Stonegate Capital Partners Updates Coverage on Alliance Resource Partners, L.P. (ARLP) 2025 Q2

Rhea-AI Summary

Alliance Resource Partners (NASDAQ: ARLP) reported its Q2 2025 results, showing mixed performance. Total revenue declined 7.7% year-over-year to $547.5M, primarily due to an 11.3% decrease in average coal sales prices and lower transportation revenues. Net income fell to $59.4M from $100.2M in Q2 2024.

The quarter was marked by record coal shipments at Hamilton and River View, though offset by lower pricing. The company secured 17.4M committed and priced tons for 2025-2029. Oil & Gas Royalty volumes increased 7.7% YoY, and ARLP declared a $0.60 per unit quarterly cash distribution. Adjusted EBITDA showed slight improvement at $161.9M, up 1.2% sequentially.

Positive

• None.

Negative

• Revenue declined 7.7% year-over-year to $547.5M
• Net income decreased to $59.4M from $100.2M in Q2 2024
• Average coal sales prices fell 11.3%
• $25.0M non-cash impairment on battery materials equity investment
• Challenged production at Tunnel Ridge operation

Dallas, Texas--(Newsfile Corp. - July 29, 2025) - Alliance Resource Partners, L.P. (NASDAQ: ARLP): Stonegate Capital Partners updates coverage on Alliance Resource Partners, L.P. ARLP reported a resilient 2Q25, with higher coal sales volumes offset by lower coal pricing and a stable contribution from oil & gas royalty revenues. Total revenues for the quarter decreased by 7.7% year-over-year to $547.5M, primarily due to an 11.3% decline in average coal sales prices and lower transportation revenues. Net income for the quarter fell to $59.4M compared to $100.2M in 2Q24, primarily reflecting lower revenues, increased depreciation, and a $25.0M non-cash impairment on a battery materials equity investment. These were partially offset by a $16.6M increase in the fair value of digital assets. Adj. EBITDA came in at $161.9M, representing a 1.2% sequential increase. Despite macroeconomic uncertainties, ARLP updated its FY25 guidance, supported by expectations for a challenged but improving production at Tunnel Ridge, higher tons sold from the Illinois Basin, cost efficiencies, and strong contracted commitments.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Delivered $547.5M in revenue and $161.9M in Adjusted EBITDA, supported by record coal shipments at Hamilton and River View.
• Added 17.4M committed and priced tons for 2025-2029, enhancing long-term sales visibility.
• Oil & Gas Royalty volumes rose 7.7% YoY; declared $0.60/unit quarterly cash distribution.

Click image above to view full announcement.

---

About Stonegate

Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking, equity research and capital raising for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/260488

FAQ

What were ARLP's key financial results for Q2 2025?

ARLP reported revenue of $547.5M (down 7.7% YoY), net income of $59.4M (down from $100.2M), and Adjusted EBITDA of $161.9M (up 1.2% sequentially).

How much did ARLP's coal prices decline in Q2 2025?

ARLP's average coal sales prices declined by 11.3% year-over-year in Q2 2025.

What is ARLP's quarterly distribution for Q2 2025?

ARLP declared a quarterly cash distribution of $0.60 per unit.

How many tons did ARLP secure in future coal commitments?

ARLP secured 17.4 million committed and priced tons for the period 2025-2029.

What was the performance of ARLP's Oil & Gas Royalty segment?

ARLP's Oil & Gas Royalty volumes increased by 7.7% year-over-year in Q2 2025.