Peabody Energy posted a wider net loss in the second quarter of 2026, while revenue rose on higher coal prices, the U.S. miner said on July 29.

The company reported a net loss of $90.6 million for the April-June period, compared with a net loss of $27.6 million a year earlier. Diluted loss per share was $0.74, versus a loss of $0.23 in the same period last year.

Operating revenue rose to $1 billion from $890 million a year earlier. Earnings before interest, taxes, depreciation and amortization (EBITDA) fell 70.9% year on year to $24 million.

President and CEO Jim Grench said the quarterly results reflected temporary lower sales volumes and higher costs, but added that the impact had eased across operations.

"We expect improved results in the second half of the year as performance at our flagship Centurion Mine achieves targeted production rates," said Peabody President and Chief Executive Officer Jim Grech. 

"We're targeting strong cash generation for the second half of 2026, fueled by our seaborne metallurgical and thermal segments."

The company said commissioning of the key longwall panel at Centurion was complete, targeting sales of 1.5-2 million short tons in the second half, with costs and margins gradually normalizing.

Seaborne thermal coal sales in the second quarter totaled 3 million short tons (2.72 million tonnes), down 16.7% year on year and flat quarter on quarter. The average realized price was $74.85/short ton, up from $53.22/short ton a year earlier.

Export thermal coal sales stood at 1.9 million short tons, down 9.5% year on year and flat quarter on quarter, with the average price rising 31.6% to $95.87/short ton, driven by strong coal-fired power demand across Asian countries. Domestic thermal coal sales fell 26.7% to 1.1 million short tons, with the average price up 51.7% at $36.69/short ton.

Seaborne metallurgical coal sales rose 13.6% year on year to 2.5 million short tons in the quarter, exceeding guidance by 200,000 short tons, driven by higher output from the Metropolitan mine and the CMJV(Coppabella-Moorvale Joint Venture).

The average seaborne met coal price rose quarter on quarter to $148.04/short ton, supported by tight supply in China.

Sales from the Powder River Basin (PRB) in the United States totaled 16.4 million short tons in the second quarter, down 18% year on year and 22.6% quarter on quarter. The miss was due to milder weather extending the spring shoulder season and longer-than-usual maintenance outages at coal-fired power plants ahead of summer.

Despite lower sales, the PRB equipment fleet operated at full capacity, increasing overburden removal, which is expected to support coal sales in the second half.

Other U.S. thermal coal sales in the quarter were 3 million short tons, up 3.4% year on year but down 9.1% quarter on quarter, missing guidance by 400,000 short tons. The shortfall was attributed to mild weather and heavy rains at the end of the quarter that disrupted rail deliveries. Despite the challenges, strict cost controls kept unit costs at $46.13/short ton, in line with guidance.

For full-year 2026, Peabody expects seaborne thermal coal sales of 12.4-13 million short tons (11.25-11.79 million tonnes), including 7.9-8.5 million short tons of export thermal coal and 4.5 million short tons of domestic thermal coal. Seaborne met coal sales are forecast at 8.8-10.3 million short tons. U.S. PRB thermal coal sales are expected at 82-88 million short tons, with other U.S. thermal coal sales at 13.2-14.2 million short tons.