Quarterly report [Sections 13 or 15(d)]

SEGMENT REPORTING

v3.25.2
SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING
NOTE 5 - SEGMENT REPORTING
We are vertically integrated from the mining of iron ore, production of pellets and direct reduced iron, and processing of ferrous scrap through primary steelmaking and downstream finishing, stamping, tooling, and tubing. We are organized into four operating segments based on our differentiated products – Steelmaking, Tubular, Tooling and Stamping, and European Operations. We have one reportable segment – Steelmaking. The operating segment results of our Tubular, Tooling and Stamping, and European Operations that do not constitute reportable segments are combined and disclosed in the Other Businesses category. Our Steelmaking segment operates as a leading North America-based steel producer with focus on value-added sheet products, primarily serving the automotive, infrastructure and manufacturing, and distributors and converters markets. Our Other Businesses primarily include the operating segments that provide customer solutions with carbon and stainless steel tubing products, advanced-engineered solutions, tool design and build, hot- and cold-stamped steel components, and complex assemblies. All intersegment transactions were eliminated in consolidation. Corporate assets and capital additions are primarily related to and support the operations of the Steelmaking segment and therefore have been incorporated within the Steelmaking segment total assets and capital additions below. We allocate Corporate Selling, general and administrative expenses to our operating segments.
Our CODM, Lourenco Goncalves, Chairman, President and Chief Executive Officer, evaluates performance on an operating segment basis, as well as a consolidated basis, based on Adjusted EBITDA, which is a non-GAAP measure. This measure is used by our CODM, management, investors, lenders and other external users of our financial statements to assess our operating performance and to compare operating performance to other companies in the steel industry. In addition, our CODM believes Adjusted EBITDA is a useful measure to assess the earnings power of the business without the impact of capital structure and can be used to assess our ability to service debt and fund future capital expenditures in the business.
The following tables provide our results by segment as well as a reconciliation from consolidated Adjusted EBITDA to our consolidated Net income (loss):
Three Months Ended June 30, 2025
(In millions) Steelmaking Other Businesses Eliminations Total
Revenues $ 4,808  $ 163  $ (37) $ 4,934 
Cost of goods sold (5,031) (147) 35  (5,143)
Selling, general and administrative expenses (130) (7) —  (137)
Net periodic benefit credits other than service cost component 43  —  —  43 
Excluding depreciation, depletion and amortization 386  7  —  393 
Other segment items1
7  —  —  7 
Total Adjusted EBITDA $ 83  $ 16  $ (2) $ 97 
Interest expense, net (149)
Income tax benefit 148 
Depreciation, depletion and amortization (393)
EBITDA from noncontrolling interests2
20 
Idled facilities charges (204)
Changes in fair value of derivatives, net (15)
Currency exchange 48 
Severance (19)
Other, net (3)
Net loss $ (470)
Capital Additions $ 150  $ 2  $ —  $ 152 
1 Other segment items primarily consists of the exclusion of EBITDA from noncontrolling interests from Adjusted EBITDA and certain idled facilities charges and the inclusion of items within Miscellaneous – net and Other non-operating income (expense).
2 EBITDA from noncontrolling interests includes net income attributable to noncontrolling interests of $13 million and the exclusion of depreciation, depletion, and amortization of $7 million.
Three Months Ended June 30, 2024
(In millions) Steelmaking Other Businesses Eliminations Total
Revenues $ 4,937  $ 177  $ (22) $ 5,092 
Cost of goods sold (4,791) (160) 21  (4,930)
Selling, general and administrative expenses (96) (7) —  (103)
Net periodic benefit credits other than service cost component 62  —  —  62 
Excluding depreciation, depletion and amortization 219  9  —  228 
Other segment items1
(25) (1) —  (26)
Total Adjusted EBITDA $ 306  $ 18  $ (1) $ 323 
Interest expense, net (69)
Income tax benefit 15 
Depreciation, depletion and amortization (228)
EBITDA from noncontrolling interests2
  15 
Idled facilities charges (40)
Loss on extinguishment of debt (6)
Severance (1)
Net income $ 9 
Capital Additions $ 187  $ 2  $ —  $ 189 
1 Other segment items primarily consists of the exclusion of EBITDA from noncontrolling interests from Adjusted EBITDA and the inclusion of items within Miscellaneous – net and Other non-operating income (loss).
2 EBITDA from noncontrolling interests includes net income attributable to noncontrolling interests of $7 million and the exclusion of depreciation, depletion, and amortization of $8 million.
Six Months Ended June 30, 2025
(In millions) Steelmaking Other Businesses Eliminations Total
Revenues $ 9,303  $ 325  $ (65) $ 9,563 
Cost of goods sold (9,926) (300) 63  (10,163)
Selling, general and administrative expenses (256) (14) —  (270)
Net periodic benefit credits other than service cost component 100  —  —  100 
Excluding depreciation, depletion and amortization 660  15  —  675 
Other segment items1
18  —  —  18 
Total Adjusted EBITDA $ (101) $ 26  $ (2) $ (77)
Interest expense, net (289)
Income tax benefit 295 
Depreciation, depletion and amortization (675)
EBITDA from noncontrolling interests2
38 
Idled facilities charges (248)
Changes in fair value of derivatives, net (24)
Currency exchange 46 
Severance (20)
Other, net 1 
Net loss $ (953)
Capital Additions $ 273  $ 8  $ —  $ 281 
1 Other segment items primarily consists of the exclusion of EBITDA from noncontrolling interests from Adjusted EBITDA and certain idled facilities charges and the inclusion of items within Miscellaneous – net and Other non-operating income (expense).
2 EBITDA from noncontrolling interests includes net income attributable to noncontrolling interests of $25 million and the exclusion of depreciation, depletion, and amortization of $13 million.
Six Months Ended June 30, 2024
(In millions) Steelmaking Other Businesses Eliminations Total
Revenues $ 9,990  $ 349  $ (48) $ 10,291 
Cost of goods sold (9,576) (317) 49  (9,844)
Selling, general and administrative expenses (221) (14) —  (235)
Net periodic benefit credits other than service cost component 122  —  —  122 
Excluding depreciation, depletion and amortization 441  17  —  458 
Other segment items1
(55) —  —  (55)
Total Adjusted EBITDA $ 701  $ 35  $ 1  $ 737 
Interest expense, net (133)
Income tax benefit 23 
Depreciation, depletion and amortization (458)
EBITDA from noncontrolling interests2
  36 
Idled facilities charges (217)
Loss on extinguishment of debt (27)
Severance (3)
Other, net (2)
Net loss $ (44)
Capital Additions $ 343  $ 3  $ —  $ 346 
1 Other segment items primarily consists of the exclusion of EBITDA from noncontrolling interests from Adjusted EBITDA and the inclusion of items within Miscellaneous – net and Other non-operating income (loss).
2 EBITDA from noncontrolling interests includes net income attributable to noncontrolling interests of $21 million and the exclusion of depreciation, depletion, and amortization of $15 million.
The following summarizes our assets by segment:
(In millions) June 30,
2025		 December 31,
2024
Assets:
Steelmaking $ 19,848  $ 20,327 
Other Businesses 623  620 
Total segment assets $ 20,471  $ 20,947