| Schedule of Segment Financial Results |
The following table presents segment financial results for Land and Resource Management (“LRM”) and Water Service and Operations (“WSO”) and the reconciliation to consolidated financial results for the three months ended March 31, 2025 and 2024 (in thousands):
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Three Months Ended March 31, |
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2025 |
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2024 |
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LRM |
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WSO |
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Consolidated |
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LRM |
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WSO |
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Consolidated |
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| Revenues: |
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| Oil and gas royalties |
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$ |
111,245 |
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$ |
— |
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$ |
111,245 |
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$ |
92,120 |
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$ |
— |
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$ |
92,120 |
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| Water sales |
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— |
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38,813 |
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38,813 |
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— |
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37,126 |
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37,126 |
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| Produced water royalties |
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— |
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27,700 |
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27,700 |
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— |
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23,006 |
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23,006 |
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| Easements and other surface-related income |
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15,336 |
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2,889 |
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18,225 |
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18,121 |
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2,525 |
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20,646 |
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| Land sales |
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— |
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— |
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— |
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1,244 |
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— |
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1,244 |
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| Total revenues |
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126,581 |
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69,402 |
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195,983 |
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|
111,485 |
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62,657 |
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174,142 |
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| Expenses: |
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| Salaries and related employee expenses |
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7,404 |
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7,168 |
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14,572 |
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6,465 |
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5,996 |
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12,461 |
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| Water service-related expenses |
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— |
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11,126 |
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11,126 |
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— |
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10,212 |
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10,212 |
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| General and administrative expenses |
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3,313 |
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2,759 |
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6,072 |
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6,674 |
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2,557 |
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9,231 |
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| Depreciation, depletion and amortization |
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7,689 |
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4,252 |
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11,941 |
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693 |
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3,147 |
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3,840 |
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| Ad valorem and other taxes |
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2,189 |
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10 |
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2,199 |
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2,356 |
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1 |
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2,357 |
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| Total operating expenses |
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20,595 |
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25,315 |
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45,910 |
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16,188 |
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21,913 |
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38,101 |
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| Operating income |
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105,986 |
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|
44,087 |
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150,073 |
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|
95,297 |
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40,744 |
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136,041 |
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| Other income, net |
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3,416 |
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|
905 |
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4,321 |
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7,930 |
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2,013 |
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9,943 |
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| Income before income taxes |
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109,402 |
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44,992 |
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154,394 |
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103,227 |
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42,757 |
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145,984 |
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| Income tax expense |
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23,858 |
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9,884 |
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33,742 |
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22,256 |
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9,311 |
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31,567 |
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| Net income |
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$ |
85,544 |
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$ |
35,108 |
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$ |
120,652 |
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$ |
80,971 |
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$ |
33,446 |
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$ |
114,417 |
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Interest income by segment is included in other income, net in the table above.
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| Schedule of Total Assets and Property, Plant and Equipment |
The following tables present capital expenditures, total assets and property, plant and equipment, net by segment for the periods presented (in thousands):
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Three Months Ended
March 31, |
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2025 |
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2024 |
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| Capital Expenditures: |
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| Land and resource management |
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$ |
3 |
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$ |
51 |
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| Water services and operations |
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9,905 |
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5,611 |
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| Total capital expenditures |
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$ |
9,908 |
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$ |
5,662 |
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March 31,
2025 |
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December 31,
2024 |
| Assets: |
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| Land and resource management |
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$ |
1,127,711 |
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$ |
1,024,188 |
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| Water services and operations |
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225,581 |
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|
223,832 |
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| Total consolidated assets |
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$ |
1,353,292 |
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$ |
1,248,020 |
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| Property, plant and equipment, net: |
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| Land and resource management |
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$ |
4,608 |
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$ |
4,805 |
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| Water services and operations |
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123,860 |
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|
117,773 |
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| Total consolidated property, plant and equipment, net |
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$ |
128,468 |
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$ |
122,578 |
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