Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Schedule of Components of Income Tax Provision

The Company's income tax provision consists of the following components:


	Years Ended December 31,
	2024		2023		2022
Federal income tax expense (benefit)
Current	$	20,953	$	25,753	$	2,343
Deferred	(6,705)		(40,822)		1,631
State income tax expense (benefit)
Current	$	3,684	$	2,909	$	1,707
Deferred	3		(2,124)		—
Total income tax expense (benefit)	$	17,935	$	(14,284)	$	5,681

Schedule of Effective Tax Rate on Pre-Tax Income Differs from Federal Statutory Rate

A reconciliation of the statutory federal income tax expense, which is calculated at the federal statutory rate of 21%, to the income tax expense from continuing operations for the periods presented is provided below:


	Years Ended December 31,
	2024		2023		2022
Income (loss) before income taxes	$	112,864	$	(60,979)	$	189,812

Income tax (benefit) expense at federal statutory rate	$	23,702	$	(12,806)	$	39,861
Income attributable to predecessor	—		—		(16,536)
Income attributable to noncontrolling interests and temporary equity	(11,336)		7,346		(19,154)
Overpayment of federal income taxes	—		(6,956)		—
Return to provision adjustments	1,091		(1,694)		—
Warrant liability adjustment	—		(619)		(769)
Non-deductible transaction costs	—		239		452
State taxes, net of federal benefit	2,376		(270)		1,707
Share-based compensation and 162(m) limitations	1,639		—		—
Other, net	463		476		120
Income tax (benefit) expense	$	17,935	$	(14,284)	$	5,681

Schedule of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to significant positions of the deferred income tax assets and liabilities are provided below:


	2024		2023		2022
Deferred tax assets:
Capital loss carryforward	$	5,271	$	—	$	—
Total deferred tax assets:	$	5,271	$	—	$	—
Deferred tax liabilities:
State oil and gas properties	$	2,641	$	—	$	—
Federal outside basis in Sitio OpCo	246,053		247,140		297,795
State outside basis in Sitio OpCo	10,355		12,730		15,812
Total deferred tax liabilities	$	259,049	$	259,870	$	313,607
Net deferred tax assets (liabilities)	$	(253,778)	$	(259,870)	$	(313,607)