Phoenix Equity (PHXE-P) is an oil and gas company that acquires mineral and royalty interests and operates direct drilling programs to produce crude oil, natural gas, and natural gas liquids. Revenue comes from four streams: product sales from operated production ($437.4 million in FY2025), mineral and royalty revenues ($125.0 million in FY2025), purchased crude oil sales ($113.4 million in FY2025), and water services ($10.8 million in FY2025), totaling $687.2 million in FY2025 versus $281.2 million in FY2024. The company pairs royalty income with non-operated working interests to create a tax-minimization structure that reduces annual taxable income. As of December 31, 2025, total debt stood at $1,529.9 million against total assets of $1,806.8 million, making this a heavily debt-financed, capital-intensive business. The company reported net income of $66.1 million and EBITDA of $403.6 million for FY2025. All common equity is owned by Phoenix Equity with no public trading market for common shares as of the filing date.

Revenue model

Transactional and royalty-based. Product sales from operated oil, gas, and NGL production generated $437.4 million (FY2025). Mineral and royalty revenues contributed $125.0 million (FY2025), down 18.3% from $153.0 million in FY2024. Purchased crude oil sales added $113.4 million (FY2025). Water services generated $10.8 million (FY2025). Capital expenditures are financed through debt issuances, credit facilities, and capital contributions from Phoenix Equity.

Products and services

Crude oil, natural gas, and NGL production from operated wells. Mineral and royalty interests acquired through purchase-and-sale transactions. Non-operated working interests held partly for tax benefits. Purchased crude oil resale. Water services. A proprietary software system used internally for asset discovery and acquisition.

Customers and end markets

Oil and gas commodity markets. End demand is crude oil, natural gas, and NGL consumption. No specific customer concentration data disclosed in the filing excerpts.

Value-chain role

Acquires mineral and royalty interests (analogous to real estate transactions per the filing), operates direct drilling programs, and holds producing assets on its balance sheet for long-term cash flow. Focuses on recently producing or near-production wells given depletion curves. Uses successful efforts accounting; development well costs are capitalized and depleted on a units-of-production basis. Depletion expense was $177.9 million in FY2025 at $17.92 per Boe.

Geographic exposure

United States oil and gas basins. Specific basins or states not identified in the filing excerpts.

Source: SEC 10-K, filed 2026-03-17

Industry: Crude Petroleum & Natural Gas