VOC Energy Trust(US:VOC)2023-11-09 21:16Financial Performance - For the three months ended September 30, 2023, the distributable income was $3,570,000, a decrease of 44% compared to $6,460,000 for the same period in 2022[6]. - The cash distributions per Trust unit for the three months ended September 30, 2023, were $0.21, down 44.7% from $0.38 in the same period of 2022[6]. - Income from net profits interest for the nine months ended September 30, 2023, was $12,337,945, a decrease of 26.5% from $16,792,579 for the same period in 2022[6]. - The Trust's distributable income for the three months ended September 30, 2023 was $3,570,000, a decrease of $2,890,000 from $6,460,000 for the same period in 2022[41]. - Distributable income for the nine months ended September 30, 2023, was $11,390,000, compared to $15,470,000 for the same period in 2022[46]. Asset and Investment Status - Total assets as of September 30, 2023, were $13,749,704, a decrease of 8.6% from $15,048,316 as of December 31, 2022[8]. - The Trust corpus at the end of the period was $13,749,704, down from $15,118,800 at the end of the previous quarter[10]. - The investment in net profits interest remained unchanged at $140,591,606 as of September 30, 2023, compared to December 31, 2022[8]. - No impairment of the investment in net profits interest was recorded during the quarters ended September 30, 2023, or 2022[21]. - As of September 30, 2023, the Trustee held $1,328,174 as a reserve for future development and operating expenses[47]. Revenue and Sales Performance - For the three months ended September 30, 2023, gross proceeds from oil and natural gas sales were $9,240,585, a decrease of 34.9% from $14,203,250 in the same period of 2022[39]. - For the nine months ended September 30, 2023, total gross proceeds from oil and natural gas sales were $29,793,178, a decrease of 15.1% from $35,084,875 in the same period of 2022[44]. - Oil sales volumes were 126,373 Bbls, a decrease of 3.5% from 131,018 Bbls for the three months ended September 30, 2022[39]. - Oil sales volumes decreased by 4.3% to 374,744 Bbls in 2023 from 391,719 Bbls in 2022, while natural gas sales volumes decreased by 4.2% to 229,109 Mcf from 239,254 Mcf[44]. Expense Analysis - General and administrative expenses for the three months ended September 30, 2023, were $257,220, an increase of 59.5% compared to $161,324 for the same period in 2022[6]. - Lease operating expenses were $3,553,191, a decrease of 7.7% from $3,851,595 for the three months ended September 30, 2022[40]. - Development expenses decreased by 72.7% to $295,971 from $1,084,572 in the same period of 2022[40]. - Lease operating expenses increased by 6.2% to $11,213,378 in 2023 from $10,557,018 in 2022, while production and property taxes increased by 12.3% to $1,830,926[45]. Cash Management - Cash on hand used for Trust expenses was $40,069 for the three months ended September 30, 2023, compared to a withholding of $275,888 in the same period of 2022[6]. - The Trust has not borrowed funds during the three and nine months ended September 30, 2023 and 2022, and a letter of credit of $1.7 million has been provided to protect against insufficient cash for future expenses[48]. - The targeted cash reserve of $1.175 million was fully funded as of January 30, 2023, to cover future known, anticipated, or contingent expenses[49]. Distribution Information - The first quarterly distribution in 2023 was $3,910,000, or $0.23 per Trust Unit, made on February 14, 2023[29]. - The third quarterly distribution in 2023 was $3,570,000, or $0.21 per Trust Unit, made on August 14, 2023[31].