Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
TPL delivered strong Q1 FY2026 results with revenue up 20.8% YoY to $236.8M and operating income rising 21.5% to $182.3M, maintaining an exceptional ~77% operating margin.
Revenue
$236.82M
+20.84% YoY
EPS (Diluted)
$2.07
+18.29% YoY
Operating Income
$182.33M
+21.49% YoY
Source: SEC XBRL
Texas Pacific Land (TPL) reported Q1 FY2026 revenue of $236.82M, up 20.8% year over year. Operating margin was 77.0%, up 0.4 points from 76.6% a year earlier. Operating cash flow was $162.01M, up 3.4% year over year. TPL's fiscal Q1 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 2.23 | 2.21 | Beat +1.0% |
| Mar 2026This filing | 2.07 | 2.04 | Beat +1.5% |
| Dec 2025 | 1.80 | 1.75 | Beat +3.0% |
| Sep 2025 | 1.76 | 1.94 | Miss -9.6% |
Reported EPS of $2.07 versus the $2.04 analyst consensus — a +1.5% beat for Mar 2026.
Compiled by AI from this SEC filing
Total revenue grew 20.8% year-over-year from $196.0M to $236.8M in Q1 FY2026, reflecting robust demand for TPL's land and resource management services in the Permian Basin.
Source: 10-Q Financial Data, Income Statement
Operating margin held steady at approximately 77.0% (vs. 76.6% prior year), demonstrating TPL's highly scalable, low-cost business model with operating income reaching $182.3M.
Source: 10-Q Financial Data, Income Statement & Key Ratios
Total assets grew 29.4% YoY to $1.75B, driven primarily by a $349.7M increase in stockholders' equity to $1.56B, reflecting strong retained earnings accumulation.
Source: 10-Q Financial Data, Balance Sheet
Cash and equivalents fell 46.2% YoY from $460.4M to $247.6M, likely reflecting capital deployment into longer-term assets, as total assets expanded significantly while current assets declined 28.3%.
Source: 10-Q Financial Data, Balance Sheet & Cash Flow
Operating cash flow grew modestly 3.4% to $162.0M, and dividends paid increased 11.7% to $41.8M, signaling management's confidence in sustained cash generation while returning capital to shareholders.
Source: 10-Q Financial Data, Cash Flow Statement
Compiled by AI from this SEC filing · 2 high, 2 medium, 1 low
TPL's revenues are heavily concentrated in Permian Basin oil and gas activity. Any sustained decline in drilling activity, commodity prices, or operator capital spending in this region could materially impact TPL's royalty and water services revenues. This geographic and sector concentration leaves limited diversification buffer.
Source: 10-Q Financial Data, Revenue & Operating Income
As a land and resource company tied to oil and gas production, TPL's royalty income is directly linked to hydrocarbon prices. A prolonged downturn in oil or natural gas prices could reduce operator activity on TPL lands, compressing both royalty volumes and water services demand.
Source: 10-Q Financial Data, Income Statement
Cash and equivalents dropped 46.2% YoY to $247.6M, while current assets fell 28.3%. Although the current ratio remains healthy at 4.23x, the sharp reduction in liquid assets warrants monitoring, particularly if capital deployment does not generate expected returns.
Source: 10-Q Financial Data, Balance Sheet & Key Ratios
Total liabilities increased 33.0% YoY to $195.5M, outpacing revenue growth of 20.8%. While the debt-to-equity ratio remains low at 0.126, the accelerating pace of liability growth relative to revenue could pressure financial flexibility if sustained.
Source: 10-Q Financial Data, Balance Sheet
Operating cash flow grew only 3.4% YoY to $162.0M, significantly below net income growth of 18.4%, suggesting potential working capital build-up or timing differences that could affect near-term liquidity if the gap persists.
Source: 10-Q Financial Data, Cash Flow Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $M | 236.82 $M | 195.98 $M | +20.84% |
Operating Income $M | 182.33 $M | 150.07 $M | +21.49% |
Net Income $M | 142.90 $M | 120.65 $M | +18.44% |
EPS (Basic) $ | 2.07 $ | 1.75 $ | +18.29% |
EPS (Diluted) $ | 2.07 $ | 1.75 $ | +18.29% |
Answers draw on this SEC filing and the data on this page
TPL posted strong Q2 FY2026 results with 31% revenue growth driven by higher oil prices and royalty production, while accelerating land investments in data center and water infrastructure.
TPL delivered strong FY2025 results with revenue growing 13.1% to $798.2M and operating cash flow rising 11.3% to $545.9M, while total assets surged 30.1% to $1.62B driven by significant investing activity.
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