Cleveland-Cliffs Reports Q2 Results

Cleveland-Cliffs (NYSE:CLF) has reported its second-quarter results for the period ended June 30, 2018, detailing consolidated revenues of US$714 million, compared to the prior year’s second-quarter revenues of US$471 million.

The company also reported the cost of goods sold was US$430 million compared to US$327 million reported in the second quarter of 2017, a rise of 31.5 percent.

As quoted in the press release:

The company recorded income from continuing operations of US$229 million in the second quarter, or US$0.76 per diluted share, compared to US$84 million, or US$0.28 per diluted share, in the second quarter of 2017. Net income for the quarter was US$165 million, which included a US$64 million, or US$0.21 per diluted share, loss from discontinued operations, primarily associated with the company’s Asia Pacific iron ore assets. This compares to net income of US$30 million in the second quarter of 2017. For the six months ended June 30, 2018, net income was US$81 million, compared to US$0.3 million during the same period in 2017.

Chairman, President and CEO of Cleveland-Cliffs, Lourenco Goncalves said:

“With the announced sale of the Asia Pacific Iron Ore segment, we have now completed our multi-year transformation back to our roots as a supplier of high-grade iron units to the Great Lakes steel industry. As a consequence, we expect to generate in 2018 a level of free cash flow that we have not seen in years. Going forward, we expect 2019 to be a continuation of a great 2018, based on the renewed strength of American manufacturing, the multi-year positive impact of the tax reform implemented in 2018 in the United States, and our strong position as the supplier of iron ore pellets within the Great Lakes region.”

Click here to read the full Cleveland-Cliffs (NYSE:CLF) press release.