Arch Coal’s 4Q earnings plunge on lower demand for electricity, steel

Arch Coal’s 4Q earnings plunge

ST. LOUIS — Arch Coal Inc. says its fourth-quarter earnings plunged as demand for coal remained weak from power plants and steelmakers.

The earnings were below Wall Street expectations, and its shares skidded 9 percent in premarket trading.

Arch says demand for coal is improving in key markets including China and India, driving prices higher. The company fuels about 8 percent of all U.S. electrical generation.

The company, based in St. Louis, said Friday it earned $1.5 million, or a penny per share, during the October-December period. That’s down from $62.3 million, or 44 cents per share, a year earlier. Analysts expected 17 cents a share.

It says revenue slipped to $725.5 million. Analysts expected higher revenue of $728.4 million.