Alliance Resource Partners reported second-quarter net income of $79.6 million, up 33.9% from $59.4 million a year earlier, as total revenue edged up 0.7% to $551.6 million from $547.5 million. Adjusted EBITDA rose 14.7% to $185.7 million from $161.9 million.
The partnership’s coal business sold 8.558 million tons in the quarter, up 2.1% from 8.382 million tons in the prior-year quarter and 8.9% from 7.860 million tons in the first quarter. Coal sales prices averaged $54.87 per ton, down 5.3% from $57.92 a year earlier and 2.7% from $56.40 sequentially. Coal operations generated $151.7 million of segment adjusted EBITDA, up 6.9% year over year and 21.3% from the first quarter.
Within coal, Illinois Basin volumes fell to 6.367 million tons from 6.665 million tons a year earlier, while Appalachia volumes jumped to 2.191 million tons from 1.717 million tons. Illinois Basin segment adjusted EBITDA slipped to $104.2 million from $114.2 million, while Appalachia segment adjusted EBITDA climbed to $49.2 million from $29.4 million.
Oil and gas royalties delivered a record $46.3 million in revenue, up 30.5% from the prior-year quarter, while segment adjusted EBITDA increased to a record $38.0 million from $29.9 million. Royalty volumes rose 6.4% year over year to 0.936 million boe, and the average sales price per boe climbed 22.7% to $49.43. Coal royalties revenue increased to $22.9 million from $21.3 million, with segment adjusted EBITDA rising to $13.0 million from $11.8 million.
For the first half, revenue totaled $1.07 billion, down from $1.09 billion a year earlier, while net income was $88.7 million versus $133.4 million. Adjusted EBITDA for the six-month period increased 5.8% to $340.7 million from $321.9 million.
On a sequential basis, distributable cash flow increased 39.0% to $108.2 million, and the distribution coverage ratio improved to 1.39x. The partnership declared a quarterly cash distribution of $0.60 per unit, or $2.40 annualized, unchanged in rate from the stated quarterly level but supported by the higher coverage.
Balance sheet figures showed total debt and finance leases of $590.2 million at June 30, with total liquidity of $424.0 million, including $111.2 million of cash and $312.8 million of available borrowings. The company also reported 646 bitcoins valued at $37.9 million.
On July 1, Alliance completed its $206.2 million acquisition of oil and gas mineral interests, adding about 48,500 net royalty acres. The deal pushed the partnership’s cumulative investment in oil and gas royalties above $1.0 billion. Today the company's shares have moved -0.24% to a price of $24.71. Check out the company's full 8-K submission here.
