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 Data and Key Metrics Changes - Net income for Q1 2025 was $25 million or $0.81 per diluted share, while core net income was $27.1 million or $0.88 per diluted share, reflecting the sustainability of earnings [24][25] - Core earnings per share was $0.88, supported by net interest income of $70.6 million, which was within the guidance range [12][24] - The tangible book value per share increased by 4% to $23.51, while core revenue per diluted share decreased by $0.10 to $2.57 [26] - The CET1 ratio improved by 43 basis points to 14.32%, indicating a strong capital position [28] Business Line Data and Key Metrics Changes - Total loans receivable increased by $7 million to $4.6 billion, driven by increases in multifamily and commercial industrial loans [38] - Political deposits grew by $103 million or 11% to $1.1 billion, consistent with historical patterns post-election [15][32] - Core non-interest income decreased to $9.1 million from $9.5 million, primarily due to lower commercial banking fees [42] Market Data and Key Metrics Changes - Total deposits increased by $446 million to $7.6 billion, with on-balance sheet deposits rising by 3.2% [31][32] - Non-interest-bearing deposits decreased to 39% of average ending deposits, while average cost of deposits increased by seven basis points to 159 basis points [33] Company Strategy and Development Direction - The company plans to maintain a conservative approach amid uncertain economic conditions, focusing on strong capital and liquidity [17][18] - A new $40 million share repurchase program was authorized, indicating a commitment to returning capital to shareholders [30][68] - The company is expanding its commercial PACE franchise, expecting C-PACE originations to ramp up to $15 to $20 million per quarter in the latter half of the year [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in revenue growth and margin expansion for the remainder of the year, despite modest declines in core earnings and revenue [13][14] - The company anticipates C&I loan growth to remain muted in Q2, with reacceleration expected in the latter half of the year [18] - Management highlighted the importance of maintaining a strong credit profile and higher liquidity levels due to potential impacts from federal funding reductions [17][18] Other Important Information - The company is planning a move to a new headquarters in New York City by mid-2026, aimed at attracting and retaining top talent [21][22] - Nonperforming assets totaled $33.9 million, representing an increase driven by commercial industrial nonaccrual loans [46] Q&A Session Summary Question: Details on the $8.3 million loan that went on nonaccrual - Management indicated that the loan is in the solar sector and has sufficient collateral value, allowing them to maintain reserve coverage [54][56] Question: Impact of funding for clean energy projects - Management confirmed that there is no observed decline in funding for clean energy projects, with a strong pipeline continuing [58][60] Question: Concerns about political challenges affecting the bank - Management emphasized their focus on core business growth and maintaining strong capital and liquidity to navigate potential challenges [64][66] Question: Update on the political deposit franchise outlook - Management reported strong deposit performance with 11% growth in political deposits, consistent with historical trends [77][78] Question: Utilization of off-balance sheet strategies - Management explained that off-balance sheet strategies will be used as appropriate to manage balance sheet growth and maintain net interest income [84][86] Question: Expectations for expenses and digital transformation projects - Management confirmed that expenses are expected to ramp up throughout the year, with a focus on digital transformation and hiring plans [91][92] Question: Tangible impacts from the new administration - Management stated that they have not seen tangible impacts on lending or deposits but are closely monitoring potential risks [96][99]

Financial Data and Key Metrics Changes - Core earnings per share was $0.88, supported by net interest income of $70.6 million, which was within the guidance range of $70 million to $71 million [8][14] - Net income was $25 million or $0.81 per diluted share, while core net income was $27.1 million or $0.88 per diluted share [14] - Total deposits increased by $446 million to $7.6 billion, with on-balance sheet deposits rising by $231 million or 3.2% [19][20] Business Line Data and Key Metrics Changes - Political deposits increased by $103 million or 11% to $1.1 billion, following historical patterns post-election [9][19] - Net loans receivable were $4.6 billion, a slight increase of $7 million or 0.2% compared to the previous quarter, driven by increases in multifamily and commercial loans [22][23] - Core non-interest income decreased to $9.1 million from $9.5 million in the linked quarter, primarily due to lower commercial banking fees [25] Market Data and Key Metrics Changes - The average cost of deposits increased by 7 basis points to 1.59%, while interest-bearing deposit costs dropped by 9 basis points to 2.62% [20] - The not-for-profit deposit segment grew significantly, increasing from $285 million at year-end 2020 to $1.37 billion at the end of Q1 2025, representing 18.5% of on-balance sheet deposits [21][22] Company Strategy and Development Direction - The company plans to maintain a conservative approach while focusing on capital strength and liquidity to navigate uncertain environments [5][10] - A new $40 million share repurchase program was authorized, indicating a commitment to returning capital to shareholders [18][42] - The company is expanding its commercial PACE franchise to diversify volume and expects C PACE originations to ramp up in the latter half of the year [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the balance sheet and the ability to adapt to changing market conditions [5][6] - The company anticipates muted C&I loan growth in Q2, with reacceleration expected in the latter half of the year [11] - Management remains optimistic about net interest margin expansion and revenue growth for the remainder of the year [29] Other Important Information - Non-performing assets totaled $33.9 million or 0.41% of total assets, with an increase primarily due to commercial and industrial non-accrual loans [27][28] - The allowance for credit losses on loans decreased to $57.7 million, with a coverage ratio of 1.23% [28] Q&A Session Summary Question: Any color on the $8.3 million loan that went on non-accrual this quarter? - The loan had been classified for a while and has sufficient collateral value, allowing the company to maintain no increase in reserve coverage for it [31][32] Question: Are you seeing funding dry up for clean energy projects? - There is no observed impact; the company continues to have a strong pipeline for clean energy projects [34][36] Question: What can be done to protect the company from political risks? - The company focuses on maintaining strong capital and liquidity while continuing to operate effectively in core businesses [38] Question: Where are you willing to take the capital ratios down to with the buyback program? - The company is comfortable maintaining a Tier 1 leverage ratio above 9% while being aggressive with the buyback program [41][44] Question: Update on the political deposit franchise outlook? - The company is encouraged by the 11% growth in political deposits and expects this trend to continue [50][51] Question: Any tangible impact from the new administration on lending or deposits? - There has been no significant impact observed; the company remains cautious and adheres to strict credit standards [62][66]

Financial Data and Key Metrics Changes - Operating earnings per share increased to 52 cents, a four cent increase from the previous quarter, indicating positive operating leverage and a strong balance sheet [11] - The quarterly operating efficiency ratio improved to 56.7%, operating return on assets rose to 1.25%, and operating return on average tangible common equity grew to 15.95% [11] - Tangible book value per share increased by 13.8% on an annualized basis [12] Business Line Data and Key Metrics Changes - Customer deposit growth was solid, with total deposits increasing by $200 million or 3%, driven by strong growth in interest-bearing money market products [21] - Total loans declined by $182 million during the quarter, influenced by strategic portfolio management actions [22] - Commercial mortgage and residential mortgage loans showed growth, offsetting some declines in other areas [22] Market Data and Key Metrics Changes - Non-interest income for the quarter was $67.2 million, with fee income as a percentage of revenue at 21% [26] - The average cost of total deposits decreased by 11 basis points to 2.03% [25] Company Strategy and Development Direction - The company continues to execute its strategic transformation through the implementation of Fulton First, focusing on talent alignment, reinvestment for growth, and operational simplification [13] - Loan growth is expected to be in the low single-digit range for the year due to strategic decisions and the current environment [17] Management's Comments on Operating Environment and Future Outlook - Management remains cautious regarding credit quality as customers navigate a volatile environment, despite improvements in asset quality metrics [18] - The company updated its rate forecast to include four 25 basis point cuts in 2025, which may impact net interest income and non-interest income [32] Other Important Information - The allowance for credit losses to total loans ratio increased to 159%, and the allowance for credit losses to non-performing loans coverage increased to 193% [30] - The company expects to incur up to $14 million of additional non-operating expenses related to Fulton First for the remainder of 2025 [29] Q&A Session Summary Question: Can you talk about loan growth and strategic offsets? - Management noted that overall pipelines increased year over year, but they remain cautious about the pull-through rate due to macro uncertainty [38] Question: What is the impact of potential rate cuts on net interest income? - A 25 basis point cut would be a headwind of about $1.7 million annually [44] Question: How is the credit portfolio being managed in light of tariffs? - Management is closely monitoring the credit portfolio for potential impacts from tariffs and government cost-cutting, particularly in the agricultural and manufacturing sectors [50][54] Question: What is the company's stance on share buybacks? - The capital strategy prioritizes organic growth and corporate initiatives before considering buybacks, although some shares were purchased in the first quarter [66] Question: How flexible is the operating expense guidance? - There is potential flexibility in timing for operating expenses, but management is comfortable with the midpoint of the expense range for now [73] Question: What is the outlook for fee income given market sensitivity? - Fee income growth has been strong, but headwinds are anticipated due to market sensitivity and interest rate volatility [78]

Core Insights - Unity Bancorp, Inc. reported a net income of $11.6 million, or $1.13 per diluted share, for Q1 2025, reflecting a 0.8% increase from the previous quarter [1][2] Financial Performance - The company achieved a return on assets (ROA) of 1.83% and a return on equity (ROE) of 15.56% [2] - Commercial and residential lending saw strong originations, with loans increasing by $84.5 million, a 3.74% rise from year-end [3] - Customer deposits (excluding brokered deposits) grew by $90.7 million, or 4.82%, quarter over quarter [3] Strategic Focus - Unity Bancorp aims to manage its balance sheet diligently, planning to fund future credit growth through deposit growth [3] - The company emphasizes disciplined credit-risk management, focusing on conservative loan-to-value and debt-service-coverage levels [3] - Unity Bancorp remains committed to supporting local economic development and providing financial services to its communities [4] Market Context - Despite capital market volatility due to tariffs, Unity Bancorp does not anticipate adverse impacts on loan demand [4] - The company is prepared to assist small business customers who may benefit from tariffs on foreign goods [4] Company Overview - Unity Bancorp, Inc. is headquartered in Clinton, New Jersey, with approximately $2.8 billion in assets and $2.2 billion in deposits [5] - Unity Bank, the wholly owned subsidiary, serves retail, corporate, and small business customers through a robust branch network in New Jersey and Pennsylvania [5]