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Mar 31

Williams Q1 2025 Earnings Report

Williams reported increased earnings and raised full-year guidance for Q1 2025.

Key Takeaways

Williams posted strong Q1 2025 results driven by its base business and strategic expansions, leading to increased net income and adjusted EBITDA while enhancing its 2025 outlook.

GAAP Net Income rose to $690 million, driven by increased service revenues and upstream contributions.

Adjusted EBITDA grew to $1.989 billion, reflecting strength across key segments.

Cash Flow from Operations increased by 16% year-over-year to $1.433 billion.

Williams raised its full-year 2025 Adjusted EBITDA guidance midpoint to $7.7 billion.

Total Revenue
$3.05B
Previous year: $2.78B
+9.6%
EPS
$0.6
Previous year: $0.59
+1.7%
Adjusted EBITDA
$1.99B
Previous year: $1.93B
+2.8%
Cash Flow from Operations
$1.43B
Previous year: $1.23B
+16.1%
Dividend Coverage Ratio
2.37
Previous year: 2.6
-8.8%
Gross Profit
$1.33B
Previous year: $1.17B
+13.1%
Cash and Equivalents
$100M
Previous year: $667M
-85.0%
Free Cash Flow
$421M
Previous year: $690M
-39.0%
Total Assets
$54.9B
Previous year: $52.7B
+4.1%

Williams

Williams

Williams Revenue by Segment

Williams Revenue by Geographic Location

Forward Guidance

Williams raised its 2025 Adjusted EBITDA midpoint guidance to $7.7 billion, citing strong base business performance and new growth initiatives.

Positive Outlook

  • Raised 2025 Adjusted EBITDA midpoint to $7.7 billion.
  • Achieved credit rating upgrade to BBB+ from S&P.
  • Commercialized AI-serving 'Socrates' power project in Ohio.
  • Strong contracted transmission capacity of 34.3 Bcf/d.
  • Ongoing execution of high-return projects and expansions.

Challenges Ahead

  • Higher current income taxes impacted AFFO year-over-year.
  • Lower commodity marketing margins in some segments.
  • Reduced AFFO contribution from noncontrolling interests.
  • Operating and maintenance costs increased due to expansions.
  • AFFO decreased year-over-year despite higher cash flow.

Revenue & Expenses

Visualization of income flow from segment revenue to net income