) reported first-quarter 2014 adjusted earnings per share of 42
cents, surpassing the Zacks Consensus Estimate of 39 cents by
7.7%. However, quarterly earnings decreased 22.2% from 54 cents a
year ago due to a rise in cost of sales and fuel, and higher
Excluding total gains of 3 cents related to the severance of the
natural gas distribution business into a separate publicly traded
ONE Gas, Inc.
) and the wind down of the Energy Services segment, the company
reported GAAP earnings of 45 cents per share compared with 54
cents per share a year ago.
In first-quarter 2014, ONEOK Inc. posted total revenue of
$3,163.3 million, lagging the Zacks Consensus Estimate of $3,403
million by 7%. Reported revenues surged 25.6% year over year,
primarily on the back of higher natural gas volumes and natural
gas transportation and storage revenues, and wider natural gas
liquids (NGL) location and product price differentials.
In the quarter under review, ONEOK Inc.'s total operating
expenses were $216.5 million compared with $196.4 million a year
ago. A 10.2% rise was primarily driven by higher operations and
maintenance expenses, and increases in depreciation expenses and
The company's quarterly operating income was $294.1 million, up
68.3% year over year primarily due to an increase in natural gas
volumes gathered, processed and sold, and NGL sold.
Interest expenses jumped 47.1% year over year to $94.9 million
due to $1.25 billion debt issuance by the company's subsidiary
ONEOK Partners L.P.
ONEOK Inc.'s cash and cash equivalents, as of Mar 31, 2014, were
$210.2 million compared with $145.6 million as of Dec 31, 2013.
As of Mar 31, 2014, long-term debt (excluding current maturities)
was $7,199 million versus $7,753.7 million as of Dec 31, 2013.
In the first three months of 2014, the company's cash provided by
operating activities was $490.4 million, higher than $471.5
million in the year-ago comparable period.
ONEOK Inc.'s capital expenditure was $429.5 million in
first-quarter 2014, down from $501.1 million in the prior-year
ONEOK reiterated its 2014 guidance provided on Dec 2, 2013. The
company is expected to allocate $560 - $640 million for the 2014
dividend payout. The company plans to increase the 2014 annual
dividend by 53% to $2.33 per share, subject to the board's
At the Peer
) reported first-quarter 2014 earnings of $1.03 per share,
surpassing the Zacks Consensus Estimate of 94 cents by 9.6%.
ONEOK currently has a Zacks Rank #3 (Hold).
ONE GAS INC (OGS): Free Stock Analysis Report
ONEOK INC (OKE): Free Stock Analysis Report
ONEOK PARTNERS (OKS): Free Stock Analysis
SEMPRA ENERGY (SRE): Free Stock Analysis
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