Permian Basin Royalty Trust (PBT) Q3 2025 earnings summary

Executive summary

• Royalty income for Q3 2025 was $7.26M, down from $8.37M in Q3 2024, mainly due to a deficit in the Waddell Ranch properties, partially offset by a $4.5M settlement payment from Blackbeard.

• Distributable income for Q3 2025 was $6.86M ($0.15/unit), compared to $8.05M ($0.17/unit) in Q3 2024.

• For the nine months ended September 30, 2025, royalty income was $13.4M, down from $23.2M in the same period of 2024.

• A $9M settlement with Blackbeard was reached, with $4.5M paid in September and the remainder to be paid in four quarterly installments in 2026.

Financial highlights

• Q3 2025 distributable income per unit: $0.15; Q3 2024: $0.17.

• Nine months ended September 30, 2025 distributable income per unit: $0.25; 2024: $0.47.

• Cash and short-term investments at September 30, 2025: $6.49M, up from $2.12M at December 31, 2024.

• General and administrative expenses increased to $411.6K in Q3 2025 from $367.6K in Q3 2024, mainly due to legal costs.

Outlook and guidance

• Distributions are expected to remain affected by the deficit position of the Waddell Ranch properties and ongoing recovery of excess costs.

• Future royalty income will include remaining Blackbeard settlement payments in 2026.