Peabody Reports Results for the Quarter Ended March 31, 2026

Seaborne Thermal

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Tons sold (in millions)

3.0

3.3

4.4

Export

1.9

2.1

2.9

Domestic

1.1

1.2

1.5

Revenue per Ton

$ 66.61

$ 62.84

$ 60.64

Export - Avg. Realized Price per Ton

86.25

81.80

79.39

Domestic - Avg. Realized Price per Ton

32.62

25.92

24.95

Costs per Ton

50.26

43.43

41.37

Adjusted EBITDA Margin per Ton

$ 16.35

$ 19.41

$ 19.27

Adjusted EBITDA (in millions)

$ 48.5

$ 63.5

$ 84.2

Seaborne Metallurgical

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Tons sold (in millions)

2.0

2.5

1.8

Revenue per Ton

$ 138.28

$ 122.84

$ 125.15

Costs per Ton

141.72

112.94

117.66

Adjusted EBITDA Margin per Ton

$ (3.44)

$ 9.90

$ 7.49

Adjusted EBITDA (in millions)

$ (7.0)

$ 24.6

$ 13.2

Powder River Basin

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Tons sold (in millions)

21.2

22.3

19.6

Revenue per Ton

$ 13.65

$ 13.44

$ 14.02

Costs per Ton

12.53

11.44

12.18

Adjusted EBITDA Margin per Ton

$ 1.12

$ 2.00

$ 1.84

Adjusted EBITDA (in millions)

$ 23.7

$ 44.8

$ 36.3

Other U.S. Thermal

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Tons sold (in millions)

3.3

3.7

3.1

Revenue per Ton

$ 55.79

$ 51.64

$ 54.32

Costs per Ton

44.37

46.77

43.71

Adjusted EBITDA Margin per Ton

$ 11.42

$ 4.87

$ 10.61

Adjusted EBITDA (in millions)

$ 37.8

$ 18.1

$ 32.9

¹ Adjusted EBITDA is a non-GAAP financial measure. Adjusted EBITDA margin is equal to segment Adjusted EBITDA divided by segment revenue. Revenue per Ton and Adjusted EBITDA Margin per Ton are equal to revenue by segment and Adjusted EBITDA by segment, respectively, divided by segment tons sold. Costs per Ton is equal to Revenue per Ton less Adjusted EBITDA Margin per Ton. Management believes Costs per Ton and Adjusted EBITDA Margin per Ton best reflect controllable costs and operating results at the reportable segment level. We consider all measures reported on a per ton basis, as well as Adjusted EBITDA margin, to be operating/statistical measures. Please refer to the tables and related notes herein for a reconciliation and definition of non-GAAP financial measures.

Segment Performance

2026 Full Year

Total Volume
(millions of

short tons)

Priced Volume
(millions of short
tons)

Priced Volume
Pricing per
Short Ton

Average Cost per
Short Ton

Seaborne Thermal

12.0 - 13.0

6.7

$48.93

$49.50 - $54.50

Seaborne Thermal (Export)

7.5 - 8.5

2.2

$82.94

N/A

Seaborne Thermal (Domestic)

4.5

4.5

$32.31

N/A

Seaborne Metallurgical

9.3 - 10.3

3.0

$138.84

$123.00 - $133.00

PRB U.S. Thermal

82.0 - 88.0

80.5

$13.50

$11.75 - $12.25

Other U.S. Thermal

13.2 - 14.2

13.4

$55.25

$45.00 - $49.00

Other Annual Financial Metrics ($ in millions)

2026 Full Year

SG&A

$115

Total Capital Expenditures

$340

ARO Cash Spend

$65

Supplemental Information

Seaborne Thermal

50% of unpriced export volumes are expected to price on average at
Globalcoal "NEWC" levels and 50% are expected to have a higher ash content
and price at 85-95% of API 5 price levels.

Seaborne Metallurgical

On average, Peabody's metallurgical sales are anticipated to price at ~80% of
the premium hard-coking coal index price (FOB Australia).

PRB and Other U.S. Thermal

PRB and Other U.S. Thermal volumes reflect volumes priced at March 31,
2026. Weighted average quality for the PRB segment 2026 volume is
approximately 8,725 BTU.

Condensed Consolidated Statements of Operations (Unaudited)

For the Quarters Ended Mar. 31, 2026, Dec. 31, 2025 and Mar. 31, 2025

(In Millions, Except Per Share Data)

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Revenue

$ 973.3

$ 1,022.3

$ 937.0

Operating Costs and Expenses ⁽¹⁾

864.7

878.4

770.2

Depreciation, Depletion and Amortization

109.5

99.0

92.1

Asset Retirement Obligation Expenses

13.6

(4.8)

13.6

Selling and Administrative Expenses

31.6

30.5

23.6

Restructuring Charges

1.1

0.3

1.7

Costs Related to Terminated Acquisition

3.0

3.7

2.4

Net Gain on Disposals

(11.7)

(2.4)

(5.2)

Loss from Equity Affiliates

5.7

4.2

6.7

Other Operating Loss

-

5.6

-

Operating (Loss) Profit

(44.2)

7.8

31.9

Interest Expense, Net of Capitalized Interest

10.7

11.3

11.5

Interest Income

(13.1)

(12.3)

(15.4)

Net Periodic Benefit Credit, Excluding Service Cost

(0.4)

(7.4)

(7.4)

Net Mark-to-Market Adjustment on Actuarially Determined Liabilities

-

(5.4)

-

(Loss) Income from Continuing Operations Before Income Taxes

(41.4)

21.6

43.2

Income Tax (Benefit) Provision

(16.0)

10.0

4.9

(Loss) Income from Continuing Operations, Net of Income Taxes

(25.4)

11.6

38.3

(Loss) Income from Discontinued Operations, Net of Income Taxes

(0.2)

0.8

(0.3)

Net (Loss) Income

(25.6)

12.4

38.0

Less: Net Income Attributable to Noncontrolling Interests

6.8

2.0

3.6

Net (Loss) Income Attributable to Common Stockholders

$ (32.4)

$ 10.4

$ 34.4

Adjusted EBITDA ⁽²⁾

$ 82.5

$ 118.1

$ 144.0

Diluted EPS - (Loss) Income from Continuing Operations ⁽³⁾⁽⁴⁾

$ (0.26)

$ 0.08

$ 0.27

Diluted EPS - Net (Loss) Income Attributable to Common Stockholders ⁽³⁾

$ (0.27)

$ 0.09

$ 0.27

(1)

Excludes items shown separately.

(2)

Adjusted EBITDA is a non-GAAP financial measure. Refer to the "Reconciliation of Non-GAAP Financial Measures" section in this document for definitions and reconciliations to the most comparable measures under U.S. GAAP.

(3)

Weighted average diluted shares outstanding were 122.0 million, 123.0 million and 138.7 million during the quarters ended March 31, 2026, December 31, 2025 and March 31, 2025, respectively.

(4)

Reflects (loss) income from continuing operations, net of income taxes less net income attributable to noncontrolling interests.

This information is intended to be reviewed in conjunction with the company's filings with the SEC.

Condensed Consolidated Balance Sheets

As of Mar. 31, 2026 and Dec. 31, 2025

(Dollars In Millions)

(Unaudited)

Mar. 31, 2026

Dec. 31, 2025

Cash and Cash Equivalents

$ 492.5

$ 575.3

Accounts Receivable, Net

309.5

314.9

Inventories, Net

405.5

383.2

Other Current Assets

303.8

285.4

Total Current Assets

1,511.3

1,558.8

Property, Plant, Equipment and Mine Development, Net

3,129.9

3,153.3

Operating Lease Right-of-Use Assets

128.9

121.2

Restricted Cash and Collateral

811.3

844.1

Investments and Other Assets

126.3

127.6

Deferred Income Taxes

2.3

2.2

Total Assets

$ 5,710.0

$ 5,807.2

Current Portion of Long-Term Debt

$ 14.3

$ 15.2

Accounts Payable and Accrued Expenses

795.6

827.0

Total Current Liabilities

809.9

842.2

Long-Term Debt, Less Current Portion

320.9

321.2

Deferred Income Taxes

3.5

26.3

Asset Retirement Obligations, Less Current Portion

694.4

692.8

Accrued Postretirement Benefit Costs

108.8

109.2

Operating Lease Liabilities, Less Current Portion

94.4

87.5

Other Noncurrent Liabilities

138.0

145.8

Total Liabilities

2,169.9

2,225.0

Common Stock

1.9

1.9

Additional Paid-in Capital

4,010.3

4,004.8

Treasury Stock

(1,930.6)

(1,927.3)

Retained Earnings

1,314.2

1,355.9

Accumulated Other Comprehensive Income

99.4

101.1

Peabody Energy Corp. Stockholders' Equity

3,495.2

3,536.4

Noncontrolling Interests

44.9

45.8

Total Stockholders' Equity

3,540.1

3,582.2

Total Liabilities and Stockholders' Equity

$ 5,710.0

$ 5,807.2

This information is intended to be reviewed in conjunction with the company's filings with the SEC.

Condensed Consolidated Statements of Cash Flows (Unaudited)

For the Quarters Ended Mar. 31, 2026, Dec. 31, 2025 and Mar. 31, 2025

(Dollars In Millions)

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Cash Flows From Operating Activities

Net Cash Provided By Continuing Operations

$ 30.6

$ 69.2

$ 120.5

Net Cash Used in Discontinued Operations

(0.6)

(0.6)

(0.6)

Net Cash Provided By Operating Activities

30.0

68.6

119.9

Cash Flows From Investing Activities

Additions to Property, Plant, Equipment and Mine Development

(85.4)

(130.6)

(70.4)

Changes in Accrued Expenses Related to Capital Expenditures

(37.1)

24.6

(38.6)

Proceeds from Disposal of Assets, Net of Receivables

5.4

15.9

7.2

Contributions to Joint Ventures

(165.6)

(165.7)

(138.3)

Distributions from Joint Ventures

160.2

162.8

150.8

Other, Net

(1.0)

(0.8)

(0.3)

Net Cash Used In Investing Activities

(123.5)

(93.8)

(89.6)

Cash Flows From Financing Activities

Repayments of Long-Term Debt

(2.4)

(2.3)

(2.8)

Payment of Debt Issuance and Other Deferred Financing Costs

-

-

(1.7)

Repurchase of Employee Common Stock Relinquished for Tax Withholding

(3.3)

-

(0.8)

Dividends Paid

(9.2)

(9.0)

(9.1)

Distributions to Noncontrolling Interests

(7.7)

(0.1)

(14.7)

Net Cash Used In Financing Activities

(22.6)

(11.4)

(29.1)

Net Change in Cash, Cash Equivalents and Restricted Cash

(116.1)

(36.6)

1.2

Cash, Cash Equivalents and Restricted Cash at Beginning of Period

1,284.5

1,321.1

1,382.6

Cash, Cash Equivalents and Restricted Cash at End of Period

$ 1,168.4

$ 1,284.5

$ 1,383.8

This information is intended to be reviewed in conjunction with the company's filings with the SEC.

Reconciliation of Non-GAAP Financial Measures (Unaudited)

For the Quarters Ended Mar. 31, 2026, Dec. 31, 2025 and Mar. 31, 2025

(Dollars In Millions)

Note: Management believes that non-GAAP financial measures are used by investors to measure our operating performance. These measures
are not intended to serve as alternatives to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures
presented by other companies.

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

(Loss) Income from Continuing Operations, Net of Income Taxes

$ (25.4)

$ 11.6

$ 38.3

Depreciation, Depletion and Amortization

109.5

99.0

92.1

Asset Retirement Obligation Expenses

13.6

(4.8)

13.6

Restructuring Charges

1.1

0.3

1.7

Costs Related to Terminated Acquisition

3.0

3.7

2.4

Changes in Amortization of Basis Difference Related to Equity Affiliates

(0.6)

(0.8)

(0.6)

Other Operating Loss

-

5.6

-

Interest Expense, Net of Capitalized Interest

10.7

11.3

11.5

Interest Income

(13.1)

(12.3)

(15.4)

Net Mark-to-Market Adjustment on Actuarially Determined Liabilities

-

(5.4)

-

Unrealized (Gains) Losses on Foreign Currency Option Contracts

(0.3)

0.1

(4.3)

Take-or-Pay Contract-Based Intangible Recognition

-

(0.2)

(0.2)

Income Tax (Benefit) Provision

(16.0)

10.0

4.9

Adjusted EBITDA ⁽¹⁾

$ 82.5

$ 118.1

$ 144.0

Operating Costs and Expenses

$ 864.7

$ 878.4

$ 770.2

Unrealized Gains (Losses) on Foreign Currency Option Contracts

0.3

(0.1)

4.3

Take-or-Pay Contract-Based Intangible Recognition

-

0.2

0.2

Net Periodic Benefit Credit, Excluding Service Cost

(0.4)

(7.4)

(7.4)

Total Segment Costs ⁽²⁾

$ 864.6

$ 871.1

$ 767.3

(1)

Adjusted EBITDA is defined as (loss) income from continuing operations before deducting net interest expense, income taxes, asset retirement obligation expenses and depreciation, depletion and amortization. Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the reportable segments' operating performance, as displayed in the reconciliation above. Adjusted EBITDA is used by the chief operating decision maker as the primary financial metric to measure each segment's operating performance against expected results and to allocate resources, including capital investment in mining operations and potential expansions.

(2)

Total Segment Costs is defined as operating costs and expenses adjusted for the discrete items that management excluded in analyzing each reportable segment's operating performance, as displayed in the reconciliation above. Total Segment Costs is used by management as a component of a metric to measure each segment's operating performance.

This information is intended to be reviewed in conjunction with the company's filings with the SEC.

Supplemental Financial Data (Unaudited)

For the Quarters Ended Mar. 31, 2026, Dec. 31, 2025 and Mar. 31, 2025

Quarter Ended

Mar.

Dec.

Mar.

2026

2025

2025

Tons Sold (In Millions)

29.6

31.9

28.9

Revenue Summary (In Millions)

Seaborne Thermal

$ 197.5

$ 205.6

$ 265.1

Seaborne Metallurgical

283.0

305.4

220.1

Powder River Basin

289.5

300.3

275.6

Other U.S. Thermal

184.5

191.5

168.7

Total U.S. Thermal

474.0

491.8

444.3

Corporate and Other

18.8

19.5

7.5

Total

$ 973.3

$ 1,022.3

$ 937.0

Total Segment Costs Summary (In Millions) ⁽¹⁾

Seaborne Thermal

$ 149.0

$ 142.1

$ 180.9

Seaborne Metallurgical

290.0

280.8

206.9

Powder River Basin

265.8

255.5

239.3

Other U.S. Thermal

146.7

173.4

135.8

Total U.S. Thermal

412.5

428.9

375.1

Corporate and Other

13.1

19.3

4.4

Total

$ 864.6

$ 871.1

$ 767.3

Other Supplemental Financial Data (In Millions)

Adjusted EBITDA - Seaborne Thermal

$ 48.5

$ 63.5

$ 84.2

Adjusted EBITDA - Seaborne Metallurgical

(7.0)

24.6

13.2

Adjusted EBITDA - Powder River Basin

23.7

44.8

36.3

Adjusted EBITDA - Other U.S. Thermal

37.8

18.1

32.9

Adjusted EBITDA - Total U.S. Thermal

61.5

62.9

69.2

Middlemount

(5.0)

(1.0)

(6.9)

Resource Management Results ⁽²⁾

14.0

11.4

5.5

Selling and Administrative Expenses

(31.6)

(30.5)

(23.6)

Other Operating Costs, Net ⁽³⁾

2.1

(12.8)

2.4

Adjusted EBITDA ⁽¹⁾

$ 82.5

$ 118.1

$ 144.0

(1)

Total Segment Costs and Adjusted EBITDA are non-GAAP financial measures. Refer to the "Reconciliation of Non-GAAP Financial Measures" section in this document for definitions and reconciliations to the most comparable measures under U.S. GAAP.

(2)

Includes gains (losses) on certain surplus coal reserve, coal resource and surface land sales and property management costs and revenue.

(3)

Includes trading and brokerage activities, costs associated with post-mining activities, gains (losses) on certain asset disposals, minimum charges on certain transportation-related contracts, results from the Company's other equity method investments, costs associated with suspended operations, holding costs associated with the Centurion Mine, the impact of foreign currency remeasurement and expenses related to the Company's other commercial activities.

This information is intended to be reviewed in conjunction with the company's filings with the SEC.