Tue October 25, 2011
Coal giant Peabody's 3Q net income rises 22 percent
Coal-mining giant Peabody Energy Corp. says its third-quarter earnings climbed 22 percent and demand for coal is still rising for power generation in Asia and Europe.
Separately, Peabody says the steel maker ArcelorMittal has pulled out of their joint bid to buy Australia's Macarthur Coal Ltd. for about $5 billion, and will sell its interest to Peabody.
Peabody shares fell 1.7 percent to $40.25 in premarket trading.
The St. Louis-based company said Tuesday its net income rose to $274.1 million, or $1 per share, for the three months ended Sept. 30. That's up from $224.1 million, or 83 cents per share, a year earlier.
The company says earnings after special items totaled 87 cents per share. Analysts expected adjusted earnings of 90 cents per share.
Revenue rose 9 percent to $2.04 billion. Analysts expected $1.99 billion.