HNRG earnings analysis
What we found in HNRG's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Hallador reported Q2 revenue of $101.505 million, beating consensus by 13.82%, but diluted EPS of negative $0.32 materially missed the negative $0.10 estimate and deteriorated versus both Q1 2026 and Q2 2025. Liquidity resources improved, with cash and restricted cash of $34.9 million and undrawn debt availability of $55.3 million, but these amounts remain substantially below the approximately $338.8 million remaining turbine purchase obligation. The newly disclosed turbine financing, MISO approval, and logistics risks are significant, while no numeric revenue or EPS guidance was provided.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue beat estimates
- Q2 revenue was $101.505 million, 13.82% above the $89.178264 million consensus estimate. Revenue increased approximately 1.5% from approximately $100 million in Q1 2026 but declined approximately 1.5% from $103 million in Q2 2025.
- EPS materially missed estimates
- Diluted EPS was negative $0.32 versus the $0.10-per-share loss estimate, an unfavorable $0.22-per-share variance. EPS also worsened from negative $0.20 in Q1 2026 and positive $0.19 in Q2 2025.
- Debt capacity expanded
- Variable-rate indebtedness increased to $45.0 million at June 30, 2026, from $30.0 million at December 31, 2025, while the weighted-average variable interest rate declined to 7.11% from 8.17%.
- Liquidity resources increased
- Aggregate undrawn debt-facility availability increased to $55.3 million from $28.8 million at December 31, 2025. Cash and restricted cash also increased to $34.9 million from $15.4 million.
- Generation expansion advanced
- The company paid $8.2 million toward the turbine-equipment purchase price by June 30, 2026 and an additional $3.0 million after quarter end, supporting a proposed approximately 460 MW generation expansion.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Large unfunded turbine commitment
- The APA covers approximately $350.0 million of turbine equipment plus approximately $100.0 million of transportation, refurbishment, insurance, and logistics costs. The remaining purchase-price balance was approximately $338.8 million, versus total liquidity of $84.2 million at June 30, 2026, and financing commitments had not been secured.
- MISO approval and execution risk
- The turbine project depends on MISO approval of the ERAS application and other construction, permitting, financing, and regulatory contingencies. If the project does not proceed, the company may have to sell the equipment or project at a loss.
- Logistics cost and delay risk
- International and domestic transportation involves complex logistics, including ocean shipment, customs clearance, specialized heavy-lift transport, and refurbishment. The company estimates related costs of approximately $100.0 million, but actual costs could materially exceed that amount.
- Variable-rate interest exposure
- A 100-basis-point increase in SOFR would increase annual interest expense by approximately $0.5 million. The company had $45.0 million of variable-rate indebtedness at June 30, 2026 and held no interest-rate derivatives.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.32
What they said about what is next.
No numeric EPS or revenue guidance was disclosed in the supplied 10-Q text. Management disclosed a substantial turbine-equipment commitment and is evaluating financing alternatives; the previously reported gas-project budget was below $800 million.
The filing reads worse than the one before it.
What came before.
- 10-Q · May 6, 2026
- Hallador Energy Company reported its Q1 2026 results with revenue of $101.8 million, falling short of analyst expectations by 3%. EPS was reported at -$0.20, significantly lower than the forecasted -$0.12, reflecting…
- 10-K · March 12, 2026
- Hallador presents itself as a vertically integrated independent power producer and coal miner, operating Merom (a 1,080 MW coal-fired plant) and Sunrise coal mines to supply fuel. The filing highlights the proximity of…
- 10-Q · November 10, 2025
- Hallador Energy reported a strong Q3 2025 with revenue of $146,846,000 and diluted EPS of $0.55, materially ahead of the prior-year quarter. Income from operations rose to $29,059,000, driven by growth in both Electric…
- 10-Q · August 11, 2025
- Hallador Energy reported Q2 2025 revenue of $102.889M, up $9.064M (9.7%) versus Q2 2024, and returned to profitability with net income of $8.248M (diluted EPS $0.19). Operating income improved to $11.870M from an…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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