Cliffs(US:CLF) Zhi Tong Cai Jing·2025-10-20 12:45Core Insights - Cleveland-Cliffs Inc. reported Q3 revenue of $4.7 billion, a 3.5% year-over-year increase, but $200 million below market expectations, with a Non-GAAP EPS of -$0.45, in line with market forecasts [1] - The company adjusted its FY2025 guidance, lowering capital expenditures from $600 million to approximately $525 million and SG&A expenses from $575 million to about $550 million [1] - The average benchmark steel price for the quarter was approximately $800 per ton, compared to $700 per ton in the same quarter last year [1] Financial Performance - Q3 EBITDA was $143 million, exceeding Wall Street's expectation of $128 million [1] - The stock price rose by 8% in pre-market trading following the earnings report, contributing to a year-to-date increase of approximately 42% [2] - The rise in stock price is attributed to the impact of import tariffs implemented by former President Donald Trump, which boosted domestic steel prices [2] Strategic Focus - CEO Lourenco Goncalves indicated signs of recovery in demand for automotive-grade steel and highlighted improvements in product sales structure and pricing [2] - The company is exploring the feasibility of extracting rare earth minerals from iron ore deposits, aligning with the U.S. national strategy for critical materials independence [3] - Cleveland-Cliffs has signed a memorandum of understanding with an undisclosed global steel manufacturer aiming to enter the U.S. market, which is expected to provide significant value to shareholders [3]