Natural Resource Partners L.P. (NYSE:NRP) today reported
second quarter 2024 results as follows:
For the Three Months
Ended
Last Twelve Months
Ended
(In thousands)
(Unaudited)
June 30, 2024
Net income
$
46,064
$
231,103
Operating cash flow
56,629
284,856
Free cash flow (1)
57,288
287,417
__________________
(1)
See "Non-GAAP Financial Measures" and
reconciliation tables at the end of this release.
Highlights:
- Generated $57.3 million of free cash flow in the second
quarter of 2024
- Retired remaining 0.3 million warrants with $10.0 million in
cash and 89,059 common units; Zero warrants of original 4 million
warrants remain outstanding
- Redeemed $40.0 million of preferred units at par with cash;
$31.7 million of original $250 million preferred units remain
outstanding
- Paid first quarter 2024 common unit distribution of $0.75
per unit
- Declares second quarter 2024 common unit distribution of
$0.75 per unit
"NRP generated $57 million of free cash flow in the second
quarter of 2024 and $287 million of free cash flow over the last
twelve months," said Craig Nunez, NRP's president and chief
operating officer. "Despite lower coal and soda ash prices seen in
2024, we continue to generate robust free cash flow and make
significant progress toward our goal of eliminating all of our
financial obligations. We no longer have any warrants outstanding
and currently have approximately $240 million of debt and preferred
equity remaining.”
Mr. Nunez continued, "Coal and soda ash prices in the first half
of the year were significantly lower than the highs seen in 2022
and 2023 and we expect this trend to continue. However, we remain
on track to eliminate all preferred equity and debt from our
balance sheet, after which our common unitholders will have no
competing claims on free cash flow generated by the partnership. We
are steadfast in our belief that this strategy is the best way to
maximize intrinsic value and unitholder returns.”
NRP announced today that the board of directors of its general
partner declared a second quarter 2024 cash distribution of $0.75
per common unit to be paid on August 27, 2024, to unitholders of
record on August 20, 2024. In addition, the board declared a $0.95
million cash distribution on NRP's outstanding preferred units.
Future distributions on NRP's common and preferred units will be
determined on a quarterly basis by the board of directors. The
board of directors considers numerous factors each quarter in
determining cash distributions including profitability, cash flow,
debt service obligations, market conditions and outlook, estimated
unitholder income tax liability, and the level of cash reserves
that the board determines is necessary for future operating and
capital needs.
Segment Performance
Mineral Rights
Mineral Rights net income for the second quarter of 2024 was
relatively flat as compared to the prior year period. Lower coal
sales prices and volumes were offset by non-recurring items that
included a $4.6 million gain on asset sales primarily related to a
coal property condemnation and a $2.1 million carbon neutral
initiative transaction. Mineral Rights operating cash flow and free
cash flow each increased $1.2 million as compared to the prior year
period primarily due to the timing of cash collections and the
carbon neutral initiative transaction identified above, partially
offset by weaker coal sales prices and volumes. Approximately 75%
of coal royalty revenues and approximately 60% of coal royalty
sales volumes were derived from metallurgical coal in the second
quarter of 2024.
Metallurgical coal prices continued to decline during the second
quarter of 2024 due to weakened steel demand primarily as a result
of the decline in China's construction industry and slower than
expected recovery of the construction market in Europe. While
metallurgical prices were significantly lower than the record highs
seen in 2022, they remain elevated as compared to historical norms.
NRP expects ongoing price volatility for both metallurgical and
thermal coal as global steel demand impacts metallurgical coal
while weather, natural gas prices, inventory levels, and scheduled
shutdowns of coal plants impact thermal coal. Limitations on
operators' ability to increase production due to limited access to
capital and labor shortages, as well as inflationary pressures, are
expected to provide ongoing price support above historical
norms.
NRP continues to explore carbon neutral revenue opportunities
across its large asset portfolio. While the timing and likelihood
of additional cash flows from these activities is uncertain, NRP
believes its large ownership footprint throughout the United States
provides additional opportunities to create value in this regard
with minimal capital investment by NRP. NRP's carbon neutral
revenue opportunities include the sequestration of carbon dioxide
underground and in standing forests, the generation of electricity
using geothermal, solar, and wind energy, and lithium
production.
Soda Ash
Soda Ash net income in the second quarter of 2024 decreased
$23.3 million as compared to the prior year period primarily due to
lower sales prices driven by new supply from China. Operating cash
flow and free cash flow in the second quarter of 2024 decreased
$24.8 million as compared to the prior year period due to a lower
cash distribution received from Sisecam Wyoming in the second
quarter of 2024.
Global soda ash prices continue to be significantly lower than
the record setting prices seen in the previous year due to an
influx of new supply. NRP believes lower soda ash prices will
remain throughout the year and into next year as the market absorbs
the additional supply.
Corporate and Financing
Corporate and Financing costs increased $1.1 million in the
second quarter of 2024 as compared to the prior year period
primarily due to higher interest costs as a result of increased
borrowings on the credit facility used to accelerate the redemption
of preferred units and settlement of warrants in 2024.
NRP retired the remainder of the outstanding 0.3 million
warrants for $10.0 million in cash and 89,059 common units during
the second quarter of 2024. NRP has now retired all 4.0 million of
its previously issued warrants. NRP also redeemed $40.0 million
preferred units at par with cash during the second quarter of 2024.
Of the originally issued $250 million preferred units, only $31.7
million preferred units remain outstanding.
In May 2024, NRP declared and paid a first quarter 2024 cash
distribution of $0.75 per common unit and a $2.15 million cash
distribution on its preferred units. Today, NRP declared a second
quarter 2024 cash distribution of $0.75 per common unit and a $0.95
million cash distribution on its outstanding preferred units.
NRP's available liquidity was $64.7 million at June 30, 2024,
consisting of $32.3 million of cash and $32.3 million of borrowing
capacity available under its revolving credit facility.
NRP's consolidated leverage ratio was 0.7x at June 30, 2024.
Conference Call
A conference call will be held today at 9:00 a.m. ET. To
register for the conference call, please use this link:
https://registrations.events/direct/Q4I1544883. After registering a
confirmation will be sent via email, including dial in details and
unique conference call codes for entry. Registration is open
through the live call, however, to ensure you are connected for the
full conference call we suggest registering at minimum 10 minutes
prior to the start of the call. Investors may also listen to the
call via the Investor Relations section of the NRP website at
www.nrplp.com. To access the replay, please visit the Investor
Relations section of NRP’s website.
Withholding Information for Foreign Investors
Concurrent with this announcement, we are providing qualified
notice to brokers and nominees that hold NRP units on behalf of
non-U.S. investors under Treasury Regulation Section 1.1446-4(b)
and (d) and Treasury Regulation Section 1.1446(f)-4(c)(2)(iii).
Brokers and nominees should treat one hundred percent (100%) of
NRP's distributions to non-U.S. investors as being attributable to
income that is effectively connected with a United States trade or
business. In addition, brokers and nominees should treat one
hundred percent (100%) of the distribution as being in excess of
cumulative net income for purposes of determining the amount to
withhold. Accordingly, NRP's distributions to non-U.S. investors
are subject to federal income tax withholding at a rate equal to
the sum of the highest applicable rate plus ten percent (10%).
Company Profile
Natural Resource Partners L.P., a master limited partnership
headquartered in Houston, TX, is a diversified natural resource
company that owns, manages and leases a diversified portfolio of
properties in the United States including coal, industrial minerals
and other natural resources, as well as rights to conduct carbon
sequestration and renewable energy activities. NRP also owns an
equity investment in Sisecam Wyoming LLC, one of the world’s
lowest-cost producers of soda ash.
For additional information, please contact Tiffany Sammis at
713-751-7515 or tsammis@nrplp.com. Further information about NRP is
available on the partnership’s website at http://www.nrplp.com.
Forward-Looking Statements
This press release includes “forward-looking statements” as
defined by the Securities and Exchange Commission. All statements,
other than statements of historical facts, included in this press
release that address activities, events or developments that the
Partnership expects, believes or anticipates will or may occur in
the future are forward-looking statements. These statements are
based on certain assumptions made by the Partnership based on its
experience and perception of historical trends, current conditions,
expected future developments and other factors it believes are
appropriate in the circumstances. Such statements are subject to a
number of assumptions, risks and uncertainties, many of which are
beyond the control of the Partnership. These risks include, among
other things, statements regarding: future distributions on the
Partnership’s common and preferred units; the Partnership's
business strategy; its liquidity and access to capital and
financing sources; its financial strategy; prices of and demand for
coal, trona and soda ash, and other natural resources; estimated
revenues, expenses and results of operations; projected future
performance by the Partnership's lessees; Sisecam Wyoming LLC’s
trona mining and soda ash refinery operations; distributions from
the soda ash joint venture; the impact of governmental policies,
laws and regulations, as well as regulatory and legal proceedings
involving the Partnership, and of scheduled or potential regulatory
or legal changes; global and U.S. economic conditions; and other
factors detailed in Natural Resource Partners’ Securities and
Exchange Commission filings. Natural Resource Partners L.P. has no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise.
Non-GAAP Financial Measures
"Adjusted EBITDA" is a non-GAAP financial measure that we
define as net income (loss) less equity earnings from
unconsolidated investment; plus total distributions from
unconsolidated investment, interest expense, net, debt modification
expense, loss on extinguishment of debt, depreciation, depletion
and amortization and asset impairments. Adjusted EBITDA should not
be considered an alternative to, or more meaningful than, net
income or loss, net income or loss attributable to partners,
operating income or loss, cash flows from operating activities or
any other measure of financial performance presented in accordance
with GAAP as measures of operating performance, liquidity or
ability to service debt obligations. There are significant
limitations to using Adjusted EBITDA as a measure of performance,
including the inability to analyze the effect of certain recurring
items that materially affect our net income, the lack of
comparability of results of operations of different companies and
the different methods of calculating Adjusted EBITDA reported by
different companies. In addition, Adjusted EBITDA presented below
is not calculated or presented on the same basis as Consolidated
EBITDA as defined in our partnership agreement or Consolidated
EBITDDA as defined in Opco's debt agreements. Adjusted EBITDA is a
supplemental performance measure used by our management and by
external users of our financial statements, such as investors,
commercial banks, research analysts and others to assess the
financial performance of our assets without regard to financing
methods, capital structure or historical cost basis.
“Distributable cash flow” or "DCF" is a non-GAAP
financial measure that we define as net cash provided by (used in)
operating activities plus distributions from unconsolidated
investment in excess of cumulative earnings, proceeds from asset
sales and disposals, including sales of discontinued operations,
and return of long-term contract receivable; less maintenance
capital expenditures. DCF is not a measure of financial performance
under GAAP and should not be considered as an alternative to cash
flows from operating, investing or financing activities. DCF may
not be calculated the same for us as for other companies. In
addition, distributable cash flow is not calculated or presented on
the same basis as distributable cash flow as defined in our
partnership agreement, which is used as a metric to determine
whether we are able to increase quarterly distributions to our
common unitholders. Distributable cash flow is a supplemental
liquidity measure used by our management and by external users of
our financial statements, such as investors, commercial banks,
research analysts and others to assess our ability to make cash
distributions and repay debt.
“Free cash flow” or "FCF" is a non-GAAP financial
measure that we define as net cash provided by (used in) operating
activities plus distributions from unconsolidated investment in
excess of cumulative earnings and return of long-term contract
receivable; less maintenance and expansion capital expenditures and
cash flow used in acquisition costs classified as investing or
financing activities. FCF is calculated before mandatory debt
repayments. Free cash flow is not a measure of financial
performance under GAAP and should not be considered as an
alternative to cash flows from operating, investing or financing
activities. Free cash flow may not be calculated the same for us as
for other companies. Free cash flow is a supplemental liquidity
measure used by our management and by external users of our
financial statements, such as investors, commercial banks, research
analysts and others to assess our ability to make cash
distributions and repay debt.
"Leverage ratio" represents the outstanding principal of
NRP's debt at the end of the period divided by the last twelve
months' Adjusted EBITDA as defined above. NRP believes that
leverage ratio is a useful measure to management and investors to
evaluate and monitor the indebtedness of NRP relative to its
ability to generate income to service such debt and in
understanding trends in NRP’s overall financial condition. Leverage
ratio may not be calculated the same for NRP as for other companies
and is not a substitute for, and should not be used in conjunction
with, GAAP financial ratios.
-Financial Tables and Reconciliation of
Non-GAAP Measures Follow-
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
Consolidated Statements of
Comprehensive Income
For the Three Months
Ended
For the Six Months
Ended
June 30,
March 31,
June 30,
(In thousands,
except per unit data)
2024
2023
2024
2024
2023
Revenues and other income
Royalty and other mineral rights
$
54,591
$
61,007
$
67,372
$
121,963
$
137,278
Transportation and processing services
2,661
3,270
3,427
6,088
6,868
Equity in earnings of Sisecam Wyoming
3,645
26,978
5,450
9,095
46,232
Gain on asset sales and disposals
4,643
5
165
4,808
101
Total revenues and other income
$
65,540
$
91,260
$
76,414
$
141,954
$
190,479
Operating expenses
Operating and maintenance expenses
$
5,872
$
7,930
$
5,733
$
11,605
$
15,093
Depreciation, depletion and
amortization
3,324
3,792
4,654
7,978
7,875
General and administrative expenses
5,931
5,643
6,327
12,258
11,488
Asset impairments
—
69
—
—
69
Total operating expenses
$
15,127
$
17,434
$
16,714
$
31,841
$
34,525
Income from operations
$
50,413
$
73,826
$
59,700
$
110,113
$
155,954
Interest expense, net
$
(4,349
)
$
(3,492
)
$
(3,487
)
$
(7,836
)
$
(6,345
)
Net income
$
46,064
$
70,334
$
56,213
$
102,277
$
149,609
Less: income attributable to preferred
unitholders
(1,443
)
(4,971
)
(2,150
)
(3,593
)
(11,632
)
Less: redemption of preferred units
(13,666
)
(27,618
)
—
(13,666
)
(43,846
)
Net income attributable to common
unitholders and the general partner
$
30,955
$
37,745
$
54,063
$
85,018
$
94,131
Net income attributable to common
unitholders
$
30,336
$
36,990
$
52,982
$
83,318
$
92,948
Net income attributable to the general
partner
619
755
1,081
1,700
1,883
Net income per common unit
Basic
$
2.33
$
2.93
$
4.13
$
6.44
$
7.32
Diluted
2.29
2.49
3.83
6.17
5.96
Net income
$
46,064
$
70,334
$
56,213
$
102,277
$
149,609
Comprehensive income (loss) from
unconsolidated investment and other
1,239
911
845
2,084
(18,672
)
Comprehensive income
$
47,303
$
71,245
$
57,058
$
104,361
$
130,937
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
Consolidated Statements of
Cash Flows
For the Three Months
Ended
For the Six Months
Ended
June 30,
March 31,
June 30,
(In
thousands)
2024
2023
2024
2024
2023
Cash flows from operating activities
Net income
$
46,064
$
70,334
$
56,213
$
102,277
$
149,609
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation, depletion and
amortization
3,324
3,792
4,654
7,978
7,875
Distributions from unconsolidated
investment
7,584
32,350
14,210
21,794
43,130
Equity earnings from unconsolidated
investment
(3,645
)
(26,978
)
(5,450
)
(9,095
)
(46,232
)
Gain on asset sales and disposals
(4,643
)
(5
)
(165
)
(4,808
)
(101
)
Asset impairments
—
69
—
—
69
Bad debt expense
293
(198
)
(813
)
(520
)
(808
)
Unit-based compensation expense
2,912
2,646
2,964
5,876
5,137
Amortization of debt issuance costs and
other
(199
)
541
(749
)
(948
)
566
Change in operating assets and
liabilities:
Accounts receivable
2,918
(361
)
9,433
12,351
6,700
Accounts payable
(580
)
72
629
49
(469
)
Accrued liabilities
1,916
2,019
(8,225
)
(6,309
)
(6,786
)
Accrued interest
(677
)
(627
)
412
(265
)
(364
)
Deferred revenue
899
(2,646
)
1,028
1,927
(2,800
)
Other items, net
463
342
(2,642
)
(2,179
)
(1,276
)
Net cash provided by operating
activities
$
56,629
$
81,350
$
71,499
$
128,128
$
154,250
Cash flows from investing activities
Proceeds from asset sales and
disposals
$
4,643
$
5
$
165
$
4,808
$
106
Return of long-term contract
receivable
659
610
647
1,306
1,208
Capital expenditures
—
(8
)
—
—
(10
)
Net cash provided by investing
activities
$
5,302
$
607
$
812
$
6,114
$
1,304
Cash flows from financing activities
Debt borrowings
$
40,493
$
70,834
$
89,357
$
129,850
$
165,034
Debt repayments
(19,000
)
(61,365
)
(55,696
)
(74,696
)
(151,061
)
Distributions to common unitholders and
the general partner
(9,987
)
(9,669
)
(42,186
)
(52,173
)
(50,569
)
Distributions to preferred unitholders
(2,643
)
(7,396
)
(2,150
)
(4,793
)
(15,482
)
Redemption of preferred units
(40,000
)
(80,834
)
—
(40,000
)
(128,333
)
Warrant settlements
(10,000
)
—
(55,689
)
(65,689
)
—
Other items, net
556
(452
)
(6,946
)
(6,390
)
(3,504
)
Net cash used in financing activities
$
(40,581
)
$
(88,882
)
$
(73,310
)
$
(113,891
)
$
(183,915
)
Net increase (decrease) in cash and cash
equivalents
$
21,350
$
(6,925
)
$
(999
)
$
20,351
$
(28,361
)
Cash and cash equivalents at beginning of
period
10,990
17,655
11,989
11,989
39,091
Cash and cash equivalents at end of
period
$
32,340
$
10,730
$
10,990
$
32,340
$
10,730
Supplemental cash flow information:
Cash paid for interest
$
4,823
$
3,960
$
2,843
$
7,666
$
6,434
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
Consolidated Balance
Sheets
June 30,
December 31,
2024
2023
(In thousands,
except unit data)
(Unaudited)
ASSETS
Current assets
Cash and cash equivalents
$
32,340
$
11,989
Accounts receivable, net
30,624
41,086
Other current assets, net
3,114
2,218
Total current assets
$
66,078
$
55,293
Land
24,008
24,008
Mineral rights, net
387,053
394,483
Intangible assets, net
13,143
13,682
Equity in unconsolidated investment
265,935
276,549
Long-term contract receivable, net
24,929
26,321
Other long-term assets, net
8,412
7,540
Total assets
$
789,558
$
797,876
LIABILITIES AND CAPITAL
Current liabilities
Accounts payable
$
933
$
885
Accrued liabilities
7,225
12,987
Accrued interest
319
584
Current portion of deferred revenue
4,449
4,599
Current portion of long-term debt, net
14,214
30,785
Total current liabilities
$
27,140
$
49,840
Deferred revenue
40,433
38,356
Long-term debt, net
196,112
124,273
Other non-current liabilities
6,619
7,172
Total liabilities
$
270,304
$
219,641
Commitments and contingencies
Class A Convertible Preferred Units
(31,666 and 71,666 units issued and outstanding at June 30, 2024
and December 31, 2023, respectively, at $1,000 par value per unit;
liquidation preference of $1,850 per unit at June 30, 2024 and
December 31, 2023)
$
20,847
$
47,181
Partners’ capital
Common unitholders’ interest (13,049,123
and 12,634,642 units issued and outstanding at June 30, 2024 and
December 31, 2023, respectively)
$
490,877
$
503,076
General partner’s interest
8,568
8,005
Warrant holders’ interest
—
23,095
Accumulated other comprehensive loss
(1,038
)
(3,122
)
Total partners’ capital
$
498,407
$
531,054
Total liabilities and partners'
capital
$
789,558
$
797,876
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
Consolidated Statements of
Partners' Capital
Accumulated
Other
Total
Common Unitholders
General
Warrant
Comprehensive
Partners'
(In
thousands)
Units
Amounts
Partner
Holders
Loss
Capital
Balance at December 31, 2023
12,635
$
503,076
$
8,005
$
23,095
$
(3,122
)
$
531,054
Net income (1)
—
55,089
1,124
—
—
56,213
Distributions to common unitholders and
the general partner
—
(41,342
)
(844
)
—
—
(42,186
)
Distributions to preferred unitholders
—
(2,107
)
(43
)
—
—
(2,150
)
Issuance of unit-based awards
126
—
—
—
—
—
Unit-based awards amortization and
vesting, net
—
(3,971
)
—
—
—
(3,971
)
Capital contribution
—
—
227
—
—
227
Warrant settlements
199
(36,650
)
(748
)
(18,291
)
—
(55,689
)
Comprehensive income from unconsolidated
investment and other
—
—
—
—
845
845
Balance at March 31, 2024
12,960
$
474,095
$
7,721
$
4,804
$
(2,277
)
$
484,343
Net income (2)
—
45,142
922
—
—
46,064
Redemption of preferred units
—
(13,393
)
(273
)
—
—
(13,666
)
Distributions to common unitholders and
the general partner
—
(9,787
)
(200
)
—
—
(9,987
)
Distributions to preferred unitholders
—
(2,590
)
(53
)
—
—
(2,643
)
Unit-based awards amortization and
vesting
—
2,502
—
—
—
2,502
Capital contribution
—
—
555
—
—
555
Warrant settlements
89
(5,092
)
(104
)
(4,804
)
—
(10,000
)
Comprehensive income from unconsolidated
investment and other
—
—
—
—
1,239
1,239
Balance at June 30, 2024
13,049
$
490,877
$
8,568
$
—
$
(1,038
)
$
498,407
___________________
(1)
Net income includes $2.15 million of
income attributable to preferred unitholders that accumulated
during the period, of which $2.11 million is allocated to the
common unitholders and $0.04 million is allocated to the general
partner.
(2)
Net income includes $1.44 million of
income attributable to preferred unitholders that accumulated
during the period, of which $1.41 million is allocated to the
common unitholders and $0.03 million is allocated to the general
partner.
Accumulated
Other
Total
Common Unitholders
General
Warrant
Comprehensive
Partners'
(In
thousands)
Units
Amounts
Partner
Holders
Income (Loss)
Capital
Balance at December 31, 2022
12,506
$
404,799
$
5,977
$
47,964
$
18,717
$
477,457
Net income (1)
—
77,690
1,585
—
—
79,275
Redemption of preferred units
—
(15,904
)
(324
)
—
—
(16,228
)
Distributions to common unitholders and
the general partner
—
(40,082
)
(818
)
—
—
(40,900
)
Distributions to preferred unitholders
—
(7,924
)
(162
)
—
—
(8,086
)
Issuance of unit-based awards
129
—
—
—
—
—
Unit-based awards amortization and
vesting, net
—
(1,178
)
—
—
—
(1,178
)
Capital contribution
—
—
142
—
—
142
Comprehensive loss from unconsolidated
investment and other
—
—
—
—
(19,583
)
(19,583
)
Balance at March 31, 2023
12,635
$
417,401
$
6,400
$
47,964
$
(866
)
$
470,899
Net income (2)
—
68,927
1,407
—
—
70,334
Redemption of preferred units
—
(27,065
)
(553
)
—
—
(27,618
)
Distributions to common unitholders and
the general partner
—
(9,476
)
(193
)
—
—
(9,669
)
Distributions to preferred unitholders
—
(7,248
)
(148
)
—
—
(7,396
)
Unit-based awards amortization and
vesting
—
2,299
—
—
—
2,299
Comprehensive income from unconsolidated
investment and other
—
—
—
—
911
911
Balance at June 30, 2023
12,635
$
444,838
$
6,913
$
47,964
$
45
$
499,760
____________________
(1)
Net income includes $6.66 million of
income attributable to preferred unitholders that accumulated
during the period, of which $6.53 million is allocated to the
common unitholders and $0.13 million is allocated to the general
partner.
(2)
Net income includes $4.97 million of
income attributable to preferred unitholders that accumulated
during the period, of which $4.87 million is allocated to the
common unitholders and $0.10 million is allocated to the general
partner.
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
The following table presents NRP's
unaudited business results by segment for the three months ended
June 30, 2024 and 2023 and March 31, 2024:
Operating Segments
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Three Months Ended June 30,
2024
Revenues
$
57,252
$
—
$
—
$
57,252
Equity in earnings of Sisecam Wyoming
—
3,645
—
3,645
Gain on asset sales and disposals
4,643
—
—
4,643
Total revenues and other income
$
61,895
$
3,645
$
—
$
65,540
Asset impairments
$
—
$
—
$
—
$
—
Net income (loss)
$
52,729
$
3,619
$
(10,284
)
$
46,064
Adjusted EBITDA (1)
$
56,049
$
7,558
$
(5,931
)
$
57,676
Cash flow provided by (used in) continuing
operations:
Operating activities
$
56,234
$
7,557
$
(7,162
)
$
56,629
Investing activities
$
5,302
$
—
$
—
$
5,302
Financing activities
$
—
$
—
$
(40,581
)
$
(40,581
)
Distributable cash flow (1)
$
61,536
$
7,557
$
(7,162
)
$
61,931
Free cash flow (1)
$
56,893
$
7,557
$
(7,162
)
$
57,288
For the Three Months Ended June 30,
2023
Revenues
$
64,277
$
—
$
—
$
64,277
Equity in earnings of Sisecam Wyoming
—
26,978
—
26,978
Gain on asset sales and disposals
5
—
—
5
Total revenues and other income
$
64,282
$
26,978
$
—
$
91,260
Asset impairments
$
69
$
—
$
—
$
69
Net income (loss)
$
52,510
$
26,964
$
(9,140
)
$
70,334
Adjusted EBITDA (1)
$
56,366
$
32,336
$
(5,643
)
$
83,059
Cash flow provided by (used in) continuing
operations:
Operating activities
$
55,040
$
32,326
$
(6,016
)
$
81,350
Investing activities
$
615
$
—
$
(8
)
$
607
Financing activities
$
—
$
—
$
(88,882
)
$
(88,882
)
Distributable cash flow (1)
$
55,655
$
32,326
$
(6,024
)
$
81,957
Free cash flow (1)
$
55,650
$
32,326
$
(6,024
)
$
81,952
For the Three Months Ended March 31,
2024
Revenues
$
70,799
$
—
$
—
$
70,799
Equity in earnings of Sisecam Wyoming
—
5,450
—
5,450
Gain on asset sales and disposals
165
—
—
165
Total revenues and other income
$
70,964
$
5,450
$
—
$
76,414
Asset impairments
$
—
$
—
$
—
$
—
Net income (loss)
$
60,644
$
5,388
$
(9,819
)
$
56,213
Adjusted EBITDA (1)
$
65,293
$
14,148
$
(6,327
)
$
73,114
Cash flow provided by (used in) continuing
operations:
Operating activities
$
69,749
$
14,148
$
(12,398
)
$
71,499
Investing activities
$
812
$
—
$
—
$
812
Financing activities
$
(1,086
)
$
—
$
(72,224
)
$
(73,310
)
Distributable cash flow (1)
$
70,561
$
14,148
$
(12,398
)
$
72,311
Free cash flow (1)
$
70,396
$
14,148
$
(12,398
)
$
72,146
___________________
(1)
See "Non-GAAP Financial Measures" and
reconciliation tables at the end of this release.
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
The following table presents NRP's
unaudited business results by segment for the six months ended June
30, 2024 and 2023:
Operating Segments
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Six Months Ended June 30,
2024
Revenues
$
128,051
$
—
$
—
$
128,051
Equity in earnings of Sisecam Wyoming
—
9,095
—
9,095
Gain on asset sales and disposals
4,808
—
—
4,808
Total revenues and other income
$
132,859
$
9,095
$
—
$
141,954
Asset impairments
$
—
$
—
$
—
$
—
Net income (loss)
$
113,373
$
9,007
$
(20,103
)
$
102,277
Adjusted EBITDA (1)
$
121,342
$
21,706
$
(12,258
)
$
130,790
Cash flow provided by (used in) continuing
operations:
Operating activities
$
125,983
$
21,705
$
(19,560
)
$
128,128
Investing activities
$
6,114
$
—
$
—
$
6,114
Financing activities
$
(1,086
)
$
—
$
(112,805
)
$
(113,891
)
Distributable cash flow (1)
$
132,097
$
21,705
$
(19,560
)
$
134,242
Free cash flow (1)
$
127,289
$
21,705
$
(19,560
)
$
129,434
For the Six Months Ended June 30,
2023
Revenues
$
144,146
$
—
$
—
$
144,146
Equity in earnings of Sisecam Wyoming
—
46,232
—
46,232
Gain on asset sales and disposals
101
—
—
101
Total revenues and other income
$
144,247
$
46,232
$
—
$
190,479
Asset impairments
$
69
$
—
$
—
$
69
Net income (loss)
$
121,391
$
46,060
$
(17,842
)
$
149,609
Adjusted EBITDA (1)
$
129,326
$
42,958
$
(11,488
)
$
160,796
Cash flow provided by (used in) continuing
operations:
Operating activities
$
128,898
$
42,943
$
(17,591
)
$
154,250
Investing activities
$
1,314
$
—
$
(10
)
$
1,304
Financing activities
$
(583
)
$
—
$
(183,332
)
$
(183,915
)
Distributable cash flow (1)
$
130,212
$
42,943
$
(17,601
)
$
155,554
Free cash flow (1)
$
130,106
$
42,943
$
(17,601
)
$
155,448
__________________
(1)
See "Non-GAAP Financial Measures" and
reconciliation tables at the end of this release.
Natural Resource Partners
L.P.
Financial Tables
(Unaudited)
Operating Statistics - Mineral
Rights
For the Three Months
Ended
For the Six Months
Ended
June 30,
March 31,
June 30,
(In thousands,
except per ton data)
2024
2023
2024
2024
2023
Coal sales volumes (tons)
Appalachia
Northern
129
390
117
246
769
Central
3,456
3,352
3,714
7,170
6,961
Southern
709
693
570
1,279
1,275
Total Appalachia
4,294
4,435
4,401
8,695
9,005
Illinois Basin
1,342
1,631
2,033
3,375
2,941
Northern Powder River Basin
567
881
949
1,516
1,966
Gulf Coast
435
139
265
700
197
Total coal sales volumes
6,638
7,086
7,648
14,286
14,109
Coal royalty revenue per ton
Appalachia
Northern
$
4.74
$
6.87
$
1.86
$
3.37
$
8.35
Central
7.34
8.49
8.08
7.72
9.23
Southern
10.19
10.85
11.58
10.81
12.72
Illinois Basin
2.47
3.15
2.56
2.53
3.34
Northern Powder River Basin
4.99
4.62
4.85
4.90
4.65
Gulf Coast
0.77
0.71
0.75
0.77
0.66
Combined average coal royalty revenue per
ton
5.98
6.77
6.12
6.06
7.51
Coal royalty revenues
Appalachia
Northern
$
612
$
2,681
$
218
$
830
$
6,418
Central
25,378
28,445
29,992
55,370
64,251
Southern
7,226
7,521
6,602
13,828
16,218
Total Appalachia
33,216
38,647
36,812
70,028
86,887
Illinois Basin
3,312
5,141
5,211
8,523
9,816
Northern Powder River Basin
2,831
4,066
4,599
7,430
9,141
Gulf Coast
336
98
200
536
131
Unadjusted coal royalty revenues
39,695
47,952
46,822
86,517
105,975
Coal royalty adjustment for minimum
leases
(10
)
8
(4
)
(14
)
8
Total coal royalty revenues
$
39,685
$
47,960
$
46,818
$
86,503
$
105,983
Other revenues
Production lease minimum revenues
$
412
$
562
$
924
$
1,336
$
1,175
Minimum lease straight-line revenues
4,126
4,447
4,171
8,297
8,950
Carbon neutral initiative revenues
2,200
115
2,161
4,361
2,233
Wheelage revenues
2,338
3,284
2,672
5,010
7,153
Property tax revenues
1,545
1,470
1,892
3,437
2,940
Coal overriding royalty revenues
668
150
1,169
1,837
338
Lease amendment revenues
712
848
702
1,414
1,699
Aggregates royalty revenues
730
686
772
1,502
1,439
Oil and gas royalty revenues
1,999
1,214
3,640
5,639
4,802
Other revenues
176
271
2,451
2,627
566
Total other revenues
$
14,906
$
13,047
$
20,554
$
35,460
$
31,295
Royalty and other mineral rights
$
54,591
$
61,007
$
67,372
$
121,963
$
137,278
Transportation and processing services
revenues
2,661
3,270
3,427
6,088
6,868
Gain on asset sales and disposals
4,643
5
165
4,808
101
Total Mineral Rights segment revenues and
other income
$
61,895
$
64,282
$
70,964
$
132,859
$
144,247
Natural Resource Partners
L.P.
Reconciliation of Non-GAAP
Measures
(Unaudited)
Adjusted EBITDA
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Three Months Ended June 30,
2024
Net income (loss)
$
52,729
$
3,619
$
(10,284
)
$
46,064
Less: equity earnings from unconsolidated
investment
—
(3,645
)
—
(3,645
)
Add: total distributions from
unconsolidated investment
—
7,584
—
7,584
Add: interest expense, net
—
—
4,349
4,349
Add: depreciation, depletion and
amortization
3,320
—
4
3,324
Add: asset impairments
—
—
—
—
Adjusted EBITDA
$
56,049
$
7,558
$
(5,931
)
$
57,676
For the Three Months Ended June 30,
2023
Net income (loss)
$
52,510
$
26,964
$
(9,140
)
$
70,334
Less: equity earnings from unconsolidated
investment
—
(26,978
)
—
(26,978
)
Add: total distributions from
unconsolidated investment
—
32,350
—
32,350
Add: interest expense, net
—
—
3,492
3,492
Add: depreciation, depletion and
amortization
3,787
—
5
3,792
Add: asset impairments
69
—
—
69
Adjusted EBITDA
$
56,366
$
32,336
$
(5,643
)
$
83,059
For the Three Months Ended March 31,
2024
Net income (loss)
$
60,644
$
5,388
$
(9,819
)
$
56,213
Less: equity earnings from unconsolidated
investment
—
(5,450
)
—
(5,450
)
Add: total distributions from
unconsolidated investment
—
14,210
—
14,210
Add: interest expense, net
—
—
3,487
3,487
Add: depreciation, depletion and
amortization
4,649
—
5
4,654
Add: asset impairments
—
—
—
—
Adjusted EBITDA
$
65,293
$
14,148
$
(6,327
)
$
73,114
Natural Resource Partners
L.P.
Reconciliation of Non-GAAP
Measures
(Unaudited)
Adjusted EBITDA
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Six Months Ended June 30,
2024
Net income (loss)
$
113,373
$
9,007
$
(20,103
)
$
102,277
Less: equity earnings from unconsolidated
investment
—
(9,095
)
—
(9,095
)
Add: total distributions from
unconsolidated investment
—
21,794
—
21,794
Add: interest expense, net
—
—
7,836
7,836
Add: depreciation, depletion and
amortization
7,969
—
9
7,978
Add: asset impairments
—
—
—
—
Adjusted EBITDA
$
121,342
$
21,706
$
(12,258
)
$
130,790
For the Six Months Ended June 30,
2023
Net income (loss)
$
121,391
$
46,060
$
(17,842
)
$
149,609
Less: equity earnings from unconsolidated
investment
—
(46,232
)
—
(46,232
)
Add: total distributions from
unconsolidated investment
—
43,130
—
43,130
Add: interest expense, net
—
—
6,345
6,345
Add: depreciation, depletion and
amortization
7,866
—
9
7,875
Add: asset impairments
69
—
—
69
Adjusted EBITDA
$
129,326
$
42,958
$
(11,488
)
$
160,796
Natural Resource Partners
L.P.
Reconciliation of Non-GAAP
Measures
(Unaudited)
Distributable Cash Flow and
Free Cash Flow
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Three Months Ended June 30,
2024
Net cash provided by (used in) operating
activities
$
56,234
$
7,557
$
(7,162
)
$
56,629
Add: proceeds from asset sales and
disposals
4,643
—
—
4,643
Add: return of long-term contract
receivable
659
—
—
659
Less: maintenance capital expenditures
—
—
—
—
Distributable cash flow
$
61,536
$
7,557
$
(7,162
)
$
61,931
Less: proceeds from asset sales and
disposals
(4,643
)
—
—
(4,643
)
Free cash flow
$
56,893
$
7,557
$
(7,162
)
$
57,288
Net cash provided by investing
activities
$
5,302
$
—
$
—
$
5,302
Net cash used in financing activities
$
—
$
—
$
(40,581
)
$
(40,581
)
For the Three Months Ended June 30,
2023
Net cash provided by (used in) operating
activities
$
55,040
$
32,326
$
(6,016
)
$
81,350
Add: proceeds from asset sales and
disposals
5
—
—
5
Add: return of long-term contract
receivable
610
—
—
610
Less: maintenance capital expenditures
—
—
(8
)
(8
)
Distributable cash flow
$
55,655
$
32,326
$
(6,024
)
$
81,957
Less: proceeds from asset sales and
disposals
(5
)
—
—
(5
)
Free cash flow
$
55,650
$
32,326
$
(6,024
)
$
81,952
Net cash provided by (used in) investing
activities
$
615
$
—
$
(8
)
$
607
Net cash used in financing activities
$
—
$
—
$
(88,882
)
$
(88,882
)
For the Three Months Ended March 31,
2024
Net cash provided by (used in) operating
activities
$
69,749
$
14,148
$
(12,398
)
$
71,499
Add: proceeds from asset sales and
disposals
165
—
—
165
Add: return of long-term contract
receivable
647
—
—
647
Less: maintenance capital expenditures
—
—
—
—
Distributable cash flow
$
70,561
$
14,148
$
(12,398
)
$
72,311
Less: proceeds from asset sales and
disposals
(165
)
—
—
(165
)
Free cash flow
$
70,396
$
14,148
$
(12,398
)
$
72,146
Net cash provided by investing
activities
$
812
$
—
$
—
$
812
Net cash used in financing activities
$
(1,086
)
$
—
$
(72,224
)
$
(73,310
)
Natural Resource Partners
L.P.
Reconciliation of Non-GAAP
Measures
(Unaudited)
Distributable Cash Flow and
Free Cash Flow
Mineral
Corporate and
(In
thousands)
Rights
Soda Ash
Financing
Total
For the Six Months Ended June 30,
2024
Net cash provided by (used in) operating
activities
$
125,983
$
21,705
$
(19,560
)
$
128,128
Add: proceeds from asset sales and
disposals
4,808
—
—
4,808
Add: return of long-term contract
receivable
1,306
—
—
1,306
Less: maintenance capital expenditures
—
—
—
—
Distributable cash flow
$
132,097
$
21,705
$
(19,560
)
$
134,242
Less: proceeds from asset sales and
disposals
(4,808
)
—
—
(4,808
)
Free cash flow
$
127,289
$
21,705
$
(19,560
)
$
129,434
Net cash provided by investing
activities
$
6,114
$
—
$
—
$
6,114
Net cash used in financing activities
$
(1,086
)
$
—
$
(112,805
)
$
(113,891
)
For the Six Months Ended June 30,
2023
Net cash provided by (used in) operating
activities
$
128,898
$
42,943
$
(17,591
)
$
154,250
Add: proceeds from asset sales and
disposals
106
—
—
106
Add: return of long-term contract
receivable
1,208
—
—
1,208
Less: maintenance capital expenditures
—
—
(10
)
(10
)
Distributable cash flow
$
130,212
$
42,943
$
(17,601
)
$
155,554
Less: proceeds from asset sales and
disposals
(106
)
—
—
(106
)
Free cash flow
$
130,106
$
42,943
$
(17,601
)
$
155,448
Net cash provided by (used in) investing
activities
$
1,314
$
—
$
(10
)
$
1,304
Net cash used in financing activities
$
(583
)
$
—
$
(183,332
)
$
(183,915
)
Natural Resource Partners
L.P.
Reconciliation of Non-GAAP
Measures
(Unaudited)
Last Twelve Months (LTM) Free
Cash Flow
For the Three Months
Ended
(In
thousands)
September 30, 2023
December 31, 2023
March 31, 2024
June 30, 2024
Last 12 Months
Net cash provided by operating
activities
$
78,942
$
77,786
$
71,499
$
56,629
$
284,856
Add: proceeds from asset sales and
disposals
855
2,002
165
4,643
7,665
Add: return of long-term contract
receivable
622
633
647
659
2,561
Distributable cash flow
$
80,419
$
80,421
$
72,311
$
61,931
$
295,082
Less: proceeds from asset sales and
disposals
(855
)
(2,002
)
(165
)
(4,643
)
(7,665
)
Free cash flow
$
79,564
$
78,419
$
72,146
$
57,288
$
287,417
Leverage Ratio
For the Three Months
Ended
(In
thousands)
September 30, 2023
December 31, 2023
March 31, 2024
June 30, 2024
Last 12 Months
Net income
$
63,846
$
64,980
$
56,213
$
46,064
$
231,103
Less: equity earnings from unconsolidated
investment
(12,401
)
(14,764
)
(5,450
)
(3,645
)
(36,260
)
Add: total distributions from
unconsolidated investment
23,010
15,338
14,210
7,584
60,142
Add: interest expense, net
3,837
3,921
3,487
4,349
15,594
Add: depreciation, depletion and
amortization
4,594
6,020
4,654
3,324
18,592
Add: asset impairments
63
424
—
—
487
Adjusted EBITDA
$
82,949
$
75,919
$
73,114
$
57,676
$
289,658
Debt—at June 30, 2024
$
210,678
Leverage Ratio
0.7 x
For the Three Months
Ended
(In
thousands)
September 30, 2022
December 31, 2022
March 31, 2023
June 30, 2023
Last 12 Months
Net income
$
74,555
$
63,218
$
79,275
$
70,334
$
287,382
Less: equity earnings from unconsolidated
investment
(14,556
)
(15,759
)
(19,254
)
(26,978
)
(76,547
)
Add: total distributions from
unconsolidated investment
10,339
10,780
10,780
32,350
64,249
Add: interest expense, net
5,141
3,638
2,853
3,492
15,124
Add: loss on extinguishment of debt
2,484
3,933
—
—
6,417
Add: depreciation, depletion and
amortization
6,850
5,954
4,083
3,792
20,679
Add: asset impairments
812
3,583
—
69
4,464
Adjusted EBITDA
$
85,625
$
75,347
$
77,737
$
83,059
$
321,768
Debt—at June 30, 2023
$
183,059
Leverage Ratio
0.6 x
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240807029111/en/
Tiffany Sammis 713.751.7515 tsammis@nrplp.com
Natural Resource Partners (NYSE:NRP)
Gráfica de Acción Histórica
De Oct 2024 a Nov 2024
Natural Resource Partners (NYSE:NRP)
Gráfica de Acción Histórica
De Nov 2023 a Nov 2024
