Hallador Energy (NASDAQ:HNRG) Releases Earnings Results, Misses Estimates By $0.18 EPS

Hallador Energy (NASDAQ:HNRG) posted its earnings results on Monday. The energy company reported ($0.10) earnings per share for the quarter, missing analysts’ consensus estimates of $0.08 by ($0.18), FiscalAI reports. The business had revenue of $130.25 million during the quarter, compared to analysts’ expectations of $118.25 million. Hallador Energy had a negative net margin of 0.20% and a negative return on equity of 0.52%.

Here are the key takeaways from Hallador Energy’s conference call:

• Merom generated more than 1.4 million MWh in the quarter, and availability reached 80% in August and September after its major maintenance outage. Hallador said it is investing in reliability as energy and capacity prices rise; about 95% of Merom’s accredited capacity is contracted through 2035, with blended capacity and energy prices increasing to $59/MWh in 2027.
• Third-quarter results weakened year over year: revenue fell to $130.3 million from $146.6 million, Hallador recorded a $4.5 million net loss versus net income of $23.9 million, and adjusted EBITDA declined to $17.3 million from $24.9 million. Operating cash flow was negative $21.8 million, with higher power-purchase costs contributing to the EBITDA decline.
• Hallador is targeting a final investment decision on Turtle Creek before year-end and commercial operation in the second half of 2028; the turbines have been exported and the MISO interconnection study is complete. Management estimates the roughly $800 million project could reach about $1.6 billion in value after contracting and construction, but this is an estimate, not guidance.
• Turtle Creek still lacks a signed offtake agreement and executed interconnection agreement, and Hallador has not secured all the additional capital needed. The $600 million construction facility includes $550 million funded at closing, carries a 3.5% cash interest rate on drawn funds, and management expects reported losses to widen before the plant operates; the company may use additional debt, equity, project financing, or a partial asset sale.

Hallador Energy Trading Up 4.9%

HNRG traded up $0.49 on Monday, reaching $10.59. 1,750,043 shares of the company traded hands, compared to its average volume of 840,582. Hallador Energy has a one year low of $8.85 and a one year high of $24.70. The firm has a fifty day simple moving average of $13.50 and a two-hundred day simple moving average of $16.28. The company has a market cap of $499.21 million, a P/E ratio of 529.50 and a beta of 0.47. The company has a quick ratio of 0.24, a current ratio of 0.72 and a debt-to-equity ratio of 0.21.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on HNRG. Wall Street Zen cut Hallador Energy from a “sell” rating to a “strong sell” rating in a report on Saturday, August 15th. Weiss Ratings downgraded Hallador Energy from a “hold (c-)” rating to a “sell (d-)” rating in a research report on Tuesday, August 18th. Zacks Research lowered shares of Hallador Energy from a “hold” rating to a “strong sell” rating in a research note on Wednesday, August 12th. Northland Securities set a $27.00 price objective on shares of Hallador Energy in a research report on Tuesday, October 6th. Finally, Alliance Global Partners upgraded shares of Hallador Energy to a “strong-buy” rating in a report on Friday, August 14th. Two analysts have rated the stock with a Strong Buy rating, two have given a Buy rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $24.88.

About Hallador Energy

Hallador Energy Company (NASDAQ:HNRG) is an energy company focused primarily on the production and sale of thermal coal. Through its subsidiaries, the company operates coal mining assets in the Illinois Basin, supplying coal to electric power generators and other utility customers.

Hallador’s principal operations have included Sunrise Coal, which manages underground and surface mining activities in Indiana. The company’s coal products are used mainly for electricity generation, with sales serving utility markets in the Midwestern United States.

In addition to coal mining, Hallador has expanded into power generation through its ownership of the Merom Generating Station in Indiana.