Business
Hallador Energy Company Reports First Quarter 2023 Financial and Operating Results
TERRE HAUTE, Ind., May 08, 2023 (GLOBE NEWSWIRE) -- Hallador Energy Company (NASDAQ – HNRG) today reported a net income of $22.1 million, $.67 basic earnings
About this update from Hallador Energy Company
[{"type":"text","content":"TERRE HAUTE, Ind., May 08, 2023 (GLOBE NEWSWIRE) -- Hallador Energy Company (NASDAQ – HNRG) today reported a net income of $22.1 million, $.67 basic earnings per share, and adjusted EBITDA of $34.0 million for the quarter ended March 31, 2023. Brent Bilsland, President and Chief Executive Officer, stated, \"We have delivered strong back-to-back quarters of increasing EBITDA and ongoing debt reduction, which has significantly delevered our balance sheet to 1.2 times debt to EBITDA. We expect coal pricing for the balance of the year to remain robust, and we are excited by additional opportunities for coal, electricity, and capacity sales on the horizon.\" Below are highlights for the first quarter of 2023: The Company reported profitability of $22.1 million and operating cash flow of $26.1 million on the continued strength of shipments of higher priced coal contracts and a full quarter of operations at the Merom Generating Station. Coal Q1 2023 margins improved to $17.07 per ton, which represents an increase of $6.66 per ton over Q4 2022 and an increase of $15.21 per ton over Q1 2022 on the strength of ~$56 per ton average sales prices.The Company produced 2.0 million tons and shipped 1.7 million tons for the quarter. We continue to deleverage the Company's balance sheet. Bank Debt was reduced by $10 million, bringing our outstanding balance to $75.2 million in addition to $11.2 million in Letters of Credit.\\The continued efforts to reduce debt resulted in our debt to adjusted EBITDA ratio falling to 1.20X as of March 31, 2023, and our liquidity growing to $36.0 million. The Merom Generating Station continues to show positive results and increased interest from customers.The Company continues to be well positioned with contracted coal tons for the next few years. Contracted Estimated Tons Priced Year (millions)* per ton 2023 5.8 $57.00 2024 - 2027 (total) 7.5 ** 13.3 _____________________*Contracted tons are subject to adjustment in instances of force majeure and exercise of customer options to either take additional tons or reduce tonnage if such an option exists in the customer contract.**Of the 7.5 million tons contracted for 2024 - 2027, 2.7 million tons are contracted for 2024 at an estimated price of $51 per ton, with up to an additional 3.0 million tons expected to be dispatched to the Merom Power Plant. The remaining 4.8 ...