04:39 PM EST, 02/10/2025 (MT Newswires) -- PrairieSky Royalty ( PREKF ) on Monday said its fourth-quarter profit fell on lower revenue amid a drop in royalty production while raising its dividend by 4%.

The Western Canadian oil and gas royalty company said it earned $60.2 million, or $0.25 per share, in the period, down from $67.4 million, or $0.28, in the year-prior quarter.

Revenue dropped slightly to $135.6 million from $136.6 million, as royalty production fell to 24,982 barrels of oil equivalent per day from 25,608 boepd. The company said that the decline was because of drops in natural gas and natural-gas liquids production.

Funds from operations fell to $99 million or $0.41 per share, from $111.1 million, or $0.46, mainly due to lower natural-gas benchmark pricing, the company said.

The company declared a fourth-quarter dividend of $59.9 million, or $0.25 share, a payout ratio of 61%. It also announced a 4% increase in its annual dividend to $1.04 per share, paid quarterly at $0.26 per share. The first quarterly dividend of $0.26 per share is set to be paid on March 31, pending board approval.

PrairieSky shares closed up $0.12 to $27.35 on the Toronto Stock Exchange.