ONE Gas Issues 2025 Financial Guidance
ONE Gas (NYSE: OGS) has released its 2025 financial guidance and updated five-year growth projections. The company expects 2025 net income between $254-261 million, with earnings per diluted share of $4.20-$4.32. Capital investments for 2025 are projected at $750 million, including $180 million for new customer extensions.
For the five-year period through 2029, ONE Gas anticipates capital investments of $4.0 billion, with average rate base growth of 7-9% annually. The company projects net income growth of 7-9% and diluted EPS growth of 4-6%. Operating costs are expected to increase by 4% annually, with total financing needs of $1.5 billion through 2029, of which 40% will be equity. The company targets a dividend payout ratio of 55-65% with 1-2% annual dividend growth.
ONE Gas (NYSE: OGS) ha pubblicato le previsioni finanziarie per il 2025 e aggiornato le proiezioni di crescita per i prossimi cinque anni. L'azienda prevede un reddito netto nel 2025 compreso tra $254 e $261 milioni, con utili per azione diluiti tra $4.20 e $4.32. Gli investimenti in capitale per il 2025 sono stimati in $750 milioni, di cui $180 milioni destinati ad nuove estensioni per i clienti.
Per il periodo di cinque anni fino al 2029, ONE Gas prevede investimenti in capitale di $4.0 miliardi, con una crescita media della base tariffaria del 7-9% all'anno. L'azienda stima una crescita del reddito netto del 7-9% e una crescita degli utili per azione diluiti del 4-6%. I costi operativi sono attesi in aumento del 4% annualmente, con necessità di finanziamento totali di $1.5 miliardi fino al 2029, di cui il 40% sarà capitale proprio. L'azienda punta a un rapporto di distribuzione dei dividendi del 55-65% con una crescita annuale dei dividendi dell'1-2%.
ONE Gas (NYSE: OGS) ha publicado sus proyecciones financieras para 2025 y ha actualizado sus proyecciones de crecimiento a cinco años. La empresa espera un ingreso neto de 2025 entre $254 y $261 millones, con ganancias por acción diluida de $4.20-$4.32. Se proyectan inversiones de capital para 2025 de $750 millones, incluyendo $180 millones para nuevas extensiones de clientes.
Para el período de cinco años hasta 2029, ONE Gas anticipa inversiones de capital por $4.0 mil millones, con un crecimiento promedio de la base tarifaria del 7-9% anualmente. La compañía prevé un crecimiento del ingreso neto del 7-9% y un crecimiento del EPS diluido del 4-6%. Se espera que los costos operativos aumenten un 4% anual, con necesidades de financiamiento totales de $1.5 mil millones hasta 2029, de los cuales el 40% será capital propio. La compañía establece un objetivo de ratio de pago de dividendos del 55-65% con un crecimiento anual de dividendos del 1-2%.
ONE Gas (NYSE: OGS)는 2025년 재정 전망과 5년 성장 예측을 업데이트했습니다. 이 회사는 2025년 순이익이 254억~261백만 달러가 될 것으로 예상하며, 희석 주당 이익은 $4.20~$4.32입니다. 2025년 자본 투자는 7억 5천만 달러로 예상되며, 이 중 1억 8천만 달러는 신규 고객 확장을 위해 사용됩니다.
2029년까지의 5년 기간 동안 ONE Gas는 40억 달러의 자본 투자를 예상하며, 평균 요율 기반 성장률은 매년 7-9%입니다. 이 회사는 순이익이 7-9% 증가하고 희석 주당 이익도 4-6% 성장할 것으로 예상하고 있습니다. 운영 비용은 매년 4% 증가할 것으로 보이며, 2029년까지 총 15억 달러의 자금이 필요하고 이 중 40%는 자기 자본이 될 것입니다. 회사는 55-65%의 배당금 지급 비율과 1-2%의 연간 배당금 성장을 목표로 하고 있습니다.
ONE Gas (NYSE: OGS) a publié ses prévisions financières pour 2025 et a mis à jour ses projections de croissance sur cinq ans. La société prévoit un revenu net pour 2025 compris entre 254 et 261 millions de dollars, avec un bénéfice par action dilué de 4,20 à 4,32 dollars. Les investissements en capital pour 2025 sont estimés à 750 millions de dollars, dont 180 millions pour de nouvelles extensions de clients.
Pour la période de cinq ans jusqu'en 2029, ONE Gas prévoit des investissements en capital de 4,0 milliards de dollars, avec une croissance moyenne de la base tarifaire de 7 à 9% par an. L'entreprise prévoit une croissance du revenu net de 7 à 9% et une croissance des bénéfices par action dilués de 4 à 6%. Les coûts d'exploitation devraient augmenter de 4% par an, avec des besoins de financement totaux de 1,5 milliard de dollars jusqu'en 2029, dont 40% seront des fonds propres. L'entreprise vise un ratio de distribution de dividendes de 55 à 65% avec une croissance annuelle des dividendes de 1 à 2%.
ONE Gas (NYSE: OGS) hat seine Finanzprognosen für 2025 veröffentlicht und die Wachstumsaussichten für die nächsten fünf Jahre aktualisiert. Das Unternehmen erwartet einen Nettogewinn für 2025 zwischen 254 und 261 Millionen Dollar, mit einem verwässerten Gewinn pro Aktie von 4,20 bis 4,32 Dollar. Die Investitionen in Kapital für 2025 werden auf 750 Millionen Dollar geschätzt, einschließlich 180 Millionen Dollar für neue Kundenanbindungen.
Für den Fünfjahreszeitraum bis 2029 rechnet ONE Gas mit Kapitalinvestitionen von 4,0 Milliarden Dollar, mit einem durchschnittlichen Wachstumsratenbasis von 7-9% jährlich. Das Unternehmen prognostiziert ein Nettogewinnwachstum von 7-9% und ein verwässertes EPS-Wachstum von 4-6%. Die Betriebskosten werden voraussichtlich jährlich um 4% steigen, mit gesamten Finanzierungsbedarfen von 1,5 Milliarden Dollar bis 2029, von denen 40% Eigenkapital sein werden. Das Unternehmen zielt auf eine Dividendenquote von 55-65% mit einem jährlichen Dividendenwachstum von 1-2% ab.
- Net income guidance of $254-261 million for 2025
- Significant capital investment plan of $750 million for 2025
- Strong projected rate base growth of 7-9% annually through 2029
- Reduced operating cost growth projection to 4% from previous 5%
- Continued customer growth opportunities in Texas and Oklahoma
- Higher operating expenses expected, including employee and contractor costs
- Increased depreciation and interest expenses
- Significant financing needs of $1.5 billion through 2029
- Relatively modest dividend growth projection of 1-2% annually
Insights
ONE Gas's 2025 guidance reveals solid financial positioning with projected
The company's forward-looking metrics are particularly noteworthy, with projected
The planned
The strategic focus on system reinforcements and integrity projects demonstrates ONE Gas's commitment to infrastructure reliability. The substantial
The allocation of
"We enter 2025 focused on creating long-term value for our stakeholders, supporting growing customer demand, and enhancing the safety and reliability of our system," said Robert S. McAnnally, president and chief executive officer. "Our strategic plan supports a long runway of growth opportunities and investments in system reinforcements."
2025 FINANCIAL GUIDANCE
ONE Gas (the "Company") expects 2025 net income to be in the range of
The Company's 2025 earnings guidance includes the benefit of new rates and customer growth, partially offset by higher operating expenses, including employee-related and contractor costs, depreciation expense from capital investments, and interest expense.
Capital investments, including asset removal costs, are expected to be approximately
The Company has outstanding forward sale agreements covering approximately 3.6 million shares of its common stock at an average price of approximately
FIVE-YEAR FINANCIAL GROWTH RATES
For the five years ending 2029, capital investments, including asset removal costs, are expected to be in the range of
Annual net income and diluted earnings per share are expected to increase by an average of
Operating costs over the five-year period are expected to increase an average of approximately
The Company estimates total net long-term financing needs for the period 2025 through 2029 of approximately
Consistent with last year's guidance, the Company expects to achieve an average annual dividend growth rate of
CONFERENCE CALL, WEBCAST AND INVESTOR PRESENTATION
The ONE Gas executive management team will conduct a conference call on Thursday, Dec. 5, 2024, at 8 a.m. Eastern Standard Time (7 a.m. Central Standard Time). The call also will be carried live on the ONE Gas website.
To participate in the telephone conference call, dial 833-470-1428, passcode 934495, or log on to www.onegas.com/investors and select Events and Presentations.
If you are unable to participate in the conference call or the webcast, a replay will be available on the ONE Gas website, www.onegas.com, for 30 days. A recording will be available by phone for seven days. The playback call may be accessed at 866-813-9403, passcode 503269.
Additional information can be found in the 2025 Financial Guidance investor presentation on the ONE Gas website at https://www.onegas.com/investors/financials-and-filings/guidance.
Guidance estimates may be impacted by the variables in the forward-looking statements listed below.
ONE Gas, Inc. (NYSE: OGS) is a
Headquartered in
For more information and the latest news about ONE Gas, visit onegas.com and follow its social channels: @ONEGas, Facebook, LinkedIn and YouTube.
Some of the statements contained and incorporated in this news release are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. The forward-looking statements relate to our anticipated financial performance, liquidity, management's plans and objectives for our future operations, our business prospects, the outcome of regulatory and legal proceedings, market conditions and other matters. We make these forward-looking statements in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995. The following discussion is intended to identify important factors that could cause future outcomes to differ materially from those set forth in the forward-looking statements.
Forward-looking statements include the items identified in the preceding paragraph, the information concerning possible or assumed future results of our operations and other statements contained or incorporated in this news release identified by words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," "should," "goal," "forecast," "guidance," "could," "may," "continue," "might," "potential," "scheduled," "likely," and other words and terms of similar meaning.
One should not place undue reliance on forward-looking statements, which are applicable only as of the date of this news release. Known and unknown risks, uncertainties and other factors may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by forward-looking statements. Those factors may affect our operations, costs, liquidity, markets, products, services and prices. In addition to any assumptions and other factors referred to specifically in connection with the forward-looking statements, factors that could cause our actual results to differ materially from those contemplated in any forward-looking statement include, among others, the following:
- our ability to recover costs, income taxes and amounts equivalent to the cost of property, plant and equipment, regulatory assets and our allowed rate of return in our regulated rates or other recovery mechanisms;
- cyber-attacks, which, according to experts, continue to increase in volume and sophistication, or breaches of technology systems that could disrupt our operations or result in the loss or exposure of confidential or sensitive customer, employee, vendor, counterparty, or Company information; further, increased remote working arrangements have required enhancements and modifications to our information technology infrastructure (e.g. Internet, Virtual Private Network, remote collaboration systems, etc.), and any failures of the technologies, including third-party service providers, that facilitate working remotely could limit our ability to conduct ordinary operations or expose us to increased risk or effect of an attack;
- our ability to manage our operations and maintenance costs;
- changes in regulation of natural gas distribution services, particularly those in
Oklahoma ,Kansas andTexas ; - the economic climate and, particularly, its effect on the natural gas requirements of our residential and commercial customers;
- the length and severity of a pandemic or other health crisis which could significantly disrupt or prevent us from operating our business in the ordinary course for an extended period;
- competition from alternative forms of energy, including, but not limited to, electricity, solar power, wind power, geothermal energy and biofuels;
- adverse weather conditions and variations in weather, including seasonal effects on demand and/or supply, the occurrence of severe storms in the territories in which we operate, and climate change, and the related effects on supply, demand, and costs;
- indebtedness could make us more vulnerable to general adverse economic and industry conditions, limit our ability to borrow additional funds and/or place us at competitive disadvantage compared with competitors;
- our ability to secure reliable, competitively priced and flexible natural gas transportation and supply, including decisions by natural gas producers to reduce production or shut-in producing natural gas wells and expiration of existing supply and transportation and storage arrangements that are not replaced with contracts with similar terms and pricing;
- our ability to complete necessary or desirable expansion or infrastructure development projects, which may delay or prevent us from serving our customers or expanding our business;
- operational and mechanical hazards or interruptions;
- adverse labor relations;
- the effectiveness of our strategies to reduce earnings lag, revenue protection strategies and risk mitigation strategies, which may be affected by risks beyond our control such as commodity price volatility, counterparty performance or creditworthiness and interest rate risk;
- the capital-intensive nature of our business, and the availability of and access to, in general, funds to meet our debt obligations prior to or when they become due and to fund our operations and capital expenditures, either through (i) cash on hand, (ii) operating cash flow, or (iii) access to the capital markets and other sources of liquidity;
- our ability to obtain capital on commercially reasonable terms, or on terms acceptable to us, or at all;
- limitations on our operating flexibility, earnings and cash flows due to restrictions in our financing arrangements;
- cross-default provisions in our borrowing arrangements, which may lead to our inability to satisfy all of our outstanding obligations in the event of a default on our part;
- changes in the financial markets during the periods covered by the forward-looking statements, particularly those affecting the availability of capital and our ability to refinance existing debt and fund investments and acquisitions to execute our business strategy;
- actions of rating agencies, including the ratings of debt, general corporate ratings and changes in the rating agencies' ratings criteria;
- changes in inflation and interest rates;
- our ability to recover the costs of natural gas purchased for our customers and any related financing required to support our purchase of natural gas supply;
- impact of potential impairment charges;
- volatility and changes in markets for natural gas and our ability to secure additional and sufficient liquidity on reasonable commercial terms to cover costs associated with such volatility;
- possible loss of local distribution company franchises or other adverse effects caused by the actions of municipalities;
- payment and performance by counterparties and customers as contracted and when due, including our counterparties maintaining ordinary course terms of supply and payments;
- changes in existing or the addition of new environmental, safety, tax and other laws to which we and our subsidiaries are subject, including those that may require significant expenditures, significant increases in operating costs or, in the case of noncompliance, substantial fines or penalties;
- the effectiveness of our risk-management policies and procedures, and employees violating our risk-management policies;
- the uncertainty of estimates, including accruals and costs of environmental remediation;
- advances in technology, including technologies that increase efficiency or that improve electricity's competitive position relative to natural gas;
- population growth rates and changes in the demographic patterns of the markets we serve, and economic conditions in these areas' housing markets;
- acts of nature and the potential effects of threatened or actual terrorism and war, including recent events in
Europe and theMiddle East ; - the sufficiency of insurance coverage to cover losses;
- the effects of our strategies to reduce tax payments;
- changes in accounting standards;
- changes in corporate governance standards;
- existence of material weaknesses in our internal controls;
- our ability to comply with all covenants in our indentures and the ONE Gas Credit Agreement, a violation of which, if not cured in a timely manner, could trigger a default of our obligations;
- our ability to attract and retain talented employees, management and directors, and shortage of skilled-labor;
- unexpected increases in the costs of providing health care benefits, along with pension and postemployment health care benefits, as well as declines in the discount rates on, declines in the market value of the debt and equity securities of, and increases in funding requirements for, our defined benefit plans; and
- our ability to successfully complete merger, acquisition or divestiture plans, regulatory or other limitations imposed as a result of a merger, acquisition or divestiture, and the success of the business following a merger, acquisition or divestiture.
These factors are not necessarily all of the important factors that could cause actual results to differ materially from those expressed in any of our forward-looking statements. Other factors could also have material adverse effects on our future results. These and other risks are described in greater detail in Part 1, Item 1A, Risk Factors, in our Annual Report. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by these factors. Other than as required under securities laws, we undertake no obligation to update publicly any forward-looking statement whether as a result of new information, subsequent events or change in circumstances, expectations or otherwise.
Analyst Contact: | Erin Dailey 918-947-7411 |
Media Contact: | Leah Harper 918-947-7123 |
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SOURCE ONE Gas, Inc.
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