false000170471500017047152024-02-222024-02-22

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
_______________

FORM 8-K
 
 CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
 
Date of report (Date of earliest event reported): February 22, 2024

 ALPHA METALLURGICAL RESOURCES, INC.
(Exact Name of Registrant as Specified in Charter)
 
Delaware
(State or Other Jurisdiction of Incorporation) 
001-38735
81-3015061
(Commission File Number)
(IRS Employer Identification No.)
 
340 Martin Luther King Jr. Blvd.
Bristol, Tennessee 37620
(Address of Principal Executive Offices, zip code)
 
(423) 573-0300
(Registrant’s telephone number, including area code)
 
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common StockAMRNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging Growth Company      ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨ 





Item 2.02 Results of Operations and Financial Condition. 

On February 26, 2024, Alpha Metallurgical Resources, Inc. (the “Company”) issued a press release announcing earnings and other financial results for its fiscal quarter and year ended December 31, 2023. The press release is attached hereto as Exhibit 99.1.

Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On February 22, 2024, directors Michael J. Quillen and Albert E. Ferrara, Jr. each advised David J. Stetson, the chair of the board of Alpha Metallurgical Resources, Inc. (the “Company”), that they would resign from the board before the open of the New York Stock Exchange on Monday, February 26, 2024. Because of the director age limitation contained in the Company’s Corporate Governance Guidelines, neither Mr. Quillen nor Mr. Ferrara was eligible to stand for re-election at the Company’s annual meeting of stockholders, scheduled for May 2, 2024. On the same date, director Elizabeth A. Fessenden also advised Mr. Stetson that she would resign from the board on the same date and at the same time as Messrs. Quillen and Ferrara. None of these departures is a result of any disagreement with the company.

Also on February 22, 2024, the board appointed Shelly Lombard as a director of the Company and as chair of the board’s audit committee, effective as of the close of the New York Stock Exchange on Monday, February 26, 2024. There are no arrangements or understandings between Ms. Lombard and any other persons pursuant to which she was selected as a director. Ms. Lombard does not have any family relationship with any of the Company’s directors or executive officers or any person nominated by the Company to be a director or executive officer. She will be compensated for her service according to the Company’s Non-Employee Director Compensation Policy, as amended from time to time.

Also on February 22, 2024, the board approved a decrease in the size of the board from nine members to seven members, effective as of February 26, 2024.

Item 9.01 Financial Statements and Exhibits. 

(d) Exhibits
Exhibit 99.1
Press Release dated February 26, 2024
104Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Alpha Metallurgical Resources, Inc.
Date: February 26, 2024
By:
/s/ J. Todd Munsey
Name: J. Todd Munsey
Title: Chief Financial Officer




EXHIBIT INDEX
Exhibit No.Description
Exhibit 99.1
104Cover Page Interactive Data File (embedded within the Inline XBRL document)



FOR IMMEDIATE RELEASE
imagea.jpg
        
                                                                 
Alpha Announces Financial Results for Fourth Quarter and Full Year 2023

•Posts fourth quarter net income of $176.0 million, or $12.88 per diluted share
•Announces Adjusted EBITDA of $266.3 million for the quarter
•Continues progress on buyback program, with approximately $1.1 billion returned to shareholders since program inception
•Announces changes to company's board of directors

BRISTOL, Tenn., February 26, 2024 - Alpha Metallurgical Resources, Inc. (NYSE: AMR), a leading U.S. supplier of metallurgical products for the steel industry, today reported financial results for the fourth quarter and full year ending December 31, 2023.

(millions, except per share)
Three months ended
Dec. 31, 2023Sept. 30, 2023Dec. 31, 2022
Net income
$176.0$93.8$220.7
Net income per diluted share
$12.88$6.65$13.37
Adjusted EBITDA(1)
$266.3$153.9$247.9
Operating cash flow
$199.4$157.2$185.0
Capital expenditures($61.5)($54.7)($61.0)
Tons of coal sold4.64.23.9
__________________________________
1. These are non-GAAP financial measures. A reconciliation of Net Income to Adjusted EBITDA is included in tables accompanying the financial schedules.


"Our fourth quarter results reflect a team effort to finish the year strong, and I'm pleased to report we were successful in that endeavor," said Andy Eidson, Alpha's chief executive officer. "Building on this positive momentum, Alpha completed the year having generated over a billion dollars in 2023 Adjusted EBITDA and having invested more than a billion dollars into our share repurchase program since its inception. We did all of this while maintaining better-than-national-average safety and environmental compliance performance and continuing to provide first class service to our customers."
amrpressreleasefootera.jpg


Financial Performance

Alpha reported net income of $176.0 million, or $12.88 per diluted share, for the fourth quarter 2023, as compared to net income of $93.8 million, or $6.65 per diluted share, in the third quarter.

For the fourth quarter, total Adjusted EBITDA was $266.3 million, compared to $153.9 million in the third quarter.


Coal Revenues
(millions)
Three months ended
Dec. 31, 2023Sept. 30, 2023
Met Segment$954.2$731.5
All Other$2.9$7.5
Met Segment (excl. freight & handling)(1)
$834.6$636.7
All Other (excl. freight & handling)(1)
$2.9$7.5

Tons Sold(millions)
Three months ended
Dec. 31, 2023Sept. 30, 2023
Met Segment4.54.1
All Other0.10.1
__________________________________
1. Represents Non-GAAP coal revenues which is defined and reconciled under "Non-GAAP Financial Measures" and "Results of Operations."


Coal Sales Realization(1)
(per ton)
Three months ended
Dec. 31, 2023Sept. 30, 2023
Met Segment$183.76$154.73
All Other$70.14$68.32
__________________________________
1. Represents Non-GAAP coal sales realization which is defined and reconciled under "Non-GAAP Financial Measures" and "Results of Operations."

Fourth quarter net realized pricing for the Met segment was $183.76 per ton and net realization in the All Other category was $70.14 per ton.

The table below provides a breakdown of our Met segment coal sold in the fourth quarter by pricing mechanism.

2


(in millions, except per ton data)
Met Segment SalesThree months ended Dec. 31, 2023
Tons SoldCoal Revenues
Realization/ton(1)
% of Met Tons Sold
Export - Other Pricing Mechanisms1.5$264.4$175.3237%
Domestic1.1$212.8$191.5427%
Export - Australian Indexed1.5$319.0$213.4136%
Total Met Coal Revenues4.1$796.2$193.54100%
Thermal Coal Revenues0.4$38.4$89.76
Total Met Segment Coal Revenues (excl. freight & handling)(1)
4.5$834.6$183.76
__________________________________
1. Represents Non-GAAP coal sales realization which is defined and reconciled under "Non-GAAP Financial Measures" and "Results of Operations."


Cost of Coal Sales
(in millions, except per ton data)
Three months ended
Dec. 31, 2023Sept. 30, 2023
Cost of Coal Sales$668.9$564.6
Cost of Coal Sales (excl. freight & handling/idle)(1)
$543.0$461.8

(per ton)
Met Segment(1)
$119.00$109.95
All Other(1)
$60.07$84.73

__________________________________
1. Represents Non-GAAP cost of coal sales and Non-GAAP cost of coal sales per ton which is defined and reconciled under "Non-GAAP Financial Measures" and "Results of Operations."


Alpha's Met segment cost of coal sales increased to an average of $119.00 per ton in the fourth quarter, compared to $109.95 per ton in the third quarter of 2023. The increase was primarily driven by higher sales-related costs and purchased coal costs, both of which were impacted by higher coal indices during the quarter, as well as higher labor costs. Cost of coal sales for the All Other category improved to $60.07 per ton in the fourth quarter, compared to $84.73 per ton in the third quarter.

Liquidity and Capital Resources

Cash provided by operating activities in the fourth quarter increased to $199.4 million as compared to $157.2 million in the third quarter 2023. Capital expenditures for the fourth quarter were $61.5 million compared to $54.7 million for the third quarter.

3


As of December 31, 2023, the company had total liquidity of $287.3 million, including cash and cash equivalents of $268.2 million and $94.1 million of unused availability under the ABL, partially offset by a minimum required liquidity of $75.0 million as required by the ABL. As of December 31, 2023, the company had no borrowings and $60.9 million in letters of credit outstanding under the ABL. Total long-term debt, including the current portion of long-term debt as of December 31, 2023, was $10.4 million and consisted primarily of equipment financing obligations.


Share Repurchase Program

As previously announced, Alpha's board of directors authorized a share repurchase program allowing for the expenditure of up to $1.5 billion for the repurchase of the company's common stock. As of February 19, 2024, the company has acquired approximately 6.6 million shares of common stock at a cost of approximately $1.1 billion, or approximately $164.87 per share. The number of common stock shares outstanding as of February 19, 2024 was 12,994,558, which includes the impact of 220,067 net shares issued in December 2023 and January 2024. The shares issued in these periods resulted from vestings of previously granted equity awards under the company’s incentive plans. The outstanding share count does not include the potentially dilutive effect of unvested equity awards.

The timing and amount of share repurchases will continue to be determined by the company's management based on its evaluation of market conditions, the trading price of the stock, applicable legal requirements, compliance with the provisions of the company's debt agreements, and other factors.


Composition of Alpha's Board of Directors & 2024 Annual Meeting

Per the company’s corporate governance guidelines, director candidates may not stand for election beyond the age of 75 years. Having reached this age limit, Michael J. Quillen and Albert E. Ferrara, Jr. will not stand for election at the 2024 annual meeting of stockholders and will leave the board, effective before market open on Monday, February 26, 2024, after significant tenures. Mr. Ferrara, the company’s longest-serving director, has served on the board since the company’s formation in July 2016, while Mr. Quillen, who founded predecessor company Alpha Natural Resources in 2002, has served since November 2020. In addition, Elizabeth A. Fessenden, a director since February 2021, has elected to step down from the board, effective before market open on February 26, 2024. None of these departures is a result of disagreements with the company. In connection with these departures, the board has determined to reduce its size from nine directors to seven, effective February 26, 2024.

Additionally, a new director, Shelly Lombard, has been appointed to join the board, effective at market close on February 26, 2024. Ms. Lombard is a financial expert bringing over 35 years of experience in finance on Wall Street and analyzing investments. She has served on a number of publicly traded company boards, including as chair of several audit committees.

“We cannot thank Mike, Al and Liz enough for their service to Alpha and the wisdom they’ve brought to our boardroom,” said David Stetson, board chairman. “Together, the board,
4


management and broader Alpha workforce have achieved incredible success over the last few years. Mike, Al and Liz are to be commended for their involvement in these accomplishments. As we look ahead, we are excited to welcome Shelly to the board. With her deep finance background and market experience, I am confident she will be a valuable contributor.”

Ms. Lombard has been appointed, effective upon joining the board, as chair of the audit committee.

Mr. Gorzynski has been appointed lead independent director, effective February 26, 2024.

Alpha announced the company’s director nominees for the 2024 annual meeting of stockholders: Joanna Baker de Neufville, Kenneth S. Courtis, Andy Eidson, Michael Gorzynski, Shelly Lombard, Danny Smith and David J. Stetson.

The board of directors has scheduled the annual meeting for May 2, 2024.

Operational and Performance Update

As previously announced, due to the 2023 closure of Alpha's last thermal mine, the company expects all of its 2024 financial activity to be reported within the Met segment. This change is reflected in the following guidance table.

As of February 14, 2024, at the midpoint of guidance, Alpha has committed and priced approximately 35% of its metallurgical coal at an average price of $171.33 per ton and 100% of thermal coal at an average expected price of $77.14 per ton.

5


2024 Guidance
in millions of tonsLowHigh
Metallurgical15.5 16.5 
Thermal0.9 1.3 
Met Segment - Total Shipments16.4 17.8 
Committed/Priced1,2,3
CommittedAverage Price
Metallurgical - Domestic$161.63 
Metallurgical - Export$196.05 
Metallurgical Total35 %$171.33 
Thermal100 %$77.14 
Met Segment
40 %$154.68 
Committed/Unpriced1,3
Committed
Metallurgical Total55 %
Thermal— %
Met Segment
51 %
Costs per ton4
LowHigh
Met Segment$110.00 $116.00 
In millions (except taxes)LowHigh
SG&A5
$60 $66 
Idle Operations Expense$18 $28 
Net Cash Interest Income$2 $8 
DD&A$140 $160 
Capital Expenditures$210 $240 
Capital Contributions to Equity Affiliates6
$40 $50 
Tax Rate12 %17 %
Notes:    
1.Based on committed and priced coal shipments as of February 14, 2024. Committed percentage based on the midpoint of shipment guidance range.
2.Actual average per-ton realizations on committed and priced tons recognized in future periods may vary based on actual freight expense in future periods relative to assumed freight expense embedded in projected average per-ton realizations.
3.Includes estimates of future coal shipments based upon contract terms and anticipated delivery schedules. Actual coal shipments may vary from these estimates.
4.Note: The Company is unable to present a quantitative reconciliation of its forward-looking non-GAAP cost of coal sales per ton sold financial measures to the most directly comparable GAAP measures without unreasonable efforts due to the inherent difficulty in forecasting and quantifying with reasonable accuracy significant items required for the reconciliation. The most directly comparable GAAP measure, GAAP cost of sales, is not accessible without unreasonable efforts on a forward-looking basis. The reconciling items include freight and handling costs, which are a component of GAAP cost of sales. Management is unable to predict without unreasonable efforts freight and handling costs due to uncertainty as to the end market and FOB point for uncommitted sales volumes and the final shipping point for export shipments. These amounts have historically varied and may continue to vary significantly from quarter to quarter and material changes to these items could have a significant effect on our future GAAP results.
5.Excludes expenses related to non-cash stock compensation and non-recurring expenses.
6.Includes contributions to fund normal operations at our DTA export facility and expected capital investments related to the facility upgrades.
6




Conference Call

The company plans to hold a conference call regarding its fourth quarter and full year 2023 results on February 26, 2024, at 10:00 a.m. Eastern time. The conference call will be available live on the investor section of the company’s website at https://alphametresources.com/investors. Analysts who would like to participate in the conference call should dial 877-407-0832 (domestic toll-free) or 201-689-8433 (international) approximately 15 minutes prior to start time.

About Alpha Metallurgical Resources

Alpha Metallurgical Resources (NYSE: AMR) is a Tennessee-based mining company with operations across Virginia and West Virginia. With customers across the globe, high-quality reserves and significant port capacity, Alpha reliably supplies metallurgical products to the steel industry. For more information, visit www.AlphaMetResources.com.


Forward-Looking Statements

This news release includes forward-looking statements. These forward-looking statements are based on Alpha's expectations and beliefs concerning future events and involve risks and uncertainties that may cause actual results to differ materially from current expectations. These factors are difficult to predict accurately and may be beyond Alpha’s control. Forward-looking statements in this news release or elsewhere speak only as of the date made. New uncertainties and risks arise from time to time, and it is impossible for Alpha to predict these events or how they may affect Alpha. Except as required by law, Alpha has no duty to, and does not intend to, update or revise the forward-looking statements in this news release or elsewhere after the date this release is issued. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this news release may not occur. 

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FINANCIAL TABLES FOLLOW

Non-GAAP Financial Measures

The discussion below contains “non-GAAP financial measures.” These are financial measures that either exclude or include amounts that are not excluded or included in the most directly comparable measures calculated and presented in accordance with generally accepted accounting principles in the United States (“U.S. GAAP” or “GAAP”). Specifically, we make use of the non-GAAP financial measures “Adjusted EBITDA,” “non-GAAP coal revenues,” “non-GAAP cost of coal sales,” and “non-GAAP coal margin.” We use Adjusted EBITDA to measure the operating performance of our segments and allocate resources to the segments. Adjusted EBITDA does not purport to be an alternative to net income (loss) as a measure of operating performance or any other measure of operating results, financial performance, or liquidity presented in accordance with GAAP. Moreover, this measure is not calculated identically by all companies and therefore may not be comparable to similarly titled measures used by other companies. Adjusted EBITDA is presented because management believes it is a useful indicator of the financial performance of our coal operations. We use non-GAAP coal revenues to present coal revenues generated, excluding freight and handling fulfillment revenues. Non-GAAP coal sales realization per ton for our operations is calculated as non-GAAP coal revenues divided by tons sold. We use non-GAAP cost of coal sales to adjust cost of coal sales to remove freight and handling costs, depreciation, depletion and amortization - production (excluding the depreciation, depletion and amortization related to selling, general and administrative functions), accretion on asset retirement obligations, amortization of acquired intangibles, net, and idled and closed mine costs. Non-GAAP cost of coal sales per ton for our operations is calculated as non-GAAP cost of coal sales divided by tons sold. Non-GAAP coal margin per ton for our coal operations is calculated as non-GAAP coal sales realization per ton for our coal operations less non-GAAP cost of coal sales per ton for our coal operations. The presentation of these measures should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP.

Management uses non-GAAP financial measures to supplement GAAP results to provide a more complete understanding of the factors and trends affecting the business than GAAP results alone. The definition of these non-GAAP measures may be changed periodically by management to adjust for significant items important to an understanding of operating trends and to adjust for items that may not reflect the trend of future results by excluding transactions that are not indicative of our core operating performance. Furthermore, analogous measures are used by industry analysts to evaluate the Company’s operating performance. Because not all companies use identical calculations, the presentations of these measures may not be comparable to other similarly titled measures of other companies and can differ significantly from company to company depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which companies operate, capital investments and other factors.

Included below are reconciliations of non-GAAP financial measures to GAAP financial measures.


8


ALPHA METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except share and per share data)
Three Months Ended December 31,Year Ended December 31,
2023202220232022
Revenues:
Coal revenues$957,127 $821,142 $3,456,630 $4,092,987 
Other revenues2,864 2,306 14,787 8,605 
Total revenues959,991 823,448 3,471,417 4,101,592 
Costs and expenses:
Cost of coal sales (exclusive of items shown separately below)668,879 549,143 2,356,138 2,285,969 
Depreciation, depletion and amortization42,638 23,930 136,869 107,620 
Accretion on asset retirement obligations6,371 5,943 25,500 23,765 
Amortization of acquired intangibles, net2,065 3,460 8,523 19,498 
Selling, general and administrative expenses (exclusive of depreciation, depletion and amortization shown separately above)26,139 23,279 82,390 71,618 
Total other operating loss (income):
Mark-to-market adjustment for acquisition-related obligations— (1,735)— 8,880 
Other expense (income)577 2,794 (1,088)3,363 
Total costs and expenses746,669 606,814 2,608,332 2,520,713 
Income from operations213,322 216,634 863,085 1,580,879 
Other (expense) income:
Interest expense(1,601)(1,747)(6,923)(21,802)
Interest income3,022 1,775 11,933 3,187 
Loss on extinguishment of debt(2,753)— (2,753)— 
Equity loss in affiliates(6,681)(6,028)(18,263)(14,346)
Miscellaneous (expense) income, net(763)2,298 (1,620)6,832 
Total other expense, net(8,776)(3,702)(17,626)(26,129)
Income before income taxes204,546 212,932 845,459 1,554,750 
Income tax (expense) benefit(28,530)7,748 (123,503)(106,205)
Net income$176,016 $220,680 $721,956 $1,448,545 
Basic income per common share$13.35 $13.86 $51.18 $82.82 
Diluted income per common share$12.88 $13.37 $49.30 $79.49 
Weighted average shares - basic13,187,100 15,923,288 14,106,466 17,490,886 
Weighted average shares - diluted13,662,021 16,504,793 14,642,856 18,222,397 
9


ALPHA METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share and per share data)
December 31, 2023December 31, 2022
Assets
Current assets:
Cash and cash equivalents$268,207 $301,906 
Short-term investments— 46,052 
Trade accounts receivable, net of allowance for credit losses of $234 and $239 as of December 31, 2023 and 2022, respectively509,682 407,210 
Inventories, net231,344 200,574 
Short-term deposits32 84,748 
Short-term restricted cash— 24,547 
Prepaid expenses and other current assets39,032 49,384 
Total current assets1,048,297 1,114,421 
Property, plant, and equipment, net of accumulated depreciation and amortization of $558,905 and $491,186 as of December 31, 2023 and 2022, respectively588,992 442,645 
Owned and leased mineral rights, net of accumulated depletion and amortization of $99,826 and $77,333 as of December 31, 2023 and 2022, respectively451,160 451,062 
Other acquired intangibles, net of accumulated amortization of $38,543 and $53,719 as of December 31, 2023 and 2022, respectively46,579 55,102 
Long-term restricted investments40,597 105,735 
Long-term restricted cash115,918 28,941 
Deferred income taxes8,028 11,378 
Other non-current assets106,486 103,195 
Total assets$2,406,057 $2,312,479 
Liabilities and Stockholders’ Equity
Current liabilities:
Current portion of long-term debt$3,582 $3,078 
Trade accounts payable128,836 106,037 
Acquisition-related obligations - current— 28,254 
Accrued expenses and other current liabilities177,512 265,256 
Total current liabilities309,930 402,625 
Long-term debt6,792 7,897 
Workers’ compensation and black lung obligations189,226 188,247 
Pension obligations101,908 110,836 
Asset retirement obligations166,509 142,048 
Deferred income taxes39,142 10,874 
Other non-current liabilities18,622 20,197 
Total liabilities832,129 882,724 
Commitments and Contingencies
Stockholders’ Equity
Preferred stock - par value $0.01, 5,000,000 shares authorized, none issued— — 
10


Common stock - par value $0.01, 50,000,000 shares authorized, 22,058,135 issued and 12,938,679 outstanding at December 31, 2023 and 21,703,163 issued and 15,552,676 outstanding at December 31, 2022221 217 
Additional paid-in capital834,482 815,442 
Accumulated other comprehensive loss(40,587)(12,162)
Treasury stock, at cost: 9,119,456 shares at December 31, 2023 and 6,150,487 shares at December 31, 2022(1,189,715)(649,061)
Retained earnings1,969,527 1,275,319 
Total stockholders’ equity1,573,928 1,429,755 
Total liabilities and stockholders’ equity$2,406,057 $2,312,479 
11


ALPHA METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
Year Ended December 31,
20232022
Operating activities:
Net income$721,956 $1,448,545 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, depletion and amortization136,869 107,620 
Amortization of acquired intangibles, net8,523 19,498 
Amortization of debt issuance costs and accretion of debt discount1,947 8,282 
Loss on extinguishment of debt2,753 — 
Mark-to-market adjustment for acquisition-related obligations— 8,880 
(Gain) loss on disposal of assets, net(6,817)43 
Accretion on asset retirement obligations25,500 23,765 
Employee benefit plans, net8,376 (4,492)
Deferred income taxes39,722 (14,521)
Stock-based compensation19,017 7,484 
Equity loss in affiliates18,263 14,346 
Other, net(363)(761)
Changes in operating assets and liabilities
Trade accounts receivable, net(102,477)82,774 
Inventories, net(27,900)(63,169)
Prepaid expenses and other current assets7,596 (12,031)
Deposits80,729 (84,314)
Other non-current assets3,837 11,268 
Trade accounts payable15,666 3,721 
Accrued expenses and other current liabilities(9,087)(6,872)
Acquisition-related obligations(28,254)(22,264)
Asset retirement obligations(19,189)(18,699)
Other non-current liabilities(45,508)(25,098)
Net cash provided by operating activities851,159 1,484,005 
Investing activities:
Capital expenditures(245,373)(164,309)
Proceeds on disposal of assets8,173 3,623 
Cash paid for business acquired(11,919)(24,878)
Purchases of investment securities(207,065)(269,420)
Sales and maturities of investment securities320,961 149,397 
Capital contributions to equity affiliates(30,812)(19,556)
Other, net35 (4,214)
Net cash used in investing activities(166,000)(329,357)
Financing activities:
Principal repayments of long-term debt(2,314)(450,622)
12


Dividend and dividend equivalents paid(113,013)(13,360)
Common stock repurchases and related expenses(540,071)(521,803)
Proceeds from exercise of warrants4,322 5,643 
Other, net(5,352)(1,726)
Net cash used in financing activities(656,428)(981,868)
Net increase in cash and cash equivalents and restricted cash28,731 172,780 
Cash and cash equivalents and restricted cash at beginning of period355,394 182,614 
Cash and cash equivalents and restricted cash at end of period$384,125 $355,394 
Supplemental cash flow information:
Cash paid for interest$5,207 $25,895 
Cash paid for income taxes$79,221 $139,663 
Cash received for income tax refunds$30 $6 
Supplemental disclosure of noncash investing and financing activities:
Financing leases and capital financing - equipment$3,195 $9,833 
Accrued capital expenditures$25,004 $18,456 
Accrued common stock repurchases$8,118 $3,016 
Accrued dividend payable$2,863 $88,128 

The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the Consolidated Balance Sheets that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows.
As of December 31,
20232022
Cash and cash equivalents$268,207 $301,906 
Short-term restricted cash — 24,547 
Long-term restricted cash115,918 28,941 
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows$384,125 $355,394 

13


ALPHA METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
ADJUSTED EBITDA RECONCILIATION
(Amounts in thousands)
Three Months EndedYear Ended December 31,
December 31, 2023September 30, 2023December 31, 202220232022
Net income$176,016 $93,814 $220,680 $721,956 $1,448,545 
Interest expense1,601 1,746 1,747 6,923 21,802 
Interest income(3,022)(4,639)(1,775)(11,933)(3,187)
Income tax expense (benefit)28,530 18,964 (7,748)123,503 106,205 
Depreciation, depletion and amortization42,638 32,582 23,930 136,869 107,620 
Non-cash stock compensation expense9,339 2,999 3,381 19,017 7,484 
Loss on extinguishment of debt2,753 — — 2,753 — 
Mark-to-market adjustment - acquisition-related obligations— — (1,735)— 8,880 
Accretion on asset retirement obligations6,371 6,376 5,943 25,500 23,765 
Amortization of acquired intangibles, net2,065 2,069 3,460 8,523 19,498 
Adjusted EBITDA $266,291 $153,911 $247,883 $1,033,111 $1,740,612 



14


ALPHA METALLURGICAL RESOURCES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS

Three Months Ended December 31, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$954,181 $2,946 $957,127 
Less: Freight and handling fulfillment revenues(119,539)— (119,539)
Non-GAAP Coal revenues$834,642 $2,946 $837,588 
Tons sold4,542 42 4,584 
Non-GAAP Coal sales realization per ton$183.76 $70.14 $182.72 
Cost of coal sales (exclusive of items shown separately below)$663,899 $4,980 $668,879 
Depreciation, depletion and amortization - production (1)
33,295 9,030 42,325 
Accretion on asset retirement obligations3,721 2,650 6,371 
Amortization of acquired intangibles, net2,065 — 2,065 
Total Cost of coal sales$702,980 $16,660 $719,640 
Less: Freight and handling costs(119,539)— (119,539)
Less: Depreciation, depletion and amortization - production (1)
(33,295)(9,030)(42,325)
Less: Accretion on asset retirement obligations(3,721)(2,650)(6,371)
Less: Amortization of acquired intangibles, net(2,065)— (2,065)
Less: Idled and closed mine costs(3,876)(2,457)(6,333)
Non-GAAP Cost of coal sales$540,484 $2,523 $543,007 
Tons sold4,542 42 4,584 
Non-GAAP Cost of coal sales per ton$119.00 $60.07 $118.46 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.

15


Three Months Ended December 31, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$954,181 $2,946 $957,127 
Less: Total Cost of coal sales (per table above)(702,980)(16,660)(719,640)
GAAP Coal margin$251,201 $(13,714)$237,487 
Tons sold4,542 42 4,584 
GAAP Coal margin per ton$55.31 $(326.52)$51.81 
GAAP Coal margin$251,201 $(13,714)$237,487 
Add: Depreciation, depletion and amortization - production (1)
33,295 9,030 42,325 
Add: Accretion on asset retirement obligations3,721 2,650 6,371 
Add: Amortization of acquired intangibles, net2,065 — 2,065 
Add: Idled and closed mine costs3,876 2,457 6,333 
Non-GAAP Coal margin$294,158 $423 $294,581 
Tons sold4,542 42 4,584 
Non-GAAP Coal margin per ton$64.76 $10.07 $64.26 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.

16


Three Months Ended September 30, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$731,481 $7,517 $738,998 
Less: Freight and handling fulfillment revenues(94,770)(2)(94,772)
Non-GAAP Coal revenues$636,711 $7,515 $644,226 
Tons sold4,115 110 4,225 
Non-GAAP Coal sales realization per ton$154.73 $68.32 $152.48 
Cost of coal sales (exclusive of items shown separately below)$552,737 $11,871 $564,608 
Depreciation, depletion and amortization - production (1)
31,893 377 32,270 
Accretion on asset retirement obligations3,722 2,654 6,376 
Amortization of acquired intangibles, net2,069 — 2,069 
Total Cost of coal sales$590,421 $14,902 $605,323 
Less: Freight and handling costs(94,770)(2)(94,772)
Less: Depreciation, depletion and amortization - production (1)
(31,893)(377)(32,270)
Less: Accretion on asset retirement obligations(3,722)(2,654)(6,376)
Less: Amortization of acquired intangibles, net(2,069)— (2,069)
Less: Idled and closed mine costs(5,507)(2,549)(8,056)
Non-GAAP Cost of coal sales$452,460 $9,320 $461,780 
Tons sold4,115 110 4,225 
Non-GAAP Cost of coal sales per ton$109.95 $84.73 $109.30 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.

17


Three Months Ended September 30, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$731,481 $7,517 $738,998 
Less: Total Cost of coal sales (per table above)(590,421)(14,902)(605,323)
GAAP Coal margin$141,060 $(7,385)$133,675 
Tons sold4,115 110 4,225 
GAAP Coal margin per ton$34.28 $(67.14)$31.64 
GAAP Coal margin$141,060 $(7,385)$133,675 
Add: Depreciation, depletion and amortization - production (1)
31,893 377 32,270 
Add: Accretion on asset retirement obligations3,722 2,654 6,376 
Add: Amortization of acquired intangibles, net2,069 — 2,069 
Add: Idled and closed mine costs5,507 2,549 8,056 
Non-GAAP Coal margin$184,251 $(1,805)$182,446 
Tons sold4,115 110 4,225 
Non-GAAP Coal margin per ton$44.78 $(16.41)$43.18 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.
Three Months Ended December 31, 2022
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$804,876 $16,266 $821,142 
Less: Freight and handling fulfillment revenues(105,911)1 (105,910)
Non-GAAP Coal revenues$698,965 $16,267 $715,232 
Tons sold3,752 129 3,881 
Non-GAAP Coal sales realization per ton$186.29 $126.10 $184.29 
Cost of coal sales (exclusive of items shown separately below)$541,547 $7,596 $549,143 
Depreciation, depletion and amortization - production (1)
19,575 4,083 23,658 
Accretion on asset retirement obligations3,412 2,531 5,943 
Amortization of acquired intangibles, net2,517 943 3,460 
Total Cost of coal sales$567,051 $15,153 $582,204 
Less: Freight and handling costs(105,911)1 (105,910)
Less: Depreciation, depletion and amortization - production (1)
(19,575)(4,083)(23,658)
Less: Accretion on asset retirement obligations(3,412)(2,531)(5,943)
Less: Amortization of acquired intangibles, net(2,517)(943)(3,460)
Less: Idled and closed mine costs(11,754)2,821 (8,933)
Non-GAAP Cost of coal sales$423,882 $10,418 $434,300 
Tons sold3,752 129 3,881 
Non-GAAP Cost of coal sales per ton$112.97 $80.76 $111.90 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.
18


Three Months Ended December 31, 2022
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$804,876 $16,266 $821,142 
Less: Total Cost of coal sales (per table above)(567,051)(15,153)(582,204)
GAAP Coal margin$237,825 $1,113 $238,938 
Tons sold3,752 129 3,881 
GAAP Coal margin per ton$63.39 $8.63 $61.57 
GAAP Coal margin$237,825 $1,113 $238,938 
Add: Depreciation, depletion and amortization - production (1)
19,575 4,083 23,658 
Add: Accretion on asset retirement obligations3,412 2,531 5,943 
Add: Amortization of acquired intangibles, net2,517 943 3,460 
Add: Idled and closed mine costs11,754 (2,821)8,933 
Non-GAAP Coal margin$275,083 $5,849 $280,932 
Tons sold3,752 129 3,881 
Non-GAAP Coal margin per ton$73.32 $45.34 $72.39 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.

Year Ended December 31, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$3,406,643 $49,987 $3,456,630 
Less: Freight and handling fulfillment revenues(438,783)(227)(439,010)
Non-GAAP Coal revenues$2,967,860 $49,760 $3,017,620 
Tons sold16,543 529 17,072 
Non-GAAP Coal sales realization per ton$179.40 $94.06 $176.76 
Cost of coal sales (exclusive of items shown separately below)$2,303,129 $53,009 $2,356,138 
Depreciation, depletion and amortization - production (1)
125,716 9,952 135,668 
Accretion on asset retirement obligations14,886 10,614 25,500 
Amortization of acquired intangibles, net8,523 — 8,523 
Total Cost of coal sales$2,452,254 $73,575 $2,525,829 
Less: Freight and handling costs(438,783)(227)(439,010)
Less: Depreciation, depletion and amortization - production (1)
(125,716)(9,952)(135,668)
Less: Accretion on asset retirement obligations(14,886)(10,614)(25,500)
Less: Amortization of acquired intangibles, net(8,523)— (8,523)
Less: Idled and closed mine costs(16,983)(10,015)(26,998)
Non-GAAP Cost of coal sales$1,847,363 $42,767 $1,890,130 
Tons sold16,543 529 17,072 
Non-GAAP Cost of coal sales per ton$111.67 $80.84 $110.72 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.
19


Year Ended December 31, 2023
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$3,406,643 $49,987 $3,456,630 
Less: Total Cost of coal sales (per table above)(2,452,254)(73,575)(2,525,829)
GAAP Coal margin$954,389 $(23,588)$930,801 
Tons sold16,543 529 17,072 
GAAP Coal margin per ton$57.69 $(44.59)$54.52 
GAAP Coal margin$954,389 $(23,588)$930,801 
Add: Depreciation, depletion and amortization - production (1)
125,716 9,952 135,668 
Add: Accretion on asset retirement obligations14,886 10,614 25,500 
Add: Amortization of acquired intangibles, net8,523 — 8,523 
Add: Idled and closed mine costs16,983 10,015 26,998 
Non-GAAP Coal margin$1,120,497 $6,993 $1,127,490 
Tons sold16,543 529 17,072 
Non-GAAP Coal margin per ton$67.73 $13.22 $66.04 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.


20


Year Ended December 31, 2022
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$4,018,515 $74,472 $4,092,987 
Less: Freight and handling fulfillment revenues(529,043)(20)(529,063)
Non-GAAP Coal revenues$3,489,472 $74,452 $3,563,924 
Tons sold15,478 900 16,378 
Non-GAAP Coal sales realization per ton$225.45 $82.72 $217.60 
Cost of coal sales (exclusive of items shown separately below)$2,225,771 $60,198 $2,285,969 
Depreciation, depletion and amortization - production (1)
100,584 6,036 106,620 
Accretion on asset retirement obligations13,590 10,175 23,765 
Amortization of acquired intangibles, net15,699 3,799 19,498 
Total Cost of coal sales$2,355,644 $80,208 $2,435,852 
Less: Freight and handling costs(529,043)(20)(529,063)
Less: Depreciation, depletion and amortization - production (1)
(100,584)(6,036)(106,620)
Less: Accretion on asset retirement obligations(13,590)(10,175)(23,765)
Less: Amortization of acquired intangibles, net(15,699)(3,799)(19,498)
Less: Idled and closed mine costs(21,646)(6,911)(28,557)
Non-GAAP Cost of coal sales$1,675,082 $53,267 $1,728,349 
Tons sold15,478 900 16,378 
Non-GAAP Cost of coal sales per ton$108.22 $59.19 $105.53 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.
21



Year Ended December 31, 2022
(In thousands, except for per ton data)MetAll OtherConsolidated
Coal revenues$4,018,515 $74,472 $4,092,987 
Less: Total Cost of coal sales (per table above)(2,355,644)(80,208)(2,435,852)
GAAP Coal margin$1,662,871 $(5,736)$1,657,135 
Tons sold15,478 900 16,378 
GAAP Coal margin per ton$107.43 $(6.37)$101.18 
GAAP Coal margin$1,662,871 $(5,736)$1,657,135 
Add: Depreciation, depletion and amortization - production (1)
100,584 6,036 106,620 
Add: Accretion on asset retirement obligations13,590 10,175 23,765 
Add: Amortization of acquired intangibles, net15,699 3,799 19,498 
Add: Idled and closed mine costs21,646 6,911 28,557 
Non-GAAP Coal margin$1,814,390 $21,185 $1,835,575 
Tons sold15,478 900 16,378 
Non-GAAP Coal margin per ton$117.22 $23.54 $112.08 
(1) Depreciation, depletion and amortization - production excludes the depreciation, depletion and amortization related to selling, general and administrative functions.



Three Months Ended December 31, 2023
(In thousands, except for per ton data)Tons SoldCoal RevenuesNon-GAAP Coal sales realization per ton% of Met Tons Sold
Export - other pricing mechanisms1,508 $264,380 $175.32 37 %
Domestic1,111 212,798 $191.54 27 %
Export - Australian indexed1,495 319,048 $213.41 36 %
Total Met segment - met coal 4,114 796,226 $193.54 100 %
Met segment - thermal coal428 38,416 $89.76 
Total Met segment Coal revenues4,542 834,642 $183.76 
All Other Coal revenues42 2,946 $70.14 
Non-GAAP Coal revenues4,584 837,588 $182.72 
Add: Freight and handling fulfillment revenues— 119,539 
Coal revenues4,584 $957,127 
22

v3.24.0.1
Cover
Feb. 22, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Feb. 22, 2024
Entity Registrant Name ALPHA METALLURGICAL RESOURCES, INC.
Entity Incorporation, State or Country Code DE
Entity File Number 001-38735
Entity Tax Identification Number 81-3015061
Entity Address, Address Line One 340 Martin Luther King Jr. Blvd.
Entity Address, City or Town Bristol
Entity Address, State or Province TN
Entity Address, Postal Zip Code 37620
City Area Code 423
Local Phone Number 573-0300
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock
Trading Symbol AMR
Security Exchange Name NYSE
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001704715
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