NPR(US:NRP)2019-05-08 20:56Revenue and Income - For the three months ended March 31, 2019, total revenues increased by 11% to $67,041,000 compared to $60,129,000 in the same period of 2018[139]. - Coal Royalty and Other segment revenues rose by 10% to $55,359,000, while Soda Ash segment revenues increased by 21% to $11,682,000[139]. - Net income from continuing operations was $35,765,000, with Coal Royalty and Other segment generating $42,607,000 and Soda Ash segment contributing $11,682,000[129]. - Total coal royalty revenues increased by 4% to $32,131, up from $31,002 in the previous year[143]. - Other revenues increased by 29% to $17,371, primarily due to higher minimum lease straight-line revenues and coal overriding royalty revenues[143]. Cash Flow and Liquidity - Distributable cash flow (DCF) for the period was $23,139,000, while free cash flow (FCF) was $23,273,000[129]. - Net cash provided by operating activities increased by $3.2 million, from $19.8 million in Q1 2018 to $23.0 million in Q1 2019, primarily due to timing of cash collections and lower interest payments[163]. - Distributable cash flow (DCF) increased by $2.5 million to $23.139 million, while free cash flow (FCF) increased by $3.3 million to $23.273 million in Q1 2019[158]. - Total liquidity as of March 31, 2019, was $229.7 million, consisting of $112.4 million in cash and cash equivalents, $17.3 million in restricted cash, and $100 million borrowing capacity[161]. Expenses and Debt - Operating expenses rose by 8% to $17,102, driven by a 35% increase in operating and maintenance expenses[147]. - Interest expense decreased by $3.8 million due to lower debt balances from debt repayments[148]. - Total debt decreased from $672.8 million as of December 31, 2018, to $587.7 million as of March 31, 2019[166]. - Cash flows used in financing activities increased by $71.3 million to $99.6 million in Q1 2019, primarily due to increased payments on the Opco Senior Notes[165]. Production and Market Outlook - Total coal production decreased by 4% to 6,045 tons compared to 6,292 tons in the same period last year[142]. - The company expects metallurgical coal prices to remain stable for the remainder of 2019, driven by global steel demand[132]. - Domestic thermal coal prices and production volumes are anticipated to decline modestly in the second half of 2019 as current supply contracts roll off[134]. - Ciner Wyoming is considering expanding its production capacity, which may require significantly higher capital expenditures than in recent years[137]. Segment Performance - Adjusted EBITDA for the total operations was $52,449,000, with Coal Royalty and Other contributing $46,999,000 and Soda Ash contributing $9,800,000[129]. - Adjusted EBITDA for Coal Royalty and Other segment increased by $2.7 million to $46,999, reflecting higher revenues[154]. - Soda Ash segment revenues increased by $2.1 million due to higher production and sales volumes[146]. - Coal royalty revenues from the Appalachia region increased by $2.5 million, offsetting declines in other regions[145]. Financial Strategy - The company plans to use proceeds from $300 million senior unsecured notes to redeem outstanding 10.50% senior unsecured notes, enhancing financial flexibility[127]. - The company remains focused on maintaining sufficient liquidity to manage through commodity price volatility while servicing debt and making distributions to unitholders[128]. - The company extended the maturity date of the $100 million Opco Credit Facility to April 2023 and issued $300 million in new senior notes due 2025[162]. - The company intends to use $17.3 million of restricted cash for required amortization payments on the Opco Senior Notes in 2019[161]. - The company remains in compliance with the financial covenants in its debt agreements[166].