Permianville Royalty Trust reported its financial results for the three and nine months ended September 30, 2024, highlighting significant changes in revenue, profitability, and operational developments compared to the previous fiscal period.

For the three months ended September 30, 2024, the Trust generated income from net profits interest of $2.4 million, a decrease from $2.6 million in the same period of 2023. Distributable income also fell to $1.5 million from $2.5 million year-over-year. For the nine-month period, income from net profits interest dropped to $2.6 million from $9.9 million in 2023, while distributable income decreased by 83% to $1.5 million from $8.9 million. This decline in distributable income per unit was reflected in a reduction from $0.271 per unit in 2023 to $0.046 per unit in 2024.

Total assets as of September 30, 2024, were reported at $45.4 million, down from $51.6 million at the end of 2023. The Trust's corpus also decreased from $57.1 million to $45.4 million over the same period. Cash and cash equivalents increased to $1.8 million from $1.4 million, with a cash reserve of $1.1 million set aside for future expenses.

Operationally, the Trust experienced a 62% increase in combined production volumes, totaling 508,587 barrels of oil equivalent (Boe) for the three months ended September 30, 2024, compared to 314,170 Boe in 2023. Oil sales increased by 27% to $14.6 million, while natural gas sales volumes surged by 95%. However, direct operating expenses rose significantly by 121% to $7.9 million, impacting overall profitability.

The Trust's net profits attributable to the underlying properties for the three months ended September 30, 2024, were $7.9 million, up from $3.6 million in 2023, indicating a positive trend in production despite rising costs. The average oil price received increased slightly to $79.76 per barrel, while natural gas prices saw a decline.

Development activity on the underlying properties increased over 150% compared to the same period in 2023, with 15 new Permian wells coming online. The Trust's sponsor revised its 2024 capital expenditure outlook to a range of $18 million to $23 million, focusing on the Permian and Haynesville regions.

Despite the challenges, the Trust eliminated a cumulative shortfall of $3.9 million as of June 30, 2024, and has maintained adequate capital and liquidity to fund operations. The Trustee declared distributions of $0.014 per unit for August and $0.015 per unit for October 2024, reflecting ongoing efforts to manage cash flow amid market volatility.