First quarter loss of $517 million reported by Williams


Few energy companies are reporting a profit in their most recent quarterly financial reports. Most are reporting losses and Tulsa-based Williams Cos. is one of them, stating this week it suffered a first-quarter 2020 loss of $517 million. It figures to a 43 cent a share loss for investors but earnings, adjusted for non-recurring costs came to 26 cents a share.

A year ago, Williams reported a profit of $219 million including 16 cents a share.

Revenue for the pipeline operator in this latest quarter was $1.91 billion. The company reported ups and downs in various categories.

Cash on hand grew from $289 million a year ago to $400 million at the end of the first quarter 2020. Current liabilities dropped from $3.9 billion at the end of the first quarter 2019 to $2.1 billion this year.

Williams also managed to retire $1.5 billion of 5.25 percent senior unsecured notes that matured March 15, 2020. It also retired $14 million of 8.75 percent senior unsecured notes that matured January 15 of this year.

Williams Cos. has suffered on Wall Street like most energy companies. It saw its shares decline 19 percent since the beginning of the year and 30 percent in the past year.

In its report filed with the Securities and Exchange Commission, Williams said its trade price in common stock “declined 40 percent during the quarter, including a 26 percent decline in the month of March.”

It blamed the COVID-19 pandemic which also resulted in  significant declines in crude oil prices. The company doesn’t expect things to improve quickly.

“If current market conditions persist, the temporary shut-in of existing onshore and offshore production in certain oil-directed and liquids-rich areas will decrease our results,” stated the company in its SEC filing.

Click here to view entire SEC filing.

Source: SEC