GOLD 1237.65 $/ozChange: 0.73
PLATINUM 1367.00 $/ozChange: -1.00
R/$ exchange 10.92Change: 0.05
R/€ exchange 14.15Change: 0.04
 
We have detected that the browser you are using is no longer supported. As a result, some content may not display correctly.
We suggest that you upgrade to the latest version of any of the following browsers:
         
close notification
powered by
Advanced Search
 
 
 
Home
 
World News
 
North America
 
 
QUARTERLY EARNINGS
 
Cliffs Natural Resources' earnings drop in concert with iron-ore prices
PRINT
 
 
Embed Code Close
content
 
26th July 2013
TEXT SIZE
Text Smaller Disabled Text Bigger
 

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

 

To subscribe to Mining Weekly's print magazine email subscriptions@creamermedia.co.za or buy now.

FULL Access to Mining Weekly and Engineering News - Subscribe Now!
Subscribe Now Login
 
 
Topics in this article
 
 
Picture by: Bloomberg