Company: NC
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000789933-25-000041
Chunk: 99

Company: NACCO INDUSTRIES INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 2
Chunk 99
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 Falkirk in June 2024. 

First Six Months of 2025 Compared with First Six Months of 2024

Revenues increased 56.7% in the first six months of 2025 compared with the first six months of 2024 primarily due to an increase in customer requirements at MLMC. A boiler issue at the customer's Red Hills Power Plant reduced customer requirements in 2024. 

The following table identifies the components of change in Operating profit for the first six months of 2025 compared with the first six months of 2024:

 Operating Profit2024$2,350 Increase (decrease) from:Earnings of unconsolidated operations2,106 Gross loss1,508 Selling, general and administrative expenses(783)Amortization of intangibles(165)Net change on sale of assets(3)2025$5,013 

Operating profit increased by $2.7 million in the first six months of 2025 compared with the first six months of 2024 primarily due to an increase in earnings of unconsolidated operations and a decrease in gross loss. These improvements were partially offset by higher selling, general and administrative expenses. 

The increase in earnings of unconsolidated operations was primarily due to higher per ton management fees, mainly the result of temporary price concessions ending at Falkirk in June 2024, partially offset by lower customer demand at Coteau, Coyote and Falkirk. 

The improvement in gross loss at MLMC was primarily due to a reduction in the cost per ton delivered during the first six months of 2025 compared with the 2024 period. The reduction in cost per ton delivered was primarily attributable to an increase in the tons sold at MLMC in the first six months of 2025 due to the resolution of the boiler issue that impacted the customer's Red Hills Power Plant during 2024. 

The increase in selling, general and administrative expenses was mainly the result of higher employee-related costs. 

CONTRACT MINING SEGMENT

FINANCIAL REVIEW

Tons delivered by the Contract Mining segment were as follows for the three and six months ended June 30: 

THREE MONTHSSIX MONTHS 2025 20242025 2024Total tons delivered13,947 16,000 26,800 31,173 

23

The results of operations for the Contract Mining segment were as follows for the three and six months ended June 30: