Alpha Metallurgical Resources, Inc.

Adjusted EBITDA was $25.6 million in Q2, down from $30 million in Q1. Shipments were 3.5 million tons, down from 3.6 million tons in Q1. Met segment average realization was $118.71 per ton versus $124.39 in Q1, and total metallurgical weighted-average realization was $124.30 per ton versus $128.40 in Q1. Met segment cost of coal sales improved to $103.07 per ton from $107.98 per ton. SG&A excluding noncash stock comp and nonrecurring items was $13.7 million versus $13.5 million in Q1. Cash and liquidity at June 30 included $307.6 million of unrestricted cash, $30.9 million of short-term investments, and total liquidity of $447.8 million; ABL borrowings were nil. CapEx was $45.1 million and cash from operations was $39.9 million. For 2026, full-year shipment guidance is 14.2 million to 15.4 million tons and cost of coal sales guidance is $103 to $107 per ton. At the midpoint of guidance, 70% of metallurgical tonnage is committed and priced at $128.17, 30% is committed but unpriced, and thermal byproduct is fully committed and priced at $75.94.

Andy Eidson framed the quarter as one impacted by weaker market conditions, higher diesel and supply costs, and the June storm damage at DTA. He emphasized that the revised guidance already reflects reduced DTA capacity, lighter first-half shipments, and the company’s ability to use other East Coast terminals, while saying there may still be some upside if logistics recover faster than expected. His tone was cautious on the macro, describing met coal demand as weak and saying the current price spreads look unsustainable.

Todd Munsey highlighted the quarter’s financials and balance sheet, including $25.6 million of adjusted EBITDA, $39.9 million of operating cash flow, $45.1 million of CapEx, and $447.8 million of total liquidity at June 30. He noted that met segment cost of coal sales improved to $103.07 per ton in Q2 from $107.98 in Q1, even as management raised full-year cost guidance to $103 to $107 per ton because of higher diesel and other supply costs. He also detailed committed pricing, including 70% of met tons committed and priced at an average of $128.17 at the midpoint, with 30% still committed but unpriced.

Analysts focused on the operational impact of the DTA stacker reclaimer damage, asking how much optimization is possible with one machine and when improvements might show up; management said it could not give specifics because the timeline depends on engineering, logistics, and insurance processes, but said the revised guidance reflects current expectations. Questions also centered on shipment cadence, domestic tonnage declines, and pricing/mix strategy; management said domestic tonnage fell mainly because some customer options were not declared, and said the remaining committed tons will move into known term markets rather than spot. On market mix, management said Wildcat is ramping in Q3 and Q4 and should shift the portfolio toward more low-vol, while also saying stronger North American blast-furnace utilization should support coke and coking coal demand.