Peabody Energy (BTU) ( (BTU) ) has released its Q1 earnings. Here is a breakdown of the information Peabody Energy (BTU) presented to its investors.
Peabody Energy Corporation is a prominent player in the coal industry, providing essential products for energy and steel production, with a strong commitment to sustainability. In the first quarter of 2025, Peabody Energy reported a net income of $34.4 million, or $0.27 per diluted share, showcasing a slight decline from the previous year’s $39.6 million. The company achieved an Adjusted EBITDA of $144 million, reflecting its ability to manage costs effectively despite lower seaborne coal prices.
Key highlights of Peabody’s performance include a robust Adjusted EBITDA across all segments, with significant contributions from its low-cost U.S. operations. The company successfully contained costs, keeping them below guidance levels in several segments, and reported a strong operating cash flow of $120 million. Additionally, Peabody signed a seven-year contract to supply coal to Associated Electric Cooperative, Inc., and made progress in its Centurion Mine development, which is ahead of schedule.
Peabody’s Seaborne Thermal segment reported an Adjusted EBITDA of $84.2 million, benefiting from strong production at the Wilpinjong Mine, while the Seaborne Metallurgical segment faced challenges with reduced pricing but managed costs effectively. The Powder River Basin segment exceeded shipment expectations due to increased U.S. coal demand, achieving an Adjusted EBITDA of $36.3 million. The company’s Other U.S. Thermal segment also performed well, with an Adjusted EBITDA of $32.9 million.
Looking forward, Peabody Energy anticipates a lighter demand in the second quarter due to seasonal effects but remains optimistic about its full-year performance. The company is already sold out for its planned 2025 production in the Powder River Basin and expects a rebound in metallurgical coal prices. Peabody continues to focus on cost management and strategic growth, positioning itself well for future opportunities.