New Hope Corporation Ltd (ASX: NHC) shares are heading north after the coal miner released its FY26 results on Tuesday.
At the time of writing, the New Hope share price is up 2.55% to $6.44, just below its 52-week high of $6.49.
It's been a strong run for the stock, and today's gain has taken it even closer to a new high.
And while profit fell from last year, there were still a few things investors seemed to like.
So, what stood out?
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Production keeps climbing
One of the better parts of the update was the continued lift in coal production.
New Hope produced 11.5 million tonnes of saleable coal during FY26, up 7.6% from a year earlier.
Coal sales rose even faster, climbing 11.8% to 11.8 million tonnes.
Bengalla produced 8.2 million tonnes on New Hope's 80% interest basis, while New Acland lifted production 17.3% to 3.3 million tonnes.
But the higher volumes weren't enough to make up for weaker coal prices.
New Hope's average realised coal price fell 10% to $145.20 per tonne, while group FOB cash costs increased 7.9% to $88.90 per tonne.
That hit earnings pretty hard, with underlying EBITDA falling 32.8% to $514.3 million.
Net profit after tax (NPAT) came in at $161 million, down 63.4% from the previous year.
Cash is still coming in
Even with profit down, New Hope still brought in plenty of cash.
Operating cash flow came in at $564.1 million, while the company finished July with $778.5 million in available cash.
And shareholders are seeing some of that cash come back their way.
New Hope declared a fully-franked final dividend of 30 cents per share, taking total dividends for FY26 to 40 cents per share.
That's up from 34 cents per share in FY25, despite the big drop in profit.
The company also has an on-market share buyback of up to $100 million in place.
What happens next?
New Hope still has more production to bring on.
New Acland is working towards around 5 million tonnes of saleable coal a year, while Maxwell should contribute more as production ramps up.
Over the longer term, New Hope is aiming for group saleable coal production of around 15 million tonnes.
Of course, coal prices will have a big say in how earnings look.
If coal prices hold up, having more tonnes to sell should help earnings as that extra production comes through.
And with plenty of cash in the bank, New Hope can keep spending on growth while still paying shareholders along the way.
