Arch Coal Posts Q4 Profit Of $33.4 Mln; Sets FY17 Sales Targets

(RTTNews) - Arch Coal, Inc. (ARCH), which emerged from bankruptcy in October last year, reported Wednesday that its fourth-quarter 2016 net income was $33.4 million or $1.31 per share.

Arch Coal said it successfully completed its financial restructuring and emerged from bankruptcy as a reorganized company on October 5, 2016, less than nine months after filing for Chapter 11.

As a result, Arch applied fresh start accounting as of October 1, 2016, and its financial statements after September 30 are not comparable to the financial statements prior to that date.

Revenues for the fourth quarter totaled $575.7 million on 26.8 million tons of coal sales.

The company reported adjusted earnings before interest, taxes, depreciation, depletion, amortization and reorganization items or adjusted EBITDAR of $94.5 million.

Looking ahead, Arch has established sales targets for 2017 of between 7.2 million and 7.8 million tons of metallurgical coal, and between 88 million and 96 million tons of thermal coal.

At the midpoint of its guidance level, Arch is nearly 75 percent committed on coking coal sales for the full year.

At the midpoint of guidance, Arch's thermal sales are nearly 85 percent committed for the full year.