Alpha’s 3Q loss lower than estimated
BRISTOL, Va. (AP) – Alpha Natural Resources’ third-quarter loss narrowed, helped by reduced costs.
The coal producer’s performance topped analysts’ estimates. Its stock rose more than 2 percent in Thursday premarket trading.
Alpha Natural Resources lost $185 million, or 84 cents per share, for the three months that ended Sept. 30. That compares with a loss of $458.2 million, or $2.07 per share, a year ago.
Stripping out certain items, it lost 53 cents per share.
Analysts surveyed by Zacks Investment Research expected a bigger loss of 71 cents per share.
Total costs and expenses fell to $1.22 billion from $1.74 billion.
Revenue dropped 12 percent to $1.05 billion from $1.19 billion, as coal revenue declined partly on lower shipments of metallurgical and Powder River Basin coal. The results still managed to beat the $989.7 million in revenue that analysts polled by Zacks forecast.
Alpha announced in August it will close its Emerald Mine in Waynesburg by the end of 2015 because of weak market conditions and the mine’s uncertain geological conditions. Most of the affected workers are expected to transfer to Cumberland Mine in Greene County.