Income Taxes |
9 Months Ended |
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Jun. 30, 2025 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes The effective tax rates for the quarters ended June 30, 2025 and June 30, 2024 were 25.4% and 34.3%, respectively. The decrease in the quarterly effective income tax rate was primarily driven by the impact of the impairment of exploration and production properties under the ceiling test recorded during the quarter ended June 30, 2024, which resulted in a larger income tax benefit on a loss before income taxes during the quarter ended June 30, 2024. The effective tax rates for the nine months ended June 30, 2025 and June 30, 2024 were 24.5% and 22.2%, respectively. The change in the year-to-date effective income tax rate was primarily driven by the impact of the impairments recorded in the quarters ended December 31, 2024 and June 30, 2024. The impairments were related to exploration and production properties under the ceiling test in both nine-month periods and an impairment of certain water disposal assets recorded in the quarter ended December 31, 2024. The impact of the impairments resulted in a smaller income tax expense on income before income taxes during each of the nine-month periods ended June 30, 2025 and June 30, 2024. On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was signed into law. The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act, including 100% bonus depreciation, domestic research cost expensing, and the business interest expense limitation. Additionally, the OBBBA incorporates the immediate deduction of intangible drilling costs for taxpayers subject to the Corporate Alternative Minimum Tax. The Company is still evaluating the OBBBA and the results of such evaluations, which are not expected to have a material effect, are expected to be reflected on the Company’s Form 10-K for the year ended September 30, 2025.
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