Yesterday, American coal mining and processing company Arch Coal, Inc. (Arch) reported its 2Q18 results; a key highlight was the company’s achievement of a net income of US$43.3 million, or US$2.06 per diluted share, compared with net income of US$37.2 million, or US$1.48 per diluted share, in the prior-year period.
The company earned adjusted earnings before interest, taxes, depreciation, depletion, amortisation and non-operating expenses (adjusted EBITDA) of US$85.4 million in the second quarter of 2018, which includes a US$15.1 million non-cash mark-to-market loss associated with the company's coal hedging activities. This compares to $95.6 million of adjusted EBITDA recorded in 2Q17. Revenues totaled US$592.3 million for the three months ended 30 June 2018, representing an 8% increase from the prior-year quarter.
Arch's CEO, John W. Eaves, commented: "Arch capitalised on a strong operating performance, robust coking coal markets and an improving logistics system to again generate very substantial levels of free cash flow during the quarter just ended."
"We used that free cash flow to buy back US$78 million of stock, or nearly one million shares, as we continued to execute on a capital return programme that we believe is creating excellent value for our shareholders, and the board showed its strong support for this strategy by expanding the buyback authorisation significantly. We plan to build upon our strong record of returning excess cash to shareholders as we progress through the year."
View the full update here: http://news.archcoal.com/phoenix.zhtml?c=107109&p=irol-newsArticle&ID=2360856
Read the article online at: https://www.worldcoal.com/coal/01082018/8-boost-in-revenue-for-arch-coal-in-2q18/