Group 1: Bitcoin's Mainstream Acceptance - Bitcoin has gained legitimacy and mainstream status, with the SEC acknowledging it through spot Bitcoin ETFs like iShares Bitcoin Trust by BlackRock [1] - Companies like MicroStrategy have successfully used Bitcoin to enhance shareholder value, with its stock soaring 20x since 2020 [1] Group 2: Companies Embracing Bitcoin - More companies outside the tech sector are replacing cash reserves with Bitcoin or investing in it [3] - Alliance Resource Partners, the largest coal producer in the Eastern U.S., is diversifying into Bitcoin mining, having mined over $30 million worth of Bitcoin by April 2024 [6][11] - Semler Scientific adopted Bitcoin as its primary treasury reserve asset in May 2024, leading to a significant increase in its stock price from $26 to a peak of $81.56 [15] - Mogo Inc. approved an initial investment of up to $5 million in Bitcoin and Bitcoin ETFs, which initially boosted its stock price [21] Group 3: Financial Performance and Outlook - Alliance Resource Partners reported a revenue of $2.4 billion and net income of $360.9 million for the full year 2024, with a forecast of coal sales volumes between 32.25 million to 34.25 million tons for 2025 [7][8] - Semler Scientific holds 3,192 Bitcoins valued at an average price of $87,854 each, with a market capitalization growth of over 200% since adopting Bitcoin [19][20] - Mogo's Q3 2024 revenues rose 8.28% YoY to $12.69 million, with significant growth in its payment solutions business [22][23]

Financial Data and Key Metrics Changes - For the full year 2024, total revenues were $2.4 billion, adjusted EBITDA was $714.2 million, net income was $360.9 million, and earnings per unit were $2.77 [5] - Q4 2024 total revenues were $590.1 million, down from $625.4 million in Q4 2023, primarily due to lower coal and oil and gas prices, reduced coal sales volumes, and lower transportation revenues [5][6] - Net income for Q4 2024 was $16.3 million compared to $115.4 million in Q4 2023, reflecting lower coal sales volumes and realized prices [11] Business Line Data and Key Metrics Changes - Total coal production in Q4 2024 was 6.9 million tons, a decrease of 12.4% compared to Q4 2023, while coal sales volumes decreased by 2.3% to 8.4 million tons [7][8] - In the Illinois Basin, coal sales volumes increased by 2.8% compared to Q4 2023 due to increased volumes from specific mines [7] - Royalty segment revenues in Q4 2024 were $48.5 million, down 8.6% compared to Q4 2023, reflecting lower realized oil and gas commodity pricing [9] Market Data and Key Metrics Changes - The average coal sales price per ton for the full year 2024 was $63.38, close to the record level of $64.17 achieved in 2023 [6] - The total coal sales price per ton in Q4 2024 was $59.97, a decrease of 1% year-over-year and 5.7% sequentially [7] - The company anticipates coal sales volumes in 2025 to be in the range of 32.25 to 34.25 million tons, with over 78% of these volumes committed and priced [14] Company Strategy and Development Direction - The company plans to run two production units at MC Mining for all of 2025 to reduce operating costs [8] - Strategic capital improvements were executed at several mines, and the company remains committed to investing in its oil and gas minerals business [12][19] - The company expects improved coal production costs to counterbalance lower market prices, maintaining coal segment margins near 2024 levels [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about gradually improving market fundamentals and the potential for increased domestic sales in 2025 [15][21] - The company highlighted the importance of coal in meeting growing electricity demand and the strategic need for grid reliability [21][22] - Management noted that the new administration's policies are expected to support the continued operation of coal generation assets [23] Other Important Information - The company generated free cash flow of $383.5 million in 2024 after investing $410.9 million in coal operations [12] - The company declared a quarterly distribution of $0.70 per unit for Q4 2024, unchanged from the previous quarter [13] - The fair value of the company's digital assets was approximately $45 million at year-end 2024, positively impacting net income [24] Q&A Session Summary Question: Impact of recent tariffs on ARLP's business - Management indicated uncertainty regarding the impact of tariffs, suggesting that recent announcements appear to be more about negotiation than creating a tariff war [28][30] Question: Confidence in reaching domestic shipment goals - Management expressed confidence in reaching the 30 million ton goal for domestic shipments, with ongoing conversations expected to conclude soon [32][33] Question: Pricing expectations for 2024 - Management noted that pricing is influenced by supply and demand dynamics, with potential upside if weather conditions are favorable [61][62] Question: Changes in the oil and gas segment - Management acknowledged increased competition for acquiring new properties but remains focused on opportunities in the Permian Basin [84][85]