Peabody Reports Results for the Quarter Ended September 30, 2026
PEABODY ENERGY CORP (BTU) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Media Release Peabody Reports Results for the Quarter Ended September 30, 2026 Centurion Achieves Targeted Third Quarter Sales Volume Seaborne Margins Expand on Higher Pricing, All Segments Report Positive Adjusted EBITDA Anticipating Stronger Fourth Quarter Producti
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The earnings release provides fresh guidance on cash flow and capital allocation, influencing short‑term price action.
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What to watch
Higher seaborne pricing and improved margins could signal a turnaround if commodity prices stay strong.
Peabody Reports Results for the Quarter Ended September 30, 2026; Centurion Achieves Targeted Third Quarter Sales Volume; Seaborne Margins Expand on Higher Pricing
Adjusted EBITDA was $97.5 million and all segments reported positive Adjusted EBITDA, supported by higher seaborne pricing, but Peabody reported a net loss attributable to common stockholders of $(32.8) million, operating cash flow of $(1.4) million, and reduced full-year volume expectations for Seaborne Metallurgical and U.S. thermal operations.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, third quarter 2026GAAP | $1.10B | – | – |
| Operating Costs and Expenses, third quarter 2026GAAP | $980.2M | – | – |
| Depreciation, Depletion and Amortization, third quarter 2026GAAP | $97.6M | – | – |
| Selling and Administrative Expenses, third quarter 2026GAAP | $28.8M | – | – |
| Operating Loss, third quarter 2026GAAP | −$42.4M | – | – |
| Loss from Continuing Operations, Net of Income Taxes, third quarter 2026GAAP | −$28.7M | – | – |
| Net Loss, third quarter 2026GAAP | −$28.9M | – | – |
| Net Loss Attributable to Common Stockholders, third quarter 2026GAAP | −$32.8M | – | – |
| Diluted EPS - Loss from Continuing Operations, third quarter 2026GAAP | $(0.27) | – | – |
| Diluted EPS - Net Loss Attributable to Common Stockholders, third quarter 2026GAAP | $(0.27) | – | – |
| Adjusted EBITDA, third quarter 2026non-GAAP | $97.5M | – | – |
| Tons Sold, third quarter 2026other | 28.3M | – | – |
| Net Cash (Used In) Provided By Operating Activities, third quarter 2026GAAP | −$1.4M | – | – |
| Additions to Property, Plant, Equipment and Mine Development, third quarter 2026GAAP | −$59.8M | – | – |
| Net Cash Used In Investing Activities, third quarter 2026GAAP | −$51.4M | – | – |
| Net Cash Used In Financing Activities, third quarter 2026GAAP | −$78.7M | – | – |
| Cash and Cash Equivalents, September 30, 2026GAAP | $434.3M | – | – |
| Current Portion of Long-Term Debt, September 30, 2026GAAP | $49M | – | – |
| Long-Term Debt, Less Current Portion, September 30, 2026GAAP | $247.6M | – | – |
| Revenue, nine months ended September 30, 2026GAAP | $3.07B | – | – |
| Net Loss Attributable to Common Stockholders, nine months ended September 30, 2026GAAP | −$155.8M | – | – |
| Adjusted EBITDA, nine months ended September 30, 2026non-GAAP | $204M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Seaborne ThermalRevenue per Ton was $77.63. Export - Avg. Realized Price per Ton was 100.37, and Adjusted EBITDA increased 26 percent quarter over quarter to $65.5 million as higher realized export prices expanded margins. | $241.6M | – | – |
| Seaborne MetallurgicalSales volume of 2.2 million tons was above expectations, driven by strong production at Metropolitan following the successful completion of a longwall move. Improved realized pricing supported positive Adjusted EBITDA of $5.2 million, while costs per ton were $162.45 due to faulted conditions at Centurion. | $366M | – | – |
| Powder River BasinSales volumes of 19.6 million tons were below company targets due to lower-than-anticipated coal burn. Costs per ton improved 8 percent quarter over quarter to $12.94, although higher diesel prices and lower-than-expected shipments continued to impact costs. | $268.1M | – | – |
| Other U.S. ThermalDelivered 3.4 million tons, below expectations. Revenue per ton increased 8 percent quarter over quarter to $59.53 and Adjusted EBITDA was $25.5 million. | $206.1M | – | – |
| Corporate and OtherCorporate and Other revenue was reported in the revenue summary. | $14.5M | – | – |
Fourth Quarter 2026 and 2026 Full Year outlook
- NoteFourth Quarter 2026 Seaborne Thermal volume: 3.6—3.8 million tons, including 2.5—2.7 million export tons; costs: $46—$51 per ton.
- NoteFourth Quarter 2026 Seaborne Metallurgical volume: 2.2—2.4 million tons; sales anticipated to achieve approximately 70 percent of the premium hard coking coal price index; costs: $150—$160 per ton.
- NoteFourth Quarter 2026 PRB volume: 19.5—21.5 million tons; average price: $13.75 per ton; costs: approximately $13.00—$13.50 per ton.
- NoteFourth Quarter 2026 Other U.S. Thermal volume: 3.6—4.0 million tons; average price: $59.00 per ton; costs: approximately $48—$52 per ton.
- Note2026 full-year Seaborne Thermal total volume: 12.7 - 12.9 million short tons; priced volume: 10.3 million short tons; priced volume pricing: $68.77 per short ton; average cost: $49.50 - $54.50 per short ton.
- Note2026 full-year Seaborne Metallurgical total volume: 8.9 - 9.1 million short tons; priced volume: 6.8 million short tons; priced volume pricing: $153.00 per short ton; average cost: $150.00 - $155.00 per short ton.
- Note2026 full-year PRB U.S. Thermal total volume: 76.5 - 78.5 million short tons; priced volume: 78.5 million short tons; priced volume pricing: $13.70 per short ton; average cost: $13.00 - $13.50 per short ton.
- Note2026 full-year Other U.S. Thermal total volume: 13.3 - 13.7 million short tons; priced volume: 13.7 million short tons; priced volume pricing: $57.50 per short ton; average cost: $45.00 - $49.00 per short ton.
- Note2026 full-year SG&A: $115 million; Total Capital Expenditures: $300 million; ARO Cash Spend: $65 million.
- NoteApproximately 45,000 tons of Centurion production occurred in October; fourth-quarter Centurion sales volume is expected to be between 0.3 and 0.5 million tons.
Capital returns
- Repurchased $38.9 million of 2028 convertible notes for cash consideration of $58.1 million, effectively repurchasing an additional 0.7 million shares.
- Together with the second quarter repurchase of 2028 convertible notes, the company has effectively repurchased 5.7 million shares in 2026.
- Announced redemption of the remaining $39.9 million of 2028 convertible notes, to be completed in November 2026, and elected to settle any conversion obligation with cash.
- Declared a quarterly dividend of $0.075 per share on November 4, 2026, payable on December 9, 2026, to stockholders of record on November 19, 2026.
- Dividends Paid were $(9.1) million in the third quarter of 2026.
What drove it
- Seaborne Thermal Adjusted EBITDA was $65.5 million, supported by higher realized export pricing; revenue per export ton increased to over $100.
- Seaborne Metallurgical returned to positive Adjusted EBITDA of $5.2 million as realized pricing improved nearly $17 per ton quarter over quarter.
- Metropolitan production was strong following successful completion of a longwall move.
- All segments reported positive Adjusted EBITDA.
- PRB costs per ton improved 8 percent quarter over quarter to $12.94.
Concerns
- Centurion encountered more problematic faulting than anticipated across multiple areas of the panel, constraining production and equipment performance.
- Centurion production was approximately 45,000 tons in October.
- Seaborne Metallurgical costs per ton of $162.45 were above company expectations because of higher-cost faulted conditions at Centurion.
- PRB sales volumes were below company targets due to lower-than-anticipated coal burn.
- Other U.S. Thermal delivered 3.4 million tons, below expectations.
- The company lowered Seaborne Metallurgical volume by 0.6 million tons, reduced PRB sales volume by approximately 7.5 million tons, and reduced Other U.S. Thermal volume by 0.2 million tons in its 2026 guidance update.
What to watch
- Centurion's ability to clear the faulted zone and achieve fourth-quarter sales volume of between 0.3 and 0.5 million tons.
- Completion of the estimated $1.5 to $2 million base-lift power increase during scheduled maintenance in the current panel.
- Installation of the estimated $5 to $10 million two-stage flipper during the next longwall move, now expected in the third quarter of 2027.
- Seaborne Thermal execution against fourth-quarter volume guidance of 3.6—3.8 million tons and costs of $46—$51 per ton.
- Seaborne Metallurgical execution against fourth-quarter cost guidance of $150—$160 per ton.
- The November 2026 redemption of the remaining $39.9 million of 2028 convertible notes.
Balance sheet and cash flow
- At September 30, 2026, the company had $434 million cash and liquidity of $887 million.
- Cash and Cash Equivalents were $434.3 million at September 30, 2026, compared with $575.3 million at December 31, 2025.
- Cash, Cash Equivalents and Restricted Cash at End of Period were $795.5 million.
- Total debt, consisting of Current Portion of Long-Term Debt and Long-Term Debt, Less Current Portion, was reported as $49.0 million and $247.6 million, respectively, at September 30, 2026.
- Net Cash (Used In) Provided By Operating Activities was $(1.4) million in the third quarter of 2026.
- Additions to Property, Plant, Equipment and Mine Development were $(59.8) million in the third quarter of 2026.
- Net Change in Cash, Cash Equivalents and Restricted Cash was $(131.5) million in the third quarter of 2026.
Analysis
Peabody reported third-quarter revenue of $1,096.3 million, compared with $1,012.1 million in the prior-year quarter and $1,003.2 million in the prior quarter. The company recorded a net loss attributable to common stockholders of $(32.8) million, an improvement from $(70.1) million in the prior-year quarter and $(90.6) million in the second quarter. Adjusted EBITDA was $97.5 million, compared with $99.5 million in the prior-year quarter and $24.0 million in the prior quarter.
Seaborne Thermal was the main source of sequential improvement. Segment Adjusted EBITDA increased 26 percent quarter over quarter to $65.5 million, while Adjusted EBITDA Margin per Ton increased to $21.05 from $16.92 in the second quarter. Revenue per Ton was $77.63, and Export - Avg. Realized Price per Ton was 100.37. Seaborne Metallurgical returned to positive Adjusted EBITDA of $5.2 million after a $(17.0) million result in the prior quarter, supported by improved realized pricing and sales of 2.2 million tons that exceeded targets.
U.S. thermal results were positive but demand was uneven. Powder River Basin generated $15.0 million of Adjusted EBITDA after a $(7.1) million result in the second quarter, with costs per ton improving to $12.94. However, PRB sales volumes of 19.6 million tons were below target because of lower-than-anticipated coal burn. Other U.S. Thermal generated $25.5 million of Adjusted EBITDA, but its 3.4 million tons of deliveries were below expectations and contributed to costs per ton of $52.18.
Centurion remains the principal operational constraint. The mine achieved its targeted third-quarter sales volume, but faulting across multiple areas of the panel slowed advance rates, constrained production and equipment performance, and drove elevated Seaborne Metallurgical costs. Production was approximately 45,000 tons in October, and fourth-quarter sales volume is expected to be between 0.3 and 0.5 million tons. Peabody identified a base-lift power increase estimated at $1.5 to $2 million and a two-stage flipper estimated at $5 to $10 million, with the latter now expected during the third quarter of 2027 longwall move.
Cash generation was weak in the quarter, with net cash used in operating activities of $(1.4) million and additions to property, plant, equipment and mine development of $(59.8) million. Peabody had $434 million cash and liquidity of $887 million at September 30, 2026. The company also used $58.1 million of cash to repurchase $38.9 million of 2028 convertible notes and announced redemption of the remaining $39.9 million. Full-year guidance was updated for stronger seaborne thermal production, but volume guidance was reduced for Seaborne Metallurgical, PRB and Other U.S. Thermal, while total capital expenditure guidance was reduced by $40 million to $300 million.
Management, verbatim
The third quarter demonstrated improving momentum across the portfolio with all segments reporting positive Adjusted EBITDA while our seaborne operations benefited from higher pricing. During the quarter, we worked through higher-cost faulted conditions at Centurion, which slowed advance rates, although the mine still reached its third quarter sales targets.
Jim Grech, President and Chief Executive Officer
Looking ahead to the fourth quarter, our priorities remain operating safely, clearing the faulted zone at Centurion, and improving free cash flow as seaborne markets remain strong.”
Jim Grech, President and Chief Executive Officer
Eliminating the remaining 2028 convertible notes with cash continues our policy of returning capital to shareholders and reduces shareholder dilution by 4 million shares while preserving financial flexibility as operating performance improves.”
Mark Spurbeck, Chief Financial Officer
Not in the filing
stated, not guessed- Gross profit and gross margin were not reported.
- Non-GAAP EPS was not reported.
- Free cash flow was referenced but no free cash flow figure was reported.
- A consolidated revenue, gross margin, operating expense, or tax-rate guidance range was not reported.
- Prior outlook was not provided, so no comparison of actual results with prior guidance is available.
- Year-over-year and quarter-over-quarter percentage changes were not printed for consolidated revenue, operating loss, net loss, EPS, operating cash flow, capital expenditures, or segment revenue.
- A September 30, 2025 balance-sheet comparison was not reported; the balance sheet comparison was to December 31, 2025.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Peabody Energy is a major U.S. coal producer; the filing follows its quarterly 8‑K disclosure.
Ticker impact
Peabody Energy reported Q3 2026 results with a net loss of $32.8M and adjusted EBITDA of $97.5M, announced a $0.075 dividend and repurchased $38.9M of convertible notes.
likely modest downside as the loss pressures the stock, partially offset by the dividend and note repurchase.
The loss signals weaker profitability, but the dividend and buyback provide support, suggesting limited negative movement.
Market effects
Coal sector may see modest pressure as earnings miss highlights commodity challenges.
U.S. energy stocks could experience slight pullback in early trading.
Limited, primarily affects investors focused on U.S. coal producers.
Counterpoint
Buy on dividend and buyback despite earnings loss, expecting price support.
Key entities
- CompanyPeabody Energy Corp
U.S. coal mining company reporting Q3 2026 results.
- ExecutiveJim Grech
President and CEO of Peabody Energy, quoted in the release.
