Walter Energy sees reduced revenues amid lower coal prices in Q1

US-based coal producer Walter Energy has announced its financial results for the first quarter this year, reporting a net loss of $92.2 million, compared to a net loss of $49.4 million in the first quarter of 2013. In the given quarter, the company's sales revenues decreased by 15.8 percent year on year to $405.23 million, reflecting a decrease in average metallurgical coal selling prices of $25.62/mt and a decline of 200,000 mt in the metallurgical coal sales volume.
 
According to Walter Energy's statement, in the first quarter the metallurgical coal production of the company increased by 13.3 percent year on year to 3.12 million mt, while the sales volume amounted to 2.6 million mt, down 6.05 percent compared to the corresponding quarter of the previous year.
 
In April this year, Walter Energy announced plans to idle production at its mines in Canada. Taking into account the impact of idling these mines, full year 2014 metallurgical coal production is expected to stand between 9 and 10 million mt, and metallurgical coal sales are expected to amount to 10.5-11.5 million mt.