Core Natural Resources (CNR) Q1 2025 earnings summary

Executive summary

• Reported Q1 2025 net loss of $69.3 million ($1.38 per diluted share), driven by $49.2 million in merger-related expenses and $11.7–$12 million in debt extinguishment costs.

• Adjusted EBITDA for Q1 2025 was $123.5 million, with revenues of $1,017.4 million.

• Returned $106.6 million to investors via $101.3 million in share buybacks (1.4 million shares, ~3% of shares outstanding) and a $0.10/share quarterly dividend.

• Increased annual synergy target by 10% to $125–$150 million, with realization expected within 6–18 months post-merger.

• Significant progress toward resuming Leer South longwall operations, on track for mid-year restart.

Financial highlights

• Q1 2025 revenues: $1,017.4 million; adjusted EBITDA: $123.5 million; net loss: $69.3 million.

• Free cash flow for Q1 2025 was $49.1 million; capital expenditures were $65 million.

• Total liquidity at March 31, 2025: $858 million, including $388 million in cash.

• Share repurchase authorization remaining: $898.7–$900 million under $1 billion program.

• Q1 results included $36 million related to Leer South idling.

Outlook and guidance

• Affirmed or improved full-year 2025 guidance for all segments, with high C.V. thermal segment cash cost projected at $39/ton for the year.

• Metallurgical segment guiding to cash cost in the low $90s/ton for H2 2025 after Leer South restart.

• High C.V. thermal segment committed and priced position of ~26 million tons at $61–$63/ton for 2025.

• Capital expenditures for 2025 projected at $300–$330 million.

• Expect significant free cash flow generation in the second half of the year, especially after Leer South restarts.