Segment Information

6 Months Ended

Jun. 30, 2023

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company reports its results of operations primarily through the following reportable segments: Seaborne Thermal, Seaborne Metallurgical, Powder River Basin, Other U.S. Thermal and Corporate and Other. The Company’s chief operating decision maker, defined as its Chief Executive Officer, uses Adjusted EBITDA as the primary metric to measure the segments’ operating performance and allocate resources.

Adjusted EBITDA is a non-GAAP financial measure defined as income from continuing operations before deducting net interest expense, income taxes, asset retirement obligation expenses and depreciation, depletion and amortization. Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the segments’ operating performance, as displayed in the reconciliation below. Management believes this non-GAAP performance measure is also used by investors to measure the Company’s operating performance. Adjusted EBITDA is not intended to serve as an alternative to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies.

Reportable segment results were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
	(Dollars in millions)
Revenue:
Seaborne Thermal	$	399.5	$	354.9	$	746.0	$	606.1
Seaborne Metallurgical	372.5		533.8		660.9		855.1
Powder River Basin	259.7		229.7		565.0		480.9
Other U.S. Thermal	199.9		224.9		449.3		428.0
Corporate and Other	37.2		(21.4)		211.6		(356.8)
Total	$	1,268.8	$	1,321.9	$	2,632.8	$	2,013.3
Adjusted EBITDA:
Seaborne Thermal	$	197.5	$	176.8	$	361.5	$	267.3
Seaborne Metallurgical	102.5		299.7		193.3		480.7
Powder River Basin	26.2		(2.0)		62.0		5.6
Other U.S. Thermal	51.9		61.9		116.1		111.9
Corporate and Other	(19.9)		41.4		15.9		39.8
Total	$	358.2	$	577.8	$	748.8	$	905.3

A reconciliation of consolidated income from continuing operations, net of income taxes to Adjusted EBITDA follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
	(Dollars in millions)
Income from continuing operations, net of income taxes	$	204.1	$	411.3	$	488.2	$	291.5
Depreciation, depletion and amortization	80.6		73.8		156.9		146.7
Asset retirement obligation expenses	15.5		12.7		30.9		27.7
Restructuring charges	2.0		0.2		2.1		1.8
Asset impairment	—		—		2.0		—
Provision for NARM and Shoal Creek loss	33.7		—		33.7		—
Changes in amortization of basis difference related to equity affiliates	(0.4)		(0.6)		(0.7)		(1.2)
Interest expense	13.3		37.6		31.7		77.0
Net loss on early debt extinguishment	2.0		2.3		8.8		25.8
Interest income	(23.1)		(0.9)		(36.2)		(1.4)
Unrealized (gains) losses on derivative contracts related to forecasted sales	(40.3)		24.5		(159.0)		325.5
Unrealized (gains) losses on foreign currency option contracts	(2.8)		6.3		(0.6)		3.0
Take-or-pay contract-based intangible recognition	(0.6)		(0.7)		(1.2)		(1.4)
Income tax provision	74.2		11.3		192.2		10.3
Adjusted EBITDA	$	358.2	$	577.8	$	748.8	$	905.3