Oneok Q2 Earnings: Revenue Up 61.2%, EPS Matches Estimate

Oneok reported Q2 revenue of $7.89 billion, up 61.2% YoY, and EPS of $1.34, compared to $1.33 in the same period last year. The reported revenue missed the Zacks Consensus Estimate of $8.56 billion, resulting in a surprise of -7.91%. Key metrics, such as raw feed throughput, revenues from natural gas gathering and processing, refined products & crude, and adjusted EBITDA, also showed notable year-over-year changes.

Oneok Inc. (OKE) reported its second-quarter (Q2) financial results, revealing a net income of $841 million. The Tulsa-based natural gas company's earnings per share (EPS) of $1.34 matched the average estimate by seven analysts surveyed by Zacks Investment Research [1]. The company generated a revenue of $7.89 billion during the period, a 61.2% year-over-year (YoY) increase from $4.89 billion in the prior-year quarter [2]. However, this performance fell short of the Zacks Consensus Estimate of $8.57 billion, resulting in a surprise of -7.91%.

Key metrics showed notable year-over-year changes. Raw feed throughput increased by 139.6% to 5,573 million cubic feet of gas per day (MMcf/d), while natural gas transportation capacity contracted increased by 4.3% to 4,650 million British thermal units per hour per day (MDth/d) [2]. Adjusted EBITDA rose 22% year over year to $1.98 billion, while operating income grew 16.4% to $1.43 billion [2]. Interest expenses, however, increased by 47% to $438 million [2].

As of June 30, 2025, Oneok had $97 million in cash and cash equivalents, compared to $733 million as of Dec. 31, 2024. Long-term debt excluding current maturities stood at $29.63 billion, down from $31.02 billion at the end of 2024. Cash provided by operating activities for the first six months of 2025 amounted to $2.43 billion, up from $2.03 billion in the same period of 2024 [2].

Oneok lowered its consolidated 2025 net income guidance to a range of $3.17-$3.65 billion, down from the previous range of $3.21-$3.69 billion. The company expects adjusted EBITDA in the range of $8-$8.45 billion, with interest expenses, net of capitalized interest, expected in the range of $1.77-$1.73 billion. Diluted EPS is expected to be in the range of $4.97-$5.77 [2].

Oneok's Zacks Rank is currently #3 (Hold), indicating a neutral outlook. The company's stock price has been relatively stable, with the price-consensus-eps-surprise-chart showing a minimal deviation from the Zacks Consensus Estimate [2].

References:
[1] https://www.indexbox.io/blog/oneok-inc-reports-strong-q2-earnings/
[2] https://www.tradingview.com/news/zacks:2a3bc7187094b:0-oneok-q2-earnings-meet-estimates-revenues-rise-year-over-year/