8-K: United States Oil Fund, LP Reports $33.1 Million Net Income for January 2025

United States Oil Fund, LP announces a net income of $33.1 million for the month of January 2025, driven by realized trading gains and offset by unrealized losses.

Summary

• United States Oil Fund, LP (USO) reported its monthly account statement for January 31, 2025.
• The fund generated a net income of $33,134,075 for the month.
• Total income was $33,907,320, which included realized trading gains on commodity futures of $82,991,140 and realized gains on swap contracts of $12,504,471.
• Unrealized losses on the market value of commodity futures were ($59,415,050) and unrealized losses on the fair value of swap contracts were ($5,771,533).
• Dividend income was $2,150,002 and interest income was $1,416,290.
• Expenses totaled $773,245, including general partner management fees of $401,067 and professional fees of $187,628.
• The net asset value (NAV) at the end of January was $1,108,555,487, with a NAV per share of $77.39 based on 14,323,603 shares.
• The fund had additions of 11,300,000 shares and withdrawals of 11,400,000 shares during the month.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The report presents factual financial information without expressing explicit optimism or pessimism. The net income is positive, but there are also unrealized losses, balancing the overall sentiment.

Positives

• The fund generated a net income of $33.1 million.
• Realized trading gains on commodity futures were significant at $82.99 million.
• The fund's NAV increased to $1.109 billion.

Negatives

• The fund experienced unrealized losses on commodity futures totaling $59.42 million.
• Unrealized losses on swap contracts were $5.77 million.

Risks

• The fund is subject to market fluctuations, as evidenced by the unrealized gains and losses on commodity futures and swap contracts.
• Changes in commodity prices could significantly impact the fund's performance.

Future Outlook

There is no specific future outlook provided in this document, which is a monthly account statement.

Management Comments

• Stuart P. Crumbaugh, Chief Financial Officer of United States Commodity Funds LLC, stated that the information in the account statement for the month ended January 31, 2025, is accurate and complete to the best of his knowledge and belief.

Industry Context

As an exchange-traded fund (ETF) focused on oil futures, USO's performance is closely tied to the price of crude oil and the dynamics of the futures market; this report reflects the fund's performance during a specific period and provides insights into its trading strategies and risk management.

Comparison to Industry Standards

• Other commodity ETFs, such as the Invesco DB Oil Fund (DBO), also track oil futures and their performance can be compared to USO's.
• The expense ratio and tracking error of USO can be compared to similar funds to assess its efficiency.
• Performance is often benchmarked against the spot price of West Texas Intermediate (WTI) crude oil, although futures-based ETFs will typically deviate due to the 'roll yield' effect.

Stakeholder Impact

• Shareholders will be interested in the fund's performance and NAV per share.
• The report provides transparency to investors regarding the fund's financial activities.

Key Dates