{"id":482985,"date":"2021-04-28T06:33:33","date_gmt":"2021-04-28T10:33:33","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/suncoke-energy-inc-reports-strong-first-quarter-2021-results\/"},"modified":"2021-04-28T06:33:33","modified_gmt":"2021-04-28T10:33:33","slug":"suncoke-energy-inc-reports-strong-first-quarter-2021-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/suncoke-energy-inc-reports-strong-first-quarter-2021-results\/","title":{"rendered":"Suncoke Energy, Inc. Reports Strong First Quarter 2021 Results"},"content":{"rendered":"
\n

– First quarter 2021 net income attributable to SXC was $16.5 million, or $0.20 per share<\/h2>\n

– Adjusted EBITDA for the quarter was $70.6 million, up 14 percent, versus the prior year period and represents record first quarter performance<\/h2>\n

– Operating cash flow was $64.8 million in the current period<\/h2>\n

– Well positioned to achieve top end of full year 2021 Adjusted EBITDA guidance range of $215M to $230M<\/h2>\n

PR Newswire<\/p>\n<\/p><\/div>\n

\n

\n LISLE, Ill.<\/span>, April\u00a028, 2021 \/PRNewswire\/ — SunCoke Energy, Inc. (NYSE: SXC) today reported results for the first quarter\u00a02021, reflecting the strong performance in both the Domestic Coke and Logistics segments.<\/p>\n

\n

\n
\n \"SunCoke
\n <\/a>\n <\/p>\n<\/p><\/div>\n

“I would like to thank all the SunCoke employees for their continued commitment and contributions through a challenging period. The dedication of our team is clearly visible through our excellent safety performance, where we achieved zero recordable injuries during the first quarter, a record for our company. While continuing to follow CDC mandated guidelines, our cokemaking operations returned to full capacity and delivered excellent results. Our logistics segment delivered strong results handling more than two million tons of coal, and we also signed a new take-or-pay agreement to handle iron ore at CMT.” said Mike Rippey<\/span>, President and Chief Executive Officer of SunCoke Energy Inc. “We are very pleased to see our operations running at optimum levels, which is the key driver of our excellent financial results. Continued strength in steel and coal markets coupled with our first quarter results leads us to project full year results at the high end of our adjusted EBITDA guidance.”<\/p>\n

\n FIRST QUARTER CONSOLIDATED RESULTS<\/b>\n <\/p>\n

\n\n\n\n\n\n\n
\n \n <\/td>\n\n

\n
\n Three Months Ended March 31,<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n
\n (Dollars in millions)<\/u>
\n <\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2020<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Increase <\/b>
\n <\/span>\n <\/p>\n

\n
\n (Decrease)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Revenues<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 359.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 382.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n (22.8)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Net income attributable to SXC<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 16.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 4.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 11.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Adjusted EBITDA(1)<\/sup><\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 70.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 62.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 8.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n
\n\n\n\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n (1)<\/span>\n <\/p>\n<\/td>\n

\n

\n See definition of Adjusted EBITDA and reconciliation elsewhere in this release.<\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

Revenue in the first quarter 2021 decreased $22.8 million<\/span> compared to the prior year period, reflecting pass through of lower coal prices and lower volumes in our Domestic Coke segment partially offset by higher volumes in our Logistics segment.<\/p>\n

Net income attributable to SXC increased $11.6 million<\/span> from the prior year period driven by improved operating results in our Logistics segment discussed below.\u00a0 Net Income attributable to SXC also reflects lower income tax expense, which in the prior year period included expense for the revaluation of certain deferred tax assets due to lower apportioned state tax rates. <\/p>\n

Adjusted EBITDA increased\u00a0 $8.5 million<\/span> as compared to the prior year period primarily driven by higher volumes in the Logistics segment.<\/p>\n

\n FIRST QUARTER SEGMENT RESULTS<\/b>\n <\/p>\n

\n
\n Domestic Coke
<\/u>
\n <\/b>Domestic Coke consists of cokemaking facilities and heat recovery operations at our Jewell, Indiana Harbor, Haverhill, Granite City<\/span> and Middletown<\/span> plants. <\/p>\n

\n\n\n\n\n\n\n\n
\n \n <\/td>\n\n

\n
\n Three Months Ended March 31,<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n
\n (Dollars in millions, except per ton amounts)<\/u>
\n <\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2020<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Increase <\/b>
\n <\/span>\n <\/p>\n

\n
\n (Decrease)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Revenues<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 335.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 365.2<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n (29.9)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Adjusted EBITDA(1)<\/sup><\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 63.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 63.4<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Sales volumes (thousands of tons)<\/span>\n <\/p>\n<\/td>\n

\n

\n 1,038<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n 1,064<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n (26)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Adjusted EBITDA per ton(2)<\/sup><\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 61.18<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 59.59<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1.59<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n
\n\n\n\n\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n (1)<\/span>\n <\/p>\n<\/td>\n

\n

\n See definition of Adjusted EBITDA and reconciliation elsewhere in this release.<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n (2)<\/span>\n <\/p>\n<\/td>\n

\n

\n Reflects Domestic Coke Adjusted EBITDA divided by Domestic Coke sales volumes.<\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

Revenues decreased $29.9 million<\/span> largely due to pass through of lower coal costs as well as lower sales volumes driven by timing of shipments.<\/p>\n

Adjusted EBITDA was reasonably consistent with the prior year period.\u00a0 Lower operating and maintenance cost and higher energy revenues offset the decrease in volume discussed above. <\/p>\n

\n
\n Logistics
<\/u>
\n <\/b>Logistics consists of the handling and mixing services of coal and other aggregates at our Convent Marine Terminal (“CMT”), Lake Terminal, Kanawha River Terminals (“KRT”) and Dismal River Terminal (“DRT”). <\/p>\n

\n\n\n\n\n\n\n\n
\n \n <\/td>\n\n

\n
\n Three Months Ended March 31,<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n
\n (Dollars in millions, except per ton amounts)<\/u>
\n <\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2020<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Increase <\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Revenues<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 16.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 9.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 7.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Intersegment sales<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 6.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 6.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n \u2014<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Adjusted EBITDA(1)<\/sup><\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 10.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 3.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 7.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Tons handled (thousands of tons)<\/span>\n <\/p>\n<\/td>\n

\n

\n 5,300<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n 4,214<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n 1,086<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n
\n\n\n\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n (1)<\/span>\n <\/p>\n<\/td>\n

\n

\n See definition of Adjusted EBITDA and reconciliation elsewhere in this release.<\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

Revenues and Adjusted EBITDA increased by $7.1 million<\/span> and $7.6 million<\/span>, respectively, as compared to the same prior year period driven by the improved export coal market, which resulted in higher throughput volumes at CMT. <\/p>\n

\n
\n Brazil Coke
<\/u>
\n <\/b>Brazil Coke consists of a cokemaking facility in Vit\u00f3ria, Brazil<\/span>, which we operate for an affiliate of ArcelorMittal. <\/p>\n

Revenues and Adjusted EBITDA were $8.5 million<\/span> and $4.5 million<\/span>, respectively, during the first quarter 2021, which was comparable to revenues and Adjusted EBITDA of $8.5 million<\/span> and $4.1 million<\/span>, respectively, during the first quarter 2020.<\/p>\n

\n
\n Corporate and Other
<\/u>
\n <\/b>Corporate and other expenses, which include activity from our legacy coal mining business, was $8.3 million<\/span> during first quarter 2021, $0.4 million<\/span> lower than $8.7 million<\/span> during first quarter 2020 as a result of lower professional services and employee related costs as well as the absence of $0<\/span>.8\u00a0million foundry related research and development costs incurred during 2020. These savings were largely offset by $1.7 million<\/span> of period-over-period, mark-to-market adjustments in deferred compensation driven by changes in the Company’s share price during the three months ended March 31, 2021<\/span> as compared to the same prior year period. <\/p>\n

\n 2021 OUTLOOK<\/b>\n <\/p>\n

Our 2021 guidance is based on our Domestic Coke plants running at full capacity supported by export sales and foundry coke sales. It also assumes higher volumes at Logistics facilities as compared to 2020 results.<\/p>\n

Our 2021 guidance is as follows:<\/p>\n