By In the fourth quarter of 2023, Alpha Metallurgical Resources reported a remarkable income of $176 million, equivalent to $12.88 per diluted share. This exceeded the range of analysts’ estimates, which fell between $8.78 to $9.37 per share, although it was slightly below the $13.37 per diluted share reported in the fourth quarter of 2022.
Coal Revenue Performance
The company’s coal revenues totaled $957.1 million on 4.6 million short tons sold during the quarter. This marked a substantial increase compared to the $821.1 million generated from 3.9 million tons sold in the year-ago quarter.
Met Segment Sales
Alpha’s met segment reported 4.5 million tons of sales in the quarter, achieving an average realization of $183.76 per ton with an average cost of $119 per ton. This surpassed the 4.1 million tons of sales in the previous quarter, which had an average realization of $154.73 per ton and a cost of $109.95 per ton for coal sales. The company cited higher sales related costs and increased costs of purchased coal during the quarter.
Financial Position and Future Goals
As of the end of 2023, Alpha reported total liquidity amounting to $287.3 million, which includes $268.2 million in cash and cash equivalents, as well as $94.1 million of unused availability under the ABL.
The company reiterated its guidance targets for 2024, projecting total shipments between 16.4 million to 17.8 million tons, with 40% of the met segment already committed at an average price of $154.68 per ton. Additionally, met segment costs are expected to range from $110 to $116 per ton in 2024.
Board Changes
In a strategic move, Alpha Metallurgical Resources announced the departure of three board members, leading to a reduction in the size of its board from nine members to seven.
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