Cliffs Natural Resources Releases Third Quarter Results

Cliffs Natural Resources (NYSE:CLF) announced that it had generated a consolidated revenue of $1.3 billion, a decrease of $248 million from this time next year. The company said the lower revenues were largely because of the dropping mark price of iron ore and a reduction in market pricing for metallurgical coal.

According to the press release:

Consolidated revenues of $1.3 billion decreased $248 million, or 16 percent, from the prior year’s third quarter. The lower revenues were primarily driven by a 32 percent reduction in market pricing for iron ore and a 17 percent reduction in market pricing for metallurgical coal. Cost of goods sold decreased by 2 percent to $1.2 billion, primarily driven by the idling of the Wabush Scully mine and the positive results of operational efficiencies and cost-cutting efforts achieved across all business units, partially offset by increased sales volumes. For the third quarter of 2014, Cliffs recorded a net loss attributable to Cliffs’ common shareholders of $5.9 billion, or $38.49 per diluted share, compared with a net income attributable to Cliffs’ common shareholders of $104 million, or $0.66 per diluted share, in the third quarter of 2013. Excluding impairment charges and other items, Cliffs reported third-quarter adjusted net income2 of $33 million, or $0.21 per diluted share, compared to an adjusted net income2 of $144 million, or $0.88 per diluted share, in the prior-year quarter.

Click here to read the Cliffs Natural Resources Inc. (NYSE:CLF) press release