Coronado Global Resources (CRN) H2 2023 earnings summary

Executive summary

• FY23 revenue was $2.9bn, the second-highest in history; adjusted EBITDA was $382m and net income was $156m.

• Record waste movement and higher ROM coal production supported operational performance; saleable production was 15.8 Mt.

• Available liquidity was $489m at year-end, with growth projects at Curragh and Buchanan progressing.

Financial highlights

• Met coal revenue represented 91.4% of total revenue; realized met coal price was $215.7/t.

• Operating cash flow was $268m and free cash flow was $23m in FY23.

• $630m was paid in corporate taxes, government royalties and rebates during FY23.

• Closing inventory was $192m, up 22% YoY, reflecting high port stockpiles amid congestion and delays.

Outlook and guidance

• FY24 guidance: saleable production 16.4–17.2 Mt, mining cost $95–99/t sold, and capital expenditure $220–250m.

• FY24 production gains expected from Buchanan’s Southern District and Curragh’s recovery from historic waste-movement deficits and wet weather.

• Curragh Underground targets first coal in late 2024, subject to regulatory approvals; Phase 1 targets 1.5–2.0 Mtpa saleable production and capex of $105m.

• Curragh and U.S. operations target 13.5 Mt and 7.0 Mt, respectively, by 2025.

• FY24 capex is expected to remain broadly aligned with FY23 as growth investment continues at Curragh and Buchanan.