ONE Gas Q4 Earnings Beat Estimates, Revenues Increase Y/Y

ONE Gas, Inc. OGS reported fourth quarter 2025 operating earnings per share (EPS) of $1.48, which beat the Zacks Consensus Estimate of $1.42 by 4%. In the year-ago quarter, the company reported earnings of $1.35.

OGS reported 2025 adjusted earnings of $4.48 per share compared with $3.94 in 2024, reflecting a year-over-year increase of 13.71%.

OGS’ Revenues

ONE Gas recorded revenues of $689.4 million, which beat the Zacks Consensus Estimate of $675 million by 2.1%. The top line increased 9.31% from $630.7 million in the prior-year quarter.

OGS reported total revenues of $2.43 billion in 2025 compared with $2.08 billion in 2024, reflecting a year-over-year increase of 16.5%.

Highlights of OGS’ Earnings Release

Total natural gas volumes delivered were 103.7 billion cubic feet, up 1.27% on a year-over-year basis. OGS served 2,290,000 customers, increased 0.57% year over year.

Total operating expenses were $257.7 million, up 6.22% from $242.7 million recorded in the year-ago quarter. The increase in expenses was due to a rise in operations and maintenance expenses, depreciation and amortization expenses, as well as general taxes.

Operating income totaled $139.7 million, up 12.41% from $124.3 million recorded in the year-ago quarter.

OGS incurred net interest expenses of $36.5 million, down 8.30% from $39.8 million recorded in the year-ago quarter.

OGS’ Financial Highlights

As of Dec. 31, 2025, OGS had cash and cash equivalents of $10.6 million compared with $58 million as of Dec. 31, 2024.

Total long-term debt (excluding current maturities) was $2.36 billion as of Dec. 31, 2025, compared with $2.39 billion as of Dec. 31, 2024.

Cash provided by operating activities during 2025 was $578.8 million compared with $368.4 million in the year-ago period.

Capital expenditure for the year totaled $707.2 million compared with $703.2 million in 2024.

OGS’ 2026 Guidance

OGS expects its 2026 adjusted net income to be in the range of $306-$314 million.

The company projects 2026 adjusted earnings to be in the range of $4.83 to $4.95 per share. The Zacks Consensus Estimate for earnings is pegged at $4.71, which is below the company’s guidance range.  

ONE Gas projects its long term adjusted net income to grow by 7-9% and adjusted net income per diluted share growth of 5-7%, in its five-year financial plan.

In 2026, OGS plans to make capital investments, including asset removal costs, of $800 million to maintain its system integrity and its replacement projects.

OGS’ Zacks Rank

Currently, ONE Gas carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Releases

Clean Energy Fuels CLNE is scheduled to report fourth-quarter results on Feb. 24. The Zacks Consensus Estimate for earnings is pegged at a loss of 3 cents per share, which indicates a year-over-year fall of 250%.

The Zacks Consensus Estimate for fourth-quarter sales is pinned at $92.38 million, which suggests a year-over-year decline of 15.50%.

Sempra Energy SRE is scheduled to report fourth-quarter results on Feb. 26. The Zacks Consensus Estimate for earnings is pegged at $1.13 per share, which indicates a year-over-year fall of 24.67%.

The Zacks Consensus Estimate for fourth-quarter sales is pinned at $3.64 billion, which suggests a year-over-year decline of 3.13%.

Northwest Natural NWN is scheduled to report fourth-quarter results on Feb. 27. The Zacks Consensus Estimate for earnings is pegged at $1.36 per share, which indicates a year-over-year fall of 3.55%.

The Zacks Consensus Estimate for fourth-quarter sales is pinned at $394.99 million, which suggests year-over-year growth of 6.50%.

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This article originally published on Zacks Investment Research (zacks.com).

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