Key Highlights

  • The Trustee declared a $0.019593 per unit distribution, payable October 15, 2026 to unitholders of record September 30.
  • No Waddell Ranch proceeds were included because production costs exceeded gross proceeds for August 2026.
  • Second-quarter Royalty income was $4,158,812, compared with $3,089,889 a year earlier, and distributable income was $3,870,562.
  • Six-month distributable income was $6,897,363, compared with $4,993,467 in the first half of 2025, with equal distributions declared.

Overview

Permian Basin Royalty Trust (NYSE:PBT) declared a September cash distribution of $0.019593 per unit, payable October 15, 2026 to unitholders of record on September 30. The distribution yields 0.84%. The trustee stated that the Waddell Ranch properties remained in an excess cost position, so no proceeds from them were included.

Distribution Program and Unitholder Returns

The trustee declared a cash distribution of $0.019593 per unit, payable October 15, 2026, to unitholders of record on September 30. The distribution trades ex-distribution on September 30.

The trustee said the increase from the prior month was primarily due to a decrease in trust expenses, partly offset by lower oil and gas volumes and lower oil prices at the Texas Royalty Properties, with Natural Gas prices improving. Distributions are variable and depend on royalty income and trust expenses.

About the Trust

Permian Basin Royalty Trust is a royalty trust whose principal Assets are overriding royalty interests in oil and gas properties, including the Waddell Ranch properties and the Texas Royalty Properties. It has 46,608,796 units outstanding. It reports distributable income as its central measure, and it does not operate the underlying properties.

Second-Quarter Royalty Income and Distributable Income

Royalty income was $4,158,812 in the second quarter, compared with $3,089,889 a year earlier. Interest income was $16,319. General and administrative expenses were $304,569, compared with $708,385.

Distributable income was $3,870,562, or $0.08 per unit, compared with $2,397,255, or $0.05. For the six months, royalty income was $7,709,894, compared with $6,144,586, and distributable income was $6,897,363, or $0.15 per unit, compared with $4,993,467, or $0.11.

Waddell Ranch Deficit and the April Settlement Payment

The 10-Q attributes the higher royalty income primarily to a $1,125,000 partial settlement payment from Blackbeard paid in April 2026, partly offset by lower Revenue from underlying operations. No royalty income was received from the Waddell Ranch properties in the three and six months except settlement payments.

The properties remain in a deficit position, with cumulative excess costs of $39.7 million net to the trust to be recovered from future proceeds. The operator provides data quarterly rather than monthly, so future Waddell Ranch information will appear in the trust's 10-Q and 10-K filings.

Texas Royalty Properties generated $3,033,813 in the second quarter, and trust corpus was $161,721 at June 30, 2026.

For August, the underlying properties produced 15,042 barrels of oil and 5,439 Mcf of natural gas, generating revenues of $1,324,846 and net profits of $1,189,481. The trust's allocated share of production was 13,460 barrels of oil and 4,868 Mcf of natural gas, and the properties contributed $1,130,007 to the September distribution. Net general and administrative expenses in the release were $216,779.

Outlook

Waddell Ranch excess costs and any recovery from future proceeds, Texas Royalty Properties volumes and prices, trust expenses, and the trustee's monthly declarations are the relevant considerations. The second quarter is the most recent reported period.