Categories AlphaGraphs, Earnings, Other Industries

Cleveland-Cliffs’ Q4 results miss expectations

Cleveland-Cliffs Inc. (CLF) missed market expectations on both revenue and earnings for the fourth quarter of 2018 but shares rose by 3.6% in premarket hours on Friday.

Consolidated revenues rose 35% year-over-year to $696 million. Net income almost doubled to $610 million, or $1.98 per share, during the quarter compared to $310 million, or $1.03 per share, in the prior-year period, helped by higher income tax benefits. Adjusted EPS was $0.55.

Cleveland-Cliffs fourth quarter 2018 earnings infographic
Cleveland-Cliffs Q4 2018 Earnings Infographic

Mining and Pelletizing pellet sales volume increased 21% to 6.5 million long tons from last year, helped by stronger customer demand and two additional contract wins. Shipment volume was negatively impacted by bad weather which limited shipping capabilities during October and November.

For full-year 2019, Cliffs expects sales and production volumes of its productive capacity of approx. 20 million long tons.

Also see: Cleveland-Cliffs Q4 2018 Earnings Conference Call Transcript

Cliffs expects to realize Mining and Pelletizing revenue rates in the range of $102 to $107 per long ton, assuming that iron ore prices ($76 per metric ton), steel prices ($694 per short ton), and pellet premiums ($67.50 per metric ton) will average their respective January averages for the remainder of 2019.

Based on the same analysis using spot prices as of February 7, 2019, namely an iron ore price of $90.50 per metric ton, a steel price of $683 per short ton, and a pellet premium of $67.50 per metric ton, Cliffs anticipates Mining and Pelletizing revenue rates to come in the range of $111 to $116 per long ton for the full year of 2019.

 

Get access to timely and accurate verbatim transcripts that are published within hours of the event.

Most Popular

FDX Earnings: All you need to know about FedEx’s Q1 2022 earnings results

FedEx Corporation (NYSE: FDX) reported first-quarter 2022 earnings results today. Total revenues increased to $22 billion from $19.3 billion in the same period a year ago. The company reported a

Adobe reports 22% spike in Q3 revenue: Infographic

Adobe Inc (NASDAQ: ADBE) reported third-quarter 2021 financial results after the regular market hours on Tuesday. The software giant reported Q3 revenue of $3.94 billion, up 22% year-over-year and higher

Starbucks (SBUX) Stock: Should you invest in the coffee giant now?

The restaurant and food service industry is struggling to regain momentum after being hit hard by the pandemic. Restauranteurs are currently busy adapting to the changed operating conditions, shifting focus

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top