Walter Energy beats by $0.03, reports revs in-line; guides FY14
Reports Q3 (Sep) adj. loss of $1.58 per share, $0.03 better than the Capital IQ Consensus Estimate of ($1.61); revenues fell 27.7% year/year to $329.5 mln vs the $330.37 mln consensus, reflecting a decrease in average met coal selling prices of $22.57 per metric ton ("MT") and a decline in met coal sales of 0.5 million metric tons ("MMTs"). Third quarter results also reflected a reduction in met coal cash cost of sales of $22.04 per ton and a 24% reduction in selling, general and administrative ("SG&A") expenses.
adj. EBITDA $0.2 mln vs. $21.3 mln lat year.
Outlook
The Company expects full-year 2014 met coal production of ~9.5 MMTs, within the range previously provided by the Company. Cash cost of sales per ton for the Company's Alabama underground mines is expected to average approximately $96 per MT for the full year, down from the Company's previous target of approximately $100 per MT. Full-year 2014 met coal sales volumes are expected to total ~ 10.0 MMTs, within the previously provided range.