Viper Energy Returns to Profit, Raises Output Outlook
The Permian mineral and royalty company reported a third-quarter profit after a year-earlier loss and lifted its 2026 average daily oil production guidance.
Updated on Nov. 3, 2026 in Oil and Gas
Viper Energy reported basic and diluted GAAP earnings of $0.72 per share for the quarter through September 30, 2026, returning to profit from a loss of $0.52 per share in the same quarter a year earlier. The company also raised its 2026 average daily oil production guidance to 67,250-67,750 barrels.
Why it matters
The results reflect higher production tied to recent acquisitions and development activity by Diamondback and third-party operators on Viper's West Texas acreage. The company's expanding Permian footprint offers investors and regional energy stakeholders a view into how mineral and royalty owners are positioned as output grows.
Viper's third-quarter operating income reached $661 million, up from $418 million a year earlier, on average oil production of 69,076 barrels per day. The pending Buckhorn deal, which includes $280 million in cash and about 1.8 million Class A shares, has not yet closed.
The players
Viper Energy
A Permian Basin mineral and royalty company formed by Diamondback Energy to acquire oil and gas properties, and now a publicly traded energy firm focused on West Texas acreage.
Diamondback Energy
A major independent oil producer operating in the Permian Basin, which established Viper Energy and whose acquisition and development activity contributes to Viper's production growth.
The details
Viper's mineral and royalty interests are concentrated mainly in West Texas' Permian Basin, and the company was established by Diamondback to acquire oil and gas properties. In September it acquired McElroy Ranch interests for about $529 million, and its board declared a $0.50 base cash dividend per Class A share.
Timeline
September 2025: Comparative third quarter loss of $0.52 per share reported.
September 2026: McElroy Ranch mineral and royalty interests acquired for about $529 million.
Q4 2026: Expected closing of the Buckhorn acquisition, subject to customary conditions.
November 12, 2026: Shareholder of record date for the $0.50 dividend.
Market Landscape
Viper's growth follows the Diamondback-sponsored model that created it, in which a parent producer's Permian acquisitions and drilling feed royalty income to a separately listed mineral company. The pattern places Viper among Texas-focused mineral owners competing for acreage in the Permian Basin's consolidating market.
Holders of Viper Class A shares will receive a $0.50 base cash dividend tied to the November 12, 2026 record date. Investors and landowners with West Texas royalty exposure may see higher revenue as production rises toward the 2026 guidance range.
The takeaway
Viper's return to profit and higher output guidance show how Permian royalty income can rise quickly when parent producers keep acquiring and developing acreage. Readers tracking Texas energy should watch whether the pending Buckhorn deal closes on schedule.
What happens next
The Buckhorn acquisition is expected to close in the fourth quarter of 2026, subject to customary closing conditions, and the $0.50 dividend is payable to shareholders of record on November 12, 2026.
Further reading
Explore more Texas Oil and Gas coverage for context on the Permian Basin's production trends.
