Mexco Energy Sees 89% Q3 Profit Drop to $50k on $1.38M Revenues
Mexco Energy reported Q3 fiscal 2026 net income of $50,245 ($0.02 per diluted share), an 89% drop from $469,133 ($0.22) year-over-year on operating revenues of $1,383,887. It plans to drill 50 horizontal wells at an estimated $1.6 million cost this fiscal year and spent $650,000 on royalty and mineral interests.
1. Third Quarter Results
Mexco Energy reported net income of $50,245, or $0.02 per diluted share, for the third quarter of fiscal 2026, representing an 89% decrease from $469,133, or $0.22 per share, in the prior-year period. Operating revenues were $1,383,887, down due to lower oil prices.
2. Nine-Month Performance
For the nine months ended December 31, 2025, net income totaled $615,702, or $0.30 per diluted share, on operating revenues of $4,932,806, an 8% decline year-over-year, primarily driven by lower average oil prices and production volumes partially offset by higher natural gas results and LLC investment income.
3. Drilling and Development Plans
The company plans to drill and complete fifty horizontal wells at an estimated aggregate cost of $1.6 million for its fiscal year ending March 31, 2026, with $0.9 million already expended toward these projects.
4. Royalty and Mineral Acquisitions
Mexco has invested approximately $650,000 to acquire royalty and mineral interests in about 100 producing wells across seven counties in four states, aiming to bolster future development potential.