Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2023 | Apr. 30, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-38735 | |
Entity Registrant Name | ALPHA METALLURGICAL RESOURCES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 81-3015061 | |
Entity Address, Address Line One | 340 Martin Luther King Jr. Blvd. | |
Entity Address, City or Town | Bristol | |
Entity Address, State or Province | TN | |
Entity Address, Postal Zip Code | 37620 | |
City Area Code | 423 | |
Local Phone Number | 573-0300 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | AMR | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 14,473,756 | |
Entity Central Index Key | 0001704715 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Revenues: | ||
Coal revenues | $ 906,698 | $ 1,069,738 |
Other revenues | 4,537 | 2,226 |
Total revenues | 911,235 | 1,071,964 |
Costs and expenses: | ||
Cost of coal sales (exclusive of items shown separately below) | 539,137 | 555,342 |
Depreciation, depletion and amortization | 29,423 | 28,035 |
Accretion on asset retirement obligations | 6,377 | 5,954 |
Amortization of acquired intangibles, net | 2,197 | 5,748 |
Selling, general and administrative expenses (exclusive of depreciation, depletion and amortization shown separately above) | 20,692 | 15,086 |
Total other operating loss (income): | ||
Mark-to-market adjustment for acquisition-related obligations | 0 | 9,361 |
Other income | (1,092) | (628) |
Total costs and expenses | 596,734 | 618,898 |
Income from operations | 314,501 | 453,066 |
Other (expense) income: | ||
Interest expense | (1,720) | (13,083) |
Interest income | 1,518 | 184 |
Equity loss in affiliates | (1,748) | (1,361) |
Miscellaneous income, net | 631 | 1,676 |
Total other expense, net | (1,319) | (12,584) |
Income before income taxes | 313,182 | 440,482 |
Income tax expense | (42,411) | (39,591) |
Net income | $ 270,771 | $ 400,891 |
Basic income per common share (in dollars per share) | $ 17.74 | $ 21.58 |
Diluted income per common share (in dollars per share) | $ 17.01 | $ 20.52 |
Weighted average shares - basic (in shares) | 15,266,895 | 18,574,026 |
Weighted average shares - diluted (in shares) | 15,916,378 | 19,540,642 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Statement of Other Comprehensive Income [Abstract] | ||
Net income | $ 270,771 | $ 400,891 |
Employee benefit plans: | ||
Amortization of and adjustments to employee benefit costs | (627) | 775 |
Income tax expense | 139 | 0 |
Total other comprehensive (loss) income, net of tax | (488) | 775 |
Total comprehensive income | $ 270,283 | $ 401,666 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 222,507 | $ 301,906 |
Short-term investments | 0 | 46,052 |
Trade accounts receivable, net of allowance for doubtful accounts of $369 and $239 as of March 31, 2023 and December 31, 2022, respectively | 546,252 | 407,210 |
Inventories, net | 266,678 | 200,574 |
Short-term deposits | 6,602 | 84,748 |
Short-term restricted cash | 0 | 24,547 |
Prepaid expenses and other current assets | 50,448 | 49,384 |
Total current assets | 1,092,487 | 1,114,421 |
Property, plant, and equipment, net of accumulated depreciation and amortization of $503,403 and $491,186 as of March 31, 2023 and December 31, 2022, respectively | 486,721 | 442,645 |
Owned and leased mineral rights, net of accumulated depletion and amortization of $83,313 and $77,333 as of March 31, 2023 and December 31, 2022, respectively | 458,191 | 451,062 |
Other acquired intangibles, net of accumulated amortization of $43,236 and $53,719 as of March 31, 2023 and December 31, 2022, respectively | 52,905 | 55,102 |
Long-term restricted investments | 90,428 | 105,735 |
Long-term restricted cash | 50,931 | 28,941 |
Deferred income taxes | 10,497 | 11,378 |
Other non-current assets | 106,957 | 103,195 |
Total assets | 2,349,117 | 2,312,479 |
Current liabilities: | ||
Current portion of long-term debt | 3,562 | 3,078 |
Trade accounts payable | 122,738 | 106,037 |
Acquisition-related obligations – current | 381 | 28,254 |
Accrued expenses and other current liabilities | 189,927 | 265,256 |
Total current liabilities | 316,608 | 402,625 |
Long-term debt | 8,379 | 7,897 |
Workers’ compensation and black lung obligations | 185,204 | 188,247 |
Pension obligations | 102,700 | 110,836 |
Asset retirement obligations | 144,851 | 142,048 |
Deferred income taxes | 24,286 | 10,874 |
Other non-current liabilities | 18,514 | 20,197 |
Total liabilities | 800,542 | 882,724 |
Commitments and Contingencies (Note 15) | ||
Stockholders’ Equity | ||
Preferred stock - par value $0.01, 5.0 million shares authorized, none issued | 0 | 0 |
Common stock - par value $0.01, 50.0 million shares authorized, 21.8 million issued and 14.8 million outstanding at March 31, 2023 and 21.7 million issued and 15.5 million outstanding at December 31, 2022 | 218 | 217 |
Additional paid-in capital | 813,299 | 815,442 |
Accumulated other comprehensive loss | (12,650) | (12,162) |
Treasury stock, at cost: 7.0 million shares at March 31, 2023 and 6.2 million shares at December 31, 2022 | (791,557) | (649,061) |
Retained earnings | 1,539,265 | 1,275,319 |
Total stockholders’ equity | 1,548,575 | 1,429,755 |
Total liabilities and stockholders’ equity | $ 2,349,117 | $ 2,312,479 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 369 | $ 239 |
Property, plant and equipment, accumulated amortization, depreciation and amortization | 503,403 | 491,186 |
Owned and lease mineral rights, accumulated depletion and amortization | 83,313 | 77,333 |
Other acquired intangibles, accumulated amortization | $ 43,236 | $ 53,719 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 21,800,000 | 21,700,000 |
Common stock, shares outstanding (in shares) | 14,800,000 | 15,500,000 |
Treasury stock, shares at cost (in shares) | 7,000,000 | 6,200,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Operating activities: | ||
Net income | $ 270,771 | $ 400,891 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 29,423 | 28,035 |
Amortization of acquired intangibles, net | 2,197 | 5,748 |
Amortization of debt issuance costs and accretion of debt discount | 534 | 3,679 |
Mark-to-market adjustment for acquisition-related obligations | 0 | 9,361 |
Gain on disposal of assets | (2,363) | (636) |
Accretion on asset retirement obligations | 6,377 | 5,954 |
Employee benefit plans, net | 3,261 | (174) |
Deferred income taxes | 14,432 | 4,676 |
Stock-based compensation | 3,034 | 1,182 |
Equity loss in affiliates | 1,748 | 1,361 |
Other, net | 126 | 135 |
Changes in operating assets and liabilities | (152,153) | (124,087) |
Net cash provided by operating activities | 177,387 | 336,125 |
Investing activities: | ||
Capital expenditures | (74,248) | (28,146) |
Proceeds on disposal of assets | 3,478 | 917 |
Cash paid for business acquired | (11,919) | 0 |
Purchases of investment securities | (141,750) | (50) |
Sales and maturities of investment securities | 204,660 | 28,438 |
Capital contributions to equity affiliates | (8,124) | (3,468) |
Other, net | 12 | (1,243) |
Net cash used in investing activities | (27,891) | (3,552) |
Financing activities: | ||
Principal repayments of long-term debt | (438) | (200,461) |
Dividend and dividend equivalents paid | (85,979) | 0 |
Common stock repurchases and related expenses | (144,919) | (21,844) |
Proceeds from exercise of warrants | 222 | 2,257 |
Other, net | (338) | 348 |
Net cash used in financing activities | (231,452) | (219,700) |
Net (decrease) increase in cash and cash equivalents and restricted cash | (81,956) | 112,873 |
Cash and cash equivalents and restricted cash at beginning of period | 355,394 | 182,614 |
Cash and cash equivalents and restricted cash at end of period | 273,438 | 295,487 |
Supplemental disclosure of noncash investing and financing activities: | ||
Financing leases and capital financing - equipment | 1,753 | 736 |
Accrued capital expenditures | 13,703 | 9,529 |
Accrued common stock repurchases | 5,995 | 1,996 |
Dividends declared | 6,825 | 0 |
Reconciliation of Cash and Cash Equivalents and Restricted Cash | ||
Cash and cash equivalents | 222,507 | 159,455 |
Short-term restricted cash | 0 | 17,556 |
Long-term restricted cash | 50,931 | 118,476 |
Total cash and cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows | $ 273,438 | $ 295,487 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive (Loss) Income | Treasury Stock at Cost | (Accumulated Deficit) Retained Earnings |
Beginning balance at Dec. 31, 2021 | $ 546,909 | $ 208 | $ 784,743 | $ (58,503) | $ (107,800) | $ (71,739) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 400,891 | 400,891 | ||||
Other comprehensive income (loss), net | 775 | 775 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 1,182 | 1 | (391) | 1,572 | ||
Exercise of stock options | 891 | 891 | ||||
Common stock repurchases and related expenses | (23,840) | (23,840) | ||||
Warrants exercises | 3,039 | 1 | 3,038 | |||
Ending balance at Mar. 31, 2022 | 929,847 | 210 | 788,281 | (57,728) | (130,068) | 329,152 |
Beginning balance at Dec. 31, 2022 | 1,429,755 | 217 | 815,442 | (12,162) | (649,061) | 1,275,319 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 270,771 | 270,771 | ||||
Other comprehensive income (loss), net | (488) | (488) | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 3,034 | 1 | (3,444) | 6,477 | ||
Common stock repurchases and related expenses | (148,973) | (148,973) | ||||
Warrants exercises | 1,301 | 1,301 | ||||
Cash dividend and dividend equivalents declared ($0.44 per share) | (6,825) | (6,825) | ||||
Ending balance at Mar. 31, 2023 | $ 1,548,575 | $ 218 | $ 813,299 | $ (12,650) | $ (791,557) | $ 1,539,265 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Feb. 21, 2023 | Mar. 31, 2023 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividend per share (in dollars per share) | $ 0.44 | $ 0.44 |
Business and Basis of Presentat
Business and Basis of Presentation | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business and Basis of Presentation | Business and Basis of Presentation Business Alpha is a Tennessee-based mining company with operations across Virginia and West Virginia. With customers across the globe, high-quality reserves and significant port capacity, Alpha is a leading U.S. supplier of metallurgical coal products for the steel industry. Basis of Presentation Together, the condensed consolidated statements of operations, comprehensive income, balance sheets, cash flows and stockholders’ equity for the Company are referred to as the “Condensed Consolidated Financial Statements.” The Condensed Consolidated Financial Statements are also referenced across periods as “Condensed Consolidated Statements of Operations,” “Condensed Consolidated Statements of Comprehensive Income,” “Condensed Consolidated Balance Sheets,” “Condensed Consolidated Statements of Cash Flows,” and “Condensed Consolidated Statements of Stockholders’ Equity.” The Condensed Consolidated Financial Statements include all wholly-owned subsidiaries’ results of operations for the three months ended March 31, 2023 and 2022. All significant intercompany transactions have been eliminated in consolidation. The accompanying interim Condensed Consolidated Financial Statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) and in accordance with the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for Form 10-Q. Such rules and regulations allow the omission of certain information and footnote disclosures normally included in the financial statements prepared in accordance with U.S. GAAP as long as the financial statements are not misleading. In the opinion of management, these interim Condensed Consolidated Financial Statements reflect all normal and recurring adjustments necessary for a fair presentation of the results for the periods presented. Results of operations for the three months ended March 31, 2023 are not necessarily indicative of the results to be expected for the year ending December 31, 2023 or any other period. These interim Condensed Consolidated Financial Statements should be read in conjunction with the Company’s Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Reclassifications Certain immaterial amounts for the three months ended March 31, 2022 in the Condensed Consolidated Financials Statements and notes to the Condensed Consolidated Financials Statements have been recast to reclassify discontinued operations and present the related amounts within continuing operations as part of the All Other category. Recent Accounting Guidance There are no new pronouncements issued but not yet effective expected to have a material impact on the Company’s financial position, results of operations, or liquidity. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue from Contracts with Customers The Company earns revenues primarily through the sale of coal produced at Company operations and coal purchased from third parties. The Company extracts, processes and markets met and thermal coal from deep and surface mines for sale to steel and coke producers, industrial customers, and electric utilities. The Company has disaggregated revenue between met coal and thermal coal and export and domestic revenues which depicts the pricing and contract differences between the two. Export revenue generally is derived by spot or short-term contracts with pricing determined at the time of shipment or based on a market index, whereas domestic revenue is characterized by contracts that typically have a term of one year or longer and typically the pricing is fixed. The following tables disaggregate the Company’s coal revenues by product category and by market to depict how the nature, amount, timing, and uncertainty of the Company’s coal revenues and cash flows are affected by economic factors: Three Months Ended March 31, 2023 Met Coal Thermal Coal Total Export coal revenues $ 647,932 $ 30,199 $ 678,131 Domestic coal revenues 210,047 18,520 228,567 Total coal revenues $ 857,979 $ 48,719 $ 906,698 Three Months Ended March 31, 2022 Met Coal Thermal Coal Total Export coal revenues $ 888,006 $ 6,519 $ 894,525 Domestic coal revenues 159,987 15,226 175,213 Total coal revenues $ 1,047,993 $ 21,745 $ 1,069,738 Performance Obligations The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied as of March 31, 2023: Remainder of 2023 2024 2025 2026 2027 Total Estimated coal revenues $ 110,624 $ 37,250 $ — $ — $ — $ 147,874 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following tables summarize the changes to accumulated other comprehensive loss during the three months ended March 31, 2023 and 2022: Balance January 1, 2023 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance March 31, 2023 Employee benefit costs $ (12,162) $ — $ (488) $ (12,650) Balance January 1, 2022 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance March 31, 2022 Employee benefit costs $ (58,503) $ — $ 775 $ (57,728) The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the Condensed Consolidated Statements of Operations line items affected by the reclassification during the three months ended March 31, 2023 and 2022: Details about accumulated other comprehensive loss components Amounts reclassified from accumulated other comprehensive loss Affected line item in the Condensed Consolidated Statements of Operations Three Months Ended March 31, 2023 2022 Employee benefit costs: Amortization of net actuarial (gain) loss (1) $ (627) $ 784 Miscellaneous income, net Settlement (1) — (9) Miscellaneous income, net Total before income tax $ (627) $ 775 Income tax 139 — Income tax expense Total, net of income tax $ (488) $ 775 (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit costs for certain employee benefit plans. Refer to Note 13. |
Net Income Per Share
Net Income Per Share | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Net Income Per Share The number of shares used to calculate basic net income per common share is based on the weighted average number of the Company’s outstanding common shares during the respective period. The number of shares used to calculate diluted net income per common share is based on the number of common shares used to calculate basic net income per common share plus the dilutive effect of stock options and other stock-based instruments held by the Company’s employees and directors during the period, and the Company’s outstanding warrants. The dilutive effect of outstanding stock-based instruments is determined by application of the treasury stock method. The stock options and warrants become dilutive for diluted net income per common share calculations when the market price of the Company’s common stock exceeds the exercise price. Anti-dilution also occurs in periods of a net loss, and the dilutive impact of all warrants and share-based compensation awards are excluded. For the three months ended March 31, 2023 and 2022, no warrants, stock options, or other stock-based instruments were excluded from the computation of dilutive net income per common share because they would have been anti-dilutive. When applying the treasury stock method, anti-dilution generally occurs when the exercise prices or unrecognized compensation cost per share are higher than the Company’s average stock price during an applicable period. The following table presents the net income per common share for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, 2023 2022 Basic Net income 270,771 400,891 Weighted average common shares outstanding - basic 15,266,895 18,574,026 Net income per common share - basic $ 17.74 $ 21.58 Diluted Weighted average common shares outstanding - basic 15,266,895 18,574,026 Diluted effect of warrants 158,304 443,273 Diluted effect of stock options 1,999 7,119 Diluted effect of other stock-based instruments 489,180 516,224 Weighted average common shares outstanding - diluted 15,916,378 19,540,642 Net income per common share - diluted $ 17.01 $ 20.52 |
Inventories, net
Inventories, net | 3 Months Ended |
Mar. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net Inventories, net consisted of the following: March 31, 2023 December 31, 2022 Raw coal $ 54,848 $ 57,382 Saleable coal 152,383 91,474 Materials, supplies and other, net 59,447 51,718 Total inventories, net $ 266,678 $ 200,574 |
Capital Stock
Capital Stock | 3 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Share Repurchase Program On February 21, 2023, the Company’s Board of Directors (the “Board”) approved a $200,000 increase to the existing common share repurchase program that the Board adopted on March 4, 2022, bringing the total authorization to repurchase the Company’s stock to $1,200,000. As of March 31, 2023, the Company had repurchased an aggregate of 4,414,451 shares under the plan for an aggregate purchase price of approximately $654,468 (comprised of $654,335 of share repurchases and $133 of related fees). The Company has also accrued a stock repurchase excise tax of $1,199 related to the share repurchase program as of March 31, 2023, which is recorded in treasury stock at cost. Dividend Program Pursuant to the dividend policy adopted by the Board on May 3, 2022, the Board declared the following quarterly cash dividend on the Company’s common stock during the three months ended March 31, 2023: Dividend per share Dividend Paid (1) Declaration Date Holders of Record Date Payable Date $ 0.44 $ 6,602 February 21, 2023 March 15, 2023 April 3, 2023 (1) Excludes dividend equivalents accrued of $223 as of March 31, 2023. As of March 31, 2023, a related $6,602 balance was held on deposit to facilitate the dividend payment on April 3, 2023. Refer to Note 17 for subsequent event disclosures related to the Company’s dividend program. Warrants On July 26, 2016, the Company issued 810,811 warrants, which are classified as equity instruments. Pursuant to the underlying warrants agreement, the warrants are exercisable for cash or on a cashless basis at any time until 5:00 p.m. Eastern Time on July 26, 2023, and no fractional shares shall be issued upon warrant exercises. Pursuant to the underlying warrants agreement, the exercise price was adjusted from $45.086 per share to $44.972 per share as of the March 15, 2023 dividend record date while the warrant share number remained unchanged, at 1.20. Refer to Note 17 for subsequent event disclosures related to the Company’s dividend program which could result in an additional adjustment to the warrants exercise price and warrants share number. As of March 31, 2023, 159,668 warrants remained outstanding, with a total of 191,602 shares underlying the un-exercised warrants. For the three months ended March 31, 2023, the Company issued 37,404 shares of common stock resulting from exercises of its warrants and, pursuant to the terms of the underlying warrants agreement, withheld 8,514 of the issued shares in satisfaction of the warrant exercise price and in lieu of fractional shares, which were subsequently reclassified as treasury stock in the amount of $1,075. As of March 31, 2022, 744,845 warrants were outstanding, with a total of 856,572 shares underlying the un-exercised warrants. For the three months ended March 31, 2022, the Company issued 64,861 shares of common stock resulting from exercises of its warrants and, pursuant to the terms of the underlying warrants agreement, withheld 91 of the issued shares in satisfaction of the warrant exercise price and in lieu of fractional shares, which were subsequently reclassified as treasury stock. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: March 31, 2023 December 31, 2022 Wages and benefits $ 55,739 $ 69,458 Workers’ compensation 11,651 11,651 Black lung 9,664 9,664 Taxes other than income taxes 30,820 24,959 Asset retirement obligations 36,543 36,963 Dividend payable 6,824 86,118 Income taxes payable 14,898 — Freight accrual 12,440 7,181 Other 11,348 19,262 Total accrued expenses and other current liabilities $ 189,927 $ 265,256 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Long-term debt consisted of the following: March 31, 2023 December 31, 2022 Notes payable and other $ 6,972 $ 6,179 Financing leases 4,969 4,796 Total long-term debt $ 11,941 $ 10,975 Less current portion (3,562) (3,078) Long-term debt, net of current portion $ 8,379 $ 7,897 Second Amended and Restated Asset-Based Revolving Credit Agreement The Second Amended and Restated Asset-Based Revolving Credit Agreement (the “ABL Agreement”) includes a senior secured asset-based revolving credit facility (the “ABL Facility”). Under the ABL Facility, the Company may borrow cash or obtain letters of credit, on a revolving basis, in an aggregate amount of up to $155,000, of which no more than $150,000 may represent outstanding letters of credit ($125,000 on a committed basis and another $25,000 on an uncommitted cash collateralized basis) with the facility having a maturity date of December 6, 2024. As of March 31, 2023 and December 31, 2022, there were no outstanding borrowings under the ABL Facility. As of March 31, 2023 and December 31, 2022, the Company had $61,877 letters of credit outstanding under the ABL Facility. The ABL Agreement, as amended, and related documents contain negative and affirmative covenants including certain financial covenants. The Company is in compliance with all covenants under these agreements as of March 31, 2023. |
Acquisition-Related Obligations
Acquisition-Related Obligations | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Acquisition-Related Obligations | Acquisition-Related Obligations Acquisition-related obligations consisted of the following: March 31, 2023 December 31, 2022 Contingent Revenue Obligation $ — $ 27,719 Environmental Settlement Obligation 381 535 Total acquisition-related obligations - current $ 381 $ 28,254 |
Asset Retirement Obligations
Asset Retirement Obligations | 3 Months Ended |
Mar. 31, 2023 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations | Asset Retirement Obligations The following table summarizes the changes in asset retirement obligations for the three months ended March 31, 2023: Total asset retirement obligations at December 31, 2022 $ 179,011 Accretion for the period 6,377 Revisions in estimated cash flows (31) Expenditures for the period (3,963) Total asset retirement obligations at March 31, 2023 181,394 Less current portion (1) (36,543) Long-term portion $ 144,851 (1) Included within Accrued expenses and other current liabilities on the Company’s Condensed Consolidated Balance Sheets. Refer to Note 7. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments and Fair Value Measurements | Fair Value of Financial Instruments and Fair Value Measurements The estimated fair values of financial instruments are determined based on relevant market information. These estimates involve uncertainty and cannot be determined with precision. The carrying amounts for cash and cash equivalents, trade accounts receivable, net, prepaid expenses and other current assets, restricted cash, deposits, trade accounts payable, accrued expenses and other current liabilities, and environmental settlement obligations approximate fair value as of March 31, 2023 and December 31, 2022 due to the short maturity of these instruments. The following tables set forth by level, within the fair value hierarchy, the Company’s financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the determination of fair value for assets and liabilities and their placement within the fair value hierarchy levels. March 31, 2023 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Trading securities (1) $ 90,428 $ — $ 90,428 $ — (1) Classified as Long-term restricted investments on the Company’s Condensed Consolidated Balance Sheets. December 31, 2022 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 27,719 $ — $ — $ 27,719 Trading securities (1) $ 151,787 $ — $ 151,787 $ — (1) Includes $46,052 classified as Short-term investments and $105,735 classified as Long-term restricted investments on the Company’s Condensed Consolidated Balance Sheets. The following tables are reconciliations of the financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis and that were categorized within Level 3 of the fair value hierarchy: December 31, 2022 Payments Loss (Gain) Recognized in Earnings Transfer In (Out) of Level 3 Fair Value Hierarchy March 31, 2023 Contingent Revenue Obligation $ 27,719 $ (27,719) $ — $ — $ — December 31, 2021 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy March 31, 2022 Contingent Revenue Obligation $ 35,005 $ — $ 9,361 $ — $ 44,366 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of March 31, 2022. The following methods and assumptions were used to estimate the fair values of the assets and liabilities in the tables above: Level 2 Fair Value Measurements Trading Securities - Typically includes certificates of deposit, corporate fixed income, and U.S. government securities. The fair values are obtained from a third-party pricing service provider. The fair values provided by the pricing service provider are based on observable market inputs including credit spreads and broker-dealer quotes, among other inputs. The Company classifies the prices obtained from the pricing services within Level 2 of the fair value hierarchy because the underlying inputs are directly observable from active markets. However, the pricing models used entail a certain amount of subjectivity and therefore differing judgments in how the underlying inputs are modeled could result in different estimates of fair value. Level 3 Fair Value Measurements Contingent Revenue Obligation - The fair value of the Contingent Revenue Obligation was estimated using a Black-Scholes pricing model. The inputs included in the Black-Scholes pricing model are the Company’s forecasted future revenue, the stated royalty rate, the remaining periods in the obligation, annual risk-free interest rate based on the U.S. Constant Maturity Treasury Curve and annualized volatility. The annualized volatility was calculated by observing volatilities for comparable companies with adjustments for the Company's size and leverage. As the royalty period ended on December 31, 2022, the fair value of the remaining obligation as of that date represents the actual final calculated payment made during the first quarter of 2023. Refer to Note 9 for additional information. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income TaxesFor the three months ended March 31, 2023, the Company recorded income tax expense of $42,411 on income before income taxes of $313,182. The income tax expense differs from the expected statutory amount primarily due to the permanent impact of percentage depletion and foreign-derived intangible income deductions, partially offset by the impact of state income taxes, net of federal impact. For the three months ended March 31, 2022, the Company recorded income tax expense of $39,591 on income before income taxes of $440,482. The income tax expense differs from the expected statutory amount primarily due to the decrease in the valuation allowance and the permanent impact of percentage depletion and foreign-derived intangible income deductions, partially offset by the impact of state income taxes, net of federal impact. |
Employee Benefit Plans
Employee Benefit Plans | 3 Months Ended |
Mar. 31, 2023 | |
Compensation Related Costs [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The components of net periodic benefit cost (credit) other than the service cost component for black lung are included in the line item miscellaneous income, net in the Condensed Consolidated Statements of Operations. Pension The following table details the components of the net periodic benefit cost (credit) for pension obligations: Three Months Ended March 31, 2023 2022 Interest cost $ 5,958 $ 3,984 Expected return on plan assets (5,484) (7,185) Amortization of net actuarial loss 137 484 Net periodic benefit cost (credit) $ 611 $ (2,717) Black Lung The following table details the components of the net periodic benefit cost for black lung obligations: Three Months Ended March 31, 2023 2022 Service cost $ 513 $ 661 Interest cost 1,165 680 Expected return on plan assets (13) (13) Amortization of net actuarial (gain) loss (708) 314 Net periodic benefit cost $ 957 $ 1,642 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions There were no material related party transactions for the three months ended March 31, 2023 or 2022. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies (a) General Estimated losses from loss contingencies are accrued by a charge to income when information available indicates that it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the Condensed Consolidated Financial Statements when it is at least reasonably possible that a loss may be incurred and that the loss could be material. (b) Commitments and Contingencies Commitments The Company leases coal mining and other equipment under long-term financing and operating leases with varying terms. In addition, the Company leases mineral interests and surface rights from landowners under various terms and royalty rates. Contingencies Extensive regulation of the impacts of mining on the environment and of maintaining workplace safety has had, and is expected to continue to have, a significant effect on the Company’s costs of production and results of operations. Further regulations, legislation or litigation in these areas may also cause the Company’s sales or profitability to decline by increasing costs or by hindering the Company’s ability to continue mining at existing operations or to permit new operations. During the normal course of business, contract-related matters arise between the Company and its customers. When a loss related to such matters is considered probable and can reasonably be estimated, the Company records a liability. As of March 31, 2023, per terms of the Cumberland Back-to-Back Coal Supply Agreements, the Company is required to purchase and sell 209 tons of coal in the remainder of 2023 totaling $8,045. For the three months ended March 31, 2023 and 2022, the Company purchased and sold 193 and 419 tons, respectively, totaling $7,341 and $16,185, respectively, under the Cumberland Back-to-Back Coal Supply Agreements. As of March 31, 2023, the Cumberland Back-to-Back Coal Supply Agreements are scheduled to be fully performed by the end of the second quarter of 2023. (c) Guarantees and Financial Instruments with Off-Balance Sheet Risk In the normal course of business, the Company is a party to certain guarantees and financial instruments with off-balance sheet risk, such as bank letters of credit, performance or surety bonds, and other guarantees and indemnities related to the obligations of affiliated entities which are not reflected in the Company’s Condensed Consolidated Balance Sheets. However, the underlying liabilities that they secure, such as asset retirement obligations, workers’ compensation liabilities, and royalty obligations, are reflected in the Company’s Condensed Consolidated Balance Sheets. The Company is required to provide financial assurance in order to perform the post-mining reclamation required by its mining permits, pay workers’ compensation claims under workers’ compensation laws in various states, pay federal black lung benefits, and perform certain other obligations. In order to provide the required financial assurance, the Company generally uses surety bonds for post-mining reclamation and workers’ compensation obligations. The Company can also use bank letters of credit to collateralize certain obligations. As of March 31, 2023, the Company had $61,877 letters of credit outstanding under the ABL Agreement. Additionally, as of March 31, 2023, the Company had $50 in letters of credit outstanding under the Credit and Security Agreement dated June 30, 2017, and related amendments, between ANR, Inc. and First Tennessee Bank National Association. As of March 31, 2023, the Company had outstanding surety bonds with a total face amount of $166,543 to secure various obligations and commitments. To secure the Company’s reclamation-related obligations, the Company has $35,253 of collateral in the form of restricted cash and restricted investments supporting these obligations as of March 31, 2023. The Company meets frequently with its surety providers and has discussions with certain providers regarding the extent of and the terms of their participation in the program. These discussions may cause the Company to shift surety bonds between providers or to alter the terms of their participation in our program. To the extent that surety bonds become unavailable or the Company’s surety bond providers require additional collateral, the Company would seek to secure its obligations with letters of credit, cash deposits or other suitable forms of collateral. The Company’s failure to maintain, or inability to acquire, surety bonds or to provide a suitable alternative would have a material adverse effect on its liquidity. These failures could result from a variety of factors, including the lack of availability, higher cost or unfavorable market terms of new surety bonds, and the exercise by third-party surety bond issuers of their right to refuse to renew the surety. Amounts included in restricted cash provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Workers’ compensation and black lung obligations $ 40,030 $ 15,334 Reclamation-related obligations 701 3,220 Financial payments and other performance obligations 10,200 10,387 Contingent Revenue Obligation escrow — 24,547 Total restricted cash 50,931 53,488 Less current portion — (24,547) Restricted cash, net of current portion $ 50,931 $ 28,941 Amounts included in restricted investments provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Workers’ compensation and black lung obligations $ 53,771 $ 72,136 Reclamation-related obligations 34,552 31,718 Financial payments and other performance obligations 2,105 1,881 Total restricted investments (1) $ 90,428 $ 105,735 (1) Classified as long-term trading securities as of March 31, 2023 and December 31, 2022. Amounts included in deposits provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Reclamation-related obligations $ — $ 102 Financial payments and other performance obligations — 391 Other operating agreements (1) 7,472 85,618 Total deposits $ 7,472 $ 86,111 Less current portion (6,602) (84,748) Total deposits, net of current portion (2) 870 1,363 (1) Included $6,602 and $84,748 related to the Company’s dividend payable as of March 31, 2023 and December 31, 2022, respectively. Refer to Note 6 for additional information. (2) Included within Other non-current assets on the Company’s Condensed Consolidated Balance Sheets. DCMWC Reauthorization Process In July 2019, the U.S. Department of Labor (Division of Coal Mine Workers’ Compensation or “DCMWC”) began implementing a new authorization process for all self-insured coal mine operators. As requested by the DCMWC, the Company filed an application and supporting documentation for reauthorization to self-insure certain of its black lung obligations in October 2019. As a result of this application, the DCMWC notified the Company in a letter dated February 21, 2020 that the Company was reauthorized to self-insure certain of its black lung obligations for a period of one-year from February 21, 2020. The DCMWC reauthorization is contingent, however, upon the Company’s providing collateral of $65,700 to secure certain of its black lung obligations. This proposed collateral requirement is an increase from the approximate $2,600 in collateral that the Company currently provides to secure these self-insured black lung obligations. The reauthorization process provided the Company with the right to appeal the security determination in writing within 30 days of the date of the notification, which appeal period the DCMWC agreed to extend to May 22, 2020. The Company exercised this right of appeal in connection with the substantial increase in the amount of required collateral. In February 2021, the U.S. Department of Labor (“DOL”) withdrew its Federal Register notice seeking comments on its bulletin describing its new method of calculating collateral requirements. The Department removed the bulletin from its website in May 2021. On February 10, 2022, a telephone conference was held with DCMWC and DOL decision makers wherein the Company presented facts and arguments in support of its appeal. No ruling has been made on the appeal, but during the call the Company indicated that it would be willing to allocate an additional $10,000 in collateral. If the Company’s appeal is unsuccessful, the Company may be required to provide additional letters of credit to receive the self-insurance reauthorization from the DCMWC or alternatively insure these black lung obligations through a third-party provider that would likely also require the Company to provide additional collateral. In January 2023, the DOL proposed for public comment new regulations which, if adopted, would substantially increase the collateral required to secure self-insured federal black lung obligations. Under the proposed 120% minimum collateral requirement, the Company estimates it could be required to provide approximately $80,000 to $100,000 of collateral to secure certain of its black lung obligations. A significant increase in these collateral obligations would have a materially adverse effect on the Company’s liquidity. (d) Legal Proceedings The Company is party to legal proceedings from time to time. These proceedings, as well as governmental examinations, could involve various business units and a variety of claims including, but not limited to, contract disputes, personal injury claims, property damage claims (including those resulting from blasting, trucking and flooding), environmental and safety issues, securities-related matters and employment matters. While some legal matters may specify the damages claimed by the plaintiffs, many seek an unquantified amount of damages. Even when the amount of damages claimed against the Company or |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company extracts, processes and markets met and thermal coal from deep and surface mines for sale to steel and coke producers, industrial customers, and electric utilities. The Company conducts mining operations only in the United States with mines in Central Appalachia (“CAPP”). The Company has one reportable segment: Met, which consists of five active mines and two preparation plants in Virginia, sixteen active mines and five preparation plants in West Virginia, as well as expenses associated with certain idled/closed mines. In addition to the one reportable segment, the All Other category includes general corporate overhead and corporate assets and liabilities, the former CAPP - Thermal operations consisting of one active mine and one preparation plant in West Virginia, and the elimination of certain intercompany activity, as well as expenses associated with certain idled/closed mines. Certain immaterial amounts as of and for the three months ended March 31, 2022 in the Condensed Consolidated Financials Statements and notes to the Condensed Consolidated Financials Statements have been recast to reclassify discontinued operations and present the related amounts within continuing operations as part of the All Other category. Reportable segment operating results are regularly reviewed by the Chief Operating Decision Maker (the “CODM”), who is the Chief Executive Officer of the Company. Segment operating results and capital expenditures for the three months ended March 31, 2023 and 2022 were as follows: Three Months Ended March 31, 2023 Met All Other Consolidated Total revenues $ 889,938 $ 21,297 $ 911,235 Depreciation, depletion, and amortization $ 28,879 $ 544 $ 29,423 Amortization of acquired intangibles, net $ 2,197 $ — $ 2,197 Adjusted EBITDA $ 362,008 $ (7,593) $ 354,415 Capital expenditures $ 71,614 $ 2,634 $ 74,248 Three Months Ended March 31, 2022 Met All Other Consolidated Total revenues $ 1,055,689 $ 16,275 $ 1,071,964 Depreciation, depletion, and amortization $ 27,060 $ 975 $ 28,035 Amortization of acquired intangibles, net $ 4,796 $ 952 $ 5,748 Adjusted EBITDA $ 513,301 $ (9,640) $ 503,661 Capital expenditures $ 27,297 $ 849 $ 28,146 The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, 2023 Met All Other Consolidated Net income (loss) $ 327,214 $ (56,443) $ 270,771 Interest expense 165 1,555 1,720 Interest income (188) (1,330) (1,518) Income tax expense — 42,411 42,411 Depreciation, depletion and amortization 28,879 544 29,423 Non-cash stock compensation expense 19 3,015 3,034 Accretion on asset retirement obligations 3,722 2,655 6,377 Amortization of acquired intangibles, net 2,197 — 2,197 Adjusted EBITDA $ 362,008 $ (7,593) $ 354,415 Three Months Ended March 31, 2022 Met All Other Consolidated Net income (loss) $ 478,167 $ (77,276) $ 400,891 Interest expense 49 13,034 13,083 Interest income (172) (12) (184) Income tax expense — 39,591 39,591 Depreciation, depletion and amortization 27,060 975 28,035 Non-cash stock compensation expense 3 1,179 1,182 Mark-to-market adjustment - acquisition-related obligations — 9,361 9,361 Accretion on asset retirement obligations 3,398 2,556 5,954 Amortization of acquired intangibles, net 4,796 952 5,748 Adjusted EBITDA $ 513,301 $ (9,640) $ 503,661 No asset information has been disclosed as the CODM does not regularly review asset information by reportable segment. The Company markets produced, processed and purchased coal to customers in the United States and in international markets. Revenue is tracked within the Company’s accounting records based on the product destination. The following tables present additional information on our revenues and top customers: Three Months Ended March 31, 2023 2022 Total coal revenues $ 906,698 $ 1,069,738 Total revenues $ 911,235 $ 1,071,964 Export coal revenues $ 678,131 $ 894,525 Export coal revenues as % of total coal revenues 75 % 84 % Countries with export coal revenue exceeding 10% of total revenues India India Top customer as % of total revenues 17 % 29 % Top 10 customers as % of total revenues 78 % 73 % Number of customers exceeding 10% of total revenues 4 1 As of March 31, 2023 2022 Number of customers exceeding 10% of total trade accounts receivable, net 3 1 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On May 3, 2023, the Board declared a quarterly cash dividend of $0.50 per share which will be payable on July 5, 2023 for holders of record as of June 15, 2023. The quarterly cash dividend was increased from the previous quarterly cash dividend of $0.44 per share. Refer to Note 6 for information regarding the Company’s dividend program. |
Business and Basis of Present_2
Business and Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Together, the condensed consolidated statements of operations, comprehensive income, balance sheets, cash flows and stockholders’ equity for the Company are referred to as the “Condensed Consolidated Financial Statements.” The Condensed Consolidated Financial Statements are also referenced across periods as “Condensed Consolidated Statements of Operations,” “Condensed Consolidated Statements of Comprehensive Income,” “Condensed Consolidated Balance Sheets,” “Condensed Consolidated Statements of Cash Flows,” and “Condensed Consolidated Statements of Stockholders’ Equity.” The Condensed Consolidated Financial Statements include all wholly-owned subsidiaries’ results of operations for the three months ended March 31, 2023 and 2022. All significant intercompany transactions have been eliminated in consolidation. |
Reclassifications | ReclassificationsCertain immaterial amounts for the three months ended March 31, 2022 in the Condensed Consolidated Financials Statements and notes to the Condensed Consolidated Financials Statements have been recast to reclassify discontinued operations and present the related amounts within continuing operations as part of the All Other category. |
Recent Accounting Guidance | Recent Accounting Guidance There are no new pronouncements issued but not yet effective expected to have a material impact on the Company’s financial position, results of operations, or liquidity. |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables disaggregate the Company’s coal revenues by product category and by market to depict how the nature, amount, timing, and uncertainty of the Company’s coal revenues and cash flows are affected by economic factors: Three Months Ended March 31, 2023 Met Coal Thermal Coal Total Export coal revenues $ 647,932 $ 30,199 $ 678,131 Domestic coal revenues 210,047 18,520 228,567 Total coal revenues $ 857,979 $ 48,719 $ 906,698 Three Months Ended March 31, 2022 Met Coal Thermal Coal Total Export coal revenues $ 888,006 $ 6,519 $ 894,525 Domestic coal revenues 159,987 15,226 175,213 Total coal revenues $ 1,047,993 $ 21,745 $ 1,069,738 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction | The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied as of March 31, 2023: Remainder of 2023 2024 2025 2026 2027 Total Estimated coal revenues $ 110,624 $ 37,250 $ — $ — $ — $ 147,874 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | The following tables summarize the changes to accumulated other comprehensive loss during the three months ended March 31, 2023 and 2022: Balance January 1, 2023 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance March 31, 2023 Employee benefit costs $ (12,162) $ — $ (488) $ (12,650) Balance January 1, 2022 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance March 31, 2022 Employee benefit costs $ (58,503) $ — $ 775 $ (57,728) The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the Condensed Consolidated Statements of Operations line items affected by the reclassification during the three months ended March 31, 2023 and 2022: Details about accumulated other comprehensive loss components Amounts reclassified from accumulated other comprehensive loss Affected line item in the Condensed Consolidated Statements of Operations Three Months Ended March 31, 2023 2022 Employee benefit costs: Amortization of net actuarial (gain) loss (1) $ (627) $ 784 Miscellaneous income, net Settlement (1) — (9) Miscellaneous income, net Total before income tax $ (627) $ 775 Income tax 139 — Income tax expense Total, net of income tax $ (488) $ 775 (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit costs for certain employee benefit plans. Refer to Note 13. |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Net Income Per Common Share, Basic and Diluted | The following table presents the net income per common share for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, 2023 2022 Basic Net income 270,771 400,891 Weighted average common shares outstanding - basic 15,266,895 18,574,026 Net income per common share - basic $ 17.74 $ 21.58 Diluted Weighted average common shares outstanding - basic 15,266,895 18,574,026 Diluted effect of warrants 158,304 443,273 Diluted effect of stock options 1,999 7,119 Diluted effect of other stock-based instruments 489,180 516,224 Weighted average common shares outstanding - diluted 15,916,378 19,540,642 Net income per common share - diluted $ 17.01 $ 20.52 |
Inventories, net (Tables)
Inventories, net (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories, net consisted of the following: March 31, 2023 December 31, 2022 Raw coal $ 54,848 $ 57,382 Saleable coal 152,383 91,474 Materials, supplies and other, net 59,447 51,718 Total inventories, net $ 266,678 $ 200,574 |
Capital Stock (Tables)
Capital Stock (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Schedule of Dividends Declared | the Board declared the following quarterly cash dividend on the Company’s common stock during the three months ended March 31, 2023: Dividend per share Dividend Paid (1) Declaration Date Holders of Record Date Payable Date $ 0.44 $ 6,602 February 21, 2023 March 15, 2023 April 3, 2023 (1) Excludes dividend equivalents accrued of $223 as of March 31, 2023. As of March 31, 2023, a related $6,602 balance was held on deposit to facilitate the dividend payment on April 3, 2023. |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: March 31, 2023 December 31, 2022 Wages and benefits $ 55,739 $ 69,458 Workers’ compensation 11,651 11,651 Black lung 9,664 9,664 Taxes other than income taxes 30,820 24,959 Asset retirement obligations 36,543 36,963 Dividend payable 6,824 86,118 Income taxes payable 14,898 — Freight accrual 12,440 7,181 Other 11,348 19,262 Total accrued expenses and other current liabilities $ 189,927 $ 265,256 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term debt consisted of the following: March 31, 2023 December 31, 2022 Notes payable and other $ 6,972 $ 6,179 Financing leases 4,969 4,796 Total long-term debt $ 11,941 $ 10,975 Less current portion (3,562) (3,078) Long-term debt, net of current portion $ 8,379 $ 7,897 |
Acquisition-Related Obligatio_2
Acquisition-Related Obligations (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Acquisition-Related Obligations | Acquisition-related obligations consisted of the following: March 31, 2023 December 31, 2022 Contingent Revenue Obligation $ — $ 27,719 Environmental Settlement Obligation 381 535 Total acquisition-related obligations - current $ 381 $ 28,254 |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Summary of Changes in Asset Retirement Obligations | The following table summarizes the changes in asset retirement obligations for the three months ended March 31, 2023: Total asset retirement obligations at December 31, 2022 $ 179,011 Accretion for the period 6,377 Revisions in estimated cash flows (31) Expenditures for the period (3,963) Total asset retirement obligations at March 31, 2023 181,394 Less current portion (1) (36,543) Long-term portion $ 144,851 (1) Included within Accrued expenses and other current liabilities on the Company’s Condensed Consolidated Balance Sheets. Refer to Note 7. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables set forth by level, within the fair value hierarchy, the Company’s financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the determination of fair value for assets and liabilities and their placement within the fair value hierarchy levels. March 31, 2023 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Trading securities (1) $ 90,428 $ — $ 90,428 $ — (1) Classified as Long-term restricted investments on the Company’s Condensed Consolidated Balance Sheets. December 31, 2022 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 27,719 $ — $ — $ 27,719 Trading securities (1) $ 151,787 $ — $ 151,787 $ — (1) Includes $46,052 classified as Short-term investments and $105,735 classified as Long-term restricted investments on the Company’s Condensed Consolidated Balance Sheets. The following tables are reconciliations of the financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis and that were categorized within Level 3 of the fair value hierarchy: December 31, 2022 Payments Loss (Gain) Recognized in Earnings Transfer In (Out) of Level 3 Fair Value Hierarchy March 31, 2023 Contingent Revenue Obligation $ 27,719 $ (27,719) $ — $ — $ — December 31, 2021 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy March 31, 2022 Contingent Revenue Obligation $ 35,005 $ — $ 9,361 $ — $ 44,366 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of March 31, 2022. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Compensation Related Costs [Abstract] | |
Schedule of Net Periodic Benefit Cost | The following table details the components of the net periodic benefit cost (credit) for pension obligations: Three Months Ended March 31, 2023 2022 Interest cost $ 5,958 $ 3,984 Expected return on plan assets (5,484) (7,185) Amortization of net actuarial loss 137 484 Net periodic benefit cost (credit) $ 611 $ (2,717) The following table details the components of the net periodic benefit cost for black lung obligations: Three Months Ended March 31, 2023 2022 Service cost $ 513 $ 661 Interest cost 1,165 680 Expected return on plan assets (13) (13) Amortization of net actuarial (gain) loss (708) 314 Net periodic benefit cost $ 957 $ 1,642 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Restricted Cash Deposits | Amounts included in restricted cash provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Workers’ compensation and black lung obligations $ 40,030 $ 15,334 Reclamation-related obligations 701 3,220 Financial payments and other performance obligations 10,200 10,387 Contingent Revenue Obligation escrow — 24,547 Total restricted cash 50,931 53,488 Less current portion — (24,547) Restricted cash, net of current portion $ 50,931 $ 28,941 |
Schedule of Restricted Investments and Deposit Assets | Amounts included in restricted investments provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Workers’ compensation and black lung obligations $ 53,771 $ 72,136 Reclamation-related obligations 34,552 31,718 Financial payments and other performance obligations 2,105 1,881 Total restricted investments (1) $ 90,428 $ 105,735 (1) Classified as long-term trading securities as of March 31, 2023 and December 31, 2022. Amounts included in deposits provide collateral to secure the following obligations: March 31, 2023 December 31, 2022 Reclamation-related obligations $ — $ 102 Financial payments and other performance obligations — 391 Other operating agreements (1) 7,472 85,618 Total deposits $ 7,472 $ 86,111 Less current portion (6,602) (84,748) Total deposits, net of current portion (2) 870 1,363 (1) Included $6,602 and $84,748 related to the Company’s dividend payable as of March 31, 2023 and December 31, 2022, respectively. Refer to Note 6 for additional information. (2) Included within Other non-current assets on the Company’s Condensed Consolidated Balance Sheets. |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Operating Results and Capital Expenditures | Segment operating results and capital expenditures for the three months ended March 31, 2023 and 2022 were as follows: Three Months Ended March 31, 2023 Met All Other Consolidated Total revenues $ 889,938 $ 21,297 $ 911,235 Depreciation, depletion, and amortization $ 28,879 $ 544 $ 29,423 Amortization of acquired intangibles, net $ 2,197 $ — $ 2,197 Adjusted EBITDA $ 362,008 $ (7,593) $ 354,415 Capital expenditures $ 71,614 $ 2,634 $ 74,248 Three Months Ended March 31, 2022 Met All Other Consolidated Total revenues $ 1,055,689 $ 16,275 $ 1,071,964 Depreciation, depletion, and amortization $ 27,060 $ 975 $ 28,035 Amortization of acquired intangibles, net $ 4,796 $ 952 $ 5,748 Adjusted EBITDA $ 513,301 $ (9,640) $ 503,661 Capital expenditures $ 27,297 $ 849 $ 28,146 Three Months Ended March 31, 2023 2022 Total coal revenues $ 906,698 $ 1,069,738 Total revenues $ 911,235 $ 1,071,964 Export coal revenues $ 678,131 $ 894,525 Export coal revenues as % of total coal revenues 75 % 84 % Countries with export coal revenue exceeding 10% of total revenues India India Top customer as % of total revenues 17 % 29 % Top 10 customers as % of total revenues 78 % 73 % Number of customers exceeding 10% of total revenues 4 1 As of March 31, 2023 2022 Number of customers exceeding 10% of total trade accounts receivable, net 3 1 |
Reconciliation of Net Income (Loss) to Adjusted EBITDA | The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, 2023 Met All Other Consolidated Net income (loss) $ 327,214 $ (56,443) $ 270,771 Interest expense 165 1,555 1,720 Interest income (188) (1,330) (1,518) Income tax expense — 42,411 42,411 Depreciation, depletion and amortization 28,879 544 29,423 Non-cash stock compensation expense 19 3,015 3,034 Accretion on asset retirement obligations 3,722 2,655 6,377 Amortization of acquired intangibles, net 2,197 — 2,197 Adjusted EBITDA $ 362,008 $ (7,593) $ 354,415 Three Months Ended March 31, 2022 Met All Other Consolidated Net income (loss) $ 478,167 $ (77,276) $ 400,891 Interest expense 49 13,034 13,083 Interest income (172) (12) (184) Income tax expense — 39,591 39,591 Depreciation, depletion and amortization 27,060 975 28,035 Non-cash stock compensation expense 3 1,179 1,182 Mark-to-market adjustment - acquisition-related obligations — 9,361 9,361 Accretion on asset retirement obligations 3,398 2,556 5,954 Amortization of acquired intangibles, net 4,796 952 5,748 Adjusted EBITDA $ 513,301 $ (9,640) $ 503,661 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 906,698 | $ 1,069,738 |
Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 906,698 | 1,069,738 |
Met Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 857,979 | 1,047,993 |
Thermal Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 48,719 | 21,745 |
Export | Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 678,131 | 894,525 |
Export | Met Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 647,932 | 888,006 |
Export | Thermal Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 30,199 | 6,519 |
Domestic | Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 228,567 | 175,213 |
Domestic | Met Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 210,047 | 159,987 |
Domestic | Thermal Coal | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 18,520 | $ 15,226 |
Revenue - Performance Obligatio
Revenue - Performance Obligations (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 147,874 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 110,624 |
Revenue, remaining performance obligation, period | 9 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 37,250 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 0 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 0 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 0 |
Revenue, remaining performance obligation, period | 1 year |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Changes to Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 1,429,755 | $ 546,909 |
Ending balance | 1,548,575 | 929,847 |
Employee benefit costs | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (12,162) | (58,503) |
Other comprehensive income (loss) before reclassifications | 0 | 0 |
Amounts reclassified from accumulated other comprehensive loss | (488) | 775 |
Ending balance | $ (12,650) | $ (57,728) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Summary of Amounts Reclassified (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Employee benefit costs: | ||
Miscellaneous income, net | $ 631 | $ 1,676 |
Income (loss) from continuing operations before income taxes | 313,182 | 440,482 |
Income tax | (42,411) | (39,591) |
Net income | 270,771 | 400,891 |
Amounts reclassified from accumulated other comprehensive loss | Amortization of actuarial (gain) loss | ||
Employee benefit costs: | ||
Miscellaneous income, net | (627) | 784 |
Amounts reclassified from accumulated other comprehensive loss | Settlement | ||
Employee benefit costs: | ||
Miscellaneous income, net | 0 | (9) |
Amounts reclassified from accumulated other comprehensive loss | Employee benefit costs | ||
Employee benefit costs: | ||
Income (loss) from continuing operations before income taxes | (627) | 775 |
Income tax | 139 | 0 |
Net income | $ (488) | $ 775 |
Net Income Per Share - Narrativ
Net Income Per Share - Narrative (Details) - shares | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Earnings Per Share [Abstract] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 0 |
Net Income Per Share - Schedule
Net Income Per Share - Schedule of Net (Loss) Income Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Basic | ||
Net income | $ 270,771 | $ 400,891 |
Weighted average common shares outstanding - basic (in shares) | 15,266,895 | 18,574,026 |
Net income per common share - basic (in dollars per share) | $ 17.74 | $ 21.58 |
Diluted | ||
Weighted average common shares outstanding - basic (in shares) | 15,266,895 | 18,574,026 |
Diluted effect of warrants (in shares) | 158,304 | 443,273 |
Weighted average common shares outstanding - diluted (in shares) | 15,916,378 | 19,540,642 |
Net income per common share - diluted (in dollars per share) | $ 17.01 | $ 20.52 |
Stock Options | ||
Diluted | ||
Dilutive effect of share-based payment awards (in shares) | 1,999 | 7,119 |
Other Stock-Based Instruments | ||
Diluted | ||
Dilutive effect of share-based payment awards (in shares) | 489,180 | 516,224 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Inventory [Line Items] | ||
Total inventories, net | $ 266,678 | $ 200,574 |
Coal | ||
Inventory [Line Items] | ||
Raw coal | 54,848 | 57,382 |
Saleable coal | 152,383 | 91,474 |
Material, supplies and other, net | ||
Inventory [Line Items] | ||
Materials, supplies and other, net | $ 59,447 | $ 51,718 |
Capital Stock - Share Repurchas
Capital Stock - Share Repurchase Program (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2023 | Feb. 21, 2023 | |
Equity [Abstract] | ||
Increase in authorized repurchase amount | $ 200,000,000 | |
Authorized share repurchases | $ 1,200,000,000 | |
Number of shares repurchased | 4,414,451 | |
Total share repurchase price | $ 654,468,000 | |
Value of shares repurchased | 654,335,000 | |
Shares repurchased, fees | 133,000 | |
Stock repurchase program exercise tax | $ 1,199,000 |
Capital Stock - Dividend Declar
Capital Stock - Dividend Declared (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |||||
May 03, 2023 | Apr. 03, 2023 | Feb. 21, 2023 | Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Dividends Payable [Line Items] | ||||||
Dividend per share (in dollars per share) | $ 0.44 | $ 0.44 | ||||
Dividends Paid | $ 85,979 | $ 0 | ||||
Dividend equivalent | 223 | |||||
Deposit for dividend payment | $ 6,602 | $ 84,748 | ||||
Subsequent Event | ||||||
Dividends Payable [Line Items] | ||||||
Dividend per share (in dollars per share) | $ 0.50 | |||||
Dividends Paid | $ 6,602 |
Capital Stock - Warrants (Detai
Capital Stock - Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2023 | Mar. 31, 2022 | Mar. 15, 2023 | Dec. 15, 2022 | Jul. 26, 2016 | |
Equity [Abstract] | |||||
Number of warrants outstanding (in shares) | 159,668 | 744,845 | 810,811 | ||
Exercise price of warrants (in dollars per share) | $ 44.972 | $ 45.086 | |||
Number of securities called by each warrant (in shares) | 1.20 | ||||
Number of securities called by outstanding warrants (in shares) | 191,602 | 856,572 | |||
Shares issued upon exercise of warrants (in shares) | 37,404 | 64,861 | |||
Shares withheld upon exercise of warrants (in shares) | 8,514 | 91 | |||
Amount reclassified as treasury stock | $ 1,075 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Wages and benefits | $ 55,739 | $ 69,458 |
Workers’ compensation | 11,651 | 11,651 |
Black lung | 9,664 | 9,664 |
Taxes other than income taxes | 30,820 | 24,959 |
Asset retirement obligations | 36,543 | 36,963 |
Dividend payable | 6,824 | 86,118 |
Income taxes payable | 14,898 | 0 |
Freight accrual | 12,440 | 7,181 |
Other | 11,348 | 19,262 |
Total accrued expenses and other current liabilities | $ 189,927 | $ 265,256 |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Notes payable and other | $ 6,972 | $ 6,179 |
Financing leases | 4,969 | 4,796 |
Total long-term debt | 11,941 | 10,975 |
Less current portion | (3,562) | (3,078) |
Long-term debt, net of current portion | $ 8,379 | $ 7,897 |
Long-Term Debt - Second Amended
Long-Term Debt - Second Amended and Restated Asset-Based Revolving Credit Agreement (Details) - USD ($) | Mar. 31, 2023 | Dec. 31, 2022 | Dec. 06, 2021 |
Debt Instrument [Line Items] | |||
Outstanding borrowings | $ 6,972,000 | $ 6,179,000 | |
Line of Credit | New ABL Facility | |||
Debt Instrument [Line Items] | |||
Letters of credit outstanding | 61,877,000 | 61,877,000 | |
Revolving Credit Facility | New ABL Facility | |||
Debt Instrument [Line Items] | |||
Amount of credit facility | $ 155,000,000 | ||
Revolving Credit Facility | Line of Credit | New ABL Facility | |||
Debt Instrument [Line Items] | |||
Outstanding borrowings | 0 | $ 0 | |
Letters of credit outstanding | $ 61,877,000 | ||
Letter of Credit | New ABL Facility | |||
Debt Instrument [Line Items] | |||
Amount of credit facility | 150,000,000 | ||
Amount of credit facility on committed basis | 125,000,000 | ||
Amount of credit facility on uncommitted basis | $ 25,000,000 |
Acquisition-Related Obligatio_3
Acquisition-Related Obligations - Summary of Acquisition-Related Obligations (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Acquisition-related obligations – current | $ 381 | $ 28,254 |
Contingent Revenue Obligation | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Acquisition-related obligations – current | 0 | 27,719 |
Environmental Settlement Obligation | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Acquisition-related obligations – current | $ 381 | $ 535 |
Asset Retirement Obligations (D
Asset Retirement Obligations (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | |||
Total asset retirement obligations at December 31, 2022 | $ 179,011 | ||
Accretion for the period | 6,377 | $ 5,954 | |
Revisions in estimated cash flows | (31) | ||
Expenditures for the period | (3,963) | ||
Total asset retirement obligations at March 31, 2023 | 181,394 | $ 179,011 | |
Less current portion | (36,543) | (36,963) | |
Long-term portion | $ 144,851 | $ 142,048 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments and Fair Value Measurements - Schedule of Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Short-term investments | $ 0 | $ 46,052 |
Long-term restricted investments | 90,428 | 105,735 |
Fair Value, Measurements, Recurring | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 27,719 | |
Trading securities | 90,428 | 151,787 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 0 | |
Trading securities | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 0 | |
Trading securities | 90,428 | 151,787 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 27,719 | |
Trading securities | $ 0 | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments and Fair Value Measurements - Level 3 of the Fair Value Hierarchy (Details) - Significant Unobservable Inputs (Level 3) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 27,719 | $ 35,005 |
Payments | (27,719) | 0 |
Loss (Gain) Recognized in Earnings | 0 | 9,361 |
Transfer In (Out) of Level 3 Fair Value Hierarchy | 0 | 0 |
Ending balance | $ 0 | $ 44,366 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense | $ (42,411) | $ (39,591) |
Income before income taxes | $ 313,182 | $ 440,482 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Pension | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Interest cost | $ 5,958 | $ 3,984 |
Expected return on plan assets | (5,484) | (7,185) |
Amortization of net actuarial loss | 137 | 484 |
Net periodic benefit cost (credit) | 611 | (2,717) |
Black Lung | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Service cost | 513 | 661 |
Interest cost | 1,165 | 680 |
Expected return on plan assets | (13) | (13) |
Amortization of net actuarial loss | (708) | 314 |
Net periodic benefit cost (credit) | $ 957 | $ 1,642 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) T in Thousands, $ in Thousands | 3 Months Ended | ||||||
Mar. 31, 2023 USD ($) T | Mar. 31, 2022 USD ($) T | Jan. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Feb. 10, 2022 USD ($) | Feb. 21, 2020 USD ($) | Feb. 20, 2020 USD ($) | |
Black Lung | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Collateral for black lung obligations | $ 10,000 | $ 65,700 | $ 2,600 | ||||
Black Lung | Minimum | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Collateral for black lung obligations | $ 80,000 | ||||||
Black Lung | Maximum | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Collateral for black lung obligations | $ 100,000 | ||||||
Surety Bond | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Outstanding surety bonds | $ 166,543 | ||||||
Reclamation-Related Obligations | Collateral Pledged | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Restricted cash, restricted investments, and deposits | 35,253 | ||||||
Line of Credit | New ABL Facility | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Letters of credit outstanding | 61,877 | $ 61,877 | |||||
Revolving Credit Facility | Line of Credit | New ABL Facility | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Letters of credit outstanding | 61,877 | ||||||
Revolving Credit Facility | Line of Credit | Credit and Security Agreement | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Letters of credit outstanding | $ 50 | ||||||
Cumberland Back-to-Back Coal Supply Agreements | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Purchase and sale contingency, mass purchases and sales, remainder of year (in tons) | T | 209 | ||||||
Purchase and sale contingency, mass purchases and sales, remainder of year | $ 8,045 | ||||||
Purchase and sale contingency, mass purchased and sold (in tons) | T | 193 | 419 | |||||
Purchase and sale contingency, mass purchased and sold, amount | $ 7,341 | $ 16,185 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Restricted Cash Deposits (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 |
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | $ 50,931 | $ 53,488 | |
Less current portion | 0 | (24,547) | $ (17,556) |
Long-term restricted cash | 50,931 | 28,941 | $ 118,476 |
Workers’ compensation and black lung obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 40,030 | 15,334 | |
Reclamation-related obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 701 | 3,220 | |
Financial payments and other performance obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 10,200 | 10,387 | |
Contingent Revenue Obligation escrow | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | $ 0 | $ 24,547 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Restricted Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | $ 90,428 | $ 105,735 |
Workers’ compensation and black lung obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | 53,771 | 72,136 |
Reclamation-related obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | 34,552 | 31,718 |
Financial payments and other performance obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | $ 2,105 | $ 1,881 |
Commitments and Contingencies_4
Commitments and Contingencies - Cash Deposits Held by Third Parties (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Long-term Purchase Commitment [Line Items] | ||
Total deposits | $ 7,472 | $ 86,111 |
Less current portion | (6,602) | (84,748) |
Total deposits, net of current portion | 870 | 1,363 |
Deposit for dividend payment | 6,602 | 84,748 |
Reclamation-related obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | 0 | 102 |
Financial payments and other performance obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | 0 | 391 |
Other operating agreements | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | $ 7,472 | $ 85,618 |
Segment Information - Schedule
Segment Information - Schedule of Operating Results and Capital Expenditures (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 USD ($) mine segment plant | Mar. 31, 2022 USD ($) | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | segment | 1 | |
Total revenues | $ 911,235 | $ 1,071,964 |
Depreciation, depletion and amortization | 29,423 | 28,035 |
Amortization of acquired intangibles, net | 2,197 | 5,748 |
Adjusted EBITDA | 354,415 | 503,661 |
Capital expenditures | 74,248 | 28,146 |
Operating Segments | Met | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 889,938 | 1,055,689 |
Depreciation, depletion and amortization | 28,879 | 27,060 |
Amortization of acquired intangibles, net | 2,197 | 4,796 |
Adjusted EBITDA | 362,008 | 513,301 |
Capital expenditures | $ 71,614 | 27,297 |
Operating Segments | Met | Virginia | ||
Segment Reporting Information [Line Items] | ||
Number of active mines | mine | 5 | |
Number of preparation plants | plant | 2 | |
Operating Segments | Met | West Virginia | ||
Segment Reporting Information [Line Items] | ||
Number of active mines | mine | 16 | |
Number of preparation plants | plant | 5 | |
All Other | ||
Segment Reporting Information [Line Items] | ||
Total revenues | $ 21,297 | 16,275 |
Depreciation, depletion and amortization | 544 | 975 |
Amortization of acquired intangibles, net | 0 | 952 |
Adjusted EBITDA | (7,593) | (9,640) |
Capital expenditures | $ 2,634 | $ 849 |
All Other | West Virginia | ||
Segment Reporting Information [Line Items] | ||
Number of active mines | mine | 1 | |
Number of preparation plants | plant | 1 |
Segment Information - Reconcili
Segment Information - Reconciliation of Net Income (Loss) to Adjusted EBITDA (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net income (loss) | $ 270,771 | $ 400,891 |
Interest expense | 1,720 | 13,083 |
Interest income | (1,518) | (184) |
Income tax expense | 42,411 | 39,591 |
Depreciation, depletion and amortization | 29,423 | 28,035 |
Non-cash stock compensation expense | 3,034 | 1,182 |
Mark-to-market adjustment for acquisition-related obligations | 0 | 9,361 |
Accretion on asset retirement obligations | 6,377 | 5,954 |
Amortization of acquired intangibles, net | 2,197 | 5,748 |
Adjusted EBITDA | 354,415 | 503,661 |
Operating Segments | Met | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net income (loss) | 327,214 | 478,167 |
Interest expense | 165 | 49 |
Interest income | (188) | (172) |
Income tax expense | 0 | 0 |
Depreciation, depletion and amortization | 28,879 | 27,060 |
Non-cash stock compensation expense | 19 | 3 |
Mark-to-market adjustment for acquisition-related obligations | 0 | |
Accretion on asset retirement obligations | 3,722 | 3,398 |
Amortization of acquired intangibles, net | 2,197 | 4,796 |
Adjusted EBITDA | 362,008 | 513,301 |
All Other | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net income (loss) | (56,443) | (77,276) |
Interest expense | 1,555 | 13,034 |
Interest income | (1,330) | (12) |
Income tax expense | 42,411 | 39,591 |
Depreciation, depletion and amortization | 544 | 975 |
Non-cash stock compensation expense | 3,015 | 1,179 |
Mark-to-market adjustment for acquisition-related obligations | 9,361 | |
Accretion on asset retirement obligations | 2,655 | 2,556 |
Amortization of acquired intangibles, net | 0 | 952 |
Adjusted EBITDA | $ (7,593) | $ (9,640) |
Segment Information - Revenue f
Segment Information - Revenue from External Customers (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 USD ($) customer | Mar. 31, 2022 USD ($) customer | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | $ 906,698 | $ 1,069,738 |
Total revenues | 911,235 | 1,071,964 |
Export Coal Revenue | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | $ 678,131 | $ 894,525 |
Revenues | Geographic Concentration Risk | Export Coal Revenue | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk (as a percent) | 75% | 84% |
Revenues | Customer Concentration Risk | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Number of customers exceeding 10% of total trade accounts receivable, net | customer | 4 | 1 |
Revenues | Customer Concentration Risk | Top Customer | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk (as a percent) | 17% | 29% |
Revenues | Customer Concentration Risk | Top 10 Customers | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk (as a percent) | 78% | 73% |
Accounts Receivable | Customer Concentration Risk | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Number of customers exceeding 10% of total trade accounts receivable, net | customer | 3 | 1 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | 3 Months Ended | ||
May 03, 2023 | Feb. 21, 2023 | Mar. 31, 2023 | |
Subsequent Event [Line Items] | |||
Common stock dividends (in dollars per share) | $ 0.44 | $ 0.44 | |
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Common stock dividends (in dollars per share) | $ 0.50 |