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Peabody Energy (BTU) Q2 Earnings and Revenues Miss Estimates


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Peabody Energy Corp . BTU announced second-quarter 2018 earnings of 93 cents per share, which missed the Zacks Consensus Estimate of $1.05 by 11.4%. The company had posted a loss of 18 cents per share in second-quarter 2017.

Revenues

Peabody Energy's quarterly revenues of $1,309.4 million increased 4.1% year over year from $1,258.3 million a year ago, primarily due to solid performance from its Australian platform. However, revenues missed the Zacks Consensus Estimate of $1,360 million by 3.9%.

Peabody Energy Corporation Price, Consensus and EPS Surprise

Peabody Energy Corporation Price, Consensus and EPS Surprise | Peabody Energy Corporation Quote

Operational Update

Peabody Energy's total sales volume in the quarter was 43.1 million tons, down from 43.6 million tons registered in the year-ago quarter.  Sales volume during the quarter was impacted by lower volumes from Powder River Basin operation, offset by higher Australian volumes.

Operating costs and expenses incurred in the reported quarter increased 2.0% year over year to $946.5 million from $927.9 million recorded in the prior-year quarter.

Revenues per ton in the United States increased 2.5% year over year to $19.12 and cost per ton also jumped 7.6% from the year-ago quarter to $15.12, offsetting the impact of sales price growth. The company's Australian operations reported revenues per ton of $86.90, increasing 9.3% year over year, while cost per ton increased 0.9% to $53.14.

Operating profit in second-quarter 2018 was $404.5 million compared with $152.6 million a year ago.

Financial Update

As of Jun 30, cash and cash equivalents amounted to $1,451.7 million compared with $1,012.1 million on Dec 31, 2017.

Long-term debt of the company was $1,358.0 million as of Jun 30, down from year-end 2017 level of $1,418.7 million.

Free cash flow in the reported quarter was $324.1 million, which the company utilized to lower its outstanding debts, pay dividend and buyback shares.

Guidance

Peabody Energy expects 2018 sales volume in the range of 29.5-32.5 million short tons.

For the full year of 2018, the company expects capital expenditure in the range of $275-$325 million.

Zacks Rank

Currently, Peabody Energy sports a Zacks Rank #1 (Strong Buy). You can the complete list of today's Zacks #1 Rank stocks here .

Other Upcoming Releases

Arch Coal Inc. ARCH is scheduled to report second-quarter 2018 earnings on Jul 31, 2018. The Zacks Consensus Estimate is pegged at $2.11 per share.

Cloud Peak Energy CLD is slated to report second-quarter 2018 earnings on Jul 26, 2018. The Zacks Consensus Estimate stands at a loss of 13 cents per share.

SunCoke Energy SXC is scheduled to report second-quarter 2018 earnings on Jul 26, 2018. The Zacks Consensus Estimate is pegged at 4 cents per share.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Business , Earnings , Stocks
Referenced Symbols: BTU , CLD , SXC , ARCH



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