Earnings call transcript: Alpha Metallurgical Resources Q3 2025 shows EPS miss

Alpha Metallurgical Resources Inc. (AMR) reported its third-quarter 2025 financial results, revealing a larger-than-expected loss per share and a revenue shortfall. The company’s stock reacted negatively, dropping 6.6% in premarket trading. The reported earnings per share (EPS) were -$0.3157, missing the forecast of -$0.2525, while revenue reached $526.78 million, below the expected $550.75 million.

Key Takeaways

• EPS of -$0.3157 missed expectations, with a surprise of 25.03%.
• Revenue fell short by 4.35%, reaching $526.78 million.
• Stock price decreased by 6.6% in premarket trading.
• Cost of coal sales reached a record low since 2021 at $97.27 per ton.
• Liquidity remained strong with $408.5 million in unrestricted cash.

Company Performance

Alpha Metallurgical Resources faced a challenging third quarter, with both EPS and revenue missing analyst expectations. The company maintained a focus on cost reduction, achieving a record low cost of coal sales since 2021. Despite these efforts, the company’s financial performance was impacted by weaker-than-expected market conditions and pricing pressures in the metallurgical coal sector.

Financial Highlights

• Revenue: $526.78 million, down from the forecast of $550.75 million.
• Earnings per share: -$0.3157, compared to the forecast of -$0.2525.
• Adjusted EBITDA: $41.7 million, down from $46.1 million in Q2.
• Unrestricted cash: $408.5 million.

Earnings vs. Forecast

Alpha’s EPS of -$0.3157 was below the forecast of -$0.2525, resulting in a negative surprise of 25.03%. Revenue also missed expectations, falling short by 4.35%. This marks a significant deviation from previous quarters where the company had managed to closely align with or exceed forecasts.

Market Reaction

Following the earnings release, Alpha’s stock fell by 6.6% in premarket trading, reflecting investor concerns over the earnings miss and revenue shortfall. The stock price dropped from a previous close of $173.99 to $162.51. This movement positions the stock closer to its 52-week low of $97.41, highlighting market apprehension.

Outlook & Guidance

Looking ahead, Alpha Metallurgical Resources is preparing for a potentially challenging 2026, with domestic contract negotiations pending. The company is focused on maintaining operational efficiency and a strong cash position. Future guidance indicates a cautious approach, with expectations of continued market challenges.

Executive Commentary

CEO Andy Eidson stated, "We are in the process of planning for 2026, putting together budgets and anticipating what we believe could be another challenging year for the coal industry." President and COO Jason Whitehead emphasized, "We are pretty happy mining metallurgical coal. If something else pops up, that will be great. That is really not our strategic intent at this moment."

Risks and Challenges

• Geopolitical and trade challenges affecting global economic outlook.
• Pricing pressures in the metallurgical coal market.
• Potential volatility in demand from key markets like India and Europe.
• Ongoing domestic contract negotiations impacting future guidance.
• Market downturns requiring strict cost discipline.

Q&A

During the earnings call, analysts inquired about the sustainability of cost cuts and the potential for mergers and acquisitions. Executives addressed the ongoing domestic contract negotiations and affirmed the company’s strong safety performance despite recent regulatory shutdowns.

Full transcript - Alpha Metallurgical Resources Inc (AMR) Q3 2025:

Rob, Conference Operator: Greetings. Welcome to the Alpha Metallurgical Resources Third Quarter 2025 Results Conference Call. At this time, all participants are on a listen-only mode. A question-and-answer session will follow the formal presentation. Please note this conference is being recorded. I would now like to turn the conference over to your host, Emily O’Quinn, Senior Vice President, Investor Relations and Communications. You may now begin.

Emily O’Quinn, Senior Vice President, Investor Relations and Communications, Alpha Metallurgical Resources: Thank you, Rob, and good morning, everyone. Before we get started, let me remind you that during our prepared remarks, our comments regarding anticipated business and financial performance contain forward-looking statements, and actual results may differ materially from those discussed. For more information regarding forward-looking statements and some of the factors that can affect them, please refer to the company’s Third Quarter 2025 earnings release and the associated SEC filing. Please also see these documents for information about our use of non-GAAP measures and their reconciliation to GAAP measures. Participating on the call today are Alpha’s Chief Executive Officer, Andy Eidson, and our President and Chief Operating Officer, Jason Whitehead. Also participating on the call are Todd Munsey, our Chief Financial Officer, and Dan Horn, our Chief Commercial Officer. With that, I will turn the call over to Andy.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Thanks, Emily. Good morning, everyone. This morning, we announced our financial results for the third quarter, which include adjusted EBITDA of $41.7 million and 3.9 million tons shipped. It was another good quarter for our team. Similar to Q2, the highlight of the period is the outstanding performance on cost of coal sales. For the second quarter, we missed a sub-$100 level by only $0.07. In Q3, we were able to shave almost another $3 off the prior quarter level, coming in at $97.27 per ton. We’re proud to have posted the best cost of coal sales performance for the company since 2021 in back-to-back quarters. Our focus remains on finishing the year strong by continuing to safely keep costs in line.

Our cost discipline is especially important as we continue navigating the current stage of the market cycle and as metallurgical coal indexes reflect softness in the market environment. Broadly, the indexes have held on current levels for several months with isolated pockets of volatility. The underlying economic conditions informing steel demand around the globe remain vulnerable to uncertainty and lackluster economic growth expectations. Against this backdrop, we’re in the process of planning for 2026, putting together budgets and anticipating what we believe could be another challenging year for the coal industry. At the same time, we remain in discussions with our North American customers about domestic sales commitments for next year. With those conversations and budget planning still in progress, we’re not quite yet ready to issue guidance for 2026.

Once domestic negotiations conclude and we have greater visibility into the coming year, we will share additional information about our expectations and guidance. Until then, we will keep working hard to manage costs, operate safely and effectively, and finish 2025 on a strong note. I’ll now turn the call over to Todd for additional information on our third quarter financial results.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Thanks, Andy. Adjusted EBITDA for the third quarter was $41.7 million, down from $46.1 million in the second quarter. We sold 3.9 million tons in Q3, the same amount as in Q2. Met segment realizations decreased quarter over quarter, with an average realization of $114.94 in the third quarter, down from $119.43 in Q2. Export met tons priced against Atlantic indices and other pricing mechanisms in the third quarter realized $107.25 per ton, while export coal priced on Australian indices realized $106.39 per ton. These results are compared to realizations of $113.82 per ton and $109.75, respectively, in the second quarter. The realization of our metallurgical sales in Q3 was a total weighted average of $117.62 per ton, down from $122.84 per ton in Q2.

Realizations in the incidental thermal portion of the met segment increased to $81.64 per ton in Q3, as compared to $78.01 per ton in the second quarter. Cost of coal sales for our met segment decreased to $97.27 per ton in the third quarter, down from $100.06 per ton in Q2. SG&A, excluding non-cash stock compensation and non-recurring items, increased to $13.2 million for the third quarter, as compared to $11.9 million in the second quarter. CapEx for the quarter was $25.1 million, down from $34.6 million in Q2. Moving to the balance sheet and cash flows, as of September 30th, 2025, we had $408.5 million in unrestricted cash and $49.4 million in short-term investments, as compared to $449 million of unrestricted cash as of June 30th.

We had $185.5 million in unused availability under our ABL at the end of the third quarter, partially offset by a minimum required liquidity of $75 million. As of the end of September, Alpha had total liquidity of $568.5 million, up from $556.9 million at the end of June. Cash provided by operating activities was $50.6 million in Q3, down from $53.2 million in the second quarter. As of September 30th, our ABL facility had no borrowings and $39.5 million of letters of credit outstanding. With additional visibility into remaining payments for the year, we are lowering our capital contributions to equity affiliates’ guidance to a range of $35-$41 million, down from the prior range of $44-$54 million.

In terms of our committed position for 2025, at the midpoint of guidance, 85% of our metallurgical tonnage in the met segment is committed and priced at an average price of $122.57. Another 13% of our met tonnage for the year is committed but not yet priced. The thermal byproduct portion of the met segment is fully committed and priced at the midpoint of guidance at an average price of $80.27. I’ll now turn the call over to Jason to provide an update on operations.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Thanks, Todd, and good morning, everyone. Last quarter, I spoke to the cost reduction efforts carried out in Q2 being twofold. A 10% increase over Q1 in tons per man-hour that lowered labor and other fixed costs, and the teams achieving these efficiency gains while reducing supply and maintenance expenses. I’m pleased to report on the operations team’s continued success in managing costs and increasing tons per man-hour again by another 2%. Q3 marks the second quarter in a row of record quarterly cost performance since 2021 at $97.27 per ton. In addition to the very positive cost performance by operations in the quarter, I’m pleased to report strong progress on our new low-vol mine, Kingston Wildcat. The slope development is complete and has intercepted the coal seam. We are now in development production, working our way toward the areas where we will install ventilation shafts and dewatering shafts.

While we plan to short-tag this raw coal to our Mammoth Facility to leverage our existing preparation plant, we’ve also been working hard at building out the supporting infrastructures of the Wildcat mine, like belting, loading, and offloading infrastructure to help move the coal where it needs to go. Development production will continue through the rest of the year, and we expect to ramp up to a full annual run rate of roughly 1 million tons sometime within the 2026 calendar year. Lastly, I’d like to congratulate our Virginia teams on some recent outstanding safety and environmental achievements. First, the Virginia Department of Energy Coal Mine Safety Awards, and those were awarded to Paramount Contora Deep Mine 41, the McClure Preparation Plant, both 88 Strip and 88 Strip’s Highwall Miner, the Long Branch Surface Mine and Highwall Miner, and our Three Forks Highwall Miner.

On the environmental side, the Met Coal Producers Association awarded our Toms Creek Preparation Plant the Best Active Prep Plant Award, and our Stone Coal Mine was awarded Best Reclaimed Underground Mine. Congrats again to all those involved in the safe and hard work that’s behind these accomplishments. With that, I’ll now turn the call over to Dan for some details on the market.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Thanks, Jason. Good morning, everyone. As steel demand remains subdued, metallurgical coal markets experienced slight fluctuations during the third quarter but have been largely range-bound over the prior six-month period. The global economic outlook continues to be clouded with uncertainties surrounding policy changes, geopolitical unrest, tariffs, and ongoing trade negotiations and shifting trade policies. Future steel demand and metallurgical pricing will also be impacted by these factors. Of the four indices that Alpha closely monitors, the Australian Premium Low-Vol Index represented the most significant move during the quarter, an increase of 9.6%. The Australian PLV Index rose from $173.50 per metric ton on July 1st to $190.20 per metric ton on September 30th. The US East Coast Low-Vol Index increased from $174 per metric ton at the beginning of the quarter to $177 per metric ton at quarter close.

The East Coast Highball A Index fell from $159 per metric ton in July to $152.50 per metric ton at the end of September. The US East Coast Highball B Index decreased from $147 per metric ton to $144.50 per metric ton at quarter end. Since the quarter closed, all three US indices have either remained flat or trended downward, while the Australian PLV has increased to $196.50 as of November 4th. US East Coast Lowball Index was $177.50, while Highball A and Highball B indices measured $150 and $140 per ton, respectively, as of the same date. In the seaborne thermal market, the API-2 Index was $107.95 per metric ton as of July 1st and decreased to $95.40 per metric ton on September 30th. Since then, the API-2 has increased to $100.70 per metric ton as of November 4th.

Turning to logistics, we’ve been working alongside officials at CSX to understand the implications of a train derailment that occurred on October 25th. While the train was not carrying Alpha’s cargo, the derailment occurred on an important rail line used to access Dominion Terminal Associates, where the majority of our exports originate. Our team members have notified customers of potential for impacts depending on how quickly the railroad can reinstate service. In the meantime, we continue to fulfill shipments from our stockpiles at DTA, and we’re actively investigating alternative opportunities that could help keep our coal moving on its way to customers if the outage would extend for a prolonged period of time. We remain in close contact with the railroad and their teams, and we look forward to the rail line being fully operational in the coming days.

Lastly, we are still engaged in discussions about the sale of coal to North American customers in 2026. Given the ongoing nature of these negotiations, I do not have any additional details about the volume or pricing that will make up Alpha’s domestic sales book for next year. However, after these negotiations conclude, we will share more information about our domestic commitments and guidance expectations for the coming year, as we typically do. Operator, we are now ready to open the call for questions.

Rob, Conference Operator: Thank you. At this time, we’ll be conducting a question-and-answer session. If you’d like to ask a question, please press star one on your telephone keypad. One moment, please, while we poll for questions. Our first question comes from Nick Giles with B. Riley Securities. Please proceed with your question.

Nick Giles, Analyst, B. Riley Securities: Thank you, Operator. Good morning, everyone. Andy, Jason, you and the team have done a really impressive job of cutting costs during this down cycle. We know there will be a modest incremental benefit from 45X in the new year. My question is ultimately, how should we think about the sustainability of some of these cuts? There are always sales-sensitive components on the way up, but just would appreciate any additional perspective on how productivity could shift if prices really start to move here.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Hey, Nick. This is Andy. I’ll let Jason have the bulk of this one. I mean, generally speaking, you’re right. There’s going to be some volatility quarter to quarter, obviously going into Q4. When you have vacation periods, that usually creates a little bit of chaos around cost and production. I mean, that’s usually baked into expectations. I would just pause for a moment to, again, congratulate the operations team. Jason and his crew have done an amazing job over the past several quarters, continually ratcheting those costs down while maintaining our safe production mantra, which is above all important to us. Exceptional work there. Jason, any comments on— No, I mean, that’s right, Andy. I will say that I think, number one, we always run a risk of unforeseen geologic problems that could occur, whether it’s us or any of our competitors.

Generally speaking, I think the mines are in a better place than they were maybe earlier in the year. We had planned development projects that were going on that are now behind us. We have the problems with vacation shutdowns and things like that that we always see in the fourth quarter. We are hopeful to largely offset a lot of that because the mines are just performing better. It was planned that way.

Nick Giles, Analyst, B. Riley Securities: Got it. Thank you both for that. My next question was. Understand that you’re unable to offer much additional color on next year’s domestic contracts. If we were to look back at prior years, is there any precedent that could inform us on how much you may flex those volumes? Are there any year-over-year changes where domestic contracts were changed in excess of a million tons?

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah, Nick, this is Dan. Every year is different. I don’t know. A lot of it is in the hands of our customers. The steel industry in North America is not running at full capacity, at least the blast furnace segment. So coke and coal demand will go with the hot metal production. It’s a little erratic. We talk to our customers. The steel pricing is good, but the volumes aren’t quite there, the automotive sector in particular. The demand will shift because of that. I would guess it’s going to be similar to last year. You have some new supply entrants in the market on the supply side that might try to take some market share. This is nothing new. This happens every year. I can’t really comment on a million-ton swing. That seems like a lot.

Until we’re through the negotiations, I really can’t say more than that.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Yeah. I would say, generally speaking, I’m looking at Dan to either nod or kick me under the table if I’ve got this wrong. If you look back at our history, going back to, I guess, post-merger 2019, we’ve been as low as low threes and as high as four and change in that time period. I think that’s kind of the band that we will stay range-bound in. The details will come out as we put those together. There could be smaller pieces of business that come in closer to the end of the year. Hopefully, in the next couple, three weeks, we’ll have more information to share on the bulk of what the book will look like.

Nick Giles, Analyst, B. Riley Securities: Understood. Maybe one more, if I could. Some of your peers have come out and talked about rare earth opportunities. This has mostly occurred in the PRB, but it seems like there could be some opportunities to process some waste material at prep plants, things of that nature. Is this something you’ve looked into at all, or is it really less relevant, just given your operations are centralized in the east?

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Yeah. I mean, rare earth, it is. The shiny object at the moment. It’s kind of the Wild West as far as project announcement and evaluations. We actually have done work going back to 2014, looking at some of these items. It’s been kind of a scattershot approach over the past decade. We’ve not really done a lot with it. I mean, we are spending some time and a little bit of money, a very little bit of money, looking at these opportunities. There are some areas we’ve probably got as far as in the hundreds of areas to be sampled. I mean, we’re not under any illusion that any of this is going to drive any material economic impact, simply because, again, we just don’t know what we don’t know.

It is good to take an inventory of what we have and also know what we do not have. We will spend a little bit of time on that in the next couple of quarters and see what we have. We are pretty happy mining metallurgical coal. If something else pops up, that will be great. That is really not our strategic intent at this moment.

Nick Giles, Analyst, B. Riley Securities: Got it. Thanks for that. Guys, I really appreciate all the colors, as always. Continue to best of luck.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Thank you, Nick.

Rob, Conference Operator: Our next question comes from Nathan Martin with The Benchmark Company. Please proceed with your question.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Yeah. Thanks, Operator. Good morning, gentlemen. Congrats as well on the continued cost per ton progress there. Maybe first one for Dan. Dan, you talked about the derailment on CSX’s line. Is there an ETA for the full reopening of that line? How much more inventory do you guys have left on the ground at DTA to serve customer contracts?

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah, Nick. Actually, the good news is we learned this morning that the first trains have moved through that area. We expect this to be a relatively short duration. There is a whole lot of empty rail cars on one side of the derailment and a whole lot of loaded coal cars on the other side. It will take some amount of time to get some fluidity on the system there. We had coal on the ground. We were able to continue loading vessels, move some things around. We are the only shipper that can ship out of all three of the Hampton Roads coal terminals. We took advantage of that, and our team did a nice job. As far as inventory number, we had sufficient tons to load the customers that we had to and just kind of kept things moving along.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Okay. Perfect. Good to hear. Maybe just coming back real quickly to the domestic negotiations again. I appreciate those are ongoing. Just curious, if fixed price contracts can’t be agreed upon on the normal, call it three to four million tons, you guys just highlighted, would things just move to spot negotiations at that point? Just trying to think about a situation where this has dragged on that long, meaning the negotiations with the domestic customers. Just would be curious for your thoughts.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah. Generally, Nick, the domestic customers all want to do fixed price one-year contracts. So there’s not a lot of spot activity in that market. Spot activity usually only occurs when there’s an interruption at a mine or perhaps a ramp-up that they didn’t foresee in coke production. But generally, it’s fixed price, and the volumes are pretty well known across the board.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Got it. Yeah. I mean, just to clarify, like you said, Dan, I’ve just never seen it drag out this long. I was just curious. It sounds like.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah. It’s.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Regardless, you’ll get some fixed price contracts done at some point.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah. Agreed. I’ve been doing this a long time. We sort of started the process in July, and now it’s November. That is, in my experience, a long time. The steel industry’s got some uncertainty too. Some new acquisitions and some of the steel plants around the US have been idled and things. I think our customers have their hands full too.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Got it. Thanks for those thoughts. Maybe just one final question. Pricing’s getting a bit of a lift recently, as you guys highlighted, but market conditions do remain largely challenged. We also expect new met coal supply or some restarted supply to potentially come online, I guess, over the next few quarters here. How does Alpha kind of expect to navigate these market conditions going forward?

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: New mines come online and old mines go offline. It’s not new. We’ll navigate it. We’re watching it closely. We like to think we’re the supplier of choice for a lot of the customers. We do what we do pretty well, and we’ll have to deal with the market forces as they are. We’re not afraid of the competition.

Jason Whitehead, President and Chief Operating Officer, Alpha Metallurgical Resources: Okay. I’ll leave it there. Appreciate the time, and good luck in the fourth quarter.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Thank you, Nate.

Rob, Conference Operator: As a reminder, if you’d like to ask a question, please press star one on your telephone keypad. One moment, please, while we poll for questions. Our next question comes from Matthew Key with Bank Texas Capital. Please proceed with your question.

Nick Giles, Analyst, B. Riley Securities: Good morning, and thank you for taking my questions. One of the big themes in the met coal market has been that spread between the US East Coast Highball A, Highball B versus the Australian Benchmark. I was wondering if you could provide any color on the major factors driving that spread and whether you would expect it to continue into 2026.

Dan Horn, Chief Commercial Officer, Alpha Metallurgical Resources: Yeah, Matt, this is Dan. I know a lot of people focus on that spread. I do not necessarily find it particularly relevant. We track them both, but the relativities between the two are driven by, obviously, supply and demand. The Aussie production has been okay this year, not great. I do not really know how to answer that. We do not track that relativity exactly. Obviously, if you have excess supply, it will put pressure on the indices. What we are more hoping for and expecting is some increase in demand in 2026, perhaps in Europe or some other markets. That will affect the spread too. We see a little more demand. Asia is a lot of the PLV that is mined in Australia goes to markets like India, and the increasing demand in India should pull on that supply pretty hard. Hopefully, that will improve the indices as well.

Nick Giles, Analyst, B. Riley Securities: Got it. Thank you for that. I was wondering if you could provide any color on CapEx expectations in 2026, any major growth capital or carryover capital that we should be thinking about heading into next year?

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: No. I mean, we’re not quite ready to delve into ’26 yet. I think numbers are pretty well. They’ve stopped moving. The only project that we have ongoing is, as Jason was giving an update on Kingston Wildcat Mine, which we began work on last year. There’ll be some additional capital spent next year to wrap that up. I think we’ve talked about that publicly. The total project was roughly $80 million-ish, and half of that was spent this year. There’ll probably be another $40 million-ish to wrap that project up next year to get it up to full production. Everything else, we’ll probably be kind of standard course, but we’ll get those more precise numbers out to you, hopefully, in the coming weeks.

Nick Giles, Analyst, B. Riley Securities: Great. I appreciate the time, and best of luck moving forward.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Yeah. Thank you very much.

Rob, Conference Operator: Our next question is from Nick Giles with B. Riley Securities. Please proceed with your question.

Nick Giles, Analyst, B. Riley Securities: Thanks for taking my follow-up questions. Just looking at your cash balance, you have $400 million today. Pretty nice cushion there. Just wanted to ask about how you’re thinking about M&A opportunities. I think back to the tuck-in of Maxim Rebuild. So curious if there’s opportunities in your supply chain and then just how you’re looking at some of the smaller operations out there, whether those are becoming more or less attractive. Thanks.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Yeah. I mean, we have to obviously trade carefully and soberly. Job one is always, as we’ve said for years, protect the franchise, maintain this as much of a cash cushion as we can during these more difficult markets, which we do think is going to continue to be a protracted situation. Through next year, at least, it feels like. We are very interested in things like Maxim manufacturing, Maxim transportation, these things that bring more control and cost reduction in-house. Those are a little bit more challenging to track down because they have to make sense, and there have to be synergies where we’re not just picking up something that we don’t necessarily know how to do. But there are opportunities out there, and we continue to look at those and evaluate those. M&A right now is pretty tough in this landscape because, again, cash burn’s a consideration.

Are the assets burning cash? How do you view accretion from, whether it’s EBITDA, net income, or cash flow? How do you evaluate and view those in this kind of a market? It’s pretty tough. There are some opportunities, some small ones that will kick around, but it’s really hard to imagine much at this very second that’s hugely material and executable.

Nick Giles, Analyst, B. Riley Securities: Hey, I appreciate that. One more, and I promise I’ll let you go. I just wanted to ask about safety procedures in this current environment. I mean, you never get as much credit when it’s good, and you certainly do when it’s bad. In this government shutdown, it seems like MSHA is also shut down. How are you approaching safety? Is this MSHA shutdown really having any impact on your operations?

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: I would say this about MSHA and the shutdown. Portions of MSHA are shut down. The enforcement is still quite active. October, in particular, we’ve had a lot of MSHA activity at the mine, so they’re still very much engaged. From that perspective, we’re seeing no impact from, I guess, less enforcement and less monitoring of safety. Naturally, MSHA’s actions do not drive our safety performance. We drive our safety performance. We’ve had a couple of blips early in the quarter of safety performance that we were not terribly pleased with. The team has really responded and recovered. September was the best safety month we’ve had this year, and maybe, gosh, going back years, it was an excellent month. October has been very good as well. Again, outside forces do not drive our safety. We do. I think we’re in a really good spot right now.

Nick Giles, Analyst, B. Riley Securities: Guys, thanks again, and keep it up.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Yeah. Thanks a bunch.

Rob, Conference Operator: We have reached the end of the question and answer session. I will now turn the call over to Andy Eidson for closing remarks.

Andy Eidson, Chief Executive Officer, Alpha Metallurgical Resources: Thanks again, everyone, for joining us today. We appreciate your interest in Alpha, and we hope you all have a great rest of the day.

Rob, Conference Operator: This concludes today’s conference, and you may disconnect your lines at this time. Thank you for your participation.

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