Williams Posts $308 Million in Net Income for 3Q 2020 Performance Results

Tulsa-based Williams announced strong 3Q20 results for the third quarter of 2020, according to a company press release issued on Monday. The energy company reported net income of $308 million, or $0.25 per diluted share, up $88 million when compared to net income of $220 million, or $0.18 per diluted share for 3Q19.

Highlights include:

  • Net income of $308 million ($0.25 per diluted share), up $88 million over 3Q 19
  • Adjusted EPS of $0.27 per diluted share
  • Adjusted EBITDA of $1.267 billion
  • Year-to-date Adjusted EBITDA of $3.769 billion, continues to exceed year-to-date 2019
  • Debt-to-Adjusted EBITDA leverage ratio of 4.42x, on track to be below 2020 guidance of 4.4x by year end
  • Record gathering and processing volumes drive Northeast G&P segment up 19% in Modified EBITDA and 17% in Adjusted EBITDA year-to-date 2020 vs. year-to-date 2019
  • Transmission & Gulf of Mexico segment Modified EBITDA and Adjusted EBITDA consistent year-to-date 2020 vs. year-to-date 2019 with Transco growth overcoming hurricane impacts
  • Stable and reliable customer base of utilities, power plants, LNG facilities and industrial plants supports firm-committed capacity on demand-pull regulated pipelines
  • Continued strong project execution on Bluestem Pipeline, Southeastern Trail and Leidy South
  • Year-to-date 2020 earnings boosted by structurally lower operating and administrative costs
  • Issued climate commitment to reduce emissions by 56% from 2005 levels by 2030, grow renewables and embrace emerging opportunities such as hydrogen

“The ongoing stability of our financial performance continues to distinguish Williams during a year marked by disruption and uncertainty,” said Alan Armstrong, president and chief executive officer of Williams. “We captured tailwinds in the markets we serve – particularly in the Northeast with record volumes – and have delivered consistently strong quarterly results and cash flow throughout the year. Williams is well positioned to meet our pre-COVID 2020 guidance ranges for earnings, adjusted EBITDA and cash flow set in December 2019. We attribute the durability of Williams today to the premier positions of our natural gas infrastructure as well as the proactive measures we have taken in recent years to reduce leverage, increase stability and lower costs.”

“From an ESG perspective, we took a major step in the third quarter by becoming the first U.S. midstream company to announce a climate commitment and set a near-term goal of 56% absolute reduction from 2005 levels in company-wide greenhouse gas emissions by 2030 by focusing on immediate, practical and affordable solutions that we can accomplish right here, right now,” said Armstrong. “This puts Williams on a positive trajectory to achieve net zero carbon emissions by 2050. As the world moves to a low-carbon future, we believe natural gas is key to reducing emissions on a global scale while supporting the growth of renewables and helping our customers and stakeholders meet their energy needs and climate goals.”

Source: Williams Press Release


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