U.S. Steel reports record Q3 profits

U.S. Steel Corp. posted record profits for the third quarter and raised its quarterly dividend as the iconic Pittsburgh steelmaker reaped the benefits of improving markets and its Big River Steel mini mill in Arkansas.

The company earned $2 billion, or $6.97 per share, compared with a loss of $234 million, or $1.21, in the same quarter last year when the global COVID-19 pandemic depressed prices and slashed demand. For all of 2020, U.S. Steel lost $1.2 billion, or $5.92 per share.

Sales for the third quarter more than doubled to $5.96 billion, up from $2.34 billion a year earlier.

“We continue setting records, including net earnings,” CEO David Burritt said in a statement Thursday. “We are confident in the long-term value our new, highly capable mini mill will create as it further expands our competitive advantage to produce sustainable and differentiated steel,” he said.

Last month, the steelmaker said it was looking for a site in the U.S. to build another state-of-theart mini mill at an estimated cost of $3 billion. The announcement came just five months after the company stunned its hometown by canceling a planned $1.5 billion upgrade to its Mon Valley Works.

Separately, U.S. Steel said its board of directors had approved an increase in the quarterly dividend to 5 cents per share, up from 1 cent. The dividend is payable Dec. 9 to stockholders of record Nov. 8.

The board also approved a stock repurchase program of up to $300 million of the company’s outstanding common stock. The shares will be purchased from time to time, depending on market conditions, the company said.

“Today’s capital allocation enhancements further affirm our bullish outlook for the long-term future of U.S. Steel,” Mr. Burritt said.

Top executives are to discuss the financial results with Wall Street analysts at 8:30 a.m. Friday.