KRP Earnings Prediction
The chart below shows how KRP performed 10 days before and after its earnings report, based on data from the past quarters. Typically, KRP sees a -0.56% change in stock price 10 days leading up to the earnings, and a +0.66% change 10 days following the report. On the earnings day itself, the stock moves by +0.56%. This data can give you a slight idea of what to expect for the next quarter's release.
KRP Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
74.23M
3.42%
-4.36%
Gross Margin
--
--
--
Operating Margin
33.21%
-20.19%
3.36%
Net Margin
34.76%
34.99%
77.62%
EPS
0.22
57.14%
214.29%
No Data Available
KRP Earnings Analysis
Kimbell Royalty Partners, LP Common Units representing Limited Partner Interests Corporation (KRP.N) Earnings Conference Call
Positive
Cash Distribution Announcement: 1. Strong Cash Distribution: Kimbell declared a third quarter cash distribution of $0.41 per common unit, totaling $11.45 per unit returned to common unitholders since the IPO in 2017.
Strong Oil and Gas Revenue: 2. Robust Revenue Generation: The company reported oil, natural gas, and NGL revenues of $71.1 million for the quarter, with a run rate production of 23,846 BOE per day.
Market Presence and Rigs: 3. High Market Share: Kimbell maintained a significant market presence with 90 rigs actively drilling on its acreage, representing approximately 16% of all land rigs in the continental U.S.
Record Lease Bonuses: 4. Record Lease Bonuses: The third quarter saw the highest lease bonuses in Kimbell's history, indicating increased operator interest in developing its acreage.
Solid Financial Stability: 5. Strong Financial Position: Kimbell reported a conservative balance sheet with a net debt to trailing 12-month consolidated adjusted EBITDA ratio of approximately 0.8x, and $297.8 million in undrawn capacity under its secured revolving credit facility.
Negative
Debt Obligations Analysis: 1. High Debt Levels: Kimbell Royalty Partners reported approximately $252.2 million in debt outstanding under its secured revolving credit facility, indicating a significant financial obligation.
Rising Administrative Expenses: 2. Increased General and Administrative Expenses: The third quarter general and administrative expenses totaled $9.5 million, with cash G&A expenses at $2.57 per BOE, reflecting rising operational costs.
Net Permits Decline: 3. Decline in Net Permits: The company experienced a decrease in net permits by approximately 1.4, suggesting a potential slowdown in future drilling activities.
Cash Distribution Dependence: 4. Cash Distribution Reliance: The cash distribution of $0.41 per common unit for the third quarter equates to 75% of cash available for distribution, indicating a heavy reliance on cash flow for returns to unitholders.
Cautious Capital Deployment: 5. Potential for Increased Leverage: Management expressed reluctance to pursue smaller acquisitions due to concerns over leverage creep, highlighting a cautious approach to capital deployment amidst existing debt.
KRP FAQs
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KRP Earning Call Sentiment
Kimbell Royalty Partners, LP (KRP) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
KRP.N
-1%Positive
The earnings call presents a mixed picture. While there are positive elements such as robust rig count, debt management, and a conservative balance sheet, there are concerns about market share risks, supply chain challenges, and reliance on credit facilities. The Q&A reveals cautious optimism but also vague responses on M&A activity. The financials show stable cash distribution but no clear growth indicators. Given these factors and a small market cap, the stock price is likely to remain stable within a -2% to 2% range over the next two weeks.
