Completes Acquisition of the Largest Privately Held Crude Oil Gathering and Transportation System in the Permian's Midland Basin TULSA, Okla., Oct. 31, 2024 /PRNewswire/ -- ONEOK, Inc. (NYSE: OKE) today announced the successful completion of its acquisition of Medallion Midstream (Medallion) from Global Infrastructure Partners, for a total cash consideration of approximately $2.6 billion."With the acquisition of Medallion, the largest privately held crude gathering and transportation system in the Permian's ...

Financial Performance - Total revenues for Q3 2024 were $5,023 million, a 19.9% increase compared to $4,189 million in Q3 2023[9] - Net income for Q3 2024 was $693 million, a 52.6% increase compared to $454 million in Q3 2023[9] - Diluted EPS for Q3 2024 was $1.18, a 19.2% increase compared to $0.99 in Q3 2023[9] - Operating income for Q3 2024 was $1,128 million, a 52.6% increase compared to $739 million in Q3 2023[9] - Comprehensive income for Q3 2024 was $733 million, a 59.0% increase compared to $461 million in Q3 2023[10] - Net income for the period was $2,112 million, up from $1,971 million in the previous year[14] - Net income for Q1 2024 was $639 million, increasing to $780 million in Q2 2024, and $693 million in Q3 2024[21] - Basic EPS for the three months ended Sept. 30, 2024, was $1.18, compared to $0.99 for the same period in 2023[68] - Net income available for common stock for the nine months ended Sept. 30, 2024, was $2.111 billion, with basic EPS of $3.61[68] - Total revenues for the three months ended Sept. 30, 2024, were $5,718 million, with $905 million from Natural Gas Gathering and Processing, $3,679 million from Natural Gas Liquids, $171 million from Natural Gas Pipelines, and $963 million from Refined Products and Crude[84] - Total revenues for the three months ended Sept. 30, 2023, were $4,817 million, with $965 million from Natural Gas Gathering and Processing, $3,634 million from Natural Gas Liquids, $146 million from Natural Gas Pipelines, and $72 million from Refined Products and Crude[86] - Total revenues for the nine months ended Sept. 30, 2024, reached $16.746 billion, with liquids commodity sales contributing $13.266 billion[89] - Adjusted EBITDA for the nine months ended Sept. 30, 2024, was $4.614 billion, up from $3.821 billion in the same period in 2023[95] - Transportation and storage revenue for the nine months ended Sept. 30, 2024, was $2.122 billion, compared to $577 million in 2023[89][92] - Cost of sales and fuel for the nine months ended Sept. 30, 2024, was $10.866 billion, slightly higher than $10.423 billion in 2023[89][92] - Operating costs for the nine months ended Sept. 30, 2024, were $1.717 billion, up from $978 million in 2023[89][92] - Depreciation and amortization for the nine months ended Sept. 30, 2024, totaled $786 million, compared to $506 million in 2023[89][92] - Equity in net earnings from investments for the nine months ended Sept. 30, 2024, was $256 million, up from $132 million in 2023[89][92] Revenue and Sales Breakdown - Commodity sales for Q3 2024 were $4,083 million, an 8.6% increase compared to $3,760 million in Q3 2023[9] - Services revenue for Q3 2024 was $940 million, a 119.1% increase compared to $429 million in Q3 2023[9] - Segment adjusted EBITDA for the three months ended Sept. 30, 2024, was $1,549 million, with $318 million from Natural Gas Gathering and Processing, $624 million from Natural Gas Liquids, $166 million from Natural Gas Pipelines, and $441 million from Refined Products and Crude[84] - Segment adjusted EBITDA for the three months ended Sept. 30, 2023, was $1,116 million, with $323 million from Natural Gas Gathering and Processing, $616 million from Natural Gas Liquids, $136 million from Natural Gas Pipelines, and $41 million from Refined Products and Crude[86] Expenses and Costs - Interest expense for Q3 2024 was $325 million, a 51.2% increase compared to $215 million in Q3 2023[9] - Depreciation and amortization for Q3 2024 was $274 million, a 54.8% increase compared to $177 million in Q3 2023[9] - Capital expenditures amounted to $1,459 million, compared to $992 million in the prior year[15] - Cash used in investing activities was $1,832 million, a decrease from $5,759 million in the prior year[15] - Capital expenditures for the three months ended Sept. 30, 2024, were $450 million, with $102 million in Natural Gas Gathering and Processing, $247 million in Natural Gas Liquids, $56 million in Natural Gas Pipelines, and $45 million in Refined Products and Crude[84] - Capital expenditures for the three months ended Sept. 30, 2023, were $386 million, with $126 million in Natural Gas Gathering and Processing, $189 million in Natural Gas Liquids, $70 million in Natural Gas Pipelines, and $1 million in Refined Products and Crude[86] - Capital expenditures for the nine months ended Sept. 30, 2024, totaled $1.411 billion, compared to $959 million in the same period in 2023[89][92] Acquisitions and Investments - The company completed the EnLink Controlling Interest Acquisition on October 15, 2024, for a total cash consideration of approximately $3.3 billion[28][29] - EnLink's assets include 13,600 miles of pipeline, 25 natural gas processing plants with 5.9 Bcf/d capacity, and seven fractionators with 316 MBbl/d capacity[30] - The Medallion Acquisition, expected to close in Q4 2024, involves a purchase price of $2.6 billion for midstream services in West Texas[34][35] - The Gulf Coast NGL Pipelines Acquisition in June 2024 cost approximately $280 million, adding 450 miles of NGL pipelines[38] - The Magellan Acquisition, completed on September 25, 2023, had a total consideration of $14.1 billion, including $9.0 billion in common stock and $5.25 billion in senior unsecured notes[39] - Magellan Acquisition total consideration was $14.114 billion, including $5.052 billion in cash and $9.062 billion in equity[41] - Magellan Acquisition resulted in total assets acquired of $14.673 billion and liabilities assumed of $5.148 billion[41] - Goodwill increased by $165 million due to adjustments in the purchase price allocation, primarily from a $100 million decrease in property, plant and equipment[41] - Pro forma revenue for the nine months ended Sept. 30, 2023, was $14.764 billion, with net income of $2.364 billion[42] - Transaction costs for the nine months ended Sept. 30, 2023, related to the Magellan Acquisition were $154 million[44] - Investments in unconsolidated affiliates for the nine months ended Sept. 30, 2024, were $1.922 billion, up from $1.794 billion in 2023[89][92] Debt and Financing - Long-term debt, excluding current maturities, rose to $26,880 million from $21,183 million[12] - Cash provided by financing activities was $4,681 million, up from $2,910 million in the previous year[16] - The company completed a $7.0 billion senior unsecured notes offering in September 2024, with net proceeds of $6.9 billion intended for acquisitions and general corporate purposes[62] - Current maturities of long-term debt totaled $1.257 billion as of Sept. 30, 2024[62] - The company's ratio of consolidated indebtedness to adjusted EBITDA was 3.7 to 1 as of Sept. 30, 2024, with no outstanding borrowings under its $2.5 billion credit agreement[64] - Consolidated long-term debt fair value was $28.0 billion at Sept. 30, 2024, compared to a book value of $28.1 billion[53] - Treasury locks of $1.5 billion were settled in Q3 2024 to hedge interest-rate risk on forecasted debt issuances[56] Equity and Dividends - Total equity increased to $16,887 million from $16,484 million, driven by retained earnings and paid-in capital[12] - Total equity increased from $16,484 million at the start of 2024 to $16,887 million by September 30, 2024[21] - Dividends paid totaled $1,734 million, up from $1,283 million in the previous year[16] - Dividends paid on common stock in 2024 were $0.99 per share, with a total of $0.3 million paid for Series E Preferred Stock dividends in February, May, and August 2024[66][67] Assets and Liabilities - Total assets increased to $51,050 million from $44,266 million, reflecting growth in cash held for acquisitions and other assets[12] - Cash and cash equivalents at the end of the period stood at $6,464 million, a significant increase from $284 million[16] - Accounts receivable decreased to $1,252 million from $1,705 million, indicating improved collections[12] - Total assets as of Sept. 30, 2024, amounted to $44.549 billion, an increase from $43.582 billion in 2023[89][92] Derivatives and Hedging - Derivative assets as of Sept. 30, 2024, totaled $80 million gross, with a net position of $39 million after netting[49] - Total derivatives designated as hedging instruments decreased to $73 million in assets and $23 million in liabilities as of Sept. 30, 2024, compared to $163 million in assets and $78 million in liabilities as of Dec. 31, 2023[58] - Notional quantities for natural gas derivatives designated as hedging instruments decreased to 24.4 Bcf as of Sept. 30, 2024, from 16.0 Bcf as of Dec. 31, 2023[59] Insurance and Settlements - Insurance settlement for the Medford incident totaled $930 million, with $830 million received in Q1 2023 and recorded as an operational gain of $779 million[46] - The company reached settlements with all remaining claimants in the first quarter of 2024, and all settlement payments were made in the second quarter of 2024, fully offset by insurance proceeds[74] Contract Liabilities and Revenue Recognition - Contract liabilities at Dec. 31, 2023, were $150 million, with $104 million in other current liabilities and $46 million in other deferred credits[77] - Contract liabilities at Sept. 30, 2024, were $150 million, with $112 million in other current liabilities and $38 million in other deferred credits[77] - Expected revenue recognition for the remainder of 2024 is $335 million, with $1,174 million in 2025, $956 million in 2026, $839 million in 2027, and $2,512 million for 2028 and beyond[80] Goodwill and Impairment - Goodwill impairment review as of July 1, 2024, concluded no impairment for Natural Gas Pipelines, Natural Gas Liquids, and Refined Products and Crude reporting units[24] Accounting Standards - The company issued ASU 2023-07 and ASU 2023-09, effective for fiscal years beginning after December 15, 2024, with no material impact expected[26][27] Transactions with Affiliates - The company incurred $54 million in expenses related to transactions with unconsolidated affiliates for the three months ended Sept. 30, 2024, up from $33 million in the same period in 2023[71]

ONEOK, Inc. (NYSE:OKE) Q3 2024 Earnings Conference Call October 30, 2024 11:00 AM ET Company Participants Andrew Ziola - Vice President of Investor Relations Pierce Norton - President and Chief Executive Officer Walter Hulse - Executive Vice President, Chief Financial Officer, Treasurer, Investor Relations and Corporate Development Sheridan Swords - Executive Vice President of Commercial Liquids and Natural Gas Gathering and Processing Conference Call Participants Theresa Chen - Barclays Jean Ann Salisbury ...

ONEOK Inc. (OKE) reported third-quarter 2024 operating earnings per share (EPS) of $1.18, which missed the Zacks Consensus Estimate of $1.23 by 4.1%. However, the bottom line improved 19.2% from the year-ago figure of 99 cents. Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar. Total Revenues Operating revenues totaled $5.02 billion, which missed the Zacks Consensus Estimate of $5.81 billion by 13.5%. However, the top line improved 19.8% from $4.19 billion in the prior-year quarter. H ...

| --- | --- | --- | |---------------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Third Quarter | | | | 2024 Results | | | | | | | | | | | | October 2024 | | | Cautionary Statement Forward-Looking Statements This communication contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, includ ...

Financial Performance - Net income for Q3 2024 was $693 million, with diluted earnings per share of $1.18, and adjusted EBITDA of $1.55 billion[3] - ONEOK increased 2024 consolidated net income guidance midpoint to $2.995 billion, with adjusted EBITDA midpoint of $6.625 billion[4] - Stand-alone net income guidance for 2024 increased by $65 million to a midpoint of $2.945 billion, and adjusted EBITDA increased by $100 million to a midpoint of $6.275 billion[5] - ONEOK reported a 3.5 times annualized run-rate net debt-to-EBITDA ratio as of Sept. 30, 2024[14] - Third quarter 2024 adjusted EBITDA increased by $25 million compared to Q3 2023, driven by higher firm and interruptible rates in transportation services[23] - Nine-month 2024 adjusted EBITDA increased by $57 million in transportation services and $13 million from unconsolidated affiliates, offset by an $11 million increase in operating costs[24] - ONEOK increased its 2024 financial guidance, reflecting improved performance in transportation services and unconsolidated affiliates[23][24] - ONEOK reported a 19.9% increase in total revenues to $5,023 million for Q3 2024 compared to $4,189 million in Q3 2023[41] - Net income for Q3 2024 rose to $693 million, up 52.6% from $454 million in Q3 2023[41] - Basic earnings per share increased to $1.18 in Q3 2024 from $0.99 in Q3 2023[41] - Adjusted EBITDA for Q3 2024 was $1.545 billion, compared to $1.015 billion in Q3 2023[50] - ONEOK updated its 2024 financial guidance, projecting Adjusted EBITDA between $6.525 billion and $6.725 billion[54] Segment Performance - Rocky Mountain region NGL raw feed throughput volumes increased by 7%, and natural gas volumes processed increased by 5% in Q3 2024[3] - Natural Gas Pipelines segment adjusted EBITDA increased by 22% in Q3 2024[3] - Natural Gas Liquids segment adjusted EBITDA for Q3 2024 was $624 million, with capital expenditures of $247 million[16] - Refined Products and Crude segment adjusted EBITDA for Q3 2024 was $441 million, with capital expenditures of $45 million[19] - Natural Gas Liquids segment reported Adjusted EBITDA of $624 million for Q3 2024, compared to $616 million in Q3 2023[49] - Refined Products and Crude segment shipped 1,580 MBbl/d of refined products in Q3 2024, up from 1,509 MBbl/d in the nine months ended Sept. 30, 2024[49] - Natural Gas Gathering and Processing segment processed 3,236 BBtu/d of natural gas in Q3 2024, an increase from 3,085 BBtu/d in Q3 2023[49] - Natural Gas Pipelines segment contracted 97% of its natural gas transportation capacity in Q3 2024, up from 96% in Q3 2023[49] - The Refined Products and Crude segment's Adjusted EBITDA for Q3 2024 was $441 million, compared to $41 million in Q3 2023[50] Acquisitions and Projects - ONEOK completed the acquisition of EnLink Midstream for approximately $3.3 billion in October 2024[14] - ONEOK announced a project to rebuild its 210,000 bpd fractionator in Medford, Oklahoma, expected to cost $385 million and be completed by Q1 2027[14] - ONEOK owns 43% of EnLink Midstream's outstanding common units as of October 15, 2024[32] - The company expects to close the Medallion acquisition in Q4 2024, which will contribute to future Adjusted EBITDA[55] Financial Position and Capital Expenditures - Total assets grew to $51,050 million as of Sept. 30, 2024, up from $44,266 million at Dec. 31, 2023[43] - Cash and cash equivalents surged to $6,464 million at the end of Q3 2024, compared to $284 million at the end of Q3 2023[47] - Long-term debt increased to $26,880 million as of Sept. 30, 2024, up from $21,183 million at Dec. 31, 2023[44] - Capital expenditures for the first nine months of 2024 totaled $1,459 million, up from $992 million in the same period of 2023[47] - Cash provided by operating activities for the first nine months of 2024 was $3,277 million, compared to $2,913 million in the same period of 2023[47] - ONEOK held $5,885 million in cash for acquisitions as of Sept. 30, 2024[43] - The company's retained earnings increased to $1,237 million as of Sept. 30, 2024, up from $868 million at Dec. 31, 2023[45] - Capital expenditures for the Natural Gas Liquids segment were $247 million in Q3 2024, up from $189 million in Q3 2023[49] Risks and Forward-Looking Statements - The company faces risks from volatile commodity prices, regulatory changes, and potential cybersecurity attacks[37] - ONEOK's forward-looking statements include potential impacts of acquisitions, such as the EnLink Controlling Interest Acquisition and Medallion Acquisition[38] - The company's financial performance is influenced by factors like demand for natural gas, NGLs, and crude oil, as well as regulatory compliance and reserve performance[37] - ONEOK's ability to pay dividends and maintain internal controls are key considerations for future financial stability[38] Non-GAAP Financial Metrics - Adjusted EBITDA is a non-GAAP financial metric used to measure ONEOK's financial performance, excluding items like interest expense, depreciation, and noncash items[26][27] Operational Overview - ONEOK operates a 50,000-mile pipeline network, transporting natural gas, NGLs, refined products, and crude oil[31]

Increases Financial Guidance for the Second Time in 2024 TULSA, Okla., Oct. 29, 2024 /PRNewswire/ -- ONEOK, Inc. (NYSE: OKE) today announced higher third quarter 2024 results and provided 2024 financial guidance on a consolidated basis that includes contributions from EnLink Midstream (EnLink) and the pending Medallion Midstream (Medallion) acquisition. ONEOK also increased its 2024 financial guidance on a stand-alone basis to be comparable with the previous guidance provided on April 30, 2024. Third Quarte ...

The most recent trading session ended with Oneok Inc. (OKE) standing at $96.66, reflecting a -0.78% shift from the previouse trading day's closing. The stock's performance was behind the S&P 500's daily loss of 0.03%. Meanwhile, the Dow lost 0.61%, and the Nasdaq, a tech-heavy index, added 0.56%.The the stock of natural gas company has risen by 9.28% in the past month, leading the Oils-Energy sector's loss of 10.96% and the S&P 500's gain of 1.39%.The investment community will be closely monitoring the perf ...

ONEOK Inc. (OKE) is scheduled to release third-quarter 2024 results on Oct. 29, after market close. The company delivered a negative earnings surprise of 3.5% in the last reported quarter.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.Key Factors That May Impact OKE's Q3 ResultsThe bottom line is expected to have gained from strong fee-based contracts, as more than 90% of its revenues are li ...

Wall Street expects a year-over-year increase in earnings on higher revenues when Oneok Inc. (OKE) reports results for the quarter ended September 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on October 29, 2024, might help the stock move higher if these key numbers are better than e ...