Hallador Energy pany(HNRG)

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Hallador Energy Company Schedules First Quarter 2025 Conference Call for May 12, 2025 at 5:00 p.m. ET
Globenewswire· 2025-04-28 12:30
Core Viewpoint - Hallador Energy Company will host a conference call on May 12, 2025, to discuss its financial results for Q1 2025, with results to be reported in a press release prior to the call [1][2]. Company Overview - Hallador Energy Company is a vertically-integrated Independent Power Producer (IPP) based in Terre Haute, Indiana, with two core businesses: Hallador Power Company, LLC, which operates the one-Gigawatt (GW) Merom Generating Station, and Sunrise Coal, LLC, which supplies fuel to the Merom Generating Station and other companies [3]. Conference Call Details - The conference call will take place on May 12, 2025, at 5:00 p.m. Eastern time, and will include a question-and-answer period [2]. - Interested parties can submit questions via email to the investor relations team [2]. - The call will be broadcast live and available for replay on the company's investor relations website [2].
Hallador Energy, Tesla And Other Big Stocks Moving Lower In Tuesday's Pre-Market Session

Benzinga· 2025-03-18 12:34
Core Viewpoint - U.S. stock futures are experiencing a decline, with Hallador Energy Company facing a significant drop in share price following a quarterly sales miss despite beating earnings expectations [1][2]. Group 1: Hallador Energy Company - Hallador Energy reported quarterly earnings of 7 cents per share, surpassing the analyst consensus estimate of a loss of 13 cents per share [1]. - The company’s quarterly sales were $94.200 million, which fell short of the analyst consensus estimate of $95.450 million [1]. - Hallador Energy shares decreased by 6.8% to $10.70 in pre-market trading [2]. Group 2: Other Stocks in Pre-Market Trading - Arlo Technologies, Inc. saw its shares tumble 9.3% to $10.01 after a previous gain of 4% [3]. - Ivanhoe Electric Inc. shares declined by 6.9% to $5.92 in pre-market trading [3]. - Verastem, Inc. shares fell 6% to $6.80 after a prior gain of 4% [3]. - Resolute Holdings Management, Inc. shares dropped 4.8% to $42.05 [3]. - Bausch Health Companies Inc. shares decreased by 4.1% to $6.75 [3]. - Kenon Holdings Ltd. shares fell 3.4% to $34.04 after a previous gain of 3% [3]. - Akebia Therapeutics, Inc. shares declined by 3.3% to $2.32 [3]. - Tesla, Inc. shares slipped 1.6% to $234.30, following a 4.8% drop on Monday after Mizuho reduced its price target from $515 to $430 [3].

Hallador Energy pany(HNRG) - 2024 Q4 - Earnings Call Transcript
2025-03-17 22:29
Financial Data and Key Metrics Changes - In Q4 2024, consolidated revenue was $94.8 million, down from $104.8 million in Q3 and $119.2 million in the prior year period [28] - The net loss for Q4 was $215.8 million, compared to net income of $1.6 million in Q3 and a net loss of $10.2 million in the prior year period, primarily due to a non-cash impairment charge of $215 million related to the Sunrise Coal subsidiary [28][29] - Operating cash flow increased to $38.9 million in Q4, compared to cash used of $12.9 million in Q3 and $20.1 million in the prior year period [29] - Adjusted EBITDA for Q4 was $6.2 million, down from $9.6 million in Q3 but up from $2.1 million in the prior year period [30] Business Line Data and Key Metrics Changes - Electric sales in Q4 were $69.7 million, down from $71.7 million in Q3 and up from $37.1 million in the prior year period, while coal sales were $23.4 million, down from $31.7 million in Q3 and $91.7 million in the prior year period [27] - Hallador Power generated 1.16 million megawatt hours in Q4, up 5% from 1.1 million megawatt hours in Q3 [23] Market Data and Key Metrics Changes - The forward energy and capacity sales position increased to $685.7 million as of December 31, 2024, compared to $616.9 million at the end of Q3 [31] - Total liquidity at December 31, 2024, was $37.8 million, up from $34.9 million at September 30, 2024 [32] Company Strategy and Development Direction - The company is transitioning from a coal producer to a vertically-integrated power producer, aligning with market trends favoring the IPP model [7][8] - A significant milestone was reached with a non-binding term sheet signed with a global data center developer, indicating a strategic partnership that could drive long-term value [8][9] - The company is actively evaluating additional strategic transactions to expand electric operations and enhance scale [20] Management's Comments on Operating Environment and Future Outlook - Management noted that the transition from dispatchable to non-dispatchable generation increases the value of Hallador Power due to its reliability [10] - There are expectations for favorable pricing trends in 2025 and beyond, particularly related to data center development in Indiana [12][15] - The company anticipates that energy price volatility could increase over the next decade, sustaining a premium in forward power prices [16][17] Other Important Information - The company invested $13.8 million in capital expenditures during Q4, with total CapEx for 2024 at $53.4 million [31] - The company reduced total bank debt to $44 million in Q4, down from $70 million at the end of Q3 [32] Q&A Session Summary Question: Regulatory and review process with the grid operator - Management highlighted multiple access requests from developers, indicating a favorable environment for potential sales [36][37] Question: Remaining items before reaching a definitive agreement - Management indicated that they are encouraged by the progress made and the financial commitments from counterparties [41][42] Question: Capital intensity of upgrades at Merom - Management confirmed that studies are underway to assess the feasibility of coal firing with natural gas by 2032 [44][45] Question: Acquisition of other power assets - Management stated that they are exploring opportunities across various states and evaluating them on a case-by-case basis [49][50] Question: Pricing expectations for deals - Management expects a premium to the forward curves due to increasing demand from data centers and hyperscalers [68] Question: Control over fuel supply for future assets - Management noted that while control over fuel supply is advantageous, it is not a strict requirement for future acquisitions [63][64]
Hallador Energy pany(HNRG) - 2024 Q4 - Earnings Call Transcript
2025-03-17 21:30
Financial Data and Key Metrics Changes - In Q4 2024, consolidated revenue was $94.8 million, down from $104.8 million in Q3 and $119.2 million in the prior year period [19] - The net loss for Q4 was $215.8 million, compared to a net income of $1.6 million in Q3 and a net loss of $10.2 million in the prior year period, primarily due to a non-cash impairment charge of approximately $215 million related to the Sunrise coal subsidiary [20] - Operating cash flow increased to $38.9 million in Q4 from an operating cash used of $12.9 million in Q3 [20] - Adjusted EBITDA for Q4 was $6.2 million, down from $9.6 million in Q3 [20] Business Line Data and Key Metrics Changes - Electric sales in Q4 were $69.7 million, down from $71.7 million in Q3 and up from $37.1 million in the prior year period [19] - Coal sales were $23.4 million in Q4, down from $31.7 million in Q3 and $91.7 million in the prior year period, reflecting a strategic reduction in coal production [19] - Hallador Power generated 1,160,000 megawatt hours in Q4, a 5% increase from 1,100,000 megawatt hours in Q3 [17] Market Data and Key Metrics Changes - The forward energy and capacity sales position increased to $685.7 million as of December 31, 2024, compared to $616.9 million at the end of Q3 [21] - Total forward sales book as of December 31, 2024, was $1.6 billion, up from $1.4 billion at the end of Q3 [21] Company Strategy and Development Direction - The company is transitioning from a traditional coal producer to a vertically integrated power producer, aligning with market trends favoring the IPP model [6] - Strategic partnerships are being pursued, including a non-binding term sheet with a global data center developer, which is expected to drive long-term value [6][7] - The company is actively evaluating additional strategic transactions to expand electric operations and enhance scale [14][15] Management's Comments on Operating Environment and Future Outlook - Management noted the ongoing trend of retiring dispatchable generation in favor of non-dispatchable resources, which could enhance the value of Hallador Power [8] - The company anticipates favorable pricing trends for power sales in 2025 and beyond, driven by data center development efforts [10][12] - Management expressed optimism about capturing higher prices and energy volumes in the future, despite current market volatility [13] Other Important Information - The company completed its annual impairment analysis, resulting in a non-cash long-lived asset impairment charge of $215.1 million [9] - Capital expenditures for 2024 totaled $53.4 million, with expectations of approximately $66 million for 2025 [20][21] Q&A Session Summary Question: Regulatory and review process with the grid operator - Management highlighted multiple access requests from developers, indicating a favorable environment for potential sales [24][25] Question: Remaining items before a definitive agreement - Management indicated that while progress has been made, a deal is not finalized until signed, with an exclusivity agreement in place until June [27] Question: Co-firing requirements and capital intensity - Current laws require coal-fired plants to co-fire with natural gas by 2032, and feasibility studies are underway [29] Question: Acquisition of generating assets - Management is exploring opportunities across various states, emphasizing a case-by-case evaluation of potential acquisitions [33][44] Question: Pricing expectations for deals - Management expects to maintain a premium to forward curves due to increasing demand from data centers and hyperscalers [51] Question: Capacity payments in long-term agreements - Capacity payments are expected to cover fixed costs of the plant, estimated at around $60 million [62]
Hallador Energy pany(HNRG) - 2024 Q4 - Annual Results
2025-03-17 21:29
Financial Performance - Q4 2024 total revenue reached $94.2 million, with FY'24 total revenue at $404.4 million[1] - Total sales and operating revenues decreased to $404.394 million in 2024 from $634.878 million in 2023, a decline of approximately 36%[18] - Net loss for 2024 was $226.138 million, compared to a net income of $44.793 million in 2023, representing a significant turnaround in performance[18] Cash Flow and Assets - Q4 2024 operating cash flow increased to $32.5 million, while FY'24 operating cash flow totaled $65.9 million[1] - Cash and cash equivalents rose to $7.232 million in 2024 from $2.842 million in 2023, an increase of over 154%[22] - Net cash provided by operating activities was $65.934 million in 2024, compared to $59.414 million in 2023, indicating improved cash flow from operations[20] Sales Breakdown - Electric sales in Q4 2024 were $69.7 million, accounting for 74% of total revenue, compared to $37.1 million or 31% in the same period last year[4][5] - Coal sales in Q4 2024 were $23.4 million, representing 25% of total revenue, down from $81.3 million or 68% in the prior year[5] Debt and Liabilities - Total bank debt decreased by over 50% to $44 million at year-end 2024, down from $91.5 million at the end of 2023[11] - Total liabilities decreased to $264.835 million in 2024 from $321.192 million in 2023, a reduction of approximately 17.5%[16] Capital Expenditures and Impairments - Capital expenditures were reduced to $53.367 million in 2024 from $75.352 million in 2023, a decrease of approximately 29%[22] - The company reported a significant asset impairment charge of $215.136 million in 2024, compared to no such charge in 2023[18] Equity and Shares - The weighted average shares outstanding increased to 39.504 million in 2024 from 33.133 million in 2023, reflecting a dilution in share value[18] - The company’s total stockholders' equity decreased to $104.285 million in 2024 from $268.588 million in 2023, a decline of approximately 61%[16] Strategic Initiatives - Hallador has secured total forward energy, capacity, and coal sales to third-party customers of $1.1 billion through 2029, up from $937.2 million at the end of Q3 2024[11] - The company is actively pursuing opportunities to acquire additional dispatchable generators to enhance its electric operations[2] - Hallador signed an exclusive commitment agreement with a leading global data center developer, marking a significant milestone in its transformation strategy[11] Production Adjustments - The company reduced coal production volume by approximately 40% in 2024, leading to a non-cash write-down of approximately $215 million for Sunrise Coal[3] EBITDA Performance - Q4 2024 adjusted EBITDA surged approximately 3x year-over-year to $6.2 million, with FY'24 adjusted EBITDA at $16.8 million[1]
Hallador Energy pany(HNRG) - 2024 Q4 - Annual Report
2025-03-17 21:17
Regulatory Environment - The regulatory burden on fossil fuel industries has increased operational costs, adversely affecting profitability [21]. - Compliance with environmental laws and regulations has significantly raised the costs of electric power generation and coal mining for domestic producers [22]. - The Black Lung Benefits Act imposes an excise tax of up to $1.10 per ton for underground-mined coal, which could impact overall expenses [43]. - The Federal Mine Safety and Health Act imposes extensive safety and health standards, significantly affecting operating costs [30]. - The permitting process for electric power generation and mining operations can extend over several years, potentially delaying operations [25][28]. - The company has not had any electric power generating or mining permits suspended or revoked due to violations, and penalties assessed have not been material [26][29]. - Future operating results may be adversely affected if accruals for asset retirement obligations and mine closing costs are insufficient [23]. - The company is subject to increased civil penalties for regulatory violations following the passage of the MINER Act [32]. - The implementation of new regulations regarding respirable coal mine dust exposure has increased operational costs due to the need for new equipment and personnel [34]. - The company has made adequate provisions for expected reclamation and other costs associated with mine closures, but future results could be impacted if these provisions are insufficient [23]. - The Abandoned Mine Lands Program imposes a reclamation fee of $0.224 per ton for surface-mined coal and $0.096 per ton for underground-mined coal, reauthorized through September 30, 2034 [51]. - The company has accrued estimated costs for reclamation and mine closing, including treatment of mine water discharge when necessary [51]. - Compliance with the Clean Air Act (CAA) requires installation of emissions control equipment, which increases operational costs for coal-fired power plants [55]. - The EPA's Acid Rain Program regulates sulfur dioxide emissions, requiring affected facilities to purchase or trade emissions allowances [56]. - The Mercury and Air Toxic Standards (MATS) rule has led to capital investments for retrofitting power plants, potentially reducing coal demand [58]. - The EPA's new source review program may require existing coal-fired power plants to install stricter emissions control equipment, affecting coal demand [59]. - The company is subject to regulations that may impose additional emissions control expenditures due to revised National Ambient Air Quality Standards (NAAQS) [58]. - The company is in compliance with reclamation regulations but cannot assure that claims related to ownership or control of third-party violations will not arise in the future [52]. - Surety bond costs have increased, and the company may face challenges in securing new bonds without posting collateral, impacting coal production and profitability [54]. - The company continues to evaluate the potential impacts of regulatory changes on its business and financial condition [58]. - The EPA's final rule requires coal-fired power plants operating after 2039 to achieve emissions reductions equivalent to 90% capture of CO2 through carbon capture and sequestration (CCS) [63]. - The Biden Administration aims for a 50-52% reduction in economy-wide net GHG emissions from 2005 levels by 2030, but the new Trump Administration has indicated intentions to withdraw from the Paris Agreement, potentially altering these targets [64]. - The Regional Greenhouse Gas Initiative (RGGI) has established a cap and trade program for carbon dioxide emissions, with auctions for allowances starting in September 2008, impacting fossil fuel demand [68]. - The EPA's final rule in May 2024 established more stringent requirements for flue gas desulfurization wastewater and combustion residual leachate, which may affect coal product markets and electric power operations [77]. - The U.S. Supreme Court's decision in Sackett v. EPA limited federal jurisdiction over wetlands, potentially reducing regulatory burdens but leaving future permitting requirements uncertain [72]. - Environmental advocacy groups are challenging federal agency environmental analyses under the National Environmental Policy Act (NEPA), claiming inadequate consideration of climate change impacts [67]. - The Clean Water Act (CWA) imposes permitting requirements for discharges, and any changes to TMDL allocations could increase water treatment costs, adversely affecting coal production [76]. - The EPA has statutory veto power over Section 404 permits, which could create uncertainty regarding current permits and impose additional costs on future operations [74]. - Future regulations on GHG emissions could lead to increased costs for fossil fuel production, potentially reducing demand for coal and adversely affecting the company's operations [70]. - The EPA finalized regulations under RCRA for the management and disposal of coal combustion residuals (CCR) on April 17, 2015, classifying CCR as "non-hazardous" waste, which avoids stricter regulations [85]. - The revised CCR rule mandates closure of unlined impoundments with deadlines between 2021 and 2028, potentially increasing operating costs for customers and affecting coal demand [85]. Workforce and Operations - As of December 31, 2024, Hallador employed 615 full-time employees, with 582 directly involved in coal mining or washing processes [99]. - Hallador's coal workforce is entirely union-free, while the operator at its power plant employs represented workers, which could lead to operational disruptions [99]. - Hallador has invested in employee health and safety, exceeding mandated guidelines, and has a private mine rescue team ready for emergencies [100]. - The company provides comprehensive health insurance with low-cost deductibles and co-pays, along with a private health and wellness clinic for employees [101]. - The Illinois Basin (ILB) coal mining operations cover over 50,000 square miles and are strategically located near major coal-consuming regions [93]. - The U.S. coal industry is highly competitive, with Hallador competing against large producers like Peabody Energy Corporation and Alliance Resource Partners [97]. Market and Strategic Outlook - Recent regulatory developments under the new Trump Administration may impact the market for coal products and electric power operations, creating uncertainty [103]. - The Infrastructure Investment and Jobs Act and the Inflation Reduction Act present potential opportunities for Hallador, aligning with its future strategy [90].
Hallador Energy Company Reports Fourth Quarter and Full Year 2024 Financial and Operating Results
Globenewswire· 2025-03-17 20:05
Core Insights - Hallador Energy Company reported a total revenue of $94.2 million for Q4 2024 and $404.4 million for FY 2024, with a significant increase in operating cash flow to $32.5 million in Q4 2024 and $65.9 million for the full year [1][2][3] - The company is transitioning from a bituminous coal producer to a vertically integrated independent power producer (IPP), aligning with market trends and focusing on electric sales [2][3] - A strategic partnership with a leading global data center developer is in progress, which could enhance margins for power production over the next decade [2][10] Financial Performance - Q4 2024 Adjusted EBITDA increased approximately threefold year-over-year to $6.2 million, with FY 2024 Adjusted EBITDA totaling $16.8 million [1][3] - The company reduced coal production volume by about 40% during 2024, leading to a non-cash write-down of approximately $215 million in the carrying value of its Sunrise Coal subsidiary [3][10] - Total bank debt decreased by over 50% to $44 million at year-end 2024, reflecting improved financial health [2][10] Revenue Composition - Electric sales accounted for $69.7 million or 74% of total Q4 revenue, a significant increase from $37.1 million or 31% in the same period last year [10] - Coal sales dropped to $23.4 million or 25% of total revenue in Q4 2024, down from $81.3 million or 68% in the prior year [10] - The company has secured total forward energy, capacity, and coal sales to third-party customers amounting to $1.1 billion through 2029, up from $937.2 million at the end of Q3 2024 [10] Strategic Focus - Hallador is prioritizing the optimization of its Merom Power Plant and seeking opportunities to acquire additional dispatchable generators to enhance its electric operations [2][3] - The company is actively managing forward power sales for 2025 and 2026 to improve financial flexibility [2][3] - The ongoing industry shift towards non-dispatchable resources like wind and solar has increased the value of Hallador's power subsidiary, while reducing demand for coal has prompted a strategic pivot [2][3]
Hallador Energy: Recent Filing To MISO Indicates A Datacenter Deal Is Imminent
Seeking Alpha· 2025-03-13 13:20
Core Viewpoint - Hallador Energy Company (HNRG) is an independent power producer operating a 1GW coal plant in Indiana and has a coal mining business that is currently being de-emphasized [1] Group 1 - HNRG operates the Merom plant located in the MISO region of Sullivan County, Indiana [1] - The company has a significant focus on its coal plant operations while reducing emphasis on its coal mining business [1]
Hallador Energy Company Schedules Fourth Quarter & Full Year 2024 Conference Call for March 17, 2025 at 5:30 p.m. ET
Newsfilter· 2025-02-28 13:30
Core Viewpoint - Hallador Energy Company will host a conference call on March 17, 2025, to discuss its financial results for Q4 and the full year ended December 31, 2024 [1][2] Group 1: Conference Call Details - The conference call is scheduled for March 17, 2025, at 5:30 p.m. Eastern time [2] - Interested parties can submit questions via email to the investor relations team prior to the call [2] - The call will be broadcast live and available for replay on the company's investor relations website [2] Group 2: Company Overview - Hallador Energy Company is a vertically-integrated Independent Power Producer based in Terre Haute, Indiana [3] - The company operates two core businesses: Hallador Power Company, which produces electricity at the one-Gigawatt Merom Generating Station, and Sunrise Coal, which supplies fuel to the Merom Generating Station and other companies [3]
Hallador Energy Company Schedules Fourth Quarter & Full Year 2024 Conference Call for March 17, 2025 at 5:30 p.m. ET
Globenewswire· 2025-02-28 13:30
Core Viewpoint - Hallador Energy Company will host a conference call on March 17, 2025, to discuss its financial results for Q4 and the full year ended December 31, 2024 [1][2] Company Overview - Hallador Energy Company is a vertically-integrated Independent Power Producer (IPP) based in Terre Haute, Indiana [3] - The company operates two main businesses: Hallador Power Company, LLC, which produces electricity at its one-Gigawatt (GW) Merom Generating Station, and Sunrise Coal, LLC, which supplies fuel to the Merom Generating Station and other companies [3]