ONE Gas Q2 revenue misses estimates

Overview

• ONE Gas Q2 revenue missed analyst expectations, despite growth in operating income

• Net income for Q2 2025 rises to $32 mln, EPS at $0.53

• Co raises 2025 EPS guidance, reflecting strong operational performance

Outlook

• ONE Gas raises 2025 EPS guidance to $4.32-$4.42

• Company expects 2025 net income between $261 mln and $267 mln

• ONE Gas maintains 2025 capital expenditure forecast at $750 mln

Result Drivers

• NEW RATES - Operating income increase driven by $21.1 mln from new rates

• SALES VOLUME - Higher sales volumes contributed $2.1 mln to operating income

• CUSTOMER GROWTH - Residential sales up $1.5 mln due to customer growth in Oklahoma and Texas

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the natural gas utilities peer group is "buy"

• Wall Street's median 12-month price target for ONE Gas Inc is $76.50, about 4.2% above its August 4 closing price of $73.31

• The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nPn6tK85Za