Kimbell Royalty Partners (KRP) Q4 2024 earnings summary

Executive summary

• Achieved record production, revenue, and EBITDA in 2024, supported by a $230.4 million acquisition and robust rig activity, with production exceeding 25,000 Boe/d for the first time.

• Paid $1.75 per common unit in tax-advantaged distributions during 2024 and reduced credit facility debt, maintaining a 10.1% annualized yield.

• Interests in over 130,000 gross wells across 17 million acres, with 97% of onshore rigs in counties where mineral interests are held.

• Since IPO in 2017, completed $2.0B in M&A, grown run-rate average daily production by ~8x, and returned 66% of IPO price via distributions.

• Closed a $230.4 million acquisition in early 2025, further strengthening the Permian Basin position and boosting inventory.

Financial highlights

• Q4 2024 oil, natural gas, and NGL revenues were $69.1 million; consolidated Adjusted EBITDA was $59.8 million.

• Q4 2024 net loss of $39.3 million, primarily due to a $56.2 million non-cash ceiling test impairment from commodity price declines.

• Q4 2024 cash distribution of $0.40 per common unit, with a 75% payout ratio and 10.1% annualized yield.

• Q4 2024 run-rate average daily production: 25,946 Boe/d, with 91 rigs operating on acreage, representing 16% of U.S. land rig count.

• Proved developed reserves at year-end 2024 increased 3% year-over-year to over 67 MMBoe.

Outlook and guidance

• 2025 production guidance set at a record midpoint of 25,500 Boe/d (range: 24,000–27,000 Boe/d), reflecting incremental production from recent acquisition.

• Projected 2025 oil production: 31–35%; natural gas: 46–50%; NGLs: 17–21% of net production.

• Cash G&A guidance: $2.45–$2.65/boe; Depreciation & Depletion: $13.00–$20.00/boe.

• 2025 payout ratio set at 75% of projected cash available for distribution; 25% allocated to debt repayment.

• Guidance approach remains conservative, with actual volumes historically exceeding guidance.