Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 31, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-38735 | |
Entity Registrant Name | ALPHA METALLURGICAL RESOURCES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 81-3015061 | |
Entity Address, Address Line One | 340 Martin Luther King Jr. Blvd. | |
Entity Address, City or Town | Bristol | |
Entity Address, State or Province | TN | |
Entity Address, Postal Zip Code | 37620 | |
City Area Code | 423 | |
Local Phone Number | 573-0300 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | AMR | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 15,943,649 | |
Entity Central Index Key | 0001704715 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues: | ||||
Coal revenues | $ 867,849 | $ 647,129 | $ 3,271,845 | $ 1,426,039 |
Other revenues | 1,919 | 1,712 | 6,299 | 4,330 |
Total revenues | 869,768 | 648,841 | 3,278,144 | 1,430,369 |
Costs and expenses: | ||||
Cost of coal sales (exclusive of items shown separately below) | 555,502 | 488,169 | 1,736,711 | 1,182,360 |
Depreciation, depletion and amortization | 27,925 | 24,519 | 83,690 | 80,261 |
Accretion on asset retirement obligations | 5,921 | 6,674 | 17,822 | 19,970 |
Amortization of acquired intangibles, net | 4,543 | 2,980 | 16,038 | 9,402 |
Asset impairment and restructuring | 0 | 0 | 0 | (561) |
Selling, general and administrative expenses (exclusive of depreciation, depletion and amortization shown separately above) | 15,095 | 15,264 | 48,339 | 44,891 |
Total other operating loss (income): | ||||
Mark-to-market adjustment for acquisition-related obligations | (2,954) | 11,676 | 10,615 | 18,009 |
Other expense (income) | 2,713 | (457) | 569 | (5,290) |
Total costs and expenses | 608,745 | 548,825 | 1,913,784 | 1,349,042 |
Income from operations | 261,023 | 100,016 | 1,364,360 | 81,327 |
Other (expense) income: | ||||
Interest expense | (1,695) | (17,338) | (19,996) | (53,290) |
Interest income | 1,064 | 54 | 1,412 | 322 |
Equity loss in affiliates | (4,821) | (643) | (8,318) | (1,161) |
Miscellaneous income, net | 1,702 | 1,812 | 4,884 | 5,425 |
Total other expense, net | (3,750) | (16,115) | (22,018) | (48,704) |
Income from continuing operations before income taxes | 257,273 | 83,901 | 1,342,342 | 32,623 |
Income tax expense | (5,437) | (208) | (114,073) | (211) |
Net income from continuing operations | 251,836 | 83,693 | 1,228,269 | 32,412 |
Discontinued operations: | ||||
Income (loss) from discontinued operations before income taxes | 1,273 | (429) | (525) | (1,067) |
Income tax (expense) benefit from discontinued operations | (292) | 0 | 121 | 0 |
Income (loss) from discontinued operations | 981 | (429) | (404) | (1,067) |
Net income | $ 252,817 | $ 83,264 | $ 1,227,865 | $ 31,345 |
Basic income per common share: | ||||
Income from continuing operations (in dollars per share) | $ 14.71 | $ 4.54 | $ 68.16 | $ 1.76 |
Income (loss) from discontinued operations (in dollars per share) | 0.06 | (0.03) | (0.02) | (0.06) |
Net income (in dollars per share) | 14.77 | 4.51 | 68.14 | 1.70 |
Diluted income per common share: | ||||
Income from continuing operations (in dollars per share) | 14.21 | 4.43 | 65.33 | 1.73 |
Income (loss) from discontinuing operations (in dollars per share) | 0.06 | (0.03) | (0.02) | (0.06) |
Net income (in dollars per share) | $ 14.27 | $ 4.40 | $ 65.31 | $ 1.67 |
Weighted average shares - basic (in shares) | 17,119,328 | 18,445,709 | 18,019,161 | 18,426,639 |
Weighted average shares - diluted (in shares) | 17,718,517 | 18,913,352 | 18,800,674 | 18,783,643 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Other Comprehensive Income [Abstract] | ||||
Net income | $ 252,817 | $ 83,264 | $ 1,227,865 | $ 31,345 |
Employee benefit plans: | ||||
Amortization of and adjustments to employee benefit costs | 818 | 1,413 | (2,383) | 13,077 |
Income tax expense | 0 | 0 | 0 | 0 |
Total other comprehensive income (loss), net of tax | 818 | 1,413 | (2,383) | 13,077 |
Total comprehensive income | $ 253,635 | $ 84,677 | $ 1,225,482 | $ 44,422 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 404,430 | $ 81,211 |
Trade accounts receivable, net of allowance for doubtful accounts of $375 and $393 as of September 30, 2022 and December 31, 2021, respectively | 487,352 | 489,241 |
Inventories, net | 178,559 | 129,382 |
Prepaid expenses and other current assets | 76,999 | 47,690 |
Current assets - discontinued operations | 57 | 462 |
Total current assets | 1,147,397 | 747,986 |
Property, plant, and equipment, net of accumulated depreciation and amortization of $497,149 and $443,856 as of September 30, 2022 and December 31, 2021, respectively | 404,171 | 362,218 |
Owned and leased mineral rights, net of accumulated depletion and amortization of $73,446 and $52,444 as of September 30, 2022 and December 31, 2021, respectively | 423,763 | 444,302 |
Other acquired intangibles, net of accumulated amortization of $50,259 and $34,221 as of September 30, 2022 and December 31, 2021, respectively | 58,561 | 74,197 |
Long-term restricted investments | 92,384 | 28,443 |
Long-term restricted cash | 31,724 | 89,426 |
Other non-current assets | 93,332 | 102,614 |
Non-current assets - discontinued operations | 8,521 | 8,526 |
Total assets | 2,259,853 | 1,857,712 |
Current liabilities: | ||
Current portion of long-term debt | 1,711 | 2,989 |
Trade accounts payable | 101,584 | 90,090 |
Acquisition-related obligations – current | 30,131 | 22,405 |
Accrued expenses and other current liabilities | 203,902 | 174,607 |
Current liabilities - discontinued operations | 4,014 | 5,838 |
Total current liabilities | 341,342 | 295,929 |
Long-term debt | 2,987 | 445,562 |
Acquisition-related obligations - long-term | 0 | 19,000 |
Workers’ compensation and black lung obligations | 200,827 | 208,193 |
Pension obligations | 152,184 | 159,930 |
Asset retirement obligations | 135,082 | 132,013 |
Deferred income taxes | 11,723 | 317 |
Other non-current liabilities | 20,794 | 26,176 |
Non-current liabilities - discontinued operations | 23,245 | 23,683 |
Total liabilities | 888,184 | 1,310,803 |
Commitments and Contingencies (Note 16) | ||
Stockholders’ Equity | ||
Preferred stock - par value $0.01, 5.0 million shares authorized, none issued | 0 | 0 |
Common stock - par value $0.01, 50.0 million shares authorized, 21.6 million issued and 16.3 million outstanding at September 30, 2022 and 20.8 million issued and 18.4 million outstanding at December 31, 2021 | 217 | 208 |
Additional paid-in capital | 811,012 | 784,743 |
Accumulated other comprehensive loss | (60,886) | (58,503) |
Treasury stock, at cost: 5.3 million shares at September 30, 2022 and 2.4 million shares at December 31, 2021 | (521,094) | (107,800) |
Retained earnings (accumulated deficit) | 1,142,420 | (71,739) |
Total stockholders’ equity | 1,371,669 | 546,909 |
Total liabilities and stockholders’ equity | $ 2,259,853 | $ 1,857,712 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 375 | $ 393 |
Property, plant and equipment, accumulated amortization, depreciation and amortization | 497,149 | 443,856 |
Owned and lease mineral rights, accumulated depletion and amortization | 73,446 | 52,444 |
Other acquired intangibles, accumulated amortization | $ 50,259 | $ 34,221 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 21,600,000 | 20,800,000 |
Common stock, shares outstanding (in shares) | 16,300,000 | 18,400,000 |
Treasury stock, shares at cost (in shares) | 5,300,000 | 2,400,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Operating activities: | ||||
Net income | $ 252,817 | $ 83,264 | $ 1,227,865 | $ 31,345 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Depreciation, depletion and amortization | 83,690 | 80,261 | ||
Amortization of acquired intangibles, net | 4,543 | 2,980 | 16,038 | 9,402 |
Amortization of debt issuance costs and accretion of debt discount | 7,757 | 9,351 | ||
Mark-to-market adjustment for acquisition-related obligations | (2,954) | 11,676 | 10,615 | 18,009 |
Gain on disposal of assets | (2,607) | (5,342) | ||
Accretion on asset retirement obligations | 5,921 | 6,674 | 17,822 | 19,970 |
Employee benefit plans, net | 1,312 | 6,685 | ||
Deferred income taxes | 11,406 | (1) | ||
Stock-based compensation | 4,103 | 4,351 | ||
Equity loss in affiliates | 4,821 | 643 | 8,318 | 1,161 |
Other, net | 432 | (3,938) | ||
Changes in operating assets and liabilities | (87,714) | (100,681) | ||
Net cash provided by operating activities | 1,299,037 | 70,573 | ||
Investing activities: | ||||
Capital expenditures | (33,339) | (22,347) | (103,351) | (60,386) |
Proceeds on disposal of assets | 3,010 | 7,471 | ||
Purchases of investment securities | (181,539) | (15,474) | ||
Maturity of investment securities | 117,380 | 10,508 | ||
Capital contributions to equity affiliates | (13,832) | (4,473) | ||
Other, net | (4,232) | 52 | ||
Net cash used in investing activities | (182,564) | (62,302) | ||
Financing activities: | ||||
Repurchases of long-term debt | 0 | (18,415) | ||
Principal repayments of long-term debt | (450,484) | (61,869) | ||
Dividend and dividend equivalents paid | (6,807) | 0 | ||
Common stock repurchases and related expenses | (391,166) | (786) | ||
Proceeds from exercise of warrants | 4,771 | 0 | ||
Other, net | (447) | (1,846) | ||
Net cash used in financing activities | (844,133) | (82,916) | ||
Net increase (decrease) in cash and cash equivalents and restricted cash | 272,340 | (74,645) | ||
Cash and cash equivalents and restricted cash at beginning of period | 182,614 | 244,571 | ||
Cash and cash equivalents and restricted cash at end of period | 454,954 | 169,926 | 454,954 | 169,926 |
Reconciliation of Cash and Cash Equivalents and Restricted Cash | ||||
Cash and cash equivalents | 404,430 | 78,283 | 404,430 | 78,283 |
Short-term restricted cash (included in Prepaid expenses and other current assets) | 18,800 | 7,642 | 18,800 | 7,642 |
Long-term restricted cash | 31,724 | 84,001 | 31,724 | 84,001 |
Total cash and cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows | $ 454,954 | $ 169,926 | $ 454,954 | $ 169,926 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Treasury Stock at Cost | (Accumulated Deficit) Retained Earnings |
Beginning balance at Dec. 31, 2020 | $ 200,102 | $ 206 | $ 779,424 | $ (111,985) | $ (107,014) | $ (360,529) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (32,928) | (32,928) | ||||
Other comprehensive income (loss), net | 1,484 | 1,484 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 2,183 | 1 | 2,182 | |||
Common stock repurchases and related expenses | (680) | (680) | ||||
Ending balance at Mar. 31, 2021 | 170,161 | 207 | 781,606 | (110,501) | (107,694) | (393,457) |
Beginning balance at Dec. 31, 2020 | 200,102 | 206 | 779,424 | (111,985) | (107,014) | (360,529) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 31,345 | |||||
Other comprehensive income (loss), net | 13,077 | |||||
Ending balance at Sep. 30, 2021 | 248,097 | 208 | 783,781 | (98,908) | (107,800) | (329,184) |
Beginning balance at Mar. 31, 2021 | 170,161 | 207 | 781,606 | (110,501) | (107,694) | (393,457) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (18,991) | (18,991) | ||||
Other comprehensive income (loss), net | 10,180 | 10,180 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 981 | 1 | 980 | |||
Ending balance at Jun. 30, 2021 | 162,331 | 208 | 782,586 | (100,321) | (107,694) | (412,448) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 83,264 | 83,264 | ||||
Other comprehensive income (loss), net | 1,413 | 1,413 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 1,189 | 1,189 | ||||
Warrants exercises | 6 | 6 | ||||
Common stock repurchases and related expenses | (106) | (106) | ||||
Ending balance at Sep. 30, 2021 | 248,097 | 208 | 783,781 | (98,908) | (107,800) | (329,184) |
Beginning balance at Dec. 31, 2021 | 546,909 | 208 | 784,743 | (58,503) | (107,800) | (71,739) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 400,891 | 400,891 | ||||
Other comprehensive income (loss), net | 775 | 775 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 1,182 | 1 | (391) | 1,572 | ||
Exercise of stock options | 891 | 891 | ||||
Warrants exercises | 3,039 | 1 | 3,038 | |||
Common stock repurchases and related expenses | (23,840) | (23,840) | ||||
Ending balance at Mar. 31, 2022 | 929,847 | 210 | 788,281 | (57,728) | (130,068) | 329,152 |
Beginning balance at Dec. 31, 2021 | 546,909 | 208 | 784,743 | (58,503) | (107,800) | (71,739) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 1,227,865 | |||||
Other comprehensive income (loss), net | (2,383) | |||||
Ending balance at Sep. 30, 2022 | 1,371,669 | 217 | 811,012 | (60,886) | (521,094) | 1,142,420 |
Beginning balance at Mar. 31, 2022 | 929,847 | 210 | 788,281 | (57,728) | (130,068) | 329,152 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 574,157 | 574,157 | ||||
Other comprehensive income (loss), net | (3,976) | (3,976) | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 1,401 | 1,249 | 152 | |||
Exercise of stock options | 11 | 11 | ||||
Warrants exercises | 18,068 | 6 | 18,062 | |||
Common stock repurchases and related expenses | (192,958) | (192,958) | ||||
Cash dividend and dividend equivalents declared | (6,977) | (6,977) | ||||
Ending balance at Jun. 30, 2022 | 1,319,573 | 216 | 807,603 | (61,704) | (322,874) | 896,332 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 252,817 | 252,817 | ||||
Other comprehensive income (loss), net | 818 | 818 | ||||
Stock-based compensation, issuance of common stock for share vesting, and common stock reissuances | 1,520 | 1,176 | 344 | |||
Exercise of stock options | 270 | 270 | ||||
Warrants exercises | 1,964 | 1 | 1,963 | |||
Common stock repurchases and related expenses | (198,564) | (198,564) | ||||
Cash dividend and dividend equivalents declared | (6,729) | (6,729) | ||||
Ending balance at Sep. 30, 2022 | $ 1,371,669 | $ 217 | $ 811,012 | $ (60,886) | $ (521,094) | $ 1,142,420 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |||
Aug. 04, 2022 | May 03, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||
Common stock dividends (in dollars per share) | $ 0.392 | $ 0.375 | $ 0.392 | $ 0.375 |
Business and Basis of Presentat
Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business and Basis of Presentation | Business and Basis of Presentation Business Alpha Metallurgical Resources, Inc. (“Alpha” or the “Company”) is a Tennessee-based mining company with operations across Virginia and West Virginia. With customers across the globe, high-quality reserves and significant port capacity, Alpha is a leading U.S. supplier of metallurgical coal products for the steel industry. Basis of Presentation Together, the condensed consolidated statements of operations, comprehensive income, balance sheets, cash flows and stockholders’ equity for the Company are referred to as the “Condensed Consolidated Financial Statements.” The Condensed Consolidated Financial Statements are also referenced across periods as “Condensed Consolidated Statements of Operations,” “Condensed Consolidated Statements of Comprehensive Income,” “Condensed Consolidated Balance Sheets,” “Condensed Consolidated Statements of Cash Flows,” and “Condensed Consolidated Statements of Stockholders’ Equity.” The Company’s former Northern Appalachia (“NAPP”) operations results of operations and financial position are reported as discontinued operations in the Condensed Consolidated Financial Statements. Refer to Note 2 for further information on discontinued operations. The Condensed Consolidated Financial Statements include all wholly-owned subsidiaries’ results of operations for the three and nine months ended September 30, 2022 and 2021. All significant intercompany transactions have been eliminated in consolidation. The accompanying interim Condensed Consolidated Financial Statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) and in accordance with the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for Form 10-Q. Such rules and regulations allow the omission of certain information and footnote disclosures normally included in the financial statements prepared in accordance with U.S. GAAP as long as the financial statements are not misleading. In the opinion of management, these interim Condensed Consolidated Financial Statements reflect all normal and recurring adjustments necessary for a fair presentation of the results for the periods presented. Results of operations for the three and nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022 or any other period. These interim Condensed Consolidated Financial Statements should be read in conjunction with the Company’s Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. COVID-19 Pandemic In the first quarter of 2020, the COVID-19 virus was declared a pandemic by the World Health Organization. The COVID-19 pandemic has had negative impacts on the Company’s business, results of operations, financial condition and cash flows. The Company experienced an increase in employee absences due to COVID-19. Indirectly, through some of the Company’s third-party vendors, the Company and the Company’s customers have experienced some supply chain disruptions due to the COVID-19 pandemic. The full extent of the impact of the COVID-19 pandemic on the Company’s operational and financial performance will depend on certain developments, including the duration of the virus, its impact on the Company’s customers and suppliers, and the range of governmental and community reactions to the pandemic, which cannot be fully predicted. Health and safety are core values of the Company and are the foundation for how the Company manages every aspect of its business. The Company continues to monitor developments closely and adjust as necessary, including with respect to the Company’s implemented policies, procedures, and prevention measures to protect the safety and health of its employees. Recently Adopted Accounting Guidance Liabilities: In September 2022, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2022-04, Liabilities - Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations (“ASU 2022-04”). This update enhances transparency about an entity’s use of supplier finance programs. The ASU requires entities to disclose information about the key terms of the program, outstanding confirmed amounts as of the end of the period, a rollforward of such amounts during each annual period, and a description of where in the financial statements outstanding amounts are presented. The amendments are effective for fiscal years beginning after December 15, 2022, with early application permitted. The Company adopted ASU 2022-04 during the third quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. Fair Value Measurement: In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (“ASU 2022-03”). This update clarifies how the fair value of equity securities subject to contractual sale restrictions is determined. Per the update, a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and is not considered in measuring fair value. Additionally, the update requires entities with investments in equity securities subject to contractual sale restrictions to disclose certain qualitative and quantitative information about such securities. The amendments are effective for fiscal years beginning after December 15, 2023, with early application permitted. The Company adopted ASU 2022-03 during the second quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. Financial Instruments: In March 2022, the FASB issued ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”). This update eliminates the troubled debt restructuring model for creditors that have adopted Topic 326. All loan modifications will now be accounted for under general loan modification guidance and, on a prospective basis, entities will be subject to new disclosure requirements covering modifications of receivables to borrowers experiencing financial difficulty. In addition, entities will be required to prospectively disclose current-period gross write-off information by year of origination. The amendments are effective for fiscal years beginning after December 15, 2022, with early application permitted. The Company adopted ASU 2022-02 during the first quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations Discontinued operations consist of activity related to the Company’s former NAPP operations. Major Financial Statement Components of Discontinued Operations The income (loss) from discontinued operations before income taxes for the three months ended September 30, 2022 and 2021 was $1,273 and ($429), respectively. The loss from discontinued operations before income taxes for the nine months ended September 30, 2022 and 2021 was $525 and $1,067, respectively. Refer to the Condensed Consolidated Statements of Operations and Note 5 for income (loss) per share information related to discontinued operations. The major components of assets and liabilities that are classified as discontinued operations in the Condensed Consolidated Balance Sheets are as follows: September 30, 2022 December 31, 2021 Assets: Prepaid expenses and other current assets $ 57 $ 462 Other non-current assets (1) $ 8,521 $ 8,526 Liabilities: Trade accounts payable, accrued expenses and other current liabilities $ 4,014 $ 5,838 Workers’ compensation and black lung obligations, non-current $ 23,245 $ 23,683 (1) Comprised of workers’ compensation insurance receivable and long-term restricted investments collateralizing workers’ compensation obligations. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue from Contracts with Customers The Company earns revenues primarily through the sale of coal produced at Company operations and coal purchased from third parties. The Company extracts, processes and markets met and thermal coal from deep and surface mines for sale to steel and coke producers, industrial customers, and electric utilities. The Company has disaggregated revenue between met coal and thermal coal and export and domestic revenues which depicts the pricing and contract differences between the two. Export revenue generally is derived by spot or short term contracts with pricing determined at the time of shipment or based on a market index; whereas domestic revenue is characterized by contracts that typically have a term of one year or longer and typically the pricing is fixed. The following tables disaggregate the Company’s coal revenues by product category and by market to depict how the nature, amount, timing, and uncertainty of the Company’s coal revenues and cash flows are affected by economic factors: Three Months Ended September 30, 2022 Met Coal Thermal Coal Total Export coal revenues $ 602,314 $ 39,031 $ 641,345 Domestic coal revenues 192,301 34,203 226,504 Total coal revenues $ 794,615 $ 73,234 $ 867,849 Three Months Ended September 30, 2021 Met Coal Thermal Coal Total Export coal revenues $ 503,566 $ 13,311 $ 516,877 Domestic coal revenues 92,115 38,137 130,252 Total coal revenues $ 595,681 $ 51,448 $ 647,129 Nine Months Ended September 30, 2022 Met Coal Thermal Coal Total Export coal revenues $ 2,626,077 $ 55,796 $ 2,681,873 Domestic coal revenues 514,771 75,201 589,972 Total coal revenues $ 3,140,848 $ 130,997 $ 3,271,845 Nine Months Ended September 30, 2021 Met Coal Thermal Coal Total Export coal revenues $ 996,642 $ 20,035 $ 1,016,677 Domestic coal revenues 297,592 111,770 409,362 Total coal revenues $ 1,294,234 $ 131,805 $ 1,426,039 Performance Obligations The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied as of September 30, 2022: Remainder of 2022 2023 2024 2025 2026 Total Estimated coal revenues $ 11,388 $ 32,919 $ 37,250 $ — $ — $ 81,557 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following tables summarize the changes to accumulated other comprehensive loss during the nine months ended September 30, 2022 and 2021: Balance January 1, 2022 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance September 30, 2022 Employee benefit costs $ (58,503) $ (4,837) $ 2,454 $ (60,886) Balance January 1, 2021 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance September 30, 2021 Employee benefit costs $ (111,985) $ 8,838 $ 4,239 $ (98,908) The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the Condensed Consolidated Statements of Operations line items affected by the reclassification during the three and nine months ended September 30, 2022 and 2021: Details about accumulated other comprehensive loss components Amounts reclassified from accumulated other comprehensive loss Affected line item in the Condensed Consolidated Statements of Operations Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Employee benefit costs: Amortization of net actuarial loss (1) $ 828 $ 1,413 $ 2,483 $ 4,239 Miscellaneous income, net Settlement (1) (10) — (29) — Miscellaneous income, net Total before income tax $ 818 $ 1,413 $ 2,454 $ 4,239 Income tax — — — — Income tax expense Total, net of income tax $ 818 $ 1,413 $ 2,454 $ 4,239 (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit costs for certain employee benefit plans. Refer to Note 14. |
Net Income Per Share
Net Income Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Net Income Per Share The number of shares used to calculate basic net income per common share is based on the weighted average number of the Company’s outstanding common shares during the respective period. The number of shares used to calculate diluted net income per common share is based on the number of common shares used to calculate basic net income per common share plus the dilutive effect of stock options and other stock-based instruments held by the Company’s employees and directors during the period, and the Company’s outstanding warrants. The dilutive effect of outstanding stock-based instruments is determined by application of the treasury stock method. The stock options and warrants become dilutive for diluted net income per common share calculations when the market price of the Company’s common stock exceeds the exercise price. Anti-dilution also occurs in periods of a net loss, and the dilutive impact of all warrants and share-based compensation awards are excluded. For the three months ended September 30, 2022 and 2021, 0 and 942,408 warrants and stock options respectively, were excluded from the computation of dilutive net income per common share because they would have been anti-dilutive. For nine months ended September 30, 2022 and 2021, 0 and 948,351 warrants, stock options, and other stock-based instruments, respectively, were excluded from the computation of dilutive net income per common share because they would have been anti-dilutive. When applying the treasury stock method, anti-dilution generally occurs when the exercise prices or unrecognized compensation cost per share are higher than the Company’s average stock price during an applicable period. The following table presents the net income per common share for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Net income Income from continuing operations $ 251,836 $ 83,693 $ 1,228,269 $ 32,412 Income (loss) from discontinued operations 981 (429) (404) (1,067) Net income $ 252,817 $ 83,264 $ 1,227,865 $ 31,345 Basic Weighted average common shares outstanding - basic 17,119,328 18,445,709 18,019,161 18,426,639 Basic income per common share: Income from continuing operations $ 14.71 $ 4.54 $ 68.16 $ 1.76 Income (loss) from discontinued operations 0.06 (0.03) (0.02) (0.06) Net income $ 14.77 $ 4.51 $ 68.14 $ 1.70 Diluted Weighted average common shares outstanding - basic 17,119,328 18,445,709 18,019,161 18,426,639 Diluted effect of warrants 170,827 — 312,395 — Diluted effect of stock options 2,043 1,938 4,902 1,654 Diluted effect of other stock-based instruments 426,319 465,705 464,216 355,350 Weighted average common shares outstanding - diluted 17,718,517 18,913,352 18,800,674 18,783,643 Diluted income per common share: Income from continuing operations $ 14.21 $ 4.43 $ 65.33 $ 1.73 Income (loss) from discontinued operations 0.06 (0.03) (0.02) (0.06) Net income $ 14.27 $ 4.40 $ 65.31 $ 1.67 |
Inventories, net
Inventories, net | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net Inventories, net consisted of the following: September 30, 2022 December 31, 2021 Raw coal $ 38,145 $ 20,347 Saleable coal 100,655 81,240 Materials, supplies and other, net 39,759 27,795 Total inventories, net $ 178,559 $ 129,382 |
Capital Stock
Capital Stock | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Share Repurchase Program On March 4, 2022, the Company’s Board of Directors (the “Board”) adopted a share repurchase program that permitted the Company to repurchase up to an aggregate amount of $150,000 of the Company's common stock. On May 3, 2022, the Company’s Board amended the share repurchase program to increase the aggregate amount the Company is permitted to repurchase to $600,000 of the Company's common stock. Share repurchases may be made from time to time through open market transactions, block trades, tender offers, or otherwise, and the program has no expiration date. The share repurchase program does not obligate the Company to acquire any particular amount of common stock or to acquire shares on any particular timetable, and the program may be suspended at any time at the Company’s discretion. Repurchases under the program are subject to market and business conditions, available liquidity, the Company’s cash needs, restrictions under agreements or obligations, legal or regulatory requirements or restrictions and other relevant factors. As of September 30, 2022, the Company had repurchased an aggregate of 2,731,489 shares under the plan for an aggregate purchase price of approximately $389,163 (comprised of $389,081 of share repurchases and $82 of related fees). Refer to Note 18 for subsequent event disclosures related to an increase in the aggregate amount permitted to be repurchased under the share repurchase program. Dividend Program On May 3, 2022, the Company‘s Board adopted a dividend policy. Pursuant to this policy, the Board initially intended to pay aggregate cash dividends of $1.50 per share of common stock per year, with $0.375 per share paid each quarter. On August 4, 2022 the Company’s Board increased the quarterly dividend amount to $0.392 per share. In addition, pursuant to the terms of certain stock-based compensation awards under the Company’s Management Incentive Plan and Long-Term Incentive Plan, dividend equivalent amounts for each quarterly dividend will become payable at various vesting dates with respect to each underlying outstanding award. The Company’s Board declared the following dividends on the Company’s common stock during the nine months ended September 30, 2022: Dividend per share Dividends Paid (1) Declaration Date Holders of Record Date Payable Date $ 0.375 $ 6,773 May 3, 2022 June 15, 2022 July 1, 2022 $ 0.392 $ 6,522 August 4, 2022 September 15, 2022 October 3, 2022 (1) Excludes dividend equivalents paid or accrued of $411 as of September 30, 2022. As of September 30, 2022, a related $6,522 balance was held on deposit to facilitate the dividend payment on October 3, 2022 which was included within Prepaid expenses and other current assets on the Company’s Condensed Consolidated Balance Sheets. The Company expects any future dividend payments will be targeted to be paid in the first month of each calendar quarter. Any decisions as to whether and when to pay future cash dividends will, however, be made by the Board and depend on the Company’s future earnings and financial condition and other relevant factors. Refer to Note 18 for subsequent event disclosures related to the Company’s dividend program which includes the declaration of the quarterly cash dividend and a one-time, special dividend. Warrants On July 26, 2016, the Company issued 810,811 warrants, which are classified as equity instruments. Pursuant to the underlying warrants agreement, the warrants are exercisable for cash or on a cashless basis at any time until July 26, 2023, and no fractional shares shall be issued upon warrant exercises. Pursuant to the underlying warrants agreement, the exercise price was adjusted from $46.911 per share to $46.804 per share as of the June 15, 2022 dividend record date as a result of the occurrence of the dividend declaration on May 3, 2022. The warrant share number remained unchanged, at 1.15. The exercise price was subsequently adjusted from $46.804 per share to $46.679 per share and the warrant share number was adjusted from 1.15 to 1.16 as of the September 15, 2022 dividend record date as a result of the occurrence of the dividend declaration on August 4, 2022. Refer to Note 18 for subsequent event disclosures related to the Company’s dividend program which could result in an additional adjustment to the warrants exercise price and warrants share number. As of September 30, 2022, 211,477 warrants remained outstanding, with a total of 245,313 shares underlying the un-exercised warrants. For the three and nine months ended September 30, 2022, the Company issued 60,084 and 678,241 shares of common stock, respectively, resulting from exercises of its warrants and, pursuant to the terms of the underlying warrants agreement, withheld 18,151 and 186,397 of the issued shares, respectively, in satisfaction of the warrant exercise price and in lieu of fractional shares, which were subsequently reclassified as treasury stock in the amounts of $1,680 and $18,331, respectively. As of September 30, 2021, 801,248 warrants were outstanding, with a total of 921,435 shares underlying the un-exercised warrants. For the three and nine months ended September 30, 2021, the Company issued 140 shares of common stock resulting |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 9 Months Ended |
Sep. 30, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: September 30, 2022 December 31, 2021 Wages and benefits $ 88,130 $ 52,310 Workers’ compensation 10,582 10,582 Black lung 7,235 7,235 Taxes other than income taxes 28,006 30,734 Asset retirement obligations 33,533 32,159 Accrued interest and fees 1,035 14,489 Freight accrual 12,007 15,085 Dividend payable 6,649 — Other 16,725 12,013 Total accrued expenses and other current liabilities $ 203,902 $ 174,607 |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Long-term debt consisted of the following: September 30, 2022 December 31, 2021 Term Loan Credit Facility - due June 2024 $ — $ 449,435 Other (1) 4,698 5,311 Debt discount and issuance costs — (6,195) Total long-term debt $ 4,698 $ 448,551 Less current portion (1,711) (2,989) Long-term debt, net of current portion $ 2,987 $ 445,562 (1) Includes financing leases. Term Loan Credit Facility - due June 2024 On June 14, 2019, the Company entered into a Credit Agreement that provided for a senior secured term loan facility with a maturity date of June 14, 2024 (the “Term Loan Credit Facility”). As of September 30, 2022, there were no outstanding borrowings under the Term Loan Credit Facility as a result of the Company’s voluntary prepayments of $449,435 of outstanding principal borrowings during the first and second quarters of 2022. Effective with the final voluntary prepayment on June 3, 2022, the Credit Agreement was terminated, and the Company was released of all underlying obligations including the Credit Agreement covenants. As December 31, 2021, the carrying value of the Term Loan Credit Facility was $443,241, all of which was classified as long-term within the Condensed Consolidated Balance Sheets. Second Amended and Restated Asset-Based Revolving Credit Agreement The Second Amended and Restated Asset-Based Revolving Credit Agreement (“ABL Agreement”) includes a senior secured asset-based revolving credit facility (the “ABL Facility”). Under the ABL Facility, the Company may borrow cash or obtain letters of credit, on a revolving basis, in an aggregate amount of up to $155,000, of which no more than $150,000 may represent outstanding letters of credit ($125,000 on a committed basis and another $25,000 on an uncommitted cash collateralized basis) with any borrowings having a maturity date of December 6, 2024. As of September 30, 2022 and December 31, 2021, there were no outstanding borrowings under the ABL Facility. As of September 30, 2022 and December 31, 2021, the Company had $63,898 and $121,037 letters of credit outstanding under the ABL Facility, respectively. The ABL Agreement provides that a specified percentage of billed and unbilled receivables and raw and clean inventory meeting certain criteria are eligible to be counted for purposes of collateralizing the amount of financing available, subject to certain terms and conditions. Availability under the ABL Facility is calculated on a monthly basis and fluctuates based on qualifying amounts of coal inventory and trade accounts receivable (the “Borrowing Base”) and the facility's covenant limitations related to the Fixed Charge Coverage Ratio (as defined in therein). In accordance with terms of the ABL Facility, the Company may be required to collateralize the ABL Facility to the extent outstanding borrowings and letters of credit under the ABL Facility exceed the Borrowing Base after considering covenant limitations. The ABL Facility is guaranteed by substantially all of Alpha’s direct and indirect subsidiaries (together with Alpha, the “Loan Parties”) and secured by all or substantially all assets of the Loan Parties, including equity in Alpha’s direct domestic subsidiaries, as collateral for the obligations under the ABL Facility. The ABL Facility has a first lien on ABL priority collateral and a second lien on Term Loan Priority Collateral. As noted above, the Term Loan Credit Facility was voluntarily prepaid in full on June 3, 2022, and in connection therewith, the Term Loan Priority Collateral has been released in connection therewith, and the ABL Facility’s lien on the Term Loan Priority Collateral is no longer second. The ABL Agreement, as amended, and related documents contain negative and affirmative covenants including certain financial covenants. The Company is in compliance with all covenants under these agreements as of September 30, 2022. |
Acquisition-Related Obligations
Acquisition-Related Obligations | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Acquisition-Related Obligations | Acquisition-Related Obligations Acquisition-related obligations consisted of the following: September 30, 2022 December 31, 2021 Contingent Revenue Obligation $ 29,454 $ 35,005 Environmental Settlement Obligations 677 6,633 Discount — (233) Total acquisition-related obligations $ 30,131 $ 41,405 Less current portion (30,131) (22,405) Acquisition-related obligations, net of current portion $ — $ 19,000 Contingent Revenue Obligation |
Asset Retirement Obligations
Asset Retirement Obligations | 9 Months Ended |
Sep. 30, 2022 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations | Asset Retirement Obligations The following table summarizes the changes in asset retirement obligations for the nine months ended September 30, 2022: Total asset retirement obligations at December 31, 2021 $ 164,172 Accretion for the period 17,822 Sites added during the period 634 Revisions in estimated cash flows (897) Expenditures for the period (13,116) Total asset retirement obligations at September 30, 2022 168,615 Less current portion (1) (33,533) Long-term portion $ 135,082 (1) Included within Accrued expenses and other current liabilities on the Company’s Condensed Consolidated Balance Sheets. Refer to Note 8. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments and Fair Value Measurements | Fair Value of Financial Instruments and Fair Value Measurements The estimated fair values of financial instruments are determined based on relevant market information. These estimates involve uncertainty and cannot be determined with precision. The carrying amounts for cash and cash equivalents, trade accounts receivable, net, prepaid expenses and other current assets, short-term and long-term restricted cash, short-term and long-term deposits, trade accounts payable, short-term and long-term dividend payable, and accrued expenses and other current liabilities approximate fair value as of September 30, 2022 and December 31, 2021 due to the short maturity of these instruments. The following tables set forth by level, within the fair value hierarchy, the Company’s long-term debt and acquisition-related obligations at fair value as of September 30, 2022 and December 31, 2021: September 30, 2022 Carrying Amount (1) Total Fair Value Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs Environmental Settlement Obligations $ 677 $ 677 $ — $ — $ 677 December 31, 2021 Carrying Amount (1) Total Fair Value Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs Term Loan Credit Facility - due June 2024 $ 443,241 $ 447,561 $ — $ 447,561 $ — Environmental Settlement Obligations $ 6,400 $ 6,270 $ — $ — $ 6,270 (1) Net of debt discounts and debt issuance costs. The following table sets forth by level, within the fair value hierarchy, the Company’s financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis as of September 30, 2022 and December 31, 2021. Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the determination of fair value for assets and liabilities and their placement within the fair value hierarchy levels. September 30, 2022 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 29,454 $ — $ — $ 29,454 Trading securities $ 92,384 $ — $ 92,384 $ — December 31, 2021 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 35,005 $ — $ — $ 35,005 Trading securities $ 28,443 $ 27,075 $ 1,368 $ — The following tables present a reconciliation of the financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis and that were categorized within Level 3 of the fair value hierarchy: December 31, 2021 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy September 30, 2022 Contingent Revenue Obligation $ 35,005 $ (16,166) $ 10,615 $ — $ 29,454 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of September 30, 2022. December 31, 2020 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy September 30, 2021 Contingent Revenue Obligation $ 28,967 $ (11,396) $ 18,009 $ — $ 35,580 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of September 30, 2021. The following methods and assumptions were used to estimate the fair values of the assets and liabilities in the tables above: Level 1 Fair Value Measurements Trading Securities - Typically includes money market funds. The fair value is based on observable market data. Level 2 Fair Value Measurements Term Loan Credit Facility - due June 2024 - The fair value was based on the average between bid and ask prices provided by a third-party. As the fair value was based on observable market inputs and due to limited trading volume in the Term Loan Credit Facility, the Company had classified the fair value within Level 2 of the fair value hierarchy. Effective June 3, 2022, the Term Loan Credit Facility was terminated. Refer to Note 9 for additional information. Trading Securities - Typically includes certificates of deposit, corporate fixed income, and U.S. government securities. The fair values of the Company’s trading securities are obtained from a third-party pricing service provider. The fair values provided by the pricing service provider are based on observable market inputs including credit spreads and broker-dealer quotes, among other inputs. The Company classifies the prices obtained from the pricing services within Level 2 of the fair value hierarchy because the underlying inputs are directly observable from active markets. However, the pricing models used entail a certain amount of subjectivity and therefore differing judgments in how the underlying inputs are modeled could result in different estimates of fair value. Level 3 Fair Value Measurements Environmental Settlement Obligations - Observable transactions are not available to aid in determining the fair value of these items. Therefore, the fair value was derived by using the expected present value approach in which estimated cash flows are discounted using a risk-free interest rate adjusted for credit risk (discount rate of approximately 0% as of September 30, 2022, based on the expected upcoming settlement date, and 13% as of December 31, 2021). Contingent Revenue Obligation - The fair value of the contingent revenue obligation was estimated using a Black-Scholes pricing model and is marked to market at each reporting period with changes in value reflected in earnings. The inputs included in the Black-Scholes pricing model are the Company's forecasted future revenue, the stated royalty rate, the remaining periods in the obligation, annual risk-free interest rate based on the U.S. Constant Maturity Treasury Curve and annualized volatility. The annualized volatility was calculated by observing volatilities for comparable companies with adjustments for the Company's size and leverage. The range of significant unobservable inputs used to value the Contingent Revenue Obligation as of September 30, 2022 and December 31, 2021, are set forth in the following table: September 30, 2022 December 31, 2021 Forecasted future revenue $3.0 billion $1.5 - $2.0 billion Stated royalty rate 1.0% - 1.5% 1.0% - 1.5% Annualized volatility 20.5% - 31.8% (28.9%) 18.4% - 39.3% (29.9%) |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For the nine months ended September 30, 2022, the Company recorded income tax expense of $114,073 on income from continuing operations before income taxes of $1,342,342. The income tax expense differs from the expected statutory amount primarily due to the decrease in the valuation allowance and the permanent impact of percentage depletion and foreign-derived intangible income deductions, partially offset by the impact of state income taxes, net of federal impact. For the nine months ended September 30, 2021, the Company recorded income tax expense of $211 on income from continuing operations before income taxes of $32,623. The income tax expense differs from the expected statutory amount primarily due to the decrease in the valuation allowance and the permanent impact of percentage depletion deductions, partially offset by the impact of state income taxes, net of federal impact. As a result of generating income before income taxes during the nine months ended September 30, 2022, the Company recorded a decrease of $73,673 to its deferred tax asset valuation allowance recorded as of December 31, 2021. The decrease in the valuation allowance results in part from a decrease in deferred tax assets since the prior reporting date of December 31, 2021. The Company currently is relying primarily on the reversal of taxable temporary differences, along with consideration of taxable income via carryback to prior years and tax planning strategies, to support the realization of deferred tax assets. For each reporting period, the Company updates its assessment regarding the realizability of its deferred tax assets, including scheduling the reversal of its deferred tax assets and liabilities, to determine the amount of valuation allowance needed. Scheduling the reversal of deferred tax asset and liability balances requires judgment and estimation. The Company believes the deferred tax liabilities relied upon as future taxable income in its assessment will reverse in the same period and jurisdiction and are of the same character as the temporary differences giving rise to the deferred tax assets that will be realized. The valuation allowance recorded represents the portion of deferred tax assets for which the Company is unable to support realization through the methods described above. During the nine months ended September 30, 2022, the Company paid estimated federal and state income taxes of $120,165. As of September 30, 2022, the Company has recorded a current federal income taxes receivable of $16,271, classified as Prepaid expenses and other current assets in the Condensed Consolidated Balance Sheets. On August 16, 2022, the Inflation Reduction Act of 2022 (“IRA”) was signed into law. Among other provisions, the IRA enacts a 15% corporate alternative minimum tax and a 1% excise tax on repurchases of corporate stock for tax years beginning after December 31, 2022. The Company is currently assessing the impact of the IRA. |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2022 | |
Compensation Related Costs [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The components of net periodic benefit (credit) cost other than the service cost component for black lung are included in the line item miscellaneous income, net in the Condensed Consolidated Statements of Operations. Pension The following table details the components of the net periodic benefit credit for pension obligations: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Interest cost $ 3,995 $ 3,392 $ 11,985 $ 10,176 Expected return on plan assets (7,183) (7,183) (21,549) (21,549) Amortization of net actuarial loss 528 804 1,583 2,413 Net periodic benefit credit $ (2,660) $ (2,987) $ (7,981) $ (8,960) During the three months ended June 30, 2022, an annual census data actuarial revaluation of pension obligations was performed, which resulted in an increase in the liability for pension obligations of approximately $4,837 with the offset to accumulated other comprehensive gain and a slight decrease in net periodic benefit to be recognized subsequent to the revaluation date. An annual census data actuarial revaluation of pension obligations was also performed during the three months ended June 30, 2021, which resulted in a decrease in the liability for pension obligations of approximately $8,838 with the offset to accumulated other comprehensive gain and a slight increase in net periodic benefit to be recognized subsequent to the revaluation date. Black Lung The following table details the components of the net periodic benefit cost for black lung obligations: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 654 $ 739 $ 1,962 $ 2,217 Interest cost 665 607 1,995 1,821 Expected return on plan assets (13) (14) (39) (42) Amortization of net actuarial loss 209 522 627 1,566 Net periodic benefit cost $ 1,515 $ 1,854 $ 4,545 $ 5,562 Defined Contribution and Profit Sharing Plans During the third quarter of 2022, the Company announced a year-end discretionary employer contribution under the Alpha Metallurgical Resources 401(k) Retirement Savings Plan (the “Plan”) equal to the 2% of the Plan participants’ annual salaries. Effective in June 2021, the Company’s matching contributions under the Plan were reinstated after being suspended due to weak market conditions during the second quarter of 2020. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2022 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions During the three months ended September 30, 2021, the Company repurchased at a discount certain outstanding principal borrowings made under the Term Loan Credit Facility from existing shareholders through privately negotiated transactions. As the participating lenders were existing shareholders (related parties) of the Company as of the repurchase date, the Company analyzed various factors regarding each of the transactions and concluded such repurchases were at a reasonable market rate and reflected the terms of an arm’s length transaction per the requirements of the Term Loan Credit Facility. Refer to Note 9 for additional disclosures on long-term debt. There were no other material related party transactions for the nine months ended September 30, 2022 or 2021. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies (a) General Estimated losses from loss contingencies are accrued by a charge to income when information available indicates that it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the Condensed Consolidated Financial Statements when it is at least reasonably possible that a loss may be incurred and that the loss could be material. (b) Commitments and Contingencies Commitments The Company leases coal mining and other equipment under long-term financing and operating leases with varying terms. In addition, the Company leases mineral interests and surface rights from landowners under various terms and royalty rates. Coal royalty expense was $44,340 and $30,077 for the three months ended September 30, 2022 and 2021, respectively. Coal royalty expense was $174,310 and $70,116 for the nine months ended September 30, 2022 and 2021, respectively. Other Commitments As of September 30, 2022, the Company has obligations under certain coal purchase agreements that contain minimum quantities to be purchased in the remainder of 2022 and 2023 totaling an estimated $65,149 and $10,943, respectively. The Company also has obligations under certain unconditional purchase obligations totaling $47,776, $28,674, and $67,125 in the remainder of 2022, 2023, and 2024, respectively. Contingencies Extensive regulation of the impacts of mining on the environment and of maintaining workplace safety has had, and is expected to continue to have, a significant effect on the Company’s costs of production and results of operations. Further regulations, legislation or litigation in these areas may also cause the Company’s sales or profitability to decline by increasing costs or by hindering the Company’s ability to continue mining at existing operations or to permit new operations. During the normal course of business, contract-related matters arise between the Company and its customers. When a loss related to such matters is considered probable and can reasonably be estimated, the Company records a liability. As of September 30, 2022, per terms of the Cumberland Back-to-Back Coal Supply Agreements, the Company is required to purchase and sell 900 tons of coal in the remainder of 2022 totaling $34,733. For the three months ended September 30, 2022 and 2021, the Company purchased and sold 443 and 514 tons, respectively, totaling $16,979 and $19,948, respectively, under the Cumberland Back-to-Back Coal Supply Agreements. For the nine months ended September 30, 2022 and 2021, the Company purchased and sold 1,120 and 1,974 tons, respectively, totaling $43,100 and $76,501, respectively, under the Cumberland Back-to-Back Coal Supply Agreements. During the fourth quarter of 2022, one Cumberland Back-to-Back Coal Supply Agreement initially scheduled to be fully performed by December 31, 2022 was extended into 2023 and is expected to be fully performed by the end of the second quarter of 2023. (c) Guarantees and Financial Instruments with Off-Balance Sheet Risk In the normal course of business, the Company is a party to certain guarantees and financial instruments with off-balance sheet risk, such as bank letters of credit, performance or surety bonds, and other guarantees and indemnities related to the obligations of affiliated entities which are not reflected in the Company’s Condensed Consolidated Balance Sheets. However, the underlying liabilities that they secure, such as asset retirement obligations, workers’ compensation liabilities, and royalty obligations, are reflected in the Company’s Condensed Consolidated Balance Sheets. The Company is required to provide financial assurance in order to perform the post-mining reclamation required by its mining permits, pay workers’ compensation claims under workers’ compensation laws in various states, pay federal black lung benefits, and perform certain other obligations. In order to provide the required financial assurance, the Company generally uses surety bonds for post-mining reclamation and workers’ compensation obligations. The Company can also use bank letters of credit to collateralize certain obligations. As of September 30, 2022, the Company had $63,898 letters of credit outstanding under the Second Amended and Restated Asset-Based Revolving Credit Agreement. Additionally, as of September 30, 2022, the Company had $50 in letters of credit outstanding under the Credit and Security Agreement dated June 30, 2017, and related amendments, between ANR, Inc. and First Tennessee Bank National Association. As of September 30, 2022, the Company had outstanding surety bonds with a total face amount of $162,105 to secure various obligations and commitments. To secure the Company’s reclamation-related obligations, the Company has $34,750 of collateral in the form of restricted cash, restricted investments, and deposits supporting these obligations as of September 30, 2022. The Company meets frequently with its surety providers and has discussions with certain providers regarding the extent of and the terms of their participation in the program. These discussions may cause the Company to shift surety bonds between providers or to alter the terms of their participation in our program. To the extent that surety bonds become unavailable or the Company’s surety bond providers require additional collateral, the Company would seek to secure its obligations with letters of credit, cash deposits or other suitable forms of collateral. The Company’s failure to maintain, or inability to acquire, surety bonds or to provide a suitable alternative would have a material adverse effect on its liquidity. These failures could result from a variety of factors including lack of availability, higher cost or unfavorable market terms of new surety bonds, and the exercise by third-party surety bond issuers of their right to refuse to renew the surety. Amounts included in restricted cash provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Workers’ compensation and black lung obligations $ 21,985 $ 70,637 Reclamation-related obligations 206 10,449 Financial payments and other performance obligations 9,533 8,340 Contingent Revenue Obligation escrow 18,800 11,977 Total restricted cash 50,524 101,403 Less current portion (1) (18,800) (11,977) Restricted cash, net of current portion $ 31,724 $ 89,426 (1) Included within Prepaid expenses and other current assets on the Company’s Condensed Consolidated Balance Sheets. Amounts included in restricted investments provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Workers’ compensation and black lung obligations $ 55,910 $ 210 Reclamation-related obligations 34,442 26,225 Financial payments and other performance obligations 2,032 2,008 Total restricted investments (1) $ 92,384 $ 28,443 (1) Classified as trading securities as of September 30, 2022 and December 31, 2021. Amounts included in deposits provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Reclamation-related obligations $ 102 $ 118 Financial payments and other performance obligations 391 403 Other operating agreements (1) 7,407 873 Total deposits (2) $ 7,900 $ 1,394 (1) Includes $6,522 related to the Company’s dividend payable. Refer to Note 7 for additional information. (2) Included within Prepaid expenses and other current assets and Other non-current assets on the Company’s Condensed Consolidated Balance Sheets. DCMWC Reauthorization Process In July 2019, the U.S. Department of Labor (Division of Coal Mine Workers’ Compensation or “DCMWC”) began implementing a new authorization process for all self-insured coal mine operators. As requested by the DCMWC, the Company filed an application and supporting documentation for reauthorization to self-insure certain of its black lung obligations in October 2019. As a result of this application, the DCMWC notified the Company in a letter dated February 21, 2020 that the Company was reauthorized to self-insure certain of its black lung obligations for a period of one-year from February 21, 2020. The DCMWC reauthorization is contingent, however, upon the Company’s providing collateral of $65,700 to secure certain of its black lung obligations. This proposed collateral requirement is an increase from the approximate $2,600 in collateral that the Company currently provides to secure these self-insured black lung obligations. The reauthorization process provided the Company with the right to appeal the security determination in writing within 30 days of the date of the notification, which appeal period the DCMWC agreed to extend to May 22, 2020. The Company exercised this right of appeal in connection with the substantial increase in the amount of required collateral. In February 2021, the U.S. Department of Labor (“DOL”) withdrew its Federal Register notice seeking comments on its bulletin describing its new method of calculating collateral requirements. The Department removed the bulletin from its website in May 2021. On February 10, 2022, a telephone conference was held with DCMWC and DOL decision makers wherein the Company presented facts and arguments in support of its appeal. No ruling has been made on the appeal, but during the call the Company indicated that it would be willing to allocate an additional $10,000 in collateral. If the Company’s appeal is unsuccessful, the Company may be required to provide additional letters of credit to receive the self-insurance reauthorization from the DCMWC or alternatively insure these black lung obligations through a third party provider that would likely also require the Company to provide additional collateral. Either of these outcomes could potentially reduce the Company’s liquidity. (d) Legal Proceedings The Company is party to legal proceedings from time to time. These proceedings, as well as governmental examinations, could involve various business units and a variety of claims including, but not limited to, contract disputes, personal injury claims, property damage claims (including those resulting from blasting, trucking and flooding), environmental and safety issues, securities-related matters and employment matters. While some legal matters may specify the damages claimed by the plaintiffs, many seek an unquantified amount of damages. Even when the amount of damages claimed against the Company or its subsidiaries is stated, (i) the claimed amount may be exaggerated or unsupported; (ii) the claim may be based on a novel legal theory or involve a large number of parties; (iii) there may be uncertainty as to the likelihood of a class being certified or the ultimate size of the class; (iv) there may be uncertainty as to the outcome of pending appeals or motions; and/or (v) there may be significant factual issues to be resolved. As a result, if such legal matters arise in the future, the Company may be unable to estimate a range of possible loss for matters that have not yet progressed sufficiently through discovery and development of important factual information and legal issues. The Company records accruals based on an estimate of the ultimate outcome of these matters, but these estimates can be difficult to determine and involve significant judgment. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company extracts, processes and markets met and thermal coal from deep and surface mines for sale to steel and coke producers, industrial customers, and electric utilities. The Company conducts mining operations only in the United States with mines in Central Appalachia (“CAPP”). The Company has one reportable segment: Met, which consists of six active mines and two preparation plants in Virginia, sixteen active mines and five preparation plants in West Virginia, as well as expenses associated with certain idled/closed mines. In addition to the one reportable segment, the All Other category includes general corporate overhead and corporate assets and liabilities, the former CAPP - Thermal operations consisting of one active mine and one preparation plant in West Virginia, and the elimination of certain intercompany activity, as well as expenses associated with certain idled/closed mines. Reportable segment operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”), who is the Chief Executive Officer of the Company. Segment operating results and capital expenditures for the three months ended September 30, 2022 and 2021 were as follows: Three Months Ended September 30, 2022 Met All Other Consolidated Total revenues $ 841,958 $ 27,810 $ 869,768 Depreciation, depletion, and amortization $ 26,747 $ 1,178 $ 27,925 Amortization of acquired intangibles, net $ 3,591 $ 952 $ 4,543 Adjusted EBITDA $ 301,556 $ (6,697) $ 294,859 Capital expenditures $ 32,623 $ 716 $ 33,339 Three Months Ended September 30, 2021 Met All Other Consolidated Total revenues $ 626,103 $ 22,738 $ 648,841 Depreciation, depletion, and amortization $ 23,181 $ 1,338 $ 24,519 Amortization of acquired intangibles, net $ 3,063 $ (83) $ 2,980 Adjusted EBITDA $ 155,456 $ (7,233) $ 148,223 Capital expenditures $ 21,882 $ 465 $ 22,347 Segment operating results and capital expenditures for the nine months ended September 30, 2022 and 2021 were as follows: Nine Months Ended September 30, 2022 Met All Other Consolidated Total revenues $ 3,217,588 $ 60,556 $ 3,278,144 Depreciation, depletion, and amortization $ 81,010 $ 2,680 $ 83,690 Amortization of acquired intangibles, net $ 13,182 $ 2,856 $ 16,038 Adjusted EBITDA $ 1,521,089 $ (27,895) $ 1,493,194 Capital expenditures $ 99,979 $ 3,372 $ 103,351 Nine Months Ended September 30, 2021 Met All Other Consolidated Total revenues $ 1,363,918 $ 66,451 $ 1,430,369 Depreciation, depletion, and amortization $ 75,403 $ 4,858 $ 80,261 Amortization of acquired intangibles, net $ 9,749 $ (347) $ 9,402 Adjusted EBITDA $ 234,824 $ (17,801) $ 217,023 Capital expenditures $ 59,408 $ 978 $ 60,386 The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the three months ended September 30, 2022 and 2021: Three Months Ended September 30, 2022 Met All Other Consolidated Net income (loss) from continuing operations $ 268,157 $ (16,321) $ 251,836 Interest expense 40 1,655 1,695 Interest income (369) (695) (1,064) Income tax expense — 5,437 5,437 Depreciation, depletion and amortization 26,747 1,178 27,925 Non-cash stock compensation expense — 1,520 1,520 Mark-to-market adjustment - acquisition-related obligations — (2,954) (2,954) Accretion on asset retirement obligations 3,390 2,531 5,921 Amortization of acquired intangibles, net 3,591 952 4,543 Adjusted EBITDA $ 301,556 $ (6,697) $ 294,859 Three Months Ended September 30, 2021 Met All Other Consolidated Net income (loss) from continuing operations $ 125,750 $ (42,057) $ 83,693 Interest expense 49 17,289 17,338 Interest income (1) (53) (54) Income tax expense — 208 208 Depreciation, depletion and amortization 23,181 1,338 24,519 Non-cash stock compensation expense 6 1,183 1,189 Mark-to-market adjustment - acquisition-related obligations — 11,676 11,676 Accretion on asset retirement obligations 3,408 3,266 6,674 Amortization of acquired intangibles, net 3,063 (83) 2,980 Adjusted EBITDA $ 155,456 $ (7,233) $ 148,223 The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the nine months ended September 30, 2022 and 2021: Nine Months Ended September 30, 2022 Met All Other Consolidated Net income (loss) from continuing operations $ 1,417,125 $ (188,856) $ 1,228,269 Interest expense 132 19,864 19,996 Interest income (541) (871) (1,412) Income tax expense — 114,073 114,073 Depreciation, depletion and amortization 81,010 2,680 83,690 Non-cash stock compensation expense 3 4,100 4,103 Mark-to-market adjustment - acquisition-related obligations — 10,615 10,615 Accretion on asset retirement obligations 10,178 7,644 17,822 Amortization of acquired intangibles, net 13,182 2,856 16,038 Adjusted EBITDA $ 1,521,089 $ (27,895) $ 1,493,194 Nine Months Ended September 30, 2021 Met All Other Consolidated Net income (loss) from continuing operations $ 139,354 $ (106,942) $ 32,412 Interest expense 132 53,158 53,290 Interest income (6) (316) (322) Income tax expense — 211 211 Depreciation, depletion and amortization 75,403 4,858 80,261 Non-cash stock compensation expense 22 4,329 4,351 Mark-to-market adjustment - acquisition-related obligations — 18,009 18,009 Accretion on asset retirement obligations 10,170 9,800 19,970 Asset impairment and restructuring — (561) (561) Amortization of acquired intangibles, net 9,749 (347) 9,402 Adjusted EBITDA $ 234,824 $ (17,801) $ 217,023 No asset information has been disclosed as the CODM does not regularly review asset information by reportable segment. The Company markets produced, processed and purchased coal to customers in the United States and in international markets. Revenue is tracked within the Company’s accounting records based on the product destination. The following tables present additional information on our revenues and top customers: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Total coal revenues $ 867,849 $ 647,129 $ 3,271,845 $ 1,426,039 Export coal revenues $ 641,345 $ 516,877 $ 2,681,873 $ 1,016,677 Export coal revenues as % of total coal revenues 74 % 80 % 82 % 71 % Countries with export coal revenue exceeding 10% of total revenue India China, India India China, India, Brazil Top customer as % of total revenue 18 % 28 % 28 % 15 % Top 10 customers as % of total revenue 65 % 72 % 70 % 68 % Number of customers exceeding 10% of total revenue 1 2 1 2 As of September 30, 2022 2021 Number of customers exceeding 10% of total trade accounts receivable, net 2 2 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On November 4, 2022, the Company’s Board declared a quarterly cash dividend of $0.418 per share which will be payable on January 3, 2023 for holders of record as of December 15, 2022. The quarterly cash dividend was increased to $0.418 from the previous quarterly cash dividend of $0.392 per share. Additionally, on November 4, 2022, the Company’s Board declared a one-time, special dividend of $5.00 per share which will be payable on January 3, 2023 for holders of record as of December 15, 2022. On November 4, 2022, the Company’s Board also approved a $400,000 increase to the existing common share repurchase program, bringing the total authorization to repurchase the Company’s stock to $1,000,000. Refer to Note 7 for information regarding the Company’s dividend program and share repurchase program. |
Business and Basis of Present_2
Business and Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Together, the condensed consolidated statements of operations, comprehensive income, balance sheets, cash flows and stockholders’ equity for the Company are referred to as the “Condensed Consolidated Financial Statements.” The Condensed Consolidated Financial Statements are also referenced across periods as “Condensed Consolidated Statements of Operations,” “Condensed Consolidated Statements of Comprehensive Income,” “Condensed Consolidated Balance Sheets,” “Condensed Consolidated Statements of Cash Flows,” and “Condensed Consolidated Statements of Stockholders’ Equity.” The Company’s former Northern Appalachia (“NAPP”) operations results of operations and financial position are reported as discontinued operations in the Condensed Consolidated Financial Statements. Refer to Note 2 for further information on discontinued operations. The Condensed Consolidated Financial Statements include all wholly-owned subsidiaries’ results of operations for the three and nine months ended September 30, 2022 and 2021. All significant intercompany transactions have been eliminated in consolidation. |
Recently Adopted Accounting Guidance | Recently Adopted Accounting Guidance Liabilities: In September 2022, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2022-04, Liabilities - Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations (“ASU 2022-04”). This update enhances transparency about an entity’s use of supplier finance programs. The ASU requires entities to disclose information about the key terms of the program, outstanding confirmed amounts as of the end of the period, a rollforward of such amounts during each annual period, and a description of where in the financial statements outstanding amounts are presented. The amendments are effective for fiscal years beginning after December 15, 2022, with early application permitted. The Company adopted ASU 2022-04 during the third quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. Fair Value Measurement: In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (“ASU 2022-03”). This update clarifies how the fair value of equity securities subject to contractual sale restrictions is determined. Per the update, a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and is not considered in measuring fair value. Additionally, the update requires entities with investments in equity securities subject to contractual sale restrictions to disclose certain qualitative and quantitative information about such securities. The amendments are effective for fiscal years beginning after December 15, 2023, with early application permitted. The Company adopted ASU 2022-03 during the second quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. Financial Instruments: In March 2022, the FASB issued ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”). This update eliminates the troubled debt restructuring model for creditors that have adopted Topic 326. All loan modifications will now be accounted for under general loan modification guidance and, on a prospective basis, entities will be subject to new disclosure requirements covering modifications of receivables to borrowers experiencing financial difficulty. In addition, entities will be required to prospectively disclose current-period gross write-off information by year of origination. The amendments are effective for fiscal years beginning after December 15, 2022, with early application permitted. The Company adopted ASU 2022-02 during the first quarter of 2022. The adoption of this ASU did not have a material impact on the Company’s Condensed Consolidated Financial Statements and related disclosures. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | The major components of assets and liabilities that are classified as discontinued operations in the Condensed Consolidated Balance Sheets are as follows: September 30, 2022 December 31, 2021 Assets: Prepaid expenses and other current assets $ 57 $ 462 Other non-current assets (1) $ 8,521 $ 8,526 Liabilities: Trade accounts payable, accrued expenses and other current liabilities $ 4,014 $ 5,838 Workers’ compensation and black lung obligations, non-current $ 23,245 $ 23,683 (1) Comprised of workers’ compensation insurance receivable and long-term restricted investments collateralizing workers’ compensation obligations. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables disaggregate the Company’s coal revenues by product category and by market to depict how the nature, amount, timing, and uncertainty of the Company’s coal revenues and cash flows are affected by economic factors: Three Months Ended September 30, 2022 Met Coal Thermal Coal Total Export coal revenues $ 602,314 $ 39,031 $ 641,345 Domestic coal revenues 192,301 34,203 226,504 Total coal revenues $ 794,615 $ 73,234 $ 867,849 Three Months Ended September 30, 2021 Met Coal Thermal Coal Total Export coal revenues $ 503,566 $ 13,311 $ 516,877 Domestic coal revenues 92,115 38,137 130,252 Total coal revenues $ 595,681 $ 51,448 $ 647,129 Nine Months Ended September 30, 2022 Met Coal Thermal Coal Total Export coal revenues $ 2,626,077 $ 55,796 $ 2,681,873 Domestic coal revenues 514,771 75,201 589,972 Total coal revenues $ 3,140,848 $ 130,997 $ 3,271,845 Nine Months Ended September 30, 2021 Met Coal Thermal Coal Total Export coal revenues $ 996,642 $ 20,035 $ 1,016,677 Domestic coal revenues 297,592 111,770 409,362 Total coal revenues $ 1,294,234 $ 131,805 $ 1,426,039 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction | The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied as of September 30, 2022: Remainder of 2022 2023 2024 2025 2026 Total Estimated coal revenues $ 11,388 $ 32,919 $ 37,250 $ — $ — $ 81,557 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | The following tables summarize the changes to accumulated other comprehensive loss during the nine months ended September 30, 2022 and 2021: Balance January 1, 2022 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance September 30, 2022 Employee benefit costs $ (58,503) $ (4,837) $ 2,454 $ (60,886) Balance January 1, 2021 Other comprehensive income (loss) before reclassifications Amounts reclassified from accumulated other comprehensive loss Balance September 30, 2021 Employee benefit costs $ (111,985) $ 8,838 $ 4,239 $ (98,908) The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the Condensed Consolidated Statements of Operations line items affected by the reclassification during the three and nine months ended September 30, 2022 and 2021: Details about accumulated other comprehensive loss components Amounts reclassified from accumulated other comprehensive loss Affected line item in the Condensed Consolidated Statements of Operations Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Employee benefit costs: Amortization of net actuarial loss (1) $ 828 $ 1,413 $ 2,483 $ 4,239 Miscellaneous income, net Settlement (1) (10) — (29) — Miscellaneous income, net Total before income tax $ 818 $ 1,413 $ 2,454 $ 4,239 Income tax — — — — Income tax expense Total, net of income tax $ 818 $ 1,413 $ 2,454 $ 4,239 (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit costs for certain employee benefit plans. Refer to Note 14. |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Net Income Per Common Share, Basic and Diluted | The following table presents the net income per common share for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Net income Income from continuing operations $ 251,836 $ 83,693 $ 1,228,269 $ 32,412 Income (loss) from discontinued operations 981 (429) (404) (1,067) Net income $ 252,817 $ 83,264 $ 1,227,865 $ 31,345 Basic Weighted average common shares outstanding - basic 17,119,328 18,445,709 18,019,161 18,426,639 Basic income per common share: Income from continuing operations $ 14.71 $ 4.54 $ 68.16 $ 1.76 Income (loss) from discontinued operations 0.06 (0.03) (0.02) (0.06) Net income $ 14.77 $ 4.51 $ 68.14 $ 1.70 Diluted Weighted average common shares outstanding - basic 17,119,328 18,445,709 18,019,161 18,426,639 Diluted effect of warrants 170,827 — 312,395 — Diluted effect of stock options 2,043 1,938 4,902 1,654 Diluted effect of other stock-based instruments 426,319 465,705 464,216 355,350 Weighted average common shares outstanding - diluted 17,718,517 18,913,352 18,800,674 18,783,643 Diluted income per common share: Income from continuing operations $ 14.21 $ 4.43 $ 65.33 $ 1.73 Income (loss) from discontinued operations 0.06 (0.03) (0.02) (0.06) Net income $ 14.27 $ 4.40 $ 65.31 $ 1.67 |
Inventories, net (Tables)
Inventories, net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories, net consisted of the following: September 30, 2022 December 31, 2021 Raw coal $ 38,145 $ 20,347 Saleable coal 100,655 81,240 Materials, supplies and other, net 39,759 27,795 Total inventories, net $ 178,559 $ 129,382 |
Capital Stock (Tables)
Capital Stock (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Schedule of Dividends Declared | The Company’s Board declared the following dividends on the Company’s common stock during the nine months ended September 30, 2022: Dividend per share Dividends Paid (1) Declaration Date Holders of Record Date Payable Date $ 0.375 $ 6,773 May 3, 2022 June 15, 2022 July 1, 2022 $ 0.392 $ 6,522 August 4, 2022 September 15, 2022 October 3, 2022 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: September 30, 2022 December 31, 2021 Wages and benefits $ 88,130 $ 52,310 Workers’ compensation 10,582 10,582 Black lung 7,235 7,235 Taxes other than income taxes 28,006 30,734 Asset retirement obligations 33,533 32,159 Accrued interest and fees 1,035 14,489 Freight accrual 12,007 15,085 Dividend payable 6,649 — Other 16,725 12,013 Total accrued expenses and other current liabilities $ 203,902 $ 174,607 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term debt consisted of the following: September 30, 2022 December 31, 2021 Term Loan Credit Facility - due June 2024 $ — $ 449,435 Other (1) 4,698 5,311 Debt discount and issuance costs — (6,195) Total long-term debt $ 4,698 $ 448,551 Less current portion (1,711) (2,989) Long-term debt, net of current portion $ 2,987 $ 445,562 (1) Includes financing leases. |
Acquisition-Related Obligatio_2
Acquisition-Related Obligations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Acquisition-Related Obligations | Acquisition-related obligations consisted of the following: September 30, 2022 December 31, 2021 Contingent Revenue Obligation $ 29,454 $ 35,005 Environmental Settlement Obligations 677 6,633 Discount — (233) Total acquisition-related obligations $ 30,131 $ 41,405 Less current portion (30,131) (22,405) Acquisition-related obligations, net of current portion $ — $ 19,000 |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Summary of Changes in Asset Retirement Obligations | The following table summarizes the changes in asset retirement obligations for the nine months ended September 30, 2022: Total asset retirement obligations at December 31, 2021 $ 164,172 Accretion for the period 17,822 Sites added during the period 634 Revisions in estimated cash flows (897) Expenditures for the period (13,116) Total asset retirement obligations at September 30, 2022 168,615 Less current portion (1) (33,533) Long-term portion $ 135,082 (1) Included within Accrued expenses and other current liabilities on the Company’s Condensed Consolidated Balance Sheets. Refer to Note 8. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments and Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Nonrecurring | The following tables set forth by level, within the fair value hierarchy, the Company’s long-term debt and acquisition-related obligations at fair value as of September 30, 2022 and December 31, 2021: September 30, 2022 Carrying Amount (1) Total Fair Value Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs Environmental Settlement Obligations $ 677 $ 677 $ — $ — $ 677 December 31, 2021 Carrying Amount (1) Total Fair Value Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs Term Loan Credit Facility - due June 2024 $ 443,241 $ 447,561 $ — $ 447,561 $ — Environmental Settlement Obligations $ 6,400 $ 6,270 $ — $ — $ 6,270 (1) Net of debt discounts and debt issuance costs. |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table sets forth by level, within the fair value hierarchy, the Company’s financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis as of September 30, 2022 and December 31, 2021. Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the determination of fair value for assets and liabilities and their placement within the fair value hierarchy levels. September 30, 2022 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 29,454 $ — $ — $ 29,454 Trading securities $ 92,384 $ — $ 92,384 $ — December 31, 2021 Total Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Contingent Revenue Obligation $ 35,005 $ — $ — $ 35,005 Trading securities $ 28,443 $ 27,075 $ 1,368 $ — The following tables present a reconciliation of the financial and non-financial assets and liabilities that were accounted for at fair value on a recurring basis and that were categorized within Level 3 of the fair value hierarchy: December 31, 2021 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy September 30, 2022 Contingent Revenue Obligation $ 35,005 $ (16,166) $ 10,615 $ — $ 29,454 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of September 30, 2022. December 31, 2020 Payments Loss (Gain) Recognized in Earnings (1) Transfer In (Out) of Level 3 Fair Value Hierarchy September 30, 2021 Contingent Revenue Obligation $ 28,967 $ (11,396) $ 18,009 $ — $ 35,580 (1) The loss recognized in earnings resulted primarily from an increase in forecasted future revenue as of September 30, 2021. |
Range of Significant Unobservable Inputs | The range of significant unobservable inputs used to value the Contingent Revenue Obligation as of September 30, 2022 and December 31, 2021, are set forth in the following table: September 30, 2022 December 31, 2021 Forecasted future revenue $3.0 billion $1.5 - $2.0 billion Stated royalty rate 1.0% - 1.5% 1.0% - 1.5% Annualized volatility 20.5% - 31.8% (28.9%) 18.4% - 39.3% (29.9%) |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Compensation Related Costs [Abstract] | |
Schedule of Net Periodic Benefit Cost | The following table details the components of the net periodic benefit credit for pension obligations: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Interest cost $ 3,995 $ 3,392 $ 11,985 $ 10,176 Expected return on plan assets (7,183) (7,183) (21,549) (21,549) Amortization of net actuarial loss 528 804 1,583 2,413 Net periodic benefit credit $ (2,660) $ (2,987) $ (7,981) $ (8,960) The following table details the components of the net periodic benefit cost for black lung obligations: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 654 $ 739 $ 1,962 $ 2,217 Interest cost 665 607 1,995 1,821 Expected return on plan assets (13) (14) (39) (42) Amortization of net actuarial loss 209 522 627 1,566 Net periodic benefit cost $ 1,515 $ 1,854 $ 4,545 $ 5,562 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Restricted Cash Deposits | Amounts included in restricted cash provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Workers’ compensation and black lung obligations $ 21,985 $ 70,637 Reclamation-related obligations 206 10,449 Financial payments and other performance obligations 9,533 8,340 Contingent Revenue Obligation escrow 18,800 11,977 Total restricted cash 50,524 101,403 Less current portion (1) (18,800) (11,977) Restricted cash, net of current portion $ 31,724 $ 89,426 (1) Included within Prepaid expenses and other current assets on the Company’s Condensed Consolidated Balance Sheets. |
Schedule of Restricted Investments and Deposit Assets | Amounts included in restricted investments provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Workers’ compensation and black lung obligations $ 55,910 $ 210 Reclamation-related obligations 34,442 26,225 Financial payments and other performance obligations 2,032 2,008 Total restricted investments (1) $ 92,384 $ 28,443 (1) Classified as trading securities as of September 30, 2022 and December 31, 2021. Amounts included in deposits provide collateral to secure the following obligations: September 30, 2022 December 31, 2021 Reclamation-related obligations $ 102 $ 118 Financial payments and other performance obligations 391 403 Other operating agreements (1) 7,407 873 Total deposits (2) $ 7,900 $ 1,394 (1) Includes $6,522 related to the Company’s dividend payable. Refer to Note 7 for additional information. (2) Included within Prepaid expenses and other current assets and Other non-current assets on the Company’s Condensed Consolidated Balance Sheets. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Operating Results and Capital Expenditures | Segment operating results and capital expenditures for the three months ended September 30, 2022 and 2021 were as follows: Three Months Ended September 30, 2022 Met All Other Consolidated Total revenues $ 841,958 $ 27,810 $ 869,768 Depreciation, depletion, and amortization $ 26,747 $ 1,178 $ 27,925 Amortization of acquired intangibles, net $ 3,591 $ 952 $ 4,543 Adjusted EBITDA $ 301,556 $ (6,697) $ 294,859 Capital expenditures $ 32,623 $ 716 $ 33,339 Three Months Ended September 30, 2021 Met All Other Consolidated Total revenues $ 626,103 $ 22,738 $ 648,841 Depreciation, depletion, and amortization $ 23,181 $ 1,338 $ 24,519 Amortization of acquired intangibles, net $ 3,063 $ (83) $ 2,980 Adjusted EBITDA $ 155,456 $ (7,233) $ 148,223 Capital expenditures $ 21,882 $ 465 $ 22,347 Segment operating results and capital expenditures for the nine months ended September 30, 2022 and 2021 were as follows: Nine Months Ended September 30, 2022 Met All Other Consolidated Total revenues $ 3,217,588 $ 60,556 $ 3,278,144 Depreciation, depletion, and amortization $ 81,010 $ 2,680 $ 83,690 Amortization of acquired intangibles, net $ 13,182 $ 2,856 $ 16,038 Adjusted EBITDA $ 1,521,089 $ (27,895) $ 1,493,194 Capital expenditures $ 99,979 $ 3,372 $ 103,351 Nine Months Ended September 30, 2021 Met All Other Consolidated Total revenues $ 1,363,918 $ 66,451 $ 1,430,369 Depreciation, depletion, and amortization $ 75,403 $ 4,858 $ 80,261 Amortization of acquired intangibles, net $ 9,749 $ (347) $ 9,402 Adjusted EBITDA $ 234,824 $ (17,801) $ 217,023 Capital expenditures $ 59,408 $ 978 $ 60,386 Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Total coal revenues $ 867,849 $ 647,129 $ 3,271,845 $ 1,426,039 Export coal revenues $ 641,345 $ 516,877 $ 2,681,873 $ 1,016,677 Export coal revenues as % of total coal revenues 74 % 80 % 82 % 71 % Countries with export coal revenue exceeding 10% of total revenue India China, India India China, India, Brazil Top customer as % of total revenue 18 % 28 % 28 % 15 % Top 10 customers as % of total revenue 65 % 72 % 70 % 68 % Number of customers exceeding 10% of total revenue 1 2 1 2 As of September 30, 2022 2021 Number of customers exceeding 10% of total trade accounts receivable, net 2 2 |
Reconciliation of Net Income (Loss) to Adjusted EBITDA | The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the three months ended September 30, 2022 and 2021: Three Months Ended September 30, 2022 Met All Other Consolidated Net income (loss) from continuing operations $ 268,157 $ (16,321) $ 251,836 Interest expense 40 1,655 1,695 Interest income (369) (695) (1,064) Income tax expense — 5,437 5,437 Depreciation, depletion and amortization 26,747 1,178 27,925 Non-cash stock compensation expense — 1,520 1,520 Mark-to-market adjustment - acquisition-related obligations — (2,954) (2,954) Accretion on asset retirement obligations 3,390 2,531 5,921 Amortization of acquired intangibles, net 3,591 952 4,543 Adjusted EBITDA $ 301,556 $ (6,697) $ 294,859 Three Months Ended September 30, 2021 Met All Other Consolidated Net income (loss) from continuing operations $ 125,750 $ (42,057) $ 83,693 Interest expense 49 17,289 17,338 Interest income (1) (53) (54) Income tax expense — 208 208 Depreciation, depletion and amortization 23,181 1,338 24,519 Non-cash stock compensation expense 6 1,183 1,189 Mark-to-market adjustment - acquisition-related obligations — 11,676 11,676 Accretion on asset retirement obligations 3,408 3,266 6,674 Amortization of acquired intangibles, net 3,063 (83) 2,980 Adjusted EBITDA $ 155,456 $ (7,233) $ 148,223 The following tables present a reconciliation of net income (loss) to Adjusted EBITDA for the nine months ended September 30, 2022 and 2021: Nine Months Ended September 30, 2022 Met All Other Consolidated Net income (loss) from continuing operations $ 1,417,125 $ (188,856) $ 1,228,269 Interest expense 132 19,864 19,996 Interest income (541) (871) (1,412) Income tax expense — 114,073 114,073 Depreciation, depletion and amortization 81,010 2,680 83,690 Non-cash stock compensation expense 3 4,100 4,103 Mark-to-market adjustment - acquisition-related obligations — 10,615 10,615 Accretion on asset retirement obligations 10,178 7,644 17,822 Amortization of acquired intangibles, net 13,182 2,856 16,038 Adjusted EBITDA $ 1,521,089 $ (27,895) $ 1,493,194 Nine Months Ended September 30, 2021 Met All Other Consolidated Net income (loss) from continuing operations $ 139,354 $ (106,942) $ 32,412 Interest expense 132 53,158 53,290 Interest income (6) (316) (322) Income tax expense — 211 211 Depreciation, depletion and amortization 75,403 4,858 80,261 Non-cash stock compensation expense 22 4,329 4,351 Mark-to-market adjustment - acquisition-related obligations — 18,009 18,009 Accretion on asset retirement obligations 10,170 9,800 19,970 Asset impairment and restructuring — (561) (561) Amortization of acquired intangibles, net 9,749 (347) 9,402 Adjusted EBITDA $ 234,824 $ (17,801) $ 217,023 |
Discontinued Operations - Narra
Discontinued Operations - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Income (loss) from discontinued operations before income taxes | $ 1,273 | $ (429) | $ (525) | $ (1,067) |
Discontinued Operations - Major
Discontinued Operations - Major Components of Asset and Liabilities (Details) - Cumberland Transaction - Discontinued Operations - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Prepaid expenses and other current assets | $ 57 | $ 462 |
Other non-current assets | 8,521 | 8,526 |
Liabilities: | ||
Trade accounts payable, accrued expenses and other current liabilities | 4,014 | 5,838 |
Workers’ compensation and black lung obligations, non-current | $ 23,245 | $ 23,683 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 867,849 | $ 647,129 | $ 3,271,845 | $ 1,426,039 |
Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 867,849 | 647,129 | 3,271,845 | 1,426,039 |
Met Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 794,615 | 595,681 | 3,140,848 | 1,294,234 |
Thermal Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 73,234 | 51,448 | 130,997 | 131,805 |
Export | Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 641,345 | 516,877 | 2,681,873 | 1,016,677 |
Export | Met Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 602,314 | 503,566 | 2,626,077 | 996,642 |
Export | Thermal Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 39,031 | 13,311 | 55,796 | 20,035 |
Domestic | Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 226,504 | 130,252 | 589,972 | 409,362 |
Domestic | Met Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 192,301 | 92,115 | 514,771 | 297,592 |
Domestic | Thermal Coal | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 34,203 | $ 38,137 | $ 75,201 | $ 111,770 |
Revenue - Performance Obligatio
Revenue - Performance Obligations (Details) $ in Thousands | Sep. 30, 2022 USD ($) |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 81,557 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 11,388 |
Revenue, remaining performance obligation, period | 3 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 32,919 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 37,250 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 0 |
Revenue, remaining performance obligation, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | |
Disaggregation of Revenue [Line Items] | |
Estimated coal revenues | $ 0 |
Revenue, remaining performance obligation, period | 1 year |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Changes to Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 546,909 | $ 200,102 |
Ending balance | 1,371,669 | 248,097 |
Employee benefit costs | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (58,503) | (111,985) |
Other comprehensive income (loss) before reclassifications | (4,837) | 8,838 |
Amounts reclassified from accumulated other comprehensive loss | 2,454 | 4,239 |
Ending balance | $ (60,886) | $ (98,908) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Summary of Amounts Reclassified (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Employee benefit costs: | ||||||||
Miscellaneous income, net | $ 1,702 | $ 1,812 | $ 4,884 | $ 5,425 | ||||
Income (loss) from continuing operations before income taxes | 257,273 | 83,901 | 1,342,342 | 32,623 | ||||
Income tax | (5,437) | (208) | (114,073) | (211) | ||||
Net income | 252,817 | $ 574,157 | $ 400,891 | 83,264 | $ (18,991) | $ (32,928) | 1,227,865 | 31,345 |
Amounts reclassified from accumulated other comprehensive loss | Amortization of actuarial loss | ||||||||
Employee benefit costs: | ||||||||
Miscellaneous income, net | 828 | 1,413 | 2,483 | 4,239 | ||||
Amounts reclassified from accumulated other comprehensive loss | Settlement | ||||||||
Employee benefit costs: | ||||||||
Miscellaneous income, net | (10) | 0 | (29) | 0 | ||||
Amounts reclassified from accumulated other comprehensive loss | Employee benefit costs | ||||||||
Employee benefit costs: | ||||||||
Income (loss) from continuing operations before income taxes | 818 | 1,413 | 2,454 | 4,239 | ||||
Income tax | 0 | 0 | 0 | 0 | ||||
Net income | $ 818 | $ 1,413 | $ 2,454 | $ 4,239 |
Net Income Per Share - Narrativ
Net Income Per Share - Narrative (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 942,408 | 0 | 948,351 |
Net Income Per Share - Schedule
Net Income Per Share - Schedule of Net (Loss) Income Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income | ||||||||
Income from continuing operations | $ 251,836 | $ 83,693 | $ 1,228,269 | $ 32,412 | ||||
Income (loss) from discontinued operations | 981 | (429) | (404) | (1,067) | ||||
Net income | $ 252,817 | $ 574,157 | $ 400,891 | $ 83,264 | $ (18,991) | $ (32,928) | $ 1,227,865 | $ 31,345 |
Basic | ||||||||
Weighted average common shares outstanding - basic (in shares) | 17,119,328 | 18,445,709 | 18,019,161 | 18,426,639 | ||||
Basic income per common share: | ||||||||
Income from continuing operations (in dollars per share) | $ 14.71 | $ 4.54 | $ 68.16 | $ 1.76 | ||||
Income (loss) from discontinued operations (in dollars per share) | 0.06 | (0.03) | (0.02) | (0.06) | ||||
Net income (in dollars per share) | $ 14.77 | $ 4.51 | $ 68.14 | $ 1.70 | ||||
Diluted | ||||||||
Weighted average common shares outstanding - basic (in shares) | 17,119,328 | 18,445,709 | 18,019,161 | 18,426,639 | ||||
Diluted effect of warrants (in shares) | 170,827 | 0 | 312,395 | 0 | ||||
Weighted average common shares outstanding - diluted (in shares) | 17,718,517 | 18,913,352 | 18,800,674 | 18,783,643 | ||||
Diluted income per common share: | ||||||||
Income from continuing operations - diluted (in dollars per share) | $ 14.21 | $ 4.43 | $ 65.33 | $ 1.73 | ||||
Income (loss) from discontinuing operations (in dollars per share) | 0.06 | (0.03) | (0.02) | (0.06) | ||||
Net income (in dollars per share) | $ 14.27 | $ 4.40 | $ 65.31 | $ 1.67 | ||||
Stock Options | ||||||||
Diluted | ||||||||
Dilutive effect of share-based payment awards (in shares) | 2,043 | 1,938 | 4,902 | 1,654 | ||||
Other Stock-Based Instruments | ||||||||
Diluted | ||||||||
Dilutive effect of share-based payment awards (in shares) | 426,319 | 465,705 | 464,216 | 355,350 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Inventory [Line Items] | ||
Total inventories, net | $ 178,559 | $ 129,382 |
Coal | ||
Inventory [Line Items] | ||
Raw coal | 38,145 | 20,347 |
Saleable coal | 100,655 | 81,240 |
Material, supplies and other, net | ||
Inventory [Line Items] | ||
Materials, supplies and other, net | $ 39,759 | $ 27,795 |
Capital Stock - Share Repurchas
Capital Stock - Share Repurchase Program (Details) - USD ($) | 7 Months Ended | ||
Sep. 30, 2022 | May 03, 2022 | Mar. 04, 2022 | |
Equity [Abstract] | |||
Authorized share repurchases | $ 600,000,000 | $ 150,000,000 | |
Number of shares repurchased | 2,731,489 | ||
Total share repurchase price | $ 389,163,000 | ||
Value of shares repurchased | 389,081,000 | ||
Shares repurchased, fees | $ 82,000 |
Capital Stock - Dividend Progra
Capital Stock - Dividend Program (Details) - $ / shares | Aug. 04, 2022 | May 03, 2022 |
Equity [Abstract] | ||
Dividends payable intended but not yet declared (in dollars per share) | $ 1.50 | |
Dividends intended but not yet declared (in dollars per share) | $ 0.392 | $ 0.375 |
Capital Stock - Dividend Declar
Capital Stock - Dividend Declared (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Nov. 04, 2022 | Oct. 03, 2022 | Aug. 04, 2022 | Jul. 01, 2022 | May 03, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Dividends Payable [Line Items] | |||||||||
Dividend per share (in dollars per share) | $ 0.392 | $ 0.375 | $ 0.392 | $ 0.375 | |||||
Dividends Paid | $ 6,773 | $ 6,807 | $ 0 | ||||||
Dividend equivalent | 411 | ||||||||
Deposit for dividend payment | $ 6,522 | $ 6,522 | |||||||
Subsequent Event | |||||||||
Dividends Payable [Line Items] | |||||||||
Dividend per share (in dollars per share) | $ 0.418 | ||||||||
Dividends Paid | $ 6,522 |
Capital Stock - Warrants (Detai
Capital Stock - Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 15, 2022 | Jun. 15, 2022 | Mar. 31, 2022 | Jul. 26, 2016 | |
Equity [Abstract] | ||||||||
Number of warrants outstanding (in shares) | 211,477 | 801,248 | 211,477 | 801,248 | 810,811 | |||
Exercise price of warrants (in dollars per share) | $ 46.679 | $ 46.804 | $ 46.911 | |||||
Number of securities called by each warrant (in shares) | 1.16 | 1.15 | ||||||
Number of securities called by outstanding warrants (in shares) | 245,313 | 921,435 | 245,313 | 921,435 | ||||
Shares issued upon exercise of warrants (in shares) | 60,084 | 140 | 678,241 | 140 | ||||
Shares withheld upon exercise of warrants (in shares) | 18,151 | 16 | 186,397 | 16 | ||||
Amount reclassified as treasury stock | $ 1,680 | $ 18,331 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Wages and benefits | $ 88,130 | $ 52,310 |
Workers’ compensation | 10,582 | 10,582 |
Black lung | 7,235 | 7,235 |
Taxes other than income taxes | 28,006 | 30,734 |
Asset retirement obligations | 33,533 | 32,159 |
Accrued interest and fees | 1,035 | 14,489 |
Freight accrual | 12,007 | 15,085 |
Dividend payable | 6,649 | 0 |
Other | 16,725 | 12,013 |
Total accrued expenses and other current liabilities | $ 203,902 | $ 174,607 |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Debt discount and issuance costs | $ 0 | $ (6,195) |
Total long-term debt | 4,698 | 448,551 |
Less current portion | (1,711) | (2,989) |
Long-term debt, net of current portion | 2,987 | 445,562 |
Term Loan | Term Loan Credit Facility - due June 2024 | ||
Debt Instrument [Line Items] | ||
Total long-term debt, gross | 0 | 449,435 |
Other | ||
Debt Instrument [Line Items] | ||
Total long-term debt, gross | $ 4,698 | $ 5,311 |
Long-Term Debt - Term Loan Cred
Long-Term Debt - Term Loan Credit Facility (Details) - Term Loan Credit Facility - due June 2024 - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | |
Term Loan | |||
Debt Instrument [Line Items] | |||
Payment of borrowings | $ 449,435 | ||
Term Loan | |||
Debt Instrument [Line Items] | |||
Outstanding borrowings | $ 0 | $ 443,241 |
Long-Term Debt - Second Amended
Long-Term Debt - Second Amended and Restated Asset-Based Revolving Credit Agreement (Details) - New ABL Facility - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Dec. 06, 2021 |
Line of Credit | |||
Debt Instrument [Line Items] | |||
Letters of credit outstanding | $ 63,898 | $ 121,037 | |
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Amount of credit facility | $ 155,000 | ||
Revolving Credit Facility | Line of Credit | |||
Debt Instrument [Line Items] | |||
Outstanding borrowings | 0 | $ 0 | |
Letters of credit outstanding | $ 63,898 | ||
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Amount of credit facility | 150,000 | ||
Amount of credit facility on committed basis | 125,000 | ||
Amount of credit facility on uncommitted basis | $ 25,000 |
Acquisition-Related Obligatio_3
Acquisition-Related Obligations - Summary of Acquisition-Related Obligations (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Discount | $ 0 | $ (233) |
Total acquisition-related obligations | 30,131 | 41,405 |
Less current portion | (30,131) | (22,405) |
Acquisition-related obligations, net of current portion | 0 | 19,000 |
Contingent Revenue Obligation | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Total acquisition-related obligations - long-term, gross | 29,454 | 35,005 |
Total acquisition-related obligations | 29,454 | 35,005 |
Less current portion | (29,454) | (16,005) |
Environmental Settlement Obligations | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Total acquisition-related obligations - long-term, gross | $ 677 | $ 6,633 |
Acquisition-Related Obligatio_4
Acquisition-Related Obligations - Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Business Acquisition, Contingent Consideration [Line Items] | ||
Acquisition related obligations | $ 30,131 | $ 41,405 |
Acquisition related obligations, current | 30,131 | 22,405 |
Contingent Revenue Obligation | ||
Business Acquisition, Contingent Consideration [Line Items] | ||
Acquisition related obligations | 29,454 | 35,005 |
Acquisition related obligations, current | $ 29,454 | $ 16,005 |
Asset Retirement Obligations (D
Asset Retirement Obligations (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | |||||
Total asset retirement obligations at December 31, 2021 | $ 164,172 | ||||
Accretion for the period | $ 5,921 | $ 6,674 | 17,822 | $ 19,970 | |
Sites added during the period | 634 | ||||
Revisions in estimated cash flows | (897) | ||||
Expenditures for the period | (13,116) | ||||
Total asset retirement obligations at September 30, 2022 | 168,615 | 168,615 | $ 164,172 | ||
Less current portion | (33,533) | (33,533) | (32,159) | ||
Long-term portion | $ 135,082 | $ 135,082 | $ 132,013 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments and Fair Value Measurements - Total Long-Term Debt & Acquisition Related Obligations (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Carrying Amount | Environmental Settlement Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related obligations at fair value | $ 677 | $ 6,400 |
Carrying Amount | Term Loan | Term Loan Credit Facility - due June 2024 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt at fair value | 443,241 | |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Environmental Settlement Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related obligations at fair value | 677 | 6,270 |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Quoted Prices in Active Markets (Level 1) | Environmental Settlement Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related obligations at fair value | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Significant Other Observable Inputs (Level 2) | Environmental Settlement Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related obligations at fair value | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Significant Unobservable Inputs (Level 3) | Environmental Settlement Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related obligations at fair value | $ 677 | 6,270 |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Term Loan | Term Loan Credit Facility - due June 2024 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt at fair value | 447,561 | |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Term Loan | Term Loan Credit Facility - due June 2024 | Quoted Prices in Active Markets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt at fair value | 0 | |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Term Loan | Term Loan Credit Facility - due June 2024 | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt at fair value | 447,561 | |
Fair Value, Measurements, Nonrecurring | Total Fair Value | Term Loan | Term Loan Credit Facility - due June 2024 | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt at fair value | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments and Fair Value Measurements - Schedule of Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | $ 29,454 | $ 35,005 |
Trading securities | 92,384 | 28,443 |
Quoted Prices in Active Markets (Level 1) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 0 | 0 |
Trading securities | 0 | 27,075 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 0 | 0 |
Trading securities | 92,384 | 1,368 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Contingent Revenue Obligation | 29,454 | 35,005 |
Trading securities | $ 0 | $ 0 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments and Fair Value Measurements - Level 3 of the Fair Value Hierarchy (Details) - Significant Unobservable Inputs (Level 3) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 35,005 | $ 28,967 |
Payments | (16,166) | (11,396) |
Loss (Gain) Recognized in Earnings | 10,615 | 18,009 |
Transfer In (Out) of Level 3 Fair Value Hierarchy | 0 | 0 |
Ending balance | $ 29,454 | $ 35,580 |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments and Fair Value Measurements - Narrative (Details) | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Rate | Environmental Settlement Obligations | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Acquisition-related obligation, measurement input | 0 | 0.13 |
Fair Value of Financial Instr_7
Fair Value of Financial Instruments and Fair Value Measurements - Unobservable Inputs (Details) - Black Scholes - Contingent Revenue Obligation $ in Billions | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Forecasted future revenue | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Forecasted future revenue | $ 3 | |
Forecasted future revenue | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Forecasted future revenue | $ 1.5 | |
Forecasted future revenue | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Forecasted future revenue | $ 2 | |
Stated royalty rate | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Acquisition-related obligation, measurement input | 0.010 | 0.010 |
Stated royalty rate | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Acquisition-related obligation, measurement input | 0.015 | 0.015 |
Annualized volatility | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Acquisition-related obligation, measurement input | 0.205 | 0.184 |
Annualized volatility | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Acquisition-related obligation, measurement input | 0.318 | 0.393 |
Annualized volatility | Weighted Average | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Acquisition-related obligation, measurement input | 0.289 | 0.299 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense (benefit) | $ 5,437 | $ 208 | $ 114,073 | $ 211 |
Income (loss) from continuing operations before income taxes | 257,273 | $ 83,901 | 1,342,342 | $ 32,623 |
Decrease in deferred tax asset valuation allowance | 73,673 | |||
Income taxes paid | 120,165 | |||
Income taxes receivable, current | $ 16,271 | $ 16,271 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Percentage of employer contributions to participants' annual salaries | 2% | |||||
Total contributions | $ 6,396 | $ 4,636 | $ 12,599 | $ 4,830 | ||
Pension | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Interest cost | 3,995 | 3,392 | 11,985 | 10,176 | ||
Expected return on plan assets | (7,183) | (7,183) | (21,549) | (21,549) | ||
Amortization of net actuarial loss | 528 | 804 | 1,583 | 2,413 | ||
Net periodic benefit credit | (2,660) | (2,987) | (7,981) | (8,960) | ||
Increase (decrease) in liability for pension obligations | $ 4,837 | $ (8,838) | ||||
Black Lung | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||||
Service cost | 654 | 739 | 1,962 | 2,217 | ||
Interest cost | 665 | 607 | 1,995 | 1,821 | ||
Expected return on plan assets | (13) | (14) | (39) | (42) | ||
Amortization of net actuarial loss | 209 | 522 | 627 | 1,566 | ||
Net periodic benefit credit | $ 1,515 | $ 1,854 | $ 4,545 | $ 5,562 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) T in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 USD ($) T | Sep. 30, 2021 USD ($) T | Sep. 30, 2022 USD ($) T | Sep. 30, 2021 USD ($) T | Feb. 10, 2022 USD ($) | Dec. 31, 2021 USD ($) | Feb. 21, 2020 USD ($) | Feb. 20, 2020 USD ($) | |
Long-term Purchase Commitment [Line Items] | ||||||||
Coal royalty expense | $ 44,340 | $ 30,077 | $ 174,310 | $ 70,116 | ||||
Unconditional purchase obligations, remainder of fiscal year | 47,776 | 47,776 | ||||||
Unconditional purchase obligations, year one | 28,674 | 28,674 | ||||||
Unconditional purchase obligations, year two | 67,125 | 67,125 | ||||||
Black Lung | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Collateral for black lung obligations | $ 10,000 | $ 65,700 | $ 2,600 | |||||
Surety Bond | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Outstanding surety bonds | 162,105 | 162,105 | ||||||
Reclamation-Related Obligations | Collateral Pledged | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Restricted cash, restricted investments, and deposits | 34,750 | 34,750 | ||||||
Line of Credit | New ABL Facility | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Letters of credit outstanding | 63,898 | 63,898 | $ 121,037 | |||||
Revolving Credit Facility | Line of Credit | New ABL Facility | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Letters of credit outstanding | 63,898 | 63,898 | ||||||
Revolving Credit Facility | Line of Credit | Credit and Security Agreement | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Letters of credit outstanding | $ 50 | $ 50 | ||||||
Cumberland Back-to-Back Coal Supply Agreements | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Purchase and sale contingency, mass purchases and sales, remainder of year (in tons) | T | 900 | 900 | ||||||
Purchase and sale contingency, mass purchases and sales, remainder of year | $ 34,733 | $ 34,733 | ||||||
Purchase and sale contingency, mass purchased and sold (in tons) | T | 443 | 514 | 1,120 | 1,974 | ||||
Purchase and sale contingency, mass purchased and sold, amount | $ 16,979 | $ 19,948 | $ 43,100 | $ 76,501 | ||||
Coal Purchase Agreements | ||||||||
Long-term Purchase Commitment [Line Items] | ||||||||
Minimum quantities to be purchased, remainder of 2022 | 65,149 | 65,149 | ||||||
Minimum quantities to be purchased, next year | $ 10,943 | $ 10,943 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Restricted Cash Deposits (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | $ 50,524 | $ 101,403 | |
Less current portion | (18,800) | (11,977) | $ (7,642) |
Long-term restricted cash | 31,724 | 89,426 | $ 84,001 |
Workers’ compensation and black lung obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 21,985 | 70,637 | |
Reclamation-related obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 206 | 10,449 | |
Financial payments and other performance obligations | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | 9,533 | 8,340 | |
Contingent Revenue Obligation escrow | |||
Long-term Purchase Commitment [Line Items] | |||
Total restricted cash | $ 18,800 | $ 11,977 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Restricted Investments (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | $ 92,384 | $ 28,443 |
Workers’ compensation and black lung obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | 55,910 | 210 |
Reclamation-related obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | 34,442 | 26,225 |
Financial payments and other performance obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total restricted investments | $ 2,032 | $ 2,008 |
Commitments and Contingencies_4
Commitments and Contingencies - Cash Deposits Held by Third Parties (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Long-term Purchase Commitment [Line Items] | ||
Total deposits | $ 7,900 | $ 1,394 |
Deposit for dividend payment | 6,522 | |
Reclamation-related obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | 102 | 118 |
Financial payments and other performance obligations | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | 391 | 403 |
Other operating agreements | ||
Long-term Purchase Commitment [Line Items] | ||
Total deposits | $ 7,407 | $ 873 |
Segment Information - Schedule
Segment Information - Schedule of Operating Results and Capital Expenditures (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) mine plant segment | Sep. 30, 2021 USD ($) | |
Segment Reporting Information [Line Items] | ||||
Number of reportable segments | segment | 1 | |||
Total revenues | $ 869,768 | $ 648,841 | $ 3,278,144 | $ 1,430,369 |
Depreciation, depletion and amortization | 27,925 | 24,519 | 83,690 | 80,261 |
Amortization of acquired intangibles, net | 4,543 | 2,980 | 16,038 | 9,402 |
Adjusted EBITDA | 294,859 | 148,223 | 1,493,194 | 217,023 |
Capital expenditures | 33,339 | 22,347 | 103,351 | 60,386 |
Operating Segments | Met | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 841,958 | 626,103 | 3,217,588 | 1,363,918 |
Depreciation, depletion and amortization | 26,747 | 23,181 | 81,010 | 75,403 |
Amortization of acquired intangibles, net | 3,591 | 3,063 | 13,182 | 9,749 |
Adjusted EBITDA | 301,556 | 155,456 | 1,521,089 | 234,824 |
Capital expenditures | 32,623 | 21,882 | $ 99,979 | 59,408 |
Operating Segments | Met | Virginia | ||||
Segment Reporting Information [Line Items] | ||||
Number of active mines | mine | 6 | |||
Number of preparation plants | plant | 2 | |||
Operating Segments | Met | West Virginia | ||||
Segment Reporting Information [Line Items] | ||||
Number of active mines | mine | 16 | |||
Number of preparation plants | plant | 5 | |||
All Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 27,810 | 22,738 | $ 60,556 | 66,451 |
Depreciation, depletion and amortization | 1,178 | 1,338 | 2,680 | 4,858 |
Amortization of acquired intangibles, net | 952 | (83) | 2,856 | (347) |
Adjusted EBITDA | (6,697) | (7,233) | (27,895) | (17,801) |
Capital expenditures | $ 716 | $ 465 | $ 3,372 | $ 978 |
All Other | West Virginia | ||||
Segment Reporting Information [Line Items] | ||||
Number of active mines | mine | 1 | |||
Number of preparation plants | plant | 1 |
Segment Information - Reconcili
Segment Information - Reconciliation of Net Income (Loss) to Adjusted EBITDA (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||||
Net income (loss) from continuing operations | $ 251,836 | $ 83,693 | $ 1,228,269 | $ 32,412 |
Interest expense | 1,695 | 17,338 | 19,996 | 53,290 |
Interest income | (1,064) | (54) | (1,412) | (322) |
Income tax expense | 5,437 | 208 | 114,073 | 211 |
Depreciation, depletion and amortization | 27,925 | 24,519 | 83,690 | 80,261 |
Non-cash stock compensation expense | 1,520 | 1,189 | 4,103 | 4,351 |
Mark-to-market adjustment for acquisition-related obligations | (2,954) | 11,676 | 10,615 | 18,009 |
Accretion on asset retirement obligations | 5,921 | 6,674 | 17,822 | 19,970 |
Asset impairment and restructuring | 0 | 0 | 0 | (561) |
Amortization of acquired intangibles, net | 4,543 | 2,980 | 16,038 | 9,402 |
Adjusted EBITDA | 294,859 | 148,223 | 1,493,194 | 217,023 |
Operating Segments | Met | ||||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||||
Net income (loss) from continuing operations | 268,157 | 125,750 | 1,417,125 | 139,354 |
Interest expense | 40 | 49 | 132 | 132 |
Interest income | (369) | (1) | (541) | (6) |
Income tax expense | 0 | 0 | 0 | 0 |
Depreciation, depletion and amortization | 26,747 | 23,181 | 81,010 | 75,403 |
Non-cash stock compensation expense | 0 | 6 | 3 | 22 |
Mark-to-market adjustment for acquisition-related obligations | 0 | 0 | 0 | 0 |
Accretion on asset retirement obligations | 3,390 | 3,408 | 10,178 | 10,170 |
Asset impairment and restructuring | 0 | |||
Amortization of acquired intangibles, net | 3,591 | 3,063 | 13,182 | 9,749 |
Adjusted EBITDA | 301,556 | 155,456 | 1,521,089 | 234,824 |
All Other | ||||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||||
Net income (loss) from continuing operations | (16,321) | (42,057) | (188,856) | (106,942) |
Interest expense | 1,655 | 17,289 | 19,864 | 53,158 |
Interest income | (695) | (53) | (871) | (316) |
Income tax expense | 5,437 | 208 | 114,073 | 211 |
Depreciation, depletion and amortization | 1,178 | 1,338 | 2,680 | 4,858 |
Non-cash stock compensation expense | 1,520 | 1,183 | 4,100 | 4,329 |
Mark-to-market adjustment for acquisition-related obligations | (2,954) | 11,676 | 10,615 | 18,009 |
Accretion on asset retirement obligations | 2,531 | 3,266 | 7,644 | 9,800 |
Asset impairment and restructuring | (561) | |||
Amortization of acquired intangibles, net | 952 | (83) | 2,856 | (347) |
Adjusted EBITDA | $ (6,697) | $ (7,233) | $ (27,895) | $ (17,801) |
Segment Information - Revenue f
Segment Information - Revenue from External Customers (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 USD ($) customer | Sep. 30, 2021 USD ($) customer | Sep. 30, 2022 USD ($) customer | Sep. 30, 2021 USD ($) customer | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ | $ 867,849 | $ 647,129 | $ 3,271,845 | $ 1,426,039 |
Export Coal Revenue | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ | $ 641,345 | $ 516,877 | $ 2,681,873 | $ 1,016,677 |
Revenues | Geographic Concentration Risk | Export Coal Revenue | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Concentration risk (as a percent) | 74% | 80% | 82% | 71% |
Revenues | Customer Concentration Risk | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Number of customers exceeding 10% of total trade accounts receivable, net | customer | 1 | 2 | 1 | 2 |
Revenues | Customer Concentration Risk | Top Customer | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Concentration risk (as a percent) | 18% | 28% | 28% | 15% |
Revenues | Customer Concentration Risk | Top 10 Customers | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Concentration risk (as a percent) | 65% | 72% | 70% | 68% |
Accounts Receivable | Customer Concentration Risk | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Number of customers exceeding 10% of total trade accounts receivable, net | customer | 2 | 2 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | 3 Months Ended | |||||
Nov. 04, 2022 | Aug. 04, 2022 | May 03, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 04, 2022 | |
Subsequent Event [Line Items] | ||||||
Dividends declared per share (in dollars per share) | $ 0.392 | $ 0.375 | $ 0.392 | $ 0.375 | ||
Authorized share repurchases | $ 600,000,000 | $ 150,000,000 | ||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Dividends declared per share (in dollars per share) | $ 0.418 | |||||
Additional authorized amount | $ 400,000,000 | |||||
Authorized share repurchases | $ 1,000,000,000 | |||||
Subsequent Event | Special Dividend | ||||||
Subsequent Event [Line Items] | ||||||
Dividends declared per share (in dollars per share) | $ 5 |