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Peabody(BTU) - 2024 Q2 - Quarterly Results
BTUPeabody(BTU)2024-08-01 11:59

Financial Performance - Peabody reported net income of 199.4million,or199.4 million, or 1.42 per diluted share, for Q2 2024, up from 179.2million,or179.2 million, or 1.15 per diluted share, in Q2 2023[1]. - Adjusted EBITDA for Q2 2024 was 309.7million,including309.7 million, including 80.8 million from an insurance settlement, compared to 358.2millioninQ22023[1].−ForthequarterendedJune30,2024,totalrevenuewas358.2 million in Q2 2023[1]. - For the quarter ended June 30, 2024, total revenue was 1,042.0 million, an increase from 983.6millioninthepreviousquarter[22].−ThecompanyreportedatotaladjustedEBITDAof983.6 million in the previous quarter[22]. - The company reported a total adjusted EBITDA of 309.7 million for the quarter, significantly higher than 160.5millioninthesamequarterlastyear,representinganincreaseofapproximately92.8160.5 million in the same quarter last year, representing an increase of approximately 92.8%[22]. - Adjusted EBITDA for June 2024 was 39.4 million, compared to 20.1millioninMarch2024and20.1 million in March 2024 and 74.2 million in June 2023[21]. Segment Performance - Seaborne Thermal segment sold 4.1 million tons in Q2 2024, with revenue per ton increasing to 74.43from74.43 from 71.24 in Q1 2024[2]. - Seaborne Metallurgical segment achieved Adjusted EBITDA of 143.6millioninQ22024,withtonssoldincreasingto2.0millionfrom1.4millioninQ12024[3].−PowderRiverBasinsegmentreportedAdjustedEBITDAof143.6 million in Q2 2024, with tons sold increasing to 2.0 million from 1.4 million in Q1 2024[3]. - Powder River Basin segment reported Adjusted EBITDA of 17.8 million in Q2 2024, with tons sold decreasing to 15.8 million from 18.7 million in Q1 2024[5]. - Other U.S. Thermal segment delivered 3.7 million tons at costs of 45.53perton,resultinginAdjustedEBITDAof45.53 per ton, resulting in Adjusted EBITDA of 35.4 million[6]. - Adjusted EBITDA for Seaborne Thermal was 104.4million,upfrom104.4 million, up from 93.8 million in the previous quarter, reflecting a growth of approximately 7%[22]. - Seaborne Metallurgical adjusted EBITDA, excluding Shoal Creek insurance recovery, was 62.8million,comparedto62.8 million, compared to 48.3 million in the previous quarter, marking a growth of about 30%[22]. - The Powder River Basin adjusted EBITDA was 17.8million,slightlyupfrom17.8 million, slightly up from 16.4 million in the previous quarter, showing a modest increase of about 8.5%[22]. Shareholder Returns - Peabody announced an additional 100millionforsharerepurchases,bringingtotalshareholderreturnsto100 million for share repurchases, bringing total shareholder returns to 480.1 million since the program's restart[9]. - The company declared a dividend of 0.075pershareonAugust1,2024[9].GuidanceandProjections−Fullyearseabornethermalvolumeguidanceincreasedto15.7−16.2milliontons,withQ3volumeexpectedat4.0milliontons[11].−FullyearvolumeforSeaborneMetallurgicalhasbeenloweredby600thousandtonstoarangeof7.2−7.6milliontonsduetoanticipatedgeologicalchallenges[12].−ThirdquartervolumeforSeaborneMetallurgicalisexpectedtobe1.7milliontons,achieving70to80percentofthepremiumhardcokingcoalpriceindex,withcostsanticipatedat0.075 per share on August 1, 2024[9]. Guidance and Projections - Full year seaborne thermal volume guidance increased to 15.7-16.2 million tons, with Q3 volume expected at 4.0 million tons[11]. - Full year volume for Seaborne Metallurgical has been lowered by 600 thousand tons to a range of 7.2-7.6 million tons due to anticipated geological challenges[12]. - Third quarter volume for Seaborne Metallurgical is expected to be 1.7 million tons, achieving 70 to 80 percent of the premium hard coking coal price index, with costs anticipated at 120-130perton[12].−FullyearPRBvolumehasbeenreducedby5milliontonstoarangeof75−82milliontons[13].−ThirdquarterPRBvolumeisexpectedtobe21.5milliontonsatanaveragepriceof130 per ton[12]. - Full year PRB volume has been reduced by 5 million tons to a range of 75-82 million tons[13]. - Third quarter PRB volume is expected to be 21.5 million tons at an average price of 13.75 per ton, with costs around 11.50−11.50-12.50 per ton[13]. Cash Flow and Assets - Cash and cash equivalents as of June 30, 2024, are 621.7million,downfrom621.7 million, down from 969.3 million as of December 31, 2023[19]. - Total assets as of June 30, 2024, are reported at 5,878.3million,adecreasefrom5,878.3 million, a decrease from 5,962.1 million as of December 31, 2023[19]. - Net cash provided by operating activities for June 2024 was 7.8million,adecreasefrom7.8 million, a decrease from 119.0 million in March 2024 and 353.4millioninJune2023[20].−Thecompanyreportedanetcashusedininvestingactivitiesof353.4 million in June 2023[20]. - The company reported a net cash used in investing activities of 241.6 million for June 2024, compared to 75.2millioninMarch2024and75.2 million in March 2024 and 61.5 million in June 2023[20]. - The net change in cash, cash equivalents, and restricted cash at the end of the period was 1,319.7million,downfrom1,319.7 million, down from 1,566.3 million at the beginning of the period[20]. Strategic Initiatives - Centurion project is on track, with first development coal produced and expected shipments to begin in Q4 2024[7]. - The company anticipates continued growth in market conditions for its products, with a focus on strategic investments and potential acquisitions in the future[23]. - The company plans to enhance its operational performance and shareholder return framework, reflecting its commitment to long-term growth[23].