VOC Energy Trust(VOC) - 2024 Q1 - Quarterly Report

Financial Performance - Distributable income for Q1 2024 was $3,230,000, a decrease of 17.4% from $3,910,000 in Q1 2023[7] - Income from net profits interest for Q1 2024 was $3,604,114, down 16.7% from $4,328,752 in Q1 2023[26] - Cash distributions per Trust unit decreased to $0.19 in Q1 2024 from $0.23 in Q1 2023, reflecting a decline of 17.4%[32] - For the three months ended March 31, 2024, total gross proceeds from oil and natural gas sales were $9,694,535, a decrease of $1,501,043 or 13.4% from $11,195,578 for the same period in 2023[38] - Oil sales volumes decreased by 11,195 Bbls or 8.8% to 116,405 Bbls in Q1 2024 from 127,600 Bbls in Q1 2023, while natural gas sales volumes decreased by 15,580 Mcf or 18.7% to 67,921 Mcf[38] - The average price for oil decreased by 1.6% to $81.39 per Bbl, and the average price for natural gas decreased by 57.6% to $3.24 per Mcf in Q1 2024 compared to Q1 2023[38] - Total costs for the three months ended March 31, 2024, were $5,189,393, a decrease of $595,245 or 10.3% from $5,784,638 in Q1 2023[39] - The excess of revenues over direct operating expenses was $4,505,142 for Q1 2024, a decrease of $905,798 or 16.7% from $5,410,940 in Q1 2023[40] - Income from net profits interest for Q1 2024 was $3,604,114, down from $4,328,752 in Q1 2023, reflecting a decrease of $724,638 or 16.7%[40] - Distributable income for the three months ended March 31, 2024, was $3,230,000, a decrease of $680,000 from $3,910,000 in Q1 2023[40] Assets and Cash Management - Total assets as of March 31, 2024, were $12,928,840, a decrease from $13,372,565 as of December 31, 2023[9] - Trust corpus at the end of Q1 2024 was $12,928,840, down from $14,619,274 at the end of Q1 2023[11] - Cash and cash equivalents increased slightly to $1,446,956 as of March 31, 2024, compared to $1,429,301 as of December 31, 2023[9] - As of March 31, 2024, the Trust held $1,446,956 in cash and cash equivalents, which includes a cash reserve of $1.175 million[41] - The Trust has a letter of credit from VOC Brazos amounting to $1,700,000 to protect against insufficient cash for future expenses[42] - The Trustee has established a cash reserve of $1,000,000 to mitigate the impact of uneven capital expenditure timing, which was maintained as of March 31, 2024[45] - VOC Brazos did not withhold or release any amounts from the reserve during Q1 2024, maintaining a reserve balance of $1.0 million[27] Governance and Operational Structure - VOC Energy Trust has no principal executive officer or board of directors, indicating a unique governance structure[61] - The Trustee, The Bank of New York Mellon Trust Company, serves without implying any executive functions[61] - The report was signed by Elaina C. Rodgers, Vice President, on May 8, 2024[61] - No additional signatures are available, reflecting the trust's operational framework[61] - The Trust Agreement under which the Trustee serves does not establish traditional corporate governance roles[61] - The document does not provide financial performance metrics or user data[61] - There are no future outlooks or performance guidance mentioned in the report[61] - No information on new products, technologies, market expansion, or mergers and acquisitions is included[61] - The report focuses solely on the structural aspects of the Trust rather than financial results[61] - The absence of a principal financial officer suggests a different approach to financial oversight[61]