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DMLP, Dorchester Minerals L.P. Common
Revenue is led by Royalties, Oil (75%) and Net Profit Interests (9%), with 3 more lines behind.
We expect to benefit from continued operator development and believe the new production will help offset other mature property production declines.
The business
What it sells, where the money comes from, the kind of company it is.
Next report By 11/8 · the 10-Q for the quarter ended late September · due within 40 days of period end · has filed ~37 days after · the wire records it on arrival
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What it is
- An oil and gas business, whose fortunes rise and fall with a price it does not set.
- What moves the needle
- Operating margin has run about 67% through the cycle, a wide margin for the work it does — whether that reflects a durable edge or one that can fade is what the record weighs. Read this kind of business on the commodity price, and the cost to lift a barrel. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has run high across the record (median 41%, above 15% in 10 of 10 years), though buybacks and expensed R&D and brands shrink the capital base, so the figure overstates the underlying economics. The steadier read is owner earnings: roughly 80% of revenue reaches owners as cash, though it swings. Whether these returns reflect real pricing power or an accounting artifact is the judgment the 10-K is for.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 10-K →Royalties, Oil is 75% of revenue, with Net Profit Interests the other meaningful line at 9%.
- Royalties, Oil75%$114M
- Net Profit Interests9%$14M
- Royalties, Natural Gas9%$14M
- Lease Bonus6%$9M
- Other Revenue1%$2M
From the segment footnote of the company's own 10-K. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.
The record
Ten years of arithmetic, read across the cycle.
The record, 2016–2025
realized figures from each filing · older years to the left| 2016’16 | 2017’17 | 2018’18 | 2019’19 | 2020’20 | 2021’21 | 2022’22 | 2023’23 | 2024’24 | 2025’25 | TTMTTMJun 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Income statement | |||||||||||
| $38M | $57M | $73M | $79M | $47M | $93M | $171M | $164M | $162M | $153M | $192M | RevenueRevenue |
| 13% | 9% | 7% | 8% | 16% | 6% | 5% | 7% | 7% | — | 7% | SG&A / revenueSG&A/rev |
| $21M | $38M | $54M | $53M | $22M | $70M | $131M | $114M | $92M | $57M | $21M | Operating incomeOp. inc. |
| 55.8% | 67.1% | 73.6% | 67.0% | 46.6% | 75.1% | 76.5% | 69.7% | 57.2% | 37.5% | 10.9% | Operating marginOp. mgn |
| $21M | $38M | $54M | $53M | $22M | $70M | $131M | $114M | $92M | $57M | $87M | Net incomeNet inc. |
| Cash flow & returns | |||||||||||
| $28M | $44M | $63M | $66M | $39M | $70M | $147M | $140M | $133M | $132M | $157M | Operating cash flowOp. cash |
| $9M | $9M | $9M | $13M | $12M | $10M | $19M | $26M | $43M | $66M | $72M | Depreciation & amortizationD&A |
| ($1M) | ($4M) | ($330K) | $43K | $6M | ($10M) | ($3M) | ($582K) | ($2M) | $9M | ($2M) | Working capital & otherWC & other |
| $27M | $38M | $58M | $71M | $50M | $56M | $137M | $136M | $152M | $137M | — | Dividends paidDiv. paid |
| — | ($616K) | ($60K) | $2M | $6M | $3M | $2M | $2M | — | — | — | Investing cash flowInv. cash |
| 28% | 39% | 62% | 43% | 24% | 49% | 79% | 65% | 23% | 17% | — | ROICROIC |
| 31% | 42% | 62% | 47% | 26% | 49% | 76% | 61% | 26% | 19% | — | Return on equityROE |
| −9% | 1% | −5% | −16% | −33% | 10% | −4% | −12% | −16% | −26% | — | Retained to equityRetained/eq |
| Balance sheet | |||||||||||
| $8M | $14M | $18M | $15M | $11M | $28M | $41M | $47M | $43M | $42M | $73M | Cash & investmentsCash+inv |
| — | — | — | — | — | — | — | $22M | $25M | $16M | $27M | ReceivablesReceiv. |
| $252K | $599K | $421K | $2M | $2M | $3M | $3M | $4M | $4M | $4M | — | Accounts payablePayables |
| — | — | — | — | — | — | — | $18M | $21M | $13M | $27M | Operating working capitalOper. WC |
| $15M | $25M | $30M | $28M | $18M | $47M | $62M | $70M | $68M | $59M | $100M | Current assetsCur. assets |
| $275K | $637K | $486K | $2M | $2M | $3M | $3M | $4M | $4M | $4M | $7M | Current liabilitiesCur. liab. |
| 53.8× | 39.8× | 62.0× | 12.0× | 9.7× | 16.6× | 18.3× | 15.6× | 16.0× | 15.5× | 13.9× | Current ratioCurr. ratio |
| $67M | $92M | $88M | $117M | $88M | $147M | $176M | $191M | $367M | $310M | $314M | Total assetsAssets |
| ($8M) | ($14M) | ($18M) | ($15M) | ($11M) | ($28M) | ($41M) | ($47M) | ($43M) | ($42M) | ($73M) | Net debt / (cash)Net debt |
| $275K | $1M | $1M | $5M | $4M | $4M | $5M | $6M | $5M | $4M | — | Total liabilitiesTotal liab. |
| $67M | $91M | $87M | $112M | $85M | $142M | $172M | $186M | $362M | $305M | — | Partners' capitalCapital |
| Per share | |||||||||||
| 30.7M | 31.5M | 32.3M | 34.1M | 34.7M | 35.1M | 37.6M | 38.8M | 41.8M | 47.7M | 48.3M | Shares out (basic avg)Shares |
| $1.22 | $1.82 | $2.27 | $2.31 | $1.35 | $2.67 | $4.54 | $4.22 | $3.86 | $3.21 | $3.98 | Revenue / shareRev/sh |
| $0.68 | $1.22 | $1.67 | $1.55 | $0.63 | $2.00 | $3.47 | $2.94 | $2.21 | $1.20 | $1.81 | EPS (basic)EPS |
| $0.89 | $1.20 | $1.80 | $2.08 | $1.43 | $1.59 | $3.63 | $3.50 | $3.63 | $2.87 | — | Dividends / shareDiv/sh |
| $2.18 | $2.88 | $2.68 | $3.29 | $2.44 | $4.06 | $4.56 | $4.78 | $8.65 | $6.41 | — | Book value / shareBVPS |
| 9-yr | 5-yr | |
|---|---|---|
| Revenue / share | +11.3%/yr | +18.8%/yr |
| Owner earnings / share | +41.8%/yr (1-yr) | +41.8%/yr (1-yr) |
| EPS | +6.5%/yr | +13.8%/yr |
| Dividends / share | +14.0%/yr | +15.0%/yr |
| Capital spending / share | −96.2%/yr (1-yr) | −96.2%/yr (1-yr) |
| Book value / share | +12.7%/yr | +21.3%/yr |
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedEach year's operating cash, by what management did with it: the mix, and how it drifts.
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2018 the business turned $54M of profit into $62M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.
| FY2018 | FY2017 | |
|---|---|---|
| Reported net income | $54M | $38M |
| Depreciation & amortizationnon-cash charge added back | +$9M | +$9M |
| Working capital & othertiming of cash in and out, other non-cash items | −$330K | −$4M |
| Cash from operations | $63M | $44M |
| Capital expenditurecash put back in to keep running and to grow | −$41K | −$1M |
| Owner earnings | $62M | $43M |
| Owner-earnings marginowner earnings ÷ revenue | 85% | 75% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
Will it survive?
- No meaningful interest burdenLittle or no interest expense reported
What this means
Little or no interest expense reported, the business isn't leaning on lenders to operate.
- Net cash, debt-freeCash $42M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $42M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Not enough data
What this means
The filing data didn't include the inputs for this check.
Is it a good business?
- Not enough dataIndustry peers: median 17%
What this means
The filing data didn't include the inputs for this check.
- Not enough dataIndustry peers: median 64%
What this means
The filing data didn't include the inputs for this check.
- Cash-backedCash from ops $132M ÷ net income $57M
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? —Not enough data
What this means
The filing data didn't include the inputs for this check.
Graham’s defensive tests · 4 of 5 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $153M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity PassCurrent ratio ≥ 2× · 15.54×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Earnings stability PassA profit every year (10-yr record) · no losses
What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
- Dividend record PassUninterrupted dividends · paid every year (10)
What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
- Earnings growth PassEarnings +33% over the record · +133%
What this means
At least a third more earnings than a decade ago, averaging three years at each end. Net income (not per-share), so stock splits don't distort it, buybacks and dilution show up in the share-count line instead.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $1.79/share (latest year $1.17), the averaged base the calculator's gate runs on, and book value is $6.22/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Durability & moat, 2016–2025
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 10 of 10
What this means
Never lost money over the record, the earnings stability Graham insisted on.
- Operating margin 65% → 55% (3-yr avg ends)
What this means
Through the cycle the operating margin slipped — about 65% early to 55% lately, median 67% — competition or costs are biting in.
- Owner earnings growth +0%/yr
What this means
Owner earnings grew about 0% a year over the record.
- Worst year 2025 · 37.5% op. margin
What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
- Share count +5.0%/yr
What this means
The share count is rising, dilution works against you on a per-share basis.
- Dividend record rising
What this means
Paid and raised the dividend across the record, the continuity Graham prized.
All figures as filed; the source filing is linked above.
Current Position
as of the latest quarter, Jun 30, 2026Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
- Cash & short-term investments$73M
- Receivables$27M
- Other current assets$270K
- Accounts payable$7M
- Other current liabilities$355K
From the company's latest filing.
Management, ownership & pay
read the proxy →From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.
| Fiscal year | Pay, as filed | “Actually paid” | Net income |
|---|---|---|---|
| 2021 | $115k | $115k | $70M |
| 2022 | $115k | $115k | $131M |
| 2022 | $927k | $927k | $131M |
| 2023 | $115k | $115k | $114M |
| 2023 | $1.6M | $1.6M | $114M |
| 2024 | $1.8M | $1.8M | $92M |
| 2025 | $1.6M | $1.4M | $57M |
Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Net income is the whole business's, as filed, for the same fiscal years.
What an owner would ask, FY2025
read the 10-K →- Which reported numbers are a judgment call?Management names Oil & gas reserve estimates, Depletion & DD&A, Ceiling test / impairment of properties as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →
The questions the record and the charts do not answer on their own; each carries the figure and the place to look.
Peers, Oil & Gas Royalties & Mineral Interests
The same industry, side by side on owner economics. Each column names the period it is read over, and a median resting on fewer than three years carries that count beside it; the group median at the foot is the line to read each figure against.
| Company | Revenuelatest FY, USD | Op. marginmedian over the record | ROICmedian over the record | Owner earn. marginmedian over the record |
|---|---|---|---|---|
| VNOMViper Energy | $1.4B | 65.9% | 18% | — |
| TPLTexas Pacific Land | $798M | 78.7% | 120% | 64% |
| BSMBlack Stone Minerals L.P. Common | $470M | 52.2% | 18% | 72% |
| KRPKimbell Royalty Partners | $334M | 24.2% | 7% | 43% |
| NRPNatural Resource Partners LP | $207M | 76.3% | 17% | 80% |
| LBLandbridge Company LLC | $199M | 59.5% | 10% | 61% |
| DMLPDorchester Minerals L.P. Common | $153M | 67.0% | 41% | 80%2y |
| Group median | — | 65.9% | 18% | 68% |
The price
What a price has to assume.
What the price implies
reverse-DCFType today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Dorchester Minerals L.P. Common has delivered.
Dorchester Minerals L.P. Common’s latest year runs above its own through-cycle margin — the reported figure may flatter a peak. So the tool opens on the through-cycle base, Graham’s averaging cutting both ways; clear the toggle below to read the latest year exactly as reported.
—
9.0% = the 4.71% 10-year Treasury (Aug 18, 2026) + 4.29 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Prefilled with the 10-year Treasury (4.71%, as of Aug 18, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Owner earnings — on 49M shares outstanding, per the 10-Q cover, as of 2026-08-06; net cash $73M. The base opens on the through-cycle figure (the latest year sits off the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Manual order: ← DMC its page in the Manual DNA →
Industry order: ← BSM the Oil & Gas Royalties & Mineral Interests chapter KRP →