FOR IMMEDIATE RELEASE
PEABODY REPORTS EARNINGS FOR QUARTER ENDED JUNE 30, 2018
Robust margins from Australian platform drive continued strong earnings and cash flows; High level of repurchases brings July year-to-date cash returned to shareholders to over $425 million; Company liberates all remaining cash collateral supporting reclamation obligations; Peabody increases dividend to $0.125 per share.
ST. LOUIS, July 24 - Peabody (NYSE: BTU) today announced its second quarter 2018 operating results, including revenues of $1.31 billion, income from continuing operations, net of income taxes of
$120.0 million, net income attributable to common stockholders of $113.7 million, diluted earnings per share from continuing operations of $0.93 and Adjusted EBITDA1 of $369.6 million.
"Peabody’s diversified portfolio continues to generate substantial returns, led by 39 percent margins from the company’s Australian platform, as we capitalize on continued strength in seaborne metallurgical and thermal coal fundamentals,” said Peabody President and Chief Executive Officer Glenn Kellow. “During the quarter, Peabody also freed up all remaining cash collateral, reduced debt and returned $213 million in cash through buybacks and dividends. Peabody continues to generate cash, maintain financial strength and return cash to shareholders as part of a financial approach that is as consistent as it is powerful."
Second Quarter 2018 Results
Revenues for the second quarter increased 4 percent over the prior year to $1.31 billion driven by a 20 percent increase in Australian met and thermal sales volumes, offsetting the impact of lower U.S. volumes and $48.1 million on unrealized long-dated Newcastle hedge losses as the forward price of seaborne thermal coal sharply increased as of the end of the quarter. Prior-year Australian metallurgical volumes had been impacted by temporarily reduced shipments in Queensland from Cyclone Debbie.
Depreciation, depletion and amortization rose $15.6 million over the prior year primarily due to higher depletion associated with higher Australian and Western volumes. Income from continuing operations, net of income taxes totaled $120.0 million, an 18 percent increase over the prior year driven by higher revenues. Net income attributable to common stockholders increased $133.9 million to $113.7 million as the prior year was impacted by $115.1 million of non-cash preferred stock dividends. Diluted earnings per share from continuing operations improved $1.11 per share to $0.93 per share primarily
Note: All comparisons are to the Successor period April 2, 2017 through June 30, 2017, unless otherwise noted.
1 Adjusted EBITDA, revenues per ton, costs per ton, Adjusted EBITDA margin per ton and percent and Free Cash Flow are non-GAAP financial measures. Please refer to the tables and related notes in this press release for a reconciliation of non-GAAP financial measures.
The following information was filed by Peabody Energy Corp (BTU) on Tuesday, July 24, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.