Coronado Global Resources (CRN) Q1 2026 earnings summary

Executive summary

• Entered 2026 with higher leverage after a multi-year expansion, initiating a structural business reset focused on cash flow improvement, mine plan optimization, productivity enhancements, and contract management, supported by AlixPartners.

• Buchanan more than doubled EBITDA to $30M quarter-over-quarter, despite weak pricing, following successful expansion and operational improvements.

• Focused on restoring sustainable cash generation, improving operating performance, and enhancing cost discipline across all sites.

• Safety remains a top priority following two fatal incidents, with intensified group-wide initiatives, ongoing investigations, and enhanced risk management.

• Planned maintenance and operational activities completed at Curragh and Buchanan, positioning for stronger production in the remainder of 2026.

Financial highlights

• Group average realized metallurgical coal price increased 11.2% quarter-over-quarter to $165.4/t, with export sales rising to 74% of total volumes.

• Realized pricing improved 9.1% to $133.2/t, excluding a $10/t benefit from Stanwell payments credited to the balance sheet.

• ROM production down 21.7% year-over-year to 5.4 Mt; saleable production down 30.7% to 3.0 Mt.

• Mining cash cost per tonne produced rose 40.6% quarter-over-quarter to $135.3/t, driven by lower volumes and fixed-cost absorption.

• Available liquidity at quarter-end was $121M in cash, with $95M in working capital levers fully available.

• Stanwell reset transaction delivered ~$50 million in cash benefit during the quarter via prepayments and rebate forgiveness.

Outlook and guidance

• Q1 reflected planned maintenance and seasonal phasing; operational run rates and unit costs are expected to support full-year guidance.

• Expecting cash flow uplift in Q2 from March index pricing (~$35/t) and improved production rates.

• Forward pricing remains supportive, with PLV HCC benchmark at ~$230/t into mid-2026.

• Production and cost guidance unchanged, subject to FX movements; Q2 performance expected to improve sequentially.

• No new large-scale capital programs planned; focus remains on cash preservation and balance sheet improvement.