Coronado Global Resources (CRN) Q4 2024 earnings summary

Executive summary

• Achieved strong operational performance in Q4 2024, with both business units delivering solid results and the Mammoth Underground Mine commencing production on time and on budget.

• Group ROM production reached 6.9 million tons in Q4, up 8.8% sequentially; saleable production was 4 million tons, and sales volume was 4.1 million tons.

• FY2024 ROM production totaled 26.6 million tons, up 4.5% year-over-year; saleable production 15.3 million tons, sales volumes 15.8 million tons.

• Safety performance remained strong, with a total recordable injury rate of 1.18 and TRIFR/TRIR at 2.22 in both Australia and the U.S., below industry averages.

Financial highlights

• Q4 2024 group revenue was $558 million; full-year revenue was $2,508 million, down 13.2% year-over-year.

• Group average realized price per ton of met coal in Q4 was $163.2, with export sales making up 69.6% of total sales.

• Mine site cash costs decreased by 37% to $90/ton in Q4; Q4 average mining costs per tonne sold were $97.3, 17% below prior quarter.

• FY2024 capital expenditure totaled $250 million, focused on growth and reserve access.

• Ended the year with net debt of $85 million, closing cash of $340 million, and liquidity of $468 million.

Outlook and guidance

• Anticipates improved production and sales in Q1 due to built-up ROM inventory from Q4 outages.

• Cost per ton at Curragh expected to remain below $105 in H1, with further reductions as Mammoth ramps up.

• U.S. steel demand anticipated to rise in 2025, supported by economic policies and manufacturing investment.

• Focus for 2025 remains on operational improvements, cost reduction, and organic growth, especially at Mammoth and Buchanan.

• First half of 2025 expected to be challenging due to weak pricing and ongoing capital projects.