ONEOK reported nearly $1 billion in net income in the fourth quarter of the year and about $3 billion for all of 2024.
The Tulsa-based company gave credit in part to higher rates approved by Oklahoma regulators.
“ONEOK’s strong performance in 2024 was driven by contributions from multiple strategic acquisitions, volume growth and fee-based earnings,” said Pierce H. Norton II, ONEOK president and chief executive officer.
Net income including noncontrolling interests was $1 billion while net income excluding the noncontrolling interests totaled $923 million or $1.57 per share. Adjusted EBITDA was $2.17 billion.
For all of 2024, ONEOK had $3.1 billion in net income including noncontrolling interests and $3.0 billion excluding the noncontrolling interests or $5.17 per diluted share. Its adjusted EBITDA for the year was $6.78 billion.
“Over the past two years, strategic acquisitions and steady organic growth have transformed ONEOK into an even more geographically diversified and integrated midstream infrastructure company,” added Norton. “Our disciplined and intentional growth strategy continues with our current slate of projects, including the recently announced LPG export terminal joint venture. These strategic investments align with ONEOK’s capital allocation strategy, further positioning the company for long-term growth and delivering value to shareholders.”
HIGHLIGHTS:
- Returning value to shareholders:
- In January 2025, ONEOK increased its quarterly dividend 4% to $1.03 per share, or $4.12 per share annualized.
- As of Feb. 17, 2025, ONEOK has repurchased 1.675 million shares of common stock for $171.7 million under its $2 billion share repurchase program.
- In February 2025, ONEOK announced joint ventures to construct a 400,000-barrel per day (bpd) liquified petroleum gas (LPG) export terminal in Texas City, Texas, and a pipeline connecting ONEOK’s Mont Belvieu storage facility to the new terminal.
- Recently completed capital-growth projects:
- In December 2024, ONEOK completed construction of MB-6, a 125,000-bpd natural gas liquids (NGL) fractionator in Mont Belvieu, Texas.
- In December 2024, ONEOK completed the full looping of the West Texas NGL Pipeline system, expanding capacity to 515,000 bpd. Additional pump stations are expected to be completed in mid-2025 and will increase system capacity to 740,000 bpd.
- In January 2025, ONEOK completed construction of the Elk Creek pipeline expansion. The project will increase capacity to 575,000 bpd out of the Rocky Mountain region following the supply of full power capability in mid-2025.
- In October 2024, ONEOK completed the acquisition of Medallion Midstream (Medallion).
- In December 2024, ONEOK completed an interstate natural gas pipeline divestiture for $1.2 billion.
- In January 2025, ONEOK completed the acquisition of EnLink Midstream (EnLink).
- 2024 Environmental, Social and Governance (ESG) highlights:
- ONEOK received an MSCI ESG Rating of AAA.
- ONEOK’s ESG Risk Rating, as assessed by Morningstar Sustainalytics, was in the top 20% of the refiners and pipelines industry.
- As of year-end 2024, ONEOK had achieved combined Scope 1 and Scope 2 emissions reductions totaling approximately 1.7 million metric tons (MMT), or 77% toward the company’s targeted 2.2 MMT 2030 reduction target.
- As of Dec. 31, 2024:
- 3.6 times fourth-quarter 2024 annualized run-rate net debt-to-EBITDA ratio.
- No borrowings outstanding under ONEOK’s $2.5 billion credit agreement.
- In February 2025, ONEOK amended and restated its credit agreement, increasing the capacity to $3.5 billion and extending the expiration to February 2030.
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