Cleveland-Cliffs Reports Strong Q2 Performance and Raised Guidance for H2
Cleveland-Cliffs (NYSE:CLF) reported a significant earnings recovery in the second quarter of 2026, with adjusted EBITDA reaching $286 million—its best quarterly result in two years. The company returned to positive free cash flow and cited improved automotive demand, higher steel prices, lower costs, and increased shipment volumes as key drivers for its strong performance. Management expects a stronger second half of the year, with Q3 adjusted EBITDA guidance set at approximately $575 million—its strongest quarter in three years. The company also anticipates fourth-quarter results to exceed third-quarter levels if current hot-rolled coil futures remain stable. Cleveland-Cliffs is prioritizing debt reduction and aims to bring leverage below 2.5x by the end of next year using free cash flow and proceeds from asset sales. Looking ahead, management highlighted a major EBITDA boost expected in 2027 due to fixed-price contract resets.
Tickers: $CLF
Topics: automotive demand debt reduction earnings free cash flow recovery