SunCoke Energy, Inc. (NYSE: SXC) announced its second-quarter 2024 financial results, showcasing robust performance from its coke making and logistics segments.
Katherine Gates, President and CEO, stated, “Our coke making and logistics segments performed admirably in Q2. Our domestic coke plants operated at full capacity, and our logistics segment managed 6 million tons during the quarter. This solid performance sets us up well to reach the higher end of our full-year Consolidated Adjusted EBITDA guidance for 2024. Additionally, we are pleased to announce a 20% increase in our quarterly dividend, raising it from 10 cents to 12 cents per share, effective September 3rd.”
Second Quarter Consolidated Results
| Metric | Three Months Ended June 30 | 2024 | 2023 | Change |
|---|---|---|---|---|
| Revenues | $470.9M | $534.4M | $(63.5M) | |
| Net Income | $21.5M | $20.4M | $1.1M | |
| Adjusted EBITDA | $63.5M | $74.0M | $(10.5M) |
Revenues decreased by $63.5 million compared to the previous year due to lower blast coke sales volumes and reduced coal prices impacting long-term agreements. Net income increased by $1.1 million due to lower depreciation, tax, and interest expenses, despite reduced sales volumes. Adjusted EBITDA fell by $10.5 million, influenced by lower blast coke sales and coal-to-coke yield issues.
Second Quarter Segment Results
Domestic Coke
| Metric | Three Months Ended June 30 | 2024 | 2023 | Change |
|---|---|---|---|---|
| Revenues | $441.6M | $505.9M | $(64.3M) | |
| Adjusted EBITDA | $57.9M | $68.2M | $(10.3M) | |
| Sales Volumes (000 tons) | 973 | 1,043 | (70) | |
| Adjusted EBITDA per Ton | $59.51 | $65.39 | $(5.88) |
Domestic Coke revenues fell by $64.3 million due to lower blast coke sales volumes and reduced coal-to-coke yields. Adjusted EBITDA decreased by $10.3 million, primarily from lower sales volumes and yields.
Logistics
| Metric | Three Months Ended June 30 | 2024 | 2023 | Change |
|---|---|---|---|---|
| Revenues | $20.2M | $19.7M | $0.5M | |
| Intersegment Sales | $5.9M | $5.1M | $0.8M | |
| Adjusted EBITDA | $12.2M | $11.7M | $0.5M | |
| Tons Handled (000 tons) | 5,982 | 5,191 | 791 |
Logistics saw a $0.5 million increase in both revenues and Adjusted EBITDA, driven by higher transloading volumes at domestic terminals.
Brazil Coke
Revenues were $9.1 million, and Adjusted EBITDA was $2.5 million, consistent with the previous year.
Corporate and Other
Expenses were $9.1 million, comparable to $8.2 million in the prior year.
For more details, SunCoke Energy will provide additional information during its Q2 2024 earnings webcast and conference call on August 1, 2024, at 11:00 AM Eastern. The webcast is available on SunCoke Energy’s website.
About SunCoke Energy
SunCoke Energy provides innovative solutions in coke making and logistics. The company operates facilities across various locations, focusing on maximizing efficiency and sustainability in the energy sector.
