Industry Overview - The Zacks Coal industry is facing challenges due to a decline in coal usage in thermal power plants in the U.S., with demand expected to decrease further by 2025 due to the retirement of coal units and a shift towards renewable energy sources [1][2] - Current U.S. recoverable coal reserves are estimated at 252 billion short tons, with 58% being underground mineable coal, but the industry's prospects are hindered by increasing renewable energy adoption and natural gas competitiveness [2][4] Production and Export Trends - U.S. coal production is projected to be 490 million short tons in 2025, an increase from previous estimates, but is expected to decline by 4.5% year-over-year in 2025 and 4.7% in 2026 [5] - Coal exports are anticipated to drop to 93 million short tons in 2025, a 4.1% decrease from earlier projections, with thermal coal exports expected to fall from 49 million short tons in 2025 to 47 million short tons in 2026 due to tariffs imposed by China [3][10] Emission Policies and Market Position - The U.S. aims for 100% carbon pollution-free electricity by 2030 and net-zero emissions by 2050, which is contributing to reduced coal usage in electricity generation [4] - The Zacks Coal industry currently ranks 239 out of 246 Zacks industries, placing it in the bottom 3%, reflecting a negative earnings outlook and a 47.2% decline in earnings estimates for 2025 since December 2024 [6][8] Stock Performance and Valuation - Over the past year, the coal industry has lost 9%, outperforming the Zacks Oil and Gas sector's decline of 14.5%, but lagging behind the Zacks S&P 500 composite, which gained 6.9% [10] - The industry is trading at a trailing 12-month EV/EBITDA ratio of 4.7X, significantly lower than the Zacks S&P 500 composite's 15.86X, indicating a challenging valuation environment [13] Notable Companies - SunCoke Energy focuses on metallurgical coal production, essential for steel manufacturing, and has an annual coke-making capacity of 5.9 million tons, with a current dividend yield of 5.14% [17][18] - Ramaco Resources is positioned to benefit from improving metallurgical coal demand, with 3.5 million tons contracted for 2025 at a fixed price of $145 per ton, and plans to invest $60 to $70 million in capital expenditures for growth initiatives [22][23]

LEXINGTON, Ky., April 10, 2025 /PRNewswire/ -- Ramaco Resources, Inc. (NASDAQ: METC) Chairman and CEO Randall Atkins is scheduled to appear for an interview Thursday, April 10, with Stuart Varney on Fox Business Channel. The interview is currently scheduled to appear at roughly 11:25am ET on the Varney & Co. program. During his appearance, Atkins expects to discuss President Donald Trump's recent executive orders regarding coal and the outstanding support the president has shown to the U.S. coal industry, a ...

Financial Performance - The company reported revenue of $666.3 million for 2024, a decrease of approximately 4% compared to $693.5 million in 2023, despite an increase in coal sales volume from 3.5 million tons to 4.0 million tons [497]. - Net income for 2024 was $11.2 million, significantly lower than $82.3 million in 2023, influenced by decreased metallurgical coal price indices and prior year insurance proceeds [494]. - Adjusted EBITDA for 2024 was $105.8 million, down from $182.1 million in 2023, reflecting the impact of lower coal prices despite increased sales volume [494]. - Total revenue for 2024 was $666.3 million, a decrease of 3.9% from $693.5 million in 2023 [615]. - Operating income decreased significantly to $16.6 million in 2024 from $95.2 million in 2023, reflecting a decline of 82.5% [615]. - Net income for 2024 decreased to $11,192,000 from $82,313,000 in 2023, representing a decline of approximately 86.4% [622]. - Cash flows provided by operating activities decreased by $48.4 million to $112.7 million in 2024 compared to $161.0 million in 2023 [522]. Sales and Production - The average revenue per ton sold decreased by 17% from $201 in 2023 to $167 in 2024, primarily due to volatility in index-based pricing for export sales [498]. - The company produced 3.7 million tons of coal in 2024, an increase from 3.2 million tons in 2023, with expectations for 2025 production volumes between 4.2 and 4.6 million tons [489]. - The company entered into forward sales contracts for approximately 1.5 million tons at an average fixed price of $152 per ton for North American customers [517]. - During 2024, sales to two customers accounted for 22% of total revenue, a decrease from 41% in 2023, indicating improved customer diversification [661]. Capital Expenditures and Investments - Total capital expenditures for 2024 were $68.8 million, down from $82.9 million in 2023, reflecting progress on strategic growth projects [488]. - Capital expenditures for 2024 were $55,236,000, compared to $82,904,000 in 2023, indicating a reduction of about 33.6% [622]. - The Company anticipates capital expenditures of approximately $60-70 million in 2025, including about $20 million for growth capital at the Elk Creek Complex and Berwind mine [551]. - The company continues to explore rare earth elements and critical minerals in Wyoming, with a $6.1 million matching grant received for developing a pilot processing facility expected to begin construction in mid to late 2025 [491]. Costs and Expenses - Cost of sales increased by approximately 8% to $533.3 million in 2024, with cost per ton sold decreasing from $143 in 2023 to $134 in 2024 [500]. - Non-GAAP cash cost per ton sold (FOB mine) improved to $105 in 2024 from $110 in 2023, a decrease of $5 [516]. - Cash paid for interest decreased to $4,756,000 in 2024 from $8,113,000 in 2023, a decline of about 41.5% [622]. - Total depreciation, depletion, and amortization for 2024 was $65.615 million, up from $54.252 million in 2023, reflecting a year-over-year increase of approximately 20.5% [674]. Debt and Financing - Interest expense decreased to approximately $6.1 million in 2024 from $8.9 million in 2023, primarily due to debt repayment from previous acquisitions [507]. - The company completed a debt offering of $57.5 million in Senior Unsecured Notes due 2029, with an interest rate of 8.375% per annum [535]. - The Company had total liabilities for finance leases amounting to $13.7 million, with $6.2 million due in 2025 and $7.5 million due thereafter [540]. - The Company entered into an amended Revolving Credit Facility with a maturity date of May 3, 2029, providing an initial commitment of $200 million and an accordion feature for an additional $75 million [540]. Assets and Liabilities - Total current assets decreased to $167.6 million in 2024 from $189.7 million in 2023, a reduction of 11.6% [613]. - Total liabilities increased to $311.9 million in 2024, up from $296.2 million in 2023, marking a rise of 5.3% [613]. - The total stockholders' equity decreased to $362.8 million in 2024 from $369.6 million in 2023, a decline of 1.9% [613]. - The total liability for asset retirement obligations was $31.1 million at December 31, 2024, reflecting estimates of future reclamation costs [555]. Compliance and Internal Controls - The Company has identified a material weakness in internal control over financial reporting due to insufficient accounting resources [600]. - The Company’s internal control over financial reporting was not effective as of December 31, 2024, based on the criteria established by COSO [598]. - The Company is in compliance with all debt covenants under the Revolving Credit Facility, including maintaining a fixed charge coverage ratio of not less than 1.10:1.00 [544]. Strategic Initiatives - The company plans to focus on new product development and market expansion strategies in the upcoming fiscal year [615]. - The acquisition of Ramaco Coal is expected to reduce royalty expenses and support the company's expansion into advanced carbon products and materials from coal [536]. - The company has ongoing initiatives for the potential recovery of rare earth elements from coal and carbonaceous ore [624]. - The company is involved in collaborative arrangements with government researchers related to Wyoming initiatives [624].

LEXINGTON, Ky., March 17, 2025 /PRNewswire/ -- Ramaco Resources, Inc. (NASDAQ: METC, METCB) ("Ramaco Resources" or the "Company") is pleased to announce that it has received a $6.1 million matching grant authorized by Wyoming Governor Mark Gordon and issued by the Wyoming Energy Authority for Ramaco's Wyoming CORE (Carbon Ore Rare Earth) Brook Mine project. The funding will match Ramaco's significant future investment in constructing and equipping a rare earth and critical minerals pilot processing facility ...

Ramaco Resources TodayMETCRamaco Resources$8.86 -2.76 (-23.75%) 52-Week Range$8.17▼$19.20Dividend Yield6.21%P/E Ratio13.63Price Target$17.00Add to WatchlistThe prevailing narrative surrounding coal provides a bleak picture of a fuel source in terminal decline, overshadowed by cleaner, cheaper alternatives and facing mounting pressure from environmentalists and investors. Divestment from coal assets is widespread, and the industry's long-term trajectory appears definitively downward. However, multiple emerg ...

INVESTOR PRESENTATION Fourth Quarter and Full Year 2024 Results 1 DISCLAIMER Forward Looking Statements: The information in this presentation includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act") and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). All statements, other than statements of historical fact included in this presentation, regarding our strategy, future operations, financial pos ...

Financial Data and Key Metrics Changes - The fourth quarter of 2024 was the strongest quarter of the year for the company, with adjusted EBITDA of $29 million compared to $24 million in Q3, and net income of $4 million compared to breakeven in Q3 [35][41] - Cash margins remained at $33 per ton, down just $2 per ton since Q2, despite a $30 drop in met coal prices [8][34] - Year-end liquidity reached $138 million, up more than 50% year on year, marking the highest year-end liquidity in company history [41][42] Business Line Data and Key Metrics Changes - Record tons sold were achieved in Q4, with a run rate of 4.5 million tons per annum, the highest level in company history [36] - Cash costs exited 2024 in the mid-nineties per ton range, the best among publicly traded peers [36] Market Data and Key Metrics Changes - Metallurgical coal prices have been under pressure, with a significant drop in prices due to increased steel exports from China [10][62] - Domestic steel prices have shown signs of recovery, with hot-rolled coil prices increasing from less than $700 per ton in Q3 to $940 per ton [11] Company Strategy and Development Direction - The company plans to increase future production by adding approximately 2 million tons of low volatile coal, with expansions at the Maven complex and continued mining in other sections [19][20] - The rare earth and critical minerals project in Wyoming is advancing, with plans for full-scale mining to begin in July [21][23] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously optimistic about potential price increases in the second half of the year, despite current market challenges [31] - The company is maintaining a high level of liquidity to navigate market uncertainties and to capitalize on potential opportunities [18][19] Other Important Information - The company has received a $6 million matching fund grant recommendation from the Wyoming Energy Authority for the rare earth project [24] - The overall size of the rare earth resource is now estimated at 1.7 million tons, an increase from the previous estimate of 1.5 million tons [25] Q&A Session Summary Question: Can you provide insight on the seaborne volumes fixed at $111 per ton and the current netbacks for various qualities? - The $111 figure reflects index-linked prices for January and February, with high vol netbacks around $125 per ton and low vol slightly higher [80][81] Question: What is the capital intensity of your growth projects and what conditions would trigger moving forward? - The current guidance includes about $60 million to $70 million in capital expenditures, with growth capital split between Elk Creek and Berwind [84][90] Question: How do you see balancing growth, shareholder returns, and protecting the business during this downturn? - The company is looking for opportunistic acquisitions in a distressed market while maintaining a modest growth CapEx for 2025 [122][124]

Financial Performance - In Q4 2024, Ramaco Resources achieved Adjusted EBITDA of $29.2 million, a 24% increase from $23.6 million in Q3 2024[3]. - Net income for Q4 2024 was $3.9 million, a significant increase of approximately 1,700% compared to a loss of $0.2 million in Q3 2024[3]. - Year-end liquidity reached a record $137.8 million, up over 50% from the previous year[32]. - Net income for 2024 was $11,192,000, a significant decrease of 86.4% compared to $82,313,000 in 2023[51]. - Adjusted EBITDA for the year ended December 31, 2024, was $105,792,000, down from $182,126,000 in 2023, reflecting a decline of 41.9%[54]. - The effective tax rate for 2024 was 25%, with Q4 2024 tax expense recognized at $2.2 million[34]. Sales and Production - The company sold over 1.1 million tons of metallurgical coal in Q4 2024, marking a 10% increase compared to Q3 2024[9]. - Overall production for Q4 2024 was 954,000 tons, up 28% from the same period in 2023[26]. - The Elk Creek complex produced a record 672,000 tons, representing a 63% increase year-over-year[27]. - Full-year 2024 production was 3,671,000 tons, with guidance for 2025 set between 4,200,000 and 4,600,000 tons[37]. - Committed sales volume for 2025 is 3.5 million tons, with an average price of $145 per ton[40]. Costs and Margins - Non-GAAP cash cost per ton sold decreased by $6 per ton, or 6%, to $96 per ton in Q4 2024, down from $102 per ton in Q3 2024[3]. - Cash costs were $96 per ton sold, a 10% decrease from the same period in 2023[28]. - Cash margins decreased to $33 per ton, down from $68 per ton in Q4 2023[29]. - The company expects to maintain cash margins of $33 per ton sold in Q4 2024, down just $1 per ton from Q3 2024[10]. - Non-GAAP revenue per ton sold (FOB mine) decreased to $140 in 2024 from $170 in 2023, a decline of 17.6%[55]. - Non-GAAP cash cost per ton sold (FOB mine) was $96 in Q4 2024, compared to $107 in Q4 2023, indicating a reduction of 10.3%[55]. Market Conditions - The metallurgical coal indices declined by $12 per ton, or 6%, in Q4 2024 compared to Q3 2024, and by $80 per ton, or 30%, compared to Q4 2023[3]. - U.S. metallurgical coal pricing fell to $129 per ton, a 26% decrease from $175 per ton in Q4 2023[28]. Capital Expenditures and Assets - Capital expenditures for Q4 2024 totaled $11.9 million, down from $18.0 million in Q4 2023[33]. - Capital expenditures for 2024 were $55,236,000, down from $82,904,000 in 2023, reflecting a decrease of 33.5%[51]. - Total assets increased to $674,686,000 in 2024 from $665,836,000 in 2023, representing a growth of 1.28%[49]. - Total current liabilities decreased to $122,428,000 in 2024 from $169,986,000 in 2023, a reduction of 28%[49]. - Total stockholders' equity decreased to $362,806,000 in 2024 from $369,605,000 in 2023, a decline of 1.9%[49]. Future Outlook - The company anticipates tons sold in Q1 2025 to be between 850,000 and 950,000, with a projected 33% increase in shipments for Q2 2025[7]. - Ramaco plans to commence full-scale mining for rare earth and critical minerals by July 2025, following positive preliminary testing results[20].

Core Viewpoint - Ramaco Resources, Inc. reported strong operational and financial results for Q4 and full-year 2024, achieving record sales and improved cash costs despite a challenging market environment for metallurgical coal [1][7][10]. Financial Performance - Adjusted EBITDA for Q4 2024 was $29.2 million, a 24% increase from Q3 2024, and a significant decline of 50% year-over-year [7][26]. - Net income for Q4 2024 was $3.9 million, compared to a loss of $0.2 million in Q3 2024, marking a ~1,700% increase [7][26]. - Total tons sold in Q4 2024 reached 1.1 million, a 10% increase from Q3 2024 and a 14% increase year-over-year [26][30]. Production and Costs - The company experienced a 25% decline in costs throughout 2024, with cash costs per ton sold decreasing to $96, down from $102 in Q3 2024 [4][30]. - Production for Q4 2024 was 954,000 tons, a 28% increase from the same period in 2023, driven by the Elk Creek complex [29][30]. - The Elk Creek complex produced a record 672,000 tons, up 63% year-over-year [29]. Market Commentary and Outlook - Total sales commitments for 2025 are currently at 3.5 million tons, equating to 80% of the midpoint of production guidance [3]. - U.S. metallurgical coal indices fell by $12 per ton quarter-over-quarter in Q4 2024, representing a 6% decline [7][30]. - Despite weak steel demand, there are expectations for potential price increases in the second half of 2025 due to supply-side constraints [13][14]. Rare Earths and Critical Minerals - The company is progressing on its rare earth and critical minerals project at the Brook Mine in Wyoming, with minimal costs incurred since acquisition [8][21]. - A $6.1 million matching grant from the Wyoming Energy Authority has been received to support the development of the pilot plant [24]. - Preliminary testing results continue to confirm the project's feasibility, with further updates expected in Q2 2025 [22][23]. Balance Sheet and Liquidity - As of December 31, 2024, the company maintained record liquidity of $137.8 million, a 50% increase from the previous year [34]. - Capital expenditures for Q4 2024 totaled $11.9 million, down from $18 million in Q4 2023, reflecting the completion of growth projects [35]. Guidance - The company anticipates production for 2025 to be between 4.2 million and 4.6 million tons, with cash costs per ton sold expected to range from $97 to $103 [37][38]. - The effective tax rate is projected to be between 25% and 30% for 2025 [38].

Company Overview - Ramaco Resources, Inc. operates and develops high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia [3] - The company has four active metallurgical coal mining complexes in Central Appalachia and is developing a rare earth and coal mine near Sheridan, Wyoming [3] - In 2023, a major rare earth deposit of primary magnetic rare earths was discovered at the Wyoming mine [3] - Ramaco operates a carbon research and pilot facility related to advanced carbon products and materials from coal, holding approximately 60 intellectual property patents and related agreements [3] Financial Reporting - Ramaco Resources will report its fourth quarter and full year 2024 financial results on March 10, 2025, after market close [1] - An investor conference call and webcast will be held on March 11, 2025, at 9:00 a.m. Eastern Time, featuring key executives discussing the financial results [2] Access Information - The earnings news release will be available on the company's investor relations website and through major financial information sites [1] - The conference call can be accessed domestically at 1-877-317-6789 and internationally at 1-412-317-6789 [3]