Cleveland-Cliffs Inc (NYSE:CLF) posted fourth-quarter and full-year financial results for the period closed December 31, 2017. Consolidated revenues came at $601 million in Q4 2017, compared to revenue of $754 million in the same period, a year ago. Cost of goods sold came at $492 million versus $573 million posted in the fourth quarter of 2016.
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For Q4 2017, Cleveland-Cliffs posted net income of $318 million versus net income of $81 million, recorded in the previous year quarter. Adjusted EBITDA came at $129 million in the reported period versus $174 million in Q4 2016.
Lourenco Goncalves, the CEO, Chairman and President of Cleveland-Cliffs, expressed that the company reported 2017 sustainable and strong financial report, and that was exactly what he promised one year earlier. As a consequence of the numerous successful initiatives deployed in overall strategy, operations, finance and commercial, since he joined this great firm in August 2014, they have delivered in last year the second successive year of greater than 25% EBITDA growth.
Mr. Goncalves added that 2017 marked as the year in which the market finally woke up to the significance of both environmental compliance and rational supply behavior. This new, more planned approach to business should offer them solid support to present even stronger performance in 2018.
After evaluating anticipated and current future market conditions in relation with the remaining iron ore reserves at Cleveland-Cliffs’ APIO, counting quality and the prevailing market price for the ore, the firm has decided to support the estimated time frame for the intended closure of mining businesses in Australia, which will likely occur in this year. Accordingly, the firm will no longer issue projection related to this business division.
In the last trading session, the stock price of Cleveland-Cliffs declined more than 2% to close the day at $7.42. The decline came at a share volume of 665,384 compared to average share volume of 12.05 million.
