Business
Hallador Energy Company Reports Record Net Income and Adjusted EBITDA for First 9-Months of 2023; Secures $325 Million in Future Energy and Capacity Sales
TERRE HAUTE, Ind., Nov. 06, 2023 (GLOBE NEWSWIRE) -- Hallador Energy Company (NASDAQ – HNRG) reports first nine months 2023 and third-quarter net income of
About this update from Hallador Energy Company
[{"type":"text","content":"TERRE HAUTE, Ind., Nov. 06, 2023 (GLOBE NEWSWIRE) -- Hallador Energy Company (NASDAQ – HNRG) reports first nine months 2023 and third-quarter net income of $55.0 million and $16.1 million, $1.66 and $0.49 basic earnings per share, operating cash flow of $79.5 million and $35.3 million, and adjusted EBITDA of $105.2 million and $35.9 million, all respectively. Brent Bilsland, President and Chief Executive Officer, stated, \"High coal sales prices coupled with large coal shipment volumes lead to record coal revenue. Our well-contracted sales book supported our revenue growth despite operational challenges, increasing our cost per ton during the quarter. Record profitability and continued debt reduction have helped de-lever our balance sheet to 0.71 times adjusted EBITDA and increase liquidity to $66.4 million. On the Hallador Power side, our sales team performed well, securing $325 million in energy and capacity sales at excellent prices for the 2024-2028 timeframe, creating a profitable foundation for many years to come.” Below are highlights for the third quarter of 2023: The Company reported net income of $16.1 million and operating cash flow of $35.3 million on the continued strength of shipments of higher-priced coal contracts and another full quarter of operations at the Merom Generating Station.The Company closed on a $140 million credit facility on August 2, 2023, extending the maturity to 2026. Bank Debt was reduced by $12.5 million during the quarter, bringing our outstanding balance to $61.8 million in addition to $11.2 million in Letters of Credit as of September 30, 2023.The continued efforts to reduce debt, coupled with higher adjusted EBITDA, resulted in our debt-to-adjusted EBITDA ratio falling to 0.71X as of September 30, 2023, and our liquidity growing to $66.4 million as of September 30, 2023. The Merom Generating Station continues to show positive results and increased interest from customers, evidenced by our signing of $325 million in new future energy and capacity sales during the quarter and subsequently. 3.3 million MWh of Energy sold for years 2026-2028 at an average price of $56 per MWh, totaling $186.0 million.Capacity sales for years 2024-2028 at an average price of approximately $220 per MWd, totaling $139 million. The Company continues to be well-positioned with contracted coal tons and electric gene...