Cash Distribution - The Registrant announced a monthly cash distribution to unitholders of record on September 30, 2024[2] - The news release regarding the cash distribution was issued on September 20, 2024[2] Financial Reporting - The report is filed under Item 2.02 of Form 8-K, indicating results of operations and financial condition[2] - The report is not deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934[2] Signatories - The report was signed by Nancy Willis, Director of Royalty Trust Services, on behalf of Cross Timbers Royalty Trust[3] - The report was also signed by Kristy Walker, Unconventional Finance General Manager of Exxon Mobil Corporation[3]

Core Viewpoint - The article discusses the performance and outlook of CT Real Estate Investment Trust (CT REIT), highlighting its strong financial metrics despite rising interest expenses and the potential for future growth in earnings and dividends as interest rates decrease [2][3][20]. Financial Performance - The net operating income (NOI) increased by approximately 4.4% year-over-year, reaching nearly C$115 million, with a quarter-over-quarter increase of about 1% [3][4]. - Funds from operations (FFO) rose by 2.1% in the second quarter, while adjusted funds from operations (AFFO) increased by 3.6% to C$74.25 million [12][14]. - The AFFO per share is projected to be C$1.26 annually, with a current distribution of C$0.925 per unit, yielding approximately 6.03% based on the recent share price [17][19]. Debt and Interest Expenses - Total interest and finance expenses increased by approximately C$1.7 million year-over-year, with net interest expenses rising by about C$2.3 million [5][7][10]. - The average cost of debt was approximately 4.13% at the end of June 2024, and the REIT has primarily fixed-rate debt, insulating it from rising interest rates [10][11]. Dividend and Distribution Growth - CT REIT has a history of gradually increasing its distributions, with the current annualized distribution being about 20% higher than in 2019 [18]. - The AFFO payout ratio is around 73%, indicating a healthy balance between earnings and distributions [19]. Market Position and Valuation - The stock is trading at a discount of nearly 10% to its net asset value (NAV), based on a multiple of approximately 16 times the NOI from Q2 [20]. - The current price-to-AFFO multiple is around 12, which is considered attractive [20].

Financial Performance - Net profits income for the three months ended June 30, 2024, was $1,564,871, down from $3,163,059 for the same period in 2023, indicating a decrease of about 50.5%[12] - Distributable income for the three months ended June 30, 2024, was $1,345,758, compared to $3,040,614 for the same period in 2023, reflecting a decline of approximately 55.8%[12] - Total income for the six months ended June 30, 2024, was $3,434,758, compared to $7,107,110 for the same period in 2023, a decrease of approximately 51.6%[12] - For the quarter ended June 30, 2024, net profits income was $1,564,871, a 51% decrease from $3,163,059 in the second quarter of 2023, primarily due to lower gas prices and increased development costs[36] - For the six months ended June 30, 2024, net profits income was $3,402,612, a 52% decrease from $7,075,763 in the same period of 2023, primarily due to lower gas prices and decreased production[38] - For the quarter ended June 30, 2024, distributable income was $1,345,758, or $0.224293 per unit, a decrease from $3,040,614, or $0.506769 per unit in the same quarter of 2023, representing a 56% decline[37] - Total revenues for the quarter ended June 30, 2024, were $4,714,656, a 25% decrease from $6,247,815 in the same quarter of 2023[43] Assets and Trust Corpus - As of June 30, 2024, total assets of Cross Timbers Royalty Trust amounted to $3,731,769, a decrease from $4,528,965 as of December 31, 2023, representing a decline of approximately 17.6%[8] - The trust corpus at the end of the period was $2,550,725, down from $2,671,583 at the end of 2023, marking a decrease of about 4.5%[9] - The trust's cash and short-term investments decreased to $1,175,691 from $1,852,320, a decline of approximately 36.5%[8] Expenses - Administration expenses for the three months ended June 30, 2024, were $234,286, an increase from $139,454 in the same period of 2023, representing an increase of about 68%[12] - Administration expenses for the six months ended June 30, 2024, increased by $168,488 compared to the prior year, totaling $595,786[39] - Production expenses decreased by 4% for the second quarter and by 3% for the six-month period, primarily due to lower power and fuel costs[49] - Development costs increased by 290% for the second quarter and 115% for the six-month period, mainly due to the timing of drilling activity costs[50] - Taxes, transportation, and other costs decreased by 33% for the second quarter and 48% for the six-month period, attributed to lower gas deductions and production taxes[48] Distribution to Unitholders - The distribution payable to unitholders for the quarter was $181,044, significantly lower than $857,382 for the same period in 2023, indicating a reduction of about 78.8%[9] Revenue Sources and Taxation - The Trust's revenues are sourced entirely from Texas, Oklahoma, or New Mexico, and it has not been taxed at the trust level in these states[22] - The Trust expects to continue being exempt from Texas franchise tax as a passive entity[23] Other Financial Information - The average oil price for the second quarter increased by 4% to $77.24 per Bbl, while the average gas price decreased by 66% to $4.04 per Mcf[46][47] - Oil sales volumes increased by 3% for the second quarter and 1% for the six-month period, while gas sales volumes increased by 27% for the second quarter but decreased by 45% for the six-month period[45] - Cumulative excess costs remaining at June 30, 2024, totaled $2,765,489, with accrued interest of $966,443[30] - Cumulative excess costs for the Texas and Oklahoma working interest conveyances totaled $3.7 million as of June 30, 2024[52] Governance and Compliance - The Trustee evaluated the effectiveness of the Trust's disclosure controls and procedures, concluding they are effective in timely reporting required information[56] - There have been no material changes in the risk factors disclosed in the Trust's Annual Report for the year ended December 31, 2023[58] - The Trust does not have any directors or officers, thus no trading arrangements were adopted or terminated[59] Impairment and Amortization - Accumulated amortization of net profits interests was $58,549,724 as of June 30, 2024, compared to $58,428,866 as of December 31, 2023[20] - No impairment of net profits interests was recorded as of June 30, 2024, as no trigger events indicated a need for assessment[19] Other Notes - The monthly overhead charge deducted by XTO Energy as of June 30, 2024, was $50,442, subject to annual adjustment based on an oil and gas industry index[33] - For the quarter ended June 30, 2024, excess costs were $80,661 on properties underlying the Texas working interest net profits interests[31] - The allocation of a portion of the Chieftain settlement to the Trust will be resolved in the third quarter of 2024[27]

Core Viewpoint - Argent Trust Company, as Trustee of the Cross Timbers Royalty Trust, announced a cash distribution of $0.096137 per unit, payable on August 14, 2024, to unitholders of record on July 31, 2024 [1] Distribution Details - The current month distribution includes underlying sales volumes of 12,000 barrels of oil and 186,000 Mcf of gas, with average prices of $78.39 per barrel and $4.03 per Mcf [5] - The prior month distribution had the same oil sales volume of 12,000 barrels but lower gas sales volume of 10,000 Mcf, with average prices of $84.42 per barrel and $8.14 per Mcf [5] - A volume correction for the prior month indicates that underlying gas sales volumes would have been 22,000 Mcf, with an average gas price of $3.57 per Mcf, but this did not affect cash distributions [5] Excess Costs - XTO Energy reported an increase in excess costs of $142,000 on properties underlying the Texas Working Interest net profits interests, with cumulative excess costs totaling $3,696,000, including accrued interest of $981,000 [3] - For the Oklahoma Working Interest net profits interests, excess costs of $204,000, including accrued interest of $11,000, were fully recovered [8]

Financial Distribution - The registrant announced a monthly cash distribution to unitholders of record on June 28, 2024[10] - The news release is attached as Exhibit 99.1, providing further details on the cash distribution[12] Regulatory Filing - The report is filed under Item 2.02 of Form 8-K, indicating results of operations and financial condition[2] - The filing is made pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934[7] - The report does not classify the registrant as an emerging growth company[8] Company Information - The registrant is identified as Cross Timbers Royalty Trust, with Argent Trust Company as the trustee[7] Financial Performance - The report does not include specific financial performance metrics or user data[2] - The registrant has not indicated any new product or technology developments in this report[2] - There is no mention of market expansion or acquisitions in the current report[2] - The registrant has not disclosed any future outlook or performance guidance in this filing[2]

(a.) Sales volumes are recorded in the month the Trust receives the related net profits income. Because of this, sales volumes may fluctuate from month to month based on the timing of cash receipts. Excess Costs XTO Energy has advised the Trustee that excess costs increased by $21,000 on properties underlying the Texas Working Interest net profits interests. However, these excess costs did not reduce net proceeds from the remaining conveyances. Underlying cumulative excess costs remaining on the Texas Worki ...

"The prestigious International Vicenza Course is known for showcasing breakthroughs in the field of extracorporeal organ support. It is an honor to be invited to showcase our SCD technology by Dr. Claudio Ronco, director of the International Renal Research Institute of Vicenza (IRRIV) and internationally recognized thought leader in the field," said Kevin Chung, MD, SeaStar Medical Chief Medical Officer. "Our SCD offers a groundbreaking approach to treating critically ill pediatric and adult AKI patients. W ...

Debt Principal Repayments¹ $700 7.00% $600 6.00% 5.00% $500 $400 4.009 $300 $200 2.00% $100 1.00% 0.00% $0 2033 CT REIT Investor Relations In a worst-ease scenario and assuming the average cost of debt increases to 5.25% on average (I don't expect this to happen as the Bank of Canada has started to reduce its interest rates while some of CT REIT's cheap fixed rate debt will keep the average below 5.25% even if new debt has to be issued with a higher coupon), the interest expenses would increase by just unde ...

Excess Costs XTO Energy has advised the Trustee that $46,000 of excess costs were recovered on properties underlying the Texas Working Interest net profits interests. However, after the partial recovery, there were no remaining proceeds from the properties underlying the Texas Working Interest net profits interests to be included in this month's distribution. Underlying cumulative excess costs remaining on the Texas Working Interest net profits interests total $3,484,000, including accrued interest of $931, ...

FORM 10-Q OR (Exact name of registrant as specified in its charter) Texas 1-10982 75-6415930 (State or other jurisdiction of incorporation or organization) (Commission File Number) (I.R.S. Employer Identification No.) | --- | --- | --- | |-------|-----------------------------|-------| | | | | | | | | | ☐ | Accelerated filer | | | | Smaller reporting company | | | | Emerging growth company | | Table of Contents ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the ...