Warrior Met Coal (HCC) Q2 2026 earnings summary

Executive summary

• Achieved record quarterly sales volumes for the fourth consecutive quarter, reaching 3.7 million short tons, up 65% year-over-year, driven by Blue Creek mine ramp-up and strong customer demand.

• Net income rose to $87.4 million ($1.65 per diluted share) from $5.6 million ($0.11 per share) year-over-year; Adjusted EBITDA surged 193% to $156.9 million.

• Generated $103.4 million in free cash flow, reflecting improved operating performance and lower capital spending post-Blue Creek construction.

Financial highlights

• Total revenues increased 71% year-over-year to $509.7 million, with a 6% rise in average net selling price to $137.82 per short ton.

• Cost of sales rose to $340.0 million, but cash cost of sales per short ton decreased 9% to $92.53, benefiting from Blue Creek's lower cost structure and the Section 45X tax credit.

• Operating income reached $94.5 million, up from $7.7 million year-over-year.

• Cash provided by operating activities was $132.3 million, up from $37.5 million year-over-year.

Outlook and guidance

• Raised full-year volume guidance by 0.5 million short tons, now expecting 13.0–14.0 million short tons in sales and 12.5–13.5 million short tons in production.

• Full-year cash cost of sales (FOB port) expected at $95–$105 per short ton; sustaining capex $105–$115 million; Blue Creek capex $50–$75 million.

• Guidance subject to risks including global trade, tariffs, steel and coal market conditions, labor contracts, and inflation.