PermRock Royalty Trust reported a total revenue of $1.26 million for the three months ending September 30, 2025, a decrease from $1.56 million in the same period of the previous year. The Trust's net profits income also fell to $1.25 million from $1.55 million year-over-year, primarily due to reduced oil and gas production and lower commodity prices. Distributable income for the quarter was $1.11 million, translating to $0.091367 per Trust unit, down from $1.34 million and $0.110208 per unit in the prior year. For the nine months ending September 30, 2025, the Trust's net profits income remained relatively stable at $4.50 million compared to $4.50 million in the same period of 2024.
The Trust's financial position showed a decline in total assets, which decreased to $70.67 million as of September 30, 2025, from $73.99 million at the end of 2024. The net profits interest, a key asset, also fell to $69.29 million from $72.38 million. The distribution payable to unitholders decreased to $378,835 from $612,261, reflecting the lower distributable income. The Trust maintained cash reserves of $1 million, consistent with the previous year, to cover administrative expenses and future liabilities.
Operationally, the Trust experienced a decline in oil sales volumes, which decreased by 16.2% to 59,142 barrels for the three months ended September 30, 2025, compared to the same period in 2024. Natural gas sales volumes also saw a slight decrease. The average realized oil price per barrel dropped to $63.58 from $78.07, while the average natural gas price per Mcf fell to $1.88 from $2.07. These price declines were attributed to market volatility and reduced production levels, as T2S, the operator of the underlying properties, adjusted its operations in response to economic pressures.
Looking ahead, T2S has revised its capital expenditure budget for 2025 from an initial $4 million to approximately $1 million, reflecting a strategic decision to preserve liquidity amid ongoing market challenges. This revised plan includes participation in a non-operated well and ongoing investments in workovers and reactivating shut-in wells. The Trust's management indicated that these adjustments aim to balance cash preservation with the continued development of the underlying properties, while also remaining responsive to market conditions.
About PermRock Royalty Trust
PermRock Royalty Trust owns a passive interest in oil and natural gas properties in the Permian Basin, Texas. It receives 80% of net profits from production sales, derived from underlying operated and non-operated assets. The trust distributes cash to unitholders, with no management responsibilities. Its core business involves holding and distributing income from oil and gas royalties, relying on third-party operators and market-driven sales.
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