Summary
ONEOK Inc. reported a strong financial performance for the six months ended June 30, 2021, with net income of $728.3 million, a significant increase from a net loss of $7.5 million in the prior year period. This turnaround was driven by a substantial increase in revenues, which grew to $6.58 billion from $3.80 billion year-over-year. The company experienced growth across all three segments, particularly in Natural Gas Liquids and Natural Gas Gathering and Processing, benefiting from increased producer activity and higher commodity prices. The company's liquidity remains strong, with $374.4 million in cash and cash equivalents and an undrawn $2.5 billion credit facility. Capital expenditures were significantly lower than the prior year, reflecting the completion and pausing of major growth projects. ONEOK continues to prioritize returning capital to shareholders, maintaining its quarterly dividend, which was well-covered by distributable cash flow.
Financial Highlights
49 data points| Revenue | $3.39B |
| Cost of Revenue | $2.37B |
| Gross Profit | $1.02B |
| Operating Income | $611.51M |
| Interest Expense | $184.96M |
| Net Income | $341.86M |
| EPS (Basic) | $0.77 |
| EPS (Diluted) | $0.77 |
| Shares Outstanding (Basic) | 446.34M |
| Shares Outstanding (Diluted) | 446.90M |
Key Highlights
- 1Net income for the six months ended June 30, 2021, was $728.3 million, a substantial improvement from a net loss of $8.1 million in the same period last year.
- 2Total revenues increased significantly to $6.58 billion for the first six months of 2021, up from $3.80 billion in the prior year period.
- 3The Natural Gas Liquids segment showed robust growth, with Adjusted EBITDA increasing by $167.3 million for the six months ended June 30, 2021, compared to the prior year.
- 4Natural Gas Gathering and Processing segment's Adjusted EBITDA also saw significant growth, up $185.6 million for the first six months of 2021, driven by higher volumes and improved fee structures.
- 5Capital expenditures decreased significantly to $324.1 million for the six months ended June 30, 2021, down from $1.54 billion in the prior year, reflecting project completion and pausing.
- 6The company maintained its quarterly dividend of $0.935 per share, with distributable cash flow covering dividend payments by 1.48x for the first six months of 2021.
- 7Liquidity remains strong with $374.4 million in cash and cash equivalents and an undrawn $2.5 billion credit facility as of June 30, 2021.