KRP earnings analysis
What we found in KRP's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Kimbell Royalty Partners reported a strong Q2 rebound, with revenue of $112.477 million versus $66 million in Q1 2026 and $77 million in Q2 2025, while diluted EPS rose to $0.40 from $0.04 and $0.02, respectively. The recently completed $145.9 million acquisition is expected to add approximately 1,390 Boe/d, supporting production growth, although the filing provides no new quantitative guidance. Key risks are the $478.7 million floating-rate debt balance, commodity-price volatility, and derivative counterparty exposure.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Rebounded Sharply
- Q2 2026 revenue was $112.477 million, up approximately 70.4% from $66 million in Q1 2026 and 46.1% from $77 million in Q2 2025.
- EPS Improved Materially
- Diluted EPS was $0.40 versus $0.04 in Q1 2026 and $0.02 in Q2 2025, improving by $0.36 sequentially and $0.38 year over year.
- Unit Repurchase Program Active
- The partnership repurchased 500,000 common units at an average price of $14.70 for a total cost of $7.4 million on April 2, 2026; $85.350 million remained available under the repurchase program at June 30, 2026.
- Disclosure Controls Effective
- Management stated that disclosure controls were effective as of June 30, 2026, and reported no changes during the quarter that materially affected internal control over financial reporting.
- Acquisition Adds Production
- The partnership completed the $145.9 million mineral and royalty acquisition disclosed on June 23, 2026; acquired assets were expected to add approximately 1,390 Boe/d of production.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Floating-Rate Debt Exposure
- Borrowings under the secured revolving credit facility were $478.7 million as of June 30, 2026. A 1% increase in the interest rate on that balance would increase annual interest expense by approximately $4.8 million, assuming constant debt.
- Commodity Price Volatility
- Management expects oil, natural gas and NGL prices to become more volatile because of international supply-demand imbalances and limited storage capacity. Derivative fair-value changes are recognized in current-period earnings and may significantly affect results.
- Derivative Counterparty Risk
- Derivative contracts exposed the partnership to counterparty nonperformance risk; as of June 30, 2026, there were 7 counterparties, none of which were required to post collateral.
- Capital Allocation and Liquidity
- The partnership intends to fund its $100 million repurchase program with cash on hand, free cash flow or permitted borrowings, and spent $7.4 million on repurchases during April 2026, potentially competing with acquisition and balance-sheet liquidity needs.
- No New Risk Factors Identified
- The 10-Q incorporates the risk factors from the 2025 Form 10-K and does not identify specific new risk-factor additions. It nevertheless notes that volatility in the worldwide economy and oil and gas industry may make risks more difficult to identify and assess.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.4
What they said about what is next.
The provided 10-Q text does not include quantitative revenue or EPS guidance. The prior June 23, 2026 update referenced expected production of approximately 1,390 Boe/d from acquired assets, but no new numeric outlook is provided here.
The filing reads better than the one before it.
What came before.
- 10-Q · May 7, 2026
- Kimbell Royalty Partners reported disappointing Q1 2026 financial results, with revenues of $65.5 million and an EPS of $0.04, both falling short of analyst expectations. Management reiterated their guidance for 2026,…
- 10-K · February 26, 2026
- Kimbell Royalty Partners’ 2025 results show modest top-line growth versus 2024 with revenue roughly $333.0 million (sum of quarterly reported revenues) and a strong Q4 beat (Q4 revenue $82,453,000; Q4 diluted EPS…
- 10-Q · November 6, 2025
- Kimbell Royalty Partners reported total revenue of $80,620,000 and diluted EPS of $0.19 for Q3 2025. Quarter revenues were down versus Q3 2024 ($83,785,000) but nine‑month results improved (YTD revenue $251,377,000…
- 10-Q · August 1, 2024
- Kimbell Royalty Partners reported a revenue decrease to $76.6 million in Q2 2024, down 27.5% year-over-year and 12.6% quarter-over-quarter, with a diluted EPS of $0.11, significantly below the estimated $0.19. Margins…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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