Production and Operations - Q3 2024 average production reached 26,978 bo/d (49,370 boe/d), a 2.4% increase from Q2 2024[2] - Viper's average daily production guidance for Q4 2024 is set at 29,250 to 29,750 bo/d (52,500 to 53,000 boe/d)[2] - The company turned to production 330 gross horizontal wells in Q3 2024, with an average lateral length of 11,866 feet[11] - Total production for Q3 2024 included 2,482 MBbls of oil, 6,150 MMcf of natural gas, and 1,035 MBbls of natural gas liquids, resulting in combined volumes of 4,542 MBoe[29] - Average daily oil production increased to 26,978 bo/d, up 21.1% from 22,141 bo/d in Q3 2023[29] Financial Performance - Consolidated net income for Q3 2024 was $109.0 million, with net income attributable to Viper Energy, Inc. at $48.9 million, or $0.52 per common share[2] - Total operating income for Q3 2024 was $209.6 million[6] - Net income attributable to Viper Energy, Inc. was $48,917,000 in Q3 2024, a decrease of 37.9% compared to $78,599,000 in Q3 2023[27] - Net income for Q3 2024 was $109,045, a decrease of 47.4% compared to $207,213 in Q3 2023[28] - Adjusted EBITDA for Q3 2024 was $104,371, reflecting a decrease from the previous year[32] Cash Flow and Dividends - Cash available for distribution to common shares in Q3 2024 was $75.4 million, or $0.73 per Class A common share[2] - Declared a total base-plus-variable cash dividend of $0.61 per Class A common share for Q3 2024, implying a 4.7% annualized yield based on the November 1, 2024 share closing price of $52.16[2] - Cash and cash equivalents increased significantly to $168,649,000 as of September 30, 2024, up from $25,869,000 at the end of 2023[24] - The company reported a net cash provided by operating activities of $202,974 for Q3 2024, down from $239,728 in Q3 2023[28] - The company incurred a net cash used in investing activities of $244,844 in Q3 2024, compared to $52,292 in Q3 2023[28] Debt and Liabilities - As of September 30, 2024, Viper had a cash balance of $168.6 million and total long-term debt of $830.4 million, resulting in net debt of $661.7 million[7] - Following the TWR IV acquisition on October 1, 2024, pro forma net debt was approximately $1.1 billion[8] - Long-term debt decreased to $821,505,000 as of September 30, 2024, down from $1,083,082,000 at the end of 2023, a reduction of 24.2%[25] - Total liabilities decreased to $870,502,000 as of September 30, 2024, down from $1,116,539,000 at the end of 2023, a decline of 22.0%[25] Revenue and Income Sources - Viper Energy reported oil income of $186,750,000 for Q3 2024, an increase of 11.0% from $168,008,000 in Q3 2023[27] - The company reported a total royalty income of $208,158,000 for Q3 2024, an increase of 6.9% from $195,614,000 in Q3 2023[27] - Average unhedged realized prices in Q3 2024 were $75.24 per barrel of oil, $0.13 per Mcf of natural gas, and $19.89 per barrel of natural gas liquids, leading to a total equivalent realized price of $45.83/boe[5] Shareholder Information - The weighted average number of common shares outstanding increased to 93,695,000 in Q3 2024 from 70,925,000 in Q3 2023[27] - The weighted average Class A common shares outstanding for diluted earnings per share was 93,747[36] - Adjusted net income attributable to Viper Energy, Inc. for the same period was $45,622 thousand, or $0.49 per diluted share[36] Other Financial Metrics - Total operating expenses per barrel of oil equivalent (boe) were $4.16, compared to $3.71 in Q3 2023[29] - The average sales price for oil in Q3 2024 was $75.24 per Bbl, down from $82.48 per Bbl in Q3 2023[29] - Proceeds from borrowings under the credit facility amounted to $375,000 in Q3 2024, significantly higher than $69,000 in Q3 2023[28] - Pre-tax income attributable to Viper Energy, Inc. for the three months ended September 30, 2024, was $66,111 thousand, with an effective cash tax rate of 23.3%[35] - Adjusted net income excluding non-cash and non-recurring items was $101,678 thousand for the three months ended September 30, 2024[36]

Core Viewpoint - Viper Energy, Inc. reported strong financial and operational results for Q3 2024, highlighting production growth and successful acquisitions, while maintaining a robust cash dividend policy and positive outlook for future production. Financial Performance - Q3 2024 average production was 26,978 barrels of oil per day (bo/d), a 2.4% increase from Q2 2024 [2] - Consolidated net income for Q3 2024 was $109.0 million, with net income attributable to Viper Energy of $48.9 million, or $0.52 per common share [2][5] - Cash available for distribution to common shares was $75.4 million, equating to $0.73 per Class A common share [2] - Declared a base cash dividend of $0.30 per Class A common share, implying a 2.3% annualized yield [2] - Total return of capital for Q3 2024 was $62.4 million, representing 83% of cash available for distribution [2] Operational Highlights - 330 gross horizontal wells were turned to production in Q3 2024, with an average lateral length of 11,866 feet [2][10] - The company closed acquisitions of mineral and royalty interests from Tumbleweed-Q Royalty Partners and Tumbleweed Royalty IV, increasing its pro forma acreage to approximately 35,634 net royalty acres [2][11] - Q4 2024 average daily production guidance is set at 29,250 to 29,750 bo/d [2] Market and Pricing - Average unhedged realized prices for Q3 2024 were $75.24 per barrel of oil, $0.13 per Mcf of natural gas, and $19.89 per barrel of natural gas liquids, leading to a total equivalent realized price of $45.83 per barrel of oil equivalent (boe) [4][25] - Average hedged realized prices were slightly lower, at $74.27 per barrel of oil and $0.56 per Mcf of natural gas [4][25] Debt and Liquidity - As of September 30, 2024, the company had a cash balance of $168.6 million and total long-term debt of $830.4 million, resulting in net debt of $661.7 million [6] - Following the Tumbleweed IV acquisition, pro forma net debt as of October 1, 2024, was approximately $1.1 billion [7] Guidance and Future Outlook - The company increased its full-year 2024 average daily production guidance to 27,000 to 27,250 bo/d [2] - Viper Energy's CEO emphasized the company's strategy of consolidating high-quality mineral and royalty assets and maintaining strong free cash flow despite commodity price volatility [2][3]

Viper Energy Partners (VNOM) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices. The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate. The po ...

Laura Starks is the founder and CEO of Starks Energy Economics, LLC (since 2007). She has a degree in chemical engineering and an MBA with a concentration in finance which she has used for many years to invest personally and to share her ideas about energy companies. Her coverage includes utilities, independent power producers, energy service companies and contractors, a few petrochemical companies, and all sectors of oil and natural gas: upstream, midstream, and downstream Analyst's Disclosure: I/we have a ...

MIDLAND, Texas, Oct. 01, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ:VNOM) ("Viper" or the "Company"), a subsidiary of Diamondback Energy, Inc. (NASDAQ:FANG) ("Diamondback"), today announced it and its operating subsidiary Viper Energy Partners LLC ("OpCo") completed the previously announced acquisition of certain mineral and royalty interest- owning subsidiaries of Tumbleweed Royalty IV, LLC ("TWR IV") under the previously reported purchase agreement, dated as of September 11, 2024. The total consi ...

MIDLAND, Texas, Sept. 25, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ: VNOM) ("Viper"), a subsidiary of Diamondback Energy, Inc. (NASDAQ: FANG) ("Diamondback"), today announced that it plans to release third quarter 2024 financial results on November 4, 2024 after the market closes. In connection with the earnings release, Viper will host a conference call and webcast for investors and analysts to discuss its results for the third quarter of 2024 on Tuesday, November 5, 2024 at 10:00 a.m. CT. Access ...

Since the announcement of an acquisition agreement on Sept. 11, Viper Energy Inc.'s (VNOM) stock has experienced a slight decline of 0.6%. While concerns about a potential U.S. economic slowdown caused by the high-interest rate environment are weighing on the broader stock market, VNOM's anticipated benefits from the acquisition have helped to support its stock price. Overview of VNOM's Acquisition Agreement VNOM and its operating affiliate Viper Energy Partners LLC (OpCo) have recently signed a definitive ...

MIDLAND, Texas, Sept. 11, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ: VNOM) ("Viper") announced today the pricing of an underwritten public offering of 10,000,000 shares of its Class A common stock at a price to the public of $42.50 per share (the "Primary Offering"). Viper's offering of 10,000,000 shares of Class A common stock represents a 1,500,000 share upsize to the originally proposed 8,500,000 share offering. The underwriters have a 30-day option to purchase up to an additional 1,500,000 sha ...

MIDLAND, TEXAS, Sept. 11, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ: VNOM) ("Viper") announced today the launch of an underwritten public offering of 8,500,000 shares of its Class A common stock, subject to market and other conditions (the "Primary Offering"). The underwriters will have an option to purchase up to an additional 1,275,000 shares of Class A common stock from Viper in the Primary Offering. Viper intends to use the net proceeds from the Primary Offering, together with cash on hand and ...

MIDLAND, Texas, Sept. 11, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ:VNOM) ("Viper" or the "Company"), a subsidiary of Diamondback Energy, Inc. (NASDAQ:FANG) ("Diamondback"), today announced it and its operating subsidiary Viper Energy Partners LLC ("OpCo") have entered into a definitive purchase and sale agreement to acquire certain mineral and royalty interest- owning subsidiaries of Tumbleweed Royalty IV, LLC in exchange for $461.0 million of cash and approximately 10.1 million OpCo units, subje ...