SunCoke Energy Q2 revenue rises

Overview

• U.S. coke producer's Q2 revenue rose yr/yr, driven by Phoenix acquisition and higher terminal volumes

• Q2 net income and adjusted EBITDA grew, reflecting improved operating conditions and segment performance

• Company raised full-year 2026 adjusted EBITDA guidance to $250 mln-$265 mln on strong outlook

Outlook

• SunCoke raises 2026 Consolidated Adjusted EBITDA guidance to $250 mln-$265 mln

• Company expects 2026 net income between $23 mln and $42 mln

• SunCoke projects 2026 capital expenditures at $90 mln-$100 mln

Result Drivers

• PHOENIX ACQUISITION - Addition of Phoenix drove higher Industrial Services revenue and adjusted EBITDA

• HIGHER TERMINALS HANDLING VOLUMES - Improved market conditions led to increased volumes and segment profitability

• FAVORABLE COAL-TO-COKE YIELDS - Improved operating conditions boosted Domestic Coke segment margins

Company press release: ID:nBw35sB6la

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the iron & steel peer group is "buy"

• Wall Street's median 12-month price target for SunCoke Energy Inc is $9.50, about 1.5% above its July 29 closing price of $9.36

• The stock recently traded at 52 times the next 12-month earnings vs. a P/E of 20 three months ago

Reuters Recommended Reads

• July 29 - Peabody Energy Q2 revenue and Adjusted EBITDA miss estimates on lower volumes, higher costs

• July 27 - Nucor beats quarterly results on strong pricing, demand

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)