Texas Pacific Land Corporation (TPL)

[Enterprising Investor]

Texas Pacific Land Trust Announces First Quarter 2018 Financial Results (4/30/18)

DALLAS--(BUSINESS WIRE)--Texas Pacific Land Trust (NYSE: TPL) today announced financial results for the first quarter of fiscal 2018, which ended March 31, 2018.

Results for first quarter 2018:

Net income of $43.8 million, or $5.60 per sub-share, for first quarter 2018, compared with $19.3 million, or $2.43 per sub-share, for first quarter 2017.

Revenues of $60.0 million for first quarter 2018, compared with $30.4 million for first quarter 2017.

Increases of 181.8% in water sales and royalty revenue, 150.7% in oil and gas royalty revenue, and 14.2% in easements and sundry income for first quarter 2018, compared with first quarter 2017.

Further Details for first quarter 2018:

Oil and gas royalty revenue was $26.5 million for the first quarter of 2018, compared with $10.6 million for the first quarter of 2017, an increase of 150.7%. Crude oil and gas production subject to the Trust’s royalty interests increased 129.0% and 154.4%, respectively, in the first quarter of 2018 compared to the first quarter of 2017. In addition, the prices received for crude oil production increased 13.5% in the first quarter of 2018 compared to the same quarter of 2017 while prices received for gas production decreased 13.9% over the same time period.

Easements and sundry income was $17.0 million for the first quarter of 2018, an increase of 14.2% compared with the first quarter of 2017 when easements and sundry income was $14.9 million. This increase resulted primarily from increases in seismic permit income, sundry lease rental income, and temporary permit income. These increases were partially offset by a decrease in pipeline easement income of 15.8% to $8.2 million for the first quarter of 2018 compared to the first quarter of 2017 due to timing differences resulting from a change in the form of our pipeline easement agreements.

Water sales and royalty revenue was $13.6 million for the first quarter of 2018, an increase of 181.8% compared with the first quarter of 2017 when water sales and royalty revenue was $4.8 million.

Land sale revenue was $2.8 million for the first quarter of 2018. The Trust sold approximately 120 acres of land for an average price of approximately $22,917 per acre. There were no land sales in the first quarter of 2017.

Texas Pacific Land Trust is not a REIT.

https://www.businesswire.com/news/home/20180430005424/en/