ONEOK Reports Strong Earnings Growth and 2025 Guidance

ONEOK showcases robust growth with strong earnings for Q4 2024. The company expects 8% EPS increase in 2025, reflecting solid performance and strategic acquisitions, which reassures investors.

Date: 26-02-2025

AI Rating: 7

Earnings Per Share (EPS)
ONEOK announced a significant earnings performance with a net income of $923 million for Q4 2024, translating to $1.57 per share. For the full year, the net income amounted to $3 billion or $5.17 per share. The company expects an 8% increase in EPS to a midpoint of $5.37 in 2025 compared to 2024, indicating strong projected growth.
Revenue Growth
Adjusted EBITDA also reflected growth, totaling nearly $2.2 billion in Q4 2024 and over $6.7 billion for the full year. The guidance for 2025 anticipates a notable 21% increase in adjusted EBITDA to $8.225 billion, which is an essential indicator of revenue growth and overall company performance improvement.
Free Cash Flow (FCF)
ONEOK emphasized its strong cash position with over $730 million in cash as of December 31, and a commitment to return nearly $2.5 billion to shareholders through dividends and share repurchases, underlining healthy free cash flow characteristics.
Return on Equity (ROE)
The forecasts of over 15% EPS growth for 2026 further indicate a favorable Return on Equity, illustrating effective capital utilization and improved earnings generation for shareholders.

In summary, ONEOK's strong earnings report, optimistic guidance, and focus on shareholder returns present valuable insights that may positively affect its stock prices in the marketplace. Investors may react favorably to the company's solid growth trajectory and sound financial management.

Stocks: OKE