- Second quarter 2022 net income attributable to SXC was
$18.0 million, or $0.21 per share; Year-to-date net income
attributable to SXC was $47.5
million, or $0.56 per
share
- Adjusted EBITDA(1) for the quarter was $71.3 million, an increase of $3.3 million versus the prior year period;
Year-to-date 2022 Adjusted EBITDA was $155.1
million
- Increased quarterly dividend to 8
cents per share; a 33% increase
- Entered into a non-binding letter of intent with United States
Steel Corporation ("U.S. Steel") that sets out the principal terms
and conditions upon which SunCoke would acquire U.S. Steel's
Granite City blast furnaces and
build a 2.0M ton per year granulated
pig iron facility with a 10 year initial term
- Increasing full year 2022 Adjusted EBITDA guidance range from
$240 million - $255 million to $270
million - $285 million,
reflecting continued success in the export coke market and strong
performance at CMT
LISLE,
Ill., Aug. 2, 2022 /PRNewswire/ -- SunCoke
Energy, Inc. (NYSE: SXC) today reported results for the second
quarter 2022, reflecting continued strong performance in our
Domestic Coke and Logistics segments.
"Our Domestic Coke and Logistics segments continued to perform
well in the second quarter with the backdrop of strong commodity
markets. Although our coke production was impacted due to planned
outages this quarter, it was more than offset by higher margins
from our export coke sales. Our Logistics segment continues to
deliver solid results, with higher volumes at our domestic
terminals and favorable pricing at CMT," said Mike Rippey, President and Chief Executive
Officer of SunCoke Energy, Inc. "Recognizing both record first half
performance and softening export coke market conditions, we are
increasing full year Adjusted EBITDA guidance to $270 million - $285
million. Additionally our Board of Directors approved a 33%
increase in quarterly dividends from 6
cents to 8 cents per share
effective the next quarterly payment on September 1st."
SECOND QUARTER CONSOLIDATED
RESULTS
|
Three Months Ended
June 30,
|
|
(Dollars in
millions)
|
2022
|
|
2021
|
|
Increase
|
|
Revenues
|
$
501.9
|
|
$
364.3
|
|
$
137.6
|
|
Net (loss) income
attributable to SXC
|
$
18.0
|
|
$
(8.8)
|
|
$
26.8
|
|
Adjusted
EBITDA(1)
|
$
71.3
|
|
$
68.0
|
|
$
3.3
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA and reconciliation elsewhere in this
release.
|
|
|
Revenues in the second quarter of 2022 increased $137.6 million as compared to the same prior year
period, primarily reflecting the pass-through of higher coal prices
and favorable export coke pricing.
Net income attributable to SXC increased $26.8 million from the same prior year period.
The prior year period included a $22.7
million, net of tax impact of debt extinguishment costs
related to our debt refinancing during the second quarter of
2021.
Adjusted EBITDA increased $3.3
million as compared to the same prior year period, primarily
as a result of higher margins on export sales partially offset by
lower domestic coke sales volumes described below.
SECOND QUARTER SEGMENT
RESULTS
Domestic Coke
Domestic Coke consists of cokemaking
facilities and heat recovery operations at our Jewell, Indiana
Harbor, Haverhill, Granite City
and Middletown plants.
|
Three Months Ended
June 30,
|
|
(Dollars in
millions, except per ton amounts)
|
2022
|
|
2021
|
|
Increase
(decrease)
|
|
Revenues
|
$
472.5
|
|
$
338.6
|
|
$
133.9
|
|
Adjusted
EBITDA(1)
|
$
64.3
|
|
$
61.4
|
|
$
2.9
|
|
Sales volumes
(thousands of tons)
|
1,007
|
|
1,063
|
|
(56)
|
|
Adjusted EBITDA per
ton(2)
|
$
63.85
|
|
$
57.76
|
|
$
6.09
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA and reconciliation elsewhere in this
release.
|
|
(2)
|
Reflects Domestic Coke
Adjusted EBITDA divided by Domestic Coke sales volumes.
|
|
|
Revenues increased $133.9 million
as compared to the same prior year period primarily reflecting the
pass-through of higher coal prices and favorable export coke
pricing.
Adjusted EBITDA increased $2.9
million as compared to the same prior year period largely
due to higher margins on export sales partially offset by lower
domestics coke sales volumes as a result of changes in the mix of
production and timing of plant outages and repairs.
Logistics
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").
|
Three Months Ended
June 30,
|
|
(Dollars in
millions, except per ton amounts)
|
2022
|
|
2021
|
|
Increase
(decrease)
|
|
Revenues
|
$
19.8
|
|
$
16.7
|
|
$
3.1
|
|
Intersegment
sales
|
$
7.3
|
|
$
7.4
|
|
$
(0.1)
|
|
Adjusted
EBITDA(1)
|
$
12.5
|
|
$
11.4
|
|
$
1.1
|
|
Tons handled (thousands
of tons)
|
5,809
|
|
5,104
|
|
705
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA and reconciliation elsewhere in this
release.
|
|
|
Revenues and Adjusted EBITDA increased by $3.1 million and $1.1
million, respectively, as compared to the same prior year
period driven by favorable pricing at CMT based on the API2 coal
index price.
Brazil Coke
Brazil Coke consists of a cokemaking facility in Vitória,
Brazil, which we operate for an
affiliate of ArcelorMittal.
Revenues and Adjusted EBITDA were $9.6
million and $3.9 million,
respectively, during the second quarter 2022, which was comparable
to revenue and Adjusted EBITDA of $9.0
million and $4.0 million,
respectively, in the second quarter 2021.
Corporate and Other
Corporate and other expenses,
which include activity from our legacy coal mining business, was
$9.4 million during second quarter
2022, $0.6 million higher than
expense of $8.8 million during second
quarter 2021 driven primarily by higher employee related expenses
and higher professional services.
2022 REVISED OUTLOOK
Our 2022 revised guidance is based on higher export margins in
our Domestic Coke plants and the API2 price adjustment benefit at
CMT.
Our 2022 revised guidance is as follows:
- Domestic Coke total production is expected to be approximately
4.1 million tons
- Consolidated Adjusted EBITDA is expected to be between
$270 million to $285 million
- Capital expenditures are projected to be approximately
$80 million
- Cash generated by operations is estimated to be between
$200 million to $215 million
- Cash taxes are projected to be $10
million to $12 million
RELATED COMMUNICATIONS
We will host our quarterly earnings call at 11:30 a.m.
Eastern Time (10:30 a.m. Central
Time) today. The conference call will be webcast live and
archived for replay in the Investors section
of www.suncoke.com. Investors and analysts may participate in
this call by dialing 1-888-660-6347 in the U.S. or 1-929-201-6594
if outside the U.S., confirmation code 36382.
SUNCOKE ENERGY, INC.
SunCoke Energy, Inc. (NYSE: SXC) supplies high-quality coke to
domestic and international customers. Our coke is used in the blast
furnace production of steel as well as the foundry production of
casted iron, with the majority of sales under long-term,
take-or-pay contracts. We also export coke to overseas customers
seeking high-quality product for their blast furnaces. Our process
utilizes an innovative heat-recovery technology that captures
excess heat for steam or electrical power generation and draws upon
more than 60 years of cokemaking experience to operate our
facilities in Illinois,
Indiana, Ohio, Virginia and Brazil. Our logistics business provides export
and domestic material handling services to coke, coal, steel, power
and other bulk customers. The logistics terminals have the
collective capacity to mix and transload more than 40 million tons
of material each year and are strategically located to reach Gulf
Coast, East Coast, Great Lakes and international ports. To learn
more about SunCoke Energy, Inc., visit our website at
www.suncoke.com.
SunCoke routinely announces material information to investors
and the marketplace using press releases, Securities and Exchange
Commission filings, public conference calls, webcasts and SunCoke's
website at http://www.suncoke.com/English/investors/sxc. The
information that SunCoke posts to its website may be deemed to be
material. Accordingly, SunCoke encourages investors and others
interested in SunCoke to routinely monitor and review the
information that SunCoke posts on its website, in addition to
following SunCoke's press releases, Securities and Exchange
Commission filings and public conference calls and webcasts.
DEFINITIONS
- Adjusted EBITDA represents earnings before interest,
taxes, depreciation and amortization ("EBITDA"), adjusted for any
impairments, restructuring costs, gains or losses on extinguishment
of debt and transaction costs. EBITDA and Adjusted EBITDA do not
represent and should not be considered alternatives to net income
or operating income under GAAP and may not be comparable to other
similarly titled measures in other businesses. Management believes
Adjusted EBITDA is an important measure in assessing operating
performance. Adjusted EBITDA provides useful information to
investors because it highlights trends in our business that may not
otherwise be apparent when relying solely on GAAP measures and
because it eliminates items that have less bearing on our operating
performance. EBITDA and Adjusted EBITDA are not measures calculated
in accordance with GAAP, and they should not be considered a
substitute for net income or any other measure of financial
performance presented in accordance with GAAP. Additionally, other
companies may calculate Adjusted EBITDA differently than we do,
limiting its usefulness as a comparative measure.
- Adjusted EBITDA attributable to SXC represents Adjusted
EBITDA less Adjusted EBITDA attributable to noncontrolling
interests.
FORWARD-LOOKING
STATEMENTS
This press release and related conference call contain
"forward-looking statements" (as defined in Section 27A of the
Securities Act of 1933, as amended and Section 21E of the
Securities Exchange Act of 1934, as amended). Forward-looking
statements often may be identified by the use of such words as
"believe," "expect," "plan," "project," "intend," "anticipate,"
"estimate," "predict," "potential," "continue," "may," "will,"
"should," or the negative of these terms, or similar
expressions. However, the absence of these words or similar
expressions does not mean that a statement is not
forward-looking. Forward-looking statements are not
historical facts, but instead represent only our beliefs regarding
future events, many of which are inherently uncertain and involve
significant known and unknown risks and uncertainties (many of
which are beyond the control of SunCoke) that could cause our
actual results and financial condition to differ materially from
the anticipated results and financial condition indicated in such
forward-looking statements. These risks and uncertainties
include, but are not limited to, the risks and uncertainties
described in Item 1A ("Risk Factors") of our Annual Report on Form
10-K for the most recently completed fiscal year, as well as those
described from time to time in our other reports and filings with
the Securities and Exchange Commission.
In accordance with the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, SunCoke has included in
its filings with the Securities and Exchange Commission cautionary
language identifying important factors (but not necessarily all the
important factors) that could cause actual results to differ
materially from those expressed in any forward-looking statement
made by SunCoke. For information concerning these factors and other
important information regarding the matters discussed in this
presentation, see SunCoke's Securities and Exchange Commission
filings, copies of which are available free of charge on SunCoke's
website at www.suncoke.com. All forward-looking statements
included in this presentation are expressly qualified in their
entirety by such cautionary statements. Unpredictable or
unknown factors not discussed in this presentation also could have
material adverse effects on forward-looking statements.
Forward-looking statements are not guarantees of future
performance, but are based upon the current knowledge, beliefs and
expectations of SunCoke management, and upon assumptions by SunCoke
concerning future conditions, any or all of which ultimately may
prove to be inaccurate. You should not place undue reliance
on these forward-looking statements, which speak only as of the
date of the earnings release. SunCoke does not intend, and
expressly disclaims any obligation, to update or alter its
forward-looking statements (or associated cautionary language),
whether as a result of new information, future events, or
otherwise, after the date of the earnings release except as
required by applicable law.
In addition, throughout this press release, we will use non-GAAP
financial measures. Non-GAAP financial measures should not be
considered as alternatives to the measures derived in accordance
with U.S. GAAP. Non-GAAP financial measures have important
limitations as analytical tools, and you should not consider them
in isolation or as substitutes for results as reported under U.S.
GAAP. Reconciliations to the most comparable GAAP financial
measures can be found in the Appendix to this presentation.
|
|
SunCoke Energy,
Inc.
|
|
Consolidated
Statements of Operations
|
|
(Unaudited)
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars and shares in millions,
except per share amounts)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
Sales and other
operating revenue
|
|
$
501.9
|
|
$
364.3
|
|
$
941.7
|
|
$
724.2
|
|
Costs and operating
expenses
|
|
|
|
|
|
|
|
|
|
Cost of products sold
and operating expenses
|
|
411.8
|
|
278.6
|
|
749.8
|
|
552.6
|
|
Selling, general and
administrative expenses
|
|
19.8
|
|
17.7
|
|
37.8
|
|
33.0
|
|
Depreciation and
amortization expense
|
|
35.8
|
|
34.1
|
|
71.0
|
|
66.5
|
|
Total costs and
operating expenses
|
|
467.4
|
|
330.4
|
|
858.6
|
|
652.1
|
|
Operating
income
|
|
34.5
|
|
33.9
|
|
83.1
|
|
72.1
|
|
Interest expense,
net
|
|
8.3
|
|
14.2
|
|
16.3
|
|
26.9
|
|
Loss on extinguishment
of debt
|
|
—
|
|
31.9
|
|
—
|
|
31.9
|
|
Income (loss) before
income tax expense (benefit)
|
|
26.2
|
|
(12.2)
|
|
66.8
|
|
13.3
|
|
Income tax expense
(benefit)
|
|
7.2
|
|
(4.7)
|
|
17.2
|
|
2.6
|
|
Net income
(loss)
|
|
19.0
|
|
(7.5)
|
|
49.6
|
|
10.7
|
|
Less: Net income
attributable to noncontrolling interests
|
|
1.0
|
|
1.3
|
|
2.1
|
|
3.0
|
|
Net income (loss)
attributable to SunCoke Energy, Inc.
|
|
$
18.0
|
|
$
(8.8)
|
|
$
47.5
|
|
$
7.7
|
|
Earnings (loss)
attributable to SunCoke Energy, Inc. per common share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.21
|
|
$
(0.11)
|
|
$
0.57
|
|
$
0.09
|
|
Diluted
|
|
$
0.21
|
|
$
(0.11)
|
|
$
0.56
|
|
$
0.09
|
|
Weighted average number
of common shares outstanding:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
83.9
|
|
83.0
|
|
83.7
|
|
82.9
|
|
Diluted
|
|
84.6
|
|
83.0
|
|
84.4
|
|
83.5
|
|
|
|
SunCoke Energy,
Inc.
|
|
Consolidated Balance
Sheets
|
|
|
|
June 30,
2022
|
|
December 31,
2021
|
|
|
(Unaudited)
|
|
|
|
|
(Dollars in
millions, except
par value
amounts)
|
|
Assets
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
63.4
|
|
$
63.8
|
|
Receivables,
net
|
|
108.1
|
|
77.6
|
|
Inventories
|
|
193.1
|
|
127.0
|
|
Other current
assets
|
|
6.6
|
|
3.5
|
|
Total current
assets
|
|
371.2
|
|
271.9
|
|
Properties, plants and
equipment (net of accumulated depreciation of $1,230.0
million and $1,160.1 million at June 30, 2022 and December 31,
2021,
respectively)
|
|
1,253.5
|
|
1,287.9
|
|
Intangible assets,
net
|
|
34.2
|
|
35.2
|
|
Deferred charges and
other assets
|
|
18.5
|
|
20.4
|
|
Total assets
|
|
$
1,677.4
|
|
$
1,615.4
|
|
Liabilities and
Equity
|
|
|
|
|
|
Accounts
payable
|
|
$
159.4
|
|
$
126.0
|
|
Accrued
liabilities
|
|
51.6
|
|
52.4
|
|
Current portion of
financing obligation
|
|
3.2
|
|
3.2
|
|
Income tax
payable
|
|
1.4
|
|
0.6
|
|
Total current
liabilities
|
|
215.6
|
|
182.2
|
|
Long-term debt and
financing obligation
|
|
594.6
|
|
610.4
|
|
Accrual for black lung
benefits
|
|
59.4
|
|
57.9
|
|
Retirement benefit
liabilities
|
|
20.9
|
|
21.8
|
|
Deferred income
taxes
|
|
178.2
|
|
169.0
|
|
Asset retirement
obligations
|
|
12.2
|
|
11.6
|
|
Other deferred credits
and liabilities
|
|
22.4
|
|
27.1
|
|
Total
liabilities
|
|
1,103.3
|
|
1,080.0
|
|
Equity
|
|
|
|
|
|
Preferred stock, $0.01
par value. Authorized 50,000,000 shares; no issued
shares at both June 30, 2022 and December 31, 2021
|
|
—
|
|
—
|
|
Common stock, $0.01 par
value. Authorized 300,000,000 shares; issued
98,795,825 and 98,496,809 shares at June 30, 2022 and
December 31,
2021, respectively
|
|
1.0
|
|
1.0
|
|
Treasury stock,
15,404,482 shares at both June 30, 2022 and December 31,
2021
|
|
(184.0)
|
|
(184.0)
|
|
Additional paid-in
capital
|
|
724.4
|
|
721.2
|
|
Accumulated other
comprehensive loss
|
|
(16.2)
|
|
(16.7)
|
|
Retained earnings
(deficit)
|
|
13.9
|
|
(23.4)
|
|
Total SunCoke Energy,
Inc. stockholders' equity
|
|
539.1
|
|
498.1
|
|
Noncontrolling
interest
|
|
35.0
|
|
37.3
|
|
Total equity
|
|
574.1
|
|
535.4
|
|
Total liabilities and
equity
|
|
$
1,677.4
|
|
$
1,615.4
|
|
|
|
SunCoke Energy,
Inc.
|
|
Consolidated
Statements of Cash Flows
|
|
(Unaudited)
|
|
|
|
Six Months Ended
June 30,
|
|
|
2022
|
|
2021
|
|
|
|
|
|
|
|
(Dollars in
millions)
|
|
Cash Flows from
Operating Activities
|
|
|
|
|
|
Net income
|
|
$
49.6
|
|
$
10.7
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
Depreciation and
amortization expense
|
|
71.0
|
|
66.5
|
|
Deferred income tax
expense
|
|
9.2
|
|
0.6
|
|
Share-based
compensation expense
|
|
3.0
|
|
2.3
|
|
Loss on extinguishment
of debt
|
|
—
|
|
31.9
|
|
Changes in working
capital pertaining to operating activities:
|
|
|
|
|
|
Receivables,
net
|
|
(30.5)
|
|
(3.2)
|
|
Inventories
|
|
(66.1)
|
|
(17.7)
|
|
Accounts
payable
|
|
31.9
|
|
14.1
|
|
Accrued
liabilities
|
|
(0.9)
|
|
(2.8)
|
|
Interest
payable
|
|
—
|
|
(1.4)
|
|
Income
taxes
|
|
0.8
|
|
2.7
|
|
Other
|
|
(1.8)
|
|
0.9
|
|
Net cash provided by
operating activities
|
|
66.2
|
|
104.6
|
|
Cash Flows from
Investing Activities
|
|
|
|
|
|
Capital
expenditures
|
|
(34.0)
|
|
(33.7)
|
|
Other investing
activities
|
|
—
|
|
—
|
|
Net cash used in
investing activities
|
|
(34.0)
|
|
(33.7)
|
|
Cash Flows from
Financing Activities
|
|
|
|
|
|
Proceeds from issuance
of long-term debt
|
|
—
|
|
500.0
|
|
Repayment of long-term
debt
|
|
—
|
|
(609.3)
|
|
Proceeds from revolving
facility
|
|
327.0
|
|
470.6
|
|
Repayment of revolving
facility
|
|
(342.0)
|
|
(405.9)
|
|
Repayment of financing
obligation
|
|
(1.6)
|
|
(1.4)
|
|
Debt issuance
costs
|
|
—
|
|
(10.5)
|
|
Dividends
paid
|
|
(10.3)
|
|
(10.1)
|
|
Cash distribution to
noncontrolling interests
|
|
(4.4)
|
|
—
|
|
Other financing
activities
|
|
(1.3)
|
|
(1.0)
|
|
Net cash used in
financing activities
|
|
(32.6)
|
|
(67.6)
|
|
Net (decrease) increase
in cash and cash equivalents
|
|
(0.4)
|
|
3.3
|
|
Cash and cash
equivalents at beginning of period
|
|
63.8
|
|
48.4
|
|
Cash and cash
equivalents at end of period
|
|
$
63.4
|
|
$
51.7
|
|
Supplemental
Disclosure of Cash Flow Information
|
|
|
|
|
|
Interest paid, net of
capitalized interest of zero and $0.3 million,
respectively
|
|
$
14.2
|
|
$
25.6
|
|
Income taxes paid, net
of refunds of zero and $2.9 million
|
|
$
7.2
|
|
$
(0.6)
|
|
|
SunCoke Energy,
Inc.
|
|
Segment Financial
and Operating Data
|
|
|
The following tables
set forth financial and operating data for the three and six months
ended June 30, 2022 and 2021, respectively:
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
millions, except per ton amounts)
|
|
Sales and other
operating revenues:
|
|
|
|
|
|
|
|
|
|
Domestic
Coke
|
|
$
472.5
|
|
$
338.6
|
|
$
884.1
|
|
$
673.9
|
|
Brazil Coke
|
|
9.6
|
|
9.0
|
|
19.0
|
|
17.5
|
|
Logistics
|
|
19.8
|
|
16.7
|
|
38.6
|
|
32.8
|
|
Logistics intersegment
sales
|
|
7.3
|
|
7.4
|
|
14.8
|
|
14.0
|
|
Elimination of
intersegment sales
|
|
(7.3)
|
|
(7.4)
|
|
(14.8)
|
|
(14.0)
|
|
Total sales and other
operating revenues
|
|
$
501.9
|
|
$
364.3
|
|
$
941.7
|
|
$
724.2
|
|
Adjusted
EBITDA(1):
|
|
|
|
|
|
|
|
|
|
Domestic
Coke
|
|
$
64.3
|
|
$
61.4
|
|
$
140.3
|
|
$
124.9
|
|
Brazil Coke
|
|
3.9
|
|
4.0
|
|
8.1
|
|
8.5
|
|
Logistics
|
|
12.5
|
|
11.4
|
|
25.1
|
|
22.3
|
|
Corporate and Other,
net
|
|
(9.4)
|
|
(8.8)
|
|
(18.4)
|
|
(17.1)
|
|
Total Adjusted
EBITDA
|
|
$
71.3
|
|
$
68.0
|
|
$
155.1
|
|
$
138.6
|
|
Coke Operating
Data:
|
|
|
|
|
|
|
|
|
|
Domestic Coke capacity
utilization(2)
|
|
100 %
|
|
100 %
|
|
99 %
|
|
101 %
|
|
Domestic Coke
production volumes (thousands of tons)
|
|
997
|
|
1,054
|
|
1,972
|
|
2,090
|
|
Domestic Coke sales
volumes (thousands of tons)
|
|
1,007
|
|
1,063
|
|
1,969
|
|
2,101
|
|
Domestic Coke Adjusted
EBITDA per ton(3)
|
|
$
63.85
|
|
$
57.76
|
|
$
71.25
|
|
$
59.45
|
|
Brazilian Coke
production—operated facility (thousands of tons)
|
|
406
|
|
425
|
|
825
|
|
842
|
|
Logistics Operating
Data:
|
|
|
|
|
|
|
|
|
|
Tons handled
(thousands of tons)
|
|
5,809
|
|
5,104
|
|
11,045
|
|
10,404
|
|
|
(1)
|
See definition of
Adjusted EBITDA and reconciliation to GAAP elsewhere in this
release.
|
|
(2)
|
The production of
foundry coke tons does not replace blast furnace coke tons on a ton
for ton basis, as foundry coke requires longer coking time. The
Domestic Coke capacity utilization is calculated assuming a single
ton of foundry coke replaces approximately two tons of blast
furnace coke.
|
|
(3)
|
Reflects Domestic Coke
Adjusted EBITDA divided by Domestic Coke sales volumes.
|
|
|
SunCoke Energy,
Inc.
|
|
Reconciliation of
Non-GAAP Information
|
|
Net Income to
Adjusted EBITDA
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
|
(Dollars in
millions)
|
|
Net income (loss)
attributable to SunCoke Energy, Inc.
|
|
$
18.0
|
|
$
(8.8)
|
|
$
47.5
|
|
$
7.7
|
|
Add: Net income
attributable to noncontrolling interests
|
|
1.0
|
|
1.3
|
|
2.1
|
|
3.0
|
|
Net income
(loss)
|
|
$
19.0
|
|
$
(7.5)
|
|
$
49.6
|
|
$
10.7
|
|
Add:
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization expense
|
|
35.8
|
|
34.1
|
|
71.0
|
|
66.5
|
|
Interest expense,
net
|
|
8.3
|
|
14.2
|
|
16.3
|
|
26.9
|
|
Loss on extinguishment
of debt
|
|
—
|
|
31.9
|
|
—
|
|
31.9
|
|
Income tax expense
(benefit)
|
|
7.2
|
|
(4.7)
|
|
17.2
|
|
2.6
|
|
Transaction
costs(1)
|
|
1.0
|
|
—
|
|
1.0
|
|
—
|
|
Adjusted
EBITDA
|
|
$
71.3
|
|
$
68.0
|
|
$
155.1
|
|
$
138.6
|
|
Subtract: Adjusted
EBITDA attributable to noncontrolling
interests(2)
|
|
2.0
|
|
2.3
|
|
4.1
|
|
4.9
|
|
Adjusted EBITDA
attributable to SunCoke Energy, Inc.
|
|
$
69.3
|
|
$
65.7
|
|
$
151.0
|
|
$
133.7
|
|
|
(1)
|
Costs incurred as part
of the granulated pig iron project with U.S. Steel.
|
|
(2)
|
Reflects noncontrolling
interest in Indiana Harbor.
|
|
|
SunCoke Energy,
Inc.
|
|
Reconciliation of
Non-GAAP Information
|
|
Estimated 2022 Net
Income
|
|
to Estimated
Consolidated Adjusted EBITDA
|
|
|
|
2022
|
|
|
Low
|
|
High
|
|
|
(Dollars in
millions)
|
|
Net
income
|
|
$
67
|
|
$
83
|
|
Add:
|
|
|
|
|
|
Depreciation and
amortization expense
|
|
141
|
|
137
|
|
Interest expense,
net
|
|
33
|
|
31
|
|
Income tax
expense
|
|
26
|
|
32
|
|
Transaction
costs(1)
|
|
3
|
|
2
|
|
Adjusted
EBITDA
|
|
$
270
|
|
$
285
|
|
Subtract: Adjusted
EBITDA attributable to noncontrolling
interest(1)
|
|
9
|
|
9
|
|
Adjusted EBITDA
attributable to SunCoke Energy, Inc.
|
|
$
261
|
|
$
276
|
|
|
(1)
|
Costs incurred as part
of the granulated pig iron project with U.S. Steel.
|
|
(2)
|
Reflects noncontrolling
interest in Indiana Harbor.
|
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SOURCE SunCoke Energy, Inc.
