Cleveland-Cliffs Inc. Q3 2026 Earnings Recap

Cleveland-Cliffs shares rose 12.6% after earnings, with investors likely responding to Q3 adjusted EBITDA more than doubling sequentially and management’s claim that 2027 contract renewals should add over $1 billion in year-over-year EBITDA before any changes in underlying pricing indices. The outlook is encouraging, though the contract benefit is prospective and depends on the company’s assumptions about pricing and demand.

Key Takeaways

• Q3 adjusted EBITDA was $612 million, up from $286 million in Q2; management said shipments and selling prices improved and costs performed better than guided.
• The company said 2027 contract renewals should generate more than $1 billion of year-over-year EBITDA improvement, before changes in underlying pricing indices; nearly all customers are seeking more contracted steel than in 2026.
• Management said domestic steel prices are at their best level in three years and imports remain approximately 35%–40% below pre-Section 232 tariff levels.
• Cleveland-Cliffs postponed the Burns Harbor C-Blast furnace reline from mid-2027 to April 2028, citing equipment health and contract strength.
• The rescoped Middletown modernization is a $1 billion project, including $500 million of Department of Energy support, with completion expected in Q1 2030.