Alliance Resource Partners Reports Year-End Financial Results for 2025

Alliance Resource Partners Reports Year-End Financial Results

Alliance Resource Partners, L.P. (ARLP) has released its financial results for the year ended December 31, 2025, showcasing a net income attributable to ARLP of $311.2 million, or $2.40 per basic and diluted limited partner unit. This compares to $360.9 million, or $2.77 per unit, for the year ended December 31, 2024. Total revenues for 2025 were $2.19 billion, a decrease of 10.4% from $2.45 billion in the prior year, primarily due to lower coal sales pricing and transportation revenues. Segment Adjusted EBITDA, a non-GAAP measure used by management to assess operating performance, totaled $781.9 million, a slight decrease of 1.8% compared to $796.5 million in 2024.

The company's coal operations experienced varied performance. Illinois Basin Coal Operations saw a 3.6% decrease in Segment Adjusted EBITDA, while Appalachia Coal Operations experienced an 18.5% decrease. The Oil & Gas Royalties segment reported a slight increase in Segment Adjusted EBITDA, and the Coal Royalties segment saw a 20.2% increase. Coal sales volumes were 33.0 million tons, a slight decrease from 33.3 million tons in 2024. Coal production volumes increased to 33.2 million tons from 32.2 million tons in the previous year. Oil & gas production volumes, measured in barrels of oil equivalent (BOE), increased by 7.2% to 3.65 million BOE.

ARLP continued to execute its strategy of expanding its mineral interests, completing the Elk Range Acquisition on October 31, 2025, for $10.0 million. This acquisition added approximately 190 oil & gas net royalty acres in the Midland and Delaware Basins. The company also increased its investment in Infinitum Electric, Inc. to $82.5 million and funded $17.3 million of its $25 million commitment to Gavin Generation Holdings A, LP. These investments are aimed at positioning ARLP for long-term growth in energy and related infrastructure.

Looking ahead, ARLP is targeting total capital expenditures between $280 million and $300 million for 2026. The company also declared a quarterly distribution of $0.60 per unit, totaling $77.1 million, on all outstanding common units, payable on February 13, 2026, to unitholders of record on February 6, 2026. As of December 31, 2025, ARLP had approximately 586.3 million tons of coal mineral reserves and 1.07 billion tons of coal mineral resources. The company also reported approximately 70,000 net royalty acres in premier oil & gas producing regions in the United States, including approximately 4,000 net royalty acres attributable to its equity interest in AllDale III.