Revenues declined to $1.42bn in Q3, compared to $1.72bn in the year-ago period, due to a 7% drop in volume and lower realized pricing.
The company said third quarter adjusted EBITDA of $129m reflects about $200m in lower operating and administrative costs that mitigated the impact of around $120m in lower pricing and $123.7m in hedging losses.
US mining adjusted EBITDA declined $44.3m to $238m, while Australian mining adjusted EBITDA increased $24.6m to $34m in Q3.
Seaborne metallurgical coal markets have been impacted by a 5% drop in domestic Chinese steel consumption through September, Peabody said.
India has surpassed China as the largest thermal coal importer in seaborne thermal markets. The company noted that Chinese imports decreased primarily due to reduced coal power generation demand, an increase in hydroelectric generation and protectionist policies that support domestic coal producers.
Peabody Energy president and CEO Glenn Kellow said: "Peabody’s third quarter results reflect a solid operational performance across the portfolio that continues to limit the pricing impacts from unprecedented market conditions.
"Our mining platform is operating well, and we are balancing our dual financial objectives of optimizing liquidity in response to the prolonged industry downturn whilst keeping a strategic eye on deleveraging."
