May 7, 2026 - Core Natural Resources, Inc. (NYSE: CNR) ("Core" or the "company") has reported net income of $21.0 million, or $0.41 per diluted share, in the first quarter of 2026. Additionally, Core reported adjusted EBITDA¹ of $179.9 million in the quarter. Revenues totaled $1.1 billion in Q1.

"I am pleased to report that Core is beginning to demonstrate the true potential of the combined platform," said Jimmy Brock, Core's chair and chief executive officer. "During Q1, Core's operations executed at a high level, led by strong performances at Leer South and West Elk, while again deploying substantial free cash flow to our capital return program. The metallurgical segment achieved a significant, quarter-over-quarter increase in sales margins, underpinned by a substantial step-down in its cash cost of coal sold per ton, and the high calorific value thermal segment again delivered solid sales margins even as it navigated elevated electricity costs at the Pennsylvania Mining Complex stemming from this winter's Arctic outbreak as well as several weeks of challenging geology at the PAMC. Most importantly, the team continued to operate in tight alignment with our core values – safety and compliance, continuous improvement, and financial performance. Looking ahead, we expect to maintain this positive momentum in pursuit of operational excellence across the entire enterprise."

Operational and Marketing Update

During the first quarter of 2026, Core's high calorific value thermal segment had coal sales of 7.7 million tons and achieved realized coal revenue per ton sold¹ of $58.86, with both sales volumes and realized pricing generally in line with the previous quarter's results. The segment had cash cost of coal sold per ton¹ of $42.56, which was modestly higher than in the previous quarter due to the previously discussed power price spikes and short-term (and now past) geologic challenges at the PAMC.

In Core's metallurgical segment, coking coal sales totaled 2.1 million tons in Q1 and thermal byproduct sales totaled 0.3 million tons. The segment achieved realized coal revenue per ton sold¹ for coking coal of $122.11, which was 7 percent higher than during the previous quarter due principally to an increased percentage of sales linked to Premium Low-Vol pricing. Realized coal revenue per ton sold¹ for the metallurgical segment as a whole was $112.03. The metallurgical segment reported a cash cost of coal sold per ton¹ of $92.35, which was 11 percent lower than in the previous quarter.

In the Powder River Basin segment, Q1 sales volumes totaled 11.9 million tons, which represented a step-down from the previous quarter's volume levels due to reduced shipments in the face of a relatively temperate winter overall. Realized coal revenue per ton sold¹ was $14.39 and cash cost of coal sold per ton¹ came in at $13.64, which was generally in line with the previous quarter despite the lower volume levels.

Financial, Liquidity, and Capital Return Update

During Q1 2026, Core generated net cash provided by operating activities of $119.4 million and free cash flow¹ of $55.5 million.

Core's capital return framework targets the return to stockholders of around 75 percent of free cash flow¹, with the significant majority of that return directed to share repurchases complemented by a sustaining quarterly dividend of $0.10 per share. During Q1 2026, the company invested $41.9 million to repurchase 464,600 shares of its common stock at an average share price of $90.23. Core has now invested a total of $266.2 million to repurchase 3.6 million shares of common stock, or roughly 6.6 percent of total shares outstanding as of the program's launch, at an average share price of $74.92, and a total of $292.1 million, inclusive of dividend payments, in the capital return program overall.

Since the inception of its capital return program in February 2025, Core has returned approximately 97 percent of its free cash flow¹ to stockholders via its capital return program. As of March 31, 2026, Core had $733.8 million of remaining authorization under its existing $1.0 billion share repurchase program.

In addition, the board declared a $0.10 per share quarterly dividend payable on June 12, 2026, to stockholders of record on May 29, 2026.

"Looking ahead, we expect to build on the strong free cash flow generation achieved in the first quarter of 2026, supported by the anticipation of further improvements in our operational execution and cost performance in key operating segments; the expectation of significant incremental insurance proceeds related to last year's combustion event at Leer South; and our strong book of contracted business, particularly in the high calorific value thermal segment," said Mitesh Thakkar, Core's president and chief financial officer. "We expect that strong outlook for free cash flow generation to drive another year of robust capital returns to our stockholders, anchored by share repurchases."

At March 31, 2026, Core had total liquidity of $935 million, including $413 million in cash and cash equivalents.

Market Update

Market conditions are highly dynamic in global energy markets at present.

Despite continuing growth in U.S. electricity demand, particularly in the most coal-dependent regions, thermal coal consumption retraced during Q1 in the face of relatively mild weather and weak natural gas prices. Still, Core views the outlook for domestic thermal coal demand as promising, as U.S. grid operators prepare for robust power demand growth through the remainder of the decade, spurred by the AI-driven data center build-out. With the U.S. coal fleet still operating at a capacity factor of less than 50 percent – and with the Trump Administration moving aggressively to ensure the long-term viability of the U.S. coal fleet – Core expects U.S. thermal coal markets to expand and strengthen in coming quarters.

While global economic uncertainty has weighed on metallurgical markets in recent months, the ongoing rationalization of high-cost supply coupled with the aftereffects of weather-related disruptions in Australia continue to provide a level of support to these markets, while at the same time highlighting the fragility of the global supply chain. Looking ahead, Core expects the ongoing, steel-dependent build-out of Southeast Asian economies – along with sustained investment in new blast furnace capacity across that region – to support a constructive, long-term market outlook for high-quality coking coals.

Importantly, Core continues to capitalize on the ability to direct its exceptionally high-rank thermal coals to the most advantageous segments of the seaborne market at a time of historic volatility in energy markets.

Outlook

"As anticipated, we believe we have reached an inflection point in Core's operational and financial execution," Brock stated. "With the entire operating platform now performing at a high level, we expect to generate substantial amounts of free cash flow for deployment in our capital return program in future quarters, while continuing to demonstrate Core's ability to create stockholder value in a wide range of market environments. At the same time, our diversified portfolio of world-class assets – in concert with our extensive and strategic logistical network – should continue to position us to capitalize on the most compelling market opportunities in today's highly dynamic energy markets, including resurgent power demand growth here in the United States, tightening global energy markets, and the ongoing infrastructure build-out in the developing world."

1 - Adjusted EBITDA and Free Cash Flow are non-GAAP financial measures and Realized Coal Revenue per Ton Sold and Cash Cost of Coal Sold per Ton are operating ratios derived from non-GAAP financial measures, each of which is reconciled to the most directly comparable GAAP financial measures below, under the caption "Reconciliation of Non-GAAP Financial Measures." Cash Margin per Ton Sold is an operating ratio derived from non-GAAP financial measures and is defined as realized coal revenue per ton sold less cash cost of coal sold per ton.

Availability of Additional Information

Please refer to our website, www.corenaturalresources.com, for additional information regarding the company. In addition, we may provide other information about the company from time to time on our website.

Investors seeking our detailed financial statements can refer to the Quarterly Report on Form 10-Q once it has been filed with the Securities and Exchange Commission ("SEC").

About Core Natural Resources, Inc.

Core Natural Resources, Inc. (NYSE: CNR) is a world-class producer of high-quality metallurgical and high calorific value thermal coals for the global marketplace. Core's highly skilled workforce operates a best-in-sector portfolio of large-scale, low-cost longwall mines, including the Pennsylvania Mining Complex, Leer, Leer South, and West Elk mines, along with one of the world's largest and most productive surface mines, Black Thunder. The company plays an essential role in meeting the world's growing need for steel, infrastructure, and energy, while simultaneously serving the resurgent requirements of the U.S. power generation fleet. Core has an extensive and strategic logistical network – anchored by ownership positions in two East Coast marine export terminals – that provides reliable and efficient access to seaborne coal markets. The company's deeply ingrained culture is grounded in safety and compliance, continuous improvement, and financial performance, with an emphasis on stakeholder engagement and stockholder returns. Core was created in January 2025 via the merger of long-time industry leaders CONSOL Energy and Arch Resources and is based in Canonsburg, Pennsylvania.

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