ONEOK (OKE) Q4 2025 earnings summary

Executive summary

• Achieved double-digit earnings growth in 2025, with net income up as much as 12% to $3.46 billion and adjusted EBITDA up 18% to $8.02 billion year-over-year, marking 12 consecutive years of adjusted EBITDA growth.

• EPS grew 11% year-over-year to $5.42, excluding nonstrategic asset divestitures, and quarterly dividend increased by 4%.

• Integrated major acquisitions, realizing up to $500 million in synergies since 2023, with $250 million in 2025 and $150 million incremental synergies expected in 2026.

• Returned nearly $2.7 billion to shareholders in 2025 through dividends and share repurchases, and extinguished $3.1 billion in long-term debt.

• Achieved over 80% of 2030 combined Scope 1 and 2 emissions reduction target by year-end 2025.

Financial highlights

• 2025 net income ranged from $3.11 billion to $3.46 billion, with diluted EPS of $5.42 and adjusted EBITDA of $8.02 billion; Q4 net income was up to $978 million.

• Operating income for 2025 reached $5.74 billion, and capital expenditures totaled $3.15 billion.

• Retired nearly $3.1 billion in long-term debt and returned $2.7 billion to shareholders.

• Full year results included $65 million in transaction costs.

• Fee-based earnings comprised approximately 90% of the portfolio, limiting commodity exposure.

Outlook and guidance

• 2026 net income guidance midpoint is $3.45 billion, with a range of $3.19 billion–$3.71 billion; adjusted EBITDA guidance midpoint is $8.1 billion, with a range of $7.9 billion–$8.3 billion.

• 2026 EPS guidance midpoint is $5.45; capital expenditures expected between $2.7 billion and $3.2 billion.

• Guidance reflects $150 million in incremental synergies, volume growth, and completed/near-completed projects.

• No meaningful cash taxes expected until 2029, supporting free cash flow.

• WTI crude oil price assumption for 2026 is $55–$60/bbl.