Peabody Energy — Jul 31, 2025 release

thermal demand led the PRB segment to better-than-expected performance, driving substantial margin improvements. • Both Seaborne Metallurgical and Seaborne Thermal segments continued to “control the controllables” with second quarter costs below company targets. • Peabody estimates benefits of $15 to $20 million in the second half of 2025 related to federal royalty reduction provisions from the “One Big Beautiful Bill Act” signed into law in July, which is also expected to strengthen the competitiveness of PRB coal. • Peabody is raising full-year 2025 guidance for Seaborne Thermal and PRB volumes and lowering cost-per-ton targets for Seaborne Thermal, Seaborne Met and PRB segments. • The company declared a $0.075 per share dividend on common stock on July 31, 2025. 1 Adjusted EBITDA is a non-GAAP financial measure. Adjusted EBITDA margin is equal to segment Adjusted EBITDA (excluding insurance recoveries) divided by segment revenue. Revenue per Ton and Adjusted EBITDA Margin per Ton are equal to revenue by segment and Adjusted EBITDA by segment (excluding insurance recoveries), respectively, divided by segment tons sold. Costs per Ton is equal to Revenue per Ton less Adjusted EBITDA Margin per Ton. Management believes Costs per Ton and Adjusted EBITDA Margin per Ton best reflect controllable costs and operating results at the reporting segment level. We consider all measures reported on a per ton basis, as well as Adjusted EBITDA margin, to be operating/statistical measures. Please refer