Steel producer Cleveland-Cliffs Inc.
CLF,
said Tuesday it expects its first quarter revenue to come to about $5.2 billion, matching the FactSet consensus. The company is expecting steel shipments of 4.1 million net tons. It expects adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) to come to about $200 million, driven by unit cost reductions. “As we start the second quarter and continue to execute on further cost reductions as planned, we are also enjoying the full benefits of the meaningful price increases Cleveland-Cliffs has implemented for this year, which cover contracts with automotive and non-auto clients, as well as transactional sales,” CEO Lourenco Goncalves said in a statement. Adjusted EBITDA is a non-GAAP metric where the company also excludes other items. In its most recent regulatory filing, the company said it excludes noncontrolling interests, extinguishment of debt, acquisition-related expenses and adjustments, asset impairment and other items. The stock has fallen 41% in the last 12 months, while the S&P 500
SPX,
has fallen 7%.
