RESERVE PETROLEUM CO
For the period ended Jun 30, 2024. Filed Aug 14, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2024 · Filed Aug 14, 2024
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What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-03-31; filed 2024-05-15.
0000083350-24-000013
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-30; filed 2024-08-14.
0000083350-24-000023
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 41 previous paragraphs and 44 current paragraphs.
11 unchanged; 19 reworded; 11 added; 11 removed; 0 previous and 3 current paragraphs rearranged.
Tables are not compared: 0 previous and 0 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (11)
Current report
Equity securities increased $1,119,930 (42%) to $3,783,996 as of June 30, 2024, from $2,664,066 at December 31, 2023. The increase resulted from $104,386 in net purchases, reclassification of $148,042 in cost basis for Chilean Cobalt Corp. ("C3") from Other Investments. This was a result of an Initial Public Offering on April 29, 2024. We also had $867,502 net increases in market value, including a $777,222 unrealized gain on C3.
Current report
Accounts receivable increased $461,723 (20%) to $2,828,386 as of June 30, 2024, from $2,366,663 at December 31, 2023, resulting from increases in trade and other accounts receivable of $249,135, primarily related to the increase in TWS water well drilling receivables, and oil and gas receivables of $212,588, primarily due to increased volumes on expected production accrued.
Current report
Accounts payable increased $26,368 (5%) to $564,164 as of June 30, 2024, from $537,796 at December 31, 2023, primarily due to timing differences in the processing of accounts payable.
Current report
Other current liabilities increased $43,855 (342%) to $56,694 as of June 30, 2024, from $12,839 at December 31, 2023, due to an increase of $37,846 in payroll taxes resulting from bringing payroll in-house and changed timing of payroll tax remittance, and an increase in state income and accrued property taxes of $6,009.
Current report
Results of Operations – Six Months Ended June 30, 2024
Current report
Operating Revenues. Revenues from oil and natural gas sales increased $1,205,370 (21%) to $6,848,266 in the six months ended June 30, 2024, from $5,642,896 in the comparable period in 2023. The increase is due to an increase in oil sales of $1,047,384, an increase in natural gas sales of $173,227, and a decrease in miscellaneous oil and natural gas product sales of $15,241.
Current report
The $1,047,384 (23%) increase in oil sales to $5,586,883 in the six months ended June 30, 2024, from $4,539,499 in the comparable period in 2023 was the result of an increase in the volume sold and an increase in the average price per barrel (Bbl). The volume of oil sold increased 9,173 Bbls to 72,674 Bbls in the six months ended June 30, 2024, resulting in a positive volume variance of $655,778. The average price per Bbl increased $5.39 to $76.88 per Bbl in the six months ended June 30, 2024, from $71.49 per Bbl in the comparable period in 2023, resulting in a positive price variance of $391,606.
Current report
Net income attributable to common stockholders increased $569,721 (117%) to $1,056,884 in the three months ended June 30, 2024, from $487,163 in the comparable period in 2023. The significant changes in the consolidated statements of income are discussed below. Net income per share attributable to common stockholders, basic increased $3.71 to $6.83 in the three months ended June 30, 2024, from $3.12 in the comparable period in 2023.
Current report
Operating Revenues. Revenues from oil and gas sales increased $1,129,169 (42%) to $3,836,624 in the three months ended June 30, 2024, from $2,707,455 in the comparable period in 2023. The increase is due to an increase in oil sales of $941,257, an increase in natural gas sales of $194,283, and a decrease in miscellaneous oil and gas product sales of $6,371.
Current report
The $194,283 (45%) increase in natural gas sales to $630,714 in the three months ended June 30, 2024, from $436,431 in the comparable period in 2023 was the result of an increase in the volume sold and an increase in the average price per MCF. The volume of natural gas sold increased 38,941 MCF to 227,257 MCF in the three months ended June 30, 2024, from 188,316 MCF in the comparable period in 2023, resulting in a positive volume variance of $90,342. The average price per MCF increased $0.46 to $2.78 per MCF in the three months ended June 30, 2024, from $2.32 per MCF in the comparable period in 2023, resulting in a positive price variance of $103,941.
Current report
Operating Costs and Expenses. Operating costs and expenses increased $317,873 (13%) to $2,757,448 in the three months ended June 30, 2024, from $2,439,575 in the comparable period in 2023. The increase was the net result of an increase in production costs of $66,021; a decrease in exploration costs charged to expense of $30,345; a decrease in water well drilling costs of $116,408; an increase in DD&A of $465,388; and a decrease in G&A of $66,783.
Removed paragraphs (11)
Previous report
The risks and uncertainties that may affect the operations, performance, development and results of our business include, but are not limited to, the following:
Previous report
• The Company’s future operating results will depend upon management’s ability to employ and retain quality employees, generate revenues and control expenses. Any decline in operating revenues, without a corresponding reduction in operating expenses, could have a material adverse effect on our business, results of operations and financial condition.
Previous report
• The Company has no significant long-term sales contracts for either oil or gas. For the most part, the price we receive for our product is based upon the spot market price, which in the past has experienced significant fluctuations. Management anticipates price fluctuations will continue in the future, making any attempt at estimating future prices subject to significant uncertainty.
Previous report
• Exploration costs have been a significant component of the Company’s capital expenditures in the past and are expected to remain so in the near term. Under the successful efforts method of accounting for oil and gas properties which the Company uses, these costs are capitalized if drilling is successful or charged to operating costs and expensed if unsuccessful. Estimating the amount of future costs which may relate to successful or unsuccessful drilling is extremely imprecise.
Previous report
Equity securities increased $100,007 (4%) to $2,764,073 as of March 31, 2024, from $2,664,066 at December 31, 2023. The increase was the result of $33,684 in net purchases and a $133,691 net increase in market value.
Previous report
Accounts receivable decreased $182,028 (8%) to $2,184,635 as of March 31, 2024, from $2,366,663 at December 31, 2023. This was primarily due to decreased oil and natural gas accruals as of March 31, 2024.
Previous report
Refundable income taxes increased $296,270 (93%) to $614,025 as of March 31, 2024, from $317,755 at December 31, 2023, primarily resulting from an increase in deferred tax liabilities.
Previous report
Accounts payable increased $644,205 (120%) to $1,182,001 as of March 31, 2024, from $537,796 at December 31, 2023, primarily due to increases of leasehold and intangible drilling costs for new wells.
Previous report
Other current liabilities increased $46,308 (361%) to $59,147 as of March 31, 2024, from $12,839 at December 31, 2023, due to increases in accrued property taxes of $4,184, benefits payable of $26,591, and payroll taxes of $15,533.
Previous report
Operating Revenues. Revenues from oil and natural gas sales increased $76,201 (3%) to $3,011,642 in the three months ended March 31, 2024, from $2,935,441 in the comparable period in 2023. The increase is due to an increase in oil sales of $106,127, a decrease in natural gas sales of $21,056, and a decrease in miscellaneous oil and natural gas product sales of $8,870. Revenues from water well drilling services increased $451,280 (275%) to $615,480 from $164,200 in the comparable period in 2023. The increase was due to the completion of a large commercial well project and several commercial and domestic water wells. On April 19, 2024, the Company terminated the joint venture agreement with TWS South, LLC due to a breach of the agreement. Due to the termination, there will be little if any future revenues from water well drilling operations. See Note 5 for details on the termination.
Previous report
General, Administrative and Other (G&A). G&A increased $78,701 (13%) to $674,136 in the three months ended March 31, 2024, from $595,435 in the comparable period in 2023, primarily due to increases in salaries of $113,031, audit and tax fees of $32,867, and a net increase of $18,121 in all other G&A accounts, offset by decreases in consulting fees of $38,363 and information technology costs of $46,955.
Reworded paragraphs (19)
Previous wording
Although management believes the expectations in these and other forward-looking statements are reasonable, we can give no assurance they will prove to have been correct. They can be affected by inaccurate assumptions or by known or unknown risks and uncertainties.
Current wording
Although management believes the expectations in these and other forward-looking statements are reasonable, we can give no assurance they will prove to have been correct. They can be affected by inaccurate assumptions or by known or unknown risks and uncertainties. Factors that would cause actual results to differ materially from expected results are described under “Forward-Looking Statements” on page 3 of the 2023 Form 10-K.
Previous wording
Please refer to the consolidated balance sheets and the consolidated statements of cash flows in this Form 10-Q to supplement the following discussion. In the first three months of 2024, the Company continued to fund its business activity using internal sources of cash. The Company had net cash provided by operating activities of $1,604,198 in the three months ended March 31, 2024. The Company's cash provided by investing activities for the three months ended March 31, 2024 was $4,900,102 and consisted of sales of equity securities of $2,361,375, return on other investments of $4,000, and maturity of available-for-sale debt securities of $2,534,727. The Company's cash applied to investing activities for the three months ended March 31, 2024 was $5,752,329 and consisted of cash for the purchase of property of $2,880,762, cash for the purchase of equity securities of $2,327,691, cash for the purchase of equity method and other investments of $230,050, and cash for the purchase of available for sale debt securities of $313,826. The Company's cash applied to financing activities forthe three months ended March 31, 2024 was $161,084 and consisted of cash paid of $126,020 for the purchase of treasury stock, and $35,064 in payments on the Grand Woods note payable. Cash provided by financing activities included Grand Woods Class C non-controlling interest contributions of $3,749. Cash and cash equivalents increased $594,636 (11%) to $5,813,110 at March 31, 2024, from $5,218,474 at December 31, 2023.
Current wording
Please refer to the consolidated balance sheets and the consolidated statements of cash flows in this Form 10-Q to supplement the following discussion. In the first six months of 2024, the Company continued to fund its business activity using internal sources of cash. The Company had net cash provided by operating activities of $2,916,586 in the six months ended June 30, 2024. The Company had sales of equity securities of $2,441,691, cash provided by property dispositions of $236,090, distributions from other investments of $4,000, and maturity of available-for-sale debt securities of $2,534,727 for total cash provided by investing activities of $5,216,508. The Company utilized cash for the purchase of property of $5,184,855, the purchase of equity securities of $2,546,077, purchase of investments of $380,070, and purchase of available-for-sale debt securities of $313,826 for cash applied to investing activities of $8,424,828. The Company paid $1,546,874 in stockholder dividends, $164,420 for the purchase of treasury stock, and $70,347 in payments on the Grand Woods note payable, for total cash applied to financing activities of $1,781,641. Cash provided by financing activities included Grand Woods Class C non-controlling interest contributions of $7,552. Cash and cash equivalents decreased $2,065,823 (40%) to $3,152,651 at June 30, 2024, from $5,218,474 at December 31, 2023.
Previous wording
Discussion of Significant Changes in the Consolidated Statements of Cash Flows. As noted in the first paragraph above, net cash provided by operating activities was $1,604,198 in the three months ended March 31, 2024, an increase of $18,731 (1%) from cash provided by operations in the comparable period in 2023 of $1,585,467. For more information see “Operating Revenues” and “Other Income/(Loss)” below.
Current wording
Discussion of Significant Changes in the Consolidated Statements of Cash Flows. As noted in the first paragraph above, net cash provided by operating activities was $2,916,586 in the six months ended June 30, 2024, an increase of $277,688 (11%) from cash provided by operations in the comparable period in 2023 of $2,638,898. For more information see “Operating Revenues” and “Other Income, Net” below.
Previous wording
Cash applied to the purchase of property, plant and equipment in the three months ended March 31, 2024, was $2,880,762, an increase of $2,033,126 (240%) from cash applied to the purchase of property, plant and equipment in the comparable period in 2023 of $847,636.
Current wording
Cash applied to the purchase of property, plant and equipment in the six months ended June 30, 2024, was $5,184,855, an increase of $3,299,090 (175%) from cash applied to the purchase of property, plant and equipment in the comparable period in 2023 of $1,885,765. See the subheading “Exploration Costs” in the “Results of Operations” section below for additional information.
Previous wording
Cash applied to the purchase of available-for-sale debt securities in the three months ended March 31, 2024, was $313,826, with $2,312,854 in the comparable period in 2023. Cash provided by the maturity of available-for-sale debt securities in the three months ended March 31, 2024, was $2,534,727, with $1,151,965 in the comparable period in 2023. Cash applied to equity method and other investments in the three months ended March 31, 2024, was $230,050, an increase of $119,818 (109%) from cash applied in the comparable period of 2023 of $110,232.
Current wording
Cash applied to the purchase of available-for-sale debt securities in the six months ended June 30, 2024, was $313,826, a decrease of $4,586,117 (94%) from $4,899,943 in the comparable period in 2023. Cash provided by the maturity of available-for-sale debt securities in the six months ended June 30, 2024, was $2,534,727, a decrease of $1,944,114 (43%) from $4,478,841 in the comparable period in 2023. Cash applied to investments in the six months ended June 30, 2024, was $380,070, a decrease of $52,364 (12%) from cash applied in the comparable period of 2023 of $432,434.
Previous wording
Off-Balance Sheet Arrangements. The Company is a guarantor of 20% of a $860,000 development loan that matures July 15, 2025, and 20% of a construction loan of $585,000 that matures July 25, 2024 held by QSN Office Park, LLC. The Company is committed to a $250,000 investment in VCC Venture Fund I, LP, of which $93,750 (37.50%) is invested at March 31, 2024. The Company is committed to a $1,000,000 investment in Cortado Ventures Fund II-A, of which $500,000 (50.00%) is invested at March 31, 2024. The Company is committed to a$750,000 investment in Cypress MWC, LLC, of which $225,000 (30.00%) is invested at March 31, 2024. For more information about these entities and the related off-balance sheet arrangements, see Note 4 and Note 5 to the accompanying consolidated financial statements.
Current wording
Off-Balance Sheet Arrangements. The Company is a guarantor of 20% of a $860,000 development loan that matures July 15, 2025, and 20% of a construction loan of $585,000 that matures January 25, 2025 held by QSN Office Park, LLC. The Company is committed to a $250,000 investment in VCC Venture Fund I, LP, of which $125,000 (50%) is invested at June 30, 2024. The Company is committed to a $1,000,000 investment in Cortado Ventures Fund II-A, of which $600,000 (60%) is invested at June 30, 2024. The Company is committed to a$750,000 investment in Cypress MWC, LLC, of which $225,000 (30%) is invested at June 30, 2024. For more information about these entities and the related off-balance sheet arrangements, see Note 4 and Note 5 to the accompanying consolidated financial statements.
Previous wording
Net income increased $322,778 (80%) to $726,516 in the three months ended March 31, 2024, from $403,738 in the comparable period in 2023. Net income per share attributable to common stockholders, basic, increased $2.11 to $4.75 in the three months ended March 31, 2024, from $2.64 in the comparable period in 2023. A discussion of revenue from oil and natural gas sales and other significant line items in the consolidated statements of income follows.
Current wording
Net income attributable to common stockholders increased $894,070 (99%) to $1,793,892 in the six months ended June 30, 2024, from $899,822 in the comparable period in 2023. Net income per share attributable to common stockholders, basic, increased $5.82 to $11.58 in the six months ended June 30, 2024, from $5.76 in the comparable period in 2023. A discussion of revenue from oil and natural gas sales and other significant line items in the consolidated statements of income follows.
Previous wording
The $21,056 (4%) decrease in natural gas sales to $514,345 in the three months ended March 31, 2024, from $535,401 in the comparable period in 2023 was the result of an increase in the volume sold and a decrease in the average price per thousand cubic feet ("MCF"). The volume of natural gas sold increased 45,075 MCF to 206,928 MCF in the three months ended March 31, 2024, from 161,853 MCF in the comparable period in 2023, resulting in a positive volume variance of $149,198. The average price per MCF decreased $0.82 to $2.49 per MCF in the three months ended March 31, 2024, from $3.31 per MCF in the comparable period in 2023, resulting in a negative price variance of $170,254.
Current wording
The $173,227 (18%) increase in natural gas sales to $1,145,059 in the six months ended June 30, 2024, from $971,832 in the comparable period in 2023 was the result of an increase in the volume sold and a decrease in the average price per thousand cubic feet ("MCF"). The volume of natural gas sold increased 84,016 MCF to 434,184 MCF in the six months ended June 30, 2024, from 350,168 MCF in the comparable period in 2023, resulting in a positive volume variance of $233,564. The average price per MCF decreased $0.14 to $2.64 per MCF in the six months ended June 30, 2024, from $2.78 per MCF in the comparable period in 2023, resulting in a negative price variance of $60,337.
Previous wording
Sales of miscellaneous oil and natural gas products were $47,133 in the three months ended March 31, 2024, compared to $56,003 in the comparable period in 2023, primarily due to decreased prices.
Current wording
Sales of miscellaneous oil and natural gas products were $116,324 in the six months ended June 30, 2024, compared to $131,565 in the comparable period in 2023.
Previous wording
The Company had water well drilling revenues of $615,480 in the three months ended March 31, 2024, related to water well drilling through TWS, with $164,200 in the comparable period in 2023. The increase was due to the completion of a large commercial well project and several commercial and domestic water wells completed in 2024.
Current wording
The Company had water well drilling revenues of $660,975 in the six months ended June 30, 2024, related to water well drilling through TWS, with $275,582 in the comparable period in 2023. The increase was due to the completion of a large commercial well project and several commercial and residential water wells completed in 2024. Water well drilling revenues ceased on the joint venture agreement termination date of April 19, 2024. See Note 5 for additional information on TWS.
Previous wording
Operating Costs and Expenses. Operating costs and expenses decreased $458,748 (15%) to $2,687,244 in the three months ended March 31, 2024, from $3,145,992 in the comparable period of 2023.
Current wording
Operating Costs and Expenses. Operating costs and expenses decreased $140,875 (3%) to $5,444,692 in the six months ended June 30, 2024, from $5,585,567 in the comparable period of 2023.
Previous wording
Production Costs. Production costs decreased $90,598 (9%) to $966,151 in the three months ended March 31, 2024, from $1,056,749 in the comparable period in 2023. Lease operating expenses decreased $109,512 (13%), due to higher workover costs in the comparable period in 2023. Gas deductions and other costs increased by $23,452 (35%). Gross production taxes decreased $4,538 (3%).
Current wording
Production Costs. Production costs decreased $24,577 (1%) to $2,041,763 in the six months ended June 30, 2024, from $2,066,340 in the comparable period in 2023. Lease operating expenses decreased $208,079 (13%), primarily due to an increase in workovers in the comparable period in 2023. Hauling, compression, and other costs increased by $73,115 (38%). Gross production taxes increased $110,387 (36%) due to increased revenues from oil and natural gas sales in 2024.
Previous wording
Exploration Costs. Exploration costs decreased $215,149 (57%) to $159,199 in the three months ended March 31, 2024, from $374,348 in the comparable period in 2023, primarily due to a decrease of $73,730 in geological and geophysical and other expenses, $146,244 in dry hole and plugging costs, and an increase of $4,825 in leasehold impairments.
Current wording
Exploration Costs. Exploration costs decreased $245,494 (43%) to $328,075 in the six months ended June 30, 2024, from $573,569 in the comparable period in 2023, due to a decrease of $92,963 in geological and geophysical and other expenses, and $157,356 in dry hole and plugging costs, offset by an increase of $4,825 in leasehold impairments.
Previous wording
Water Well Drilling Costs. Water well drilling costs increased $193,862 (105%) to $378,589 in the three months ended March 31, 2024, from $184,727 in the comparable period in 2023. These costs consist of contract labor, equipment rental and maintenance, fuel costs, and other operating supplies related to the drilling of water wells through TWS and increased due to a large commercial well completed in 2024.
Current wording
Water Well Drilling Costs. Water well drilling costs increased $95,608 (30%) to $410,178 in the six months ended June 30, 2024, from $314,570 in the comparable period in 2023. These costs consist of contract labor, equipment rental and maintenance, fuel costs, and other operating supplies related to the drilling of water wells through TWS. Water well drilling costs ceased on the joint venture agreement termination date of April 19, 2024. See Note 5 for additional information on TWS.
Previous wording
Depreciation, Depletion, Amortization and Valuation Provision (DD&A). DD&A decreased $425,564 (46%) to $509,169 in the three months ended March 31, 2024, from $934,733 in the comparable period in 2023, primarily due to a decrease in long-lived assets impairments of $443,456 that occurred in 2023.
Current wording
Depreciation, Depletion, Amortization and Valuation Provision (DD&A). DD&A increased $39,822 (3%) to $1,355,152 in the six months ended June 30, 2024, from $1,315,330 in the comparable period in 2023, due to a decrease in long-lived assets impairments of $443,456 offset by a $483,278 net increase in depletion, depreciation, and amortization due to an increase in completions and production.
Previous wording
Equity Income in Investees. Equity income in investees decreased $8,115 to $23,541 in the three months ended March 31, 2024, from $31,656 in the comparable period in 2023. Income was made up of income of $17,244 in Broadway Sixty-Eight, LLC (“Broadway 68”), income of $15,789 in Broadway Seventy-Two, LLC (“Broadway 72”), losses of $26,128 in QSN Office Park, LLC (“QSN”), and income of $16,636 from Victorum BRH2 Investment, LLC and Victorum BRH3 Investment, LLC. See Note 4 to the accompanying financial statements for additional information on equity method investments.
Current wording
Equity Income in Investees. Equity income in investees decreased $1,275 (2%) to $57,358 in the six months ended June 30, 2024, from $58,633 in the comparable period in 2023. Income in the six months ended June 30, 2024, was made up of income of $11,929 in Broadway Sixty-Eight, LLC (“Broadway 68”), income of $32,126 in Broadway Seventy-Two, LLC (“Broadway 72”), income of $46,977 from Victorum BRH Investment, LLC, offset by losses of $11,599 in QSN Office Park, LLC (“QSN”), and $22,075 in Stott's Mill. See Note 4 to the accompanying financial statements for additional information on equity method investments.
Previous wording
The $106,127 (5%) increase in oil sales to $2,450,164 in the three months ended March 31, 2024, from $2,344,037 in the comparable period in 2023 was the result of an increase in the volume sold and an increase in the average price per barrel (Bbl). The volume of oil sold increased 612 Bbls to 33,290 Bbls in the three months ended March 31, 2024, resulting in a positive volume variance of $43,899. The average price per Bbl increased $1.87 to $73.60 per Bbl in the three months ended March 31, 2024, from $71.73 per Bbl in the comparable period in 2023, resulting in a positive price variance of $62,228.
Current wording
The $941,257 (43%) increase in oil sales to $3,136,719 in the three months ended June 30, 2024, from $2,195,462 in the comparable period in 2023 was the result of an increase in the volume sold and an increase in the average price per barrel (Bbl). The volume of oil sold increased 8,561 Bbls to 39,384 Bbls in the three months ended June 30, 2024, resulting in a positive volume variance of $609,800. The average price per Bbl increased $8.41 to $79.64 per Bbl in the three months ended June 30, 2024, from $71.23 per Bbl in the comparable period in 2023, resulting in a positive price variance of $331,457.
Previous wording
Other Income, Net. Other income, net decreased $349,224 (61%) to $219,609 in the three months ended March 31, 2024, from $568,833 in the comparable period in 2023. See Note 3 to the accompanying consolidated financial statements for an analysis of the components of this line item.
Current wording
Other Income, Net. Other income, net decreased $1,977 in the three months ended June 30, 2024, to $186,732 from $188,709 in the comparable period in 2023. See Note 3 to the accompanying consolidated financial statements for an analysis of the components of this item.
Previous wording
Income Tax Provision. Income tax provision increased $306,277 (230%) to $439,724 in the three months ended March 31, 2024, from $133,447 in the comparable period in 2023, primarily due to net increases in deferred tax liabilities of $646,749 and net decreases in deferred tax assets of $100,246. Of the 2024 tax provision, the estimated current tax benefit was $307,271 and the estimated deferred tax provision was $746,995. Of the 2023 income tax provision, the estimated current tax provision was $11,534 and the estimated deferred tax provision was $121,913. See Note 7 to the accompanying consolidated financial statements for additional information on income taxes.
Current wording
Income Tax Provision. Income tax provision increased $181,209 (184%) to $279,527 in the three months ended June 30, 2024, from $98,318 in the comparable period in 2023. Of the 2024 tax provision, estimated current tax provision was $308,070 and estimated deferred tax benefit was $28,543. Of the 2023 income tax provision, the estimated current tax benefit was $61,208 and the estimated deferred tax provision was $159,526. See discussions above in “Results of Operations” section and Note 7 to the accompanying consolidated financial statements for additional explanation of the changes in the provision for income taxes.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
Other Income, Net. Other income, net was $406,343 in the six months ended June 30, 2024, as compared $757,542 in the comparable period in 2023. See Note 3 to the accompanying consolidated financial statements for an analysis of the components of this line item.
Current report — wording carried from elsewhere
Income Tax Provision. Income tax provision increased $487,486 (210%) to $719,251 in the six months ended June 30, 2024, from $231,765 in the comparable period in 2023. Of the 2024 tax provision, estimated current tax provision was $799 and estimated deferred tax provision was $718,452. Of the 2023 income tax provision, the estimated current tax benefit was $49,674 and the estimated deferred tax provision was $281,439. See Note 7 to the accompanying consolidated financial statements for additional information on income taxes.
Current report — wording carried from elsewhere
Equity Income in Investees. Equity income in investees increased $6,840 to income of $33,817 in the three months ended June 30, 2024, from $26,977 in the comparable period in 2023. See Note 4 to the accompanying financial statements for additional information on equity method investments.