CEO Stetson Announces Planned Transition to Executive Board
Chairman at Year End; President and CFO Eidson to Assume CEO
Role
- Provides details on succession roadmap for Stetson's end of
year planned retirement
- Reports second quarter net income from continuing operations
of $575.4 million
- Posts record Adjusted EBITDA of $694.5 million for the second quarter
2022
- Eliminates remaining term-loan balance in June, effectively
freeing the company of long-term debt
- Reports $268 million in
buybacks through share repurchase program
- Increases quarterly dividend amount to 39.2 cents per share
- Adjusts full-year guidance upward for byproduct thermal
shipments from the Met segment and SG&A
BRISTOL,
Tenn., Aug. 8, 2022 /PRNewswire/ -- Alpha
Metallurgical Resources, Inc. (NYSE: AMR), a leading U.S. supplier
of metallurgical products for the steel industry, today reported
results for the second quarter ending June
30, 2022.
|
(millions, except per
share)
|
|
Three months
ended
|
|
June 30,
2022
|
Mar. 31,
2022
|
June 30,
2021
|
|
Net income
(loss)(2)
|
$575.4
|
$401.0
|
($18.6)
|
|
Net income
(loss)(2) per diluted share
|
$30.03
|
$20.52
|
($1.01)
|
|
Adjusted
EBITDA(1)
|
$694.5
|
$503.8
|
$39.9
|
|
Operating cash
flow(3)
|
$465.9
|
$336.1
|
($6.3)
|
|
Capital
expenditures
|
($41.9)
|
($28.1)
|
($17.6)
|
|
Tons of coal
sold(2)
|
4.3
|
4.0
|
4.0
|
__________________________________
|
1.
|
These are non-GAAP
financial measures. A reconciliation of Net Income to Adjusted
EBITDA is included in tables accompanying the financial
schedules.
|
|
2.
|
From continuing
operations.
|
|
3.
|
Includes discontinued
operations.
|
"After meeting our stated goal of paying off the long-term debt,
the Alpha team has posted yet another record quarter, with Adjusted
EBITDA of nearly $700 million," said
David Stetson, Alpha's chair and
chief executive officer. "Eliminating the debt was a key goal of
mine because I believed it would create a more stable company with
the flexibility to weather the inevitable market volatility that
this industry experiences. The fact that we were able to pay off
the debt in such a short period of time is a testament not only to
the strength of the recent coal markets but also to the steadfast
resolve and discipline of our team."
Stetson continued: "With these recent accomplishments, Alpha has
entered a new and exciting chapter, and I believe the end of this
calendar year is the right time to hand over the reins of
day-to-day leadership of the company to Andy Eidson. Like most public companies, Alpha's
board of directors and executive management routinely engage in
succession planning to prepare for and effectively handle
leadership transitions. Andy and I have therefore worked together
closely for many years. Now, as I prepare for retirement, we will
focus on a seamless transition. He is exceedingly well prepared to
take on the CEO role, and his vision for the company is an
extension of what we have demonstrated the last few years -
financial discipline, excellence and reliability in all aspects of
our work, and a firm commitment to creating and maintaining
shareholder value. It has been my great honor to lead Alpha, and I
look forward to continuing my involvement as executive chairman of
the board of directors."
Financial Performance
For the second quarter 2022, Alpha reported net income from
continuing operations of $575.4 million, or $30.03 per diluted share. The company had net
income from continuing operations of $401.0
million or $20.52 per diluted
share for the first quarter 2022.
Total Adjusted EBITDA for the second quarter was a record
$694.5 million, compared with
$503.8 million in the first
quarter 2022.
|
Coal
Revenues
|
|
(millions)
|
|
Three months
ended
|
|
June 30,
2022
|
Mar. 31,
2022
|
|
Met
Segment
|
$
|
1,318.7
|
|
$
|
1,054.3
|
|
|
All
Other
|
$
|
15.6
|
|
$
|
15.4
|
|
|
|
|
|
Met Segment (excl.
freight & handling)(1)
|
$
|
1,162.1
|
|
$
|
910.3
|
|
|
All Other (excl.
freight & handling)(1)
|
$
|
15.6
|
|
$
|
15.4
|
|
|
|
|
|
Tons Sold
|
(millions)
|
|
Three months
ended
|
|
June 30,
2022
|
Mar. 31,
2022
|
|
Met Segment
|
4.1
|
3.8
|
|
All
Other
|
0.3
|
0.3
|
__________________________________
|
1.
|
Represents Non-GAAP
coal revenues which is defined and reconciled under "Non-GAAP
Financial Measures" and "Results of Operations."
|
|
Coal Sales
Realization(1)
|
|
(per ton)
|
|
Three months
ended
|
|
June 30,
2022
|
Mar. 31,
2022
|
|
Met
Segment
|
$286.95
|
$240.82
|
|
All
Other
|
$61.41
|
$57.39
|
__________________________________
|
1.
|
Represents Non-GAAP
coal sales realization which is defined and reconciled under
"Non-GAAP Financial Measures" and "Results of
Operations."
|
Our net realized pricing for the Met segment was $286.95 per ton in the second quarter 2022, while
net realization in the All Other category was $61.41.
The table below provides a breakdown of our Met segment coal
sold in the second quarter by pricing mechanism.
|
(in millions, except
per ton data)
|
|
Met Segment
Sales
|
Three months ended
June 30, 2022
|
|
Tons
Sold
|
Coal
Revenues
|
Realization/ton(1)
|
% of Met Tons
Sold
|
|
Export - Other
Pricing Mechanisms
|
1.3
|
$417.0
|
$321.03
|
35 %
|
|
Domestic
|
0.8
|
$159.7
|
$189.27
|
22 %
|
|
Export - Australian
Indexed
|
1.6
|
$565.1
|
$350.56
|
43 %
|
|
Total Met Coal
Revenues
|
3.8
|
$1,141.9
|
$304.09
|
100 %
|
|
Thermal Coal
Revenues
|
0.3
|
$20.3
|
$68.75
|
|
|
Total Met Segment
Coal Revenues (excl. freight &
handling)(1)
|
4.1
|
$1,162.2
|
$286.95
|
|
__________________________________
|
1.
|
Represents Non-GAAP
coal sales realization which is defined and reconciled under
"Non-GAAP Financial Measures" and "Results of
Operations."
|
|
Cost of Coal
Sales
|
|
(in millions, except
per ton data)
|
|
Three months
ended
|
|
June 30,
2022
|
Mar. 31,
2022
|
|
Cost of Coal
Sales
|
$625.9
|
$555.3
|
|
Cost of Coal Sales
(excl. freight & handling/idle)(1)
|
$463.7
|
$405.0
|
|
|
|
|
(per ton)
|
|
Met
Segment(1)
|
$111.36
|
$103.61
|
|
All
Other(1)
|
$49.90
|
$49.89
|
__________________________________
|
1.
|
Represents
Non-GAAP cost of coal sales and Non-GAAP cost of coal sales per ton
which is defined and reconciled under "Non-GAAP Financial Measures"
and "Results of Operations."
|
In the second quarter, Alpha's Met segment cost of coal sales
increased to an average of $111.36
per ton as compared to $103.61 per
ton in the prior quarter, primarily driven by increased sales
related costs from royalties and severance taxes. Cost of coal
sales for the All Other category remained flat at $49.90 per ton in the second quarter 2022 against
an average cost of $49.89 per ton in
the first quarter 2022.
Liquidity and Capital Resources
On June 3, 2022, Alpha made a
voluntary prepayment of $99.4 million
on its term loan, which eliminated all remaining principal and paid
the loan in full.
As previously announced, in connection with Alpha's improved
financial position, the company received a reduction of
$40.1 million in collateral
requirements related to its self-insured workers compensation at
certain locations in West
Virginia. Additionally, as part of routine surety program
review and negotiation, the company received a $16.5 million reduction in surety collateral
requirements, while securing multi-year visibility on surety
program terms and conditions.
"Thanks to the strength of the metallurgical market in the first
half of the year, we fully eliminated our term loan balance,
further enhancing our balance sheet," said Andy Eidson, Alpha's president and chief
financial officer. "As a result of this good work, we have also
received a reduction in collateral requirements and visibility into
surety terms and conditions for the coming years. Additionally,
Alpha's corporate family rating was recently upgraded due in large
part to our discipline in eliminating the debt. These are all
positive developments for the company and our many
stakeholders."
Cash provided by operating activities in the second quarter
significantly increased to $465.9
million as compared to $336.1
million in the first quarter 2022. Cash provided by
operating activities includes discontinued operations. Capital
expenditures for the second quarter 2022 were $41.9 million compared to $28.1 million for the first quarter of
2022.
As of June 30, 2022, Alpha had
$161.7 million in unrestricted cash
and $130.9 million in restricted
cash, deposits and investments. Total long-term debt, including the
current portion of long-term debt as of June
30, 2022, was $4.7 million. At
the end of the second quarter, the company had total liquidity of
$252.8 million, including cash and
cash equivalents of $161.7 million and $91.1 million of unused availability under
the ABL. The future available capacity under the ABL is subject to
inventory and accounts receivable collateral requirements and the
maintenance of certain financial ratios. As of June 30, 2022, the company had no borrowings and
$63.9 million in letters of credit
outstanding under the ABL.
Dividend Program
On August 4, 2022, Alpha's board
declared a quarterly cash dividend payment of $0.392 per share, increased from the prior level
of $0.375 per share, which will
become payable on October 3, 2022 for
holders of record as of September 15,
2022.
Any decision to pay future cash dividends will be made by the
board and depend on Alpha's future earnings and financial condition
and other relevant factors.
Executive Leadership Succession
Alpha announced today that its chair and chief executive
officer, David Stetson, will retire
as chief executive officer effective December 31, 2022. Alpha's board of directors has
unanimously appointed Mr. Stetson as executive chairman of the
board, effective at year end. The board has unanimously appointed
president and chief financial officer Andy
Eidson to succeed Mr. Stetson as chief executive officer and
as a member of the board of directors, effective January 1, 2023 following Mr. Stetson's
retirement as CEO at year end.
The board of directors also unanimously approved the following
additional leadership changes: Effective August 9, 2022, Alpha's senior vice president and
controller, Todd Munsey, will be
promoted to executive vice president and chief financial officer.
Mr. Eidson's service as chief financial officer will end at the
time of Mr. Munsey's appointment, allowing him to focus as
president on his transition to the role of chief executive officer.
Effective January 1, 2023, current
executive vice president and chief operating officer Jason Whitehead will become Alpha's president
and chief operating officer.
Lead independent director, Michael
Quillen, offered the following statement on Stetson's
retirement and Eidson's appointment: "On behalf of the board, we
want to thank David Stetson for the
exceptional job he has done in leading Alpha. He has guided the
executive team in overcoming many hurdles to build the outstanding
company that is today announcing yet another record quarter. Having
accomplished the goals he set forth when he came on board, David
understandably wants to begin transitioning into retirement, and we
wish him well in this new phase of life. We are grateful for the
opportunity to retain his expertise and vision as executive
chairman of the board. Additionally, the board is excited about
Andy Eidson's appointment as Alpha's
next CEO. He is not only exceptionally capable of building on the
firm foundation that David has created, Andy is also bright,
well-qualified, and brings a valuable perspective that can help
propel Alpha into its next chapter as a more resilient
company."
Andy Eidson commented on today's
announcement: "I cannot thank David enough for all he has done for
Alpha. I can attest to the lasting impact he has made, not only on
this company, but also on me, through his leadership and vision. It
has been a great honor to be a part of his executive team, and I
look forward to continuing the positive momentum he created. I am
humbled by the opportunity to serve as Alpha's next chief
executive, and, together with the exceptional people in this
organization, I will strive toward continuous improvement, safe
production each and every day, and further solidifying Alpha's role
as the industry leader. I thank the board for the confidence they
have shown by offering me this opportunity and I look forward to
the path ahead."
Quillen continued: "The board has great confidence in
Jason Whitehead as he expands his
role to include serving as the company's president, and in
Todd Munsey as he takes over the
reins as chief financial officer. Both individuals are highly
qualified and will continue to serve Alpha well in their new roles.
All in all, we believe Alpha continues to be positioned for
long-term success with an outstanding, experienced, and
industry-leading management team."
Share Repurchase Program
As previously announced, Alpha's board of directors authorized a
share repurchase program allowing for the expenditure of up to
$600 million for the repurchase of
the company's common stock. As of August
5, the company has acquired 1,892,954 shares of common stock
at a cost of $268.0 million.
The timing and amount of share repurchases will continue to be
determined by the company's management based on its evaluation of
market conditions, the trading price of the stock, applicable legal
requirements, compliance with the provisions of the company's debt
agreements, and other factors.
2022 Full-Year Guidance Adjustments
"As a result of the European energy crisis caused by the Russian
war, the thermal coal markets have shown significant volatility and
increasing demand in recent months," said Jason Whitehead, executive vice president and
chief operating officer. "We fulfilled some customer requests for
incremental thermal tonnage in the second quarter, which has pushed
our expected total thermal volumes over the established guidance
ranges for the year. Therefore, we are adjusting our shipment
guidance to accommodate for these unique circumstances.
Additionally, as a result of increased incentive compensation due
to performance against budgeted metrics, we are increasing our
guidance for selling, general and administrative expenses for the
year."
Alpha is increasing SG&A guidance to a range of $55 million and $59
million, up from the prior range of $50 million to $54
million.
The company is increasing its shipment guidance for thermal
byproduct tonnage within the Met segment to a range of 1.0 million
to 1.4 million tons, up from the prior guidance range of 0.8
million tons to 1.2 million tons. This adjustment also slightly
increases the total shipments guidance to a range of 15.6 million
tons to 17.2 million tons, up from the prior range of 15.4 million
to 17.0 million tons.
As of July 22, 2022, Alpha has
committed and priced approximately 69% of its metallurgical coal
within the Met segment at an average price of $260.69 per ton and 100% of thermal coal in the
Met segment at an average expected price of $89.91 per ton. In the All Other category the
company is 100% committed and priced at an average price of
$83.38 per ton.
|
2022
Guidance
|
|
in millions of
tons
|
Low
|
High
|
|
Metallurgical
|
14.0
|
15.0
|
|
Thermal
|
1.0
|
1.4
|
|
Met
Segment
|
15.0
|
16.4
|
|
All Other
|
0.6
|
0.8
|
|
Total
Shipments
|
15.6
|
17.2
|
|
|
|
|
Committed/Priced1,2,3
|
Committed
|
Average
Price
|
|
Metallurgical -
Domestic
|
|
$189.87
|
|
Metallurgical -
Export
|
|
$303.51
|
|
Metallurgical
Total
|
69 %
|
$260.69
|
|
Thermal
|
100 %
|
$89.91
|
|
Met
Segment
|
73 %
|
$240.42
|
|
All Other
|
100 %
|
$83.38
|
|
|
|
|
Committed/Unpriced1,3
|
Committed
|
|
|
Metallurgical
Total
|
29 %
|
|
|
Thermal
|
— %
|
|
|
Met
Segment
|
27 %
|
|
|
All Other
|
— %
|
|
|
|
|
|
Costs per
ton4
|
Low
|
High
|
|
Met Segment
|
$101.00
|
$107.00
|
|
All Other
|
$58.00
|
$62.00
|
|
|
|
|
In millions
(except taxes)
|
Low
|
High
|
|
SG&A5
|
$55
|
$59
|
|
Idle Operations
Expense
|
$30
|
$40
|
|
Cash Interest
Expense
|
$18
|
$22
|
|
DD&A
|
$90
|
$110
|
|
Capital
Expenditures
|
$160
|
$190
|
|
Tax
Rate6
|
5 %
|
15 %
|
|
Notes:
|
|
|
1.
|
Based on committed and
priced coal shipments as of July 22, 2022. Committed percentage
based on the midpoint of shipment guidance range.
|
|
2.
|
Actual average per-ton
realizations on committed and priced tons recognized in future
periods may vary based on actual freight expense in future periods
relative to assumed freight expense embedded in projected average
per-ton realizations.
|
|
3.
|
Includes estimates of
future coal shipments based upon contract terms and anticipated
delivery schedules. Actual coal shipments may vary from these
estimates.
|
|
4.
|
Note: The Company is
unable to present a quantitative reconciliation of its
forward-looking non-GAAP cost of coal sales per ton sold financial
measures to the most directly comparable GAAP measures without
unreasonable efforts due to the inherent difficulty in forecasting
and quantifying with reasonable accuracy significant items required
for the reconciliation. The most directly comparable GAAP measure,
GAAP cost of sales, is not accessible without unreasonable efforts
on a forward-looking basis. The reconciling items include freight
and handling costs, which are a component of GAAP cost of sales.
Management is unable to predict without unreasonable efforts
freight and handling costs due to uncertainty as to the end market
and FOB point for uncommitted sales volumes and the final shipping
point for export shipments. These amounts have historically varied
and may continue to vary significantly from quarter to quarter and
material changes to these items could have a significant effect on
our future GAAP results.
|
|
5.
|
Excludes expenses
related to non-cash stock compensation and non-recurring
expenses.
|
|
6.
|
Rate assumes no further
ownership change limitations on the usage of net operating
losses.
|
Conference Call
The company plans to hold a conference call regarding its second
quarter 2022 results on August 8,
2022, at 10:00 a.m. Eastern
time. The conference call will be available live on the
investor section of the company's website at
https://investors.alphametresources.com/investors. Analysts who
would like to participate in the conference call should dial
877-407-0832 (domestic toll-free) or 201-689-8433 (international)
approximately 15 minutes prior to start time.
About Alpha Metallurgical Resources
Alpha Metallurgical Resources (NYSE: AMR) is a Tennessee-based mining company with operations
across Virginia and West Virginia. With customers across the
globe, high-quality reserves and significant port capacity, Alpha
reliably supplies metallurgical products to the steel industry. For
more information, visit www.AlphaMetResources.com.
Forward-Looking Statements
This news release includes forward-looking
statements. These forward-looking statements are based on
Alpha's expectations and beliefs concerning future events and
involve risks and uncertainties that may cause actual results to
differ materially from current expectations. These factors are
difficult to predict accurately and may be beyond Alpha's
control. Forward-looking statements in this news release or
elsewhere speak only as of the date made. New uncertainties
and risks arise from time to time, and it is impossible for Alpha
to predict these events or how they may affect Alpha. Except
as required by law, Alpha has no duty to, and does not intend to,
update or revise the forward-looking statements in this news
release or elsewhere after the date this release is issued. In
light of these risks and uncertainties, investors should keep in
mind that results, events or developments discussed in any
forward-looking statement made in this news release may not
occur.
Investor
Contact
InvestorRelations@AlphaMetResources.com
Alex Rotonen, CFA
423.956.6882
Media
Contact
CorporateCommunications@AlphaMetResources.com
Emily O'Quinn
423.573.0369
FINANCIAL TABLES FOLLOW
Non-GAAP Financial Measures
The discussion below contains "non-GAAP financial measures."
These are financial measures which either exclude or include
amounts that are not excluded or included in the most directly
comparable measures calculated and presented in accordance with
generally accepted accounting principles in the United States ("U.S. GAAP" or "GAAP").
Specifically, we make use of the non-GAAP financial measures
"Adjusted EBITDA," "non-GAAP coal revenues," "non-GAAP cost of coal
sales," "non-GAAP coal margin," and "Adjusted cost of produced coal
sold." We use Adjusted EBITDA to measure the operating performance
of our segments and allocate resources to the segments. Adjusted
EBITDA does not purport to be an alternative to net income (loss)
as a measure of operating performance or any other measure of
operating results or liquidity presented in accordance with GAAP.
We use non-GAAP coal revenues to present coal revenues generated,
excluding freight and handling fulfillment revenues. Non-GAAP coal
sales realization per ton for our operations is calculated as
non-GAAP coal revenues divided by tons sold. We use non-GAAP cost
of coal sales to adjust cost of coal sales to remove freight and
handling costs, depreciation, depletion and amortization -
production (excluding the depreciation, depletion and amortization
related to selling, general and administrative functions),
accretion on asset retirement obligations, amortization of acquired
intangibles, net, and idled and closed mine costs. Non-GAAP cost of
coal sales per ton for our operations is calculated as non-GAAP
cost of coal sales divided by tons sold. Non-GAAP coal margin per
ton for our coal operations is calculated as non-GAAP coal sales
realization per ton for our coal operations less non-GAAP cost of
coal sales per ton for our coal operations. We also use Adjusted
cost of produced coal sold to distinguish the cost of captive
produced coal from the effects of purchased coal. The presentation
of these measures should not be considered in isolation, or as a
substitute for analysis of our results as reported under GAAP.
Management uses non-GAAP financial measures to supplement GAAP
results to provide a more complete understanding of the factors and
trends affecting the business than GAAP results alone. The
definition of these non-GAAP measures may be changed periodically
by management to adjust for significant items important to an
understanding of operating trends and to adjust for items that may
not reflect the trend of future results by excluding transactions
that are not indicative of our core operating performance.
Furthermore, analogous measures are used by industry analysts to
evaluate the Company's operating performance. Because not all
companies use identical calculations, the presentations of these
measures may not be comparable to other similarly titled measures
of other companies and can differ significantly from company to
company depending on long-term strategic decisions regarding
capital structure, the tax jurisdictions in which companies
operate, and capital investments.
Included below are reconciliations of non-GAAP financial
measures to GAAP financial measures.
|
ALPHA METALLURGICAL
RESOURCES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS (Unaudited)
(Amounts in
thousands, except share and per share data)
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
Revenues:
|
|
|
|
|
|
|
|
|
Coal
revenues
|
$
1,334,258
|
|
$
393,458
|
|
$
2,403,996
|
|
$
778,910
|
|
Other
revenues
|
2,154
|
|
1,817
|
|
4,380
|
|
2,618
|
|
Total
revenues
|
1,336,412
|
|
395,275
|
|
2,408,376
|
|
781,528
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
625,892
|
|
346,763
|
|
1,181,209
|
|
694,191
|
|
Depreciation,
depletion and amortization
|
27,730
|
|
27,304
|
|
55,765
|
|
55,742
|
|
Accretion on asset
retirement obligations
|
5,947
|
|
6,648
|
|
11,901
|
|
13,296
|
|
Amortization of
acquired intangibles, net
|
5,747
|
|
2,553
|
|
11,495
|
|
6,422
|
|
Asset impairment and
restructuring
|
—
|
|
—
|
|
—
|
|
(561)
|
|
Selling, general and
administrative expenses (exclusive of depreciation, depletion and
amortization shown separately above)
|
18,158
|
|
14,645
|
|
33,244
|
|
29,627
|
|
Total other operating
loss (income):
|
|
|
|
|
|
|
|
|
Mark-to-market
adjustment for acquisition-related obligations
|
4,208
|
|
3,157
|
|
13,569
|
|
6,333
|
|
Other
income
|
(1,516)
|
|
(3,608)
|
|
(2,144)
|
|
(4,833)
|
|
Total costs and
expenses
|
686,166
|
|
397,462
|
|
1,305,039
|
|
800,217
|
|
Income (loss) from
operations
|
650,246
|
|
(2,187)
|
|
1,103,337
|
|
(18,689)
|
|
Other (expense)
income:
|
|
|
|
|
|
|
|
|
Interest
expense
|
(5,218)
|
|
(17,962)
|
|
(18,301)
|
|
(35,952)
|
|
Interest
income
|
164
|
|
104
|
|
348
|
|
268
|
|
Equity loss in
affiliates
|
(2,136)
|
|
(384)
|
|
(3,497)
|
|
(518)
|
|
Miscellaneous income,
net
|
1,385
|
|
1,847
|
|
3,182
|
|
3,613
|
|
Total other expense,
net
|
(5,805)
|
|
(16,395)
|
|
(18,268)
|
|
(32,589)
|
|
Income (loss) from
continuing operations before income taxes
|
644,441
|
|
(18,582)
|
|
1,085,069
|
|
(51,278)
|
|
Income tax
expense
|
(69,012)
|
|
(8)
|
|
(108,636)
|
|
(3)
|
|
Net income (loss) from
continuing operations
|
575,429
|
|
(18,590)
|
|
976,433
|
|
(51,281)
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
|
Loss from discontinued
operations before income taxes
|
(1,652)
|
|
(401)
|
|
(1,798)
|
|
(638)
|
|
Income tax benefit
from discontinued operations
|
380
|
|
—
|
|
413
|
|
—
|
|
Loss from discontinued
operations
|
(1,272)
|
|
(401)
|
|
(1,385)
|
|
(638)
|
|
Net income
(loss)
|
$
574,157
|
|
$
(18,991)
|
|
$
975,048
|
|
$
(51,919)
|
|
|
|
|
|
|
|
|
|
Basic income (loss) per
common share:
|
|
|
|
|
|
|
|
|
Income (loss) from
continuing operations
|
$
31.31
|
|
$
(1.01)
|
|
$
52.85
|
|
$
(2.78)
|
|
Loss from discontinued
operations
|
(0.07)
|
|
(0.02)
|
|
(0.08)
|
|
(0.04)
|
|
Net income
(loss)
|
$
31.24
|
|
$
(1.03)
|
|
$
52.77
|
|
$
(2.82)
|
|
|
|
|
|
|
|
|
|
Diluted income (loss)
per common share:
|
|
|
|
|
|
|
|
|
Income (loss) from
continuing operations
|
$
30.03
|
|
$
(1.01)
|
|
$
50.46
|
|
$
(2.78)
|
|
Loss from discontinued
operations
|
(0.06)
|
|
(0.02)
|
|
(0.07)
|
|
(0.04)
|
|
Net income
(loss)
|
$
29.97
|
|
$
(1.03)
|
|
$
50.39
|
|
$
(2.82)
|
|
|
|
|
|
|
|
|
|
Weighted average shares
– basic
|
18,380,114
|
|
18,438,699
|
|
18,476,534
|
|
18,416,946
|
|
Weighted average shares
– diluted
|
19,158,848
|
|
18,438,699
|
|
19,349,209
|
|
18,416,946
|
|
ALPHA METALLURGICAL
RESOURCES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED
BALANCE SHEETS (Unaudited)
(Amounts in thousands, except
share and per share data)
|
|
June 30,
2022
|
|
December 31,
2021
|
|
Assets
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
$
161,732
|
|
$
81,211
|
|
Trade accounts
receivable, net of allowance for doubtful accounts of $473 and $393
as of June 30, 2022 and December 31, 2021,
respectively
|
721,830
|
|
489,241
|
|
Inventories,
net
|
167,192
|
|
129,382
|
|
Prepaid expenses and
other current assets
|
57,853
|
|
47,690
|
|
Current assets -
discontinued operations
|
70
|
|
462
|
|
Total current
assets
|
1,108,677
|
|
747,986
|
|
Property, plant, and
equipment, net of accumulated depreciation and amortization of
$478,210 and $443,856 as of June 30, 2022 and
December 31, 2021, respectively
|
392,074
|
|
362,218
|
|
Owned and leased
mineral rights, net of accumulated depletion and amortization of
$66,891 and $52,444 as of June 30, 2022 and December 31,
2021, respectively
|
429,854
|
|
444,302
|
|
Other acquired
intangibles, net of accumulated amortization of $45,716 and $34,221
as of June 30, 2022 and December 31, 2021,
respectively
|
62,702
|
|
74,197
|
|
Long-term restricted
investments
|
94,794
|
|
28,443
|
|
Long-term restricted
cash
|
24,920
|
|
89,426
|
|
Other non-current
assets
|
94,617
|
|
102,614
|
|
Non-current assets -
discontinued operations
|
8,508
|
|
8,526
|
|
Total assets
|
$
2,216,146
|
|
$
1,857,712
|
|
Liabilities and
Stockholders' Equity
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Current portion of
long-term debt
|
$
1,927
|
|
$
2,989
|
|
Trade accounts
payable
|
100,957
|
|
90,090
|
|
Acquisition-related
obligations – current
|
36,211
|
|
22,405
|
|
Accrued expenses and
other current liabilities
|
200,268
|
|
174,607
|
|
Current liabilities -
discontinued operations
|
6,104
|
|
5,838
|
|
Total current
liabilities
|
345,467
|
|
295,929
|
|
Long-term
debt
|
2,762
|
|
445,562
|
|
Acquisition-related
obligations - long-term
|
—
|
|
19,000
|
|
Workers' compensation
and black lung obligations
|
202,402
|
|
208,193
|
|
Pension
obligations
|
155,467
|
|
159,930
|
|
Asset retirement
obligations
|
133,946
|
|
132,013
|
|
Deferred income
taxes
|
12,934
|
|
317
|
|
Other non-current
liabilities
|
20,274
|
|
26,176
|
|
Non-current liabilities
- discontinued operations
|
23,321
|
|
23,683
|
|
Total
liabilities
|
896,573
|
|
1,310,803
|
|
Commitments and
Contingencies
|
|
|
|
|
Stockholders'
Equity
|
|
|
|
|
Preferred stock - par
value $0.01, 5.0 million shares authorized, none issued
|
—
|
|
—
|
|
Common stock - par
value $0.01, 50.0 million shares authorized, 21.6 million issued
and 17.7 million outstanding at June 30, 2022 and 20.8 million
issued and 18.4 million outstanding at December 31,
2021
|
216
|
|
208
|
|
Additional paid-in
capital
|
807,603
|
|
784,743
|
|
Accumulated other
comprehensive loss
|
(61,704)
|
|
(58,503)
|
|
Treasury stock, at
cost: 3.9 million shares at June 30, 2022 and 2.4 million
shares at December 31, 2021
|
(322,874)
|
|
(107,800)
|
|
Retained earnings
(accumulated deficit)
|
896,332
|
|
(71,739)
|
|
Total stockholders'
equity
|
1,319,573
|
|
546,909
|
|
Total liabilities and
stockholders' equity
|
$
2,216,146
|
|
$
1,857,712
|
|
ALPHA METALLURGICAL
RESOURCES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS (Unaudited)
(Amounts in
thousands)
|
|
Six Months Ended
June 30,
|
|
2022
|
|
2021
|
|
Operating
activities:
|
|
|
|
|
Net income
(loss)
|
$
975,048
|
|
$
(51,919)
|
|
Adjustments to
reconcile net income (loss) to net cash provided by (used in)
operating activities:
|
|
|
|
|
Depreciation,
depletion and amortization
|
55,765
|
|
55,742
|
|
Amortization of
acquired intangibles, net
|
11,495
|
|
6,422
|
|
Amortization of debt
issuance costs and accretion of debt discount
|
7,231
|
|
6,480
|
|
Mark-to-market
adjustment for acquisition-related obligations
|
13,569
|
|
6,333
|
|
Gain on disposal of
assets
|
(2,172)
|
|
(4,878)
|
|
Accretion on asset
retirement obligations
|
11,901
|
|
13,296
|
|
Employee benefit
plans, net
|
232
|
|
5,744
|
|
Deferred income
taxes
|
12,617
|
|
3
|
|
Stock-based
compensation
|
2,583
|
|
3,162
|
|
Equity loss in
affiliates
|
3,497
|
|
518
|
|
Other, net
|
567
|
|
(58)
|
|
Changes in operating
assets and liabilities
|
(290,277)
|
|
(66,296)
|
|
Net cash provided
by (used in) operating activities
|
802,056
|
|
(25,451)
|
|
Investing
activities:
|
|
|
|
|
Capital
expenditures
|
(70,012)
|
|
(38,039)
|
|
Proceeds on disposal
of assets
|
2,511
|
|
6,801
|
|
Purchases of
investment securities
|
(127,831)
|
|
(15,470)
|
|
Maturity of investment
securities
|
60,945
|
|
7,766
|
|
Capital contributions
to equity affiliates
|
(8,525)
|
|
(1,895)
|
|
Other, net
|
(4,237)
|
|
35
|
|
Net cash used in
investing activities
|
(147,149)
|
|
(40,802)
|
|
Financing
activities:
|
|
|
|
|
Principal repayments
of long-term debt
|
(450,362)
|
|
(7,521)
|
|
Principal repayments
of financing lease obligations
|
(1,098)
|
|
(1,002)
|
|
Debt issuance
costs
|
—
|
|
(226)
|
|
Common stock
repurchases and related expenses
|
(194,950)
|
|
(680)
|
|
Proceeds from exercise
of stock options
|
903
|
|
—
|
|
Proceeds from exercise
of warrants
|
4,486
|
|
—
|
|
Net cash used in
financing activities
|
(641,021)
|
|
(9,429)
|
|
Net increase
(decrease) in cash and cash equivalents and restricted
cash
|
13,886
|
|
(75,682)
|
|
Cash and cash
equivalents and restricted cash at beginning of period
|
182,614
|
|
244,571
|
|
Cash and cash
equivalents and restricted cash at end of period
|
$
196,500
|
|
$
168,889
|
The following table provides a reconciliation of cash and cash
equivalents and restricted cash reported within the Condensed
Consolidated Balance Sheets that sum to the total of the same such
amounts shown in the Condensed Consolidated Statements of Cash
Flows.
|
As of June
30,
|
|
2022
|
|
2021
|
|
Cash and cash
equivalents
|
$
161,732
|
|
$
72,337
|
|
Short-term restricted
cash (included in Prepaid expenses and other current
assets)
|
9,848
|
|
3,794
|
|
Long-term restricted
cash
|
24,920
|
|
92,758
|
|
Total cash and cash
equivalents and restricted cash shown in the Condensed Consolidated
Statements of Cash Flows
|
$
196,500
|
|
$
168,889
|
|
ALPHA
METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
ADJUSTED
EBITDA RECONCILIATION
(Amounts in
thousands)
|
|
Three Months
Ended
|
|
Six Months Ended
June 30,
|
|
March 31,
2022
|
|
June 30,
2022
|
|
June 30,
2021
|
|
2022
|
|
2021
|
|
Net income (loss) from
continuing operations
|
$
401,004
|
|
$
575,429
|
|
$
(18,590)
|
|
$
976,433
|
|
$
(51,281)
|
|
Interest
expense
|
13,083
|
|
5,218
|
|
17,962
|
|
18,301
|
|
35,952
|
|
Interest
income
|
(184)
|
|
(164)
|
|
(104)
|
|
(348)
|
|
(268)
|
|
Income tax
expense
|
39,624
|
|
69,012
|
|
8
|
|
108,636
|
|
3
|
|
Depreciation, depletion
and amortization
|
28,035
|
|
27,730
|
|
27,304
|
|
55,765
|
|
55,742
|
|
Non-cash stock
compensation expense
|
1,182
|
|
1,401
|
|
979
|
|
2,583
|
|
3,162
|
|
Mark-to-market
adjustment - acquisition-related obligations
|
9,361
|
|
4,208
|
|
3,157
|
|
13,569
|
|
6,333
|
|
Accretion on asset
retirement obligations
|
5,954
|
|
5,947
|
|
6,648
|
|
11,901
|
|
13,296
|
|
Asset impairment and
restructuring
|
—
|
|
—
|
|
—
|
|
—
|
|
(561)
|
|
Amortization of
acquired intangibles, net
|
5,748
|
|
5,747
|
|
2,553
|
|
11,495
|
|
6,422
|
|
Adjusted
EBITDA
|
$
503,807
|
|
$
694,528
|
|
$
39,917
|
|
$
1,198,335
|
|
$
68,800
|
|
ALPHA
METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
RESULTS OF
OPERATIONS
|
|
Three Months Ended
March 31, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 1,054,340
|
|
$
15,398
|
|
$ 1,069,738
|
|
Less: Freight and
handling fulfillment revenues
|
(144,025)
|
|
(18)
|
|
(144,043)
|
|
Non-GAAP Coal
revenues
|
$
910,315
|
|
$
15,380
|
|
$
925,695
|
|
Tons sold
|
3,780
|
|
268
|
|
4,048
|
|
Non-GAAP Coal sales
realization per ton
|
$
240.82
|
|
$
57.39
|
|
$
228.68
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
$
539,282
|
|
$
16,035
|
|
$
555,317
|
|
Depreciation, depletion
and amortization - production (1)
|
27,060
|
|
797
|
|
27,857
|
|
Accretion on asset
retirement obligations
|
3,398
|
|
2,556
|
|
5,954
|
|
Amortization of
acquired intangibles, net
|
4,796
|
|
952
|
|
5,748
|
|
Total Cost of coal
sales
|
$
574,536
|
|
$
20,340
|
|
$
594,876
|
|
Less: Freight and
handling costs
|
(144,025)
|
|
(18)
|
|
(144,043)
|
|
Less:
Depreciation, depletion and amortization - production
(1)
|
(27,060)
|
|
(797)
|
|
(27,857)
|
|
Less: Accretion on
asset retirement obligations
|
(3,398)
|
|
(2,556)
|
|
(5,954)
|
|
Less: Amortization of
acquired intangibles, net
|
(4,796)
|
|
(952)
|
|
(5,748)
|
|
Less: Idled and closed
mine costs
|
(3,604)
|
|
(2,646)
|
|
(6,250)
|
|
Non-GAAP Cost of coal
sales
|
$
391,653
|
|
$
13,371
|
|
$
405,024
|
|
Tons sold
|
3,780
|
|
268
|
|
4,048
|
|
Non-GAAP Cost of coal
sales per ton
|
$
103.61
|
|
$
49.89
|
|
$
100.06
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Three Months Ended
March 31, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 1,054,340
|
|
$
15,398
|
|
$ 1,069,738
|
|
Less: Total Cost of
coal sales (per table above)
|
(574,536)
|
|
(20,340)
|
|
(594,876)
|
|
GAAP Coal
margin
|
$
479,804
|
|
$
(4,942)
|
|
$
474,862
|
|
Tons sold
|
3,780
|
|
268
|
|
4,048
|
|
GAAP Coal margin per
ton
|
$
126.93
|
|
$
(18.44)
|
|
$
117.31
|
|
|
|
|
|
|
|
GAAP Coal
margin
|
$
479,804
|
|
$
(4,942)
|
|
$
474,862
|
|
Add: Depreciation,
depletion and amortization - production (1)
|
27,060
|
|
797
|
|
27,857
|
|
Add: Accretion on asset
retirement obligations
|
3,398
|
|
2,556
|
|
5,954
|
|
Add: Amortization of
acquired intangibles, net
|
4,796
|
|
952
|
|
5,748
|
|
Add: Idled and closed
mine costs
|
3,604
|
|
2,646
|
|
6,250
|
|
Non-GAAP Coal
margin
|
$
518,662
|
|
$
2,009
|
|
$
520,671
|
|
Tons sold
|
3,780
|
|
268
|
|
4,048
|
|
Non-GAAP Coal margin
per ton
|
$
137.21
|
|
$
7.50
|
|
$
128.62
|
|
(1)
|
Depreciation,
depletion and amortization - production excludes the depreciation,
depletion and amortization related to selling, general and
administrative functions.
|
|
Three Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 1,318,661
|
|
$
15,597
|
|
$ 1,334,258
|
|
Less: Freight and
handling fulfillment revenues
|
(156,522)
|
|
—
|
|
(156,522)
|
|
Non-GAAP Coal
revenues
|
$ 1,162,139
|
|
$
15,597
|
|
$ 1,177,736
|
|
Tons sold
|
4,050
|
|
254
|
|
4,304
|
|
Non-GAAP Coal sales
realization per ton
|
$
286.95
|
|
$
61.41
|
|
$
273.64
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
$
610,224
|
|
$
15,668
|
|
$
625,892
|
|
Depreciation, depletion
and amortization - production (1)
|
27,202
|
|
250
|
|
27,452
|
|
Accretion on asset
retirement obligations
|
3,390
|
|
2,557
|
|
5,947
|
|
Amortization of
acquired intangibles, net
|
4,795
|
|
952
|
|
5,747
|
|
Total Cost of coal
sales
|
$
645,611
|
|
$
19,427
|
|
$
665,038
|
|
Less: Freight and
handling costs
|
(156,522)
|
|
—
|
|
(156,522)
|
|
Less:
Depreciation, depletion and amortization - production
(1)
|
(27,202)
|
|
(250)
|
|
(27,452)
|
|
Less: Accretion on
asset retirement obligations
|
(3,390)
|
|
(2,557)
|
|
(5,947)
|
|
Less: Amortization of
acquired intangibles, net
|
(4,795)
|
|
(952)
|
|
(5,747)
|
|
Less: Idled and closed
mine costs
|
(2,708)
|
|
(2,993)
|
|
(5,701)
|
|
Non-GAAP Cost of coal
sales
|
$
450,994
|
|
$
12,675
|
|
$
463,669
|
|
Tons sold
|
4,050
|
|
254
|
|
4,304
|
|
Non-GAAP Cost of coal
sales per ton
|
$
111.36
|
|
$
49.90
|
|
$
107.73
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Three Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 1,318,661
|
|
$
15,597
|
|
$ 1,334,258
|
|
Less: Total Cost of
coal sales (per table above)
|
(645,611)
|
|
(19,427)
|
|
(665,038)
|
|
GAAP Coal
margin
|
$
673,050
|
|
$
(3,830)
|
|
$
669,220
|
|
Tons sold
|
4,050
|
|
254
|
|
4,304
|
|
GAAP Coal margin per
ton
|
$
166.19
|
|
$
(15.08)
|
|
$
155.49
|
|
|
|
|
|
|
|
GAAP Coal
margin
|
$
673,050
|
|
$
(3,830)
|
|
$
669,220
|
|
Add: Depreciation,
depletion and amortization - production (1)
|
27,202
|
|
250
|
|
27,452
|
|
Add: Accretion on asset
retirement obligations
|
3,390
|
|
2,557
|
|
5,947
|
|
Add: Amortization of
acquired intangibles, net
|
4,795
|
|
952
|
|
5,747
|
|
Add: Idled and closed
mine costs
|
2,708
|
|
2,993
|
|
5,701
|
|
Non-GAAP Coal
margin
|
$
711,145
|
|
$
2,922
|
|
$
714,067
|
|
Tons sold
|
4,050
|
|
254
|
|
4,304
|
|
Non-GAAP Coal margin
per ton
|
$
175.59
|
|
$
11.50
|
|
$
165.91
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Three Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$
376,839
|
|
$
16,619
|
|
$
393,458
|
|
Less: Freight and
handling fulfillment revenues
|
(64,329)
|
|
(117)
|
|
(64,446)
|
|
Non-GAAP Coal
revenues
|
$
312,510
|
|
$
16,502
|
|
$
329,012
|
|
Tons sold
|
3,748
|
|
273
|
|
4,021
|
|
Non-GAAP Coal sales
realization per ton
|
$
83.38
|
|
$
60.45
|
|
$
81.82
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
$
331,239
|
|
$
15,524
|
|
$
346,763
|
|
Depreciation, depletion
and amortization - production (1)
|
25,686
|
|
1,438
|
|
27,124
|
|
Accretion on asset
retirement obligations
|
3,377
|
|
3,271
|
|
6,648
|
|
Amortization of
acquired intangibles, net
|
2,635
|
|
(82)
|
|
2,553
|
|
Total Cost of coal
sales
|
$
362,937
|
|
$
20,151
|
|
$
383,088
|
|
Less: Freight and
handling costs
|
(64,329)
|
|
(117)
|
|
(64,446)
|
|
Less:
Depreciation, depletion and amortization - production
(1)
|
(25,686)
|
|
(1,438)
|
|
(27,124)
|
|
Less: Accretion on
asset retirement obligations
|
(3,377)
|
|
(3,271)
|
|
(6,648)
|
|
Less: Amortization of
acquired intangibles, net
|
(2,635)
|
|
82
|
|
(2,553)
|
|
Less: Idled and closed
mine costs
|
(4,790)
|
|
(3,732)
|
|
(8,522)
|
|
Non-GAAP Cost of coal
sales
|
$
262,120
|
|
$
11,675
|
|
$
273,795
|
|
Tons sold
|
3,748
|
|
273
|
|
4,021
|
|
Non-GAAP Cost of coal
sales per ton
|
$
69.94
|
|
$
42.77
|
|
$
68.09
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Three Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$
376,839
|
|
$
16,619
|
|
$
393,458
|
|
Less: Total Cost of
coal sales (per table above)
|
(362,937)
|
|
(20,151)
|
|
(383,088)
|
|
GAAP Coal
margin
|
$
13,902
|
|
$
(3,532)
|
|
$
10,370
|
|
Tons sold
|
3,748
|
|
273
|
|
4,021
|
|
GAAP Coal margin per
ton
|
$
3.71
|
|
$
(12.94)
|
|
$
2.58
|
|
|
|
|
|
|
|
GAAP Coal
margin
|
$
13,902
|
|
$
(3,532)
|
|
$
10,370
|
|
Add: Depreciation,
depletion and amortization - production (1)
|
25,686
|
|
1,438
|
|
27,124
|
|
Add: Accretion on asset
retirement obligations
|
3,377
|
|
3,271
|
|
6,648
|
|
Add: Amortization of
acquired intangibles, net
|
2,635
|
|
(82)
|
|
2,553
|
|
Add: Idled and closed
mine costs
|
4,790
|
|
3,732
|
|
8,522
|
|
Non-GAAP Coal
margin
|
$
50,390
|
|
$
4,827
|
|
$
55,217
|
|
Tons sold
|
3,748
|
|
273
|
|
4,021
|
|
Non-GAAP Coal margin
per ton
|
$
13.44
|
|
$
17.68
|
|
$
13.73
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Six Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 2,373,001
|
|
$
30,995
|
|
$ 2,403,996
|
|
Less: Freight and
handling fulfillment revenues
|
(300,547)
|
|
(18)
|
|
(300,565)
|
|
Non-GAAP Coal
revenues
|
$ 2,072,454
|
|
$
30,977
|
|
$ 2,103,431
|
|
Tons sold
|
7,830
|
|
522
|
|
8,352
|
|
Non-GAAP Coal sales
realization per ton
|
$
264.68
|
|
$
59.34
|
|
$
251.85
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
$ 1,149,506
|
|
$
31,703
|
|
$ 1,181,209
|
|
Depreciation, depletion
and amortization - production (1)
|
54,262
|
|
1,047
|
|
55,309
|
|
Accretion on asset
retirement obligations
|
6,788
|
|
5,113
|
|
11,901
|
|
Amortization of
acquired intangibles, net
|
9,591
|
|
1,904
|
|
11,495
|
|
Total Cost of coal
sales
|
$ 1,220,147
|
|
$
39,767
|
|
$ 1,259,914
|
|
Less: Freight and
handling costs
|
(300,547)
|
|
(18)
|
|
(300,565)
|
|
Less:
Depreciation, depletion and amortization - production
(1)
|
(54,262)
|
|
(1,047)
|
|
(55,309)
|
|
Less: Accretion on
asset retirement obligations
|
(6,788)
|
|
(5,113)
|
|
(11,901)
|
|
Less: Amortization of
acquired intangibles, net
|
(9,591)
|
|
(1,904)
|
|
(11,495)
|
|
Less: Idled and closed
mine costs
|
(6,312)
|
|
(5,639)
|
|
(11,951)
|
|
Non-GAAP Cost of coal
sales
|
$
842,647
|
|
$
26,046
|
|
$
868,693
|
|
Tons sold
|
7,830
|
|
522
|
|
8,352
|
|
Non-GAAP Cost of coal
sales per ton
|
$
107.62
|
|
$
49.90
|
|
$
104.01
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Six Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$ 2,373,001
|
|
$
30,995
|
|
$ 2,403,996
|
|
Less: Total Cost of
coal sales (per table above)
|
(1,220,147)
|
|
(39,767)
|
|
(1,259,914)
|
|
GAAP Coal
margin
|
$ 1,152,854
|
|
$
(8,772)
|
|
$ 1,144,082
|
|
Tons sold
|
7,830
|
|
522
|
|
8,352
|
|
GAAP Coal margin per
ton
|
$
147.24
|
|
$
(16.80)
|
|
$
136.98
|
|
|
|
|
|
|
|
GAAP Coal
margin
|
$ 1,152,854
|
|
$
(8,772)
|
|
$ 1,144,082
|
|
Add: Depreciation,
depletion and amortization - production (1)
|
54,262
|
|
1,047
|
|
55,309
|
|
Add: Accretion on asset
retirement obligations
|
6,788
|
|
5,113
|
|
11,901
|
|
Add: Amortization of
acquired intangibles, net
|
9,591
|
|
1,904
|
|
11,495
|
|
Add: Idled and closed
mine costs
|
6,312
|
|
5,639
|
|
11,951
|
|
Non-GAAP Coal
margin
|
$ 1,229,807
|
|
$
4,931
|
|
$ 1,234,738
|
|
Tons sold
|
7,830
|
|
522
|
|
8,352
|
|
Non-GAAP Coal margin
per ton
|
$
157.06
|
|
$
9.45
|
|
$
147.84
|
|
(1)
|
Depreciation,
depletion and amortization - production excludes the depreciation,
depletion and amortization related to selling, general and
administrative functions.
|
|
Six Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$
736,732
|
|
$
42,178
|
|
$
778,910
|
|
Less: Freight and
handling fulfillment revenues
|
(124,340)
|
|
(486)
|
|
(124,826)
|
|
Non-GAAP Coal
revenues
|
$
612,392
|
|
$
41,692
|
|
$
654,084
|
|
Tons sold
|
7,405
|
|
682
|
|
8,087
|
|
Non-GAAP Coal sales
realization per ton
|
$
82.70
|
|
$
61.13
|
|
$
80.88
|
|
|
|
|
|
|
|
Cost of coal sales
(exclusive of items shown separately below)
|
$
657,134
|
|
$
37,057
|
|
$
694,191
|
|
Depreciation, depletion
and amortization - production (1)
|
52,222
|
|
3,161
|
|
55,383
|
|
Accretion on asset
retirement obligations
|
6,762
|
|
6,534
|
|
13,296
|
|
Amortization of
acquired intangibles, net
|
6,686
|
|
(264)
|
|
6,422
|
|
Total Cost of coal
sales
|
$
722,804
|
|
$
46,488
|
|
$
769,292
|
|
Less: Freight and
handling costs
|
(124,340)
|
|
(486)
|
|
(124,826)
|
|
Less:
Depreciation, depletion and amortization - production
(1)
|
(52,222)
|
|
(3,161)
|
|
(55,383)
|
|
Less: Accretion on
asset retirement obligations
|
(6,762)
|
|
(6,534)
|
|
(13,296)
|
|
Less: Amortization of
acquired intangibles, net
|
(6,686)
|
|
264
|
|
(6,422)
|
|
Less: Idled and closed
mine costs
|
(8,393)
|
|
(7,288)
|
|
(15,681)
|
|
Non-GAAP Cost of coal
sales
|
$
524,401
|
|
$
29,283
|
|
$
553,684
|
|
Tons sold
|
7,405
|
|
682
|
|
8,087
|
|
Non-GAAP Cost of coal
sales per ton
|
$
70.82
|
|
$
42.94
|
|
$
68.47
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Six Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Coal
revenues
|
$
736,732
|
|
$
42,178
|
|
$
778,910
|
|
Less: Total Cost of
coal sales (per table above)
|
(722,804)
|
|
(46,488)
|
|
(769,292)
|
|
GAAP Coal
margin
|
$
13,928
|
|
$
(4,310)
|
|
$
9,618
|
|
Tons sold
|
7,405
|
|
682
|
|
8,087
|
|
GAAP Coal margin per
ton
|
$
1.88
|
|
$
(6.32)
|
|
$
1.19
|
|
|
|
|
|
|
|
GAAP Coal
margin
|
$
13,928
|
|
$
(4,310)
|
|
$
9,618
|
|
Add: Depreciation,
depletion and amortization - production (1)
|
52,222
|
|
3,161
|
|
55,383
|
|
Add: Accretion on asset
retirement obligations
|
6,762
|
|
6,534
|
|
13,296
|
|
Add: Amortization of
acquired intangibles, net
|
6,686
|
|
(264)
|
|
6,422
|
|
Add: Idled and closed
mine costs
|
8,393
|
|
7,288
|
|
15,681
|
|
Non-GAAP Coal
margin
|
$
87,991
|
|
$
12,409
|
|
$
100,400
|
|
Tons sold
|
7,405
|
|
682
|
|
8,087
|
|
Non-GAAP Coal margin
per ton
|
$
11.88
|
|
$
18.20
|
|
$
12.41
|
|
(1)
|
Depreciation, depletion
and amortization - production excludes the depreciation, depletion
and amortization related to selling, general and administrative
functions.
|
|
Three Months Ended
March 31, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Non-GAAP Cost of coal
sales
|
$
391,653
|
|
$
13,371
|
|
$
405,024
|
|
Less: cost of purchased
coal sold
|
(27,842)
|
|
(37)
|
|
(27,879)
|
|
Adjusted cost of
produced coal sold
|
$
363,811
|
|
$
13,334
|
|
$
377,145
|
|
Produced tons
sold
|
3,653
|
|
267
|
|
3,920
|
|
Adjusted cost of
produced coal sold per ton (1)
|
$
99.59
|
|
$
49.94
|
|
$
96.21
|
|
(1)
|
Cost of produced
coal sold per ton for our operations is calculated as non-GAAP cost
of produced coal sold divided by produced tons sold.
|
|
Three Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Non-GAAP Cost of coal
sales
|
$
450,994
|
|
$
12,675
|
|
$
463,669
|
|
Less: cost of purchased
coal sold
|
(33,171)
|
|
—
|
|
(33,171)
|
|
Adjusted cost of
produced coal sold
|
$
417,823
|
|
$
12,675
|
|
$
430,498
|
|
Produced tons
sold
|
3,929
|
|
254
|
|
4,183
|
|
Adjusted cost of
produced coal sold per ton (1)
|
$
106.34
|
|
$
49.90
|
|
$
102.92
|
|
(1)
|
Cost of produced coal
sold per ton for our operations is calculated as non-GAAP cost of
produced coal sold divided by produced tons sold.
|
|
Three Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Non-GAAP Cost of coal
sales
|
$
262,120
|
|
$
11,675
|
|
$
273,795
|
|
Less: cost of purchased
coal sold
|
(24,642)
|
|
—
|
|
(24,642)
|
|
Adjusted cost of
produced coal sold
|
$
237,478
|
|
$
11,675
|
|
$
249,153
|
|
Produced tons
sold
|
3,497
|
|
273
|
|
3,770
|
|
Adjusted cost of
produced coal sold per ton (1)
|
$
67.91
|
|
$
42.77
|
|
$
66.09
|
|
(1)
|
Cost of produced coal
sold per ton for our operations is calculated as non-GAAP cost of
produced coal sold divided by produced tons sold.
|
|
Six Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Non-GAAP Cost of coal
sales
|
$
842,647
|
|
$
26,046
|
|
$
868,693
|
|
Less: cost of purchased
coal sold
|
(61,013)
|
|
(37)
|
|
(61,050)
|
|
Adjusted cost of
produced coal sold
|
$
781,634
|
|
$
26,009
|
|
$
807,643
|
|
Produced tons
sold
|
7,582
|
|
521
|
|
8,103
|
|
Adjusted cost of
produced coal sold per ton (1)
|
$
103.09
|
|
$
49.92
|
|
$
99.67
|
|
(1)
|
Cost of produced coal
sold per ton for our operations is calculated as non-GAAP cost of
produced coal sold divided by produced tons sold.
|
|
Six Months Ended
June 30, 2021
|
|
(In thousands,
except for per ton data)
|
Met
|
|
All
Other
|
|
Consolidated
|
|
Non-GAAP Cost of coal
sales
|
$
524,401
|
|
$
29,283
|
|
$
553,684
|
|
Less: cost of purchased
coal sold
|
(42,906)
|
|
—
|
|
(42,906)
|
|
Adjusted cost of
produced coal sold
|
$
481,495
|
|
$
29,283
|
|
$
510,778
|
|
Produced tons
sold
|
6,921
|
|
682
|
|
7,603
|
|
Adjusted cost of
produced coal sold per ton (1)
|
$
69.57
|
|
$
42.94
|
|
$
67.18
|
|
(1)
|
Cost of produced coal
sold per ton for our operations is calculated as non-GAAP cost of
produced coal sold divided by produced tons sold.
|
|
Three Months Ended
June 30, 2022
|
|
(In thousands,
except for per ton data)
|
Tons
Sold
|
|
Coal
Revenues
|
|
Non-GAAP Coal sales
realization per ton
|
|
% of Met Tons
Sold
|
|
Export - other pricing
mechanisms
|
1,299
|
|
$
417,013
|
|
$
|
321.03
|
|
35 %
|
|
Domestic
|
844
|
|
159,747
|
|
$
|
189.27
|
|
22 %
|
|
Export - Australian
indexed
|
1,612
|
|
565,097
|
|
$
|
350.56
|
|
43 %
|
|
Total Met segment - met
coal
|
3,755
|
|
$
1,141,857
|
|
$
|
304.09
|
|
100 %
|
|
Met segment - thermal
coal
|
295
|
|
20,282
|
|
$
|
68.75
|
|
|
|
Total Met segment Coal
revenues
|
4,050
|
|
1,162,139
|
|
$
|
286.95
|
|
|
|
All Other Coal
revenues
|
254
|
|
15,597
|
|
$
|
61.41
|
|
|
|
Non-GAAP Coal
revenues
|
4,304
|
|
$
1,177,736
|
|
$
|
273.64
|
|
|
|
Add: Freight and
handling fulfillment revenues
|
—
|
|
156,522
|
|
|
|
|
|
Coal
revenues
|
4,304
|
|
$
1,334,258
|
|
|
|
|
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SOURCE Alpha Metallurgical Resources, Inc.