EarningsQ2 2026 Earnings Report
MX:CLF Q2 2026 EPS Results
Actual EPS-$3.43
Consensus EPS-$3.57
Beat/MissBeat by +$0.14
One Year Ago EPS-$8.58
MX:CLF Q2 2026 Revenue Results
Actual Revenue$90.02B
Expected Revenue$88.28B
Beat/MissBeat by +$1.73B
YoY Revenue Growth+6.34%
Earnings Announcement Details
QuarterQ2 2026
Date07/23/2026
TimeBefore Open
Conference CallThursday, July 23, 2026
MX:CLF Upcoming Earnings
Cleveland-Cliffs's next earnings date is estimated for October 26, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:CLF Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a marked operational and financial improvement with a clear path to materially higher EBITDA, positive free cash flow, and a near-term leverage reduction target. Key positives include Q2 adjusted EBITDA of $286M, a strong Q3 guide of $575M, price gains (+$76/ton in Q2, +$55/ton expected in Q3), a $400M property-sale pipeline, and a potential $500M EBITDA boost from contract resets. Offsetting risks are manageable near-term headwinds from Q2 maintenance outages and inventory lag, Canadian finishing-line pressures, valuation gaps in asset-sale processes, and reliance on trade policy and OEM decisions for capacity restarts. Overall, the positive operational momentum and sizable quantified upside outweigh the contained lowlights.Company Guidance
Adjusted EBITDA Recovery and Strong Q3 Guidance
Second-quarter adjusted EBITDA of $286 million (the company's best quarter in 2 years), a sequential improvement that management described as tripling from Q1. Company provided Q3 adjusted EBITDA guidance of approximately $575 million (more than double Q2, ~+101%), and expects Q4 to further outperform Q3 based on the HRC curve.
Free Cash Flow Turnaround and Asset-sale Proceeds
Company flipped to positive free cash flow in Q2 after two years of negative FCF. Management has major property sales under contract with earnest money and expects bulk of ~$400 million in proceeds in H2 2026 to further support deleveraging.
Volume Momentum and Q3 Shipment Outlook
Q2 shipments were just over 4.0 million tons. Management expects shipments above 4.3 million tons in Q3 (an increase of roughly 300k tons, ~7.5% uplift vs Q2), with approximately half of the Q3 uplift attributable to improved automotive demand.
Pricing Improvement and Contract Reset Opportunity
Average selling price increased by $76 per ton in Q2 and management expects an additional ~$55/ton increase in Q3. Management estimates a material opportunity from resetting fixed-price contracts that could yield roughly $500 million of incremental EBITDA year-over-year.
Automotive Recovery and Customer Recognition
Automotive shipments were the highest in two years; company received top supplier awards from Toyota and General Motors. Management reports automotive coating volumes recovered to 2023 levels and automotive accounts for about half of flat-rolled volumes.
Balance Sheet and Leverage Path
Management expects to reach leverage target of sub-2.5x within ~12 months driven by higher operating cash flow and asset-sale proceeds. No material maturities until 2029 and debt paydown is stated as the #1 capital allocation priority.
Operational Efficiency & Cost-Reduction Initiatives
Company expects a ~$10 per ton reduction in unit costs into Q3 as inventory lag and maintenance outages abate. Additional cost savings expected from optimized scheduling and AI-based initiatives (partnering with Palantir) and operational projects (induction reheat furnace upgrade, Middletown optimization).
Safety and Labor Relations
Total recordable injury rate (TRIR) described as best-in-class over the last three years, leading to meaningful reductions in workers' compensation expense. Union negotiations with the USW have begun constructively, and management expects a productive outcome.
MX:CLF Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed