Peabody Energy 2025 Q3 Earnings Sharp Net Loss Amid Revenue Decline

Peabody Energy (BTU) reported its fiscal 2025 Q3 earnings on November 7, 2025, with results falling well below expectations. The company swung to a loss of $0.58 per share, a 171.6% negative change from the prior year, and posted a net loss of $66.9 million, marking a 160% deterioration in profitability. Revenue declined 7% to $1.01 billion, driven by lower sales volumes and pricing. The stock surged 10.83% for the week but dipped 4.25% month-to-date, reflecting mixed investor sentiment.

Revenue

Total revenue for the quarter dropped 7.0% year-over-year to $1.01 billion, with all segments experiencing declines. Seaborne Thermal revenue led at $242.7 million, followed by Seaborne Metallurgical at $258.9 million. The Powder River Basin segment contributed $301.4 million, while Other U.S. Thermal added $192 million. Corporate and Other revenue totaled $17.1 million. The decline was attributed to reduced coal sales volumes and pricing pressures across markets.

Earnings/Net Income

Peabody Energy recorded a net loss of $66.9 million in Q3 2025, a stark contrast to the $111.5 million net income in the same period last year. The EPS loss of $0.58 reflected a 171.6% deterioration compared to the prior year’s $0.81 profit, underscoring significant operational and cost challenges.

Post-Earnings Price Action Review

The stock price of Peabody Energy surged 4.08% during the latest trading day, driven by short-term optimism, and jumped 10.83% for the week. However, it slipped 4.25% month-to-date, indicating broader market caution. The mixed performance highlights investor uncertainty amid the company’s deteriorating earnings and uncertain coal market conditions.

Additional News

Peabody Energy’s Q3 10-Q filing revealed a terminated acquisition driving increased costs and operating losses. B. Riley cut its FY2026 EPS estimate to $3.48 from $3.61 while maintaining a "Buy" rating. The company also announced a quarterly dividend of $0.075 per share, payable on December 3, despite a payout ratio of -103.45%. Institutional investors, including State Street Corp and American Century Companies, increased holdings, reflecting ongoing confidence in the coal producer’s long-term prospects.