Revenue and Sales Performance - The company reported revenue of 666.3millionfor2024,adecreaseofapproximately4693.5 million in 2023, despite an increase in sales volume from 3.5 million tons to 4.0 million tons [497]. - The average revenue per ton sold decreased by 17% from 201in2023to167 in 2024, driven by volatility in index-based pricing for export sales [498]. - Non-GAAP revenue (FOB mine) decreased to 559.3millionin2024from588.6 million in 2023, a decline of 29.4millionor5666,295, a decrease of 3.9% from 693,524in2023[615].IncomeandProfitability−Netincomefor2024was11.2 million, significantly lower than 82.3millionin2023,primarilyduetodecreasedmetallurgicalcoalpriceindices[494].−AdjustedEBITDAfor2024was105.8 million, down from 182.1millionin2023,reflectingtheimpactoflowercoalpricesandmacroeconomicfactors[494].−Operatingincomedecreasedto16,636 in 2024, compared to 95,245in2023,reflectingadeclineof82.511.2 million from 82.3millionin2023,representingadeclineof86.40.11 for Class A shares in 2024, down from 1.06in2023[615].CapitalExpendituresandInvestments−Totalcapitalexpendituresfor2024were68.8 million, down from 82.9millionin2023,reflectingprogressonstrategicgrowthprojects[488].−TheCompanyexpectscapitalexpendituresofapproximately60-70 million in 2025, including roughly 20millionforgrowthcapitalrelatedtoincreasingproductionattheElkCreekComplexandBerwindmine[551].−TheCompanyspent68.8 million on capital additions in 2024, down from 82.9millionin2023,reflectingsubstantialprogressinproductiongrowthinitiatives[550].DebtandFinancing−Interestexpensedecreasedtoapproximately6.1 million in 2024 from 8.9millionin2023,primarilyduetodebtrepaymentfrompreviousacquisitions[507].−Thecompanycompletedadebtofferingof57.5 million in Senior Unsecured Notes due 2029, with an interest rate of 8.375% per annum [535]. - The company repaid 38.2millionmoreinacquisition−relatedfinancingin2023comparedto2024,resultinginanetcashusedforfinancingactivitiesdecreaseof31.7 million [524]. - The Company had no valuation allowance for deferred income taxes as of December 31, 2024 [574]. Assets and Liabilities - Total current assets decreased to 167,634in2024from189,739 in 2023, a decline of 11.6% [613]. - Total liabilities increased to 311,880in2024,upfrom296,231 in 2023, an increase of 5.3% [613]. - The Company’s total costs and expenses increased to 649,659in2024from598,279 in 2023, an increase of 8.6% [615]. - The Company has a total of 158.4millioninsignificantcontractualobligationsasofDecember31,2024,with20.2 million due in the next year [552]. Production and Operational Performance - 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]. - Cost of sales increased by approximately 8% to 533.3millionin2024,withcostpertonsolddecreasingby6143 in 2023 to 134in2024[500].−Totalinventoriesincreasedto43,358,000 in 2024 from $37,163,000 in 2023, representing a growth of about 16% [633]. Market Conditions and Future Outlook - The company expects metallurgical coal prices to remain volatile in the near term due to macroeconomic conditions and reduced steel demand [498]. - The company is exposed to fluctuations in market pricing due to its shift towards more export sales, which increases revenue volatility [581]. - The company continues to assess its rare earth elements and critical minerals deposit in Wyoming, with plans to begin construction of a pilot processing facility in mid to late 2025 [491]. Internal Controls and Compliance - 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 had no significant uncertain tax positions requiring liability recognition as of December 31, 2024, and 2023, indicating a strong compliance position [655].
