By RTT News, October 29, 2013, 01:00:00 PM EDT
(RTTNews.com) - Arch Coal Inc. ( ACI ) on Tuesday reported a slip to loss in the third quarter, as weak selling prices impacted revenue and on impairment charges. Shares of the company lost 4 percent on the New York Stock Exchange, following the announcement of results.
Arch Coal has forecast expenses for fiscal year 2013 to be lower than expected, even as market conditions for coal is projected to remain tough.
St. Louis, Missouri-based Arch Coal reported a third-quarter net loss of $128.4 million or $0.61 per share, compared with net income of $46 million or $0.22 per share last year.
Results for the quarter included asset impairment charges of $200 million.
Excluding items, adjusted loss for the quarter was $1.8 million or $0.01 per share, compared with adjusted earnings of $42 million or $0.20 per share a year ago.
On average, 25 analysts polled by Thomson Reuters expected a loss of $0.31 per share for the quarter. Analysts' estimates typically exclude special items.
Arch Coal's revenue for the third quarter slid 19 percent to $791 million from $975 million in the prior year. Analysts expected revenue of $888.79 million for the quarter.
While sales volume increased to 38.3 million tons from 37.5 million tons, it was offset by a decline in price per ton. Prices dropped to $19.54 from $25.57 a year, with cash cost per ton lower at $16.51, compared with $20.16 a year ago.
From an operational perspective, the company said it delivered the best cost performance in the Powder River Basin since 2010.
The company's stock is trading at $3.98, down $0.18 or 4.33%, on a volume of 9 million shares. In the past year, the share trended in the range of $3.47 - $8.79.
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