Hallador Energy Reports Positive Financial Results for Third Quarter 2024

Hallador Energy Company (NASDAQ: HNRG) has recently released its financial report for the third quarter ended September 30, 2024. The company outlined various financial metrics and operational developments in the report dated November 12, 2024.

In the third quarter of 2024, Hallador Energy experienced growth in both revenue and net income compared to the previous quarter. The company reported total revenue of $105.0 million, with electric sales accounting for $71.7 million. Net income for the quarter was $1.6 million, which equates to earnings per share of $0.04. Adjusted EBITDA for the quarter stood at $9.6 million.

One of the significant milestones achieved by Hallador Energy during the quarter was the signing of a non-binding term sheet with a prominent global data center developer. This agreement is aimed at supplying power for over a decade. The proposed transaction involves selling energy and capacity to an end-user through a utility, paving the way for substantial long-term contracted revenue potential.

In addition to the partnership mentioned above, Hallador Energy has been focusing on enhancing its balance sheet strength. The company executed a $60 million prepaid power purchase agreement post-quarter-end. $20 million of the proceeds were utilized to pay down bank term debt, with $34 million allocated to paying down the revolver. This move has significantly contributed to reducing the bank debt balance, which stood at $23.5 million by the end of October, compared to $91.5 million at the end of 2023.

Moreover, Hallador Energy emphasized forward sales strategies to secure its energy position. By the end of the quarter, the company had locked in total forward energy, capacity, and coal sales to 3rd party customers amounting to $937.2 million through 2029.

It is important to note that the financial data represents unaudited figures, and the company highlighted the non-GAAP financial measure Adjusted EBITDA as a key component for analyzing liquidity and ensuring compliance with material covenants.

The company recognized the necessity of forward-looking statements, pointing out the risks and uncertainties involved in its future operations. Hallador Energy expressed its commitment to updating and revising such statements as required by law.

Hallador Energy Company is scheduled to host a conference call on Tuesday, November 12, 2024, at 5:00 p.m. Eastern time to further discuss its financial and operational results. The call will be available for replay in the investor relations section of Hallador’s website.

These developments indicate Hallador Energy’s strategic initiatives and efforts to strengthen its market positioning and financial performance for continued growth in the future.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Hallador Energy’s 8K filing here.

About Hallador Energy

Hallador Energy Company, through its subsidiaries, engages in the production of steam coal in the State of Indiana for the electric power generation industry. The company owns the Oaktown Mine 1 and Oaktown Mine 2 underground mines in Oaktown; Freelandville Center Pit surface mine in Freelandville; and Prosperity Surface mine in Petersburg, Indiana.