Texas Pacific Land Corporation (NYSE:TPL) Q4 2022 Earnings Call Transcript

Chris Steddum: Yeah. Well, I mean, I think that program just started off. And so I think as we’ve said in some of the prepared remarks and press releases, a lot of it is going to be opportunistic. And we’re going to look at a variety of different factors to determine when to deploy that capital over the coming year and years. And — but I think we’re going to continue to be good stewards of that capital as we have in the past and try to use it for what we think is best for the shareholders. And as we said, there can be a variety of different things. It can be regular dividends, special dividends and buybacks. And so we just continue to try to optimize it in what is a volatile market and try to use it as best we can.

Hamed Khorsand: A follow-up guys. What is your preferred cash level? I mean, you’re adding quite a bit every quarter.

Chris Steddum: Yeah. Look I think — we think that having a robust cash balance especially in times like these where there’s a lot of uncertainty provide us with really good opportunities. And again as we’ve shown in the past when we think the time is right we can take that cash and return it to shareholders in lots of different efficient ways. But as of right now, we felt like a good use of that cash is to hold some on the balance sheet because we think there may be some good opportunities coming up in the near-term to utilize it.

Hamed Khorsand: Okay. Thank you.

Ty Glover: Thanks, Hamed.

Chris Steddum: Thanks, Hamed.

Operator: We have reached the end of our question-and-answer session. This will conclude today’s conference. You may disconnect your lines at this time and thank you for your participation.