ONEOK Inc. (NYSE:OKE) reported first-quarter 2017 operating earnings of 41 cents per share, missing the Zacks Consensus Estimate of 45 cents by 8.89%.
Reported earnings also improved 2.5% year over year.
Total Revenue
ONEOK’s total revenue of $2,750 million missed the Zacks Consensus Estimate of $2,819 million by 2.47%. Revenues also jumped 55% from $1,774 million in the prior-year quarter.
Quarterly Highlights
In the quarter under review, ONEOK’s adjusted earnings before interest, tax, depreciation and amortization (EBITDA) came in at $459.6, up 4.07% year over year.
In the first quarter, the company spent $2,143.8 million on cost of sales and fuel, up 79.3%.
Operating income came in at $314.4 million in the first quarter, up 0.9%.
The company incurred interest expenses of $116.4 million, down 1.5%.
ONEOK, Inc. Price, Consensus and EPS Surprise
Financial Condition
As of Mar 31, 2017, ONEOK had cash and cash equivalents of $310.8 million, compared with $248.9 million as of Dec 31, 2016.
Long-term debt (excluding current maturities) was $7,919.8 million as of Mar 31, 2017, down from the 2016-end level of $7,920 million.
In the first quarter, the company’s cash flow from operating activities was $269 million, up from nearly $230.7 million in the year-ago period.
Capital expenditures (less allowance for equity funds used during construction) in the first quarter was $112.7 million, down from $196.4 million a year ago.
Guidance
ONEOK reaffirmed its 2017, net income guidance in the range of $575-$755 million, adjusted EBITDA in the range of $1,870–$2,130 million, distributable cash flow of $1,245–$1,505 million, capital expenditures in the range of $380-$480 million and maintenance capital expenditures in between $140-$160 million.
Upcoming Peer Releases
South Jersey Industries, Inc. (NYSE:SJI) currently carries a Zacks Rank #2 (Buy). The Zacks Consensus Estimate is pegged at 81 cents. It is expected to report first-quarter 2017 earnings on May 9.
Clean Energy Fuels Corp. (NASDAQ:CLNE) currently carriesa Zacks Rank of #3 (Hold). The Zacks Consensus Estimate is pegged at a loss of 13 cents. It is expected to report first-quarter 2017 earnings on May 4.
Sempra Energy (NYSE:SRE) currently carries a Zacks Rank of #3. The Zacks Consensus Estimate is pegged at $1.59. It is expected to report first-quarter 2017 earnings on May 9.
Zacks Rank
ONEOK currently has a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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