Cleveland-Cliffs (CLF) investor relations material

Executive summary

• Q3 2025 revenue was $4.7 billion, with steel shipments of 4.0 million net tons and Adjusted EBITDA of $143 million, reflecting a rebound in domestic steel demand led by automotive and the best auto steel shipment quarter since Q1 2024.

• Multi-year agreements were secured with major automotive OEMs, ensuring higher sales volumes and favorable pricing through 2027/2028.

• A transformative memorandum of understanding was signed with a major global steelmaker to facilitate foreign industrial clients' production relocation to the U.S., expected to be highly accretive.

• The Stelco acquisition was completed in November 2024, expanding Canadian operations and diversifying the customer base.

• Awarded a five-year, $400 million contract by the U.S. Defense Logistics Agency for grain-oriented electrical steel, supporting national security.

Financial highlights

• Adjusted EBITDA for Q3 2025 was $143 million, up 52% over the prior quarter, with improved sales mix and pricing.

• Liquidity stood at $3.1 billion as of September 30, 2025.

• Net loss for Q3 2025 was $234 million; adjusted net loss was $223 million, with diluted EPS of $(0.51).

• Projected annual savings of $300 million from operational efficiencies remain on track.

• CapEx budget for 2025 reduced to $525 million from $700 million; SG&A expectation down to $550 million from $625 million.

Outlook and guidance

• Automotive contracts begin to take effect in Q4, with significant volume and margin growth expected as 2026 approaches.

• Unit costs are expected to be down $50/ton year-over-year in 2025, with Q4 costs similar to Q3.

• Shipments for Q4 expected to be around 4 million tons, with seasonality offsetting improved demand.

• Management expects domestic steel demand to grow, supported by tariffs, improving end-user demand, and government legislation.

• The company expects to generate healthy free cash flow in coming years and plans to use it for deleveraging.