2026 Analyst Day February 2026 WILLIAMS © 2026 The Williams Companies, Inc. All rights reserved NYSE: WMB I 2026 Analyst Day I February 10, 2026 I www.williams.com 1 Agenda Welcome & Introductions Danilo Juvane, VP IR and ESG CEO Perspective Chad Zamarin, President & Chief Executive Officer 15-minute Break All Attendees Corporate Strategy Rob Wingo, EVP, Corporate Strategic Development Operations & Execution Larry Larsen, EVP & Chief Operating Officer Financial Outlook John Porter, EVP & Chief Financial Off ...

Financial Performance - Williams reported record Adjusted EBITDA of $7.75 billion for 2025, representing a 9% increase from 2024[4]. - GAAP net income for 2025 was $2.615 billion, or $2.14 per diluted share, up 18% compared to 2024[4]. - Cash flow from operations increased by $924 million to $5.898 billion, a 19% rise from 2024[4]. - Total revenues for 2025 reached $11,950 million, a 13.8% increase from $10,503 million in 2024[28]. - Net income attributable to The Williams Companies, Inc. for 2025 was $2,615 million, up 17.7% from $2,222 million in 2024[28]. - Operating income for 2025 was $4,196 million, compared to $3,339 million in 2024, reflecting a 25.8% increase[28]. - Cash provided by operating activities in 2025 was $5,898 million, an increase from $4,974 million in 2024[33]. - The company reported a basic earnings per share of $2.14 for 2025, up from $1.82 in 2024[28]. - Net income for 2024 totaled $2,346 million, with a projected increase to $2,768 million in 2025[53]. - Modified EBITDA for 2024 was $6,656 million, expected to rise to $7,673 million in 2025[53]. - Available funds from operations (AFFO) for 2024 were $5,378 million, with a forecast of $5,858 million for 2025[54]. - The coverage ratio for AFFO to common dividends paid was 2.32 for 2024, projected to be 2.40 in 2025[54]. Capital Expenditures and Investments - Capital investments for 2025 totaled $4.294 billion, significantly up from $2.706 billion in 2024[4]. - The company anticipates a total of $5,404 million in capital expenditures for 2025, with a focus on expanding operational capabilities[44]. - The company plans to invest $3,258 million in Transmission, Power & Gulf for 2025, indicating a growth strategy in this segment[44]. - The company has identified $511 million in purchases of and contributions to equity-method investments for 2025, indicating ongoing strategic investments[44]. - The Northeast G&P segment's capital expenditures for 2024 are expected to be $211 million, a decrease from $224 million in 2023[44]. - Total capital expenditures for 2024 are projected to be $4,893 million, with a significant increase in the 1st quarter to $1,012 million[44]. Future Guidance - 2026 Adjusted EBITDA guidance is set between $8.05 billion and $8.35 billion, reflecting a 6% increase at the midpoint compared to 2025[4][23]. - The company anticipates 2026 growth capital expenditures between $6.1 billion and $6.7 billion[23]. - Guidance for 2026 indicates net income from continuing operations will range from $3,010 million to $3,240 million[56]. - Adjusted EBITDA for 2026 is expected to be between $8,050 million and $8,350 million[56]. - Net cash provided by operating activities for 2026 is projected to be between $6,315 million and $6,545 million[56]. - Common dividends paid are expected to be $2,575 million in 2026[56]. - The company anticipates a total adjusted income from continuing operations available to common stockholders between $2,700 million and $2,930 million for 2026[56]. Operational Highlights - Williams completed 12 projects in 2025, including 6 pipeline transmission and 4 Deepwater projects[4]. - The company executed a strategic partnership with Woodside Energy and closed acquisitions of Rimrock and Saber Midstream[4]. - Average daily transportation volumes for Transcontinental Gas Pipe Line increased from 14.0 MMdth in 2023 to 15.0 MMdth in 2025, reflecting a 7.1% growth[34]. - Average daily firm reserved capacity for Transcontinental Gas Pipe Line is projected to increase from 20.1 MMdth in 2023 to 20.8 MMdth in 2025, a growth of 3.5%[34]. - Average daily crude oil transportation volumes are expected to rise from 113 Mbbls/d in 2023 to 208 Mbbls/d in 2025, representing an 84.1% increase[34]. - Gathering volumes averaged 5.46 Bcf/d in 2024, with an increase to 6.09 Bcf/d projected for 2025[39]. Dividend Policy - The company raised its dividend by 5% to $2.10 annualized for 2026, marking 52 consecutive years of dividend payments[4]. - The company is committed to maintaining dividend levels while navigating economic uncertainties and market volatility[60]. Risks and Considerations - Key factors influencing future results include levels of dividends, capital expenditures, and business expansion strategies[59]. - The company highlights risks related to natural gas and crude oil prices, market demand, and regulatory environments that could impact financial outcomes[60]. - Future cash flow from operations and the ability to execute capital projects are critical for achieving business objectives[60]. - The impact of climate change and regulatory scrutiny on environmental practices is a significant consideration for future strategies[60]. - The geopolitical situation, including conflicts and changes in U.S. policies, may affect operational and financial stability[60]. - Future reports will include detailed risk factors that could lead to deviations from anticipated results[63]. - The company does not intend to update forward-looking statements unless required by law, emphasizing the inherent uncertainties in such projections[61].

Core Insights - The Williams Companies, Inc. (WMB) is exploring the acquisition of U.S. natural gas producing assets to enhance its role as an energy partner for hyperscalers and AI data center developers, marking a strategic shift from its traditional midstream operations [1][10] Group 1: Strategic Shift and Market Positioning - Williams is targeting the digital infrastructure market by potentially adding upstream gas production, aiming to provide a comprehensive energy solution that includes supply, transportation, storage, and power generation for hyperscalers [2][10] - The company is evaluating opportunities aligned with its natural gas-focused strategy, although discussions are still preliminary and no transaction is guaranteed [4][11] Group 2: Power Innovation and Growth Potential - Williams' Power Innovation business has $5.1 billion in committed capital, delivering grid solutions to meet the increasing demand from data centers, with projects backed by 10-year take-or-pay contracts ensuring predictable returns [3][10] - The company has made significant investments, including a $2 billion power project in Ohio expected to deliver 440 megawatts, along with two additional projects representing a combined investment of approximately $3.1 billion, scheduled to come online in 2027 [7][8] Group 3: Industry Context and Demand Dynamics - The rise in AI adoption has led to a surge in demand for reliable power, placing pressure on the U.S. power grid, which is facing challenges such as aging infrastructure and local opposition to new facilities [5][6] - Securing dependable fuel sources has become a strategic priority for energy providers and hyperscalers, highlighting the importance of integrated energy solutions [6] Group 4: Long-term Strategy and Financial Outlook - Williams is targeting annual EBITDA growth of 5%-7%, with potential upward revisions as power and integrated energy initiatives scale [12] - The re-entry into upstream production could position the company as a critical energy backbone for the AI economy, linking natural gas supply directly to the power needs of hyperscalers [12]

Core Viewpoint - Williams Companies is considering acquiring natural gas production assets in the United States, marking a significant move for an energy infrastructure operator aiming to secure natural gas supplies for its operations [1] Group 1: Company Strategy - The company is exploring this acquisition as part of its strategy to enhance its natural gas supply chain [1] - This initiative represents a rare approach for an energy infrastructure operator, indicating a shift towards more integrated operations within the natural gas sector [1] Group 2: Industry Context - The move reflects broader trends in the energy industry where companies are increasingly looking to control production to ensure supply stability [1] - The acquisition could position Williams Companies favorably in a competitive market, as securing production assets may provide a strategic advantage [1]

Core Viewpoint - The Williams Companies, Inc. (WMB) is well-positioned to benefit from the recent surge in natural gas prices due to extreme weather and supply disruptions, with a new price target set by Jefferies indicating potential growth in stock value [1][2][5]. Group 1: Company Performance - WMB's current stock price is $66.45, reflecting a slight decrease of 1.20% or $0.81, with fluctuations between $65.83 and $66.79 on the trading day [3]. - Over the past year, WMB's stock has ranged from a low of $51.58 to a high of $68.27, indicating market resilience and growth potential [3]. - The company's market capitalization is approximately $81.15 billion, showcasing strong investor confidence in its ability to navigate the energy sector [4][5]. Group 2: Market Conditions - Natural gas prices have surged due to extreme cold weather and supply disruptions, despite U.S. inventories being above the five-year average, benefiting companies like WMB [2]. - The March Henry Hub contract has seen a double-digit increase, highlighting favorable market conditions for natural gas [2].

Group 1: Company Overview - The Williams Companies, Inc. (NYSE:WMB) is a significant player in the energy sector, focusing on natural gas processing and transportation [1] - The company's market capitalization is approximately $81.18 billion, indicating its substantial presence in the energy market [4] Group 2: Stock Performance - WMB's current stock price is $66.48, reflecting a decrease of approximately 1.17% [3] - The stock has fluctuated between a low of $65.83 and a high of $66.79 today, with a yearly high of $68.27 and a low of $51.58, showcasing volatility [3] Group 3: Analyst Ratings and Price Target - Jefferies has maintained a "Buy" rating for WMB and increased its price target from $71 to $76 [1][5] Group 4: Market Conditions - Natural gas prices have surged due to cold weather and supply disruptions, benefiting companies like WMB [2][5] - Despite natural gas inventories being above the five-year average, extreme cold and temporary supply hits have driven prices higher, positioning WMB to capitalize on increased demand [2]

Core Viewpoint - Woodside Energy Group has reported strong production performance in 2025, achieving record annual production of 198.8 million barrels of oil equivalent (MMboe), driven by high reliability at key facilities and progress on major projects [2][11]. Production and Financial Performance - The company provided guidance for 2025 production between 192 - 197 MMboe, with a preliminary result of 198.8 MMboe, indicating a strong performance across its assets [1]. - Unit production costs are expected to be around $7.6 - 8.1 per barrel of oil equivalent (boe), with a preliminary estimate of approximately $7.8 [1]. - Revenue for Q4 2025 was reported at $3,035 million, a decrease of 10% from Q3 2025 and a 13% decline year-over-year [11]. - Total production for 2025 was 198.8 MMboe, a 3% increase from 193.9 MMboe in 2024 [11]. Project Developments - The Scarborough Energy Project is 94% complete and on track for first LNG cargo in Q4 2026, with hook-up activities underway [3]. - The Beaumont New Ammonia project achieved first production in December 2025, with plans for lower-carbon ammonia production in the second half of 2026 [4]. - The Louisiana LNG Project's foundation phase is 22% complete, targeting first LNG in 2029 [5]. Strategic Partnerships and Agreements - Woodside entered a strategic partnership with Williams, selling a 10% interest in Louisiana LNG HoldCo and an 80% operating interest in PipelineCo, with Williams contributing approximately $1.9 billion in capital expenditure [6]. - Long-term agreements for conventional ammonia supply from Beaumont have been finalized, with deliveries set to commence in 2026 [5]. Operational Highlights - The company achieved 100% reliability at Pluto LNG for the second half of 2025, contributing to strong production levels [2]. - The North West Shelf Project's Greater Western Flank Phase 4 was approved, extending production by about one year with an internal rate of return of approximately 30% [8]. - Woodside successfully bid on eight exploration blocks in the Gulf of America, enhancing its exploration portfolio [9]. Future Guidance - For 2026, Woodside expects production volumes of 172 - 186 MMboe, reflecting planned downtime at Pluto [10]. - Capital expenditure for 2026 is projected at $4,500 million, excluding final acquisition payments for Beaumont New Ammonia [35].

Core Viewpoint - Williams' board of directors has approved a regular dividend of $0.525 per share, marking a 5% increase from the previous quarterly dividend of $0.50 per share [1][2]. Group 1: Dividend Information - The approved dividend of $0.525 per share is annualized to $2.10 and will be payable on March 30, 2026, to shareholders on record as of March 13, 2026 [1]. - This increase reflects Williams' commitment to returning value to shareholders, as the company has consistently paid dividends every quarter since 1974 [2]. Group 2: Company Overview - Williams is a leader in the energy industry, responsible for delivering one third of the nation's natural gas, which is essential for heating homes, cooking, and generating low-carbon electricity [3]. - The company emphasizes a commitment to safety, reliability, and responsibility in meeting the growing energy demand, while also focusing on a clean energy future [3].

Core Viewpoint - The Williams Companies, Inc. (NYSE:WMB) is recognized as a strong investment opportunity in the energy sector, particularly in the context of rising power demand and LNG exports, which are expected to enhance long-term growth prospects for gas infrastructure operators [2]. Group 1: Analyst Ratings and Price Targets - Scotiabank has raised its price target for The Williams Companies from $61 to $66 while maintaining a 'Sector Perform' rating, reflecting a broader reset in energy infrastructure valuations [2]. - UBS has reiterated a 'Buy' rating on The Williams Companies with a price target of $78, highlighting progress on two significant pipeline projects [3]. Group 2: Pipeline Developments - The Northeast Supply Enhancement project has secured essential water permits, which are crucial for meeting its target in-service date of Q4 2027, with an estimated incremental EBITDA of approximately $150 million at a 6.0x-7.0x build multiple, pending further approvals [4]. - The Constitution pipeline is projected to contribute about $180 million in EBITDA, with construction expected to commence in Q4 2026 and service anticipated by April 2028 [5]. Group 3: Company Overview - The Williams Companies focuses on operating natural gas gathering, processing, and pipeline infrastructure across the U.S., owning and developing large-scale transmission assets that support power generation, LNG exports, and domestic energy demand [5].

Core Viewpoint - Williams Companies Inc. has shown a modest stock performance with a 4.13% increase over the past month and a 5.10% increase over the past year, leading to optimism among long-term shareholders, while concerns about potential overvaluation arise from the price-to-earnings (P/E) ratio analysis [1][4]. Group 1: Stock Performance - The current stock price of Williams Companies is $62.23, reflecting a 1.10% increase in the current session [1]. - Over the past month, the stock has increased by 4.13%, and over the past year, it has increased by 5.10% [1]. Group 2: P/E Ratio Analysis - The P/E ratio is a critical metric for assessing the company's market performance, comparing the current share price to the company's earnings per share (EPS) [3]. - Williams Companies has a P/E ratio of 31.89, which is significantly higher than the industry average P/E ratio of 19.68 for the Oil, Gas & Consumable Fuels sector [4]. - A higher P/E ratio may indicate that investors expect better future performance from Williams Companies compared to its industry peers, but it also raises concerns about potential overvaluation [4]. Group 3: Limitations of P/E Ratio - While the P/E ratio is useful for market performance analysis, it has limitations and should not be used in isolation [6]. - A lower P/E ratio may suggest undervaluation, but it can also indicate a lack of expected future growth from shareholders [6]. - Other factors, such as industry trends and business cycles, should be considered alongside the P/E ratio for informed investment decisions [6].