Strong Performance in Q3 2025
Peabody reported great safety results, strong thermal coal shipments, historically low met coal costs, and a pristine balance sheet. The company is positioned for positive EBITDA even during tough times.
Centurion Mine Development
Longwall production at the flagship Centurion mine begins next quarter, with shipments expected to expand sevenfold in 2026 to 3.5 million tons. It is expected to be the lowest cost metallurgical coal mine, boosting average met coal portfolio realizations from 70% to 80% of the benchmark.
Positive U.S. Thermal Coal Market Trends
U.S. electricity demand is up 2% over the prior year, with coal plant utilization increasing. U.S. coal burn increased by 11% due to favorable conditions, and Peabody's U.S. shipments are up 7% year-to-date.
Improved Financial Performance
Peabody's adjusted EBITDA increased, driven by higher Powder River Basin shipments and better-than-expected seaborne thermal coal volume. The cash position was $603 million with total liquidity over $950 million.