Overview
SunCoke Q2 attributable net income misses analyst expectations, falling to $1.9 mln
Adjusted EBITDA for Q2 misses estimates, reflecting segment challenges
Co says all regulatory approvals have been received for Phoenix Global acquisition; expected to close on Aug 1
Outlook
SunCoke reaffirms full-year 2025 Adjusted EBITDA guidance of $210 mln-$225 mln
Company expects higher H2 2025 Adjusted EBITDA from improved coke sales mix
SunCoke anticipates 2025 net income between $40 mln and $59 mln
Operating cash flow for 2025 estimated at $165 mln-$180 mln
Capital expenditures are projected to be approximately $60 million
Result Drivers
CONTRACT AND SALES MIX - Timing and mix of contract and spot coke sales in Domestic Coke segment negatively impacted Q2 results, per CEO Katherine Gates
LOGISTICS CHALLENGES - Lower transloading volumes at Convent Marine Terminal due to challenging market conditions affected Q2 performance
GRANITE CITY IMPACT - Lower volumes and pricing due to contract extension economics at Granite City contributed to decreased revenue and Adjusted EBITDA
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Net Income attributable | Miss | $1.90 mln | $14.60 mln (2 Analysts) |
Q2 Adjusted EBITDA | Miss | $43.60 mln | $55.90 mln (2 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the iron & steel peer group is "buy"
Wall Street's median 12-month price target for SunCoke Energy Inc is $12.00, about 31% above its July 29 closing price of $8.28
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nBw7Jn55ya
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)