Texas Pacific Land Corporation reported its financial and operating results for the fourth quarter and full year 2025, highlighting record consolidated revenues, net income, and free cash flow.

Texas Pacific Land Corporation (NYSE: TPL) (the "Company," "TPL," "we," "our" or "us"), one of the largest landowners in the State of Texas with surface and royalty ownership that provides revenue opportunities through the support of energy production, today announced its financial and operating results for the fourth quarter and full year of 2025.

Fourth Quarter 2025 Highlights

Acquired 17,306 net royalty acres (standardized to 1/8th) located primarily in the Midland Basin for an aggregate purchase price of $450.7 million, net of post-closing adjustments, in an all-cash transaction.

Invested $50.0 million in Bolt Data & Energy, Inc., a data infrastructure company, pursuant to a strategic agreement to develop and enable large scale data center campuses and supporting infrastructure across TPL land.

Entered into a $500 million revolving credit facility.

Effected a three-for-one stock split on December 22, 2025.

Achieved record performance results, including:

Oil and gas royalty production of 37.5 thousand barrels of oil equivalent ("Boe") per day

Water sales revenue of $60.7 million and water sales volumes of 1.0 million barrels ("bbl") per day

Produced water royalties revenue of $33.5 million and produced water royalty volumes of 4.8 million bbl per day

Water Services and Operations segment revenues of $98.2 million

As of December 31, 2025, TPL's royalty acreage had an estimated 5.6 net well permits, 9.8 net drilled but uncompleted wells ("DUCs"), and 4.0 net completed but not producing wells ("CUPs"), totaling 19.5 net wells(1). TPL had 116.1 net producing wells as of December 31, 2025, and net producing wells added during the quarter had an average lateral length of approximately 10,910 feet.(2)

Land and Resource Management segment revenues of $113.4 million

Consolidated net income of $123.3 million, or $1.79 per share (diluted)

Adjusted EBITDA(3) of $178.1 million

Free cash flow(3) of $118.9 million

Quarterly cash dividend of $0.53 per share was paid on December 15, 2025

Full Year 2025 Highlights

Oil and gas royalty production of 34.6 thousand Boe per day

Produced water royalties revenue of $124.2 million

Land and Resource Management segment revenues of $490.7 million

Water Services and Operations segment revenues of $307.5 million

Consolidated net income of $481.4 million, or $6.97 per share (diluted)

Adjusted EBITDA(3) of $687.4 million

Free cash flow(3) of $498.3 million

$147.8 million of total cash dividends paid through December 31, 2025

$8.4 million of common stock repurchases through December 31, 2025

"Fourth quarter 2025 represents an excellent finish to a record year for TPL," said Tyler Glover, Chief Executive Officer of the Company. "Oil and gas royalty production, water sales volumes, and produced water royalties volumes set records for this quarter and for the fiscal year. We also delivered fiscal year records for consolidated revenue, net income, and free cash flow. Our differentiated scale across royalties, land, and water enabled us to expand capture rates and generate growth despite broader commodity price headwinds. In addition, we have made substantial progress with next-generation opportunities in data centers and produced water desalination, and we plan to continue deploying resources to accelerate commercialization. TPL still maintains a net cash position and a fully undrawn $500 million credit facility, providing the Company ample liquidity to invest countercyclically across royalty, land, and water and to expand shareholder return of capital. We remain steadfastly focused on maximizing long-term intrinsic value per share, and the opportunity set in front of us today across our legacy and next-gen businesses is robust as ever."

Financial Results for the Fourth Quarter of 2025 - Sequential

The Company reported net income of $123.3 million for the fourth quarter of 2025 compared to net income of $121.2 million for the third quarter of 2025.

Total revenues for the fourth quarter of 2025 were $211.6 million compared to $203.1 million for the third quarter of 2025. The increase in total revenues was primarily due to a $16.2 million increase in water sales and a $3.9 million increase in easements and other surface-related income, partially offset by a $12.0 million decrease in oil and gas royalty revenue compared to the third quarter of 2025. The Company's share of production was 37.5 thousand Boe per day for the fourth quarter of 2025 compared to 36.3 thousand Boe per day for the third quarter of 2025, and the Company's average realized price was $29.33 per Boe in the fourth quarter of 2025 compared to $34.10 per Boe in the third quarter of 2025. TPL's revenue streams are directly impacted by commodity prices and development and operating decisions made by its customers.

Total operating expenses were $62.3 million for the fourth quarter of 2025 compared to $54.0 million for the third quarter of 2025. The increase in operating expenses was principally related to a $7.0 million increase in depreciation, depletion and amortization expense and a $1.1 million increase in water service-related expenses during the fourth quarter of 2025 compared to the third quarter of 2025.

Financial Results for the Year Ended December 31, 2025

The Company reported net income of $481.4 million for the year ended December 31, 2025 compared to net income of $454.0 million for the year ended December 31, 2024.

Total revenues for the year ended December 31, 2025 were $798.2 million compared to $705.8 million for the year ended December 31, 2024. The increase in total revenues was primarily due to a $38.3 million increase in oil and gas royalty revenue, a $20.1 million increase in produced water royalties, a $19.0 million increase in water sales, and an $18.5 million increase in easements and other surface-related income compared to the same period of 2024. The Company's share of production was 34.6 thousand Boe per day for the year ended December 31, 2025 compared to 26.8 thousand Boe per day for the same period of 2024, and the average realized price was $34.18 per Boe for the year ended December 31, 2025 compared to $39.87 per Boe for the same period of 2024. Produced water royalties increased due to increased produced water volumes, while water sales increased due to both increased volumes and pricing. TPL's revenue streams are directly impacted by commodity prices and development and operating decisions made by its customers.

Total operating expenses were $206.0 million for the year ended December 31, 2025 compared to $166.7 million for the same period of 2024. The increase in operating expenses was principally related to a $33.0 million increase in depletion expense associated with oil and gas royalty interests acquired during the second half of 2025 and 2024.

Quarterly Dividend Declared

On February 10, 2026, the Company's Board of Directors declared a quarterly cash dividend of $0.60 per share, payable on March 16, 2026 to stockholders of record at the close of business on March 2, 2026. This represents a 12.5% increase from the prior quarter regular dividend.

Conference Call and Webcast Information

The Company will hold a conference call on Thursday, February 19, 2026 at 9:30 a.m. Central Time to discuss fourth quarter and year end results.

http://www.datamonitor.com
Republication or redistribution, including by framing or similar means,
is expressly prohibited without prior written consent. Datamonitor shall 
not be liable for errors or delays in the content, or for any actions 
taken in reliance thereon
COMTEX_477134603/2227/2026-04-12T20:55:24