Alliance Resource Partners, L.P. today reported lower net income for the quarter ended March 31, 2007, claiming the loss was seen primarily due to higher depreciation, depletion and amortization expense resulting from recent capital expenditures related to ARLP’s growth initiatives.
The quarter saw net income decrease to $45.5 million, or $1.03 of adjusted net income per diluted limited partner unit, compared to net income of $48.2 million, or $1.18 of adjusted net income per diluted limited partner unit, for 2006 Quarter.
Revenues in the 2007 Quarter increased 7.9 percent to $257.1 million, compared to revenues of $238.3 million in the 2006 Quarter. Increased revenues were primarily attributable to record average coal sales prices of $38.66 per ton during the 2007 Quarter, an increase of $2.90 per ton compared to the 2006 Quarter. Revenues also benefited from higher coal sales volumes, which increased to 6.2 million tons of coal sold during the 2007 Quarter, compared to 6.1 million tons sold during the 2006 Quarter.
ARLP also announced that the Board of Directors of its managing general partner declared a quarterly cash distribution of $0.54 per unit for the 2007 Quarter. The distribution, which equates to an annualized rate of $2.16 per unit, will be paid on May 15, 2007, to all unitholders of record as of May 8, 2007.