Luxembourg, February 11, 2021 - ArcelorMittal (referred to as “ArcelorMittal” or the “Company”) (MT (New York,
Amsterdam, Paris, Luxembourg), MTS (Madrid)), the world’s leading integrated steel and mining company, today
announced results1 for the three-month and twelve-month periods ended December 31, 2020.
2020 Key highlights:
• Health and safety performance: Protecting the health and wellbeing of employees remains the Company’s
overarching priority; LTIF rate of 0.61x in 2020 vs. 0.75x in FY 20192
• Despite the challenging market environment that saw steel shipments decline in 2020 by 18.2% and a net loss of
$0.7bn, the Company delivered $1.5bn of free cash flow (“FCF”, net cash provided by operating activities of
$4.1bn less capex of $2.4bn less dividends paid to minorities of $0.2bn)
• FY 2020 operating income of $2.1bn4,5 vs. $0.6bn operating loss4,5 in FY 2019. FY 2020 EBITDA of $4.3bn with
4Q'20 EBITDA of $1.7bn (almost double 4Q'19 level) reflecting recovering fundamentals and providing good
momentum into 2021; 4Q 2020 adjusted net income18 of $0.2bn vs. adjusted net loss of $0.2bn in 3Q 2020
• The Company ended 2020 with gross debt of $12.3 billion and net debt of $6.4 billion, the lowest level since the
2006 merger, allowing the Company to transition to a new capital allocation policy prioritizing returns to
shareholders
• Repositioned its North American footprint through the completed sale of ArcelorMittal USA to Cleveland Cliffs,
unlocking value and significantly reducing liabilities
• Reinforced its European footprint through the agreed investment by the Italian government in ArcelorMittal Italia
(expected to be deconsolidated in 1Q 2021)
• ArcelorMittal sold its first certified green steel products9 to customers in December 2020, reflecting its leadership
position in technology and innovation and commitments to decarbonize
Priorities & Outlook:
• Global climate change leadership: Whilst policy support remains crucial to the development of decarbonization
in the steel industry, the Company is focused on progressing towards its 2050 net zero group carbon emissions
target. A range of innovative technology options are advancing, including the Group’s first Smart Carbon projects
(Carbalyst) to start production in Ghent, Belgium (in 2022) and first Hydrogen reduction project in Hamburg to
start production (estimated 2023-2025)
• Cost advantage - New $1.0bn fixed cost reduction program in progress to ensure that a significant portion of
fixed cost savings achieved during the COVID-19 crisis is sustained; expected completion by the end of 2022
(savings from a FY 2019 base)
• Strategic growth: The Company is focused on organic growth, cost improvement, product portfolio and margin
enhancing projects in emerging growth markets, including: Mexico HSM project (completion expected in 2021);
Brazil cold rolling mill complex project (recommenced, with startup targeted 2023); and Liberia phase II
expansion (first concentrate targeted in 4Q 2023)
• Consistent returns to shareholders: The Company initiated its capital return to shareholders with a $500m
share buyback10 in 2H 2020 following the announced agreement to sell ArcelorMittal USA to Cleveland Cliffs.
This process continues with a further $650m to be returned via a share buyback19 following the partial sell-down
of the Company’s equity stake in Cleveland Cliffs announced on February 9, 2021. In addition, and in
accordance with the new capital return policy, the Board proposes to restart the base dividend to shareholders at
$0.30/sh (to be paid in June 2021, subject to the approval of shareholders at the AGM in May 2021), and return
$570m of capital to shareholders through a further share buyback program in 2021
• Recovery in steel shipments: Recovery in apparent steel demand (growth of +4.5% to +5.5% is currently forecast
in 2021 vs. 2020); steel shipments are expected to increase YoY (on a scope adjusted basis i.e. excluding the
impacts of the ArcelorMittal USA sale and the deconsolidation of ArcelorMittal Italia12 (expected in 1Q 2021))
Financial highlights (on the basis of IFRS1
):
(USDm) unless otherwise shown 4Q 20 3Q 20 4Q 19 12M 20 12M 19
Sales 14,184 13,266 15,514 53,270 70,615
Operating income / (loss) 1,998 718 (1,535) 2,110 (627)
Net income / (loss) attributable to equity holders of the parent 1,207 (261) (1,882) (733) (2,454)
Basic earnings / (loss) per common share (US$) 1.01 (0.21) (1.86) (0.64) (2.42)
Operating income/ (loss) / tonne (US$/t) 116 41 (78) 31 (7)
EBITDA 1,726 901 925 4,301 5,195
EBITDA/ tonne (US$/t) 100 52 47 62 61
Steel-only EBITDA/ tonne (US$/t) 58 23 32 35 42
Crude steel production (Mt) 18.8 17.2 19.8 71.5 89.8
Steel shipments (Mt) 17.3 17.5 19.7 69.1 84.5
Own iron ore production (Mt) 15.3 14.8 14.8 58.0 57.1
Iron ore shipped at market price (Mt) 10.6 9.8 9.6 38.2 37.1
Commenting, Mr. Lakshmi N. Mittal, ArcelorMittal Executive Chairman, said:
“2020 was a year of enormous challenge as countries, societies and businesses across the world grappled with the disruption
caused by the COVID-19 pandemic. The impact on the steel industry was significant, but I am very proud of the resilience and
enterprise shown by our people across the business which enabled ArcelorMittal to deliver a solid operating performance in
times of adversity. We have fantastic teams across our operations.
Indeed, 2020 was a milestone year for the Company. Achieving our $7 billion net debt target marked the end of a long-term
deleveraging program, and the start of a new phase which will allow the Company to focus on delivering sustainable shareholder
returns as we continue to transform for the future. This process will be supported by changes we made to our portfolio,
increasing the quality of its earnings potential, and by the investments we are making in high-growth projects and markets, such
as those in India, Mexico, Brazil and Liberia.
Initiatives are also underway to ensure that we take the lessons from our swift and comprehensive COVID-19 response actions
and embed these across the business, with a target of delivering more than $1 billion of sustained savings by 2022. This effort is
complemented by an improvement in market conditions which supported a significantly improved performance in the fourth
quarter.
The combination of our stronger balance sheet, targeted growth profile and competitive cost positioning underpin our
commitment to delivering more consistent returns across the cycle. They also position the Company favorably to lead the
industry’s transition to low-emissions steelmaking as part of our 2050 net zero commitment.
2020 was a year in which we saw further acceleration in the drive to decarbonize the global economy. We have identified two
main routes to achieve net zero target by 2050, both leveraging one or more clean energy infrastructures – one that utilizes
biomass/bioenergy with carbon capture utilization and storage and the other which harnesses green electricity to power a
hydrogen-based direct reduced iron process. We will continue to trial and pilot both routes while simultaneously promoting the
policies that are a crucial component of success if these technologies are to be scaled up and commercially viable in the longterm. Ahead of COP26 an increasing number of countries have now made net zero commitments – it is imperative these
commitments are now accompanied by policy to enable success.
Although we must continue to navigate the COVID-19 challenge, I expect 2021 to be another year of progress for the Company,
and look forward to working closely with Aditya our new CEO."

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