05:07 PM EDT, 07/28/2025 (MT Newswires) -- Topaz Energy ( TPZEF ) after trade Monday said its second-quarter profit fell while revenue rose year-over-year.

The oil and gas royalty and infrastructure company said it earned $11.73 million, or $0.08 per share, in the period, down from $14.42 million, or $0.10,, a year ago. FactSet expected $0.09 per share.

Total revenue and other income for the quarter ended June 30 stood at $81.19 million, up from $78.41 million a year prior. FactSet projected sales of $83 million. The company said 46% of the revenue came from crude and heavy oil royalties, 26% from natural gas and natural gas liquids royalties, and 28% from its infrastructure assets.

On the drilling activity front, the company said, "Based on planned operator drilling activity, Topaz expects that the current 28 to 32 active drilling rigs on its royalty acreage will be maintained through the third quarter of 2025."

The company reaffirmed its 2025 outlook, expecting average royalty production between 21,000 and 23,000 barrels of oil equivalent per day and processing revenue and other income between $88 million and $92 million.

Topaz Energy ( TPZEF ) added that it expects to end 2025 with net debt of $430 to $435 million and plans to maintain a low payout ratio near the bottom of its 60% to 90% target range, excluding any new acquisitions.

The board declared the company's third-quarter dividend, the same as the previous quarter, of $0.34 per share. It will be paid on Sept. 30 to shareholders on record as of Sept. 15.

Topaz shares closed up $0.46 to $26.08 o the Toronto Stock Exchange.