Replies to post #27299 on The Rising Influence of Rising Affluence

[DewDiligence]

CLF CC notes:

• The company’s shipment guidance of 16MT for 2023 is conservative; CLF expects to ship more than 4MT in 1Q23 (above the run rate of the 2023 guidance).

• Production cost per ton will be considerably lower in 2023 vs 2022 because of facility maintenance performed during 2022, continued operational improvements, and the leverage of higher production volume in 2023.

• 1Q23 EBITDA will be higher than 4Q22, and 2Q23 EBITDA will be much higher.

• CLF repurchased 2M shares in 4Q22 at an average price of $15 and change.

• The BoD is considering reinstating a dividend.

[DewDiligence]

CLF pre-announces certain 1Q23 financial results:

https://finance.yahoo.com/news/cleveland-cliffs-provides-preliminary-first-115100477.html

• Steel shipments of 4.1 million net tons [+14% YoY]

• Revenues of approximately $5.2 billion [-13% YoY]

• Adjusted EBITDA of approximately $200 million [-87% YoY]

Consistent with what was said on the 4Q22 CC (#msg-171206028), CLF expects 2Q23 EBITDA to be “multiple times higher” than 1Q23 due to price increases taken during 1Q23 as well as lower production costs.

CLF’s full-year 2023 guidance is: steel shipments of 16MT and EBIDTA of $3.2B.

CLF will report full 1Q23 financial results on 4/24/23 after the market close.

The stock is +2% as I’m typing.