Alliance Resources | 8-K: FY2025 Q3 Revenue Beats Estimate at USD 571.37 M

Revenue: As of FY2025 Q3, the actual value is USD 571.37 M, beating the estimate of USD 567.03 M.

EPS: As of FY2025 Q3, the actual value is USD 0.73, beating the estimate of USD 0.67.

EBIT: As of FY2025 Q3, the actual value is USD 115.32 M.

Segment Revenue

• Total Revenue: $571.4 million for the third quarter of 2025, a decrease of 6.9% compared to $613.6 million in the third quarter of 2024.
• Coal Sales: $511.6 million in the third quarter of 2025, compared to $532.6 million in the third quarter of 2024.
• Oil & Gas Royalties: $32.1 million in the third quarter of 2025, compared to $34.4 million in the third quarter of 2024.
• Transportation Revenues: $7.7 million in the third quarter of 2025, compared to $24.6 million in the third quarter of 2024.

Operational Metrics

• Net Income: $95.1 million for the third quarter of 2025, an increase of 10.2% compared to $86.3 million in the third quarter of 2024.
• Adjusted EBITDA: $185.8 million for the third quarter of 2025, an increase of 9.0% compared to $170.4 million in the third quarter of 2024.
• Segment Adjusted EBITDA Expense: $359.3 million for the third quarter of 2025, a decrease of 8.8% compared to $393.7 million in the third quarter of 2024.

Cash Flow

• Operating Cash Flow: $507.3 million for the nine months ended September 30, 2025, compared to $634.7 million for the same period in 2024.
• Free Cash Flow: $283.2 million for the nine months ended September 30, 2025, compared to $308.3 million for the same period in 2024.

Unique Metrics

• Coal Sales Volumes: Increased to 8.7 million tons sold in the third quarter of 2025, compared to 8.4 million tons in the third quarter of 2024.
• Investment in Coal-Fired Power Plant: $22.1 million invested as part of a $25.0 million commitment in a limited partnership that indirectly owns and operates a 2.7 gigawatt coal-fired power plant.

Outlook / Guidance

• Alliance Resource Partners, L.P. expects the operating and financial results for the fourth quarter to match the outstanding results of the third quarter of 2025, with tightened guidance ranges for coal sales volumes and per ton expenses.
• The company has committed and priced 29.1 million tons for 2026, up 9% from the previous quarter, with domestic customer engagement intensifying for multi-year agreements.
• Despite potential impacts from declining oil prices, improved natural gas forward curves and increased utility demand are expected to benefit coal demand next year.