Williams reports record production


Coming off historic cold and brutal weather in Oklahoma, Texas and Kansas, Williams Cos. on Monday reported $208 million net income or 17 cents per diluted share.

The Tulsa-based company said its full year 2020 results validated the strength of natural gas strategy in the face of what it called “significant headwinds.” Leadership expects more growth throughout 2021.

The net income however, included more than $1 billion in net-cash impairment or 91 cents a diluted share.

Its 2020 cash flow from operations amounted to $3.496 billion, down about $200 million from the 2019 operations. However available funds from the operations increased 1% over 2019 and reached $3.638 billion.

The company’s adjusted EBITDA was $5.105 billion, an increase of $90 or 2%. Williams also reported record gathering volumes of 13.2 Bcf/d and a record contracted transmission capacity of 22.2Bcf/d.

Fourth quarter net income was $115 million or 9 cents a diluted share and reflected a $245 million net non-cash impairment. Adjusted EBITDA was $1.336 billon which was $52 million or 4% more than the fourth quarter of 2019.

“Williams established all-time record results in 2020, demonstrating how durable our business can be against multiple headwinds faced by our industry including the COVID-19 pandemic, major customer bankruptcies and a highly active hurricane season, among other factors,” said Alan Armstrong, president and chief executive officer.

The recent Arctic-like weather had Armstrong’s attention.

“I am incredibly proud of the around-the-clock work of our employees and their unwavering focus on running one of the nation’s largest energy infrastructure networks with the high level of dependability that consumers have come to expect – reliability that was particularly evident on our gas transmission systems during the severe cold weather event that gripped much of the country last week.”

He went on to state that the production supplies in the Northeast and the Gulf Coast ensured the company was able to meet its commitments and deliver scheduled supplies with no issue.

As for financial guidance, the company put its 2021 Adjusted EBITDA between $5.05 billion and $5.35 billion and stated it expects 2021 growth capex between $1 billion to $1.2 billion.

Click here to review the Williams press release.
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