Cleveland-Cliffs Inc Stock Price, News & Analysis

Cleveland-Cliffs Inc. (NYSE: CLF) has committed to reducing its greenhouse gas emissions by 25% by 2030, focusing on Scope 1 and Scope 2 emissions compared to 2017 levels. The strategic plan outlines five priorities, including using domestically sourced iron ore and investing in carbon capture technology. CEO Lourenco Goncalves highlighted the steel industry's role in combating climate change and emphasized the company's dedication to sustainable operations while supporting jobs in America. Cleveland-Cliffs is now the largest flat-rolled steel producer in North America.

Cleveland-Cliffs Inc. (NYSE: CLF) reported preliminary fourth-quarter 2020 results, highlighting consolidated revenues of approximately $2.2 to $2.3 billion, marking a ~320% year-over-year increase. Adjusted EBITDA reached around $280 to $290 million, a ~150% rise, representing a six-year high. The company’s steel sales volume was 1.9 million net tons. Following its acquisition of ArcelorMittal USA on December 9, 2020, Cleveland-Cliffs anticipates significant contributions from this and its new Hot Briquetted Iron plant, which began operations in December 2020.

Cleveland-Cliffs Inc. (NYSE: CLF) announced over $1 million in donations through The Cleveland-Cliffs Foundation to combat food insecurity in communities across the U.S. and Canada. This support, responding to the increased need due to the pandemic, is expected to provide up to 10 million meals. The company collaborates with 44 food distribution organizations in more than 35 communities, including locations in Ohio, Alabama, and Ontario. CEO Lourenco Goncalves emphasized the company's role in supporting local food banks and encouraged other employers to contribute as well.

Cleveland-Cliffs Inc. (NYSE: CLF) has completed the acquisition of ArcelorMittal USA, establishing itself as the largest flat-rolled steel producer in North America. The transaction is valued at approximately $183 million and enhances the company's operational capabilities and market share, aiming for pro-forma revenues of about $17 billion and adjusted EBITDA of $1.7 billion in 2019. The acquisition also secures 100% ownership of I/N Tek and I/N Kote, contributing a combined $121 million to adjusted EBITDA in 2019. CEO Lourenco Goncalves emphasized the strategic importance of this merger for supporting American manufacturing and infrastructure.

Cleveland-Cliffs Inc. (NYSE: CLF) announced the early termination of the waiting period by the Federal Trade Commission for its acquisition of ArcelorMittal USA. This clearance signals a significant milestone toward finalizing the deal, expected in December 2020. Chairman Lourenco Goncalves expressed optimism about integrating ArcelorMittal USA's operations, emphasizing the potential for improved efficiency and market leadership in flat-rolled steel production in North America. The acquisition remains subject to customary closing conditions.

Cleveland-Cliffs Inc. (NYSE: CLF) commended President Trump for taking measures to preserve 1,400 jobs at AK Steel's Pennsylvania and Ohio facilities. The actions involve enforcing Section 232 tariffs on imported laminations and cores of Grain Oriented Electrical Steel (GOES), crucial for electric transformers. AK Steel is the only GOES producer in the U.S., with an annual capacity of 250,000 net tons. Cleveland-Cliffs appreciates Congressional support and emphasizes the significance of these actions for national security and economic stability.

Cleveland-Cliffs Inc. (NYSE: CLF) reported its third-quarter 2020 results, with total revenues of $1.6 billion, a significant increase from $556 million in Q3 2019. Despite this growth, the company posted a net loss of $2 million or $0.02 per diluted share, influenced by $22 million in acquisition costs. For the first nine months of 2020, Cliffs recorded a net loss of $155 million, compared to a net income of $230 million in 2019. The company generated $246 million in cash from operations, yielding $150 million in free cash flow during the third quarter.

Cleveland-Cliffs Inc. (NYSE: CLF) is set to report its third-quarter 2020 financial results on October 23, 2020, before the U.S. market opens. A live conference call for analysts and investors will follow, allowing for discussions about the results.

The call will be hosted by Lourenco Goncalves, CEO, and Keith Koci, CFO, at 10:00 a.m. ET. Interested parties can access the call live or retrieve the archived version through the company's official website.

Cleveland-Cliffs Inc. (NYSE: CLF) has entered a definitive agreement to acquire ArcelorMittal USA LLC for approximately $1.4 billion. This transaction positions Cleveland-Cliffs as the largest flat-rolled steel producer and iron ore pellet producer in North America. The acquisition will be executed on a cash-free and debt-free basis, incorporating 78.2 million shares, $373 million in preferred stock, and $505 million in cash. Expected benefits include $150 million in annual cost savings and a reduction in leverage from 4.3x to 3.6x on a pro-forma basis.