10-Q · November 19, 2024
American Resources reported Q3 revenue of $235,443 and a net loss attributable to shareholders of $9,206,768 (net loss per share $0.12). Revenue collapsed versus the year-ago quarter ($5,828,526) driven by coal sales…
Earnings analysis · 10-K
AREC earnings analysis
Filed May 19, 2026 · Our reading of the company's report
The latest report
American Resources Corporation's 2025 10-K reflects its continued struggles with profitability after significant operational changes, including the spin-off of its American Infrastructure and ReElements segments. While…
Read full summary
American Resources Corporation's 2025 10-K reflects its continued struggles with profitability after significant operational changes, including the spin-off of its American Infrastructure and ReElements segments. While the company recorded a net income of $55.4 million due to gains from these spin-offs, its core operations remain troubled with significant losses from discontinued operations, accumulating substantial debts and negative investor sentiment.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.63
What stood out
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Spin-Off Gains Improve Net Income
The company's net income reached $55.4 million in 2025, primarily driven by gains from the spin-off of AIC and RLMT.
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Reduction in Operating Expenses
Total operating expenses decreased by approximately $2.9 million to $11.3 million in 2025, down from $14.3 million in 2024.
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Strong Cash Position
The company ended 2025 with $31.7 million in cash and cash equivalents, a significant increase from previous periods.
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Rationalization of Cost Structure
Management's efforts to minimize costs resulted in a reduction of general and administrative expenses from $11.4 million in 2024 to $9.6 million in 2025.
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Working Capital Strength
The company reported a positive working capital balance of $73 million as of December 31, 2025.
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Increased Interest Income
Interest income rose considerably to $577,526 in 2025 from $78,791 in 2024, reflecting improved asset management.
What to watch
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Ongoing Operational Losses
The company reported continuous losses from continuing operations amounting to $17.8 million in 2025, indicating ongoing operational issues.
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Liquidity Risks
Despite a strong cash position, significant operational losses raise concerns about future liquidity as ongoing capital will be required for operations.
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Legal Liabilities and Uncertain Outcomes
The company faces approximately $3.4 million in unpaid legal judgments which may adversely affect its financial health.
Management's outlook
Annual outlook deferred to earnings press release / call.
Earlier filings 4
10-Q · November 14, 2023
American Resources (AREC) reported Q3 revenue of $5,828,526 (down from $9,509,738 a year ago) but recorded net income of $3,483,635 and EPS of $0.05 versus a loss and $(0.08) EPS in Q3 2022. Liquidity improved…
10-Q · August 14, 2023
Q2 2023 results show a sharp drop in revenue to $1,980,688 (Q2 2022: $16,199,204; Q1 2023: $8,868,456) with severely negative gross and operating margins driven by operating losses of $7,030,545. The company materially…
10-Q · May 15, 2023
American Resources Corporation (AREC) reported a decline in revenue to $8.87 million in Q1 2023, down from $9.08 million in Q1 2022. Gross margin improved to 69.5%, but the company still posted a net loss of $3.10…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.