Investment Thesis
Alpha Metallurgical Resources faces severe operational challenges with negative profitability despite stable revenue, signaling structural problems in the coal business. While strong liquidity and minimal debt provide downside protection, the company's inability to convert revenue into profit and deteriorating shareholder returns present significant fundamental concerns.
AMR Strengths
- Strong liquidity position with 4.47x current ratio and $366M cash reserves
- Minimal leverage with 0.00x debt-to-equity ratio reducing financial distress risk
- Positive operating cash flow of $144.9M demonstrating some underlying business cash generation
AMR Risks
- Operating losses of $61.4M on $2.1B revenue indicating severe margin compression and operational inefficiency
- Negative net income with -2.9% net margin and deteriorating profitability trend (-132.9% YoY decline)
- Structural headwinds in coal industry with negative ROE (-4.0%) and ROA (-2.7%) destroying shareholder value
- Minimal free cash flow of $17.8M (0.8% FCF margin) provides limited financial flexibility despite gross cash generation
Key Metrics to Watch
- Operating margin recovery trajectory and path to profitability
- Free cash flow sustainability as capex needs evolve
- Revenue volume and pricing trends in metallurgical coal markets
AMR Financial Metrics
AMR Profitability Ratios
AMR Balance Sheet & Liquidity
AMR 5-Year Financial Trend
5-Year Trend Summary: Alpha Metallurgical Resources, Inc.'s revenue has grown significantly by 53% over the 5-year period, indicating strong business expansion. The most recent EPS of $49.30 reflects profitable operations.
AMR Growth Metrics (YoY)
AMR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $525.2M | $3.8M | $0.29 |
| Q2 2025 | $548.7M | -$5.0M | $-0.38 |
| Q1 2025 | $529.7M | -$33.9M | $-2.60 |
| Q3 2024 | $669.8M | $3.8M | $0.29 |
| Q2 2024 | $800.1M | $58.9M | $4.49 |
| Q1 2024 | $861.3M | $127.0M | $9.59 |
| Q3 2023 | $739.0M | $93.8M | $6.65 |
| Q2 2023 | $853.8M | $181.4M | $12.16 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AMR Capital Allocation
AMR SEC Filings
Access official SEC EDGAR filings for Alpha Metallurgical Resources, Inc. (CIK: 0001704715)