Alliance Resource Partners, L.P. Earnings Recaps
Q1 2026
Apr 29, 2026
Shares rose 6.3% following Alliance Resource Partners’ Q1 2026 report, as record oil & gas royalty volumes and commodity pricing upside outperformed investor expectations and partially offset coal segment headwinds.
Key takeaways
- Total revenues were $516 million, down 4.5% year-over-year, mainly due to lower coal pricing and shipment delays, while royalty revenues rose 16.1% year-over-year.
- Adjusted EBITDA reached $155 million (down 3.1% vs. prior year), bolstered by oil & gas royalties segment EBITDA up over 15% year-over-year and sequentially, with record BOE volumes.
- Coal segment margins and volumes faced pressure: average coal sales price per ton fell 6.5% year-over-year; a $37.8 million noncash impairment was recorded at the Mettiki mine amidst ongoing operational uncertainty.
- Segment adjusted EBITDA per ton rose in Illinois Basin (+1.3% y/y), while declining in Appalachia (-10.8% y/y), reflecting mixed operating expense trends following longwall moves.
- Net leverage remained low at 0.69x; $431.2 million total liquidity supports ongoing operational flexibility amid segment transitions.
Q3 2025
Oct 27, 2025
Alliance Resource Partners reported a mixed performance in Q3 2025, with total revenues of $571.4 million, a year-over-year decline largely due to lower coal prices, yet showing a sequential recovery driven by increased coal sales volumes.
Key takeaways
- Revenues decreased 7% year-over-year due to lower coal sales prices, but increased 4.4% sequentially.
- Total coal production rose 8.5% year-over-year to 8.4 million tons, with sales volumes up 3.9% to 8.7 million tons.
- Adjusted EBITDA improved 9% year-over-year to $185.8 million, reflecting better cost efficiencies in mining operations.
- Free cash flow was strong at $151.4 million, resulting in a distribution coverage ratio of 1.37x on a quarterly cash distribution of $0.60 per unit.
- Total liquidity stood at $541.8 million, supported by significant Bitcoin holdings valued at approximately $64.8 million.
Q2 2025
Jul 29, 2025
Alliance Resource Partners reported a 10.8% year-over-year decrease in adjusted EBITDA for Q2 2025, driven by lower coal prices and a significant noncash impairment, although production volumes showed a positive trend.
Key takeaways
- Total revenues decreased to $547.5 million, down 7.7% from Q2 2024 due to lower coal sales prices and transportation revenues, despite a 6.8% increase in coal sales volumes.
- Net income fell to $59.4 million, impacted by a $25 million noncash impairment due to restructuring of a battery materials investment.
- Adjusted EBITDA was $161.9 million, marking a 10.8% decline year-over-year, though up 1.2% sequentially.
- Free cash flow for the quarter reached $79 million after upgrades in coal operations, with total liquidity of $499.2 million.
- The company anticipates improved performance in Appalachia following a successful longwall move at Tunnel Ridge and an uptick in long-term supply contracts.