Alliance Resource Partners misses Q3 earnings, revenue estimates, shares slip

TULSA, Okla. - Alliance Resource Partners (NASDAQ:ARLP ) reported third quarter results that fell short of analyst expectations, sending shares down 2.4% in early trading.

The coal producer posted earnings per share of $0.66, missing the consensus estimate of $0.86. Revenue came in at $613.6 million, below the $641.98 million analysts were expecting.

Total coal sales volumes for the quarter decreased 0.9% year-over-year to 8.38 million tons. Coal sales price per ton sold declined 2.1% to $63.57 compared to the same period last year.

"We delivered sequential improvement in revenue, coal sales, and minerals volumes during the third quarter, however revenues were lower than our expectations primarily due to lower coal sales volumes and pricing related to export sales from our MC Mining, Mettiki and Hamilton operations, as well as shipping deferrals on some of our higher priced domestic contracted commitments," said Joseph W. Craft III, Chairman, President, and CEO.

The company maintained its full-year 2024 guidance, forecasting total coal sales volumes between 33.5-34.5 million tons.

Alliance Resource Partners declared a quarterly cash distribution of $0.70 per unit, unchanged from the previous quarter.

Despite the earnings miss, management highlighted growth in its oil & gas royalties business, with volumes increasing 11.9% year-over-year to 864 MBOE in the quarter.

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Source: Investing.com