Alliance Resource Posts Q2 Earnings Miss
Alliance Resource Partners (NASDAQ:ARLP), a leading coal producer with growing oil and gas royalty assets, reported its second quarter results on July 28, 2025, covering the period that ended in June. The most significant news from the release was a decline in both earnings and revenue (GAAP) for Q2 2025 compared to market expectations and the same period last year. Earnings per limited partner unit (basic and diluted, GAAP) were $0.46, missing analyst expectations of $0.61 (GAAP) by 24.6%. Revenue (GAAP) finished at $547.5 million, short of the expected $578.7 million (GAAP) and down 7.7% from the prior year. Management attributed this underperformance to lower realized coal prices and a one-time $25.0 million impairment on a non-core investment. Still, the company highlighted strong contracting activity and improvement in shipment volumes as bright spots during an otherwise mixed quarter.
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.
Alliance Resource Partners is the second-largest coal producer in the eastern United States, operating multiple mines in both the Illinois Basin and Appalachia. The company also owns oil and gas mineral and royalty interests across top U.S. energy regions, including the Permian, Anadarko, and Williston Basins. Its core revenue comes from supplying coal to domestic electric utilities, especially through stable, long-term contracts.
Source Fool.com
