Cleveland-Cliffs (CLF) stock tumbled 5.77% in after-hours trading on Wednesday following the release of its first-quarter 2025 financial results, which fell short of analyst expectations across multiple metrics. The steel and iron ore company reported weaker-than-anticipated earnings and announced plans to idle six facilities in a cost-cutting move.

The company's adjusted earnings per share (EPS) came in at a loss of $0.92, significantly worse than the estimated loss of $0.77 per share. Revenue for the quarter was $4.6 billion, slightly below the forecasted $4.637 billion. Cleveland-Cliffs also reported a net loss of $483 million, which was larger than the expected loss of $364.4 million. The adjusted EBITDA showed a loss of $174 million, considerably worse than the estimated loss of $82.6 million.

In response to the challenging market conditions, Cleveland-Cliffs announced plans to idle six of its facilities. This strategic move is expected to result in annual savings of over $300 million. While this decision may help improve the company's financial position in the long term, it appears to have added to investors' concerns in the short term, contributing to the stock's after-hours decline. The market will likely be watching closely to see how these cost-cutting measures impact the company's performance in the coming quarters.