Fort Worth-based Kimbell Royalty Partners, LP (NYSE: KRP), a leading owner of oil and natural gas mineral and royalty interests, announced record financial results for the first quarter of 2025, driven in part by its recent $230 million Permian Basin acquisition.
For the quarter ended March 31, 2025, Kimbell reported oil, natural gas, and NGL revenues of $90 million and net income of approximately $25.9 million. Adjusted EBITDA hit a record $75.5 million. Including the full impact of the acquired production, run-rate revenues would total $91.6 million, with Adjusted EBITDA reaching $77.1 million.
Average daily production for Q1 was 25,501 barrels of oil equivalent (Boe), rising to 25,841 Boe including the full acquisition impact. Kimbell’s production mix was roughly 52% liquids and 48% natural gas.
Kimbell declared a Q1 cash distribution of $0.47 per common unit, up 17.5% from Q4 2024. Based on its May 7 closing price, the payout reflects a 15.8% annualized yield. Approximately 70% of the distribution is expected to qualify as a return of capital for tax purposes.
On the balance sheet, Kimbell increased its credit facility commitments from $550 million to $625 million and redeemed 50% of its Series A preferred units, reducing its cost of capital. As of quarter-end, the company had 90 rigs operating on its acreage — representing 16% of all U.S. land rigs.
“We are beginning 2025 with several new milestones,” said Chairman and CEO Robert Ravnaas, citing record revenues and the integration of a major Permian Basin acquisition.
Kimbell affirmed its 2025 financial guidance and reiterated its role as a leading consolidator in the oil and gas royalty space.