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ST. LOUIS - On Thursday, Peabody Energy (NYSE:BTU) reported a third-quarter loss that significantly missed analyst expectations, despite revenue exceeding forecasts.
The coal producer’s shares fell 3.11% in pre-market trading after the results.
The company posted a net loss of $70.1 million, or -$0.58 per diluted share, compared to a profit of $101.3 million, or $0.74 per share, in the same quarter last year. The results included $54 million in costs related to a terminated acquisition. Adjusted EBITDA came in at $99.5 million, less than half the $224.8 million reported in the prior-year quarter. Revenue totaled $1.01 billion, slightly above analyst estimates of $995.36 million.
"Peabody’s operations turned in another solid performance, highlighted by rising Powder River Basin shipments, better-than-anticipated seaborne thermal coal volumes and the lowest metallurgical coal costs in multiple years," said President and CEO Jim Grech. He noted these results came "against a backdrop of outstanding U.S. thermal coal fundamentals and seaborne markets that have stabilized along the lower end of the pricing cycle."
The company’s Powder River Basin segment showed strength with a 14% increase in shipments quarter-over-quarter, while costs per ton remained at the low end of targeted ranges. Seaborne thermal volumes recovered ahead of company expectations, and seaborne metallurgical costs improved by more than $10 per ton from the previous quarter.
Looking forward, Peabody is strengthening its full-year 2025 targets for multiple segments and remains on track for its Centurion Mine to begin longwall operations in February 2026, which the company describes as "a transformative change that will improve our metallurgical coal volumes and realizations."
The company declared a quarterly dividend of $0.075 per share on October 30, 2025.
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