SunCoke Energy (SXC) shares tumbled 5.82% in pre-market trading on Wednesday following the release of its first-quarter 2025 financial results. The metallurgical coke producer reported a decline in both net income and Adjusted EBITDA, primarily due to challenges in its Domestic Coke segment.

For Q1 2025, SunCoke's net income attributable to the company fell to $17.3 million, or $0.20 per diluted share, compared to $20.0 million, or $0.23 per share, in the same period last year. Adjusted EBITDA decreased to $59.8 million from $67.9 million in Q1 2024. The company cited lower contract extension economics at its Granite City facility and reduced spot coke sales volumes as key factors impacting the Domestic Coke segment's performance.

Despite the challenging quarter, SunCoke reaffirmed its full-year 2025 guidance, maintaining its Consolidated Adjusted EBITDA forecast of $210 million to $225 million. The company also reported strong performance in its Logistics business, which saw increased transloading volumes at its Convent Marine Terminal. However, this positive development was not enough to offset investor concerns about the core coke business, leading to the significant pre-market stock decline.