Cleveland-Cliffs Reports Significant Full-Year 2025 Loss, Positive 2026 Outlook, and POSCO Partnership Update
CLF has more than doubled off its 52-week low of $5.63.
Summary
Cleveland-Cliffs reported a significant full-year 2025 net loss but provided positive guidance for 2026, citing improved market conditions and ongoing strategic partnership discussions with POSCO.
Key Events · Earnings and Guidance · CLF
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Full-Year 2025 Financial Performance
Reported a GAAP net loss of $1.4 billion ($2.91 per diluted share) and Adjusted EBITDA of $37 million, a sharp decline from $773 million in 2024.
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Fourth-Quarter 2025 Results Show Improvement
Recorded a GAAP net loss of $235 million ($0.44 per diluted share) and an Adjusted EBITDA loss of $21 million, an improvement compared to the prior-year fourth quarter's $434 million net loss and $81 million Adjusted EBITDA loss.
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Positive 2026 Outlook Provided
Forecasts steel shipment volumes of 16.5 - 17.0 million net tons and approximately $10 per net ton in steel unit cost reductions for the full-year 2026.
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POSCO Strategic Partnership Update
Due diligence for the strategic partnership with POSCO is active and ongoing, with a definitive agreement targeted for the first half of 2026, identified as the company's top strategic priority.
Analysis · CLF · Energy & Transportation
Cleveland-Cliffs Inc. reported a substantial GAAP net loss of $1.4 billion for the full-year 2025, a significant deterioration from the prior year, primarily attributed to weak automotive production, a value-destructive slab contract, and adverse Canadian market dynamics. However, the fourth quarter showed some year-over-year improvement in net loss and Adjusted EBITDA loss. Management provided an optimistic outlook for 2026, forecasting increased steel shipment volumes and unit cost reductions, indicating an expected turnaround from the challenges of 2025. Critically, the company confirmed that due diligence for the strategic partnership with POSCO is actively ongoing, targeting a definitive agreement in the first half of 2026. This partnership is highlighted as the number one strategic priority and could be a major catalyst for future performance.
At the time of this filing, CLF was trading at $14.00 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $8.4B. The 52-week trading range was $5.63 to $16.70. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.