Business Context and Reporting Period
This Form 8-K is a current report filed by PermRock Royalty Trust on June 4, 2018. The Trust, organized under Delaware law with Simmons Bank as Trustee, was formed on November 22, 2017. The filing primarily addresses a change in the registrant's certifying accountant.
Key Financial Metrics
The filing text does not provide specific financial data such as revenue, profit, cash flow, margins, debt, or liquidity metrics. The document focuses exclusively on the administrative change of the independent registered public accounting firm.
Material Changes
- Accountant Change: The Trust dismissed KPMG LLP as its independent registered public accounting firm effective June 4, 2018.
- New Appointment: The Trust engaged Weaver and Tidwell, L.L.P. as its new independent registered public accounting firm effective June 4, 2018.
- Approval: The decision was recommended and approved by Simmons Bank, the Trustee.
Management Commentary, Risks, and Contingencies
Relationship with Previous Accountant: The Trust reported no disagreements with KPMG regarding accounting principles, financial statement disclosure, or auditing scope since the Trust's formation. KPMG's audit report for the period ended December 31, 2017, contained no adverse opinions, disclaimers, or qualifications.
Relationship with New Accountant: The Trust confirmed it had not consulted Weaver and Tidwell regarding any accounting principles, audit opinions, or reportable events prior to their engagement.
Exhibits: A letter from KPMG regarding the change in accountants is filed as Exhibit 16.1.
Investor Verification Checklist
- Verify the reasons for the change in auditors by reviewing the KPMG letter filed as Exhibit 16.1.
- Confirm the effective date of the new auditor (Weaver and Tidwell) is June 4, 2018.
- Note that the Trust has no directors or executive officers; Simmons Bank acts as the Trustee.
- Review subsequent filings for the first financial statements audited by the new firm.