NEW YORK (TheStreet) -- Shares of AK Steel (AKS) stock are higher today by 33 cents, or 4.93%, to $7.03. The company today provided guidance for its first quarter 2014 financial results, and said it expects to report a net loss of $0.44 to $0.49 per diluted share of common stock. The expected net loss was driven principally by several significant factors during the first quarter that the company does not expect to continue during the rest of the year, including higher energy costs related to the extreme cold weather, an unplanned blast furnace outage, the acceleration of a planned blast furnace outage, and a charge for a tentative legal settlement.
AK Steel expects shipments of approximately 1,250,000 to 1,275,000 tons in the first quarter of 2014, an approximate 10% to 12% decrease from 1,420,000 tons in the fourth quarter of 2013. The reduction in shipments for the first quarter is attributable principally to the effects of the unplanned outage at the company's Ashland Works blast furnace resulting in a decline in shipments of carbon steel to the spot market and a decline in shipments of electrical steel, partially offset by higher automotive shipments.
The company expects its average selling price for the first quarter of 2014 to increase by approximately 6% to approximately $1,095 from its average selling price of $1,031 per ton in the fourth quarter of 2013. The increase in average selling price is primarily due to a richer shipment mix of value-added products.
AK Steel has said that it plans to release its first quarter 2014 financial results before the opening of trading on the New York Stock Exchange on Tuesday, April 22, 2014.