Alpha Natural Resources, the world's third-largest maker of metallurgical coal, reported a second-quarter loss of $56.4 million due to its $7.1 million purchase earlier this year of rival Massey Energy. On an EBITDA basis, Alpha Natural reported a profit of $361.9 million compared with $202.1 million a year earlier.
Virginia-based Alpha Natural (ANR) sold 4.4 million tons of metallurgical coal at an average price of $176 a ton during the quarter, topping the consensus estimate by $10 a ton, according to the Wall Street Journal. Revenue rose 59% to $1.59 billion, the company said in a statement.
While the Massey purchase weighed on Alpha Natural's second-quarter profits, the company said it expects acquisition-related benefits of between $220 million and $260 million by mid-2013, up from a prior estimate of $150 million, the Journal reported. The company also said it was not looking at any further acquisitions in the near-term.
Alpha Natural raised its cost guidance for the full year to $69-$73 a ton, $6.50 a ton above previous estimates. Shares of Alpha Natural plunged 17% today on volume that was more than double the daily average.