NYSE$CLF

Cleveland-Cliffs Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Cleveland-Cliffs reported record results driven by strong steel demand and pricing.

Cleveland-Cliffs reported record third-quarter revenue of $6.0 billion and net income of $1.3 billion, driven by strong steel demand and pricing. The company's adjusted EBITDA was also a record $1.9 billion.

  • Record quarterly revenue of $6.0 billion.
  • Record quarterly net income of $1.3 billion.
  • Record quarterly adjusted EBITDA of $1.9 billion.
  • Free cash flow was used to retire outstanding preferred shares.

Headline financials

Total Revenue

$6B

Previous: $1.65B+264.8%
EPS (adj)

$2.33

Previous: $0.04+5725.0%
Adjusted EBITDA

$1.9B

Previous: $126M+1407.9%
Steel Shipments

4.2K

No prior period
Avg Selling Price

$1.33K

Previous: $1.01K+32.6%
Capital Expenditures

-$473M

Previous: -$379M-24.8%
Free Cash Flow

$801M

Previous: -$389M+306.0%
Net Income

$1.27B

Previous: -$10M+12840.0%
Operating Income

$1.65B

Previous: $38M+4239.5%
Gross Profit

$1.78B

Previous: $121M+1371.8%
Cash & Equivalents

$42M

Previous: $56M-25.0%
Total Assets

$18.1B

Previous: $8.48B+113.0%

Revenue & EPS history

Cleveland-Cliffs · Revenue · Quarterly

$6B

Q3 2021+264.8%vs Q3 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Cleveland-Cliffs · $5.87B total across 1 segment · Q3 2021

  • Steelmaking
    $5.87B

Forward guidance

Cleveland-Cliffs expects average sales price next year should be higher than in 2021, allowing the company to continue to grow its already strong profitability and to further strengthen its balance sheet.

Tailwinds

  • Average sales price next year should be higher than in 2021.
  • Profitability continues to increase.
  • Balance sheet to be further strengthened.
  • Utilize more prime scrap in BOFs.
  • Reducing utilization of coke and carbon emissions.

Headwinds

  • Volatility of steel and iron ore market prices.
  • Reliance on the demand for steel from the automotive industry.
  • Potential weaknesses and uncertainties in global economic conditions.
  • Excess global steelmaking capacity.
  • Oversupply of iron ore.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+0.8%

Avg return

Earnings day

-1.8%

Avg return

5 days after

-2.5%

Avg return

30 days after

55%

40 / 73 earnings

Positive

+23.1%

Q2 2018

Best reaction

-21.1%

Q4 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.6%+0.3%+10.0%
Q4 2025-16.4%-29.5%-37.0%
Q3 2025+21.4%-1.4%-15.5%
Q2 2025-0.7%-1.9%+9.9%
Q1 2025-15.9%-10.7%-10.5%
Q4 2024-3.2%-2.8%-16.3%
Q3 2024-12.5%-3.0%-6.3%
Q2 2024+4.7%+2.0%-15.4%
Q1 2024-10.9%-14.1%-17.6%
Q4 2023+9.3%+10.4%+10.2%
Q3 2023+7.3%+9.9%+15.5%
Q2 2023+9.9%+7.0%-5.1%
Q1 2023-3.8%-3.1%-10.6%
Q4 2022+2.4%-0.6%-11.4%
Q3 2022-5.0%-13.4%+2.4%
Q2 2022-3.4%-2.9%+3.8%
Q1 2022-6.2%-7.2%-26.3%
Q4 2021-11.8%-5.2%+23.4%
Q3 2021+20.1%+17.2%+3.7%
Q2 2021+1.9%+5.1%+8.5%
Q1 2021+5.5%+9.6%+5.9%
Q4 2020-21.1%-13.1%-2.0%
Q3 2020+3.0%-3.5%+11.6%
Q2 2020-10.8%-5.9%+11.5%
Q1 2020-8.9%-14.9%+36.7%
Q4 2019-6.7%-15.0%-58.0%
Q3 2019+0.1%+3.6%+11.2%
Q2 2019+3.1%+0.6%-24.9%
Q1 2019+6.1%+5.0%-2.1%
Q4 2018+6.9%+5.2%-10.3%
Q3 2018-1.2%-11.2%-10.3%
Q2 2018+23.1%+22.2%+11.5%
Q1 2018+1.0%+4.0%+19.7%
Q4 2017-8.6%-11.0%-10.3%
Q3 2017-8.3%-8.2%-17.6%
Q2 2017-8.2%-3.6%+1.2%
Q1 2017-6.5%-7.8%-14.6%
Q4 2016+17.1%+26.4%-8.2%
Q3 2016-12.4%-12.1%+59.8%
Q2 2016+0.8%+1.4%-26.5%
Q1 2016+22.3%
Q4 2015+4.6%
Q3 2015+4.5%
Q2 2015-10.8%
Q1 2015-11.7%
Q4 2014+5.9%
Q3 2014+17.2%
Q2 2014-0.8%
Q1 2014-1.6%
Q4 2013+5.3%
Q3 2013+6.7%
Q2 2013+7.7%
Q1 2013+21.0%
Q4 2012-19.6%
Q3 2012-12.3%
Q2 2012-9.6%
Q1 2012-4.3%
Q4 2011-2.9%
Q3 2011+2.5%
Q2 2011-4.0%
Q1 2011-0.2%
Q1 2009+3.9%
Q4 2010+3.9%
Q3 2010+4.7%
Q2 2010+4.5%
Q1 2010+1.5%
Q4 2007+13.1%
Q4 2009+13.1%
Q3 2009+1.7%
Q3 2008+1.7%
Q2 2008+10.2%
Q2 2009+10.2%
Q4 2008+10.2%

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