v3.26.1
Note 5 - Segment Information
 6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Segment Reporting [Text Block]

5.    Segment Information 

 

The Partnership's reportable segments are strategic business units that offer distinct products and services to different customers in different geographies within the U.S. and that are managed accordingly. NRP has the following two reportable segments:

 

Mineral Rights—consists of mineral interests and other subsurface rights across the United States. NRP's ownership provides critical inputs for the manufacturing of steel, electricity, and basic building materials, as well as opportunities for carbon sequestration and renewable energy.

 

Soda Ash—consists of the Partnership's 49% non-controlling equity interest in Sisecam Wyoming, one of the world's lowest-cost producers of soda ash, an essential ingredient for the manufacturing of glass, detergents, solar panels, and batteries for electric vehicles. Operations are managed by NRP's partner, Sisecam Chemicals Wyoming, LLC, and NRP realizes cash flow when distributions are paid to it.

 

Direct segment costs and certain other costs incurred at the corporate level that are identifiable and that benefit the Partnership's reportable segments are allocated to the reportable segments accordingly. These allocated costs generally include salaries and benefits, insurance, property taxes, legal, royalty, information technology and shared facilities services and are included in operating and maintenance expenses on the Partnership's Consolidated Statements of Comprehensive Income.

 

Corporate and Financing includes functional corporate departments that do not earn revenues. Costs incurred by these departments include interest and financing, corporate headquarters and overhead, centralized treasury, legal and accounting and other corporate-level activity not specifically allocated to a reportable segment and are included in general and administrative expenses on the Partnership's Consolidated Statements of Comprehensive Income.

 

NRP’s Chief Operating Decision Makers (“CODMs”) are its Chief Executive Officer and President and Chief Operating Officer. They evaluate the Partnership’s performance through a review of the reportable segments’ net income and free cash flow as compared to budget and utilize this information to assess the reportable segments’ performance and allocate resources. NRP does not conduct operations on any of its assets or directly engage in any type of industrial activity. Instead, it leases its mineral and other rights to companies that conduct operations on its properties in exchange for paying royalties and other fees to the Partnership. Operating expenses, capital costs and other liabilities arising out of production activities are borne entirely by NRP's lessees. In the case of its soda ash investment, operations are managed by NRP's partner, Sisecam Chemicals Wyoming LLC. NRP has determined its significant segment expenses to be its employee related expenses, including compensation (salaries, benefits and bonus) and property tax expense. The Partnership is responsible for paying property taxes on the properties it owns. Typically, NRP's lessees are contractually responsible for reimbursing the Partnership for property taxes on the leased properties and this reimbursement amount is included within the Mineral Rights reportable segment revenues.

 

The following tables summarize certain financial information for each of the Partnership's reportable segments:

 

  

Reportable Segments

             

(In thousands)

 

Mineral Rights

  

Soda Ash

  

Total Reportable Segments

  

Corporate and Financing

  

Total

 

For the Three Months Ended June 30, 2026

                    

Revenues

 $52,970  $—  $52,970  $—  $52,970 

Equity in loss of Sisecam Wyoming

  —   (4,905)  (4,905)  —   (4,905)

Gain on asset sales and disposals

  45   —   45   —   45 

Total revenues and other income

 $53,015  $(4,905) $48,110  $—  $48,110 

Less:

                    

Compensation (salaries, benefits and bonus)

 $1,808  $—  $1,808  $1,988  $3,796 

Property taxes

  1,876   —   1,876   —   1,876 

Depreciation, depletion and amortization

  11,126   —   11,126   5   11,131 

Other items (1)

  1,968   79   2,047   4,084   6,131 

Net income (loss)

 $36,237  $(4,984) $31,253  $(6,077) $25,176 
                     

For the Three Months Ended June 30, 2025

                    

Revenues

 $46,846  $—  $46,846  $—  $46,846 

Equity in earnings of Sisecam Wyoming

  —   2,526   2,526   —   2,526 

Gain on asset sales and disposals

  729   —   729   —   729 

Total revenues and other income

 $47,575  $2,526  $50,101  $—  $50,101 

Less:

                    

Compensation (salaries, benefits and bonus)

 $1,683  $—  $1,683  $1,847  $3,530 

Property taxes

  1,767   —   1,767   —   1,767 

Depreciation, depletion and amortization

  3,748   —   3,748   6   3,754 

Other items (1)

  686   24   710   6,129   6,839 

Net income (loss)

 $39,691  $2,502  $42,193  $(7,982) $34,211 
                     

For the Six Months Ended June 30, 2026

                    

Revenues

 $100,152  $—  $100,152  $—  $100,152 

Equity in loss of Sisecam Wyoming

  —   (12,733)  (12,733)  —   (12,733)

Gain on asset sales and disposals

  44   —   44   —   44 

Total revenues and other income

 $100,196  $(12,733) $87,463  $—  $87,463 

Less:

                    

Compensation (salaries, benefits and bonus)

 $3,605  $—  $3,605  $4,052  $7,657 

Property taxes

  3,755   —   3,755   —   3,755 

Depreciation, depletion and amortization

  18,736   —   18,736   9   18,745 

Other items (1)

  4,333   151   4,484   8,027   12,511 

Net income (loss)

 $69,767  $(12,884) $56,883  $(12,088) $44,795 

As of June 30, 2026

                    

Total assets

 $475,312  $277,475  $752,787  $4,748  $757,535 
                     

For the Six Months Ended June 30, 2025

                    

Revenues

 $102,527  $—  $102,527  $—  $102,527 

Equity in earnings of Sisecam Wyoming

  —   7,136   7,136   —   7,136 

Gain on asset sales and disposals

  976   —   976   —   976 

Total revenues and other income

 $103,503  $7,136  $110,639  $—  $110,639 

Less:

          —       — 

Compensation (salaries, benefits and bonus)

 $3,621  $—  $3,621  $3,956  $7,577 

Property taxes

  3,559   —   3,559   —   3,559 

Depreciation, depletion and amortization

  7,733   —   7,733   10   7,743 

Asset impairments

  20   —   20   —   20 

Other items (1)

  3,671   84   3,755   13,521   17,276 

Net income (loss)

 $84,899  $7,052  $91,951  $(17,487) $74,464 

As of December 31, 2025

                    

Total assets

 $492,672  $250,244  $742,916  $5,449  $748,365 
     
(1)Other items in the Mineral Rights reportable segment primarily include: insurance, legal, overriding royalty expense, processing and transportation expense, information technology, shared facility services, rent, professional fees, long-term incentive compensation expense and bad debt expense. Other items in the Soda Ash reportable segment primarily include professional fees. Other items in Corporate and Financing primarily include: interest expense, net, long-term incentive compensation expense, insurance, legal, information technology, shared facility services, rent and professional fees.