Texas Pacific Land Corporation Reports Record Q2 Results

Texas Pacific Land Trust ( (TPL) ) has released its Q2 earnings. Here is a breakdown of the information Texas Pacific Land Trust presented to its investors.

Texas Pacific Land Corporation, one of the largest landowners in Texas, primarily generates revenue from its surface and royalty ownership, supporting energy production and various land uses in the Permian Basin.

In its latest earnings report, Texas Pacific Land Corporation announced record results for the second quarter of 2025, highlighting significant revenue from oil and gas royalties, easements, and produced water royalties. The company also began construction on a new produced water desalination facility in Orla, Texas, expected to be operational by late 2025.

Key financial metrics for the second quarter included a consolidated net income of $116.1 million, adjusted EBITDA of $166.2 million, and free cash flow of $130.1 million. The company reported oil and gas royalty production of 33.2 thousand barrels of oil equivalent per day and significant revenues from its Land and Resource Management and Water Services segments. Despite a decrease in total revenues compared to the first quarter, the company achieved record revenues in specific areas like easements and produced water royalties.

For the first half of 2025, Texas Pacific Land Corporation reported a consolidated net income of $236.8 million and total revenues of $383.5 million, reflecting growth compared to the same period in 2024. The increase in revenues was driven by higher oil and gas royalty production and increased easements and surface-related income.

Looking ahead, Texas Pacific Land Corporation remains optimistic about its ability to extract value from its extensive land holdings in the Permian Basin. The company’s strategic initiatives in water management and infrastructure development position it well to capture future revenue opportunities, despite the inherent volatility in commodity prices.