CONSOL Coal (CCR) Q3 Earnings Meet Estimates, Revenues Miss

CONSOL Coal Resources (NYSE:CCR) third-quarter 2018 operating earnings of 31 cents per share came in line with the Zacks Consensus Estimate. The bottom line skyrocketed 342.8% from 7 cents per share in the prior-year quarter.

Revenues

Revenues of $75.3 million missed the Zacks Consensus Estimate of $79 million by 4.7%. Moreover, the top line declined 3.7% from $78.2 million in the year-ago period. Despite a higher Coal revenue contribution, the top line fell year over year due to lower contribution from Freight revenues and decline in Other Income.

Highlights of the Release

CONSOL Coal recorded third-quarter production of 1.6 million tons compared with 1.5 million tons produced in the year-ago quarter. The improvement was primarily due to increased production at the Enlow Fork mine.

Total costs were $66.7 million, down 10.6% from $74.7 million in the year-ago quarter. This was primarily due to lower operating costs, and selling, general and administration costs.

Financial Update

As of Sep 30, 2018, the company’s cash was $0.9 million, down from $1.53 million as of Dec 31, 2017.

Total long-term debts were $173 million, down from $196.7 million as of Dec 31, 2017.

Cash provided during the first nine months of 2018 in operating activities was $95.1 million compared with $60.8 million in the year-ago period.

Guidance

CONSOL Coal expects total sales volume in 2018 in the range of 6.7-6.9 million tons.

Capital expenditures for 2018 are projected in the range of $33-$36 million.

The company currently is 90% contracted for 2019 and 44% contracted for 2020, assuming annual production of 6.75 million tons.

Coal Releases

CONSOL Energy Inc (NYSE:CNX). (NYSE:CEIX) reported third-quarter earnings of 20 cents, lagging the Zacks Consensus Estimate of 53 cents by 62.3%.

Cloud Peak Energy’s (NYSE:CLD) reported earnings of 16 cents per share in third-quarter 2018, surpassing the Zacks Consensus Estimate of a loss of 8 cents by 300%.

Peabody Energy Corp. (NYSE:BTU) announced third-quarter 2018 earnings of 63 cents per share, which missed the Zacks Consensus Estimate of $1.29 by 51.1%.

Zacks Rank

CONSOL Coal currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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