Williams Companies, Inc. (the) · NYSE:WMB

Williams Companies, Inc. (the) — Q2 2025 Earnings Presentation

50 slides from Williams Companies, Inc. (the)'s earnings presentation, Aug 5, 2025

  1. Slide 1: Williams 2nd Quarter 2025 Earnings Call

    Williams 2nd Quarter 2025 Earnings Call August 5, 2025 WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 2nd Quarter 2025 Earnings I August 5, 2025 I www.williams.com 1

  2. Slide 2: Continued strong operational, strategic and financial achievement

    Continued strong operational, strategic and financial achievement ADVANCING OUR NATURAL GAS FOCUSED STRATEGY Clean. Affordable. Reliable. ✓ Completing key projects Recently completed 6 projects1; increasing transmission, Gulf ✓ Unlocking constrained markets Signed precedent agreement for Transco’s N

  3. Slide 3: Achieved 8% growth 2Q 2025 vs. 2Q 2024

    Achieved 8% growth 2Q 2025 vs. 2Q 2024 WMB Adjusted EBITDA ($MM): 2Q 2025 vs. 2Q 2024 Key Earnings Drivers TRANSMISSION & GULF Higher earnings driven by Transco and Gulf expansions, higher $1,850 Transco rates, and favorable storage re-contracting; partially $22 ($1) $7 $1,808 offset by higher opera

  4. Slide 4: Clear line-of-sight to continued earnings growth

    Clear line-of-sight to continued earnings growth 9.0 Series Adjusted 1 EBITDA ($B) 2025 Growth Drivers 8.0 $7.6 - $7.9B Significant fully-contracted growth $7.1 7.0 $6.8 ▪ Transmission expansions $6.4 ▪ Storage re-contracting ▪ Deepwater Gulf projects ▪ Transco rate case 6.0 $5.6 $5.1 5.0 Resilient

  5. Slide 5: Key takeaways

    Key takeaways Commercializing and Delivering another Advancing progressing key quarter of strategy driven by growth projects solid results natural gas Executing strategy for long-term sustainable growth WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 2nd Quarter

  6. Slide 6: Appendix

    Appendix WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 2nd Quarter 2025 Earnings I August 5, 2025 I www.williams.com 6

  7. Slide 7: Key financial metrics

    Key financial metrics Strong Financial Performance 2Q 2Q 2Q’25 2Q’24 Change Change Across Key Financial Metrics 2025 2024 YTD YTD Adjusted EBITDA $1,808 $1,667 8% $3,797 $3,601 5% Adjusted Earnings per Share $0.46 $0.43 7% $1.06 $1.01 5% Available Funds from Operations $1,317 $1,250 5% $2,762 $2,757

  8. Slide 8: Sequential Adjusted EBITDA drivers

    Sequential Adjusted EBITDA drivers WMB Adjusted EBITDA ($MM): 2Q 2025 vs. 1Q 2025 Key Earnings Drivers TRANSMISSION & GULF Higher earnings due to Transco and Gulf expansions, higher $2,150 Transco rates, favorable storage re-contracting, and one more $41 ($13) ($13) billable day; partially offset by

  9. Slide 9: Achieved 5% growth 2Q 2025 YTD vs. 2Q 2024 YTD

    Achieved 5% growth 2Q 2025 YTD vs. 2Q 2024 YTD WMB Adjusted EBITDA ($MM): 2Q’25 YTD vs. 2Q’24 YTD Key Earnings Drivers TRANSMISSION & GULF Higher earnings due to Transco and Gulf expansions, higher $3,900 Transco rates, favorable storage re-contracting, and the Discovery $48 ($35) $37 $3,797 consoli

  10. Slide 10: Recent accomplishments

    Recent accomplishments Guidance Increased midpoint of Adjusted EBITDA guidance by $50 million, representing a $350 million Update increase since original 2025 guidance Saber Acquired Saber Midstream in the Haynesville, adding over 1 Bcf/d of gathering and dehydration Acquisition capabilities at an a

  11. Slide 11: 2025 financial guidance

    2025 financial guidance Financial Metric 2024 Actuals Updated 2025 Guidance Y/Y Growth* Adjusted EBITDA $7.080B $7.6B - $7.9B 9% Adjusted Diluted EPS1 $1.92 $2.01 - $2.19 9% Available Funds From Operations (AFFO) $5.378B $5.56B - $5.79B 6% AFFO Per Share $4.40 $4.53 - $4.72 5% Dividend Coverage Rati

  12. Slide 12: Expected capital drivers for 2025

    Expected capital drivers for 2025 Growth Capital • Onsite natural gas and power generation infrastructure project High priority investments drive sustainable long-term growth • Transmission projects • G&P expansions including the $2.725B Louisiana Energy Gateway (LEG) project • Upstream capital • Ne

  13. Slide 13: Diversification of Adjusted EBITDA fuels stability and growth

    Diversification of Adjusted EBITDA fuels stability and growth Other & Divestitures1 1% ~$7.1B 2024 Adj. EBITDA ~1% from Other NGL Services2 2% ~2% from NGL Services Marketing Services 3% E&P 3% ~3% from Gas and NGL Marketing Services Other Onshore Oil Basin3 4% ~3% from E&P Eagle Ford 4% Barnett4 1%

  14. Slide 14: Williams generates steady growth in volumes and Adjusted EBITDA

    Williams generates steady growth in volumes and Adjusted EBITDA Quarterly Growth: Williams Base Business Adjusted EBITDA1, Contracted Transmission Capacity and Gathering Volume vs. Crude Oil and Natural Gas Commodity Prices 250 200 Capacity + Indexed to 100 Volume Adj. EBITDA 150 Oil Price Gas Price

  15. Slide 15: Williams' hedge positions

    Williams’ hedge positions Opal Processing Plant, W Y Commodity 2025 2026 Volume Weighted-Average Volume Weighted-Average Natural Gas E&P Hedges (MMBtu) Price ($MMBtu) (MMBtu) Price ($MMBtu) Fixed Price Swaps (39,177,500) $3.74 (5,850,000) $4.30 Basis Swaps (37,025,000) ($0.64) (4,577,500) ($0.16) Vo

  16. Slide 16: Balance sheet strength and financial flexibility

    Balance sheet strength and financial flexibility Strong liquidity and minimal near-term debt maturities Principal Value of Debt Maturities 3.65x 16% improvement as of June 30, 2025 2025 guidance for in leverage since 20202 ($ in millions) Debt-to-Adjusted EBITDA2 $330 $1,875 BBB+/Baa2/BBB Investment

  17. Slide 17: Strong natural gas demand across all sectors

    Strong natural gas demand across all sectors Total demand including exports averaged 100 Bcf/d in 2Q’25 versus 96 Bcf/d in 2Q’24 Driven by LNG export growth as well as stronger res/comm demand POWER GEN INDUSTRIAL RES / COM LNG & MEXICAN EXPORTS Bcf/d Bcf/d Bcf/d Bcf/d 40 40 40 40 -3.1% 35 35 35 35

  18. Slide 18: Transco resides along active and growing U.S. LNG corridor

    Transco resides along active and growing U.S. LNG corridor Williams’ Asset Map in U.S. Gulf Coast1 + U.S. L-48 Large Scale Approved and Potential Liquefaction Facilities Per EIA 17.8 10.5 13.3 Bcf/d2 Bcf/d Bcf/d LNG projects INVESTED LNG export CAPITAL LNG export already projects currently projects

  19. Slide 19: More natural gas is required to feed growing electricity demand

    More natural gas is required to feed growing electricity demand Electrification of heating and transport, data centers and AI-driven future will create unprecedented growth in power demand U.S. Net On-Grid Power Demand 6,000 RAPID INCREASE IN ELECTRICITY DEMAND 5,500 5,000 5% 2010-2024 with majority

  20. Slide 20: Ample coal-to-gas switching opportunities reside in our footprint

    Ample coal-to-gas switching opportunities reside in our footprint Williams Asset Map, Highlighting Third-party Operating Coal Plants 58 Equates to Coal plants; 55 GW +8.4 Bcf/d natural Net summer gas1 capacity Equates to Equates to 328 MM 76 MM mt CO2 cars off the road reduction annually Operating c

  21. Slide 21: There is a growing need for reliable infrastructure investment

    There is a growing need for reliable infrastructure investment Cumulative Percentage Growth in L-48 Natural Gas Demand versus Growth in Interstate Natural Gas Pipeline Delivery Capacity and Natural Gas Storage Delivery Since 2013 demand for Capacity, 2013-2024 60% gas has grown by 50% 49% Cumulative

  22. Slide 22: Natural gas meets the trifecta for energy solutions

    Natural gas meets the trifecta for energy solutions CLEAN AFFORDABLE RELIABLE 45% less carbon dioxide 3.3x 2.6x Performance of gas power cheaper than emissions than coal1 capacity compared to electricity2 solar PV power capacity3 U.S. CO2 emissions decline with Natural gas is a flexible and increase

  23. Slide 23: Clear line-of-sight into near-term contracted growth

    Clear line-of-sight into near-term contracted growth Transmission Deepwater 2025 uplift Texas to Louisiana Energy Pathway 2Q’25 ✓ ✓ ✓ Ballymore 2Q’25 2026 uplift Southeast Energy Connector 2Q’25 Commonwealth Energy Connector 4Q’25 Shenandoah 3Q’25 ✓ 2027 uplift Alabama Georgia Connector 4Q’25 Salama

  24. Slide 24: Executing significant portfolio of Transco expansion projects

    Executing significant portfolio of Transco expansion projects 1 Project Target In- Current Status Project Capacity Service Northeast Supply Enhancement 1 4Q’27 Signed precedent agreement1 400 MMcf/d 2 Power Express 2 3Q’30 Signed precedent agreements 785 MMcf/d2 3 4 Southeast Supply Enhancement 3 3Q

  25. Slide 25: MountainWest preparing for growth ahead

    MountainWest preparing for growth ahead Strong project execution on significant opportunity set Little Mountain Station, UT PROJECTS IN EXECUTION ▪ Overthrust Westbound Expansion Capacity: 325 MMcf/d | Expected ISD: 4Q 2025 OPPORTUNITIES IN FOOTPRINT ▪ Phased Overthrust growth ▪ Uinta Basin takeaway

  26. Slide 26: Expansions underway on Northwest Pipeline

    Expansions underway on Northwest Pipeline 1 1 Huntingdon Connector Capacity: 78 MMcf/d | Expected ISD: 4Q 2026 2 2 Kelso-Beaver Reliability Project Capacity: 183 MMcf/d | Expected ISD: 4Q 2028 3 3 Stanfield South Capacity: 80 MMcf/d | Expected ISD: 4Q 2025 4 4 Naughton Coal-to-Gas Conversion Capacit

  27. Slide 27: Deepwater expansions adding significant volume growth

    Deepwater expansions adding significant volume growth BALLYMORE ✓ Placed in-service 2Q 2025 ▪ Region: Eastern Gulf ▪ Capital budget: Zero ▪ Combined reserves: ~300 Mmboe SHENANDOAH ✓ Placed in-service 3Q 2025 ▪ Region: Central Gulf ▪ Capital budget: ~$160MM ▪ Gas Reserves: 380 Bcf SALAMANCA ▪ Expect

  28. Slide 28: Enhancing our Haynesville footprint

    Enhancing our Haynesville footprint Acquired Saber Midstream 1 Saber Midstream 1 2 1 BCF/D Saber Midstream Haynesville West of gathering and dehydration added at an attractive ~5x multiple1 LA 3 Louisiana Energy Gateway Completed Haynesville West Expansion TX 400 MMCF/D 2 H. West of gathering comple

  29. Slide 29: Committed to sustainable operations

    Committed to sustainable operations EXPERIENCE POWERS US 24% REDUCTION in intensity-based GHG emissions from 2018, working towards goal of a 30% reduction by 2028 607+ UNIQUE ENGAGEMENTS with local community stakeholders, strengthening WE MAKE CLEAN ENERGY HAPPEN ® relationships and identifying oppo

  30. Slide 30: Committed to a clean energy future

    Committed to a clean energy future For more information regarding our sustainability efforts, please review our 2024 Sustainability Report LONG-TERM AMBITION Achieve net zero NEAR-TERM GOAL ambition by 2050 utilizing a combination of immediate NEAR-TERM GOAL 30% reduction and long-term in carbon int

  31. Slide 31: Forward Looking Statements

    Forward Looking Statements WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 2nd Quarter 2025 Earnings I August 5, 2025 I www.williams.com 31

  32. Slide 32: Forward-looking statements

    Forward-looking statements > The reports, filings, and other public announcements of The Williams Companies, Inc. (Williams) may contain or incorporate by reference statements that do not directly or exclusively relate to historical facts. Such statements are “forward-looking statements” within the

  33. Slide 33: Forward-looking statements (cont'd)

    Forward-looking statements (cont’d) > Forward-looking statements are based on numerous assumptions, uncertainties, and risks that could cause future events or results to be materially different from those stated or implied in this report. Many of the factors that will determine these results are bey

  34. Slide 34: Forward-looking statements (cont'd)

    Forward-looking statements (cont’d) – The ability of the members of the Organization of Petroleum Exporting Countries and other oil exporting nations to agree to and maintain oil price and production controls and the impact on domestic production; – Changes in the current geopolitical situation, inc

  35. Slide 35: Non-GAAP Reconciliations

    Non-GAAP Reconciliations WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 2nd Quarter 2025 Earnings I August 5, 2025 I www.williams.com 35

  36. Slide 36: Non-GAAP Disclaimer

    Non-GAAP Disclaimer > This news release and accompanying materials may include certain financial measures – adjusted EBITDA, adjusted income (“earnings”), adjusted earnings per share, available funds from operations and dividend coverage ratio – that are non-GAAP financial measures as defined under

  37. Slide 37: Reconciliation of Income to Adjusted Income 2015-2017

    Reconciliation of Income (Loss) Attributable to The Williams Companies, Inc. to Adjusted Income 2015-2017 2015 2016 2017 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Income (loss) attrib

  38. Slide 38: Reconciliation of Income to Adjusted Income 2015-2017 cont.

    Reconciliation of Income (Loss) Attributable to The Williams Companies, Inc. to Adjusted Income 2015-2017 cont. 2015 2016 2017 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Other Impairme

  39. Slide 39: Reconciliation to Non-GAAP Adjusted Income 2018-2020

    Reconciliation of Income (Loss) from Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2018-2020 2018 2019 2020 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Q

  40. Slide 40: Reconciliation to Non-GAAP Adjusted Income 2018-2020 Cont.

    Reconciliation of Income (Loss) from Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2018-2020 Cont. 2018 2019 2020 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr

  41. Slide 41: Reconciliation to Non-GAAP Adjusted Income 2021-2023

    Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2021-2023 2021 2022 2023 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Q

  42. Slide 42: Reconciliation to Non-GAAP Adjusted Income 2021-2023 Cont.

    Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2021-2023 Cont. 2021 2022 2023 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr

  43. Slide 43: Reconciliation to Non-GAAP Adjusted Income 2024-2025

    Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2024-2025 2024 2025 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr Year Income (loss) from continuing operations a

  44. Slide 44: Reconciliation to Non-GAAP Adjusted Income 2024-2025 Cont.

    Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2024-2025 Cont. 2024 2025 (Dollars in millions, except per-share amounts) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr Year Other Acquisition and transition-rel

  45. Slide 45: Reconciliation of Net Income to Modified EBITDA 2015-2017

    Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2015-2017 2015 2016 2017 (Dollars in millions) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Net income (loss) $ 13 $ 183 $ (173) $ (1,337) $ (1,314) $

  46. Slide 46: Reconciliation of Net Income to Modified EBITDA 2018-2020

    Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2018-2020 2018 2019 2020 (Dollars in millions) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Net income (loss) $ 270 $ 269 $ 200 $ (546) $ 193 $ 214 $

  47. Slide 47: Reconciliation of Net Income to Modified EBITDA 2021-2023

    Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2021-2023 2021 2022 2023 (Dollars in millions) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Net income (loss) $ 435 $ 322 $ 173 $ 632 $ 1,562 $ 392 $

  48. Slide 48: Reconciliation of Net Income to Modified EBITDA 2024-2025

    Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2024-2025 2024 2025 (Dollars in millions) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr Year Net income (loss) $ 662 $ 426 $ 741 $ 517 $ 2,346 $ 729 $ 583 $ 1,312 Provision (benefit) for income taxes 193 129 2

  49. Slide 49: Reconciliation of Cash Flow to Available Funds from Operations

    Reconciliation of Cash Flow from Operating Activities to Non-GAAP Available Funds from Operations 2024-2025 2024 2025 (Dollars in millions, except coverage ratios) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr Year Net cash provided (used) by operating activities $ 1,234 $ 1,279 $ 1,243 $ 1,2

  50. Slide 50: Reconciliation of 2025 Guidance to Adjusted EBITDA and AFFO

    Reconciliation of Net Income (Loss) from Continuing Operations to Modified EBITDA, Non-GAAP Adjusted EBITDA and Cash Flow from Operating Activities to Non-GAAP Available Funds from Operations (AFFO) 2025 Guidance (Dollars in millions, except per-share amounts and coverage ratio) Low Mid High Net inc

Williams Companies, Inc. (The) — Q2 2025 Earnings Presentation on 6ix