Alliance Resource Partners LP (ARLP) saw its stock surge 5.21% in pre-market trading on Monday after the company reported better-than-expected third-quarter results and provided an optimistic outlook for the remainder of 2025. The coal producer's strong performance was driven by increased coal sales volumes and improved operational efficiency.

For the third quarter, Alliance Resource Partners reported earnings per share of $0.73, surpassing the analyst consensus estimate of $0.64. Revenue for the quarter came in at $571.4 million, beating the expected $568.9 million. The company attributed the strong results to higher coal sales volumes and infrastructure investments that enhanced operational performance, particularly at its Tunnel Ridge and Hamilton mines.

Looking ahead, Alliance Resource Partners tightened its 2025 coal sales volume guidance to 32.5-33.25 million short tons and expects coal sales prices to range between $58-$60 per ton. The company also updated its capital expenditure forecast for the year to $285-320 million. These positive indicators, coupled with the company's ability to maintain its quarterly cash distribution of $0.60 per unit, have boosted investor confidence in Alliance Resource Partners' future prospects.