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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549

 _______________________________________________________________________________________________________________________________________________________________________________________________________
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):July 31, 2024
NACCO INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Delaware1-917234-1505819
(State or other jurisdiction of incorporation)(Commission File Number)(IRS Employer Identification No.)
22901 Millcreek Blvd.
Suite 600
Cleveland, Ohio44124-4069
(Address of principal executive offices)(Zip code)
(440)229-5151
(Registrant's telephone number, including area code)
5875 Landerbrook Drive
Suite 220
Cleveland,Ohio44124
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act
Title of each class
Trading Symbol
Name of each exchange on which registered
Class A Common Stock, $1 par value per shareNCNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter):
Emerging growth company       ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.     ☐


Item 2.02 Results of Operations and Financial Condition.
    
On July 31, 2024, NACCO Industries, Inc. (the “Company”) issued a press release announcing the unaudited financial results for the three and six months ended June 30, 2024, a copy of which is attached as Exhibit 99 to this Current Report on Form 8-K.
    
The information set forth in Item 2.02 of this Current Report on Form 8-K and the information attached hereto are being furnished by the Company pursuant to Item 2.02 of Form 8-K, insofar as they disclose historical information regarding the Company's results of operations.

The information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99, shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

As described in Item 2.02 of this Current Report on Form 8-K, the following Exhibit is furnished as part of this Current Report on Form 8-K.
    

(d) Exhibits
99
104Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURES

    Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date:July 31, 2024NACCO INDUSTRIES, INC.
By:/s/ Elizabeth I. Loveman
Elizabeth I. Loveman
Senior Vice President and Controller



Exhibit 99
nacco-indxcmyk_mainxfullxra.jpg                                                 
NEWS RELEASE22901 Millcreek Boulevard • Suite 600 • Cleveland, Ohio 44122
Tel. (440) 229-5151
FOR FURTHER INFORMATION, CONTACT:
Christina KmetkoFor Immediate Release
(440) 229-5130Wednesday, July 31, 2024

NACCO INDUSTRIES
ANNOUNCES SECOND QUARTER 2024 RESULTS

Consolidated Q2 2024 Highlights:
•Operating profit of $7.4 million increased from $1.8 million in Q2 2023
◦Includes $4.5 million gain on sale of an asset
•Income before taxes of $6.2 million increased from $3.3 million in Q2 2023
•Net income of $6.0 million, or $0.81/share versus $2.5 million, or $0.34/share, in Q2 2023

Cleveland, Ohio, Wednesday, July 31, 2024 - NACCO Industries® (NYSE: NC) today announced the following consolidated results for the three months ended June 30, 2024. Comparisons in this news release are to the three months ended June 30, 2023, unless otherwise noted.
Three Months EndedSix Months Ended
($ in thousands, except per share amounts)
6/30/20246/30/2023% Change 6/30/20246/30/2023% Change
Operating Profit $7,366$1,750320.9%$12,123$3,564240.2%
Income before taxes$6,228$3,25791.2%$11,801$7,62554.8%
Net Income$5,972$2,520137.0%$10,542$8,21228.4%
Diluted Earnings/share$0.81$0.34138.2%$1.42$1.0930.3%
EBITDA*$13,508$9,20546.7%$24,757$19,98223.9%
*Non-GAAP financial measures are defined and reconciled on page 8.

The substantial increase in the Company's 2024 second-quarter operating profit and income before taxes was primarily due to significantly improved operating results in the Coal Mining and North American Mining segments as well as a $4.5 million gain on the sale of legacy land in the Minerals Management segment. These favorable items were partly offset by lower Minerals Management and Mitigation Resources of North America® gross profits and an increase in Unallocated employee-related expenses. An increase in net interest expense and unfavorable changes in the market value of equity securities tempered the improvement in income before taxes.
At June 30, 2024, the Company had consolidated cash of $62.4 million and total debt of $60.9 million with availability of $89.4 million under its $150.0 million revolving credit facility. During the three months ended June 30, 2024, the Company repurchased approximately 108,000 shares for $3.3 million under an existing share repurchase program. The Company believes a conservative capital structure and adequate liquidity are important given evolving trends in energy markets and the Company's strategic initiatives to grow and diversify. These initiatives are discussed further in the Long-Term Growth and Diversification section of this release.
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Detailed Discussion of Results
Coal Mining Results
Q2 2024Q2 2023
Tons of coal delivered(in thousands)
        Unconsolidated operations4,930 4,602 
        Consolidated operations423 906 
                        Total deliveries5,353 5,508 
Q2 2024Q2 2023
(in thousands)
Revenues$14,996 $26,343 
Earnings of unconsolidated operations$12,006 $9,962 
Operating expenses(1)
$8,097 $7,711 
Operating profit (loss)$2,767 $(4,675)
Segment Adjusted EBITDA(2)
$5,663 $(327)
(1) Operating expenses consist of Selling, general and administrative expenses, Amortization of intangible assets and (Gain) loss on sale of assets.
(2) Segment Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP. See non-GAAP explanation and the related reconciliations to GAAP on page 9.

The Coal Mining segment generated significantly increased second-quarter operating profit and Segment Adjusted EBITDA compared with prior year losses despite lower revenues.
Second-quarter 2024 revenues decreased primarily as a result of fewer tons delivered at Mississippi Lignite Mining Company. Customer requirements declined as the power plant served by the mine has been operating with only one of its two boilers since December 2023.
The increase in operating results and Segment Adjusted EBITDA were mainly due to improved results at Mississippi Lignite Mining Company and higher earnings of unconsolidated operations. An increase in operating expenses, primarily employee-related costs, partly offset the improved results.
The improvement in Mississippi Lignite Mining Company results was primarily attributable to increased operating efficiencies due to the completion of the move to a new mine area in late 2023 and improved mining conditions in the second quarter of 2024 compared to the prior year period. Changes in the level of coal inventory and costs capitalized into inventory also contributed to the improvement. The increase in earnings of unconsolidated operations was primarily due to an increase in customer requirements as well as higher pricing at Falkirk that began in June 2024 when temporary price concessions ended. An increase in Sabine earnings also contributed to the improvement.

Coal Mining Outlook
Coal deliveries in the second half of 2024 are expected to increase over 2023 levels as higher deliveries at Coteau and Falkirk are partly offset by fewer deliveries at Mississippi Lignite Mining Company. The decrease in Mississippi Lignite Mining Company deliveries is due to the previously mentioned boiler issue. Coal Mining segment full-year 2024 deliveries are expected to be comparable to 2023.
Excluding the $60.8 million impairment charge taken in fourth-quarter 2023, Coal Mining operating profit and Segment Adjusted EBITDA are expected to increase significantly in both the 2024 second half and full year compared with the respective 2023 periods. These anticipated increases are primarily due to an expected substantial improvement in results at Mississippi Lignite Mining Company and higher earnings at the unconsolidated coal mining operations.
The anticipated second-half 2024 increase in earnings at the unconsolidated coal mining operations compared with 2023 is driven primarily by an expectation for increased deliveries, as well as the cessation of temporary price concessions at Falkirk.
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Second-half 2024 results are also expected to increase significantly over the first half primarily due to higher earnings at Falkirk and improved results at Mississippi Lignite Mining Company based on current expectations that the boiler issue will be resolved and the plant will be fully operational by the fourth quarter of 2024.
Capital expenditures in 2024 are expected to be approximately $13 million, with $9 million expended in the second half of 2024.

North American Mining Results
Q2 2024Q2 2023
(in thousands)
Tons delivered16,000 13,939 
Q2 2024Q3 2023
(in thousands)


Revenues$27,920 $21,716 
Operating profit$3,085 $2,214 
Segment Adjusted EBITDA(1)
$5,519 $4,069 
(1) Segment Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP. See non-GAAP explanation and the related reconciliations to GAAP on page 9.

North American Mining® revenues grew 29%, operating profit improved 39% and Segment Adjusted EBITDA rose 36% in second-quarter 2024 compared with 2023. These improvements were due to a number of factors:
•an increase in customer requirements,
•favorable pricing and delivery mix,
•improved margins at the limestone quarries resulting from mutually beneficial contract amendments, and
•a new 15-year contract to mine phosphate.
These items were partly offset by an increase in operating expenses.

North American Mining Outlook
North American Mining expects operating profit and Segment Adjusted EBITDA to increase in both the 2024 second half and full year over the respective 2023 periods but decrease from the 2024 first half. The year-over-year improvements are primarily due to the late 2023 amendment of limestone contracts to more mutually advantageous contract terms, a scope of work expansion with another customer and the second-quarter 2024 commencement of a new 15-year contract to mine phosphate at a quarry in central Florida. Earnings in the second half are expected to moderate from the first half of 2024 due to anticipated lower customer requirements.
Sawtooth Mining is the exclusive provider of comprehensive mining services at Thacker Pass, including mine design, construction, operation, maintenance and reclamation. Thacker Pass is owned by Lithium Americas Corp. (TSX: LAC) (NYSE: LAC). Thacker Pass will supply all of Lithium Americas' lithium-bearing ore requirements. In March 2023, Lithium Americas commenced construction at Thacker Pass. Sawtooth will be reimbursed for costs of mining, capital expenditures and mine closure and will recognize a contractually agreed upon production fee. The Company expects to continue to recognize moderate income prior to the commencement of Phase 1 lithium production, estimated to begin in 2027/2028.
Capital expenditures in 2024 are expected to be approximately $23 million, with $12 million expended in the second half of the year, primarily for the acquisition of draglines and dragline parts, as well as other equipment to support existing contracts.

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Minerals Management Results
Q2 2024Q2 2023
(in thousands)
Revenues $5,593 $9,171 
Operating profit $7,591 $7,289 
Segment Adjusted EBITDA(1)
$8,914 $8,038 
(1) Segment Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP. See non-GAAP explanation and the related reconciliations to GAAP on page 9.

Minerals Management's second-quarter 2024 operating profit and Segment Adjusted EBITDA improved modestly over the prior year quarter. These results include a $4.5 million gain on sale of a legacy land asset. Excluding the effect of the gain, operating profit and Segment Adjusted EBITDA declined compared with 2023 primarily as a result of the 39% year-over-year decrease in revenues. The revenue decline was mainly attributable to substantially lower natural gas and oil prices and changes in pricing estimates.

Minerals Management Outlook
Operating profit and Segment Adjusted EBITDA for the 2024 second half and full year are expected to increase compared with the respective 2023 periods, excluding the fourth-quarter 2023 impairment charge of $5.1 million. These improvements are primarily driven by current market expectations for natural gas and oil prices, as well as development and production assumptions on currently owned reserves. Based on current market expectations, operating profit in the second half of 2024 is expected to increase moderately compared with the first half, excluding the $4.5 million gain on sale recognized in the second quarter.
The Minerals Management segment derives income primarily from royalty-based leases under which lessees make payments to the Company based on their sale of natural gas, oil, natural gas liquids and coal, extracted primarily by third parties. As an owner of royalty and mineral interests, the Company’s access to information concerning activity and operations with respect to its interests is limited. The Company's expectations are based on the best information currently available. Changing prices of natural gas and oil could have a significant impact on Minerals Management’s operating profit. Development of additional wells on existing interests in excess of current expectations, or acquisitions of additional interests, could be accretive to future results.
Minerals Management is targeting investments of up to $20 million in the second half of 2024. Future investments are expected to be accretive, but each investment's contribution to near-term earnings is dependent on the details of that investment, including the size and type of interests acquired and the stage and timing of mineral development.

Consolidated Outlook
Result for the second half of 2023 included a $65.9 million pre-tax impairment charge. Comparisons in the remainder of this section exclude the effect of this charge.
Consolidated second-half operating profit is expected to increase compared with both the first half of 2024 and second half of 2023. These improvements are primarily due to anticipated increases in profitability at the Coal Mining segment from improved results at Mississippi Lignite Mining Company, Falkirk and Coteau. Contributions from North American Mining's growth and profit improvement initiatives are also expected to contribute to improved second-half results.
The Company also expects consolidated net income in the 2024 second half and full year to increase compared with the respective 2023 periods. This improvement is anticipated to be partly offset by an increase in net interest expense as a result of additional borrowings and lower cash levels and higher income tax expense.
The Company is taking steps to terminate its defined benefit pension plan, which will eliminate future volatility from changes in the pension obligation. In connection with this action, obligations under this plan will be transferred to a third-party insurance provider. The Company
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expects to utilize surplus assets to fund a qualified replacement plan, reducing future cash funding requirements. Although the plan is currently over funded, NACCO is anticipating a non-cash settlement charge in the 2024 fourth quarter, which is expected to partly offset improvements in 2024 second-half operating profit. As a result, the Company anticipates that consolidated net income and Adjusted EBITDA will decrease in the second half of 2024 compared with the first half of the year. While the Company anticipates that third-quarter net income will improve significantly over the second quarter, fourth-quarter net income is expected to be substantially lower than both the third quarter and prior year fourth quarter primarily as a result of the anticipated non-cash pension settlement charge.
Consolidated capital expenditures are expected to total approximately $66 million in 2024, which includes approximately $11 million for Unallocated capital expenditures, primarily at Mitigation Resources of North America®. In 2024, cash flow before financing activities is expected to be a use of cash.

Long-term Growth and Diversification
Management is transforming NACCO into a broad-based natural resources company and is optimistic about the Company's long-term business outlook. NACCO's businesses provide critical inputs for electricity generation, construction and development, and the production of industrial minerals and chemicals. Increasing demand for electricity, on-shoring and current federal policies are creating favorable macroeconomic trends within these industries. The Company believes its businesses have competitive advantages that provide value to customers and create long-term value for stockholders. The Company is pursuing growth and diversification by strategically leveraging its core mining and natural resources management skills to build a robust portfolio of affiliated businesses. Opportunities for growth remain strong. Acquisitions of additional mineral interests and improvements in the outlook for Coal Mining segment customers, as well as new contracts at Mitigation Resources and North American Mining should be accretive to the Company's outlook.
The Minerals Management segment continues to pursue acquisitions of mineral and royalty interests in the United States. Catapult Mineral Partners, the Company’s business unit focused on managing and expanding the Company’s portfolio of oil and gas mineral and royalty interests, has developed a strong network to source and secure new acquisitions. The goal is to construct a high-quality diversified portfolio of oil and gas mineral and royalty interests in the United States that delivers near-term cash flow yields and long-term projected growth. The Company believes this business will provide unlevered after-tax returns on invested capital in the mid-teens as it matures. This business model has the potential to deliver higher average operating margins over the life of a reserve than traditional oil and gas companies that bear the cost of exploration, production and/or development as these costs are borne entirely by third-party exploration and development companies that lease the minerals.
North American Mining continues to evaluate new business opportunities and drive profitable growth in line with refined strategic objectives. New contracts and contract extensions are central to the business' organic growth strategy, and the Company expects North American Mining to be a substantial contributor to operating profit over time.
Mitigation Resources, which provides stream and wetland mitigation solutions as well as comprehensive reclamation and restoration construction services, continues to build on the substantial foundation it has established over the past several years. This business offers an opportunity for growth and diversification in an industry where the Company has substantial knowledge and expertise and a strong reputation. It currently has ten mitigation banks and four permittee-responsible mitigation projects located in Tennessee, Mississippi, Alabama, Texas, Florida and Pennsylvania. In addition, Mitigation Resources is providing ecological restoration services for abandoned surface mines, as well as pursuing additional environmental restoration projects. It was named a designated provider of abandoned mine land restoration by the State of Texas. The Company believes that Mitigation Resources can provide solid rates of return on capital employed as this business matures.
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NACCO also continues to pursue activities which can strengthen the resiliency of its existing coal mining operations. The Company remains focused on managing coal production costs and maximizing efficiencies and operating capacity at mine locations to help customers with management fee contracts be more competitive. These activities benefit both customers and the Company's Coal Mining segment, as fuel cost is a significant driver for power plant dispatch. Increased power plant dispatch results in increased demand for coal by the Coal Mining segment's customers. Fluctuating natural gas prices, weather and availability of renewable energy sources, such as wind and solar, could affect the amount of electricity dispatched from coal-fired power plants. While the Company realizes the coal mining industry faces political and regulatory challenges and demand for coal is projected to decline over the longer-term, the Company believes coal should be an essential part of the energy mix in the United States for the foreseeable future.
The Company continues to look for ways to create additional value by utilizing its core mining competencies which include reclamation and permitting. NACCO established ReGen Resources to utilize these skills to address the rapidly increasing demand for additional power generation sources in the United States through development of solar and other energy-related projects on reclaimed mining properties. These projects could be developed by the Company itself or through joint ventures that include partners with expertise in energy development projects. Current opportunities under review include solar arrays, solar-gas hybrid projects and carbon capture on reclaimed mine land in Mississippi, Pennsylvania and Texas.
NACCO is committed to maintaining a conservative capital structure as it continues to grow and diversify, while avoiding unnecessary risk. The Company believes strategic diversification will generate cash that can be re-invested to strengthen and expand the businesses. The Company also continues to maintain the highest levels of customer service and operational excellence with an unwavering focus on safety and environmental stewardship.

****

Conference Call
In conjunction with this news release, the management of NACCO Industries will host a conference call on Thursday, August 1, 2024 at 8:30 a.m. Eastern Time. The call may be accessed by dialing (800) 836-8184 (North America Toll Free) or (646) 357-8785 (International), Conference ID: 45083, or over the Internet through NACCO Industries' website at ir.nacco.com/home. For those not planning to ask a question of management, the Company recommends listening to the call via the online webcast. Please allow 15 minutes to register, download and install any necessary audio software required to listen to the webcast. A replay of the call will be available shortly after the call ends through August 8, 2024. An archive of the webcast will also be available on the Company's website approximately two hours after the live call ends.

Non-GAAP and Other Measures
This release contains non-GAAP financial measures within the meaning of Regulation G promulgated by the Securities and Exchange Commission. Included in this release are reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). EBITDA and Segment Adjusted EBITDA are provided solely as supplemental non-GAAP disclosures of operating results. Management believes that EBITDA and Segment Adjusted EBITDA assist investors in understanding the results of operations of NACCO Industries. In addition, management evaluates results using these non-GAAP measures.

Forward-looking Statements Disclaimer
The statements contained in this news release that are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are made subject to
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certain risks and uncertainties, which could cause actual results to differ materially from those presented. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Among the factors that could cause plans, actions and results to differ materially from current expectations are, without limitation: (1) changes to or termination of customer or other third-party contracts, or a customer or other third party default under a contract, (2) any customer's premature facility closure or extended project development delay, (3) regulatory actions, including the United States Environmental Protection Agency's rules finalized in 2024 relating to mercury and greenhouse gas emissions for coal-fired power plants, changes in mining permit requirements or delays in obtaining mining permits that could affect deliveries to customers, (4) a significant reduction in purchases by the Company's customers, including as a result of changes in coal consumption patterns of U.S. electric power generators, or changes in the power industry that would affect demand for the Company's coal and other mineral reserves, (5) changes in the prices of hydrocarbons, particularly diesel fuel, natural gas, natural gas liquids and oil as result of factors such as OPEC and/or government actions, geopolitical developments, economic conditions and regulatory changes, as well as supply and demand dynamics, (6) changes in development plans by third-party lessees of the Company's mineral interests, (7) failure or delays by the Company's lessees in achieving expected production of natural gas and other hydrocarbons; the availability and cost of transportation and processing services in the areas where the Company's oil and gas reserves are located; federal and state legislative and regulatory initiatives relating to hydraulic fracturing and U.S. export of natural gas; and the ability of lessees to obtain capital or financing needed for well-development operations and leasing and development of oil and gas reserves on federal lands, (8) failure to obtain adequate insurance coverages at reasonable rates, (9) supply chain disruptions, including price increases and shortages of parts and materials, (10) changes in tax laws or regulatory requirements, including the elimination of, or reduction in, the percentage depletion tax deduction, changes in mining or power plant emission regulations and health, safety or environmental legislation, (11) the ability of the Company to access credit in the current economic environment, or obtain financing at reasonable rates, or at all, and to maintain surety bonds for mine reclamation as a result of current market sentiment for fossil fuels, (12) impairment charges, (13) changes in costs related to geological and geotechnical conditions, repairs and maintenance, new equipment and replacement parts, fuel or other similar items, (14) weather conditions, extended power plant outages, liquidity events or other events that would change the level of customers' coal or aggregates requirements, (15) weather or equipment problems that could affect deliveries to customers, (16) changes in the costs to reclaim mining areas, (17) costs to pursue and develop new mining, mitigation, oil and gas and solar development opportunities and other value-added service opportunities, (18) delays or reductions in coal or aggregates deliveries, (19) the ability to successfully evaluate investments and achieve intended financial results in new business and growth initiatives, (20) disruptions from natural or human causes, including severe weather, accidents, fires, earthquakes and terrorist acts, any of which could result in suspension of operations or harm to people or the environment, and (21) the ability to attract, retain, and replace workforce and administrative employees.

About NACCO Industries
    NACCO Industries® brings natural resources to life by delivering aggregates, minerals, reliable fuels and environmental solutions through its robust portfolio of NACCO Natural Resources businesses. Learn more about our companies at nacco.com, or get investor information at ir.nacco.com.

*****
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NACCO INDUSTRIES, INC. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

THREE MONTHS ENDEDSIX MONTHS ENDED
JUNE 30JUNE 30
2024202320242023
(In thousands, except per share data)
Revenues$52,345  $61,350 $105,634 $111,491 
Cost of sales45,327  54,943 91,598 101,727 
Gross profit7,018  6,407 14,036 9,764 
Earnings of unconsolidated operations13,592  11,084 26,899 24,908 
Operating expenses
Selling, general and administrative expenses17,720  14,746 33,173 29,622 
Amortization of intangible assets116 927 242 1,654 
(Gain) loss on sale of assets
(4,592)68 (4,603)(168)
13,244 15,741 28,812 31,108 
Operating profit 7,366  1,750 12,123 3,564 
Other expense (income)  
Interest expense1,311  572 2,422 1,117 
Interest income(1,038)(1,714)(2,165)(2,869)
Closed mine obligations471  433 926 842 
Loss (gain) on equity securities264 (421)(777)(1,049)
Other, net130 (377)(84)(2,102)
1,138  (1,507)322 (4,061)
Income before income tax provision (benefit)6,228  3,257 11,801 7,625 
Income tax provision (benefit) 256  737 1,259 (587)
Net income $5,972  $2,520 $10,542 $8,212 
   
Earnings per share:
Basic earnings per share$0.81 $0.34 $1.42 $1.10 
Diluted earnings per share$0.81 $0.34 $1.42 $1.09 
   
Basic weighted average shares outstanding7,394  7,513 7,419 7,465 
Diluted weighted average shares outstanding7,394  7,513 7,437 7,515 
CONSOLIDATED EBITDA RECONCILIATION (UNAUDITED)
THREE MONTHS ENDEDSIX MONTHS ENDED
JUNE 30JUNE 30
2024202320242023
(in thousands)
Net income$5,972  $2,520 $10,542 $8,212 
Income tax provision (benefit) 256  737 1,259 (587)
Interest expense1,311  572 2,422 1,117 
Interest income(1,038)(1,714)(2,165)(2,869)
Depreciation, depletion and amortization expense7,007 7,090 12,699 14,109 
EBITDA*
$13,508 $9,205 $24,757 $19,982 
*EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP measures. NACCO defines EBITDA as net income (loss) before income taxes, net interest expense and depreciation, depletion and amortization expense. EBITDA is not a measure under U.S. GAAP and is not necessarily comparable to similarly titled measures of other companies.







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NACCO INDUSTRIES, INC. AND SUBSIDIARIES
FINANCIAL SEGMENT HIGHLIGHTS AND SEGMENT ADJUSTED EBITDA RECONCILIATIONS (UNAUDITED)

Three Months Ended June 30, 2024
Coal Mining North American MiningMinerals ManagementUnallocated ItemsEliminationsTotal
(In thousands)
Revenues$14,996 $27,920 $5,593 $4,566 $(730)$52,345 
Cost of sales16,138 24,254 1,501 4,167 (733)45,327 
Gross profit (loss)(1,142)3,666 4,092 399 3 7,018 
Earnings of unconsolidated operations12,006 1,448 138 — — 13,592 
(Gain) loss on sale of assets(79)(1)(4,512)— — (4,592)
Operating expenses*8,176 2,030 1,151 6,479 — 17,836 
Operating profit (loss)$2,767 $3,085 $7,591 $(6,080)$3 $7,366 
Segment Adjusted EBITDA**
Operating profit (loss)$2,767 $3,085 $7,591 $(6,080)$3 $7,366 
Depreciation, depletion and amortization2,896 2,434 1,323 354 — 7,007 
Segment Adjusted EBITDA**$5,663 $5,519 $8,914 $(5,726)$3 $14,373 

Three Months Ended June 30, 2023
Coal Mining North American MiningMinerals ManagementUnallocated ItemsEliminationsTotal
(In thousands)
Revenues$26,343 $21,716 $9,171 $4,628 $(508)$61,350 
Cost of sales33,269 18,884 910 2,375 (495)54,943 
Gross profit (loss)(6,926)2,832 8,261 2,253 (13)6,407 
Earnings of unconsolidated operations9,962 1,122 — — — 11,084 
(Gain) loss on sale of assets68 — — — — 68 
Operating expenses*7,643 1,740 972 5,318 — 15,673 
Operating profit (loss)$(4,675)$2,214 $7,289 $(3,065)$(13)$1,750 
Segment Adjusted EBITDA**
Operating profit (loss)$(4,675)$2,214 $7,289 $(3,065)$(13)$1,750 
Depreciation, depletion and amortization4,348 1,855 749 138 — 7,090 
Segment Adjusted EBITDA**$(327)$4,069 $8,038 $(2,927)$(13)$8,840 
*Operating expenses consist of Selling, general and administrative expenses and Amortization of intangible assets.
**Segment Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP measures. NACCO defines Segment Adjusted EBITDA as operating profit (loss) plus depreciation, depletion and amortization expense. Segment Adjusted EBITDA is not a measure under U.S. GAAP and is not necessarily comparable with similarly titled measures of other companies.











9



NACCO INDUSTRIES, INC. AND SUBSIDIARIES
FINANCIAL SEGMENT HIGHLIGHTS AND SEGMENT ADJUSTED EBITDA RECONCILIATIONS (UNAUDITED)

Six Months Ended June 30, 2024
Coal MiningNorth American MiningMinerals ManagementUnallocated ItemsEliminationsTotal
(In thousands)
Revenues$30,541 $52,403 $15,994 $7,828 $(1,132)$105,634 
Cost of sales37,081 45,925 2,865 6,879 (1,152)91,598 
Gross profit (loss)(6,540)6,478 13,129 949 20 14,036 
Earnings of unconsolidated operations24,013 2,813 73 — — 26,899 
(Gain) loss on sale of assets(89)(2)(4,512)— — (4,603)
Operating expenses*15,212 3,853 2,193 12,157 — 33,415 
Operating profit (loss)$2,350 $5,440 $15,521 $(11,208)$20 $12,123 
Segment Adjusted EBITDA**
Operating profit (loss)$2,350 $5,440 $15,521 $(11,208)$20 $12,123 
Depreciation, depletion and amortization5,110 4,690 2,316 583 — 12,699 
Segment Adjusted EBITDA**$7,460 $10,130 $17,837 $(10,625)$20 $24,822 

Six Months Ended June 30, 2023
Coal MiningNorth American MiningMinerals ManagementUnallocated ItemsEliminationsTotal
(In thousands)
Revenues$46,996 $42,349 $17,456 $5,819 $(1,129)$111,491 
Cost of sales59,147 38,125 1,962 3,589 (1,096)101,727 
Gross profit (loss)(12,151)4,224 15,494 2,230 (33)9,764 
Earnings of unconsolidated operations22,428 2,480 — — — 24,908 
(Gain) loss on sale of assets(168)— — — — (168)
Operating expenses*14,807 3,660 2,161 10,648 — 31,276 
Operating profit (loss)$(4,362)$3,044 $13,333 $(8,418)$(33)$3,564 
Segment Adjusted EBITDA**
Operating profit (loss)$(4,362)$3,044 $13,333 $(8,418)$(33)$3,564 
Depreciation, depletion and amortization8,588 3,741 1,560 220 — 14,109 
Segment Adjusted EBITDA**$4,226 $6,785 $14,893 $(8,198)$(33)$17,673 
*Operating expenses consist of Selling, general and administrative expenses and Amortization of intangible assets.
**Segment Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for GAAP measures. NACCO defines Segment Adjusted EBITDA as operating profit (loss) plus depreciation, depletion and amortization expense. Segment Adjusted EBITDA is not a measure under U.S. GAAP and is not necessarily comparable with similarly titled measures of other companies.






10
v3.24.2
Cover Page
Jul. 31, 2024
Entity Information [Line Items]  
Document Type 8-K
Document Period End Date Jul. 31, 2024
Entity Registrant Name NACCO INDUSTRIES, INC.
Entity Incorporation, State or Country Code DE
Entity File Number 1-9172
Entity Tax Identification Number 34-1505819
Entity Address, Address Line One 22901 Millcreek Blvd.
Entity Address, Address Line Two Suite 600
Entity Address, City or Town Cleveland,
Entity Address, State or Province OH
Entity Address, Postal Zip Code 44124-4069
City Area Code (440)
Local Phone Number 229-5151
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Class A Common Stock, $1 par value per share
Trading Symbol NC
Security Exchange Name NYSE
Entity Emerging Growth Company false
Entity Central Index Key 0000789933
Amendment Flag false
Former Address [Member]  
Entity Information [Line Items]  
Entity Address, Address Line One 5875 Landerbrook Drive
Entity Address, Address Line Two Suite 220
Entity Address, City or Town Cleveland,
Entity Address, State or Province OH
Entity Address, Postal Zip Code 44124
NACCO Industries (NYSE:NC)
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