CKX(CKX) - 2023 Q2 - Quarterly Report

Revenue Performance - Total revenues for the three months ended June 30, 2023, were $370,380, an increase of approximately 19$536,142, an increase of approximately 9% compared to the same period in 2022[87]. - Oil and gas revenues decreased by $41,851, or 29.8$150,556, a decrease of 32.8% from $224,142 in the same period in 2022[88]. - Timber revenue was$10,782 for the three months ended June 30, 2023, a decrease of 87.8% from $88,637 in the same period in 2022[85]. - Timber revenue for the six months ended June 30, 2023, was$12,683, down 88.5% from $110,379 in the same period in 2022[91]. - Surface revenues increased by$178,374, or 223.3%, for the three months ended June 30, 2023, primarily due to new pipeline right-of-way payments[86]. - Surface revenues increased by $215,294, or 136.6$149,992 for the three months ended June 30, 2023, compared to $0 for the same period in 2022[99]. Costs and Expenses - Timber costs decreased by$244 for the three months ended June 30, 2023, compared to the same period in 2022, but increased by $778 for the six months ended June 30, 2023, due to higher timber management costs[96]. - Surface costs increased by$225 for the three months ended June 30, 2023, but decreased by $4,904 for the six months ended June 30, 2023, primarily due to timing of land repair and maintenance expenses[97]. - General and administrative expenses decreased by$343,305 for the three months ended June 30, 2023, but increased by $131,650 for the six months ended June 30, 2023, mainly due to stock compensation expense changes[98]. Cash Flow and Liquidity - Net cash provided by operating activities was$104,185 for the six months ended June 30, 2023, compared to a cash used of ($139,279) in the same period of 2022, reflecting a decrease in net loss[104]. - Net cash provided by investing activities was$1,133,860 for the six months ended June 30, 2023, primarily from maturity of certificates of deposit and proceeds from the sale of fixed assets[105]. - Current assets totaled $8,589,916 and current liabilities equaled$116,069 at June 30, 2023, indicating strong liquidity[100]. - The company had no outstanding debt as of June 30, 2023, and management believes cash and cash equivalents are adequate for projected operations and possible land acquisitions[101][102]. - The company did not have any off-balance sheet arrangements or special purpose entities during the six months ended June 30, 2023[111]. Strategic Initiatives - The company has closed on the sale of two 40-acre parcels for proceeds of $149,992 during the first six months of 2023[79]. - The company is actively searching for additional real estate for purchase in Louisiana, focusing on timberland and agricultural land[76]. - The Board of Directors is evaluating strategic alternatives for growth, including land acquisitions and business combinations, to enhance shareholder value[103].