Cleveland Cliffs Inc., a major U.S. steel and iron ore producer, announced its third-quarter 2024 financial results for the period ending September 30, 2024. The company reported revenues of $4.6 billion and steel shipments totaling 3.8 million net tons.
While these figures showed a decline compared to previous quarters and the prior year, the company achieved an adjusted EBITDA of $124 million, reflecting efforts to mitigate the impact of a weaker steel market. The reported GAAP net loss was $230 million, or $0.52 per diluted share, and an adjusted net loss of $156 million, or $0.33 per diluted share, following inclusion of several non-recurring costs such as arbitration decisions and acquisition-related expenses.
Cleveland Cliffs noted that softer steel demand and pricing throughout the quarter, especially in key sectors like automotive and construction, contributed to revenue pressures. However, disciplined cost reduction initiatives delivered savings exceeding $40 per ton quarter-over-quarter, partially offsetting these challenges.
The company’s liquidity remained strong, with cash and equivalents totaling $3.8 billion as of September 30, 2024. Capital expenditures for the quarter were approximately $151 million, and management revised the full-year capital spending outlook downward to $600 to $650 million to maintain financial flexibility amid uncertain market conditions.
Additionally, Stelco, a Canadian steel company acquired during the quarter and in which Cleveland Cliffs holds a significant stake, contributed $64 million in adjusted EBITDA on a standalone basis. While this amount was not included in Cleveland Cliffs’ consolidated adjusted EBITDA, it adds a complementary revenue stream to the group’s portfolio.
These third-quarter results from Cleveland Cliffs illustrate the ongoing challenges faced by the steel industry as demand fluctuates in response to broader economic cycles and supply chain dynamics. The company’s focus on cost controls and maintaining liquidity positions it to navigate current market headwinds while supporting its operational footprint across the U.S. and Canada.
As steel remains a critical input for American manufacturing, infrastructure, defense, and energy sectors, Cleveland Cliffs’ performance is an important indicator for industry watchers evaluating domestic production strength and capacity utilization trends in the months ahead.
