Cleveland-Cliff Inc. fell 10% to $13.97 in premarket trading Tuesday after the steel producer reported earnings that fell more steeply than expected.
The company posted a profit of $152 million, or 29 cents a share, down from $1.27 billion, or $2.33 a share, in the same quarter a year ago. Analysts polled by FactSet had been expecting earnings of 49 cents a share.
Revenue slipped to $5.65 billion from $6 billion last year. Analysts had been looking for $5.78 billion in revenue.
Chief Executive Lourenco Goncalves said the results were hurt by the delayed inventory impact of higher input costs and maintenance activities in previous quarters. He said costs are expected to meaningfully decline next quarter and next year now that all major projects are finished and production levels are back to normal.