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We are a recognized producer, global marketer and exporter of high-quality Met coals, supported by a diversified operating portfolio of three high-quality, long-life Met coal assets located in Australia and the United States, or U.S. Our coals are an essential ingredient in the production of steel using blast furnaces used in the manufacture of a wide range of everyday steel-based products.
The business is unprofitable at the operating level (-17.30% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue declined 22.4% YoY. Margins deteriorated 14.1pp alongside, both lines moving the wrong way.
ROIC dropped from -3.98% to -17.52%, capital efficiency is deteriorating. Negative free cash flow of -$325M. The business is consuming cash, not generating it.
Profitability & Returns
Revenue (TTM)
$1.96B
▼ -22.4% YoY
Net Income (TTM)
-$654M
▼ -296.8% YoY
Op. Margin
-18.49%
▼ -14.1pp YoY
ROIC
-20.83%
▼ -13.5pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$290M
▼ -86.5% YoY
Op. Cash Flow (TTM)
-$84M
▼ -208.0% YoY
Net Debt
$686M
Cash & Equiv.
$121M
5Y CAGR: +5.9%
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