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ONE Gas Q4 Earnings Higher Than Estimates, Revenues Rise Y/Y

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ONE Gas, Inc. (OGS - Free Report) reported fourth-quarter 2024 operating earnings per share (EPS) of $1.34, which beat the Zacks Consensus Estimate of $1.33 per share by 0.8%. The figure also came in 5.5% higher than the year-ago quarter’s earnings of $1.27 per share.

Find the latest earnings estimates and surprises on Zacks Earnings Calendar.

OGS reported 2024 earnings of $3.91 per share compared with $4.14 in 2023, highlighting a year-over-year decrease of 5.6%.

OGS’ Revenues
 

ONE Gas recorded revenues of $630.7 million, which missed the Zacks Consensus Estimate of $661 million by 4.5%. However, the top line increased 4.1% from $605.9 million in the prior-year quarter.

OGS reported total revenues of $2.08 billion in 2024 compared with $2.37 billion in 2023, reflecting a year-over-year decrease of 12.2%.

ONE Gas, Inc. Price, Consensus and EPS Surprise

ONE Gas, Inc. Price, Consensus and EPS Surprise

ONE Gas, Inc. price-consensus-eps-surprise-chart | ONE Gas, Inc. Quote

Highlights of OGS’ Earnings Release
 

Total natural gas volumes delivered were 102.4 billion cubic feet, down 6.7% on a year-over-year basis. OGS served 2,277,000 customers, up 0.5% year over year. Despite an increase in total customers, the decline in sales volume was due to lower year-over-year demand from residential, commercial and industrial customers.

Total operating expenses were $242.7 million, up 4.9% year over year. The increase in expenses was due to a rise in operations and maintenance, and depreciation and amortization expenses.

Operating income increased 16% year over year to $124.3 million.

OGS incurred net interest expenses of $39.8 million, up 33.5% on a year-over-year basis.

OGS’ Financial Highlights
 

As of Dec. 31, 2024, OGS had cash and cash equivalents of $58 million compared with $18.8 million as of Dec. 31, 2023.

Total long-term debt (excluding current maturities) was $2.39 billion as of Dec. 31, 2024 compared with $2.16 billion as of Dec. 31. 2023.

In 2024, cash provided by operating activities was $368.4 million compared with $939.5 million in the year-ago period.

In 2024, capital expenditures were $703.2 million compared with $666.6 million in the year-ago period.

OGS’ 2025 Guidance
 

OGS expects its 2025 net income in the range of $254-$261 million. Earnings per diluted share are expected in the range of $4.20-$4.32 per share. The Zacks Consensus Estimate for earnings is pegged at $4.26 per share, which lies at the midpoint of the company’s guided range.

OGS expects capital investments, including asset removal costs, of nearly $750 million. Capital investments for extensions to new customers are expected to be nearly $180 million.

OGS’ Zacks Rank
 

Currently, ONE Gas carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Releases
 

Atmos Energy Corp. (ATO - Free Report) posted first-quarter fiscal 2025 earnings of $2.23 per share, which surpassed the Zacks Consensus Estimate of $2.20 by 1.4%. The bottom line also improved 7.2% from the year-ago quarter’s $2.08.

Total revenues of $1.18 billion lagged the Zacks Consensus Estimate of $1.40 billion by 16.2%. However, the top line increased 1.7% from the year-ago quarter’s reported number of $1.16 billion.

Spire Inc. (SR - Free Report) reported first-quarter fiscal 2025 earnings of $1.34 per share, which lagged the Zacks Consensus Estimate of $1.42 by 5.6%. The company’s bottom line also declined 8.8% from $1.47 reported in the year-ago quarter.

Total revenues for the reported quarter were $669.1 million, which missed the Zacks Consensus Estimate of $726 million by 7.8%. The top line also decreased 11.6% from $756.6 million in the year-ago quarter.

MDU Resources Group Inc. (MDU - Free Report) reported fourth-quarter 2024 operating earnings per share (EPS) of 34 cents, which lagged the Zacks Consensus Estimate of 38 cents by 10.5%. However, the bottom line improved 9.7% year over year.

Fourth-quarter total operating revenues improved 7.1% to $535.5 million from $499.9 million in the comparable period of 2023.

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