Alpha Metallurgical Resources Inc

Q2 performance vs Q1 (mixed, with margin pressure): - Adjusted EBITDA: $25.6m (down from $30.0m in Q1). - Tons shipped: 3.5m (down from 3.6m in Q1). - Met segment realization: $118.71/ton avg (down from $124.39/ton in Q1). - Export met priced vs Atlantic/other: $109.08/ton (vs $110.32 Q1). - Export met priced vs Aussie indices: $143.82/ton (vs $144.95 Q1). - Cost of coal sales (Met): $103.07/ton (down from $107.98/ton in Q1) — *good*, but it wasn’t enough to offset weaker realizations and volume.

Updated 2026 guidance: higher costs, lower volumes (key investor takeaway): - Cost guidance increased: new Met cost range $103–$107/ton, with $7/ton midpoint increase vs earlier estimates. - Main driver: higher diesel and other mining supplies tied to Iran-war-related diesel price volatility; management expects to spread these elevated costs over slightly fewer tons. - Shipment volume guidance reduced: new range 14.2m–15.4m tons (midpoint down 1m tons vs initial expectations). - This is a “lower volume, higher cost” profile for the full year.

DTA terminal disruption is the biggest operational challenge (and a major driver of volume cuts): - One of DTA’s two stacker reclaimers was significantly damaged during a storm on June 14 (winds >80 mph). - Management has no definitive timeline for full return to operational capacity; an insurance claim has been filed. - They expect reduced efficiency/throughput, with delays mitigated via alternate workflows and use of other East Coast terminals. - Surprising/negative: the guidance assumes DTA remains operationally constrained through the remainder of 2026 (no recovery “on schedule” baked in).