New Hope posts 22% earnings boost as coal prices plummet
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The news: Coal miner New Hope reported 22% growth in half-year underlying earnings before tax, as saleable coal production ran flat quarter on quarter.
The numbers: New Hope recorded underlying EBITDA of $517.3 million for the six months to January 2025, a 21.8% increase half over half.
Quarterly saleable production of 2.7 million tonnes was in line with the previous quarter. However, the half-year result of 5.4 million tonnes marked a 33% uptick on the prior corresponding period.
Meanwhile, realised pricing shrank during the first half, decreasing 12% year on year from $197.1 per tonne to $173.2 per tonne.
The context: New Hope noted that the thermal coal market is currently experiencing a phase of oversupply and weakened demand, creating downward pressure on pricing.
The company expects the market to "find a balance" through the 2025 calendar year. Gas prices remain high, it said, and continue to provide an opportunity for upside to thermal coal pricing on the back of any supply disruptions.
The source: ASX announcement
