NYSE$OGS

ONE Gas Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

ONE Gas reported Q4 2022 financial results, which included diluted earnings per share of $1.23.

ONE Gas announced its fourth quarter 2022 financial results, which included diluted earnings per share of $1.23. The company ended the year on plan, focusing on safe operations, customer service, and cost management.

  • Fourth quarter 2022 net income was $67.0 million, or $1.23 per diluted share, compared with $60.5 million, or $1.12 per diluted share, in the fourth quarter 2021.
  • Full year 2022 net income was $221.7 million, or $4.08 per diluted share, compared with $206.4 million, or $3.85 per diluted share, in 2021.
  • Full year 2022 capital expenditures and asset removal costs were $656.5 million, compared with $544.3 million in 2021.
  • On Jan. 24, 2023, ONE Gas increased the dividend for the first quarter 2023 by 3 cents to 65 cents per share, or $2.60 per share on an annualized basis.

Headline financials

Total Revenue

$818M

Previous: $594M+37.8%
EPS (adj)

$1.23

Previous: $1.12+9.8%
Total customers

2.3M

Previous: 2.2M+0.7%
Actual heating degree days

4.0K

Previous: 2.7K+50.1%
Capital Expenditures

$197M

Previous: $148M+33.5%
Free Cash Flow

-$182M

Previous: -$123M-48.4%
Net Income

$67M

Previous: $60.5M+10.8%
Operating Income

$104M

Previous: $87M+19.1%
Gross Profit

$181M

Previous: $156M+15.6%
Cash & Equivalents

$9.68M

Previous: $8.85M+9.4%
Total Assets

$7.78B

Previous: $8.4B-7.4%
Stock-Based Comp

$2.46M

Previous: $2.42M+1.4%

Revenue & EPS history

ONE Gas · Revenue · Quarterly

$818M

Q4 2022+37.8%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

ONE Gas · $809M total across 2 segments · Q4 2022

  • Natural gas sales
    $776M+39.7%
  • Transportation revenues
    $33.7M+8.0%

Forward guidance

ONE Gas announced that its 2023 net income is expected to be in the range of $224 million to $238 million, or $4.02 to $4.26 per diluted share. Capital expenditures, including asset removal costs, are expected to be approximately $675 million in 2023, with nearly 70 percent of these expenditures targeted for system integrity and replacement projects. Capital investments for extensions to new customers are expected to be approximately $185 million.

Tailwinds

  • Net income is expected to be in the range of $224 million to $238 million.
  • Diluted earnings per share are expected to be $4.02 to $4.26.
  • Capital expenditures are expected to be approximately $675 million.
  • Nearly 70 percent of capital expenditures are targeted for system integrity and replacement projects.
  • Capital investments for extensions to new customers are expected to be approximately $185 million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

+0.3%

Avg return

Earnings day

+0.0%

Avg return

5 days after

-0.6%

Avg return

30 days after

60%

31 / 52 earnings

Positive

+6.7%

Q3 2020

Best reaction

-4.1%

Q4 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.3%-4.2%-12.9%
Q4 2025+1.8%+1.7%-0.1%
Q3 2025+0.1%+0.9%-3.4%
Q1 2025+3.6%-1.5%-6.2%
Q4 2024-0.2%+3.1%+0.9%
Q3 2024+0.7%+4.7%+7.0%
Q1 2024-0.9%-2.0%-6.1%
Q4 2023+0.2%-3.7%+3.1%
Q3 2023-1.8%+1.1%-4.3%
Q2 2023-1.6%-2.3%-6.8%
Q1 2023+1.8%+4.9%+5.2%
Q4 2022+0.5%+1.2%-3.6%
Q3 2022+3.7%+4.8%+12.6%
Q2 2022-2.3%-5.1%-7.9%
Q1 2022-1.6%+0.9%+2.8%
Q4 2021+0.3%+7.4%+12.3%
Q3 2021+2.0%+2.9%-4.2%
Q2 2021+1.5%+0.6%-1.3%
Q1 2021-0.9%-2.6%-7.0%
Q4 2020-4.1%-1.5%+7.4%
Q3 2020+6.7%+2.9%+14.6%
Q2 2020+0.2%-2.0%-4.7%
Q1 2020-2.7%-9.6%-5.5%
Q4 2019-1.7%-3.1%-29.7%
Q3 2019-2.0%-2.1%-4.7%
Q2 2019+1.0%+0.2%-1.2%
Q1 2019+0.6%+0.8%-1.9%
Q4 2018+0.6%+2.4%+6.1%
Q3 2018+1.1%-3.0%+4.1%
Q2 2018+2.2%+1.2%+4.5%
Q1 2018+3.2%+5.4%+7.3%
Q4 2017-3.1%-2.2%-6.1%
Q3 2017+0.7%-0.0%+2.3%
Q2 2017+1.6%+1.4%+2.9%
Q1 2017+1.0%+0.7%+2.6%
Q4 2016+2.4%+1.9%+4.6%
Q3 2016-1.4%-2.6%+0.3%
Q2 2016-1.5%-2.2%-5.7%
Q1 2016+2.5%
Q4 2015+0.5%
Q3 2015-0.8%
Q2 2015+3.0%
Q1 2015+1.7%
Q4 2012-0.2%
Q4 2014-0.2%
Q3 2014+1.9%
Q3 2013+1.9%
Q4 2013-3.2%
Q2 2014-3.2%
Q2 2013-3.2%
Q1 2013+0.7%
Q1 2014+2.9%
Q2 2012

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