DENVER, March 12, 2018 /PRNewswire/ -- Hallador
Energy Company (Nasdaq: HNRG) reports financial and operating
results for the year ended December 31,
2017. The Form 10-K will be filed before the markets
open, Tuesday, March 13, 2018.
Highlights include:
- Net income was $33.1 million,
$1.08 per share for the year.
-
- The Tax Cuts and Jobs Act (Tax Act) created a tax benefit for
2017 of $18.0 million.
- Net income prior to the effects of the Tax Act was $15.1 million, $.51
per share for the year.
- Bank debt was reduced to $202.0
million in 2017, a reduction of $
36.6 million.
-
- Leverage was reduced to 2.40X.
- In February 2018, Hallador Energy
Company invested $4 million in
Hourglass Sands, LLC, a frac sand mining company in the State of
Colorado. Hourglass Sands currently controls a permitted sand
reserve near Colorado Springs. The Company expects to truck
test shipments to customers in the DJ Basin this summer. The
Company believes it controls the only permitted frac sand mine in
the State of Colorado. "We believe this investment brings
diversification and growth opportunities to our company
and shareholders by capitalizing on the shale boom in the United States, while complementing
our core coal business. We do not anticipate Hourglass Sands
to be profitable in 2018, but are excited about its growth
potential in future years," said Brent
Bilsland, President and CEO of Hallador
Energy.
- The Princeton Loop is expected to be operational in Q2
2018. It will serve as a truck to rail coal loading facility.
The new facility will provide access to new markets and
customers served by the Norfolk Southern Railway Company.
The table below represents some of our critical metrics (in
thousands except for per ton data):
|
|
|
2017
|
|
|
2016
|
Net Income
|
|
$
|
33,076
|
|
$
|
12,510
|
|
|
|
|
|
|
|
Total
Revenues
|
|
$
|
271,633
|
|
$
|
281,450
|
Tons Sold
|
|
|
6,574
|
|
|
6,317
|
Avenue Price per
Ton
|
|
$
|
40.80
|
|
$
|
44.15
|
|
|
|
|
|
|
|
Bank Debt
|
|
$
|
201,992
|
|
$
|
238,617
|
|
|
|
|
|
|
|
Operating Cash
Flow
|
|
$
|
61,568
|
|
$
|
60,918
|
|
|
|
|
|
|
|
Adjusted
EBITDA*
|
|
$
|
83,271
|
|
$
|
80,712
|
Adjust Free Cash Flow
**
|
|
$
|
58,716
|
|
$
|
58,332
|
*Defined as EBITDA
plus stock-based compensation plus ARO accretion.
|
|
**Defined as net
income plus deferred income taxes, DD&A, ARO accretion, and
stock compensation, less maintenance capex.
|
EBITDA, adjusted EBITDA, and adjusted free cash flow should not
be considered alternatives to net income, income from operations,
cash flows from operating activities or any other measure of
financial performance presented in accordance with GAAP. Our
method of computing EBITDA, adjusted EBITDA and adjusted free cash
flow may not be the same method used to compute similar measures
reported by other companies.
Management believes that the presentation of such additional
financial measures provides useful information to investors
regarding our performance and results of operations because these
measures, when used in conjunction with related GAAP financial
measures, (i) provide additional information about our core
operating performance and ability to generate and distribute cash
flow, (ii) provide investors with the financial and analytical
framework upon which management bases financial, operation,
compensation and planning decisions and (iii) present measurements
that investors, rating agencies and debt holders have indicated are
useful in assessing our results.
Conference Call
As previously announced our earnings conference call for
financial analysts and investors will be held on Tuesday, March 13, 2018, at 2:00pm EST.
The call will be webcast live on our website at
www.halladorenergy.com under Webcasts.
Dial-in numbers for the live conference call are as follows:
Toll-free (888) 347-5317
Canadian Callers Toll-free (855)
669-9657
Conference ID #: Hallador Energy
Company HNRG Call
An audio replay of the conference call will be available for
approximately one week. To access the audio replay, dial US
Toll-Free (877) 344-7529; Canada Toll-Free (855) 669-9658 and
request to be connected to replay access code 10115860.
Hallador is headquartered in Denver,
Colorado and through its wholly owned subsidiary, Sunrise
Coal, LLC, produces coal in the Illinois Basin for the electric power
generation industry. To learn more about Hallador or Sunrise, visit
our website at www.halladorenergy.com.
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SOURCE Hallador Energy Company