Whitehaven, which has five coal mines in NSW and exports all its coal, recorded earnings before interest, tax, depreciation and amortisation (EBITDA) of $1.77 billion in fiscal 2017, up 52 per cent on the previous year. Net profit before significant items was $367.2 million, which was just below consensus of analysts.

In a conference call discussing the results Whitehaven's managing director and CEO, Paul Flynn, renewed his call for Australia to consider building high efficiency low emissions (or HELE) coal fired power stations, which he said were being widely adopted in Asia.

"HELE doesn't destabilise the energy grid, it strengthens it," he said.

"Each of these countries have arrived at the pragmatic decision and moved on. And yet here we are agonising about our expensive and increasingly destabilised energy system."

Mr Flynn told analysts world coal demand was increasing. "(In) south east Asia the growth obviously is enormous. This is being fuelled by Malaysia, Philippines and Vietnam, driving new installations of coal fired generation," he said.

About 550 million tonnes per annum of "new supply" of coal was needed by 2040, to meet the rising demand for coal in Whitehaven's key markets.

"It's an enormous amount of coal. And even if you discounted that by some substantial margin you're still left with the same question, which is - where are those tonnes going to come from," he said.

Later, Mr Flynn told Fairfax Media the forthcoming dividend would be the first for shareholders in five years.

"I'm pleased for shareholders because they've been patient, they deserve a good result, and that's what we're here for," he said.

"We've made a 20-fold increase in profits for the year, so I think as far as health goes we're fighting fit."

In its statement to the ASX the cashed-up coal miner said it proposed to pay shareholders a distribution of 20?? a share in November, which would include a 14?? a share capital return and a 6?? a share unfranked dividend.

The company said it was seeking an ATO class ruling about the proposed distribution, which would also be subject to shareholder approval at the miner's AGM in October.

Other highlights from the bumper profit result included cash generated from operations of $655.3 million, up 143 per cent, net debt reduced to $311.1 million and a 13 per cent rise in run-of-mill coal production to 23.1 million tonnes for the full year.

During the conference call with analysts Citi's Clarke Wilkins said Whitehaven had recorded "a great result".

In a research note released later in the day Citi raised its target price for Whitehaven to $3.85 a share, up from $3.30. It also maintained its "buy" rating on the stock.

Mr Wilkins said Whitehaven's EBITDA ($714 million) was 1 per cent ahead of Citi's estimate. He also said Whitehaven's dividends would be unfranked for the next couple of years, but added that share buybacks were a possibility given the company had a gearing target of 10-15 per cent.

Shares in Whitehaven soared in early trade on Thursday, peaking at $3.62 shortly after the market opened. The stock then eased throughout most of the day, closing down seven cents at $3.29.