Peabody Energy Corporation · Q4 2019 earnings

Briefing

Peabody Energy reported a net loss for the fourth quarter of 2019, with revenues impacted by lower seaborne metallurgical coal volumes and pricing, while also making operational improvements and reducing costs.

Peabody Energy's fourth quarter 2019 results showed revenues of $1.12 billion, a net loss of $290.2 million, and Adjusted EBITDA of $204.9 million. The company focused on operational improvements, cost reductions, and debt reduction, while progressing the regulatory process for a proposed joint venture.

• Peabody achieved a 10% cost-per-ton improvement in three operating segments.
• The company lowered capital expenditures and suspended dividends due to industry conditions.
• Peabody emphasized debt reduction to maintain financial strength.
• Progress continued on the regulatory process for the proposed PRB/Colorado joint venture.

Headline financials

Revenue & EPS history

Peabody anticipates a challenging start to 2020 due to macro industry conditions, but is targeting increased met coal volumes and reduced met costs, lower SG&A and lower North Goonyella holding costs to mitigate these challenges. The company's 2020 earnings profile is expected to be weighted to the second half of the year.