Core Viewpoint - ONEOK, Inc. will participate in an investor conference and a fireside chat session, highlighting its commitment to engaging with investors and stakeholders [1]. Company Overview - ONEOK is a leading midstream operator providing essential energy products and services, including gathering, processing, fractionation, transportation, storage, and marine export services [2]. - The company operates an extensive pipeline network of approximately 60,000 miles, transporting natural gas, natural gas liquids (NGLs), refined products, and crude oil to meet both domestic and international energy demands [2]. - As one of the largest integrated energy infrastructure companies in North America, ONEOK plays a crucial role in energy security and delivering reliable energy solutions [2]. Additional Information - ONEOK is an S&P 500 company headquartered in Tulsa, Oklahoma, and maintains an active presence on various social media platforms [3].

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Group 1 - Oneok Inc. reported $8.04 billion in revenue for Q1 2025, a year-over-year increase of 68.2% [1] - The EPS for the same period was $1.04, down from $1.09 a year ago, indicating a decline [1] - The reported revenue exceeded the Zacks Consensus Estimate of $7 billion by 14.89%, while the EPS fell short of the consensus estimate of $1.23 by 15.45% [1] Group 2 - Oneok's stock has returned -18.1% over the past month, compared to the S&P 500 composite's -0.7% change [3] - The company currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3] Group 3 - Raw feed throughput for Natural Gas Liquids was 1,293 MBBL/d, below the average estimate of 1,369.48 MBBL/d [4] - Adjusted EBITDA for Natural Gas Liquids was $635 million, compared to the average estimate of $686.37 million [4] - Adjusted EBITDA for Refined Products & Crude was $471 million, below the estimated $527.44 million [4] - Adjusted EBITDA for Natural Gas Pipelines was $212 million, exceeding the average estimate of $171.15 million [4] - Adjusted EBITDA for Natural Gas Gathering and Processing was $491 million, below the average estimate of $529 million [4]

Core Viewpoint - Oneok is positioned as an attractive long-term investment opportunity due to its high-yielding dividend and strong earnings growth potential, with total returns averaging 13% annually over the past decade [1][2]. Financial Performance - Oneok has achieved a remarkable adjusted EBITDA growth rate of over 16% annually for 11 consecutive years, despite declines in crude oil prices during this period [3]. - The company's adjusted EBITDA is projected to increase from $5.2 billion in 2023 to over $8.2 billion in 2024, representing a nearly 60% surge [6]. Growth Drivers - The company has made significant acquisitions, including an $18.8 billion acquisition of Magellan Midstream Partners in 2023 and a $5.9 billion purchase of Medallion Midstream and a controlling interest in EnLink Midstream [5]. - Oneok expects to capture over $250 million in synergies from its acquisitions this year, with additional synergies anticipated in 2026 and 2027 [7]. Expansion Projects - Oneok is undertaking several organic expansion projects, including the expansion of its refined products system in Denver, expected to be completed by mid-2024, and a 210,000-barrel-per-day natural gas liquids fractionator in Medford, OK, set to come online in late 2026 and early 2027 [8]. - A joint venture with MPLX to build an LPG export terminal in Texas City, Texas, and a new pipeline is also in progress, with completion expected in early 2028 [9]. Dividend and Shareholder Returns - The company anticipates increasing its dividend payout by approximately 3% to 4% per year, supported by strong earnings growth from both acquisitions and organic projects [10]. - Oneok's combination of income and growth positions it as a compelling investment opportunity for those seeking both yield and capital appreciation [11].

Part I. Financial Information [Item 1. Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20%28Unaudited%29) This section presents ONEOK's unaudited consolidated financial statements for the three-month periods ending March 31, 2025, and 2024, including income, comprehensive income, balance sheets, cash flows, and equity statements, along with detailed notes on accounting policies, acquisitions, fair value, debt, equity, and segments [Consolidated Financial Statements](index=6&type=section&id=Consolidated%20Financial%20Statements) For the first quarter of 2025, ONEOK reported total revenues of $8.04 billion, a significant increase from $4.78 billion in Q1 2024, with net income attributable to ONEOK at $636 million, slightly down from $639 million, resulting in a diluted EPS of $1.04 compared to $1.09, while total assets grew to $64.26 billion, cash from operations increased to $904 million, and cash used in investing and financing activities also rose, leading to a decrease in cash and cash equivalents to $141 million Consolidated Statements of Income Highlights (Q1 2025 vs Q1 2024) | Metric | Q1 2025 (Millions) | Q1 2024 (Millions) | Change (%) | | :--- | :--- | :--- | :--- | | **Total Revenues** | $8,043 | $4,781 | +68.2% | | **Operating Income** | $1,220 | $1,064 | +14.7% | | **Net Income Attributable to ONEOK** | $636 | $639 | -0.5% | | **Diluted EPS** | $1.04 | $1.09 | -4.6% | Consolidated Balance Sheet Highlights (As of March 31, 2025) | Metric | March 31, 2025 (Millions) | December 31, 2024 (Millions) | | :--- | :--- | :--- | | **Total Current Assets** | $4,116 | $4,238 | | **Total Assets** | $64,263 | $64,069 | | **Total Current Liabilities** | $6,183 | $4,719 | | **Total Liabilities** | $42,143 | $42,636 | | **Total ONEOK Shareholders' Equity** | $21,364 | $17,036 | Consolidated Statements of Cash Flows Highlights (Q1 2025 vs Q1 2024) | Metric | Q1 2025 (Millions) | Q1 2024 (Millions) | | :--- | :--- | :--- | | **Cash provided by operating activities** | $904 | $596 | | **Cash used in investing activities** | $(694) | $(578) | | **Cash used in financing activities** | $(802) | $(291) | | **Cash and cash equivalents at end of period** | $141 | $65 | [Notes to Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail key accounting events and policies, including the EnLink Acquisition completed on January 31, 2025, accounted for as an equity transaction, the company's debt including $2.06 billion in current maturities and an upsized $3.5 billion credit facility, and segment reporting showing significant revenue and EBITDA contributions from four main areas, with acquisitions being a key driver of growth - On January 31, 2025, ONEOK completed the acquisition of all publicly held common units of EnLink, issuing **41 million shares** of common stock valued at **$4.0 billion**; as ONEOK already controlled EnLink, this was treated as an equity transaction, adjusting paid-in capital[24](index=24&type=chunk)[25](index=25&type=chunk) - In February 2025, the company amended and upsized its revolving credit facility from **$2.5 billion to $3.5 billion** and extended the term to February 2030; as of March 31, 2025, there were no outstanding borrowings under this facility[41](index=41&type=chunk) - The company has four reportable segments: Natural Gas Gathering and Processing, Natural Gas Liquids, Natural Gas Pipelines, and Refined Products and Crude; corporate costs and eliminations are reported separately[67](index=67&type=chunk)[69](index=69&type=chunk) Segment Adjusted EBITDA (Q1 2025 vs Q1 2024) | Segment | Q1 2025 (Millions) | Q1 2024 (Millions) | | :--- | :--- | :--- | | Natural Gas Gathering and Processing | $491 | $306 | | Natural Gas Liquids | $635 | $588 | | Natural Gas Pipelines | $212 | $165 | | Refined Products and Crude | $471 | $381 | | **Total Segment Adjusted EBITDA** | **$1,809** | **$1,440** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the Q1 2025 earnings increase primarily to the positive impact of the EnLink and Medallion acquisitions, with operations approximately 90% fee-based, reducing exposure to commodity price volatility, and key developments including the completion of the EnLink acquisition, formation of new joint ventures with MPLX, and progress on major capital projects, with total capital expenditures expected to be $2.8 - $3.2 billion in 2025, and strong liquidity maintained through a $3.5 billion credit facility and access to capital markets - Earnings increased in Q1 2025 compared to Q1 2024, primarily due to the positive impact of the EnLink and Medallion Acquisitions[79](index=79&type=chunk) - The company's consolidated earnings are expected to be approximately **90% fee-based** in 2025, supported by long-term contracts, which reduces exposure to direct commodity price volatility[81](index=81&type=chunk) - Total capital expenditures for 2025 are projected to be between **$2.8 billion and $3.2 billion**[134](index=134&type=chunk) - On January 31, 2025, ONEOK completed the EnLink Acquisition, making EnLink a wholly owned subsidiary; **41 million shares** of common stock were issued, valued at **$4.0 billion**[77](index=77&type=chunk) [Recent Developments](index=25&type=section&id=Recent%20Developments) Key recent developments include the completion of the EnLink Acquisition, making EnLink a wholly owned subsidiary, the formation of two joint ventures with MPLX for a new LPG export terminal and a connecting pipeline with an expected investment of approximately $1.0 billion, and major capital projects underway, including the Elk Creek pipeline expansion, the Medford fractionator rebuild, and the Greater Denver pipeline expansion - Announced definitive agreements with MPLX to form joint ventures for a **400 MBbl/d** LPG export terminal (Texas City Logistics) and a connecting pipeline (MBTC Pipeline), with ONEOK expecting to invest approximately **$1.0 billion**[78](index=78&type=chunk) Major Capital Projects Update | Project | Scope | Approx. Cost (Millions) | Expected Completion | | :--- | :--- | :--- | :--- | | Elk Creek pipeline expansion | Increase capacity to 435 MBbl/d | $355 | Completed (partially in service) | | Medford fractionator | Rebuild 210 MBbl/d facility | $385 | Phased, Q4 2026 - Q1 2027 | | Texas City Logistics export terminal | 400 MBbl/d LPG export terminal | $700 | Early 2028 | | MBTC Pipeline | 24-inch pipeline to terminal | $280 | Early 2028 | | Greater Denver pipeline expansion | Increase capacity by 35 MBbl/d | $480 | Mid-2026 | [Financial Results and Operating Information](index=26&type=section&id=Financial%20Results%20and%20Operating%20Information) Consolidated operating income for Q1 2025 increased by $156 million year-over-year to $1.22 billion, driven by contributions from the EnLink and Medallion acquisitions across all four segments, with Adjusted EBITDA rising to $1.775 billion from $1.441 billion, and the Natural Gas Gathering and Processing segment seeing the largest adjusted EBITDA increase of $185 million, primarily from EnLink's contribution, while the Refined Products and Crude segment's adjusted EBITDA grew by $90 million, also boosted by recent acquisitions Consolidated Financial Results (Q1 2025 vs Q1 2024) | Metric | Q1 2025 (Millions) | Q1 2024 (Millions) | Change (Millions) | | :--- | :--- | :--- | :--- | | **Operating Income** | $1,220 | $1,064 | $156 | | **Net Income** | $691 | $639 | $52 | | **Adjusted EBITDA** | $1,775 | $1,441 | $334 | - The **$156 million** increase in operating income was primarily driven by contributions from recent acquisitions: **$129M** from Natural Gas Gathering and Processing (EnLink), **$9M** from Natural Gas Liquids (EnLink), **$28M** from Natural Gas Pipelines (EnLink), and **$39M** from Refined Products and Crude (Medallion and EnLink); this was partially offset by **$39M** in transaction costs[94](index=94&type=chunk) - Natural Gas Gathering and Processing adjusted EBITDA increased by **$185 million**, primarily due to a **$213 million** contribution from EnLink[99](index=99&type=chunk) - Refined Products and Crude adjusted EBITDA increased by **$90 million**, mainly due to a **$92 million** contribution from the Medallion and EnLink acquisitions[113](index=113&type=chunk)[115](index=115&type=chunk) [Liquidity and Capital Resources](index=34&type=section&id=Liquidity%20and%20Capital%20Resources) ONEOK maintains a strong liquidity position, with primary sources being operating cash flow, a commercial paper program, and a newly upsized $3.5 billion revolving credit facility expiring in 2030, which are believed sufficient to fund operations, capital expenditures ($2.8-$3.2B for 2025), dividends, and debt maturities, despite a working capital deficit of $2.1 billion as of March 31, 2025, mainly due to current debt maturities, which is not expected to adversely impact operations, and credit ratings remain investment grade - Primary liquidity sources include operating cash flows, a commercial paper program, and a **$3.5 Billion** Credit Agreement which was upsized from **$2.5 billion** and extended to February 2030[118](index=118&type=chunk)[124](index=124&type=chunk) - The company maintains investment-grade credit ratings from Moody's (**Baa2**), S&P (**BBB**), and Fitch (**BBB**), all with a stable outlook[135](index=135&type=chunk) - In March 2025, the company repaid **$250 million** of **3.2%** senior notes at maturity using cash on hand[129](index=129&type=chunk) - Cash flow from operations in Q1 2025 was **$904 million**, an increase of **$308 million** from Q1 2024, primarily due to the impact of the EnLink and Medallion acquisitions[141](index=141&type=chunk)[142](index=142&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=41&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section addresses the company's market risk, focusing on counterparty credit risk, confirming no material changes in market risk exposure from the 2024 Annual Report, and noting that for the Refined Products and Crude segment, approximately 85% of revenues in Q1 2025 were from customers rated investment-grade or otherwise secured, mitigating credit risk - There have been no material changes in market risk exposures from those disclosed in the Annual Report[155](index=155&type=chunk) - In the Refined Products and Crude segment, approximately **85%** of Q1 2025 revenues were from customers rated investment-grade or secured by letters of credit, liens, or other collateral[154](index=154&type=chunk) [Item 4. Controls and Procedures](index=41&type=section&id=Item%204.%20Controls%20and%20Procedures) The company's Principal Executive Officer and Principal Financial Officer concluded that disclosure controls and procedures were effective as of March 31, 2025, and no changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the reporting period (March 31, 2025)[157](index=157&type=chunk) - No material changes to the company's internal control over financial reporting were identified during the first quarter of 2025[158](index=158&type=chunk) Part II. Other Information [Item 1. Legal Proceedings](index=41&type=section&id=Item%201.%20Legal%20Proceedings) The company refers to Note J of the financial statements and its Annual Report for information on legal proceedings, having established a $1 million threshold for the disclosure of environmental proceedings - The company has elected to use a **$1 million** threshold for disclosing environmental proceedings[159](index=159&type=chunk) [Item 1A. Risk Factors](index=41&type=section&id=Item%201A.%20Risk%20Factors) The company states that there have been no material changes to the risk factors previously disclosed in its Annual Report on Form 10-K - There have been no material changes to the risk factors set forth in the company's Annual Report[160](index=160&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=42&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's common stock repurchases during the first quarter of 2025, with a total of 315,000 shares purchased under the publicly announced program, and approximately $1.811 billion remaining available for repurchase under the current authorization as of March 2025 Issuer Purchases of Equity Securities (Q1 2025) | Period | Total Shares Purchased | Average Price Paid Per Share | Remaining Authorization (Millions) | | :--- | :--- | :--- | :--- | | January 2025 | 125,000 | $100.46 | $1,828 | | February 2025 | 0 | $0.00 | $1,828 | | March 2025 | 190,000 | $91.79 | $1,811 | | **Total** | **315,000** | | | [Item 5. Other Information](index=42&type=section&id=Item%205.%20Other%20Information) The company reports two key items: first, no director or officer adopted or terminated a Rule 10b5-1 trading arrangement during the quarter, and second, on April 28, 2025, the company filed a certificate of retirement for all outstanding Series E Preferred Stock after repurchasing them, amending its certificate of incorporation to eliminate all references to this series of stock - On April 28, 2025, the company filed a certificate of retirement to cancel all outstanding shares of Series E Preferred Stock and amend its certificate of incorporation accordingly[166](index=166&type=chunk) - No director or officer of the company adopted or terminated a Rule 10b5-1 trading arrangement during the first quarter of 2025[165](index=165&type=chunk) [Item 6. Exhibits](index=42&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the 10-Q report, including the Amended and Restated Certificate of Incorporation, various supplemental indentures related to debt, credit agreements, guaranty agreements, officer certifications required by the Sarbanes-Oxley Act, and Inline XBRL data files - A list of exhibits filed with the report is provided, including corporate governance documents, debt and credit agreements, and required officer certifications (302 and 906)[167](index=167&type=chunk)[168](index=168&type=chunk)[170](index=170&type=chunk)

Core Insights - ONEOK Inc. reported first-quarter 2025 operating earnings per share (EPS) of $1.04, missing the Zacks Consensus Estimate of $1.23 by 15.4% and declining 4.6% from the previous year's figure of $1.09 [1] - Total revenues for the quarter reached $8.04 billion, exceeding the Zacks Consensus Estimate of $7 billion by 14.9% and improving 68.2% from $4.78 billion in the prior-year quarter [1] Financial Performance - Adjusted EBITDA for the quarter was $1.78 billion, reflecting a year-over-year increase of 23.2% [2] - Operating income totaled $1.22 billion, up 14.7% from the prior-year level of $1.06 billion [2] - Interest expenses amounted to $442 million, a significant increase of 47.3% from $300 million in the year-ago period [2] - The total natural gas processed was 5,250 million cubic feet per day (MMcf/d), marking a 140.1% increase year over year [2] Capacity and Debt - Natural gas transportation capacity contracted was 4,663 million British thermal units per hour per day (MDth/d), which increased by 4% year over year [3] - As of March 31, 2025, cash and cash equivalents were $141 million, down from $733 million as of December 31, 2024 [4] - Long-term debt (excluding current maturities) totaled $29.78 billion, a decrease from $31.02 billion as of December 31, 2024 [4] - Cash provided by operating activities for the first three months of 2025 was $904 million, compared to $596 million in the same period of 2024 [4] 2025 Guidance - ONEOK anticipates consolidated 2025 net income in the range of $3.21-$3.69 billion and expects adjusted EBITDA between $8-$8.45 billion [5] - Interest expenses, net of capitalized interest, are projected to be in the range of $1.77-$1.73 billion [5] - Diluted EPS is expected to be between $4.97-$5.77 per share, with the Zacks Consensus Estimate for earnings at $5.35 per share, lower than the midpoint of the company's guidance [5] Zacks Rank - ONEOK currently holds a Zacks Rank 3 (Hold) [6]

Financial Data and Key Metrics Changes - First quarter 2025 net income attributable to ONEOK totaled $636 million or $1.04 per share [11] - Adjusted EBITDA for the first quarter was $1.78 billion, or $1.81 billion excluding transaction costs, driven by higher NGL and natural gas processing volumes [11][12] - The acquired EnLink and Medallion assets contributed nearly $450 million during the first quarter [12] - The company ended the quarter with no borrowings under its $3.5 billion facility and over $140 million in cash [13] Business Line Data and Key Metrics Changes - NGL volumes increased by 4% year over year, with a 15% increase in the Rocky Mountain region and an 8% increase in the Gulf Coast Permian region [17] - Refined product volumes were nearly unchanged year over year, with expectations for increased volumes in the coming months due to seasonal demand [20] - Midland crude gathered volumes were up more than 20% year over year, including contributions from the EnLink and Medallion systems [21] Market Data and Key Metrics Changes - The company is seeing increased demand for natural gas due to ongoing negotiations related to power demand for data centers and industrial demand along the Mississippi River [26] - The Oklahoma natural gas storage expansion project was completed, adding an additional 4 Bcf of working storage capacity, which is 80% committed with third-party contracts [27] Company Strategy and Development Direction - ONEOK is focused on optimizing existing assets and expanding strategically in high-growth areas like the Permian Basin [28] - The company is committed to capital discipline and maintaining a strong balance sheet, with plans to adjust capital expenditures if necessary [50][51] - The integration of acquired assets is expected to provide significant synergies and growth opportunities, with a focus on operational efficiencies and commercial alignment [12][56] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the evolving macroeconomic environment but expressed confidence in the company's ability to navigate through various cycles [6][10] - The company expects seasonal refined product demand and volume growth from completed capital projects to enhance results in the coming quarters [14] - Management remains optimistic about long-term fundamentals and the strength of integrated assets [28] Other Important Information - The company is nearing completion of several organic growth projects, including pipeline expansions in the Permian and Rocky Mountain regions [5] - The strategic Texas City LPG export joint venture is expected to provide customers with a fully integrated solution for their products [19] Q&A Session Summary Question: Can you elaborate on the synergies and outlook for 2025 and 2026? - Management highlighted that LNG exports and data center demand are expected to drive growth, with synergies not dependent on production volume [34][36] Question: How are producer conversations going regarding concessions? - Management indicated constructive conversations with producers, focusing on win-win solutions through bundling strategies [41] Question: How has the potential for tariffs on LPGs impacted commercialization? - Management stated that tariffs have not impacted their LPG export project or contracting approach [44] Question: How flexible can capital expenditures be if the macro environment worsens? - Management noted that they can flex down about $1 billion of their annual capital expenditures if necessary [50] Question: How much of the synergies for 2025 are already underway? - Management confirmed that a substantial amount of synergies are already in progress, with ongoing capital projects to connect systems [53][56] Question: What is the outlook for Bakken volumes? - Management indicated that low single-digit growth in Bakken volumes is expected, with confidence in recovery as winter issues subside [63] Question: How sensitive is ethane recovery to market pricing? - Management explained that ethane recovery is affected by pricing, but they have flexibility to adjust based on market conditions [66] Question: What is the outlook for the gas pipeline business? - Management expressed optimism about the natural gas pipeline segment, which performed well in Q1 and is expected to continue strong performance [98]

Financial Data and Key Metrics Changes - First quarter 2025 net income attributable to ONEOK totaled $636 million or $1.04 per share [11] - Adjusted EBITDA for the first quarter was $1.78 billion, or $1.81 billion excluding transaction costs, driven by higher NGL and natural gas processing volumes [11][12] - The acquired EnLink and Medallion assets contributed nearly $450 million during the first quarter [12] - The company ended the quarter with no borrowings under its $3.5 billion facility and over $140 million in cash [14] Business Line Data and Key Metrics Changes - NGL volumes increased 4% year over year, with a 15% increase in the Rocky Mountain Region and an 8% increase in the Gulf Coast Permian volume [17] - Refined product volumes were nearly unchanged year over year, with expectations for increased volumes in the coming months due to seasonal demand [20] - Midland crude gathered volumes were up more than 20% year over year, including contributions from EnLink and Medallion systems [21] Market Data and Key Metrics Changes - The company is experiencing increased demand for natural gas due to ongoing negotiations related to power demand for data centers and industrial needs [25] - The Oklahoma natural gas storage expansion project will add an additional four Bcf of working storage capacity, which is 80% committed with third-party contracts [26] Company Strategy and Development Direction - ONEOK is focused on optimizing existing assets and expanding strategically in high-growth areas like the Permian Basin [27] - The company is committed to capital discipline and maintaining a strong balance sheet, with plans to adjust capital expenditures if necessary [15][52] - The integration of acquired assets is expected to provide significant synergies and growth opportunities, with a focus on operational efficiencies and commercial alignment [12][78] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the evolving macroeconomic environment but believes ONEOK is structured to perform through various cycles [7][10] - The company expects seasonal refined product demand and volume growth from completed capital projects to enhance results in the coming quarters [15] - Management remains confident in the long-term fundamentals of the business, supported by a strong integrated asset base and market understanding [27] Other Important Information - The company is nearing completion of several organic growth projects, including pipeline expansions in West Texas and the Rocky Mountain region [6] - The strategic Texas City LPG export joint venture is expected to provide customers with a fully integrated solution for their products [19] Q&A Session Summary Question: Can you elaborate on the synergies and outlook for 2025 and 2026? - Management highlighted that LNG exports and increasing demand for data centers are key drivers for growth, with synergies not dependent on volume [34][36] Question: How are producer conversations going regarding concessions? - Management indicated constructive conversations with producers, focusing on win-win solutions through bundling strategies [41] Question: How has the potential for tariffs on LPGs impacted commercialization? - Management stated that tariffs have not impacted their LPG export project or contracting approach [44] Question: How flexible can capital expenditure plans be if the macro environment worsens? - Management noted that approximately $1 billion of annual capital can be flexed, with a history of successfully managing capital programs during downturns [50][52] Question: How is the Bakken region trending for the rest of the year? - Management expressed confidence in low single-digit growth in the Bakken, with expectations for improved volumes as winter issues subside [64][66] Question: What is the outlook for NGL volumes and ethane recovery? - Management confirmed that ethane rejection was in line with expectations, with increased recovery anticipated as gas prices stabilize [73][74] Question: Can you clarify the incremental EBITDA from combining the four companies? - Management confirmed that there is an expected additional $1.3 billion of incremental EBITDA realizable by 2027 from synergies and growth projects [78][84]

Financial Performance & Guidance - First quarter 2025 adjusted EBITDA was approximately $1.8 billion[25] - The company reported net income attributable to ONEOK of $636 million, or $1.04 per diluted share[26] - ONEOK reaffirmed its 2025 adjusted EBITDA guidance midpoint of $8.225 billion[12, 23] - The company anticipates >15% EPS growth in 2026 and is approaching 10% adjusted EBITDA growth[23] Segment Performance (Q1 2025 vs Q4 2024) - Natural Gas Liquids adjusted EBITDA decreased, including an $82 million decrease from unconsolidated affiliates and a $72 million decrease in transportation and storage[30] - Natural Gas Gathering and Processing adjusted EBITDA increased, including a $13 million increase due to adjusted EBITDA from EnLink[31] - Refined Products and Crude adjusted EBITDA decreased[28] - Natural Gas Pipelines adjusted EBITDA decreased, including a $264 million decrease due to the interstate natural gas pipeline divestiture in 2024[31] Operational Highlights - Natural Gas Liquids: Gulf Coast/Permian NGL raw feed throughput increased by 13% compared to the fourth quarter of 2024[37] - Refined Products and Crude: Crude oil volume shipped increased to 1,846,000 bpd in the first quarter of 2025[40] - Natural Gas Gathering and Processing: Total processed volumes reached 5,250 MMcf/d in the first quarter of 2025[45] Growth Projects & Opportunities - The company is focused on high-return organic growth projects, including expansions of the West Texas NGL Pipeline (capacity to 740,000 bpd) and Elk Creek NGL Pipeline (capacity to 435,000 bpd)[56] - ONEOK sees opportunities in natural gas pipelines driven by industrial demand growth from data centers, LNG, and ammonia facilities[52, 55]

Ahead of this earnings release, the estimate revisions trend for Oneok: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Oneok shares have lost about 12.5% since the beginning of the year versu ...