Texas Pacific Land Corporation Quarterly report [Sections 13 or 15(d)]

Quarterly report [Sections 13 or 15(d)]

Earnings Per Share

Earnings Per Share

9 Months Ended

Sep. 30, 2026

Basic earnings per share (“EPS”) is computed based on the weighted average number of shares outstanding during the period. Diluted EPS is computed based upon the weighted average number of shares outstanding during the period plus unvested RSAs and other nonvested awards granted pursuant to our incentive and equity compensation plans. The computation of diluted EPS reflects the potential dilution that could occur if all outstanding awards under the incentive and equity compensation plans were converted into shares of Common Stock or resulted in the issuance of shares of Common Stock that would then share in the earnings of the Company. The number of dilutive securities is computed using the treasury stock method.

The following table sets forth the computation of basic and diluted EPS for the three and nine months ended September 30, 2026 and 2025 (in thousands, except number of shares and per share data):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2026		2025		2026		2025
Net income	$	167,368	$	121,238	$	464,200	$	358,030

Basic earnings per share:
Weighted average shares outstanding for basic earnings per share	68,974,683		68,954,649		68,969,482		68,952,951
Basic earnings per share	$	2.43	$	1.76	$	6.73	$	5.19

Diluted earnings per share:
Weighted average shares outstanding for basic earnings per share	68,974,683		68,954,649		68,969,482		68,952,951
Effect of dilutive securities:
Incentive and equity compensation plans	61,653		76,125		49,976		71,895
Weighted average shares outstanding for diluted earnings per share	69,036,336		69,030,774		69,019,458		69,024,846
Diluted earnings per share	$	2.42	$	1.76	$	6.73	$	5.19

Restricted stock, if any, is included in the number of shares of Common Stock issued and outstanding but omitted from the basic EPS calculation until the shares of restricted stock vest. Certain stock awards granted are not included in the dilutive securities in the table above as they were anti-dilutive for the three and nine months ended September 30, 2026 and 2025.