Hallador Energy Company (HNRG) Q3 2025 Earnings Call Transcript
Revenue Increased 40% year-over-year to $146.8 million for the third quarter, driven by favorable summer weather patterns, increased energy demand, and higher natural gas prices.
Net Income Increased substantially to $23.9 million compared to $1.6 million in the prior year period, reflecting improved energy pricing and operational efficiencies.
Adjusted EBITDA Increased 1.6x to $24.9 million for the third quarter compared to $9.6 million in the prior year period, supported by favorable energy pricing and improved coal production efficiencies.
Electric Sales Increased 29% to $93.2 million compared to $72.1 million in the prior year period, benefiting from traditional summer weather patterns, increased energy demand, and higher natural gas prices.
Coal Sales Increased 42% to $68.8 million for the third quarter compared to $48.3 million in the prior year period, driven by increased shipments to customers and favorable power markets.
Operating Cash Flow Increased to $23.2 million compared to cash used of $12.9 million in the prior year period, primarily driven by favorable energy pricing, improved coal production efficiencies, and a $20 million prepaid forward power sales contract.
Capital Expenditures (CapEx) Increased to $19.5 million during the third quarter of 2025 compared to $11.6 million in the year-ago period, reflecting ongoing investments in operations and infrastructure.
Electricity Delivered 1.6 million megawatt hours during the third quarter of 2025 at an average sales price of $49.29 per megawatt hour, compared to 1.2 million megawatt hours at $47.55 per megawatt hour during the same period in 2024.
Coal Production Produced 3.1 million tons through the first 9 months of 2025, with an expectation to produce approximately 3.8 million tons for the full year, supported by operational consistency and increased shipments.
Trade with 70% Backtested Accuracy
Analyst Views on HNRG
About HNRG
About the author
Hallador and Transocean Options Trading Active
- Hallador Options Volume: Hallador Energy Co (HNRG) has seen an options volume of 3,388 contracts today, representing approximately 338,800 underlying shares, which is 55.5% of its average daily trading volume of 610,135 shares over the past month, indicating a significant increase in market interest.
- High Volume Contracts: Notably, the $19 strike call option expiring on May 15, 2026, has recorded 1,207 contracts traded today, equating to about 120,700 underlying shares, suggesting heightened investor expectations for future price increases.
- Transocean Options Volume: Transocean Ltd (RIG) has reported an options volume of 200,046 contracts today, representing approximately 20 million underlying shares, which is 54.7% of its average daily trading volume of 36.6 million shares over the past month, reflecting strong market activity.
- High Volume Contracts: The $7 strike call option expiring on January 15, 2027, has seen 33,333 contracts traded today, representing about 3.3 million underlying shares, indicating optimistic sentiment among investors regarding the stock's future performance.
Utility Companies EPS Revision Grades Highlighted Ahead of Earnings Season
- EPS Revision Grades: Artesian Resources, Consolidated Water, and Clearway Energy all received an A+ EPS revision grade, indicating growing market confidence in their near-term performance ahead of earnings season.
- Small-Cap Utility Performance: Hallador Energy and Spire also achieved A+ EPS revision grades, suggesting that these mid- and small-cap utility companies may outperform in the upcoming earnings reports, drawing investor interest.
- Market Confidence Boost: Brookfield Infrastructure and Genie Energy received A grades for their EPS revisions, reflecting analysts' optimistic outlook on their future profitability, which could drive stock prices higher.
- Industry Outlook: Algonquin Power & Utilities and Suburban Propane Partners both earned A grades, indicating that the utility sector may show outperforming results in 2026, attracting more investor attention.
Hallador Energy (HNRG) Prices $50M Public Offering at $18.00 per Share
- Offering Pricing: Hallador Energy announced the pricing of its public offering at $18.00 per share for approximately $50M, issuing 2,777,778 shares, despite a pre-market decline of 7.95% to $18.98, indicating market caution regarding the financing.
- Underwriter Option: The company granted underwriters a 30-day option to purchase up to an additional 416,666 shares, enhancing liquidity and investor participation in the stock.
- Use of Proceeds: The net proceeds from this offering are intended for general corporate purposes, which may include funding certain initial financial commitments, reflecting the company's strategic intent for expansion and investment.
- Expected Closing Date: The public offering is expected to close on or about January 15, 2026, indicating the company's anticipation of future market conditions and the urgency of its funding needs.
Hallador Energy Company Prices 2.78M Share Offering at $18, Raising $50M
- Offering Pricing: Hallador Energy Company has priced its public offering of 2,777,778 shares at $18 each, expecting to raise approximately $50 million, indicating stable market demand for its stock.
- Underwriter Selection: Texas Capital Securities is acting as the sole bookrunner for the offering, with Northland Capital Markets and A.G.P./Alliance Global Partners as co-managers, ensuring professionalism and efficiency in the issuance process.
- Planned Use of Proceeds: Hallador intends to use the net proceeds from the offering for general corporate purposes, including funding initial financial commitments for its planned natural gas generating facility, highlighting the company's focus on future expansion.
- Registration Statement Validity: The securities are being offered under an automatic shelf registration statement filed on January 13, 2026, ensuring compliance and transparency in the offering, which enhances investor confidence.
Hallador Energy (HNRG) Plans $50M Public Offering of Common Stock
- Public Offering Plan: Hallador Energy plans to offer $50 million of its common stock, with all shares issued by the company, which is expected to strengthen its capital structure and support future expansions.
- Underwriter Option: Underwriters are granted a 30-day option to purchase up to an additional 15% of shares, a flexibility that may attract more investor participation and enhance market confidence.
- Clear Use of Proceeds: The company intends to use net proceeds for general corporate purposes, including initial commitments for equipment to support a planned natural gas generating facility, which will help enhance its generation capacity and market competitiveness.
- Strong Market Demand: Amid robust market demand, Hallador Energy is seeking a 50% generation capacity expansion through its ERAS application, indicating the company's positive outlook for future growth.
Top Strong Buy Stocks for December 19: HNRG, PSX, and Others
Zacks Rank #1 Stocks: Five stocks have been added to the Zacks Rank #1 (Strong Buy) List, including Phillips 66, MongoDB, Hallador Energy, SiriusPoint, and John B. Sanfilippo & Son, all of which have seen significant increases in their earnings estimates over the past 60 days.
Earnings Estimate Increases: Hallador Energy Company leads with an 84.9% increase in its earnings estimate, followed by MongoDB at 27%, Phillips 66 at 15.7%, SiriusPoint at 7.6%, and John B. Sanfilippo & Son at 7.8%.
Investment Recommendations: Zacks Investment Research has highlighted their top five stock recommendations with potential for significant returns, suggesting that one stock may outperform previous successful picks.
Access to Reports: Free stock analysis reports for the highlighted companies are available, along with an invitation to download a report on the "7 Best Stocks for the Next 30 Days."
Hallador and Transocean Options Trading Active
- Hallador Options Volume: Hallador Energy Co (HNRG) has seen an options volume of 3,388 contracts today, representing approximately 338,800 underlying shares, which is 55.5% of its average daily trading volume of 610,135 shares over the past month, indicating a significant increase in market interest.
- High Volume Contracts: Notably, the $19 strike call option expiring on May 15, 2026, has recorded 1,207 contracts traded today, equating to about 120,700 underlying shares, suggesting heightened investor expectations for future price increases.
- Transocean Options Volume: Transocean Ltd (RIG) has reported an options volume of 200,046 contracts today, representing approximately 20 million underlying shares, which is 54.7% of its average daily trading volume of 36.6 million shares over the past month, reflecting strong market activity.
- High Volume Contracts: The $7 strike call option expiring on January 15, 2027, has seen 33,333 contracts traded today, representing about 3.3 million underlying shares, indicating optimistic sentiment among investors regarding the stock's future performance.
Utility Companies EPS Revision Grades Highlighted Ahead of Earnings Season
- EPS Revision Grades: Artesian Resources, Consolidated Water, and Clearway Energy all received an A+ EPS revision grade, indicating growing market confidence in their near-term performance ahead of earnings season.
- Small-Cap Utility Performance: Hallador Energy and Spire also achieved A+ EPS revision grades, suggesting that these mid- and small-cap utility companies may outperform in the upcoming earnings reports, drawing investor interest.
- Market Confidence Boost: Brookfield Infrastructure and Genie Energy received A grades for their EPS revisions, reflecting analysts' optimistic outlook on their future profitability, which could drive stock prices higher.
- Industry Outlook: Algonquin Power & Utilities and Suburban Propane Partners both earned A grades, indicating that the utility sector may show outperforming results in 2026, attracting more investor attention.
Hallador Energy (HNRG) Prices $50M Public Offering at $18.00 per Share
- Offering Pricing: Hallador Energy announced the pricing of its public offering at $18.00 per share for approximately $50M, issuing 2,777,778 shares, despite a pre-market decline of 7.95% to $18.98, indicating market caution regarding the financing.
- Underwriter Option: The company granted underwriters a 30-day option to purchase up to an additional 416,666 shares, enhancing liquidity and investor participation in the stock.
- Use of Proceeds: The net proceeds from this offering are intended for general corporate purposes, which may include funding certain initial financial commitments, reflecting the company's strategic intent for expansion and investment.
- Expected Closing Date: The public offering is expected to close on or about January 15, 2026, indicating the company's anticipation of future market conditions and the urgency of its funding needs.
Hallador Energy Company Prices 2.78M Share Offering at $18, Raising $50M
- Offering Pricing: Hallador Energy Company has priced its public offering of 2,777,778 shares at $18 each, expecting to raise approximately $50 million, indicating stable market demand for its stock.
- Underwriter Selection: Texas Capital Securities is acting as the sole bookrunner for the offering, with Northland Capital Markets and A.G.P./Alliance Global Partners as co-managers, ensuring professionalism and efficiency in the issuance process.
- Planned Use of Proceeds: Hallador intends to use the net proceeds from the offering for general corporate purposes, including funding initial financial commitments for its planned natural gas generating facility, highlighting the company's focus on future expansion.
- Registration Statement Validity: The securities are being offered under an automatic shelf registration statement filed on January 13, 2026, ensuring compliance and transparency in the offering, which enhances investor confidence.
Hallador Energy (HNRG) Plans $50M Public Offering of Common Stock
- Public Offering Plan: Hallador Energy plans to offer $50 million of its common stock, with all shares issued by the company, which is expected to strengthen its capital structure and support future expansions.
- Underwriter Option: Underwriters are granted a 30-day option to purchase up to an additional 15% of shares, a flexibility that may attract more investor participation and enhance market confidence.
- Clear Use of Proceeds: The company intends to use net proceeds for general corporate purposes, including initial commitments for equipment to support a planned natural gas generating facility, which will help enhance its generation capacity and market competitiveness.
- Strong Market Demand: Amid robust market demand, Hallador Energy is seeking a 50% generation capacity expansion through its ERAS application, indicating the company's positive outlook for future growth.
Top Strong Buy Stocks for December 19: HNRG, PSX, and Others
Zacks Rank #1 Stocks: Five stocks have been added to the Zacks Rank #1 (Strong Buy) List, including Phillips 66, MongoDB, Hallador Energy, SiriusPoint, and John B. Sanfilippo & Son, all of which have seen significant increases in their earnings estimates over the past 60 days.
Earnings Estimate Increases: Hallador Energy Company leads with an 84.9% increase in its earnings estimate, followed by MongoDB at 27%, Phillips 66 at 15.7%, SiriusPoint at 7.6%, and John B. Sanfilippo & Son at 7.8%.
Investment Recommendations: Zacks Investment Research has highlighted their top five stock recommendations with potential for significant returns, suggesting that one stock may outperform previous successful picks.
Access to Reports: Free stock analysis reports for the highlighted companies are available, along with an invitation to download a report on the "7 Best Stocks for the Next 30 Days."
