- Peabody Energy (NYSE:BTU) reported first-quarter FY23 sales growth of 97.2% year-on-year to $1.36 billion, beating the consensus of $1.23 billion.
- Adjusted EPS of $1.68 beats the analyst consensus of $1.39. The company reported a loss of (0.88) per share in the prior-year quarter.
- Segment Details: The seaborne thermal segment shipped 3.6 million tons (-5.3% Y/Y) with an Adjusted EBITDA of $164.0 million.
- The seaborne metallurgical segment shipped 1.3 million tons (+8% Y/Y) with an Adjusted EBITDA of $90.8 million.
- Powder River Basin shipped 22.0 million tons (+6.8% Y/Y) with an Adjusted EBITDA of $35.8 million.
- The other U.S. thermal segment shipped 4.5 million tons (+7.1%) with an Adjusted EBITDA of $64.2 million.
- The company’s board approved a $1 billion share repurchase authorization. Peabody declared a quarterly dividend on its common stock of $0.075 per share, payable on May 31, 2023.
- Peabody ended the quarter with $1.7 billion of cash and equivalents. In the first quarter, the company generated $386.3 million of cash flow from operations
- The company also provided a production outlook for its second quarter.
- Price Action: BTU shares are trading higher by 1.64% at $23.80 on the last check Thursday.
22nd Century Group Exits Cannabis Industry, Closes Franchise Sale Deal
22nd Century Group, a biotechnology company focused on plant genetics and cannabis research, has announced the sale of its hemp/cannabis assets. The sale, along with the assignment of a non-strategic hemp/cannabis asset in Colorado, is expected to reduce the company's debt by $3.2 million. An additional $2 million reduction will come from the buyer's payment of a secured promissory note. After these transactions, the remaining outstanding debt is expected to be approximately $8.8 million. The company's chairman and CEO, Larry Firestone, stated that the sale will help reduce operating costs and move the business towards a sustainable, cash-positive operating basis. The insurance proceeds from a fire at the company's manufacturing facility in Grass Valley will also be used to further reduce the debt.
