SunCoke Energy Shares Slip On Reduced Q2 Results, Net Profit Outlook

(RTTNews) - Shares of SunCoke Energy, Inc. (SXC) were trading down over 6 percent on Wednesday after the company recorded a decline in earnings and revenue for the second quarter and revised down its annual net profit outlook.

For the second quarter, the firm posted a net income of $1.9 million, or $0.02 per share, less than $21.5 million, or $0.25 per share, in the same period last year. Revenue was $434.1 million, down from $470.9 million in the previous year.

Katherine Gates, CEO of SunCoke Energy, said: "Our quarterly financial results were adversely impacted by the timing and mix of contract and spot coke sales in the Domestic Coke segment and lower volumes in the Logistics segment. We expect higher Adjusted EBITDA in the second half of the year, driven by a more advantageous mix of contract and spot coke sales, and the new take-or-pay coal handling agreement at Kanawha River Terminal."

Looking ahead, for fiscal 2025, the company now expects net income of $40 million to $59 million, less than the earlier outlook of $52 million to $69 million.

For fiscal 2024, the company had reported a net income of $95.9 million.

The company, however, reaffirmed its annual adjusted EBITDA outlook of $210 million to $225 million.

For fiscal 2024, SunCoke Energy had posted adjusted EBITDA of $272.8 million.

Annual capital expenditure is now projected to be approximately $60 million, compared with around $65 million previously.

SXC was down by 6.88% at $7.71 on the New York Stock Exchange.