Kimbell Royalty Partners reports Q4 EPS 48c, consensus 34c

Reports Q4 revenue $68.7M, consensus $56.03M. Reports record Q4 run-rate daily production of 15,394 Boe per day. CEO Robert Ravnaas commented, "2022 was another very strong year for Kimbell, which included several new records for revenue, EBITDA, distributable cash flow per unit and net income during the year. In addition, we completed a highly attractive and accretive acquisition in one of the highest quality and most active parts of the Permian Basin in December, which reestablished the Permian as the leading basin for the company in terms of production, active rig count, DUCs, permits and undrilled inventory…the Company’s leverage ratio is now at the lowest level it has been in years at 0.9x Net Debt to trailing twelve month consolidated Adjusted EBITDA. Finally, the company paid out $1.88 in tax-advantaged quarterly distributions during 2022 and paid down approximately $41.5M on its credit facility by allocating 25% of cash available for distribution for debt-paydown..While many companies will focus on replenishing their DUC inventories in the short-term, we believe that inflationary pressures in the drilling, completion and labor side of their businesses will continue to temper oil production growth during 2023. Production stability, profitability and quality of inventory will continue to be the primary themes of energy investing rather than the hyper-growth models of the past. With our high-quality, low-PDP decline and diversified royalty portfolio with substantial upside drilling locations, Kimbell was built for these conditions. We are very excited about the opportunities to expand in the future and deliver unitholder value for years to come."