RAMACO RESOURCES REPORTS FOURTH QUARTER AND FULL-YEAR 2025 RESULTS
Rhea-AI Summary
Ramaco Resources (NASDAQ: METC) reported Q4 2025 net loss of $(14.7)m and full-year 2025 net loss of $(51.4)m, with Class A diluted EPS $(0.26) Q4 and $(0.99) FY. Adjusted EBITDA was $8.9m Q4 and $36.1m FY. Q4 non-GAAP cash mine cost was $92/ton; FY cash cost $98/ton. Record liquidity totaled $521m. Sales commitments for 2026 equal 3.1 million tons (~75–80% of guidance). Company announced a proprietary, patent-pending carbochlorination flowsheet for rare earths; revised PEA expected mid-2026 and PFS late-2026. 2026 guidance: 4.1–4.5 million tons sales, cash cost $95–$100/ton, capex $85–$90m.
Positive
- Record liquidity of $521 million at quarter end
- Adjusted EBITDA of $36.1 million for full-year 2025
- Q4 cash cost improved to $92 per ton, lowest since 2021
- Sales commitments of 3.1 million tons for 2026 (~75–80% of guidance)
- Proprietary carbochlorination flowsheet could increase oxide recoveries and product value
Negative
- Full-year net loss of $(51.4) million in 2025
- Cash margins declined to $22/ton in 2025 from $35/ton in 2024
- PEA/PFS timelines modestly delayed; revised PEA now mid-2026 and PFS late-2026
- Q4 net loss of $(14.7) million and Class A diluted EPS ($(0.26))
News Market Reaction – METC
On the day this news was published, METC declined 2.43%, reflecting a moderate negative market reaction. Argus tracked a trough of -24.3% from its starting point during tracking. Our momentum scanner triggered 57 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $29M from the company's valuation, bringing the market cap to $1.17B at that time. Trading volume was above average at 1.5x the daily average, suggesting increased trading activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Momentum scanner flags only SXC moving, up ~1.88%, while the scanner records the target’s direction as down. Broader peers show mixed single-day moves (e.g., AMR and HCC down, AREC up), suggesting today’s move is more stock-specific than sector-driven.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 20 | Earnings timing update | Neutral | -2.9% | Announced date and time for Q4 and full-year 2025 results call. |
| Jan 13 | Governance/appointment | Positive | -7.8% | CEO appointed to re-established National Coal Council, highlighting policy role. |
| Dec 30 | Credit facility increase | Positive | -4.7% | Revolving credit commitments lifted to $500M with extended maturity to 2030. |
| Dec 23 | Share repurchase plan | Positive | +8.6% | Board authorized up to $100M Class A buyback over 24 months. |
| Dec 23 | Rare earths MOU | Positive | +8.6% | Non‑binding MOU to supply rare earth oxides for a 10‑year stockpile and magnet output. |
Recent news with clearly positive fundamentals (credit facility expansion, buyback, rare earth MOU) has produced mixed reactions, with two notable negative and two positive price moves.
Over the past few months, Ramaco has issued several capital markets and strategic updates. In November 2025 it pursued sizeable convertible note offerings and related hedging structures, then in December 2025 expanded its revolving credit facility to $500 million and announced a $100 million repurchase plan. It also signed a non‑binding MOU to support a rare earth and magnet supply chain. The current 2025 results update follows an earlier earnings-date notice on Feb 20, 2026, and continues a theme of balancing coal operations with Brook Mine-related growth initiatives.
Market Pulse Summary
This announcement combines 2025 financial results with updated strategy in coal and critical minerals. Ramaco reported a full-year net loss of $51.4 million but generated $36.1 million in Adjusted EBITDA and ended the year with record liquidity of $521 million. Operationally, cash mine costs fell to $92 per ton in Q4, and 2026 sales commitments reached 3.1 million tons. The new carbochlorination flowsheet, forthcoming revised PEA by mid‑year, and initial 2026 coal guidance are key milestones to monitor.
Key Terms
adjusted ebitda financial
non-gaap financial
pre-feasibility study ("pfs") technical
preliminary economic assessment ("pea") technical
carbochlorination technical
mixed rare earth carbonate ("mrec") technical
high purity alumina ("hpa") technical
high purity quartz ("hpq") technical
AI-generated analysis. Not financial advice.
FOURTH QUARTER 2025 HIGHLIGHTS
- The Company had a quarterly net loss of
$(14.7) million $(0.26) $(0.22) $2.5 million - The Company had quarterly Adjusted EBITDA of
$8.9 million - The Company had quarterly non-GAAP cash mine cost per ton sold of
$92 $5 U.S. cost curve. This quarter also represented the Company's strongest quarter in terms of cash costs per ton in four years. - Fourth quarter cash margins of
$24 U.S. high-vol metallurgical coal indices having fallen17% during that time. They also exceeded third quarter margins by4% , despite a4% quarterly decline inU.S. high-vol metallurgical coal indices.
FULL-YEAR 2025 HIGHLIGHTS
- For full-year 2025 Ramaco had a net loss of
$(51.4) million $(0.99) $(0.95) - For full-year 2025 Adjusted EBITDA was
$36.1 million - For full-year 2025 non-GAAP cash mine cost was
$98 $7 - For full-year 2025 cash margins were
$22 $35 - The fourth quarter reflected record liquidity of
$521 million 275% year over year. The Company's balance sheet is now the strongest in its history, despite challenging price declines and the weakness in the metallurgical coal markets. - This financial strength will allow the Company to optimize the transition and growth into a dual platform critical minerals company including both future growth of metallurgical coal production as well as the advancement of our rare earths and critical mineral development.
MARKET COMMENTARY / 2026 OUTLOOK
Rare Earths and Critical Minerals:
- The Company continues to progress to development of a Pre-Feasibility Study ("PFS"). It is announcing today that it has developed a fundamental alternative flowsheet design for the processing of its rare earth elements and critical minerals from coal deposits. This process is both proprietary and patent-pending and has been developed by Ramaco's new internal critical mineral processing team. It has also now been endorsed by third party independent testing groups.
- This design improves upon the solvent extraction processing techniques previously modeled and outlined in the Preliminary Economic Assessment ("PEA") prepared in mid-2025 by Fluor Corporation.
- The alternative flowsheet design uses a carbochlorination process for recovery of critical minerals. Internal projections estimate that this flowsheet process will generate materially increased incremental revenue and free cash flow when compared to our previously published projections which had been based on the use of the solvent extraction method.
- As explained below, the carbochlorination process is anticipated to provide fundamental de-risking of the previous processing approach by reducing the overall capital and operating costs associated with oxide production, improving overall recoveries and product yields, increasing cash flow, creating a higher value product slate, while using a proven technique deployed in the titanium industry and reducing the project's reliance on scandium as the main product driver.
- Initial testing by independent third-party laboratories using this flowsheet method indicates an ability to produce significantly higher recovery levels of both gallium and scandium, as well as the ability to produce a slate of high purity, and thus, higher value, gallium related products.
- This is expected to expand the proposed product suite of critical minerals. We now anticipate that the largest amount of our revenue will be from a product slate of high purity gallium, high purity alumina ("HPA") and high purity quartz ("HPQ"). These high value products are primarily used in the semiconductor industry and other related applications. This approach is anticipated to also reduce the project's former reliance on scandium as the dominant product.
- The flowsheet provides potentially increased overall oxide production, higher oxide recovery, and expected higher revenue per ton of feed to the critical minerals processing facility.
- As a result, as part of the flowsheet redesign Ramaco is evaluating the optimal level of initial plant feedstock throughput. We anticipate this may reduce the initial capital expenditure of the oxide processing plant. Ramaco expects, however, to maintain the design optionality to increase both feedstock and plant output as future demand dictates.
- As part of this process revision, Ramaco is now planning to produce a mixed rare earth carbonate ("MREC") product for sale to third-party rare earth magnet-oriented processing companies. MREC output will constitute a minority of total revenue.
- This change is expected to greatly simplify and eliminate the need to construct the costly portion of the processing facility associated with the technically complex solvent extraction form of separation of the rare earths into separated magnetic oxides. Thus, we expect that it will eliminate the substantial capital and operating cost associated with construction and development of the previous large solvent extraction portion of the overall plant.
- Independent third-party testing, design, optimization and preparation of detailed economics for the change in flowsheet design will now modestly push out previous reporting timelines. We now expect to receive a revised PEA being prepared by Hatch, Inc. by mid-year. This PEA will generate revised economics utilizing the new flowsheet. The subsequent more detailed PFS, also being prepared by Hatch, is now expected to be completed by late 2026.
- As part of this new flowsheet analysis Hatch is expected to provide a pilot plant re-design expected by Q3-2026. During this redesign period we will continue current construction of the pilot plant and testing facility in
Sheridan, WY. Development of the interior pilot plant infrastructure is expected to recommence at the Zeton pilot plant fabrication facility inCanada upon receipt of Hatch plans. We will continue third party metallurgical testing to support the PFS phase and are in parallel ramping up internal laboratory and test operations at the iCAM research facility. - Ramaco continues its ongoing dialogue with both governmental and strategic groups regarding our development progress as we clarify our product capabilities, economics and timelines over the coming months.
Metallurgical Coal Sales, Marketing and Growth Projects:
- Sales commitments for 2026 currently total 3.1 million tons as of the date of these Results. These sales equate to almost
80% of the midpoint and roughly75% at the high-end of 2026 production guidance. - 1.1 million tons are committed to North American customers at an average realized fixed price of
$142 - The fourth quarter of 2025 was the weakest quarter of the year for
U.S. high-vol metallurgical coal indices. We have however begun to see a meaningful rebound in low-vol metallurgical index pricing on the back of both Australian supply constraints and stronger Indian demand. Australian premium low-vol indices are up more than$40 $240 10% on average today compared to the fourth quarter average. - Based on this positive market movement the Company will now both initiate and accelerate from 2027 to 2026 several growth projects associated with its low-vol portfolio. Specifically, the Board of Directors has authorized the restarting of the Laurel Fork Mine, as well as adding a 3rd section at our Berwind Mine. At full production, these projects are expected to add 0.5 million tons of production in 2027 and add 0.1-0.2 million tons in 2026.
- In addition, we are accelerating the construction of the new rail loadout project at our low-vol
Maben complex. Completion of the new rail loadout is expected before year-end. This loadout is anticipated to save roughly$20 Maben . It is also expected to facilitate development of deep mining at this complex should the Company elect to initiate that step in the future. It is anticipated that at full production theMaben deep mining could provide approximately 1.5 million tons of additional low-vol production. - Overall, these new low-vol development projects are anticipated to involve roughly
$20 million
Metallurgical Coal Guidance:
- The Company is issuing initial guidance for the 2026 calendar year and expects annual sales volumes between 4.1 and 4.5 million tons, with an ability to increase sales to almost 5 million tons, depending on market conditions.
- The Company expects annual met coal production volumes between 3.7 and 4.1 million tons, with an ability to optimize production levels depending on market conditions. Despite modest capital outlays, the Company anticipates both production and tons sold to increase in 2026 versus 2025. This would mark the Company's sixth consecutive year of production growth. This record is the longest continuous production growth curve among the met coal peer group.
- Ramaco anticipates 2026 cash cost of sales will be in the range of
$95 $100 U.S. met coal peer group. - The Company anticipates Company-wide maintenance and growth capital outlays in 2026 of between
$85 $90 million $10 -11$20 million Berwind andMaben complexes and roughly$20 million - We anticipate 2026 first quarter shipments of between 800,000 – 950,000 tons due to normal annual seasonality in the Great Lakes which is closed for most of the first quarter. We expect cash costs towards the higher end of the range for that quarter, on the back of lower ratable shipments.
MANAGEMENT COMMENTARY
Randall Atkins, Ramaco Resources' Chairman and Chief Executive Officer commented, "Given the exceptional job by our operations team in terms of maintaining cost control at our core metallurgical coal complexes in 2025, I will start my comments on the coal front. Although we share our shareholder interest in the on-going Brook Mine critical mineral development in
Overall cash costs of
We regard Ramaco as a best-in-class employer, that continues to attract the top talent in the industry, and which also led to very strong productivity last quarter.
Furthermore, our fourth quarter cash margins of
As we look ahead, we have initiated our 2026 met coal guidance. We are poised to both grow our total coal production for the 6th year in a row, while lowering overall cash costs per ton sold for the 3rd year in a row. Based on our current 2026 guidance, if benchmark price indices hold at current levels or improve, we expect meaningful earnings growth overall in 2026 versus 2025.
World metallurgical coal markets have begun to see a meaningful and we hope sustained rebound. This appears in index pricing on the back of both Australian supply constraints and stronger Indian demand. Australian premium low-vol indices have increased to roughly
As a result, we are either accelerating or initiating some of our low-vol growth projects which we had deferred until we began to see some positive market clarity. These low-vol projects are expected to add 0.5 million tons of production in 2027. We anticipate they will add 0.1-0.2 million tons in 2026. They also set the table should we decide to pursue further low-vol development in the future.
We are focusing on low-vol production growth in the face of a crowded field of new high-vol projects from our peers who are now fiercely competing in the export markets. This has created current pricing pressure on high-vol coals with indices today lagging well below historical relativities.
Despite this market overcrowding, we have been able to secure recent sales in
Our coal sales for the year have again started off strong. We have sales commitments for 2026 currently totaling 3.1 million tons as of the date of these Results. These sales equate to almost
Moving to our emerging rare earth elements and critical minerals business in
Basically, we now expect markedly increased recoveries and yields of an overall higher value slate of basket oxide production. From this technique we also expect substantially increased production levels of high-purity gallium, high purity alumina, as well as high purity quartz. All of these products target the semi-conductor industries.
The gallium and related products will constitute the largest portion of our overall projected revenue. Although we still expect to produce high levels of scandium, that critical mineral will not dominate the overall product slate in the same manner as in our original flowsheet design.
We also now expect to sell our magnetic rare earth feedstock production as a mixed rare earth carbonate. This approach substantially simplifies the flowsheet. It is expected to reduce both the significant initial capital outlays as well as the on-going operating reagent expense associated with the solvent extraction separation processing technique for rare earth separation.
Internal financial estimates indicate that these modifications, together with the current higher critical mineral pricing environment, are expected to materially increase cash flow generation estimates from our previously published figures. We are now working with our independent consultant Hatch to validate these estimates and expect to publish a revised PEA utilizing this new flowsheet and new economics by mid-year.
These new flowsheet modifications will modestly increase the timeline for completion of our Preliminary Feasibility Study ("PFS"). We believe however that these changes will both ultimately and substantially improve the overall project and best serve the joint interests of both our shareholders and indeed the country.
Importantly, we have now developed and filed patent and trade secret protections around a robust portfolio of intellectual property associated with this novel process. This should ensure that the Brook Mine will be the only coal based unconventional source of domestic REEs and critical minerals that will be able to utilize our new process.
On the market front, the Trump administration recently announced an initiative to establish international price floors for critical minerals to counter
We were also recently gratified to note the Administration's discussion about the creation of domestic rare earth and critical mineral stockpiles for overall supply chain management and procurement. This initiative dovetails with our previously announced critical mineral stockpile and terminal initiative at the Brook Mine which we are pursuing with Goldman Sachs.
Lastly, I want to touch upon the financial transformation of the liquidity levels on our balance sheet that we achieved in the second half of 2025. In total we raised over
First, in July/August we raised
Our balance sheet is now in the strongest position in our history, in spite of the challenging state of the metallurgical coal markets. We ended the fourth quarter with record liquidity of
On the other side of this journey, we hope to realize substantial growth and shareholder opportunities as a dual platform critical minerals enterprise. We will do so by producing both larger levels of high-quality low-cost metallurgical coal, as well as hopefully becoming one of the nation's leading vertically integrated rare earth and critical mineral companies. We look forward to 2026 moving us further along this unique path."
Key operational and financial metrics are presented below (unaudited):
Key Metrics | |||||||||||||||||
4Q25 | 3Q25 | Chg. | 4Q24 | Chg. | 2025 YTD | 2024 YTD | Chg. | ||||||||||
Total Tons Sold ('000) | 938 | 873 | 7 % | 1,122 | (16) % | 3,834 | 3,989 | (4) % | |||||||||
Liquidity ($mm) | $ | 521.0 | $ | 272.4 | 91 % | $ | 137.8 | 278 % | $ | 521.0 | $ | 137.8 | 278 % | ||||
Revenue ($mm) | $ | 128.0 | $ | 121.0 | 6 % | $ | 170.9 | (25) % | $ | 536.6 | $ | 666.3 | (19) % | ||||
Cost of Sales ($mm) | $ | 103.2 | $ | 101.8 | 1 % | $ | 136.1 | (24) % | $ | 453.4 | $ | 533.3 | (15) % | ||||
Non-GAAP Revenue of Tons Sold ($/Ton) (a) | $ | 116 | $ | 120 | (3) % | $ | 129 | (10) % | $ | 120 | $ | 140 | (14) % | ||||
Non-GAAP Cash Cost of Sales ($/Ton) (a) | $ | 92 | $ | 97 | (5) % | $ | 96 | (4) % | $ | 98 | $ | 105 | (7) % | ||||
Non-GAAP Cash Margins on Tons Sold ($/Ton) (a) | $ | 24 | $ | 23 | 4 % | $ | 33 | (27) % | $ | 22 | $ | 35 | (37) % | ||||
Net Income (Loss) ($mm) | $ | (14.7) | $ | (13.3) | (11) % | $ | 3.9 | (481) % | $ | (51.4) | $ | 11.2 | (560) % | ||||
Diluted EPS - Class A Common Stock | $ | (0.26) | $ | (0.25) | (4) % | $ | 0.06 | (533) % | $ | (0.99) | $ | 0.11 | (1,003) % | ||||
Diluted EPS - Class B Common Stock | $ | (0.07) | $ | (0.05) | (40) % | $ | 0.02 | (450) % | $ | (0.43) | $ | 0.47 | (191) % | ||||
Adjusted EBITDA ($mm) (a) | $ | 8.9 | $ | 8.4 | 6 % | $ | 29.2 | (70) % | $ | 36.1 | $ | 105.8 | (66) % | ||||
Cash Capex ($mm) | $ | 12.2 | $ | 16.6 | (27) % | $ | 11.9 | 2 % | $ | 64.3 | $ | 68.8 | (7) % | ||||
Adjusted EBITDA less Capex ($mm) | $ | (3.3) | $ | (8.3) | 60 % | $ | 17.3 | (119) % | $ | (28.2) | $ | 36.9 | (176) % | ||||
(1) See "Reconciliation of Non-GAAP Measures." Differences may occur due to rounding. |
FOURTH QUARTER AND FULL-YEAR 2025 PERFORMANCE
In the following paragraphs, all references to "quarterly" periods or to "the quarter" refer to the fourth quarter of 2025, unless specified otherwise.
Quarterly Year 2025 over 2024 Year Comparison
Quarterly overall production in the fourth quarter of 2025 of 892,000 tons was down
Cash costs were
As a result of the above, cash margins were
Quarterly 2025 Sequential Comparison
Fourth quarter of 2025 production was 892,000 tons, down
Realized quarterly pricing of
Quarterly cash costs of
BALANCE SHEET AND LIQUIDITY
As of December 31, 2025, the Company had liquidity of
During the fourth quarter, the Company issued
Quarterly capital expenditures totaled
For the fourth quarter of 2025, the Company recognized income tax benefit of
The following summarizes key sales, production and financial metrics for the periods noted (unaudited):
Three months ended | Year ended December 31, | ||||||||||||||
December 31, | September 30, | December 31, | |||||||||||||
In thousands, except per ton amounts | 2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||
Sales Volume (tons) | 938 | 873 | 1,122 | 3,834 | 3,989 | ||||||||||
Company Production (tons) | |||||||||||||||
Elk Creek Mining Complex | 697 | 647 | 672 | 2,719 | 2,286 | ||||||||||
Berwind Mining Complex (includes Knox Creek and | 195 | 298 | 282 | 1,107 | 1,385 | ||||||||||
Total | 892 | 945 | 954 | 3,826 | 3,671 | ||||||||||
Per Ton Financial Metrics (a) | |||||||||||||||
Average revenue per ton | $ | 116 | $ | 120 | $ | 129 | $ | 120 | $ | 140 | |||||
Average cash costs of coal sold | 92 | 97 | 96 | 98 | 105 | ||||||||||
Average cash margin per ton | $ | 24 | $ | 23 | $ | 33 | $ | 22 | $ | 35 | |||||
Cash Capital Expenditures | $ | 12,195 | $ | 16,626 | $ | 11,920 | $ | 64,282 | $ | 68,842 | |||||
(a) Metrics are defined and reconciled under "Reconciliation of Non-GAAP Measures." |
Class B Dividend
Our Board of Directors (the "Board") has declared a stock dividend for the first quarter of fiscal year 2026 relating to its Class B common shares to shareholders of record as of the close of Nasdaq on March 13, 2026 (the "Record Date"). The dividends will be paid in Class B common stock and issued on March 27, 2026 (the "Payment Date").
The Board approved and declared the quarterly Class B common stock dividend of
No fractional shares will be issued in connection with the above-described stock dividend. In lieu of the issuance of fractional shares, the Company will pay in cash on the Payment Date the fair value of the fractions of a share issuable, determined as of the close of Nasdaq on the Record Date and based upon the closing transaction price per share of the Class B common stock reported by Nasdaq on that date.
FINANCIAL GUIDANCE
(In thousands, except per ton amounts and percentages)
Full-Year | Full-Year | |||||
2026 Guidance | 2025 | |||||
Company Production (tons) | 3,700 - 4,100 | 3,826 | ||||
Sales (tons) (a) | 4,100 - 4,500 | 3,834 | ||||
Cash Costs Per Ton Sold (b) | $ | 95 - 100 | $ | 98 | ||
Other | ||||||
Capital Expenditures (c) | $ | 85,000 - 90,000 | $ | 64,282 | ||
Selling, general and administrative expense (d) | $ | 67,000 - 72,000 | $ | 69,363 | ||
Depreciation, depletion, and amortization expense | $ | 75,000 - 80,000 | $ | 68,155 | ||
Interest expense (income), net | $ | (1,000 - 2,000) | $ | 7,804 | ||
Effective tax rate (e) | 20 - | 17 % | ||||
Idle Mine and Other Costs | $ | 2,000 - 3,000 | $ | 3,059 | ||
(a) Includes purchased coal. |
(b) Excludes transportation costs and idle mine costs. |
(c) Excludes capitalized interest. |
(d) Includes stock-based compensation. |
(e) Normalized to exclude discrete items. |
Committed 2026 Sales Volume(a)
(In millions, except per ton amounts) (unaudited)
2026 | |||||
Volume | Average Price | ||||
1.1 | $ | 142 | |||
Seaborne, fixed priced | - | ||||
Total, fixed priced | 1.1 | $ | 142 | ||
Index priced | 2.0 | ||||
Total committed tons | 3.1 | ||||
(a) Amounts as of February 24, 2026 include purchased coal. Totals may not add due to rounding. Excludes demurrage. |
ABOUT RAMACO RESOURCES
Ramaco Resources, Inc. is an operator and developer of high-quality, low-cost metallurgical coal in southern
FOURTH QUARTER AND FULL-YEAR 2025 CONFERENCE CALL
Ramaco Resources will hold its quarterly conference call and webcast at 9:00 AM Eastern Time (ET) on Thursday, February 26, 2026. An accompanying slide deck will be available at https://www.ramacoresources.com/investors/investor-presentations/ immediately before the conference call.
To participate in the live teleconference on February 26, 2026:
Domestic Live: (833) 890-6680
International Live: (412) 564-6129
Conference ID: Ramaco Resources Fourth Quarter 2025 Results
Web link: Click Here
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained in this news release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent Ramaco Resources' expectations or beliefs concerning guidance, future events, anticipated revenue, future demand and production levels, macroeconomic trends, the development of ongoing projects, costs and expectations regarding operating results, and it is possible that the results described in this news release will not be achieved.
These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of Ramaco Resources' control, which could cause actual results to differ materially from the results discussed in the forward-looking statements.
These factors include, without limitation, unexpected delays in our current mine development activities, the ability to successfully increase production at our existing met coal complexes in accordance with the Company's growth initiatives, failure of our sales commitment counterparties to perform, increased government regulation of coal in
Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, Ramaco Resources does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for Ramaco Resources to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements found in Ramaco Resources' filings with the Securities and Exchange Commission ("SEC"), including its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The risk factors and other factors noted in Ramaco Resources' SEC filings could cause its actual results to differ materially from those contained in any forward-looking statement.
Ramaco Resources, Inc. | ||||||||||||
Three months ended December 31, | Year ended December 31, | |||||||||||
In thousands, except per share amounts | 2025 | 2024 | 2025 | 2024 | ||||||||
Revenue | $ | 128,007 | $ | 170,893 | $ | 536,618 | $ | 666,295 | ||||
Costs and expenses | ||||||||||||
Cost of sales (exclusive of items shown separately below) | 103,233 | 136,079 | 453,389 | 533,293 | ||||||||
Asset retirement obligations accretion | 461 | 402 | 1,667 | 1,465 | ||||||||
Depreciation, depletion, and amortization | 16,484 | 16,706 | 68,155 | 65,615 | ||||||||
Selling, general, and administrative | 20,936 | 11,354 | 69,363 | 49,286 | ||||||||
Total costs and expenses | 141,114 | 164,541 | 592,574 | 649,659 | ||||||||
Operating (loss) income | (13,107) | 6,352 | (55,956) | 16,636 | ||||||||
Other income (expense), net | (2,168) | 1,332 | 1,620 | 4,407 | ||||||||
Interest expense, net | (506) | (1,614) | (7,804) | (6,123) | ||||||||
(Loss) income before tax | (15,781) | 6,070 | (62,140) | 14,920 | ||||||||
Income tax (benefit) expense | (1,076) | 2,212 | (10,694) | 3,728 | ||||||||
Net (loss) income | $ | (14,705) | $ | 3,858 | $ | (51,446) | $ | 11,192 | ||||
Earnings per common share | ||||||||||||
Basic - Class A | $ | (0.26) | $ | 0.06 | $ | (0.99) | $ | 0.11 | ||||
Basic - Class B | $ | (0.07) | $ | 0.02 | $ | (0.43) | $ | 0.50 | ||||
Diluted - Class A | $ | (0.26) | $ | 0.06 | $ | (0.99) | $ | 0.11 | ||||
Diluted - Class B | $ | (0.07) | $ | 0.02 | $ | (0.43) | $ | 0.47 | ||||
Ramaco Resources, Inc. Unaudited Consolidated Balance Sheets | ||||||
In thousands, except per-share amounts | December 31, 2025 | December 31, 2024 | ||||
Assets | ||||||
Current assets | ||||||
Cash and cash equivalents | $ | 440,347 | $ | 33,009 | ||
Accounts receivable | 54,354 | 73,582 | ||||
Inventories | 87,155 | 43,358 | ||||
Prepaid expenses and other | 15,750 | 17,685 | ||||
Total current assets | 597,606 | 167,634 | ||||
Property, plant, and equipment, net | 511,943 | 482,019 | ||||
Financing lease right-of-use assets, net | 15,763 | 12,437 | ||||
Advanced coal royalties | 5,815 | 4,709 | ||||
Other | 9,442 | 7,887 | ||||
Total Assets | $ | 1,140,569 | $ | 674,686 | ||
Liabilities and Stockholders' Equity | ||||||
Liabilities | ||||||
Current liabilities | ||||||
Accounts payable | $ | 41,600 | $ | 48,855 | ||
Accrued liabilities | 54,724 | 61,659 | ||||
Current portion of asset retirement obligations | 1,797 | 1,035 | ||||
Current portion of long-term debt | 56 | 359 | ||||
Current portion of financing lease obligations | 7,281 | 6,218 | ||||
Insurance financing liability | 4,042 | 4,302 | ||||
Total current liabilities | 109,500 | 122,428 | ||||
Asset retirement obligations, net | 33,122 | 30,052 | ||||
Long-term equipment loans | — | 57 | ||||
Long-term financing lease obligations, net | 10,184 | 7,517 | ||||
Long-term debt, net | 451,361 | 88,135 | ||||
Deferred tax liability, net | 44,309 | 56,027 | ||||
Other long-term liabilities | 8,527 | 7,664 | ||||
Total liabilities | 657,003 | 311,880 | ||||
Commitments and contingencies | ||||||
Stockholders' Equity | ||||||
Class A common stock, | 445 | 438 | ||||
Class B common stock, | 106 | 95 | ||||
Additional paid-in capital | 483,326 | 292,739 | ||||
Retained earnings | (311) | 69,534 | ||||
Total stockholders' equity | 483,566 | 362,806 | ||||
Total Liabilities and Stockholders' Equity | $ | 1,140,569 | $ | 674,686 | ||
Ramaco Resources, Inc. Unaudited Statement of Cash Flows | |||||||
Year ended December 31, | |||||||
In thousands | 2025 | 2024 | |||||
Cash flows from (used in) operating activities: | |||||||
Net (loss) income | $ | (51,446) | $ | 11,192 | |||
Adjustments to reconcile net income to net cash from operating activities: | |||||||
Accretion of asset retirement obligations | 1,667 | 1,465 | |||||
Depreciation, depletion, and amortization | 68,155 | 65,615 | |||||
Amortization of debt issuance costs | 2,711 | 934 | |||||
Stock-based compensation | 17,569 | 17,466 | |||||
(Gain)/loss on disposal of assets | 38 | (18) | |||||
Deferred income taxes | (11,718) | 1,675 | |||||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | 19,228 | 23,284 | |||||
Prepaid expenses and other current assets | 12,059 | 1,869 | |||||
Inventories | (43,797) | (6,195) | |||||
Other assets and liabilities | (3,169) | (2,982) | |||||
Accounts payable | (10,042) | (4,834) | |||||
Accrued liabilities | 714 | 3,194 | |||||
Net cash from operating activities | 1,969 | 112,665 | |||||
Cash flows from (used in) investing activities: | |||||||
Capital expenditures | (62,781) | (55,236) | |||||
Land and mineral acquisition | (18,544) | — | |||||
(1,717) | (13,606) | ||||||
Capitalized interest | (1,209) | (1,498) | |||||
Other | 586 | (495) | |||||
Net cash used in investing activities | (83,665) | (70,835) | |||||
Cash flows from (used in) financing activities: | |||||||
Proceeds from equity offering | 189,000 | — | |||||
Payment of equity offering costs | (746) | — | |||||
Proceeds from long-term debt issuances | 398,483 | 55,160 | |||||
Purchase of capped calls | (32,810) | — | |||||
Proceeds from borrowings | 52,000 | 141,500 | |||||
Repayment of borrowings | (52,369) | (197,966) | |||||
Repayments of senior notes | (34,500) | — | |||||
Proceeds from stock options exercised | 802 | 534 | |||||
Payment of dividends | (4,340) | (24,602) | |||||
Repayments of insurance financing | (7,276) | (5,540) | |||||
Repayments of equipment finance leases | (10,497) | (8,636) | |||||
Payment of debt issuance costs | (5,217) | (657) | |||||
Shares surrendered for withholding taxes payable | (3,489) | (10,581) | |||||
Net cash from (used in) financing activities | 489,041 | (50,788) | |||||
Net change in cash and cash equivalents and restricted cash | 407,345 | (8,958) | |||||
Cash and cash equivalents and restricted cash, beginning of period | 33,823 | 42,781 | |||||
Cash and cash equivalents and restricted cash, end of period | 441,168 | 33,823 | |||||
Reconciliation of Non-GAAP Measures (Unaudited)
Adjusted EBITDA
Adjusted EBITDA is used as a supplemental non-GAAP financial measure by management and external users of our financial statements, such as industry analysts, investors, lenders, and rating agencies. We believe Adjusted EBITDA is useful because it allows us to evaluate our operating performance more effectively.
We define Adjusted EBITDA as net income plus net interest expense; equity-based compensation; depreciation, depletion, and amortization expenses; income taxes; accretion of asset retirement obligations; and, when applicable, certain other non-operating and expense items that are non-recurring and not related to the underlying business performance. Its most comparable GAAP measure is net income. A reconciliation of net income to Adjusted EBITDA is included below. Adjusted EBITDA is not intended to serve as a substitute for GAAP measures of performance and may not be comparable to similarly titled measures presented by other companies.
Q4 | Q3 | Q4 | Year ended December 31, | |||||||||||
(In thousands) | 2025 | 2025 | 2024 | 2025 | 2024 | |||||||||
Reconciliation of Net Income to Adjusted EBITDA | ||||||||||||||
Net (loss) income | $ | (14,705) | $ | (13,308) | $ | 3,858 | $ | (51,446) | $ | 11,192 | ||||
Depreciation, depletion, and amortization | 16,484 | 17,091 | 16,706 | 68,155 | 65,615 | |||||||||
Interest expense, net | 506 | 2,250 | 1,614 | 7,804 | 6,123 | |||||||||
Income tax (benefit) expense | (1,076) | (3,299) | 2,212 | (10,694) | 3,728 | |||||||||
EBITDA | 1,209 | 2,734 | 24,390 | 13,819 | 86,658 | |||||||||
Stock-based compensation | 4,726 | 4,731 | 4,211 | 17,569 | 17,466 | |||||||||
Other non-operating (a) | — | 500 | 193 | 500 | 203 | |||||||||
Other expense (b) | 2,500 | — | — | 2,500 | — | |||||||||
Accretion of asset retirement obligation | 461 | 402 | 402 | 1,667 | 1,465 | |||||||||
Adjusted EBITDA | $ | 8,896 | $ | 8,367 | $ | 29,196 | $ | 36,055 | $ | 105,792 | ||||
(a) Represents income tax penalties and charitable contributions. |
(b) Represents non-recurring expenses incurred in connection with the structuring of a strategic critical minerals terminal. |
Non-GAAP revenue and cash cost per ton
Non-GAAP revenue per ton (FOB mine) is calculated as coal sales revenue less transportation costs including demurrage costs, divided by tons sold. Non-GAAP cash cost per ton sold (FOB mine) is calculated as cash cost of coal sales less transportation costs and idle and other costs, divided by tons sold. We believe revenue per ton (FOB mine) and cash cost per ton (FOB mine) provide useful information to investors as these enable investors to compare revenue per ton and cash cost per ton for the Company against similar measures made by other publicly-traded coal companies and more effectively monitor changes in coal prices and costs from period to period excluding the impact of transportation costs, which are beyond our control. The adjustments made to arrive at these measures are significant in understanding and assessing the Company's financial performance. Revenue per ton sold (FOB mine) and cash cost per ton sold (FOB mine) are not measures of financial performance in accordance with GAAP and therefore should not be considered as a substitute for revenue and cost of sales under GAAP. The tables below show how we calculate non-GAAP revenue and cash cost per ton:
Non-GAAP revenue per ton (unaudited)
Q4 | Q3 | Q4 | Year ended December 31, | ||||||||||||
(In thousands, except per ton amounts) | 2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||
Metallurgical Coal Segment | |||||||||||||||
Revenue | $ | 128,007 | $ | 120,996 | $ | 170,893 | $ | 536,618 | $ | 666,295 | |||||
Less: Adjustments to reconcile to Non-GAAP revenue (FOB mine) | |||||||||||||||
Transportation | 19,290 | 16,131 | 25,945 | 75,070 | 107,031 | ||||||||||
Non-GAAP revenue (FOB mine) | $ | 108,717 | $ | 104,865 | $ | 144,948 | $ | 461,548 | $ | 559,264 | |||||
Tons sold | 938 | 873 | 1,122 | 3,834 | 3,989 | ||||||||||
Non-GAAP revenue per ton sold (FOB mine) | $ | 116 | $ | 120 | $ | 129 | $ | 120 | $ | 140 | |||||
Non-GAAP cash cost per ton (unaudited)
Q4 | Q3 | Q4 | Year ended December 31, | |||||||||||
(In thousands, except per ton amounts) | 2025 | 2025 | 2024 | 2025 | 2024 | |||||||||
Metallurgical Coal Segment | ||||||||||||||
Cost of sales | $ | 107,063 | $ | 101,842 | $ | 134,942 | $ | 453,389 | $ | 528,538 | ||||
Less: Adjustments to reconcile to Non-GAAP cash cost of sales | ||||||||||||||
Transportation costs | 19,290 | 16,366 | 25,942 | 75,327 | 106,241 | |||||||||
Idle and other costs | 1,331 | 583 | 742 | 3,059 | 1,529 | |||||||||
Non-GAAP cash cost of sales | $ | 86,442 | $ | 84,893 | $ | 108,258 | $ | 375,003 | $ | 420,768 | ||||
Tons sold | 938 | 873 | 1,122 | 3,834 | 3,989 | |||||||||
Non-GAAP cash cost per ton sold (FOB mine) | $ | 92 | $ | 97 | $ | 96 | $ | 98 | $ | 105 | ||||
Non-GAAP cash margins on tons sold | $ | 24 | $ | 23 | $ | 33 | $ | 22 | $ | 35 | ||||
We do not provide reconciliations of our outlook for cash cost per ton to cost of sales in reliance on the unreasonable efforts exception provided for under Item 10(e)(1)(i)(B) of Regulation S-K. We are unable, without unreasonable efforts, to forecast certain items required to develop the meaningful comparable GAAP cost of sales. These items typically include non-cash asset retirement obligation accretion expenses, mine idling expenses and other non-recurring indirect mining expenses that are difficult to predict in advance in order to include a GAAP estimate.
View original content:https://www.prnewswire.com/news-releases/ramaco-resources-reports-fourth-quarter-and-full-year-2025-results-302697586.html
SOURCE Ramaco Resources, Inc.
FAQ
What were Ramaco Resources (METC) Q4 2025 earnings and EPS?
How strong is Ramaco's balance sheet after Q4 2025 results for METC?
What is Ramaco's 2026 metallurgical coal guidance for METC?
What is the new rare earth processing approach announced by Ramaco (METC)?
How much of 2026 production is already committed for Ramaco (METC)?
