Cleveland-Cliffs Half-Year Report 2023
Cleveland-Cliffs Inc. (NYSE: CLF) today reported second-quarter results for the period ended June 30, 2023.
Selected financial results for the second quarter of 2023 include:
- Revenues of $6.0 billion
- Steel shipments of 4.2 million net tons
- Net income of $356 million
- Adjusted EBITDA1 of $775 million
- Cash flow from operations of $887 million
- Free cash flow2 of $756 million
- Net debt3 down to $3.9 billion
- Total liquidity of $3.8 billion, highest in Company history
Second-quarter 2023 revenues were $6.0 billion, compared to $5.3 billion in the first quarter of 2023.
For the second quarter of 2023, the Company recorded net income of $356 million, or $0.67 per diluted share attributable to Cliffs shareholders. This included charges totaling $11 million, or $0.02 per diluted share, related to acquisition costs, asset disposals, severance, and accelerated depreciation of certain assets. In the first quarter of 2023, the Company recorded a GAAP net loss of $42 million, corresponding to a GAAP net loss of $0.11 per diluted share.
Cliffs’ Chairman, President, and CEO Lourenco Goncalves said: “Our total steel shipments of more than 4.2 million net tons in the second quarter were a direct result of another record in automotive shipments. This shift to a higher automotive mix led to even higher realized prices than we were expecting, ultimately driving our industry leading quarter-over-quarter EBITDA expansion. Also, with the substantial free cash flow generated in Q2, we were able to reduce our debt by over $550 million during the quarter, while still returning nearly $100 million to shareholders via share buybacks. Differently from several of our competitors, our capex needs — both now and in the next few years — are well-known and low.
