Quarterly report pursuant to Section 13 or 15(d)

Business Segment Reporting

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Business Segment Reporting
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Business Segment Reporting Business Segment Reporting
 
During the periods presented, we reported our financial performance based on the following segments: Land and Resource Management and Water Services and Operations. Our segments provide management with a comprehensive financial view of our key businesses. The segments enable the alignment of our strategies and objectives and provide a framework for timely and rational allocation of resources within businesses. We eliminate any inter-segment revenues and expenses upon consolidation.
 
The Land and Resource Management segment encompasses the business of managing our approximate 869,000 surface acres of land and our approximate 195,000 NRA of oil and gas royalty interests, principally concentrated in the Permian Basin. The revenue streams of this segment consist primarily of royalties from oil and gas, revenues from easements and commercial leases, and land and material sales.

The Water Services and Operations segment encompasses the business of providing a full-service water offering to operators in the Permian Basin. The revenue streams of this segment primarily consist of revenue generated from sales of sourced and treated water as well as revenue from produced water royalties.
The following table presents segment financial results for the three and six months ended June 30, 2024 and 2023 (in thousands):
Three Months Ended
June 30,		 Six Months Ended
June 30,
2024 2023 2024 2023
Revenues:
Land and resource management $ 104,032  $ 101,320  $ 215,517  $ 205,343 
Water services and operations 68,302  59,289  130,959  101,628 
Total consolidated revenues $ 172,334  $ 160,609  $ 346,476  $ 306,971 
Net income:
Land and resource management $ 80,129  $ 69,633  $ 161,100  $ 134,976 
Water services and operations 34,460  30,760  67,906  51,985 
Total consolidated net income $ 114,589  $ 100,393  $ 229,006  $ 186,961 
Capital expenditures:
Land and resource management $ 93  $ (31) $ 144  $ 144 
Water services and operations 6,406  1,402  12,017  5,000 
Total capital expenditures $ 6,499  $ 1,371  $ 12,161  $ 5,144 
Depreciation, depletion and amortization:
Land and resource management $ 813  $ 912  $ 1,506  $ 1,530 
Water services and operations 3,280  2,981  6,427  5,767 
Total depreciation, depletion and amortization $ 4,093  $ 3,893  $ 7,933  $ 7,297 

The following table presents total assets and property, plant and equipment, net by segment as of June 30, 2024 and December 31, 2023 (in thousands):
  June 30,
2024		 December 31,
2023
Assets:    
Land and resource management $ 1,122,656  $ 975,136 
Water services and operations 193,135  181,262 
Total consolidated assets $ 1,315,791  $ 1,156,398 
Property, plant and equipment, net:    
Land and resource management $ 5,072  $ 5,322 
Water services and operations 90,439  84,265 
Total consolidated property, plant and equipment, net $ 95,511  $ 89,587