Core Natural Resources (NYSE: CNR) posts Q4 loss but guides stronger 2026
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Core Natural Resources, Inc. reported a Q4 2025 net loss of
The company generated net cash from operating activities of
For 2026, Core guides to total coal sales of
Positive
- None.
Negative
- None.
Insights
Mixed quarter: reported loss, solid cash generation, and constructive 2026 guidance.
Core Natural Resources posted a Q4 2025 net loss of
Management emphasizes 2026 as an inflection year, with guidance for total coal sales of
The balance sheet remains a key support, with total liquidity of
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): February 12, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
(Address of principal executive offices)
(Zip code)
Registrant's telephone number, including area code:
(724 ) 416-8300
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
Core Natural Resources, Inc. (the "Company," "we," "us," or "our") issued a press release on February 12, 2026 announcing its 2025 fourth quarter results. A copy of the press release is attached to this Form 8-K as Exhibit 99.1.
Please refer to our website at www.corenaturalresources.com for additional information regarding the Company. For example, periodically during the quarter, we may provide investor presentations, which would appear on our website in the Investors section.
Item 7.01 Regulation FD Disclosure.
On February 12, 2026, the Company posted an investor presentation to its website, which is furnished as Exhibit 99.2 hereto and is incorporated herein by reference.
The information in this Current Report and the exhibits hereto shall be considered “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference into any filing under the Securities Act of 1933 as amended, or the Exchange Act, regardless of any general incorporation language in such filing, except as shall be expressly set forth by specific reference in such filing.
The response to Item 2.02 is incorporated herein by reference to this Item 7.01.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit 99.1 Press release of Core Natural Resources, Inc. dated February 12, 2026
Exhibit 99.2 Core Natural Resources, Inc. Investor Presentation dated February 12, 2026
Exhibit 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Core Natural Resources, Inc. | ||||||||
| (Registrant) | ||||||||
| By: | /s/ MITESHKUMAR B. THAKKAR | |||||||
| Miteshkumar B. Thakkar | ||||||||
| President and Chief Financial Officer | ||||||||
Dated: February 12, 2026
Exhibit 99.1
Core Natural Resources Reports Fourth Quarter 2025 Results
Resumes longwall mining at Leer South, enters 2026 operating at targeted production rates
Completes transition to new seam at West Elk, enters 2026 operating at targeted production rates
Generates net cash provided by operating activities of $107.3 million and free cash flow1 of $27.0 million
Significantly increases contracted position in all segments, at prices projected to drive advantageous margins
Returns $26.8 million to stockholders, bringing the total returned to stockholders in 2025 to $245.1 million
CANONSBURG, Pa., Feb. 12, 2026 /PRNewswire/ -- Today, Core Natural Resources, Inc. (NYSE: CNR) (“Core” or the “company”) reported a net loss of $79.0 million, or ($1.54) per diluted share, in the fourth quarter of 2025. Additionally, Core reported adjusted EBITDA1 of $103.1 million in the quarter, which included fire extinguishment costs at Leer South and idle mine cash costs at Leer South and West Elk totaling $36.4 million, as well as a portion of the total insurance proceeds related to the Baltimore bridge collapse of $23.9 million. Revenues totaled $1.042 billion in Q4.
“During Q4, the Core team set the stage for a significant, value-driving step-change in both operational execution and financial performance in 2026,” said Jimmy Brock, Core’s chairman and chief executive officer. “With the return to form of our world-class Leer South and West Elk mines, Core expects to demonstrate operational excellence across the entire mining portfolio in 2026, while showcasing the substantial synergistic value created by last year’s merger. In addition, Core anticipates incremental insurance recoveries stemming from the combustion-related event at Leer South, buoying further the outlook for free cash flow generation and capital returns.”
“In short, Core is now poised to deliver on its full potential as a low-cost, diversified, logistically advantaged supplier of high-quality coal products to growing steel and industrial markets around the world, as well as to a resurgent U.S. power generation market,” Brock added. “Most importantly, the Core team continues to operate in tight alignment with our core values – safety and compliance, continuous improvement, and financial performance.”
Operational and Marketing Update
During the fourth quarter of 2025, Core’s high calorific value thermal coal segment had coal sales of 7.8 million tons, which was 9 percent higher than in Q3, and achieved realized coal revenue per ton sold1 of $58.11, which was modestly lower than in Q3 due principally to weaker pricing on seaborne shipments. The segment had cash cost of coal sold per ton1 of $41.42, which was adversely affected by higher maintenance-related expenses at the PAMC as well as still-depressed volumes at West Elk as that mine completed the transition to the B-Seam, where — as expected — both seam thickness and coal quality are proving to be markedly better.
In Core’s metallurgical segment, coking coal sales totaled 2.0 million tons in Q4 and thermal byproduct sales totaled 0.3 million tons, largely consistent with Q3 levels. The segment achieved realized coal revenue per ton sold1 for coking coal of $114.25 and realized coal revenue per ton sold1 for the thermal byproduct of $47.50, with realized coal revenue per ton sold1 for the metallurgical segment as a whole of $105.45. The metallurgical segment reported a cash cost of coal sold per ton1 of $103.49, reflecting the absence of longwall production at Leer South until late in the quarter.
In the Powder River Basin segment, sales volumes totaled 12.6 million tons in Q4, which was modestly lower than Q3’s strong shipment levels. Realized coal revenue per ton sold1 increased to $14.21, reflecting improving pricing on spot sales, and cash cost of coal sold per ton1 came in at $13.62, reflecting higher maintenance costs and lower fixed cost absorption quarter-over-quarter. On a year-over-year basis, both revenues and costs in the PRB segment were lower, largely due to the recently enacted reduction in the royalty rate for federal coal coupled with provisions in many existing contracts requiring that cost savings associated with certain policy-related changes be passed along to the customer.
During the quarter, the marketing team signed commitments for delivery in 2026 and future years — across the high calorific value thermal segment, the metallurgical segment, and the Powder River Basin segment — totaling more than 38 million tons, at prices projected to drive advantageous margins and healthy free cash flow. Core has now locked in a committed book of 2026 business totaling 23.5 million tons in the high calorific value thermal segment and 47.4 million
tons in the Powder River Basin segment. Core has also signed commitments of approximately 6.7 million tons of coking coal, including 2.0 million tons for delivery to North American customers at a fixed price of around $125 per ton.
Financial, Liquidity, and Capital Return Update
In February 2025, Core announced a new capital return framework targeting the return to stockholders of around 75 percent of free cash flow1, with the significant majority of that return directed to share repurchases complemented by a sustaining quarterly dividend of $0.10 per share.
During Q4 2025, Core generated net cash provided by operating activities of $107.3 million and free cash flow1 of $27.0 million. The company invested $21.7 million to repurchase 264,487 shares of its common stock at an average share price of $81.95. Core has now invested a total of $224.3 million to repurchase 3.1 million shares of common stock, or roughly 6 percent of total shares outstanding as of the program’s launch, at an average share price of $72.61, and a total of $245.1 million, inclusive of dividend payments, in the capital return program overall. During fiscal year 2025, Core returned approximately 100 percent of its free cash flow1 to stockholders via its capital return program. As of December 31, 2025, Core had $775.7 million of remaining authorization under its existing $1.0 billion share repurchase program.
In addition, the board declared a $0.10 per share quarterly dividend payable on March 16, 2026, to stockholders of record on March 2, 2026.
“Looking ahead, we expect strong and improving free cash flow generation in 2026, supported by an improved cost performance in our key operating segments, higher overall sales volumes, improving dynamics in major market segments, and incremental insurance proceeds stemming from the Leer South outage,” said Mitesh Thakkar, Core’s president and chief financial officer. “We expect that strong outlook to drive another year of robust capital returns to our stockholders, anchored by share repurchases.”
At December 31, 2025, Core had total liquidity of $948.9 million, including $432.2 million in cash and cash equivalents.
Market Update
Market dynamics appear to be strengthening in several of Core’s key market segments.
In 2025, U.S. utility coal consumption increased by an estimated 45 million tons, or around 12 percent, fueled by a second straight year of robust U.S. power demand growth. U.S. grid operators are preparing for that demand trajectory to continue through the remainder of the decade, spurred by the AI-driven data center build-out. With the U.S. coal fleet still operating at a capacity factor of less than 50 percent – and with the Trump Administration moving aggressively to ensure the long-term viability of the U.S. coal fleet – Core expects U.S. thermal coal demand to continue to climb.
In addition, global metallurgical coal markets appear to be shifting into better balance, effectuated by the continuing rationalization of high-cost supply as well as recent weather-related disruptions in Australia that serve to underscore the fragility of the global supply chain. Since the beginning of December, the price of premium low-vol coal in Queensland has increased by around 25 percent, to approximately $250 per metric ton. Looking ahead, Core expects the ongoing, steel-dependent build-out of Southeast Asian economies – along with sustained investment in new blast furnace capacity across that region – to support a constructive, long-term market outlook for high-quality coking coals.
Moreover, Core continues to capitalize on the ability to direct its sought-after and exceptionally high-rank thermal coals to the most advantageous segments of the seaborne market, even as the major market indices remain range-bound. In particular, Indian cement markets have strengthened markedly in recent weeks and are expected to continue to grow in the years ahead.
Outlook
“With Core’s mining portfolio at full strength and the vast majority of the merger-related operating synergies in full effect, we expect 2026 to mark an inflection point in Core’s operational and financial execution,” Brock stated. “We believe Core’s diversified portfolio of world-class assets – in concert with our extensive and strategic logistical network – positions us to capitalize on the most compelling market opportunities in the coal space, including resurgent power demand growth here in the United States, tightening global energy markets, and the ongoing infrastructure build-out in the developing world. Looking ahead, we expect to generate substantial amounts of free cash flow for deployment in our capital return program in future quarters, and to continue to showcase Core’s ability to generate stockholder value in a wide range of market environments.”
1 - Adjusted EBITDA and Free Cash Flow are non-GAAP financial measures and Realized Coal Revenue per Ton Sold and Cash Cost of Coal Sold per Ton are operating ratios derived from non-GAAP financial measures, each of which is reconciled to the most directly comparable GAAP financial measures below, under the caption “Reconciliation of Non-GAAP Financial Measures.”
2026 Guidance
| 2026 | |||||||||||
| Tons | $ per ton | ||||||||||
Sales Volume (in millions of tons) | |||||||||||
Coking1 | 8.6 - 9.4 | ||||||||||
High C.V. Thermal2 | 30.0 - 32.0 | ||||||||||
| Powder River Basin | 47.0 - 50.0 | ||||||||||
| Total | 85.6 - 91.4 | ||||||||||
Metallurgical (in millions of tons) | |||||||||||
| Committed, Priced Coking | 2.4 | $119.93 | |||||||||
| Committed, Unpriced Coking | 4.3 | ||||||||||
| Total Committed Coking | 6.7 | ||||||||||
| Metallurgical Cash Cost of Coal Sold per Ton | $88.00 - $94.00 | ||||||||||
High C.V. Thermal (in millions of tons) | |||||||||||
Committed, Priced3 | 23.4 | $57.27 | |||||||||
| Committed, Unpriced | 0.1 | ||||||||||
| Total Committed High C.V. Thermal | 23.5 | ||||||||||
| High C.V. Thermal Cash Cost of Coal Sold per Ton | $38.00 - $39.50 | ||||||||||
Powder River Basin4 (in millions of tons) | |||||||||||
| Committed, Priced | 47.4 | $14.15 | |||||||||
| Powder River Basin Cash Cost of Coal Sold per Ton | $13.00 - $13.50 | ||||||||||
Corporate (in $ millions) | |||||||||||
| Capital Expenditures | $325 - $375 | ||||||||||
| Depreciation, Depletion and Amortization | $600 - $650 | ||||||||||
Cash Basis Selling, General and Administrative5 | $85 - $100 | ||||||||||
| Cash Tax Rate | 0% - 5% | ||||||||||
1 - Excludes thermal byproduct
2 - Includes crossover volumes
3 - Reflects inclusion of collared commitments
4 - Reflects the expected impact of the recently enacted royalty rate reduction on federal coal leases
5 - Excludes expenses related to non-cash stock-based compensation and other non-recurring adjustments
Note - Core is unable to provide a reconciliation of Metallurgical Cash Cost of Coal Sold per Ton, High C.V. Thermal Cash Cost of Coal Sold per Ton and Powder River Basin Cash Cost of Coal Sold per Ton guidance, which are operating ratios derived from non-GAAP financial measures, without unreasonable efforts due to the unknown effect, timing and potential significance of certain income statement items.
Availability of Additional Information
Please refer to our website, www.corenaturalresources.com, for additional information regarding the company. In addition, we may provide other information about the company from time to time on our website.
Investors seeking our detailed financial statements can refer to the Annual Report on Form 10-K once it has been filed with the Securities and Exchange Commission (“SEC”).
About Core Natural Resources, Inc.
Core Natural Resources, Inc. (NYSE: CNR) is a world-class producer of high-quality metallurgical and high calorific value thermal coals for the global marketplace. Core’s highly skilled workforce operates a best-in-sector portfolio of large-scale, low-cost longwall mines, including the Pennsylvania Mining Complex, Leer, Leer South, and West Elk mines, along with one of the world’s largest and most productive surface mines, Black Thunder. The company plays an essential role in meeting the world’s growing need for steel, infrastructure, and energy, while simultaneously serving the resurgent requirements of the U.S. power generation fleet. Core has an extensive and strategic logistical network – anchored by ownership positions in two East Coast marine export terminals – that provides reliable and efficient access to seaborne coal markets. The company’s deeply ingrained culture is grounded in safety and compliance, continuous improvement, and financial performance, with an emphasis on stakeholder engagement and stockholder returns. Core was created in January 2025 via the merger of long-time industry leaders CONSOL Energy and Arch Resources and is based in Canonsburg, Pennsylvania.
Condensed Consolidated Statements of (Loss) Income
The following table presents condensed consolidated statements of (loss) income for the three months and years ended December 31, 2025 and 2024 (in thousands):
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||||||
| Revenues | $ | 1,042,465 | $ | 573,565 | $ | 4,164,775 | $ | 2,164,406 | ||||||||||||||||||
| Costs and Expenses: | ||||||||||||||||||||||||||
| Cost of Sales (exclusive of items shown separately below) | 934,475 | 378,937 | 3,544,817 | 1,431,432 | ||||||||||||||||||||||
| Depreciation, Depletion and Amortization | 179,242 | 58,353 | 621,067 | 223,526 | ||||||||||||||||||||||
| General and Administrative Costs | 56,571 | 37,555 | 214,856 | 115,224 | ||||||||||||||||||||||
| Other Operating Income and Expense, net | (30,735) | 60,832 | (33,904) | 43,224 | ||||||||||||||||||||||
| 1,139,553 | 535,677 | 4,346,836 | 1,813,406 | |||||||||||||||||||||||
| (Loss) Income from Operations | (97,088) | 37,888 | (182,061) | 351,000 | ||||||||||||||||||||||
| Interest Expense | (11,448) | (7,129) | (40,124) | (22,192) | ||||||||||||||||||||||
| Interest Income | 5,593 | 5,078 | 25,890 | 19,223 | ||||||||||||||||||||||
| Loss on Debt Extinguishment | — | — | (11,680) | — | ||||||||||||||||||||||
| Non-Service Related Pension and Postretirement Benefit Costs | (6,427) | (4,183) | (25,728) | (17,384) | ||||||||||||||||||||||
| (Loss) Earnings Before Income Tax | (109,370) | 31,654 | (233,703) | 330,647 | ||||||||||||||||||||||
| Income Tax (Benefit) Expense | (30,389) | 833 | (80,487) | 44,242 | ||||||||||||||||||||||
| Net (Loss) Income | $ | (78,981) | $ | 30,821 | $ | (153,216) | $ | 286,405 | ||||||||||||||||||
| (Loss) Earnings per Share: | ||||||||||||||||||||||||||
| Basic | $ | (1.54) | $ | 1.04 | $ | (2.98) | $ | 9.65 | ||||||||||||||||||
| Diluted | $ | (1.54) | $ | 1.04 | $ | (2.98) | $ | 9.61 | ||||||||||||||||||
Condensed Consolidated Balance Sheets
The following table presents condensed consolidated balance sheets as of December 31, 2025 and 2024 (in thousands):
| December 31, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| ASSETS | (Unaudited) | (Unaudited) | ||||||||||||
| Cash and Cash Equivalents | $ | 432,174 | $ | 408,240 | ||||||||||
| Trade Receivables, net | 349,233 | 136,750 | ||||||||||||
| Other Current Assets | 558,815 | 240,968 | ||||||||||||
| Total Current Assets | 1,340,222 | 785,958 | ||||||||||||
Total Property, Plant and Equipment—Net | 4,386,882 | 1,921,699 | ||||||||||||
| Total Other Assets | 402,949 | 171,886 | ||||||||||||
| TOTAL ASSETS | $ | 6,130,053 | $ | 2,879,543 | ||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||
| Total Current Liabilities | $ | 838,289 | $ | 518,684 | ||||||||||
| Total Long-Term Debt | 354,160 | 94,794 | ||||||||||||
| Total Deferred Credits and Other Liabilities | 1,259,370 | 697,818 | ||||||||||||
| Total Stockholders’ Equity | 3,678,234 | 1,568,247 | ||||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 6,130,053 | $ | 2,879,543 | ||||||||||
Condensed Consolidated Statements of Cash Flows
The following table presents condensed consolidated statements of cash flows for the three months and years ended December 31, 2025 and 2024 (in thousands):
| Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| Cash Flows from Operating Activities: | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||
| Net (Loss) Income | $ | (78,981) | $ | 30,821 | $ | (153,216) | $ | 286,405 | |||||||||||||||
| Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities: | |||||||||||||||||||||||
| Depreciation, Depletion and Amortization | 179,242 | 58,353 | 621,067 | 223,526 | |||||||||||||||||||
| Other Non-Cash Adjustments to Net (Loss) Income | (31,462) | 10,749 | (23,513) | 14,184 | |||||||||||||||||||
| Changes in Working Capital | 38,511 | 21,387 | (138,586) | (47,725) | |||||||||||||||||||
| Net Cash Provided by Operating Activities | 107,310 | 121,310 | 305,752 | 476,390 | |||||||||||||||||||
| Cash Flows from Investing Activities: | |||||||||||||||||||||||
| Capital Expenditures | (81,277) | (40,840) | (284,581) | (177,988) | |||||||||||||||||||
| Proceeds from Sales of Assets | 1,000 | 76 | 7,514 | 7,396 | |||||||||||||||||||
| Other Investing Activity | (3,664) | 10,433 | 324,726 | 5,561 | |||||||||||||||||||
| Net Cash (Used in) Provided by Investing Activities | (83,941) | (30,331) | 47,659 | (165,031) | |||||||||||||||||||
| Cash Flows from Financing Activities: | |||||||||||||||||||||||
| Net (Payments on) Proceeds from Long-Term Debt, Including Fees | (5,350) | (2,310) | 67,290 | (11,473) | |||||||||||||||||||
| Repurchases of Common Stock | (21,673) | — | (224,264) | (70,879) | |||||||||||||||||||
| Dividends and Dividend Equivalents Paid | (5,214) | (7,409) | (26,264) | (15,860) | |||||||||||||||||||
| Other Financing Activities | (1,551) | (3,333) | (16,553) | (8,873) | |||||||||||||||||||
| Net Cash Used in Financing Activities | (33,788) | (13,052) | (199,791) | (107,085) | |||||||||||||||||||
| Net (Decrease) Increase in Cash and Cash Equivalents and Restricted Cash | (10,419) | 77,927 | 153,620 | 204,274 | |||||||||||||||||||
| Cash and Cash Equivalents and Restricted Cash at Beginning of Period | 611,581 | 369,615 | 447,542 | 243,268 | |||||||||||||||||||
| Cash and Cash Equivalents and Restricted Cash at End of Period | $ | 601,162 | $ | 447,542 | $ | 601,162 | $ | 447,542 | |||||||||||||||
Reconciliation of Non-GAAP Financial Measures
We define realized coal revenue as revenues reported in the Consolidated Statements of (Loss) Income less transportation costs, transloading revenues and other revenues not directly attributable to coal sales. We define realized coal revenue per ton sold as realized coal revenue divided by tons sold. The following table presents a reconciliation by reportable segment of realized coal revenue and realized coal revenue per ton sold to revenues, the most directly comparable GAAP financial measure (in thousands, except per ton information):
| Three Months Ended December 31, 2025 | |||||||||||||||||||||||||||||||||||||||||
| High CV Thermal | Metallurgical | PRB | Core Marine Terminal | Idle and Other | Eliminations | Consolidated | |||||||||||||||||||||||||||||||||||
| Revenues | $ | 545,336 | $ | 304,787 | $ | 182,956 | $ | 24,105 | $ | 2,996 | $ | (17,715) | $ | 1,042,465 | |||||||||||||||||||||||||||
| Less: Adjustments to Reconcile to Segment Realized Coal Revenue | |||||||||||||||||||||||||||||||||||||||||
| Transportation Costs, including Intersegment Transportation Costs | 89,525 | 65,953 | 3,287 | — | — | — | 158,765 | ||||||||||||||||||||||||||||||||||
| Intersegment Terminal Revenues | — | — | — | 17,715 | — | (17,715) | — | ||||||||||||||||||||||||||||||||||
| Non-Coal Revenues | — | — | — | 6,390 | 2,996 | — | 9,386 | ||||||||||||||||||||||||||||||||||
| Segment Realized Coal Revenue | $ | 455,811 | $ | 238,834 | $ | 179,669 | $ | — | $ | — | $ | — | $ | 874,314 | |||||||||||||||||||||||||||
| Tons Sold | 7,844 | 2,265 | 12,647 | ||||||||||||||||||||||||||||||||||||||
| Realized Coal Revenue per Ton Sold | $ | 58.11 | $ | 105.45 | $ | 14.21 | |||||||||||||||||||||||||||||||||||
The following table presents a breakdown of the realized coal revenue per ton sold for the metallurgical segment between coking coal and thermal byproduct (in thousands, except per ton information):
| Three Months Ended December 31, 2025 | |||||||||||||||||
| Coking Coal | Thermal Byproduct | Total Metallurgical Segment | |||||||||||||||
| Segment Realized Coal Revenue | $ | 224,647 | $ | 14,187 | $ | 238,834 | |||||||||||
| Tons Sold | 1,966 | 299 | 2,265 | ||||||||||||||
| Realized Coal Revenue per Ton Sold | $ | 114.25 | $ | 47.50 | $ | 105.45 | |||||||||||
We evaluate our cash cost of coal sold on an aggregate basis by segment and our cash cost of coal sold per ton on a per-ton basis. Cash cost of coal sold includes items such as direct operating costs, royalty and production taxes and direct administration costs, and excludes transportation costs, indirect costs, other costs not directly attributable to the production of coal and depreciation, depletion and amortization costs on production assets. We define cash cost of coal sold per ton as cash cost of coal sold divided by tons sold.
The following table presents a reconciliation by reportable segment of cash cost of coal sold and cash cost of coal sold per ton to cost of sales, the most directly comparable GAAP financial measure (in thousands, except per ton information):
| Three Months Ended December 31, 2025 | |||||||||||||||||||||||||||||||||||||||||
| High CV Thermal | Metallurgical | PRB | Core Marine Terminal | Idle and Other | Eliminations | Consolidated | |||||||||||||||||||||||||||||||||||
| Cost of Sales | $ | 425,553 | $ | 325,629 | $ | 175,539 | $ | 7,813 | $ | 17,656 | $ | (17,715) | $ | 934,475 | |||||||||||||||||||||||||||
| Less: Adjustments to Reconcile to Segment Cash Cost of Coal Sold | |||||||||||||||||||||||||||||||||||||||||
| Transportation Costs | 73,605 | 64,158 | 3,287 | — | — | — | 141,050 | ||||||||||||||||||||||||||||||||||
| Intersegment Transportation Costs | 15,920 | 1,795 | — | — | — | (17,715) | — | ||||||||||||||||||||||||||||||||||
| Cost of Sales from Idled Operations | 11,124 | 25,262 | — | — | 9,501 | — | 45,887 | ||||||||||||||||||||||||||||||||||
| Terminal Operating Costs | — | — | — | 7,813 | — | — | 7,813 | ||||||||||||||||||||||||||||||||||
| Other Non-Active Mining Costs | — | — | — | — | 8,155 | — | 8,155 | ||||||||||||||||||||||||||||||||||
| Segment Cash Cost of Coal Sold | $ | 324,904 | $ | 234,414 | $ | 172,252 | $ | — | $ | — | $ | — | $ | 731,570 | |||||||||||||||||||||||||||
| Tons Sold | 7,844 | 2,265 | 12,647 | ||||||||||||||||||||||||||||||||||||||
| Cash Cost of Coal Sold per Ton | $ | 41.42 | $ | 103.49 | $ | 13.62 | |||||||||||||||||||||||||||||||||||
We define adjusted EBITDA as (i) net income (loss) plus income taxes, net interest expense and depreciation, depletion and amortization, as adjusted for (ii) certain non-cash items, such as loss on debt extinguishment and (iii) other adjustments, such as stock-based compensation and Merger-related expenses. Adjusted EBITDA may also be adjusted for items that may not reflect the trend of future results by excluding transactions that are not indicative of our operating performance or that arise outside of the ordinary course of our business.
The following table presents a reconciliation by reportable segment of adjusted EBITDA to net income (loss), the most directly comparable GAAP financial measure (in thousands):
| Three Months Ended December 31, 2025 | |||||||||||||||||||||||||||||||||||
| High CV Thermal | Metallurgical | PRB | Core Marine Terminal | Other and Corporate | Consolidated | ||||||||||||||||||||||||||||||
| Net Income (Loss) | $ | 68,045 | $ | (87,137) | $ | (519) | $ | 14,842 | $ | (74,212) | $ | (78,981) | |||||||||||||||||||||||
| Income Tax Benefit | — | — | — | — | (30,389) | (30,389) | |||||||||||||||||||||||||||||
| Interest Expense, net | — | — | — | — | 5,855 | 5,855 | |||||||||||||||||||||||||||||
| Depreciation, Depletion and Amortization | 51,738 | 66,295 | 7,936 | 1,450 | 51,823 | 179,242 | |||||||||||||||||||||||||||||
| Other Adjustments | — | — | — | — | 27,402 | 27,402 | |||||||||||||||||||||||||||||
| Adjusted EBITDA | $ | 119,783 | $ | (20,842) | $ | 7,417 | $ | 16,292 | $ | (19,521) | $ | 103,129 | |||||||||||||||||||||||
Free cash flow is a non-GAAP financial measure, defined as net cash provided by operating activities plus proceeds from sales of assets and unrestricted cash proceeds from the Merger with Arch Resources, Inc., less capital expenditures and investments in mining-related activities. Management believes that this measure is meaningful to investors because management reviews cash flows generated from operations and non-core asset sales after taking into consideration capital expenditures due to the fact that these expenditures are considered necessary to maintain and expand the company's asset base and are expected to generate future cash flows from operations. It is important to note that free cash flow does not represent the residual cash flow available for discretionary expenditures, since other non-discretionary expenditures, such as mandatory debt service requirements, are not deducted from the measure. The following table presents a reconciliation of free cash flow to net cash provided by operating activities, the most directly comparable GAAP financial measure (in thousands):
| Three Months Ended December 31, 2025 | |||||
| Net Cash Provided by Operating Activities | $ | 107,310 | |||
| Capital Expenditures | (81,277) | ||||
| Proceeds from Sales of Assets | 1,000 | ||||
| Investments in Mining-Related Activities | (77) | ||||
| Free Cash Flow | $ | 26,956 | |||
Cautionary Statement Regarding Forward-Looking Statements
This communication contains certain “forward-looking statements” within the meaning of federal securities laws. Forward-looking statements may be identified by words such as “years ahead,” “look forward” and similar expressions. Forward-looking statements are not statements of historical fact and reflect Core’s current views about future events. No assurances can be given that the forward-looking statements contained in this communication will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, without limitation, uncertainties regarding the ability of Core to mine, upgrade, process, and extract REEs and CMs from its existing mines, including uncertainties regarding the financial impacts of such activities; risks related to the recently announced CEO transition; risks related to the prior occurrence of combustion-related activity at Core’s Leer South mine and the risk of future occurrences; the increase in combustion-related gases at Core’s Leer South mine; deterioration in economic conditions or changes in consumption patterns of our customers may decrease demand for our products, impair our ability to collect customer receivables and impair our ability to access capital; volatility and wide fluctuation in coal prices based upon a number of factors beyond our control; an extended decline in the prices we receive for our coal; significant downtime of our equipment or inability to obtain equipment, parts or raw materials; decreases in the availability of, or increases in the price of, commodities or capital equipment used in our coal mining operations; our reliance on major customers, our ability to collect payment from our customers and uncertainty in connection with our customer contracts; our inability to acquire additional coal reserves or resources that are economically recoverable; decreases in coal consumption patterns for steel production, electric power generation and industrial applications; the availability and reliability of transportation facilities and other systems that deliver our coal to market and fluctuations in transportation costs; a loss of our competitive position; inflation could result in higher costs and decreased profitability; foreign currency fluctuations that could adversely affect the competitiveness of our coal abroad; risks related to the fact that a significant portion of our production is sold in international markets (and may grow) and our compliance with export control and anti-corruption laws; coal users switching to other fuels in order to comply with various environmental standards related to coal combustion emissions; the impact of current and future regulations to address climate change, the discharge, disposal and clean-up of hazardous substances and wastes and employee health and safety on our operating costs as well as on the market for coal; the risks inherent in coal operations, including being subject to unexpected disruptions caused by adverse geological conditions, equipment failure, delays in moving out longwall equipment, railroad derailments, security breaches or terroristic acts and other hazards, delays in the completion of significant construction or repair of equipment, fires, explosions, seismic activities, accidents and weather conditions; our inability to manage our operational footprint in response to changes in demand; failure to obtain or renew surety bonds or insurance coverages on acceptable terms; the effects of coordinating our operations with oil and natural gas drillers and distributors operating on our land; our inability to obtain financing for capital expenditures on satisfactory terms; the effects of our securities being excluded from certain investment funds as a result of environmental, social and governance practices; the effects of global conflicts on commodity prices and supply chains; the effect of new or existing laws, regulations, tariffs, executive orders or other trade measures; our inability to find suitable joint venture partners or acquisition targets or integrating the operations of future acquisitions into our operations; obtaining, maintaining and renewing governmental permits and approvals for our coal operations; the effects of asset retirement obligations, employee-related long-term liabilities and certain other liabilities; uncertainties in estimating our economically recoverable coal reserves; defects in our chain of title for our undeveloped reserves or failure to acquire additional property to perfect our title to coal rights; the outcomes of various legal proceedings; the risk of our debt agreements, our debt and changes in interest rates affecting our operating results and cash flows; information theft, data corruption, operational disruption and/or financial loss resulting from a terrorist attack or cyber incident; the potential failure to retain and attract qualified personnel of the company; failure to maintain effective internal control over financial reporting; uncertainty with respect to the company’s common stock, potential stock price volatility and future dilution; uncertainty regarding the timing and value of any dividends we may declare; uncertainty as to whether we will repurchase shares of our common stock; inability of stockholders to bring legal action against us in any forum other than the state courts of Delaware; the risk that the businesses of the company and Arch Resources, Inc. will not be integrated successfully; the risk that the anticipated benefits of the merger may not be realized or may take longer to realize than expected; the risks related to new or existing tariffs and other trade measures; and other unforeseen factors.
All such factors are difficult to predict, are beyond Core’s control, and are subject to additional risks and uncertainties, including those detailed in Core’s annual report on Form 10-K for the year ended December 31, 2025, quarterly reports on Form 10-Q, and current reports on Form 8-K that are available on Core’s website at www.corenaturalresources.com and on the SEC’s website at http://www.sec.gov.
Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Core does not undertake any obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof.
Source: Core Natural Resources, Inc.
Contacts:
Investor:
Deck Slone, (314) 994-2766
investorrelations@coreresources.com
Media:
Erica Fisher, (724) 416-8292
media@coreresources.com
Fourth Quarter 2025 Earnings Supplement February 12, 2026
2 FORWARD-LOOKING STATEMENTS This communication contains certain “forward-looking statements” within the meaning of federal securities laws. Forward-looking statements may be identified by words such as “years ahead,” “look forward” and similar expressions. Forward-looking statements are not statements of historical fact and reflect Core’s current views about future events. No assurances can be given that the forward-looking statements contained in this communication will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, without limitation, uncertainties regarding the ability of Core to mine, upgrade, process, and extract REEs and CMs from its existing mines, including uncertainties regarding the financial impacts of such activities; risks related to the recently announced CEO transition; risks related to the prior occurrence of combustion-related activity at Core’s Leer South mine and the risk of future occurrences; the increase in combustion-related gases at Core’s Leer South mine; deterioration in economic conditions or changes in consumption patterns of our customers may decrease demand for our products, impair our ability to collect customer receivables and impair our ability to access capital; volatility and wide fluctuation in coal prices based upon a number of factors beyond our control; an extended decline in the prices we receive for our coal; significant downtime of our equipment or inability to obtain equipment, parts or raw materials; decreases in the availability of, or increases in the price of, commodities or capital equipment used in our coal mining operations; our reliance on major customers, our ability to collect payment from our customers and uncertainty in connection with our customer contracts; our inability to acquire additional coal reserves or resources that are economically recoverable; decreases in coal consumption patterns for steel production, electric power generation and industrial applications; the availability and reliability of transportation facilities and other systems that deliver our coal to market and fluctuations in transportation costs; a loss of our competitive position; inflation could result in higher costs and decreased profitability; foreign currency fluctuations that could adversely affect the competitiveness of our coal abroad; risks related to the fact that a significant portion of our production is sold in international markets (and may grow) and our compliance with export control and anti-corruption laws; coal users switching to other fuels in order to comply with various environmental standards related to coal combustion emissions; the impact of current and future regulations to address climate change, the discharge, disposal and clean-up of hazardous substances and wastes and employee health and safety on our operating costs as well as on the market for coal; the risks inherent in coal operations, including being subject to unexpected disruptions caused by adverse geological conditions, equipment failure, delays in moving out longwall equipment, railroad derailments, security breaches or terroristic acts and other hazards, delays in the completion of significant construction or repair of equipment, fires, explosions, seismic activities, accidents and weather conditions; our inability to manage our operational footprint in response to changes in demand; failure to obtain or renew surety bonds or insurance coverages on acceptable terms; the effects of coordinating our operations with oil and natural gas drillers and distributors operating on our land; our inability to obtain financing for capital expenditures on satisfactory terms; the effects of our securities being excluded from certain investment funds as a result of environmental, social and governance practices; the effects of global conflicts on commodity prices and supply chains; the effect of new or existing laws, regulations, tariffs, executive orders or other trade measures; our inability to find suitable joint venture partners or acquisition targets or integrating the operations of future acquisitions into our operations; obtaining, maintaining and renewing governmental permits and approvals for our coal operations; the effects of asset retirement obligations, employee-related long-term liabilities and certain other liabilities; uncertainties in estimating our economically recoverable coal reserves; defects in our chain of title for our undeveloped reserves or failure to acquire additional property to perfect our title to coal rights; the outcomes of various legal proceedings; the risk of our debt agreements, our debt and changes in interest rates affecting our operating results and cash flows; information theft, data corruption, operational disruption and/or financial loss resulting from a terrorist attack or cyber incident; the potential failure to retain and attract qualified personnel of the company; failure to maintain effective internal control over financial reporting; uncertainty with respect to the company’s common stock, potential stock price volatility and future dilution; uncertainty regarding the timing and value of any dividends we may declare; uncertainty as to whether we will repurchase shares of our common stock; inability of stockholders to bring legal action against us in any forum other than the state courts of Delaware; the risk that the businesses of the company and Arch Resources, Inc. will not be integrated successfully; the risk that the anticipated benefits of the merger may not be realized or may take longer to realize than expected; the risks related to new or existing tariffs and other trade measures; and other unforeseen factors. All such factors are difficult to predict, are beyond Core’s control, and are subject to additional risks and uncertainties, including those detailed in Core’s annual report on Form 10-K for the year ended December 31, 2025, quarterly reports on Form 10-Q, and current reports on Form 8-K that are available on Core’s website at www.corenaturalresources.com and on the SEC’s website at http://www.sec.gov. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Core does not undertake any obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof.
3 FOURTH QUARTER 2025 HIGHLIGHTS • Sets stage for step-change in operational execution in 2026 • Resumes longwall mining at Leer South metallurgical mine, entering 2026 at targeted production rates • Completes transition to new, thicker coal seam at the West Elk high calorific value thermal mine, entering 2026 at targeted production rates • Effectively completes integration process, laying the foundation for a further uplift in financial performance driven by the capture of substantial, merger-related synergies • Increases contracted position by a total of more than 38 million tons across all segments for delivery in 2026 through 2030, at prices projected to drive advantageous margins • Reports a Q4 2025 net loss of $79.0 million and Adjusted EBITDA1 of $103.1 million Both totals include fire extinguishment costs at Leer South and idle mine costs at Leer South and West Elk totaling $36.4 million in aggregate, as well as a portion of the total insurance proceeds related to the Baltimore bridge collapse of $23.9 million • Generates net cash provided by operating activities of $107.3 million and free cash flow1 of $27.0 million • Returns $26.8 million to stockholders via share repurchases and dividend payments, bringing the total returned to stockholders in 2025 to $245.1 million 1 Adjusted EBITDA and free cash flow are non-GAAP measures; see the Appendix for a reconciliation of these amounts to the most directly comparable GAAP measures.
4 THE PREMIER PURE-PLAY GLOBAL COAL PRODUCER, STRATEGICALLY POSITIONED TO SUPPLY THE WORLD’S GROWING STEEL, INDUSTRIAL, AND ENERGY NEEDS WHILE MANAGING BY OUR CORE VALUES OF SAFETY AND COMPLIANCE, CONTINUOUS IMPROVEMENT, AND FINANCIAL PERFORMANCE 4 Logistical Excellence Industry-leading logistical network anchored by ownership positions in two large-scale East Coast marine export terminals Innovation Leader in its core business and via its Innovations business unit, which is advancing new, coal-based applications in areas such as aerospace and defense Safety-Based Culture Highly skilled workforce with a deeply ingrained, safety-based culture and a goal of zero life-altering accidents, complemented by a deep commitment to environmental stewardship Strategic Diversification across multiple, high-potential market segments, with strong penetration in fast-growing seaborne markets as well as newly resurgent, AI-driven domestic power markets Global Reach Supplies customers in ~25 countries located on five continents with one of the industry’s broadest arrays of coal products Unmatched Scale 2025 sales volume of 89 million tons and 2025 revenue of $4.2 billion Long-Lived Reserves Decades of high-quality reserves that will support low-cost mining at flagship longwall operations through 2050 Low-Cost Advantage First quartile on cost curve among U.S. metallurgical and seaborne thermal coal suppliers Longwall Powerhouse ~90% of projected seaborne export volumes from world-class longwall mines Infrastructure Focus 75% of exports directed to steelmakers, cement manufacturers, and infrastructure providers, as well as other industrial users Unrivaled Quality Highest calorific value thermal coal supplied to the seaborne marketplace Leading Supplier Among largest global suppliers of premium, High-Vol A coking coal Leading Capital Return Program Industry-leading capital return program weighted towards share repurchases and capable of delivering robust returns across a wide range of market environments Financial Strength One of the industry’s strongest balance sheets and liquidity positions, with an approximately net debt neutral cash profile Compelling Cash Generation Highly cash-generative assets across a wide range of market environments, with a strategic mix of contracted and market- exposed volumes Source: Internal and Wood Mackenzie
5 11 mines anchored by eight longwalls 89 mm 2025 total tons sold 27 Mtpa export capacity via ownership interests in CMT and DTA KEY STATISTICS Core Marine Terminal (“CMT”) Accessible terminal capacity Core Natural Resources headquarters Vancouver Long Beach Houston New Orleans Dominion Terminal Associates (“DTA”) (35% interest) CMT (100% owned) High C.V. Thermal Bailey Enlow Fork Harvey PRB Black Thunder Coal Creek DTA (35% owned) LEADING METALLURGICAL AND HIGH C.V. THERMAL PORTFOLIOS SUPPORTED BY STRATEGIC LOGISTICAL NETWORK Metallurgical Leer Leer South Beckley Mountain Laurel Itmann High C.V. Thermal West Elk
6 FINANCIAL RESULTS DESPITE TWO MAJOR OPERATING TRANSITIONS AND A MIXED MARKET ENVIRONMENT, CORE GENERATED POSITIVE FREE CASH FLOW IN Q4 $141.2 $103.1 Q3 Q4 Adjusted EBITDA1 (in millions of $US) • Core generated significant Adjusted EBITDA1 in Q4 despite the absence of longwall operations at Leer South and constrained longwall production at West Elk until late in the quarter • Core generated $27.0 million in free cash flow1 in Q4, underscoring the cash-generating potential of the company’s diversified operating portfolio even during periods when key mines are underperforming and market conditions are mixed Proceeds from insurance income of $23.9 million in Q4 2025 expected in Q1 2026 $38.9 $27.0 Q3 Q4 Free Cash Flow1 (in millions of $US) 1 Adjusted EBITDA and free cash flow are non-GAAP measures; see the Appendix for a reconciliation of these amounts to the most directly comparable GAAP measures.
7 CAPITAL RETURN PROGRAM DURING Q4, CORE RETURNED $26.8 MILLION TO STOCKHOLDERS, BRINGING TOTAL TO $245.1 MILLION SINCE PROGRAM’S LAUNCH 54.0 52.6 51.5 51.2 51.0 2/20/2025 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Reduction In Shares Outstanding Since February 20, 2025 (in millions of shares outstanding) Capital Returned Since February 20, 2025, By Method (share repurchases versus dividend payments, in millions of $US) $224.3 (Repurchases) $20.8 (Dividends) (5.6)% • During Q4, Core invested $21.7 million to repurchase 264,487 shares of its common stock at an average share price of $81.95 • Core has invested $224.3 million to repurchase ~3.1 million shares, or ~6 percent of shares outstanding as of the program’s launch on 2/20/25 • Core has now returned a total of $245.1 million to stockholders – in the form of repurchases and dividends – since the launch • As of December 31, 2025, Core had $775.7 million of remaining authorization under its existing $1.0 billion share repurchase program
8 COMMITTED VOLUMES 2026 CONTRACTED POSITION FOR CORE’S THREE MINING SEGMENTS 12/31/25 High Calorific Value Thermal Segment (projected volumes and committed and priced position, in short tons, and realized coal revenue per ton sold1) Metallurgical Segment (projected coking coal volumes and committed and priced position, in short tons, and realized coal revenue per ton sold1) 23.4 (at $57.27) 30 – 32 Committed / Priced Committed / Unpriced Uncommitted (at midpoint) 12/31/25 3.5 8.6 – 9.4 3.0 2.4 (at $119.93) 4.3 Powder River Basin Segment (projected volumes and committed and priced position, in short tons, and realized coal revenue per ton sold1) 12/31/25 47.4 (at $14.15)2 47 – 50 • The high calorific value thermal segment has a committed book of business of 23.4 million tons, and the PRB segment has a committed book of business of 47.4 million tons for delivery in 2026, at prices projected to provide attractive margins and healthy free cash flow • In the metallurgical segment, Core has committed 2.4 million tons of coking coal for delivery in 2026, including 2.0 million tons committed to North American customers at an average realized coal revenue per ton sold1 of around $125 1 Core is unable to provide a reconciliation of realized coal revenue per ton sold guidance, which is an operating ratio derived from non-GAAP financial measures, without unreasonable efforts due to the unknown effect, timing and potential significance of certain income statement items. 2 Reflects the impact of the recently enacted royalty rate reduction on federal coal leases, coupled with provisions in certain existing contracts requiring that cost savings associated with certain policy-related changes be passed along to the customer 7.5 2.3
9 2026 CASH COST GUIDANCE, BY OPERATING SEGMENT Cash Cost1Segment $38.00 - $39.50High Calorific Value Thermal $88.00 - $94.00Metallurgical $13.00 - $13.50Powder River Basin • The cost performance of the high calorific value thermal segment should benefit from increased volumes and lower costs at the West Elk mine in 2026 • The cost performance of the metallurgical segment should benefit from a full year of longwall production at Leer South in 2026 • The cost performance of the Powder River Basin segment should benefit from another year of strong production levels as well as a full year of lower royalty rates on its federally leased coal in 2026 1 Core is unable to provide a reconciliation of cash cost of coal sold per ton guidance, which is an operating ratio derived from non-GAAP financial measures, without unreasonable efforts due to the unknown effect, timing and potential significance of certain income statement items. COST GUIDANCE
10 • During the first year of his current term, President Trump has issued a series of executive orders intended to reduce the regulatory burden on America’s coal-based power plants and to ensure the long-term preservation of the U.S. coal fleet • On July 4th, the President signed into law the “One Big Beautiful Bill Act,” which included provisions that stand to benefit Core Designation of metallurgical coal as a “critical material” under the Advanced Manufacturing Tax Credit (45X) Reduction in the royalty rate for federal coal leases Significant cuts to federal subsidies for intermittent, renewable energy • The Trump Administration has expressed an overarching objective to ensure that America’s coal-based power generation fleet – which the Administration views as critical to a reliable, resilient and secure power grid – is preserved and maintained The Administration has employed Section 202(c) of the Federal Power Act to delay – perhaps indefinitely – the planned retirements of coal- fired generating units in a growing number of states The U.S. Department of Energy is making funding available to facilitate the modernization of the U.S. coal fleet • The Trump Administration continues to support the development of a domestic rare earth elements industry, steering some funds directly towards the coalfields, where Core continues to evaluate interesting opportunities in both the East and West • The Administration recently reinstated the National Coal Council, which provides another channel for ongoing, in-depth dialogue between coal producers, including Core, and policymakers • Core applauds the President and his Administration for taking these historic steps to help ensure that coal remains a key element of America’s future energy supply as well as a stabilizing force in both domestic and international markets RECENT POLICY DEVELOPMENTS THAT SHOULD ENHANCE COAL’S COMPETITIVENESS AND OUTLOOK IN BOTH THE U.S. AND OVERSEAS
11 DATA CENTER BUILD-OUT COULD HAVE PROFOUND IMPLICATIONS FOR U.S. POWER DEMAND • Goldman Sachs estimates that data centers now account for 8% of total U.S. power demand and are a prime mover in forecasted future power demand growth • Data center growth is taking place in many key coal-consuming power markets Source: Cushman & Wakefield, Goldman Sachs, Internal Note: The geographic areas represented are Virginia, Phoenix, Dallas, Austin, Atlanta, Carolinas, Reno, Pennsylvania, Oregon, Columbus, Iowa Top Data Center Markets (GW of capacity) 6.2 2.6 24.1 0.0 0.0 In Operation Under Construction Planned 1.8 1.1 6.3 1.4 0.9 7.8 0.9 1.1 7.1 1.3 0.5 4.1 0.7 0.5 4.9 0.6 0.4 2.7 0.3 0.4 5.9 2.1 0.3 0.7 1.9 1.0 3.7 0.6 0.1 2.0 0.2 0.1 3.3
12 U.S. POWER DEMAND IS CLIMBING AFTER YEARS OF STAGNATION • U.S. power demand increased only modestly during the period from 2004 through 2023 • U.S. power demand increased 2.6% in 2024 and was up an additional 2.0% through November 2025 • The AI-driven data center build-out is still in its early stages, which could mean much more such growth to come • Such growth could translate into a profound change in U.S. thermal coal markets Source: EIA for historical data, Internal 3,675 3,704 3,774 3,827 4,700? 2004-2008 2009-2013 2014-2018 2019-2023 2030 Assuming 3% annual average growth U.S. Power Demand (five-year averages in TWH, from 2004 through 2023)
13 THE AVERAGE CAPACITY FACTOR OF THE U.S. COAL FLEET IS STARTING TO REBOUND – AND HAS SUBSTANTIAL ROOM FOR GROWTH Source: EIA, Internal 73% 41% 43% 49% 30% 35% 40% 45% 50% 55% 60% 65% 70% 75% 80% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025E U.S. Coal Fleet Average Capacity Factor (% capacity factor)
14 GLOBAL CEMENT PRODUCTION IN THE WORLD EXCLUDING CHINA IS PROJECTED TO CLIMB MARKEDLY THROUGH 2050 Global Cement Production (in millions of metric tons) Source: Wood Mackenzie, Internal 0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500 2,750 3,000 3,250 2 0 0 0 2 0 0 1 2 0 0 2 2 0 0 3 2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 2 0 2 8 2 0 2 9 2 0 3 0 2 0 3 1 2 0 3 2 2 0 3 3 2 0 3 4 2 0 3 5 2 0 3 6 2 0 3 7 2 0 3 8 2 0 3 9 2 0 4 0 2 0 4 1 2 0 4 2 2 0 4 3 2 0 4 4 2 0 4 5 2 0 4 6 2 0 4 7 2 0 4 8 2 0 4 9 2 0 5 0 Europe Americas Rest of World Africa Middle East Asia Ex. China The vast majority of the world’s cement production relies on coal as a feedstock – with each ton of cement requiring 0.1 to 0.2 tons of coal on average
15 GLOBAL SEABORNE DEMAND FOR METALLURGICAL COAL IS EXPECTED TO GROW STEADILY THROUGH MID-CENTURY 100 200 300 400 • Global seaborne metallurgical coal demand is expected to climb through 2050, buoyed by continued economic development and urbanization in India and the rest of Southeast Asia • Based on the consensus estimate, demand – in aggregate – is expected to total around 9 billion tons between 2026 and 2050, which could significantly strain supply availability • Core believes that global underinvestment in coking coal supply – coupled with degradation and depletion of the resource basis – will constrain supply growth and push coking coal prices higher over time Projected Global Seaborne Metallurgical Coal Imports (in millions of metric tons) Source: Wood Mackenzie, Internal
16 STEEL PRODUCTION CAPACITY GROWTH IN INDIA AND THE REST OF SOUTHEAST ASIA IS PROJECTED TO EXCEED 160 MILLION TONS BY ~2030 8 9 9 21 20 28 8 40 16 40 35 50 RINL AM/NS JSPL TATA SAIL JSW Planned Steel Capacity Additions In India (in millions of metric tons) Planned Steel Capacity Additions In Southeast Asia (in millions of metric tons) 2030 2024 BLAST FURNACE SHARE OF NEW CAPACITY ADDITIONS IN MT 75%70Southeast Asia 100%8Myanmar 0%5Thailand 43%20Vietnam 100%4Cambodia 100%3Philippines 96%14Malaysia 93%17Indonesia Source: Public Information, Company Filings, Wood Mackenzie, Internal Planned additions total ~94 million tons versus 2024 baseline, with ~90% utilizing blast furnace technology Planned additions total ~70 million tons versus 2024 baseline, with ~75% utilizing blast furnace technology
17 GLOBAL COKING COAL PRODUCTION IN THE PRIMARY, HIGH-QUALITY SUPPLY REGIONS REMAINS WELL BELOW PEAK LEVELS 2025 Change from Peak (%) 2025 Change from Peak (mt) 2025 Exports (mt) 2024 Exports (mt) Peak Exports (mt) Peak YearProducer (22.4%)(42.3)146.9153.0189.22016Australia (28.8%)(18.2)45.151.563.32012United States (12.3%)(4.3)30.728.935.02013Canada (18.5%)(50.6)222.7233.4273.32014Cumulative Source: Customs Data, GTT, Internal
18 • REE and CM Opportunities at Core’s Large-Scale Western Operations Core recently completed a sampling and analysis program at its Powder River Basin mines in collaboration with the University of Wyoming that demonstrated elevated ash-basis concentrations of certain rare earth elements (REEs) and critical minerals (CMs), particularly at the coal seam’s top and bottom Among drill core and grab samples from coal seam margins at Black Thunder, dry ash-basis concentrations averaged in excess of 1,000 parts per million (ppm) for total REEs plus scandium, gallium, and germanium When converted to a critical mineral oxide (CMO) reporting basis (which includes the 16 REEs plus scandium, gallium, and germanium, with the mass of each element converted to its oxide form), ash-basis concentrations at Black Thunder and Coal Creek varied between 284 and 3,047 ppm This enrichment at the coal seam margins is consistent with what was observed during the U.S. Department of Energy-sponsored CORE-CM Project and reported by other operators in the Powder River Basin Primary magnetic rare earth element oxides (i.e., oxides of neodymium, praseodymium, dysprosium, and terbium) accounted for 20% of the total CMOs, and oxides of scandium, gallium, and germanium accounted for 17% of the total CMOs Core is exploring a strategy to leverage the great scale of its PRB operations – which produced approximately 51 million tons of coal in 2025 – in the areas of selective mining, upgrading, and extraction of REEs and CMs • REE and CM Opportunities at Core’s Large-Scale Eastern Operations While concentrations at Core’s eastern operations were somewhat less elevated, the large flow rates and readily accessible nature of byproduct streams at the PAMC, Leer and Leer South operations could offer unique opportunities for further upgrading Geochemical analysis of samples collected from the fine coal refuse streams at the PAMC and Leer operations showed an average dry ash-basis CMO concentration of 444 ppm, with a range of 344 to 568 ppm Primary magnetic REE oxides accounted for 16% of total CMOs, and oxides of scandium, gallium, and germanium accounted for 29% The scale of the PAMC’s preparation plant is unparalleled among U.S. coal mines and yields ~3 million tons per year of fine coal waste that is already very fine and can be readily diverted for further processing, and Leer and Leer South are proximal and could add to this economy of scale POTENTIAL FUTURE OPTIONALITY IN RARE EARTH ELEMENTS AND CRITICAL MINERALS ARENA
19 • The U.S. Department of Energy announced in August that it intends to issue nearly $1 billion of funding focused on securing the American critical minerals and materials supply chain, with some of this funding directed specifically toward critical minerals recovery from coal industry-based feedstocks • Core is now commencing the next phase of its REE and CM evaluation, which will include an expanded drilling program intended to facilitate additional characterization of the potential resource • Core is also engaging with technology and engineering providers and expects to launch an RFP process in coming months • The Core Innovations team also continues to advance its substantial raft of next generation coal applications and products in areas of strategic national interest, including aerospace, defense, and battery technology In particular, Core’s C-BATT joint venture has the potential to reduce America’s heavy reliance on imported graphite, which is a key component in lithium-ion batteries China is the primary source of U.S. battery-grade graphite imports POTENTIAL FUTURE OPTIONALITY IN RARE EARTH ELEMENTS AND CRITICAL MINERALS ARENA – NEXT STEPS
20 $432 $307 Tax Exempt Bonds $490 $140 $27 Liquidity Sources at 12/31/25 Total Debt at 12/31/25 Total Liquidity = $949 MillionRevolving Credit Facility Availability Cash and Cash Equivalents Equipment Leases and Other Debt MAINTAINING A STRONG BALANCE SHEET THAT SUPPORTS SUBSTANTIAL FINANCIAL FLEXIBILITY Equipment Leases • At 12/31/25, Core had $948.9 million of total liquidity, including $432.2 million in cash and cash equivalents • The significant majority of Core’s debt consists of unsecured, tax-exempt bonds with an initial 10-year term (maturing in Q1 2035) and a weighted-average interest rate of 5.3 percent • Adding to its financial flexibility, Core has a $600 million revolving credit facility and a $250 million securitization facility Core Has a Strong Balance Sheet with a Net Debt Neutral Position (in millions of $US) Net Debt1 = $15 Million A/R Securitization Facility Availability 1 Net debt is a non-GAAP measure; see the Appendix for a reconciliation of this non-GAAP measure to the most directly comparable GAAP measure.
21 NON-GAAP RECONCILIATIONS High CV Thermal Metallurgical PRB Baltimore Marine Terminal Other and Corporate Consolidated Net Income (Loss) 68,045$ (87,137)$ (519)$ 14,842$ (74,212)$ (78,981)$ Income Tax Benefit — — — — (30,389) (30,389) Interest Expense, net — — — — 5,855 5,855 Depreciation, Depletion and Amortization 51,738 66,295 7,936 1,450 51,823 179,242 Other Adjustments — — — — 27,402 27,402 Adjusted EBITDA 119,783$ (20,842)$ 7,417$ 16,292$ (19,521)$ 103,129$ We define adjusted EBITDA as (i) net income (loss) plus income taxes, net interest expense and depreciation, depletion and amortization, as adjusted for (ii) certain non-cash items, such as loss on debt extinguishment and (iii) other adjustments, such as stock-based compensation and Merger-related expenses. Adjusted EBITDA may also be adjusted for items that may not reflect the trend of future results by excluding transactions that are not indicative of our operating performance or that arise outside of the ordinary course of our business. The following table presents a reconciliation by reportable segment of adjusted EBITDA to net income (loss), the most directly comparable GAAP financial measure for the three months ended December 31, 2025 (in thousands). Three Months Ended December 31, 2025
22 NON-GAAP RECONCILIATIONS - CONTINUED High CV Thermal Metallurgical PRB Baltimore Marine Terminal Other and Corporate Consolidated Net Income (Loss) 86,327$ (47,909)$ 4,796$ 10,754$ (22,370)$ 31,598$ Income Tax Benefit — — — — (52,998) (52,998) Interest Expense, net — — — — 3,028 3,028 Depreciation, Depletion and Amortization 52,842 65,381 8,795 1,398 22,590 151,006 Other Adjustments — — — — 8,548 8,548 Adjusted EBITDA 139,169$ 17,472$ 13,591$ 12,152$ (41,202)$ 141,182$ The following table presents a reconciliation by reportable segment of adjusted EBITDA to net income (loss), the most directly comparable GAAP financial measure for the three months ended September 30, 2025 (in thousands). Three Months Ended September 30, 2025
23 NON-GAAP RECONCILIATIONS - CONTINUED Three Months Ended Three Months Ended December 31, 2025 September 30, 2025 Net Cash Provided by Operating Activities $ 107,310 $ 87,919 Capital Expenditures (81,277) (49,297) Proceeds from Sales of Assets 1,000 295 Investments in Mining-Related Activities (77) — Free Cash Flow $ 26,956 $ 38,917 Free cash flow is a non-GAAP financial measure, defined as net cash provided by operating activities plus proceeds from sales of assets and unrestricted cash proceeds from the Merger with Arch Resources, Inc., less capital expenditures and investments in mining-related activities. Management believes that this measure is meaningful to investors because management reviews cash flows generated from operations and non-core asset sales after taking into consideration capital expenditures due to the fact that these expenditures are considered necessary to maintain and expand the company's asset base and are expected to generate future cash flows from operations. It is important to note that free cash flow does not represent the residual cash flow available for discretionary expenditures, since other non-discretionary expenditures, such as mandatory debt service requirements, are not deducted from the measure. The following table presents a reconciliation of free cash flow to net cash provided by operating activities, the most directly comparable GAAP financial measure for the three months ended December 31, 2025 and September 30, 2025 (in thousands).
24 NON-GAAP RECONCILIATIONS - CONTINUED December 31, 2025 Total Long-Term Debt $ 317,267 Finance Lease Obligations 36,893 Current Portion of Long-Term Debt 98,328 Add: Debt Issuance Costs 6,539 Less: Advance Royalty Commitments (11,407) Total Consolidated Indebtedness $ 447,620 Less: Cash on Hand (432,174) Net Debt $ 15,446 Net debt is defined as total consolidated indebtedness minus cash on hand. The following table presents a reconciliation of net debt to the most directly comparable GAAP financial measure for the three months ended December 31, 2025 (in thousands).
FAQ
How did Core Natural Resources (CNR) perform financially in Q4 2025?
Core reported a Q4 2025 net loss of $79.0 million, or ($1.54) per diluted share, on $1.042 billion in revenue. Despite the loss, it generated $103.1 million of adjusted EBITDA and $27.0 million of free cash flow, supported by insurance proceeds and strong operations.
What are Core Natural Resources’ 2026 coal sales and cost guidance?
For 2026, Core guides total coal sales of 85.6–91.4 million tons across all segments. Cash cost of coal sold per ton is guided at $88.00–$94.00 for metallurgical, $38.00–$39.50 for high CV thermal, and $13.00–$13.50 for Powder River Basin operations.
How much cash and liquidity does Core Natural Resources (CNR) have?
As of December 31, 2025, Core reported total liquidity of $948.9 million, including $432.2 million in cash and cash equivalents. Total consolidated indebtedness was $447.6 million, resulting in a net debt position of roughly $15.4 million, indicating a largely net-debt-neutral profile.
What capital returns did Core Natural Resources deliver in 2025?
In 2025, Core returned approximately $245.1 million to stockholders via its capital return program. This included about $224.3 million of share repurchases, retiring roughly 3.1 million shares, and dividend payments, effectively returning around 100% of the year’s free cash flow.
What volumes has Core Natural Resources contracted for 2026?
Core has secured 2026 commitments of 23.5 million tons in the high calorific value thermal segment and 47.4 million tons in the Powder River Basin. In metallurgical coal, it has committed about 6.7 million tons, including 2.0 million tons to North American customers at roughly $125 per ton.
How are Core Natural Resources’ mines positioned heading into 2026?
Core resumed longwall mining at its Leer South metallurgical mine and completed a transition to a new seam at West Elk, both entering 2026 at targeted production rates. Management highlights these changes, plus merger synergies, as key drivers of expected operational and financial improvement.
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Dec 18, 2025
[144] Core Natural Resources, Inc. SEC Filing
CNR Stock Data
4.61B
50.26M
1.9%
94.22%
4.8%
Thermal Coal
Bituminous Coal & Lignite Mining
United States
CANONSBURG