to emphasize the progress at Sinton is remarkable. The reduced volume, and I think we gave that in our January call was still a little higher than that. And that was before the hot side of the caster and the caster that was delayed.

當然。絕對地。我想說並且只是強調辛頓的進步是顯著的。成交量減少，我認為我們在一月份的電話會議中給出的成交量仍然略高於這個數字。那是在施法者的熱面和被延遲的施法者之前。

Just to start up itself. But since then, the mill is running extremely well as we commission all the different sort of bells and whistles and commission our capabilities. So we've already been at 84.6 inch width coil. We've already been down to 0.60 on high-strength low alloy grades -- and the hot band itself is -- it was described to me this morning as from our customers as beautiful. So I think it's going well, to be honest, and confident that we will exceed that 1.5 million tons in all honesty, we're just being conservative perhaps. I would say, that we just had our national sales, flat roll sales, meaning at Sinton for the last 2 weeks -- last 2 days, sorry. And the tenor there is that the customer interest is absolutely off the charts. As I said, it's such an underserved marketplace today and the product differentiation of that facility is going to be insane.

只是為了啟動自己。但從那時起，工廠運作得非常好，因為我們調試了所有不同類型的附加功能並調試了我們的能力。所以我們已經使用了 84.6 英吋寬度的線圈。我們已經將高強度低合金材質的硬度降低至 0.60，熱軋鋼帶本身也是如此，今天早上我們的客戶向我描述它非常漂亮。所以說實話，我認為進展順利，並且有信心我們將超過 150 萬噸，老實說，我們可能只是保守了。我想說，我們剛剛進行了全國銷售，平卷銷售，意思是過去兩週在辛頓——最後兩天，抱歉。其主旨是客戶的興趣絕對是空前的。正如我所說，如今這是一個服務水準低下的市場，該設施的產品差異化將會變得瘋狂。

And the fact that we have the selling facilities, 4 of which are already operating will be a massive sort of pull-through sort of volume for that facility. So we couldn't be -- to be honest, we couldn't be happier. Yes, what could...

事實上，我們擁有銷售設施，其中 4 個已經投入運營，這將為該設施帶來巨大的拉動量。所以我們不能──說實話，我們不能更快樂。是啊，有什麼可以...

So 90% of the...

所以90%的...

Last December. Yes. But the good side and I think it was -- I can't remember which one have you suggested, but a slow ramp isn't all that bad from a supply-demand dynamic right now anyway. And we -- if you consider our ramp-up is going to be solid through the rest of this year, and we went to 24, 5 operation, just this Monday. Up into that point, we would just commissioning sort of 12 hours a day on days. Galvalume steel, obviously, is not ramping up yet and delta is not. So net-net, it's a good thing.

去年十二月。是的。但我認為好的一面是——我不記得你建議了哪一個，但無論如何，從目前的供需動態來看，緩慢的成長並不是那麼糟糕。如果你認為我們的成長將在今年剩下的時間裡保持穩定，我們就在本週一進入了 24 點、5 點運作。到那時，我們每天只會調試 12 小時。顯然，鍍鋁鋅鋼還沒增加，而達美也沒有。所以網絡網絡，這是一件好事。

Got you. So David and I have said that we're going to start a fab shop. I'm joking, obviously. But we would -- I did want to ask you how hard it would be to see any competitors there in that space, right? Given that prices are now higher than $4,000 a ton.

明白你了。所以大衛和我說我們要開一家工廠。顯然我是在開玩笑。但我們——我確實想問你，在這個領域看到任何競爭對手有多難，對吧？鑑於目前價格高於每噸 4,000 美元。

And historically, I calculated $1350. I mean even with the higher costs, those are pretty nice margins. So I know you said it's consolidated, but -- how hard would it be to see a new entrant there? And how much of that could be a risk.

從歷史上看，我計算出 1350 美元。我的意思是，即使成本較高，利潤率也相當不錯。所以我知道你說它已經合併了，但是——看到一個新進入者有多難？其中有多少可能有風險。

The cost of entry from an asset perspective is not massive. As we've seen or as we described in our last call, we substantially increased productivity and volume capability from our facilities there with almost no capital expense because simply, it's people alliance more than actual capital asset. The engineering of that product is intense to engineer cost effectively is a -- it's proprietary kind of intellectual sort of evolution of many, many, many years. For someone who jumped in fresh nothing is impossible.

從資產角度來看，進入成本並不高。正如我們所看到的或我們在上次電話會議中所描述的，我們在幾乎沒有資本支出的情況下大幅提高了那裡設施的生產力和產量能力，因為簡單地說，這是人員聯盟而不是實際資本資產。該產品的工程設計非常密集，要以成本有效的方式進行設計，這是一種專有的智力類型，經過了許多年的發展。對於一個跳入新鮮事物的人來說，沒有什麼是不可能的。

There's absolutely no way they could emulate our productivity and our efficiency and they wouldn't be able to penetrate in my mind, the marketplace.

他們絕對不可能模仿我們的生產力和效率，他們也無法滲透到我的腦海中，也就是市場。

Just to add to what Mark is saying, if you think about it, you have to have the architecture and the firms the customers are willing to design at some extent, for your products, et cetera. So it's not something that someone can just get involved and have all the constituents know you right off the bat, Mark said that incredibly well.

只是補充一下馬克所說的，如果你想一想，你必須擁有客戶願意在某種程度上為你的產品等設計的架構和公司。因此，這不是某人可以參與其中並讓所有選民立即認識你的事情，馬克說得非常好。

One last thing I would add also is to create the cultural -- the culture for those facilities is absolutely phenomenal. Team does incredibly well. And if you were to visit a joist plant, it's almost a choreography of action and activity and it's very, very difficult to replicate.

我還要補充的最後一件事是創造文化——這些設施的文化絕對是非凡的。團隊表現非常好。如果您要參觀托樑工廠，您會發現這幾乎是動作和活動的編排，而且非常非常難以複製。

Your next question is coming from Carlos De Alba with Morgan Stanley.

你的下一個問題來自摩根士丹利的卡洛斯·德阿爾巴。

Just a couple of questions. The first one, are there -- could you talk about any potential additional cost in this enhanced shredded-scrap products that you are now creating and charging your mills with other than the spread, which obviously is a big incentive for you to move down to shredded.

只是幾個問題。第一個是——您能談談您現在正在生產的這種增強型碎廢品產品的任何潛在額外成本嗎？除了價差之外，這顯然是一個很大的激勵因素，您現在正在生產這些產品並向您的工廠收取費用。切碎。

Are there any costs that you incurred or maybe we should take into consideration just besides the spread and the cost of shredded scrap? And then my second question, if I can is, could you remind us or provide us an updated CapEx guidance for this year? And in particular, is there any changes on the CapEx for Sinton given there's lower ramp-up and the delay on the caster?

除了價差和碎廢品的成本之外，您是否還需要考慮任何成本？或者也許我們應該考慮這些成本？然後我的第二個問題是，如果可以的話，您能否提醒我們或為我們提供今年更新的資本支出指南？特別是，考慮到啟動速度較低且施法者延遲，Sinton 的資本支出是否有任何變化？

Well, I'll take the scrap one and essentially call us, I'd say, somewhere around $10 a ton.

好吧，我會拿廢品並打電話給我們，我想說，大約每噸 10 美元。

That was very short response. From the perspective of guidance for CapEx for this year, we're still tracking around $750 million, and your question was specific to Sinton. And specific to it, we don't expect anything of significance for digital CapEx related to the delays, there was additional expense which you saw flow through the first quarter already due to the delay in just manpower and maintenance of things associated with that delay, but not from a capital perspective.

這是非常簡短的回應。從今年資本支出指導的角度來看，我們仍在追蹤約 7.5 億美元，而您的問題是針對 Sinton 的。具體來說，我們預計與延遲相關的數位資本支出不會有任何重大影響，由於與延遲相關的人力和維護方面的延遲，您已經在第一季度看到了額外的費用，但從資本的角度來看則不然。

So for Sinton we're still at that $2 billion mark, which honestly is incredible, given what the teams have gone through for them to be able to maintain their budget while being able to make it through COVID and whatnot and everything else. So we're not expecting anything for the rest of the year in addition from a Sinton perspective for capital.

因此，對於 Sinton 來說，我們仍然處於 20 億美元的大關，這確實令人難以置信，考慮到團隊為維持預算、同時能夠度過新冠疫情等問題所經歷的一切。因此，從 Sinton 的資本角度來看，我們對今年剩餘時間不會有任何預期。

Your next question is coming from Curt Woodworth with Credit Suisse.

您的下一個問題來自瑞士信貸銀行的科特·伍德沃斯。

Mark, with respect to the 1.8 million tons on site that -- I know you said 4 operating, 3 under construction, but when would you expect that to be fully operational. And then also, when you look at that sort of localized manufacturing capability, do you have a sense of if -- how much of that would be a potential onshoring capability, i.e., sort of new demand or are those facilities replacing, say, existing sites within North America? That's my first question.

馬克，關於現場的 180 萬噸——我知道您說 4 艘正在運營，3 艘正在建設中，但您預計什麼時候才能全面運營。然後，當你看到這種在地化製造能力時，你是否有一種感覺，其中有多少是潛在的外包能力，即某種新的需求，或者這些設施正在取代現有的設施？北美境內的站點？這是我的第一個問題。

Well, I guess the on-campus sort of development is firstly evolved much quicker than we anticipated. It's been absolutely incredible to see the faith of our customer base and coming to and investing in our sort of dream down there.

嗯，我想校園內的發展首先比我們預期的快得多。看到我們的客戶群的信心以及對我們的夢想進行投資，這絕對是令人難以置信的。

And secondly, as I said, when I say intentional, we wanted to make sure is that we differentiated our supply chains. And each of those on-site customers per se are in a different field. So we have everything covered from automotive to light-gauge coated to heavy gauge plate cuts and everything.

其次，正如我所說，當我說有意為之時，我們想確保我們的供應鏈與眾不同。每個現場客戶本身都處於不同的領域。因此，我們涵蓋了從汽車到輕型塗層到重型板材切割等一切。

We have a pipe producer there, and we have a couple of pipe producers there actually. So it's a good spread, a good array of activity to support our supply chain to customers. And obviously, it's a huge benefit to them. We're able to firstly deliver that material to them free of charge. It's just 200 -- well, not smaller than 200 yards. It's a big site.

我們那裡有一個煙鬥生產商，實際上我們那裡有幾個煙鬥生產商。因此，這是一個很好的傳播，一系列很好的活動來支持我們向客戶提供的供應鏈。顯然，這對他們來說是一個巨大的優勢。我們能夠首先免費向他們提供該材料。只有 200 碼——嗯，不小於 200 碼。這是一個很大的網站。

But a mile down the track, we can deliver it very, very effectively at low cost. If you see and stand beside one of our coils there, it is absolutely remarkable, the difference in size between a 22-ton coil and a 52-ton coil. That's giving those customers massive operational benefits, yield benefits. And so that's a plot.

但一英里之後，我們可以以低成本非常非常有效地交付它。如果您看到並站在我們的一個捲材旁邊，您會發現 22 噸卷材和 52 噸卷材之間的尺寸差異絕對是驚人的。這為這些客戶帶來了巨大的營運效益和收益。這就是一個情節。

And it also, obviously, just the elimination of that first freight is $25, $30, $35 a ton savings in the supply chain. So we see it as a very, very effective solution. It's going to allow us to penetrate markets much, much quicker.

顯然，僅僅消除第一筆運費，供應鏈中每噸就可以節省 25 美元、30 美元、35 美元。所以我們認為這是一個非常非常有效的解決方案。這將使我們能夠更快地打入市場。

And Curt, in addition to what Mark said, and we're getting a lot of excitement from this from customers of those customers that are on site is that it removes a considerable amount as the greenhouse gas is associated with delivery and movement of material and we'll be able to take their scrap as well. So it's almost a perfect closed-loop environment that heretofore really hasn't been available. So it will be interesting to see how that develops from a marketing perspective as well.

科特，除了馬克所說的之外，我們從現場客戶的客戶那裡得到了很多興奮，因為它消除了相當多的溫室氣體，因為溫室氣體與材料的運輸和移動有關，並且我們也能拿走他們的廢料。所以它幾乎是一個迄今為止還沒有真正可用的完美閉環環境。因此，從行銷的角度來看這種情況如何發展也會很有趣。

Okay. And then with respect to Iron Dynamics, I mean it seems like that facility has really become a viable asset to the company. I know in the past, had some issues. Are you evaluating potentially building another facility like that at some point? I know in your prepared remarks, you said you were evaluating potential further investment into pig iron. Just curious kind of how you could see the evolution of that going forward?

好的。至於 Iron Dynamics，我的意思是該設施似乎確實已成為該公司的可行資產。我知道過去有一些問題。您是否正在評估在某個時候建造另一個類似設施的可能性？我知道您在準備好的演講中表示，您正在評估對生鐵的進一步投資的可能性。只是好奇你如何看待未來的演變？

I prefer not to reveal our strategy on pig iron supply right now. But I appreciate the question.

我現在不想透露我們的生鐵供應策略。但我很欣賞這個問題。

(Operator Instructions) We do have a follow-up question coming from Seth Rosenfeld.

（操作員說明）我們確實有來自 Seth Rosenfeld 的後續問題。

Just one more with regards to working capital, please. Obviously, very significant investments in Q1 weighing on free cash flow. Can you give a bit more color on the split, perhaps, how much of that was tied to strength in steel prices and volumes versus growth in raw materials inventories, perhaps there was a need to build particularly elevated inventories of raw mats given supply chain disruption.

請再談一談關於營運資金的問題。顯然，第一季的重大投資對自由現金流造成了壓力。您能否對這種劃分提供更多的信息，也許其中有多少與鋼材價格和產量的強勢與原材料庫存的增長有關，考慮到供應鏈中斷，也許有必要建立特別高的原材料庫存。

And then looking forward into Q2 or into the back half what should we think about the sequencing of working capital investment potential release as Sinton begins to then ramp up.

然後展望第二季或下半年，隨著 Sinton 開始加速，我們應該如何考慮營運資本投資潛力釋放的順序。

Fairly fast. From the second, working capital. One big draw, which I'll just reiterate, even though I had it in my opening comments is that we do pay our company-wide profit sharing in March of every year -- the following year. So there was a $360 million payment to the profit sharing, which we're fairly excited to be able to provide that for the retirement of our teams.

相當快。第二，營運資金。儘管我在開場白中提到過，但我要重申的一個重大吸引力是，我們確實會在每年三月（即下一年）支付全公司的利潤分成。因此，我們支付了 3.6 億美元的利潤分成，我們很高興能夠為我們團隊的退休提供這筆資金。

It's based, as you know, on 8% of pretax earnings. And -- so that was a big part of the lever. The other piece of it really related to fabrication and customer account values and volumes. And it was really less to do with inventory. So inventory was fairly flat. Specifically as it relates to Sinton, Sinton isn't in a building working capital mode. So it increases working capital in the first quarter, somewhere around $150 million to $200 million. You'll see that continue. It might be another $100 million to $150 million in the second quarter and third quarter combined. And then we should really be reaching that capacity point outside of any big movements in inventory valuation itself or in customer evaluations themselves for Sinton.

如您所知，它是基於稅前收入的 8% 計算的。而且——所以這是槓桿的一個重要部分。另一部分確實與製造和客戶帳戶價值和數量有關。這其實與庫存關係不大。因此庫存相當平穩。具體來說，與 Sinton 相關的是，Sinton 並沒有處於建立營運資金模式。因此，第一季的營運資金增加了約 1.5 億至 2 億美元。你會看到這種情況繼續下去。第二季和第三季合計可能會再增加 1 億至 1.5 億美元。然後，我們確實應該在庫存評估本身或 Sinton 的客戶評估本身發生任何重大變動之外達到該容量點。

From a consolidated perspective, moving throughout the year, again, we're heading into a seasonally strong environment, second and third quarter. I don't -- you're not going to see as big of a build as we saw in the first quarter because you don't have the same movement in payables and accruals. So I would say it's going to be muted, then likely you'll see some working capital give back in third and fourth quarter.

從綜合角度來看，全年來看，我們再次進入季節性強勁的環境，即第二季和第三季。我不認為——你不會看到像我們在第一季看到的那樣大的成長，因為應付帳款和應計費用沒有相同的變化。所以我想說它會被抑制，然後你可能會看到一些營運資金在第三和第四季回饋。

Your next question for today is coming from Alex Hacking with Citi.

今天的下一個問題來自花旗銀行的 Alex Hacking。

I got dropped off the call for a little bit, so I apologize if this was asked. And I also appreciate if you're going to give me the same answer that you just gave Curt. But you've talked about scrap and pig, how does DRI, HBI potentially fit into your raw material strategy.

我暫時掛斷了電話，所以如果有人問這個問題，我深表歉意。如果您能給我與您剛才給柯特的答案相同的答案，我也很感激。但您談到了廢鋼和生豬，DRI、HBI 如何融入您的原料策略。

We currently are purchasing, procuring DRI -- well, not DRI, HBI and have been for many years. For us, it tends to be what we call a value and use kind of economic calculation if it makes financial sense to put it in the mix, then we will buy it.

我們目前正在採購 DRI——嗯，不是 DRI，HBI，而且已經採購很多年了。對我們來說，它往往是我們所說的價值和使用類型的經濟計算，如果將其納入其中具有財務意義，那麼我們就會購買它。

HBI tends to be an inferior product for the electric arc furnace. It's slows productivity there. It's low yield increases energy consumption. So it's never a preferred material. But at the right price, it makes sense. And so we do have a small but kind of steady diet to keep in line with that supply chain. Our furnace is actually at Sinton and we're converting Columbus to sort of in-line charging, which allows higher volumes of HBI to be added to the furnace if need be.

HBI 往往是電弧爐的劣質產品。它降低了那裡的生產力。它的低產量增加了能源消耗。所以它從來都不是首選材料。但在合適的價格下，這是有道理的。因此，我們確實有一個雖小但穩定的飲食習慣，以與供應鏈保持一致。我們的熔爐實際上位於 Sinton，我們正在將 Columbus 改造為線上裝料，這樣可以在需要時將更多的 HBI 添加到熔爐中。

That concludes our question-and-answer session. I would like to turn the call back over to Mr. Millett for any closing remarks.

我們的問答環節到此結束。我想將電話轉回給米利特先生，請他發表結束語。

Well, again, we certainly appreciate your time. And hopefully, and I see some are just recognizing the strength of our business model, the vertical integration, the downstream supply chain solutions that we have, the diversified value-add mix that we have, and now Sinton coming online and another 4 lines soon thereafter.

好吧，再次感謝您的寶貴時間。希望我看到一些人只是認識到我們的業務模式、垂直整合、我們擁有的下游供應鏈解決方案、我們擁有的多元化增值組合的優勢，現在 Sinton 即將上線，另外 4 條生產線很快就會上線此後。

But we truly, in my humble opinion, we and the team has truly transformed this company over the last 5, 6 years. We're a different company today. We're not just a steel company. And I see that some of you are recognizing that, and I think with time. And as my mom always used to say, proof is in the pudding. Well, we're making the pudding, we're proving it, and I can't be prouder of the team. They're a phenomenal team. I ask them to be safe each and every day and looking after each other. Thank you for the customers, for your faith and support and for our vendors, particularly the vendors that have gone far and beyond the call of duty, so to speak, in putting Sinton together. They've done a phenomenal job. So thank you. and thank you to our shareholders who support us. So with that said, thank you, and have a safe and wonderful day.

但以我的愚見，我們和我們的團隊在過去的五、六年確實改變了這家公司。今天我們是一家不同的公司。我們不僅僅是一家鋼鐵公司。我發現你們中的一些人正在認識到這一點，而且我認為隨著時間的推移。正如我媽媽常說的，布丁就是證據。好吧，我們正在製作布丁，我們正在證明這一點，我為我們的團隊感到無比自豪。他們是一支非凡的團隊。我要求他們每天注意安全並互相照顧。感謝客戶、感謝你們的信任和支持，感謝我們的供應商，特別是那些在將 Sinton 整合在一起的過程中遠遠超出了職責範圍的供應商。他們做得非常出色。所以謝謝。感謝支持我們的股東。話雖如此，謝謝您，祝您度過安全美好的一天。

Once again, ladies and gentlemen, that concludes today's call. Thank you for your participation, and have a great and safe day.

女士們、先生們，今天的電話會議到此結束。感謝您的參與，祝您有美好而安全的一天。