Peabody Energy (BTU) Q4 2025 earnings summary

Executive summary

• Achieved a record safety year with a 0.71 incident rate, 12% better than the prior record, and strong environmental results.

• Centurion Mine completed longwall mining two months ahead of schedule, now producing premium hard coking coal.

• Operational performance included increased volumes, cost control, and U.S. policy support for higher coal plant utilization.

• Advanced asset optimization, renewable projects, and critical mineral initiatives, including rare earth pilot plant funding.

• CEO appointed Chair of National Coal Council, focusing on expanding coal use and exports.

Financial highlights

• Q4 net income attributable to common stockholders was $10.4 million, or $0.09 per diluted share; full-year net loss was $52.9 million.

• Adjusted EBITDA for Q4 was $118 million, up 19% sequentially, but full-year EBITDA was $454.9 million, down year-over-year.

• Full-year 2025 revenue was $3,861.5 million, down from $4,236.7 million in 2024.

• Ended 2025 with $575 million in cash and total liquidity above $900 million.

• Declared a $0.075 per share dividend payable March 10, 2026.

Outlook and guidance

• 2026 focus: ramping up Centurion, capitalizing on electricity demand, and returning to free cash flow generation.

• Seaborne Thermal volumes expected to decline in 2026 due to mine closures; costs projected at $50/ton.

• Seaborne Metallurgical volumes to rise to 10.8 million tons in 2026 with Centurion ramp-up; costs targeted at $113/ton.

• U.S. Thermal shipments expected between 82–88 million tons in PRB, with costs consistent at $11.50/ton.

• Total 2026 capital expenditures estimated at $340 million, $70 million lower than 2025.