Alliance Resource Partners, L.P. Q3 2026 Earnings Recap

Alliance Resource Partners reported higher year-over-year and sequential revenue, earnings and adjusted EBITDA, with growth in coal volumes and a full-quarter contribution from the AllDale acquisition. The stock rose 1.0% after earnings, a roughly flat reaction.

Key Takeaways

• Revenue increased 5.5% year over year to $603 million; net income attributable to ARLP rose 46.8% to $140 million, or $1.08 per unit, and adjusted EBITDA attributable to ARLP increased 26.3% to $234 million.
• Coal sales volumes grew 7.4% year over year to 9.3 million tons, while the average sales price fell 8.3% to $53.93 per ton. Lower per-ton expenses more than offset the pricing decline, lifting coal segment adjusted EBITDA 18.6% to $187 million.
• Oil and gas royalty revenue reached a record $59.8 million and volumes a record 1.45 million BOE, with both up year over year primarily due to AllDale III and IV. Average price per BOE fell 16.6% sequentially, mainly due to lower realized crude prices and a higher natural gas mix.
• Net debt rose $116 million sequentially to $595 million following the acquisition; leverage was 0.78x net debt to trailing 12-month adjusted EBITDA. The partnership ended the quarter with $431 million of liquidity.