Natural Resource Partners (NYSE:NRP) Posts Earnings Results, Beats Estimates By $1.55 EPS

Natural Resource Partners (NYSE:NRP) issued its quarterly earnings data on Wednesday. The energy company reported $1.85 earnings per share for the quarter, beating analysts’ consensus estimates of $0.30 by $1.55, FiscalAI reports. Natural Resource Partners had a return on equity of 18.49% and a net margin of 61.28%.The firm had revenue of $52.97 million during the quarter, compared to analyst estimates of $37.70 million.

Here are the key takeaways from Natural Resource Partners’ conference call:

• NRP generated $42 million in second-quarter free cash flow and $163 million over the trailing 12 months before its soda ash investment. Management said the mineral rights segment remains a dependable cash generator across commodity cycles.
• The company repaid its bank revolver and has only $14 million of debt remaining, with the final scheduled payment due in December. Management expects to significantly increase common-unit distributions beginning with the payment planned for November.
• The soda ash market remains oversupplied, with weak flat-glass demand and international prices below most producers’ costs. NRP expects domestic soda ash prices to decline as 2027 contracts are negotiated, and does not expect distributions from Sisecam Wyoming to resume until demand improves or supply is reduced.
• Second-quarter net income was $25 million, while mineral rights net income was $36 million; mineral rights free cash flow was $45 million. Mineral rights earnings were pressured by higher depletion expense from revised mine plans, partly offset by higher metallurgical and thermal coal volumes and pricing.
• Management said thermal coal faces ongoing long-term pressure from increasingly competitive renewables, while higher oil prices can increase associated natural-gas production and weigh on North American thermal coal prices. Coal markets have modestly improved from their lows, but executives do not foresee a clear catalyst for a sharp price recovery.

Natural Resource Partners Trading Up 8.1%

Shares of NRP stock traded up $7.82 on Wednesday, reaching $104.76. 124,527 shares of the company’s stock were exchanged, compared to its average volume of 42,494. The company’s fifty day simple moving average is $100.56 and its 200 day simple moving average is $111.66. Natural Resource Partners has a 52 week low of $95.51 and a 52 week high of $128.60. The company has a current ratio of 2.09, a quick ratio of 2.09 and a debt-to-equity ratio of 0.07. The stock has a market capitalization of $1.39 billion, a PE ratio of 12.31 and a beta of 0.15.

Natural Resource Partners Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, August 25th. Investors of record on Tuesday, August 18th will be paid a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a dividend yield of 2.9%. The ex-dividend date of this dividend is Tuesday, August 18th. Natural Resource Partners’s dividend payout ratio (DPR) is currently 35.25%.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings cut Natural Resource Partners from a “buy (b)” rating to a “hold (c+)” rating in a report on Monday, May 18th. One analyst has rated the stock with a Hold rating, Based on data from MarketBeat.com, the company has an average rating of “Hold”.

Insider Buying and Selling

In other Natural Resource Partners news, EVP Kevin J. Craig bought 336 shares of Natural Resource Partners stock in a transaction on Tuesday, May 26th. The shares were acquired at an average price of $102.18 per share, for a total transaction of $34,332.48. Following the completion of the purchase, the executive vice president directly owned 47,019 shares in the company, valued at approximately $4,804,401.42. This trade represents a 0.72% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 35.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in NRP. NewEdge Advisors LLC lifted its holdings in Natural Resource Partners by 144.0% during the 2nd quarter. NewEdge Advisors LLC now owns 266 shares of the energy company’s stock valued at $25,000 after buying an additional 157 shares in the last quarter. Raymond James Financial Inc. purchased a new position in shares of Natural Resource Partners during the second quarter worth approximately $137,000. Jump Financial LLC raised its stake in shares of Natural Resource Partners by 8.1% during the second quarter. Jump Financial LLC now owns 2,444 shares of the energy company’s stock valued at $233,000 after acquiring an additional 184 shares in the last quarter. BNP Paribas Financial Markets raised its stake in shares of Natural Resource Partners by 128.0% during the second quarter. BNP Paribas Financial Markets now owns 2,850 shares of the energy company’s stock valued at $272,000 after acquiring an additional 1,600 shares in the last quarter. Finally, Susquehanna Portfolio Strategies LLC purchased a new stake in shares of Natural Resource Partners in the fourth quarter valued at approximately $334,000. 31.77% of the stock is currently owned by institutional investors.

About Natural Resource Partners

Natural Resource Partners LP (NYSE: NRP) is a master limited partnership that acquires and manages royalty and other mineral interests in coal and other natural resources across North America and Australia. The partnership was formed in 2010 as a spin-out from a major U.S. coal producer and is headquartered in Fairmont, West Virginia. Its core business model centers on owning gross proceeds interests, gross royalty proceeds interests and fee minerals, which provide the right to receive a portion of revenues from mining and mineral production without operating the mines directly.

NRP’s U.S.