Kimbell Royalty Q4 Revenue $76M, EBITDA $64.8M, Distribution Up 6%
Kimbell Royalty reported Q4 revenues of $76 million and Adjusted EBITDA of $64.8 million on run-rate production of 25,627 BOE per day, while cash G&A expenses were $6.2 million, $2.63 per BOE. Q4 distribution rose 6% to $0.37 per unit and management kept 2026 production guidance at 25,500 BOE/day.
1. Q4 Financial and Production Results
Kimbell Royalty reported fourth-quarter revenue of $76 million and Adjusted EBITDA of $64.8 million on a run-rate production of 25,627 BOE per day. General and administrative expenses totaled $10.4 million, including $6.2 million of cash G&A equating to $2.63 per BOE, in line with guidance.
2. Distribution and Capital Return
The partnership declared a quarterly cash distribution of $0.37 per unit, up 6% from the prior quarter, with 75% of available cash distributed and 25% earmarked for debt reduction. Full-year 2025 distributions totaled $1.60 per unit, all treated as return of capital while also redeeming 50% of Series A preferred units.
3. 2026 Outlook and Asset Development
Management maintained 2026 production guidance at a midpoint of 25,500 BOE per day, supported by an active rig count of 85, representing about 16% of U.S. land rigs. The company noted potential upside from Barnett Woodford development across its Permian acreage that could boost production and free cash flow without partnership-funded drilling costs.
4. Balance Sheet Strength and Reserves Growth
As of year-end, Kimbell had $441.5 million drawn on a $625 million revolver and a net debt/TTM Adjusted EBITDA ratio of approximately 1.5x after lowering bank debt costs by 35 basis points and extending maturity to 2030. Proved developed reserves increased about 8% to nearly 73 million BOE following the $230 million Mabee Ranch acquisition.