https://www.engineeringnews.co.za

Cliffs Natural Resources' earnings drop in concert with iron-ore prices

26th July 2013

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

Font size: - +

TORONTO (miningweekly.com) – US miner Cliffs Natural Resources on Thursday reported a 48.4% drop in second-quarter earnings, saying lower iron-ore prices were mainly to blame for lower revenues.

Cliffs reported net income attributable to its common shareholders of $133-million, or $0.82 a share, in the quarter ended June 30, compared with $258-million, or $1.81 a share, in the same quarter of 2012, but still managed to beat analyst expectations.

Analysts had, on average, expected adjusted earnings of $0.61 a share on revenues of $1.41-billion.

Year-on-year consolidated revenues decreased by $91-million, or 6%, to $1.5-billion driven down by an 11% decrease in global seaborne iron-ore pricing to an average of $126/t for 62% iron-content fines products, including cost and freight to China.

The cash costs per ton rose across all of Cliffs' business segments.

Cliffs cut its sales forecast for its Eastern Canadian iron-ore segment, saying lower-than-expected recovery rates and throughput at its Bloom Lake mine, in Quebec, were to blame. The company now expected to sell between eight-million and nine-million tonnes of iron-ore in 2013, down from its previous forecast of nine-million to ten-million tonnes, and at higher-than-expected cash costs.

The company’s stock listed on the NYSE rose 4.19% in after-market trading to $18.38 apiece on Thursday evening.

Edited by Creamer Media Reporter

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Alcohol Breathalysers
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 
M and J Mining
M and J Mining

M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.059 1.08s - 140pq - 2rq
Subscribe Now