Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Certain statements made in this report, or in other public filings, press releases, or other written or oral communications made by Nucor, which are not historical facts are forward-looking statements subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties which we expect will or may occur in the future and may impact our business, financial condition and results of operations. The words “anticipate,” “believe,” “expect,” “intend,” “project,” “may,” “will,” “should,” “could” and similar expressions are intended to identify those forward-looking statements. These forward-looking statements reflect the Company’s best judgment based on current information, and, although we base these statements on circumstances that we believe to be reasonable when made, there can be no assurance that future events will not affect the accuracy of such forward-looking information. As such, the forward-looking statements are not guarantees of future performance, and actual results may vary materially from the projected results and expectations discussed in this report. Factors that might cause the Company’s actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) competitive pressure on sales and pricing, including pressure from imports and substitute materials; (2) U.S. and foreign trade policies affecting steel imports or exports; (3) the sensitivity of the results of our operations to general market conditions, and in particular, prevailing market steel prices and changes in the supply and cost of raw materials, including pig iron, iron ore and scrap steel; (4) the availability and cost of electricity and natural gas, which could negatively affect our cost of steel production or result in a delay or cancellation of existing or future drilling within our natural gas drilling programs; (5) critical equipment failures and business interruptions; (6) market demand for steel products, which, in the case of many of our products, is driven by the level of nonresidential construction activity in the United States; (7) impairment in the recorded value of inventory, equity investments, fixed assets, goodwill or other long-lived assets; (8) uncertainties and volatility surrounding the global economy, including excess world capacity for steel production, inflation and interest rate changes; (9) fluctuations in currency conversion rates; (10) significant changes in laws or government regulations affecting environmental compliance, including legislation and regulations that result in greater regulation of greenhouse gas emissions that could increase our energy costs, capital expenditures and operating costs or cause one or more of our permits to be revoked or make it more difficult to obtain permit modifications; (11) the cyclical nature of the steel industry; (12) capital investments and their impact on our performance; (13) our safety performance; (14) our ability to integrate businesses we acquire; (15) the impact of the COVID-19 pandemic, any variants of the virus, and any other similar pandemic or public health situation; and (16) the risks discussed in “Item 1A. Risk Factors” of the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 and elsewhere in this report.

Caution should be taken not to place undue reliance on the forward-looking statements included in this report. We assume no obligation to update any forward-looking statements except as may be required by law. In evaluating forward-looking statements, these risks and uncertainties should be considered, together with the other risks described from time to time in our reports and other filings with the United States Securities and Exchange Commission.

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the unaudited condensed consolidated financial statements and the notes thereto included elsewhere in this report, as well as the audited consolidated financial statements and the notes thereto, “Item 1A. Risk Factors” and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained in Nucor’s Annual Report on Form 10-K for the year ended December 31, 2022.

Overview

Nucor and its affiliates manufacture steel and steel products. Nucor also produces DRI for use in its steel mills. Through DJJ, the Company also processes ferrous and nonferrous metals and brokers ferrous and nonferrous metals, pig iron, hot briquetted iron and DRI. Most of Nucor’s operating facilities and customers are located in North America. Nucor’s operations include international trading and sales companies that buy and sell steel and steel products manufactured by the Company and others. Nucor is North America’s largest recycler, using scrap steel as the primary raw material in producing steel and steel products.

Nucor reports its results in the following segments: steel mills, steel products and raw materials. The steel mills segment includes carbon and alloy steel in sheet, bars, structural and plate; steel trading and rebar distribution businesses; and Nucor’s equity method investments in NuMit and NJSM. The steel products segment includes steel joists and joist girders, steel deck, fabricated concrete reinforcing steel, cold finished steel, precision castings, steel fasteners, metal building systems, insulated metal panels, overhead doors, steel grating, tubular products, steel racking, piling products, wire and wire mesh, and utility towers and structures. The raw materials segment includes DJJ, primarily a

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scrap broker and processor; Nu-Iron Unlimited and Nucor Steel Louisiana, two facilities that produce DRI used by the steel mills; and our natural gas production operations.

The average utilization rates of all operating facilities in the steel mills, steel products and raw materials segments were approximately 80%, 66% and 74%, respectively, in the first nine months of 2023 compared with approximately 80%, 76% and 73%, respectively, in the first nine months of 2022.

Results of Operations

Nucor reported net earnings attributable to Nucor stockholders of $1.14 billion, or $4.57 per diluted share, for the third quarter of 2023, as compared to net earnings attributable to Nucor stockholders of $1.46 billion, or $5.81 per diluted share, for the second quarter of 2023, and $1.69 billion, or $6.50 per diluted share, for the third quarter of 2022.

Earnings decreased in the third quarter of 2023 as compared to the third quarter of 2022 across all three operating segments. All product groups within the steel mills segment had decreased profitability in the third quarter of 2023 as compared to the third quarter of 2022 due to lower realized average selling prices. Lower volumes and decreased average sales prices were the primary drivers for the decreased profitability in the steel products segment during the third quarter of 2023 as compared to the third quarter of 2022. Though profitability of our joist and deck businesses continued to moderate in the third quarter of 2023 from historically high levels, it remained well above historical averages. Partially offsetting the decreased profitability of most of the businesses in the steel products segment were our rebar fabrication operations, which had a strong increase in profitability in the third quarter of 2023 as compared to the third quarter of 2022. Earnings for the raw materials segment decreased in the third quarter of 2023 as compared to the third quarter of 2022 due primarily to the decreased earnings of our DRI facilities.

Nucor reported net earnings attributable to Nucor stockholders of $3.74 billion, or $14.83 per diluted share, for the first nine months of 2023, as compared to net earnings attributable to Nucor stockholders of $6.35 billion, or $23.85 per diluted share, for the first nine months of 2022. The largest contributor to this year-over-year decrease was the decreased earnings of the steel mills segment, particularly at our sheet mills. Pricing for sheet products declined significantly in the first nine months of 2023 as compared to the first nine months of 2022.

The following discussion provides a greater quantitative and qualitative analysis of Nucor’s performance in the third quarter and first nine months of 2023 as compared to the third quarter and first nine months of 2022.

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Net Sales

Net sales to external customers by segment for the third quarter and first nine months of 2023 and 2022 were as follows (in thousands):

		Three Months (13 Weeks) Ended						Nine Months (39 Weeks) Ended
		September 30, 2023		October 1, 2022		% Change		September 30, 2023		October 1, 2022		% Change
Steel mills		$5,091,479		$5,908,153		-14%		$15,636,508		$19,682,829		-21%
Steel products		3,235,969		4,087,107		-21%		9,954,828		11,253,143		-12%
Raw materials		448,286		505,495		-11%		1,417,634		1,852,539		-23%
Total net sales to external customers		$8,775,734		$10,500,755		-16%		$27,008,970		$32,788,511		-18%

Net sales for the third quarter of 2023 decreased 16% from the third quarter of 2022. Average sales price per ton decreased 14% from $1,637 in the third quarter of 2022 to $1,406 in the third quarter of 2023. Total tons shipped to outside customers in the third quarter of 2023 were approximately 6,240,000 tons, a 3% decrease from the third quarter of 2022.

Net sales for the first nine months of 2023 decreased 18% from the first nine months of 2022. Average sales price per ton decreased 15% from $1,657 in the first nine months of 2022 to $1,402 in the first nine months of 2023. Total tons shipped to outside customers in the first nine months of 2023 were approximately 19,271,000 tons, a 3% decrease from the first nine months of 2022.

In the steel mills segment, sales tons for the third quarter and first nine months of 2023 and 2022 were as follows (in thousands):

		Three Months (13 Weeks) Ended						Nine Months (39 Weeks) Ended
		September 30, 2023		October 1, 2022		% Change		September 30, 2023		October 1, 2022		% Change
Outside steel shipments		4,578		4,553		1%		14,156		14,133		-
Inside steel shipments		1,168		1,316		-11%		3,604		3,998		-10%
Total steel shipments		5,746		5,869		-2%		17,760		18,131		-2%

Net sales for the steel mills segment decreased 14% in the third quarter of 2023 from the third quarter of 2022, due primarily to a 14% decrease in the average sales price per ton, from $1,296 to $1,114.

Net sales for the steel mills segment decreased 21% in the first nine months of 2023 from the first nine months of 2022, due primarily to a 20% decrease in the average sales price per ton, from $1,388 to $1,105.

Outside sales tonnage for the steel products segment for the third quarter and first nine months of 2023 and 2022 was as follows (in thousands):

		Three Months (13 Weeks) Ended						Nine Months (39 Weeks) Ended
		September 30, 2023		October 1, 2022		% Change		September 30, 2023		October 1, 2022		% Change
Joist sales		127		160		-21%		404		497		-19%
Deck sales		104		129		-19%		310		388		-20%
Cold finished sales		103		112		-8%		332		368		-10%
Rebar fabrication sales		307		350		-12%		918		980		-6%
Piling products sales		117		119		-2%		331		349		-5%
Tubular products sales		223		231		-3%		737		735		-
Other steel products sales		160		190		-16%		443		520		-15%
Total steel products sales		1,141		1,291		-12%		3,475		3,837		-9%

Net sales for the steel products segment decreased 21% in the third quarter of 2023 compared to the third quarter of 2022, due to a 12% decrease in shipping volumes and a 10% decrease in the average sales price per ton, from $3,167 to $2,837.

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Net sales for the steel products segment decreased 12% in the first nine months of 2023 compared to the first nine months of 2022, due to a 9% decrease in shipping volumes and a 2% decrease in the average sales price per ton, from $2,933 to $2,865.

Net sales for the raw materials segment decreased 11% in the third quarter of 2023 compared to the third quarter of 2022, due to decreases for both DJJ brokerage and scrap processing operations in average sales price per ton and tons shipped to outside customers. In the third quarter of 2023, approximately 92% of outside sales for the raw materials segment were from the brokerage operations of DJJ, and approximately 4% of outside sales were from the scrap processing operations of DJJ (90% and 6%, respectively, in the third quarter of 2022).

Net sales for the raw materials segment decreased 23% in the first nine months of 2023 compared to the first nine months of 2022, due to decreases in average sales price per ton and tons shipped to outside customers for both DJJ brokerage and scrap processing operations. In the first nine months of 2023, approximately 93% of outside sales for the raw materials segment were from the brokerage operations of DJJ, and approximately 3% of outside sales were from the scrap processing operations of DJJ (91% and 7%, respectively, in the first nine months of 2022).

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Gross Margins

Nucor recorded gross margins of $1.92 billion (22%) in the third quarter of 2023, which was a decrease compared to $2.84 billion (27%) in the third quarter of 2022.

The decrease in gross margins in the third quarter of 2023 as compared to the third quarter of 2022 was due primarily to lower metal margins across the steel mills segment. Metal margin is the difference between the selling price of steel and the cost of scrap and scrap substitutes.

Scrap and scrap substitutes are the most significant element in the total cost of steel production. The average scrap and scrap substitute cost per gross ton used in the third quarter of 2023 was $415, a 17% decrease compared to $502 in the third quarter of 2022. Though scrap and scrap substitute costs decreased in the third quarter of 2023 as compared to the third quarter of 2022, total metal margin dollars decreased as average selling prices also decreased.

Scrap prices are driven by the global supply and demand for scrap and other iron-based raw materials used to make steel. As we enter the fourth quarter of 2023, we expect scrap prices to decrease compared to the third quarter of 2023.

Gross margins in the steel products segment decreased in the third quarter of 2023 compared to the third quarter of 2022, primarily due to decreases at our joist, deck, and metal buildings businesses. This decrease was partially offset by the strong performance of our rebar fabrication business.

Pre-operating and start-up costs of new facilities were approximately $100 million in the third quarter of 2023 and approximately $52 million in the third quarter of 2022. Pre-operating and start-up costs in the third quarter of 2023 primarily included costs related to the plate mill in Kentucky and the sheet mill under construction in West Virginia. Pre-operating and start-up costs in the third quarter of 2022 primarily included costs related to the plate mill being built in Kentucky, the galvanizing line at our sheet mill expansion in Arkansas, and the construction of the sheet mill in West Virginia. Nucor defines pre-operating and start-up costs, all of which are expensed, as the losses attributable to facilities or major projects that are either under construction or in the early stages of operation. Once these facilities or projects have attained a utilization rate that is consistent with our similar operating facilities, Nucor no longer considers them to be in start-up.

Gross margins across all businesses within the raw materials segment decreased in the third quarter of 2023 as compared to the third quarter of 2022.

Nucor recorded gross margins of $6.42 billion (24%) in the first nine months of 2023, which was a decrease compared to $10.41 billion (32%) in the first nine months of 2022.

In the steel mills segment, the average scrap and scrap substitute cost per gross ton used in the first nine months of 2023 was $429, a 16% decrease compared to $511 in the first nine months of 2022. However, the decrease in scrap and substitute costs was more than offset by the decreases in average selling prices, resulting in lower metal margins.

The steel products segment had decreased gross margins in the first nine months of 2023 compared to the first nine months of 2022, primarily due to decreases at our joist, deck, and metal buildings businesses. This decrease was partially offset by the strong performance of our rebar fabrication business and the addition of our overhead door business.

Pre-operating and start-up costs of new facilities increased to approximately $273 million in the first nine months of 2023 from approximately $174 million in the first nine months of 2022. Pre-operating and start-up costs in the first nine months of 2023 primarily included costs related to the plate mill in Kentucky and the sheet mill under construction in West Virginia. Pre-operating and start-up costs in the first nine months of 2022 primarily included costs related to the plate mill in Kentucky, the sheet mill expansion in Kentucky and the construction of a galvanizing line at our sheet mill expansion in Arkansas.

Gross margins across all business in the raw materials segment decreased in the first nine months of 2023 as compared to the first nine months of 2022.

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Marketing, Administrative and Other Expenses

A major component of marketing, administrative and other expenses is profit sharing and other incentive compensation costs. These costs, which are based upon and fluctuate with Nucor’s financial performance, decreased by $125.2 million in the third quarter of 2023 as compared to the third quarter of 2022, and decreased by $371.7 million in the first nine months of 2023 as compared to the first nine months of 2022. These decreases were due to Nucor's decreased profitability in the third quarter and first nine months of 2023 as compared to the respective prior year periods, which resulted in decreased accruals related to profit sharing.

Equity in Losses/Earnings of Unconsolidated Affiliates

Equity in losses of unconsolidated affiliates was $1.1 million in the third quarter of 2023, and equity in earnings of unconsolidated affiliates was $8.4 million in the third quarter of 2022. Equity in earnings of unconsolidated affiliates was $3.7 million and $23.2 million in the first nine months of 2023 and 2022, respectively. The decreases in equity method investment earnings were primarily due to the decreased results of NuMit.

In October 2023, Nucor purchased an additional 1% interest in NJSM to bring the total investment to 51%. As such, NJSM will be accounted for on a consolidated basis starting in the fourth quarter of 2023.

Interest (Income) Expense

Net interest (income) expense for the third quarter and first nine months of 2023 and 2022 was as follows (in thousands):

		Three Months (13 Weeks) Ended								Nine Months (39 Weeks) Ended
		September 30, 2023				October 1, 2022				September 30, 2023				October 1, 2022
Interest expense		$	63,228			$	54,569			$	186,716			$	162,159
Interest income			(77,361	)			(12,222	)			(186,068	)			(18,914	)
Interest (income) expense, net		$	(14,133	)		$	42,347			$	648			$	143,245

Interest expense increased in the third quarter and first nine months of 2023 compared to the third quarter and first nine months of 2022 due to higher average interest rates on debt and an increase in average debt outstanding.

Interest income increased in the third quarter and first nine months of 2023 compared to the third quarter and first nine months of 2022 primarily due to an increase in average interest rates on cash investments and higher average cash investment balances held.

Earnings Before Income Taxes and Noncontrolling Interests

The table below presents earnings before income taxes and noncontrolling interests by segment for the third quarter and first nine months of 2023 and 2022 (in thousands). The changes between periods were driven by the quantitative and qualitative factors previously discussed.

		Three Months (13 Weeks) Ended								Nine Months (39 Weeks) Ended
		September 30, 2023				October 1, 2022				September 30, 2023				October 1, 2022
Steel mills		$	882,614			$	1,287,855			$	3,124,549			$	6,682,432
Steel products			806,731				1,196,845				2,788,322				3,011,644
Raw materials			71,367				279,189				267,918				638,640
Corporate/eliminations			(212,630	)			(440,967	)			(986,141	)			(1,621,277	)
		$	1,548,082			$	2,322,922			$	5,194,648			$	8,711,439

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Noncontrolling Interests

Noncontrolling interests represent the income attributable to the holders of noncontrolling interests in Nucor’s joint ventures, NYS and CSI. Nucor owns a 51% controlling interest in each of NYS and CSI. The decrease in earnings attributable to noncontrolling interests in the third quarter of 2023 as compared to the third quarter of 2022 was primarily due to the decreased earnings of NYS. The decrease in earnings attributable to noncontrolling interests in the first nine months of 2023 as compared to the first nine months of 2022 was primarily due to the decreased earnings of both NYS and CSI.

Provision for Income Taxes

The effective tax rate for the third quarter of 2023 was 21.1% compared to 22.6% for the third quarter of 2022. The decrease in the effective tax rate for the third quarter of 2023 as compared to the third quarter of 2022 was primarily due to increased federal tax credits and the change in relative proportions of net earnings attributable to noncontrolling interests to total pre-tax earnings between the periods. The expected effective tax rate for the full year of 2023 is approximately 22.3%.

We estimate that in the next 12 months our gross unrecognized tax benefits, which totaled $179.8 million at September 30, 2023, exclusive of interest, could decrease by as much as $10.6 million as a result of the expiration of the statute of limitations and the closures of examinations, substantially all of which would impact the effective tax rate.

The IRS is currently examining Nucor’s 2015, 2019 and 2020 federal income tax returns. Nucor has concluded U.S. federal income tax matters for the tax years through 2014, and for the tax years 2016 and 2018. The tax years 2017, 2021 and 2022 remain open to examination by the IRS. The 2015 through 2021 Canadian income tax returns for Harris Steel Group Inc. and certain related affiliates are currently under examination by the Canada Revenue Agency. The tax years 2016 through 2022 remain open to examination by other major taxing jurisdictions to which Nucor is subject (primarily Canada, Trinidad & Tobago, and other state and local jurisdictions).

Net Earnings Attributable to Nucor Stockholders and Return on Equity

Nucor reported net earnings attributable to Nucor stockholders of $1.14 billion, or $4.57 per diluted share, in the third quarter of 2023 as compared to net earnings attributable to Nucor stockholders of $1.69 billion, or $6.50 per diluted share, in the third quarter of 2022. Net earnings attributable to Nucor stockholders as a percentage of net sales were 13.0% and 16.1% in the third quarter of 2023 and 2022, respectively.

Nucor reported net earnings attributable to Nucor stockholders of $3.74 billion, or $14.83 per diluted share, in the first nine months of 2023 as compared to net earnings attributable to Nucor stockholders of $6.35 billion, or $23.85 per diluted share, in the first nine months of 2022. Net earnings attributable to Nucor stockholders as a percentage of net sales were 13.8% and 19.4% in the first nine months of 2023 and 2022, respectively. Annualized return on average stockholders’ equity was 25.6% and 53.4% in the first nine months of 2023 and 2022, respectively.

Outlook

We expect earnings in the fourth quarter of 2023 to decrease compared to the third quarter of 2023 due primarily to lower pricing across all three operating segments, and, to a lesser extent, decreased volumes. In the steel mills segment, we expect the decrease in realized pricing to be most pronounced at our sheet mills. In the steel products segment, we expect decreased earnings due to moderating average selling prices at most of the product groups within the steel products segment and lower volumes. Earnings for the raw materials segment are expected to decrease in the fourth quarter of 2023 as compared to the third quarter of 2023 due to lower pricing for raw materials and planned outages at our DRI facilities.

Nucor’s largest exposure to market risk is in our steel mills and steel products segments. Our largest single customer in the third quarter of 2023 represented approximately 5% of sales and has consistently paid within terms. In the raw materials segment, we are exposed to price fluctuations related to the purchase of scrap and scrap substitutes, pig iron and iron ore. Businesses within the steel mills segment account for the majority of the raw materials segment’s sales.

Liquidity and Capital Resources

We currently have the highest credit ratings of any steel producer headquartered in North America, with an A- long-term rating from Standard & Poor’s, an A- rating from Fitch Ratings and a Baa1 long-term rating from Moody’s. Our credit

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ratings are dependent, however, upon a number of factors, both qualitative and quantitative, and are subject to change at any time. The disclosure of our credit ratings is made in order to enhance investors’ understanding of our sources of liquidity and the impact of our credit ratings on our cost of funds.

Our liquidity position as of September 30, 2023 remained strong, consisting of total cash and cash equivalents, short-term investments and restricted cash and cash equivalents of $6.73 billion ($4.94 billion as of December 31, 2022). Of these totals, the amount of restricted cash and cash equivalents was $12.8 million at September 30, 2023 and $80.4 million at December 31, 2022. Approximately $888.1 million of the cash and cash equivalents position at September 30, 2023, was held by our majority-owned and controlled subsidiaries as compared to $1.04 billion at December 31, 2022.

Cash provided by operating activities was $5.59 billion in the first nine months of 2023 as compared to $7.54 billion in the first nine months of 2022. The $1.95 billion decrease was primarily driven by net earnings before noncontrolling interests of $4.04 billion for the first nine months of 2023, a decrease of $2.71 billion from net earnings before noncontrolling interests for the prior year period of $6.75 billion. Partially offsetting the decline in net earnings before noncontrolling interests were the changes in operating assets and operating liabilities (exclusive of acquisitions) which provided cash of $604.5 million in the first nine months of 2023 as compared to using cash of $58.3 million in the first nine months of 2022.

The funding of our working capital in the first nine months of 2023 decreased by $662.8 million compared to the first nine months of 2022 mainly due to the change in accounts receivable providing $171.6 million of cash in the first nine months of 2023 compared to using cash of $104.8 million in the first nine months of 2022, as well as due to the change in federal income taxes which provided cash of $240.7 million in the first nine months of 2023, compared to using cash of $302.3 million in the first nine months of 2022. Additionally, the change in accounts payable provided cash of $164.5 million in the first nine months of 2023, compared to using cash of $299.8 million in the first nine months of 2022. These changes were offset by the $468.3 million decrease in the change in salaries, wages and related accruals in the first nine months of 2023 as compared to the first nine months of 2022. The change in salaries, wages and related accruals used cash of $347.0 million in the first nine months of 2023 as compared to providing cash of $121.2 million in the first nine months of 2022, due primarily to the payout in the first nine months of 2023 of incentive compensation for 2022, which was higher than the incentive compensation for 2021 that was paid out in the first nine months of 2022 due to higher Company earnings in 2022.

The current ratio was 3.7 at the end of the third quarter of 2023 and 3.4 at year-end 2022. The increase in the current ratio at the end of the third quarter of 2023 compared to year-end 2022 was due to the $1.26 billion, or 9%, increase in current assets. The increase in current assets was primarily due to the $1.58 billion increase in cash and cash equivalents at the end of the third quarter of 2023 compared to year-end 2022.

Cash used in investing activities during the first nine months of 2023 was $1.84 billion as compared to $4.99 billion in the prior year period, a decrease of $3.15 billion. The primary reason for the decrease in cash used in investing activities was the decrease in cash used for acquisitions of $3.55 billion. Acquisitions were significantly higher in the first nine months of 2022 due to the acquisition of CSI on February 1, 2022 and C.H.I. Overhead Doors, LLC on June 24, 2022 (there have been no acquisitions to date in 2023). Cash used for capital expenditures of $1.50 billion in the first nine months of 2023 increased by $66.1 million over the same period of 2022 primarily due to the plate mill and tubular product facility being built in Kentucky, the sheet mill in West Virginia and the micro mill being built in North Carolina. Capital expenditures for 2023 are estimated to be approximately $2.40 billion as compared to $1.95 billion in 2022. The projects that we anticipate will have the largest capital expenditures in 2023 are the sheet mill under construction in West Virginia, the micro mill being built in North Carolina, the sheet mill expansion in Indiana and the plate mill in Kentucky.

Cash used in financing activities during the first nine months of 2023 was $2.24 billion as compared to $1.93 billion in the first nine months of 2022. The primary uses of cash were stock repurchases of $1.38 billion in the first nine months of 2023 as compared to $2.36 billion in the first nine months of 2022, a decrease of $983.2 million, and distributions to noncontrolling interests of $412.4 million in the first nine months of 2023 as compared to $300.8 million in the first nine months of 2022, an increase of $111.6 million. The primary change in the source of cash offsetting these uses of cash was proceeds from long-term debt, net of discount to the public, of $2.09 billion in the first nine months of 2022 as compared to none in the first nine months of 2023. In the first nine months of 2022, Nucor issued $500.0 million aggregate principal amount of its 3.950% Notes due in 2025, $500.0 million aggregate principal amount of its 4.300% Notes due in 2027, $550.0 million aggregate principal amount of its 3.125% Notes due in 2032 and $550.0 million aggregate principal amount of its 3.850% Notes due in 2052. A portion of the net proceeds from the long-term debt issued in the first nine months of 2022 was used to redeem $1.11 billion of long-term debt in the first nine months of 2022.

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Nucor’s $1.75 billion revolving credit facility matures on November 5, 2026. The revolving credit facility includes only one financial covenant, which is a limit of 60% on the ratio of funded debt to total capital. In addition, the revolving credit facility contains customary non-financial covenants, including a limit on Nucor’s ability to pledge the Company’s assets and a limit on consolidations, mergers and sales of assets. As of September 30, 2023, the funded debt to total capital ratio was 23.7% and we were in compliance with all non-financial covenants under the revolving credit facility. No borrowings were outstanding under the revolving credit facility as of September 30, 2023.

In September 2023, Nucor’s Board of Directors declared a quarterly cash dividend on Nucor’s common stock of $0.51 per share payable on November 9, 2023 to stockholders of record on September 29, 2023. This dividend is Nucor’s 202nd consecutive quarterly cash dividend.

Funds provided from operations, cash and cash equivalents, short-term investments, restricted cash and cash equivalents and new borrowings under our existing credit facilities are expected to be adequate to meet future capital expenditure and working capital requirements for existing operations for at least the next 24 months. We also believe we have adequate access to capital markets for liquidity purposes.