Williams Companies, Inc. (the) · NYSE:WMB
Williams Companies, Inc. (the) — Q4 2024 Earnings Presentation
84 slides from Williams Companies, Inc. (the)'s earnings presentation, Feb 13, 2025
Slide 1: Williams 4th Quarter & Full-Year 2024 Earnings Call
Williams 4th Quarter & Full-Year 2024 Earnings Call February 13, 2025 WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 1
Slide 2: Successful execution on strategic priorities in 2024
Successful execution on strategic priorities in 2024 SET RECORD PLACED 6 KEY ANNOUNCED 6 CONTRACTED CAPACITY EXPANSIONS IN SERVICE TRANSMISSION PROJECTS Reached 33.4 Bcf/d of contracted transmission Completed key projects in our gathering, Expected to add ~885 MMcf/d of capacity, capacity, with addi
Slide 3: Continued momentum into 2025
Continued momentum into 2025 Transmission • 8 transmission expansions to be placed in-service during 2025, adding 1.25 Bcf/d+ of capacity • Transco rate case with return on Emissions Reduction Program investments Deepwater Gulf • 4 Deepwater expansions expected to reach first flow in 2025 • Signific
Slide 4: Natural gas strategy delivering today with additional growth ahead
Natural gas strategy delivering today with additional growth ahead Delivering profitable growth today Best positioned to capture growth tomorrow Consistent earnings grow th Robust Pow er Demand 12 years of consecutive Adjusted EBITDA Industrial reshoring, electrification and data center growth drive
Slide 5: Financial overview
Financial overview WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 5
Slide 6: Continuing to showcase our financial strength
Continuing to showcase our financial strength Adjusted EBITDA Adjusted Earnings Per Share $7.65B $2.06 Continued growth 8% after record years 5-YEAR 13% CAGR 5-YEAR CAGR Demonstrated strong financial performance 2020 2021 2022 2023 2024 2025E 2020 2021 2022 2023 2024 2025E through price cycles Avail
Slide 7: Strong momentum driving further upside in 2025
Strong momentum driving further upside in 2025 Original 2025 Guidance* Updated 2025 Guidance Guidance drivers • $250MM increase split between $7.4B $7.65B incremental growth and bolt-on Adjusted EBITDA Adjusted EBITDA transactions • Growing AFFO while maintaining $4.25 $4.50 a conservative approach
Slide 8: Generating peer leading returns through disciplined investment approach
Generating peer leading returns through disciplined investment approach 30% Driving value creation through attractive investments while Leverage Reduction (2018-2023) 25% improving balance sheet Peer 1 20% 15% Peer 5 Peer 4 23% cash return on investment Top CROI showcases track record 10% of strong
Slide 9: Platform for continued success
Platform for continued success Natural gas Track record of Creating long-term focused strategy execution shareholder value Our networks are critical to provide reliable Steadfast project execution positions Continuing to drive value creation to energy to meet growing demand both Williams as a leader
Slide 10: Appendix
Appendix WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 10
Slide 11: Our financial performance
Our financial performance WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 11
Slide 12: Strong results across key financial metrics
Strong results across key financial metrics Strong Financial Performance 4Q 4Q Change 2024 2023 Change Across Key Financial Metrics 2024 2023 Adjusted EBITDA $1,776 $1,721 3% $7,080 $6,779 4% Adjusted Earnings per Share $0.47 $0.48 (2%) $1.92 $1.91 1% Available Funds from Operations $1,335 $1,323 1%
Slide 13: Achieved 4% growth 2024 vs. 2023
Achieved 4% growth 2024 vs. 2023 W M B A d j u s t e d E B I T D A ( $ M M ) : 2 0 2 4 vs . 2 0 2 3 Key Earnings Drivers TRANSMISSION & GULF $7,300 Higher earnings due to the Gulf Coast Storage $86 ($85) acquisition, transmission expansions, MountainWest acquisition and Discovery consolidation; part
Slide 14: Achieved 3% growth 4Q 2024 vs. 4Q 2023
Achieved 3% growth 4Q 2024 vs. 4Q 2023 W M B A d j u s t e d E B I T D A ( $ M M ) : 4 Q 2 0 2 4 vs . 4 Q 2 0 2 3 Key Earnings Drivers TRANSMISSION & GULF $1,875 Higher earnings due to transmission expansions, the Gulf Coast Storage acquisition and Discovery $22 ($33) consolidation; partially offset
Slide 15: Achieved 4% growth 4Q 2024 vs. 3Q 2024
Achieved 4% growth 4Q 2024 vs. 3Q 2024 W M B A d j u s t e d E B I T D A ( $ M M ) : 4 Q 2 0 2 4 vs . 3 Q 2 0 2 4 Key Earnings Drivers TRANSMISSION & GULF $1,850 Lower earnings driven by higher operating costs and lower Gulf earnings due to storm impacts and lower gathering volumes; partially offset
Slide 16: Diversification of Adjusted EBITDA fuels stability and growth
Diversification of Adjusted EBITDA fuels stability and growth Other & Divestitures1 1% ~$7.1B 2024 Adj. EBITDA ~1% from Other NGL Services2 2% ~2% from NGL Services Marketing Services 3% E&P 3% ~3% from Gas and NGL Marketing Services Other Onshore Oil Basin3 4% ~3% from E&P Eagle Ford 4% Barnett4 1%
Slide 17: Balance sheet strength and financial flexibility
Balance sheet strength and financial flexibility Strong liquidity and minimal near-term debt maturities Principal Value of Debt Maturities 3.55x 18% improvement as of January 31, 2025 2025 guidance for in leverage since 20202 ($ in millions) Debt-to-Adjusted EBITDA2 $330 Investment $1,875 BBB/Baa2 g
Slide 18: High credit-quality, demand-pull customer base for transmission
High credit-quality, demand-pull customer base for transmission Firm Contracted Capacity By Credit Rating Profile Of Williams 3Q 2024 YTD Gas Customer Type for 20241 Transmission Revenue From Top 100 Customers2 6% 10% 15% 18% 58% Utilities / Power Customers 79% 7% Investment-Grade Customers 7% Utili
Slide 19: 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 Capacity + Indexed to 100 200 Volume Adj. EBITDA 150 Oil Price 100 Gas P
Slide 20: Anticipating continued business strength in 2025
Anticipating continued business strength in 2025 Financial Metric 2024 Actuals Updated 2025 Guidance Y/Y Change* Adjusted EBITDA $7.080B $7.45B - $7.85B 8% Adjusted Diluted EPS1 $1.92 $1.94 - $2.18 7% Available Funds From Operations (AFFO) $5.378B $5.375B - $5.675B 3% AFFO Per Share $4.40 $4.38 - $4
Slide 21: 2025 upstream segment Adjusted EBITDA details
2025 upstream segment Adjusted EBITDA details 2025 Upstream Adj. EBITDA Guidance Full-year 2025 projections and assumptions ~$300MM Net Price assumed production in guidance LA WY Natural Gas 265-310 MMcf/d NYMEX: $3.53/MMBtu Oil Production 5-7 Mbbl/d WTI: $69.59/bbl NGL 10-12 Mbbl/d NGL (C3+): $1.07
Slide 22: Expected capital drivers for 2025
Expected capital drivers for 2025 Growth Capital • Transmission projects on Transco and MountainWest High priority investments drive sustainable long-term growth • G&P expansions including the Louisiana Energy Gateway (LEG) project $1.8B • Upstream Capital • New Energy Ventures investments including
Slide 23: Returns-based approach to capital allocation
Returns-based approach to capital allocation Capital allocation priorities: • Protect long-term health of balance sheet and investment-grade rating Maintain financial strength 1 • 2025 guidance for Debt-to-Adjusted EBITDA1 ~3.55x • Preserve long-standing commitment to shareholder returns and grow di
Slide 24: Williams' hedge positions
Williams’ hedge positions Commodity 2025 2026 Volume Weighted-Average Volume Weighted-Average E&P Hedges Natural Gas (MMBtu) Price ($MMBtu) (MMBtu) Price ($MMBtu) Fixed Price Swaps (54,205,000) $3.45 (5,850,000) $4.30 Basis Swaps (41,925,000) ($0.50) Volume Weighted-Average Volume Weighted-Average L
Slide 25: Why Williams?
Why Williams? Stable growth Financial strength Predictability 14 transmission Investment 51 years 29% 23% return grade rated on invested capital 2018-20231 projects of consecutive dividend total shareholder return in execution with 30 projects in BBB/Baa2 payments annualized 2019-20242 backlog 7% CA
Slide 26: Our natural gas strategy
Our natural gas strategy WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 26
Slide 27: Natural gas meets the trifecta for energy solutions
Natural gas meets the trifecta for energy solutions CLEAN AFFORDABLE RELIABLE 45% less carbon dioxide 4x 2.5x 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 increased
Slide 28: Natural gas plays critical role in reducing emissions
Natural gas plays critical role in reducing emissions Total U.S. Power Sector CO2 Emissions vs. Natural Gas Market Share 2,600 45% Natural Gas as % of U.S. Net Power Generation 2,400 40% 35% 2,200 30% MM Tons CO2 2,000 25% 1,800 20% 1,600 15% 1,400 10% 1,200 5% 1,000 0% Source: U.S. Energy Informati
Slide 29: Strong gas-fired power generation driving demand
Strong gas-fired power generation driving demand Total demand including exports averaged 108 Bcf/d in 2024 compared to 106 Bcf/d in 2023, driven by strong power sector demand POWER GEN INDUSTRIAL RES / COM LNG & MEXICAN EXPORTS Bcf/d Bcf/d Bcf/d Bcf/d 40 40 40 40 3.8% 35 35 35 35 30 30 30 30 25 25 0
Slide 30: Projected Lower-48 natural gas demand grows through 2030
Projected Lower 48 natural gas demand grows by 20 bcf/d through 2030 Projected L48 Natural Gas Cumulative Expected Growth (‘24 – ’30) Demand Growth over 2024 Levels LNG Exports | + 13.3 Bcf/d 25 Total Demand 20 2.8% Mexican Exports | + 1.4 Bcf/d CAGR ‘24 – ’30 15 Transport + Other | + 2.5 Bcf/d Bcf/
Slide 31: 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 5,750 RAPID INCREASE IN ELECTRICITY DEMAND 5,250 5% 4,750 2010-2024 with majority
Slide 32: Expected peak day demand increases drive need for reliable natural gas
Expected peak day demand increases drive need for reliable natural gas Gas-fired power generation, 2021 peak day vs. expected 2040 peak day, TWh of gas-fired generation per day WECC Natural gas plays a PJM 63% critical role in in expected peak day demand 167% decarbonizing U.S. in expected peak MISO
Slide 33: Growing power demand spurs need for Williams' contracted capacity
Growing power demand spurs need for Williams’ contracted capacity US Natural Gas Demand for Power 5% increase The need for reliability in annual natural gas 60 demand and 4% peak day demand 2024 vs. 2023 Our natural gas pipeline contracted capacity is critical to ensure electric 50 grid reliability
Slide 34: Williams is ideally positioned to serve growing data center demand
Williams is ideally positioned to serve growing data center demand 175 data centers planned or under construction within our transmission pipeline footprint1 While Williams does not expect to capture every data center opportunity, we are well-positioned to provide reliable energy to this growing sou
Slide 35: 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
Slide 36: Transco resides along active and growing US LNG corridor
Transco resides along active and growing US LNG corridor Williams’ Asset Map in U.S. Gulf Coast1 + U.S. L-48 Large Scale Approved and Potential Liquefaction Facilities Per EIA 16.2 9.7 11.9 Bcf/d2 Bcf/d2 Bcf/d2 LNG projects INVESTED LNG export CAPITAL LNG export already projects currently projects a
Slide 37: Call on U.S. natural gas requires production growth across key supply areas
Call on U.S. natural gas requires production growth across key supply areas Forecasted Lower-48 Natural Gas Production by Supply Area (2024-2033) 45 2% CAGR 40 35 Williams to capitalize 5% CAGR on growth with assets in 30 5% CAGR geographically diverse supply areas Bcf/d 25 20 15 10 -1% CAGR 3% CAGR
Slide 38: Northeast remains largest and most economic gas basin
Northeast remains largest and most economic gas basin Natural Gas Reserves for non-Associated Plays By Henry Hub Natural Gas Breakeven Prices1 Tcf 83% remaining gas 1,000 reserves under $3.50 800 are in Northeast & Haynesville 600 400 ~84% of Williams’ gathering volumes are from Marcellus, Utica & 2
Slide 39: 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 Capacity and Natural Gas Storage Delivery, 2013-2023 Since 2013 demand for 50% gas has grown by 45% 40% 47% Cumulative Growth Since
Slide 40: Our irreplaceable assets
Our irreplaceable assets WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 40
Slide 41: Core business remains critical to serving today's energy needs
Core business remains critical to serving today’s energy needs Serving 12 key supply areas and handling approximately 1/3rd of nation’s natural gas Gas Transmission Gas Gathering Capacity Capacity WILLIAMS FACILITIES ~33.1 MMDth/d ~28.6 Bcf/d Gas Plant Fractionator Storage Amine Treating Rail Termin
Slide 42: Infrastructure serving natural gas demand
Infrastructure serving natural gas demand Natural Gas Natural Gas Natural Gas NGL Gas & NGL Gathering & Treating Processing Transmission & Storage Services Marketing Services ▪ Gather and treat natural ▪ Process volumes to ▪ Move post-processed ▪ NGLs transported to ▪ Market gas & NGLs to gas from p
Slide 43: Recent accomplishments
Recent accomplishments Enhanced DJ footprint through $325MM acquisition of Rimrock, representing a multiple of ~5x Strategic 2025E Adjusted EBITDA; Consolidated Wamsutter E&P JV for $307MM1, optimizing our Wyoming Acquisitions footprint, increasing utilization across the value chain, and enhancing s
Slide 44: Clear line-of-sight into near-term contracted growth
Clear line-of-sight into near-term contracted growth CONTINUED GROWTH AFTER RECORD YEARS, WITH A SIGNIFICANT EARNINGS STEP-UP AHEAD Transmission Gathering & Processing 2025 uplift Southside Reliability Enhancement Texas to Louisiana Energy Pathway 4Q’24 1Q’25 ✓ 2026 uplift Haynesville West expansion
Slide 45: Bolstering footprint in the DJ Basin at attractive valuation
Bolstering footprint in the DJ Basin at attractive valuation Williams’ Natural Gas Liquids Value Chain Additional gas gathering and processing to bolster OPPL footprint and add value to downstream NGL assets DJ BASIN Strategic addition optimizing product flow ▪ Ability to connect incremental process
Slide 46: Optimizing our valuable Wyoming footprint
Optimizing our valuable Wyoming footprint Deal overview Enhancing the value chain Echo Springs $307MM purchase price1 o Leveraging existing midstream and downstream attractive valuation at ~$25,000/BOE/d assets to capture significant margin on each molecule through gathering, processing, NGL transpo
Slide 47: Executing significant portfolio of Transco expansion projects
Executing significant portfolio of Transco expansion projects Target In- Project Current Status Project Capacity Service Southeast Supply 4Q’27 Filed FERC application 1,597 MMcf/d Enhancement 1 1 Commonwealth 2 2 4Q’25 Under construction 105 MMcf/d Energy Connector 3 Southside Reliability 3 4Q’24 In
Slide 48: Increasing peak demand on Williams' Transco system
Increasing peak demand on Williams’ Transco system Transco Winter Natural Gas Peak Day Volumes in Bcf1 ALL OF TRANSCO’S TOP 10 PEAK vs. Renewables Capacity Growth in the Same Markets DAYS HAVE OCCURRED THIS WINTER 20.0 19.2 140 120 18.0 17.3 16.9 17.0 16.5 15.8 16.1 100 16.0 103 GW 80 14.0 60 12.0 4
Slide 49: Transacting on portfolio of deep and diverse set of transmission projects
Transacting on portfolio of deep and diverse set of transmission projects DIVERSE OPTIONALITY ~9 Bcf/d in queue to serve power E X PA N S I V E generation facilities, LNG facilities and Moved from backlog into execution since 2020 FOOTPRINT industrial facilities/gas utilities Projects moved to execu
Slide 50: Emissions Reduction Program execution
Emissions Reduction Program execution Significantly reducing emissions and costs through modernization 27% REDUCTION ✓ Replaced 110 compressor units through year-end 2024; 92 units replaced within 2024 in compressor methane emissions ✓ Reduced NOx and methane emissions ✓ station upgrade Saved $850,0
Slide 51: MountainWest preparing for growth ahead
MountainWest preparing for growth ahead Strong project execution on PROJECTS IN EXECUTION significant opportunity set ▪ Clay Basin Delta Pressure Project Capacity: 7.8 Bcf | Placed in-service: 4Q 2024 ▪ Overthrust Westbound Expansion Capacity: 325 MMcf/d | Expected ISD: 4Q 2025 OPPORTUNITIES IN FOOT
Slide 52: Expansions underway on Northwest Pipeline
Expansions underway on Northwest Pipeline 1 Huntingdon Connector 1 Capacity: 87 MMcf/d | Expected ISD: 4Q 2026 2 Kelso-Beaver Reliability Project 2 Capacity: 183 MMcf/d | Expected ISD: 4Q 2028 3 Stanfield South Project 3 Capacity: 80 MMcf/d | Expected ISD: 4Q 2025 4 Naughton Coal-to-Gas Conversion 4
Slide 53: Deepwater expansions adding significant volume growth
Deepwater expansions adding significant volume growth Western Gulf WHALE ✓ Placed in-service 1Q 2025 ▪ Capital budget: ~$400MM ▪ Combined reserves: ~545 MMboe: Oil: 380 MMBbls, Gas: 1,000 Bcf Central Gulf SHENANDOAH SALAMANCA ▪ Expected in-service date: 2Q 2025 ▪ Expected in-service date: 2Q 2025 ▪
Slide 54: Enhancing and expanding our gas storage footprint
Enhancing and expanding our gas storage footprint OPERATING ASSETS CRITICAL TO BALANCING MARKETS AND ENSURING RELIABILITY ~417 Bcf ~55% of gas storage of natural gas charging market- storage capacity based rates1 Largest Expansion natural gas storage opportunities available operator in proximity acr
Slide 55: Enhancing our Haynesville position
Enhancing our Haynesville position Expanding Haynesville gathering by 400 MMcf/d Critical bridge between clean, reliable supply and and adding 1.8 Bcf/d of natural gas takeaway rapidly growing Southeast and Gulf Coast demand LA HAYNESVILLE INCREASING ACCESS TO RELIABLE ENERGY BASIN Existing • Adding
Slide 56: Northeast: Established footprint in nation's largest gas supply basin
Northeast: Established footprint in nation’s largest gas supply basin Ohio River Supply Hub (ORSH) Natural Gas Gathering Northeast JV Susquehanna River Northeast JV LMM & Marcellus South Supply Hub (SRSH) Ohio Valley Midstream & Utica East Ohio Midstream: Cardinal & Flint Susquehanna Supply Hub • Op
Slide 57: Enhancing core business through Sequent
Enhancing core business through Sequent Generating significant earnings since acquisition Driving value to business by increasing utilization of assets Managing downside risk and acting as Map legend natural hedge for G&P price exposure Sequent’s Marketing Footprint Natural Gas Pipelines Powerplants
Slide 58: Our focus on sustainability
Our focus on sustainability WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 58
Slide 59: Focused on environmental stewardship and building strong communities
Focused on environmental stewardship and building strong communities LINK HERE 26% REDUCTION 4,346 MILES in intensity-based GHG emissions of pipeline integrity assessments from 2018, working towards goal to protect our people, environment of a 30% reduction by 2028 and assets, up 36% from 2022 589+
Slide 60: Outpaced industry across key sustainability rankings
Outpaced industry across key sustainability rankings #1 Ranked North American Oil & Gas Storage & Transportation company in the 2024 S&P Global Corporate Sustainability Assessment S&P Received an ‘A-’ GLOBAL ‘AA’ Rated score on the 2024 CDP Climate Received an upgraded MSCI Change Questionnaire ESG
Slide 61: Evolving to ensure a sustainable business model
Evolving to ensure a sustainable business model NextGen Gas C a r b o n C a p t u r e a n d S e q u e s t r a ti o n Deploying technologies across our footprint to.. Developing CCS projects in the deliver the next generation of low emissions….. Haynesville and Wyoming and evaluating natural gas from
Slide 62: Decarbonizing through CCS projects
Decarbonizing through CCS1 projects ✓ Wyoming CCS Project Executing scalable CO2 ▪ Scope: CO2 compression, dehydration, capture equipment, transmission systems, supplied and pipeline to capture and transport emissions from by our own operations in basin Williams’ Echo Springs plant ▪ Capacity: up to
Slide 63: Leveraging footprint for solar and energy storage projects
Leveraging footprint for solar and energy storage projects Installing solar and battery projects across our footprint to offset our electrical needs and to meet electricity demands for utility partners Projects in execution 02 ▪ ▪ ~22 MWac solar, ~24 MWdc battery storage Target in-service by 1Q’25 P
Slide 64: Committed to a clean energy future
Committed to a clean energy future For more information regarding our sustainability efforts, please review our 2023 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
Slide 65: Forward Looking Statements
Forward Looking Statements WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 65
Slide 66: 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
Slide 67: 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
Slide 68: 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
Slide 69: Non-GAAP Reconciliations
Non-GAAP Reconciliations WILLIAMS © 2025 The Williams Companies, Inc. All rights reserved NYSE: WMB I Williams 4th Quarter and Full-year 2024 Earnings I February 13, 2025 I www.williams.com 69
Slide 70: 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
Slide 71: Reconciliation 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
Slide 72: Reconciliation 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
Slide 73: 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
Slide 74: 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
Slide 75: Reconciliation to Non-GAAP Adjusted Income 2021-2022
Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2021-2022 2021 2022 (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 Income (loss) from continu
Slide 76: Reconciliation to Non-GAAP Adjusted Income 2021-2022 Cont.
Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2021-2022 Cont. 2021 2022 (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 Gas & NGL Marketing
Slide 77: Reconciliation to Non-GAAP Adjusted Income 2023-2024
Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2023-2024 2023 2024 (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 Income (loss) from continu
Slide 78: Reconciliation to Non-GAAP Adjusted Income 2023-2024 Cont.
Reconciliation of Income (Loss) From Continuing Operations Attributable to The Williams Companies, Inc. to Non-GAAP Adjusted Income 2023-2024 Cont. 2023 2024 (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 Gas & NGL Marketing
Slide 79: Reconciliation to Modified EBITDA and Adjusted 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) $
Slide 80: Reconciliation to Modified EBITDA and Adjusted 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 $
Slide 81: Reconciliation to Modified EBITDA and Adjusted EBITDA 2021-2022
Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2021-2022 2021 2022 (Dollars in millions) 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 $ 407 $ 621 $ 697 $ 2,117 Provision (benefit
Slide 82: Reconciliation to Modified EBITDA and Adjusted EBITDA 2023-2024
Reconciliation of Net Income (Loss) to Modified EBITDA and Non-GAAP Adjusted EBITDA 2023-2024 2023 2024 (Dollars in millions) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Net income (loss) $ 957 $ 494 $ 684 $ 1,168 $ 3,303 $ 662 $ 426 $ 741 $ 517 $ 2,346 Provision (benef
Slide 83: Reconciliation of Cash Flow to Available Funds from Operations 2023-2024
Reconciliation of Cash Flow from Operating Activities to Non-GAAP Available Funds from Operations 2023-2024 2023 2024 (Dollars in millions, except coverage ratios) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Year Net cash provided (used) by operating activities $ 1,514 $ 1,3
Slide 84: 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) — Q4 2024 Earnings Presentation on 6ix