On October 31, 2023, CONSOL Energy Inc (CEIX, Financial) released its financial and operating results for the third quarter of 2023. The company reported a GAAP net income of $100.7 million and GAAP dilutive earnings per share of $3.11. The total revenue and other income for the period was $569.9 million, with net cash provided by operating activities amounting to $162.7 million.
Financial Highlights
CONSOL Energy Inc (CEIX, Financial) also reported an adjusted EBITDA of $185.5 million and a free cash flow of $120.4 million. The company returned 77% of its Q3 2023 free cash flow to shareholders via stock repurchases. Year-to-date through October 31, 2023, the company repurchased 4.1 million shares of CEIX common stock at a weighted average price of $68.97 per share. Debt repayments amounted to $29.9 million, including $24.1 million to fully retire Second Lien Notes.
Operational Performance
The Pennsylvania Mining Complex (PAMC) is near-fully contracted for Q4 2023 and improved its contracted position to 21.5 million tons in 2024 and 10.8 million tons in 2025. The Itmann production volume improved by 30% compared to Q2 2023. The company's CONSOL Marine Terminal achieved a year-to-date throughput level of 14.2 million tons in just nine months.
Management Commentary
Jimmy Brock, Chief Executive Officer of CONSOL Energy Inc, commented on the company's performance. He stated,
During the third quarter of 2023, we generated $120 million in free cash flow, which was deployed toward further strengthening our balance sheet and retiring 1 million shares of our outstanding common stock in the open market."
Financial Tables
Key financial tables for the period include the reconciliation of non-GAAP financial measures, which provides detailed insights into the company's cost of coal sold, cash cost of coal sold, and average cash cost of coal sold per ton. The tables also present a reconciliation of adjusted EBITDA to net income, the most directly comparable GAAP financial measure.
Outlook
Based on its current contracted position, estimated prices, and production plans, CONSOL Energy Inc (CEIX, Financial) provided financial and operating performance guidance for the full fiscal year 2023. The company targets PAMC coal sales volume of 25.5-26.5 million tons and expects PAMC average realized coal revenue per ton sold to be between $76.00-$80.00.
Explore the complete 8-K earnings release (here) from CONSOL Energy Inc for further details.
