Alpha Natural Resources profit soarsadmin
Alpha Natural Resources shares rallied after the mine operator said its first-quarter profit more than tripled on surging coal prices.
The Abingdon, Va.-based company earned $25.5 million, or 39 cents per share, compared with $8.3 million, or 13 cents per share, a year earlier. Revenue was up 20 percent to $516.9 million. Analysts polled by Thomson Financial expected earnings of 17 cents per share on revenue of $487.8 million.
Alpha, which operates mines in West Virginia, Virginia, Kentucky and Pennsylvania, said revenue per ton increased 13 percent to $65.04 in the quarter.
“It was a pretty remarkable start to the year,” Chief Executive Mike Quillen told analysts during a conference call. “We see no letup in demand,” he added.