AI Takeaway
Williams Companies (WMB) delivered strong FY2025 results with revenue rising 13.8% to $11.95B and operating income surging 25.7% to $4.20B, driven by robust natural gas infrastructure demand.
Revenue
$11.95B
++13.78% YoY
EPS (Basic)
$2.14
++17.58% YoY
Operating Income
$4.2B
++25.67% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
Total revenue grew 13.8% year-over-year from $10.50B to $11.95B in FY2025, reflecting strong throughput volumes and favorable pricing across Williams' natural gas pipeline and midstream operations.
Source: Source: 10-K Income Statement, Financial Data
Operating margin expanded approximately 330 basis points from 31.8% to 35.1%, indicating that revenue growth outpaced cost increases and demonstrating improved operational leverage across the business.
Source: Source: 10-K Income Statement & Key Ratios, Financial Data
Operating cash flow increased 18.6% to $5.90B in FY2025 from $4.97B in the prior year, underscoring the cash-generative nature of Williams' fee-based midstream business model.
Source: Source: 10-K Cash Flow Statement, Financial Data
2 more insights available
Upgrade to unlockWilliams' current ratio stands at approximately 0.53, meaning current liabilities of $6.11B significantly exceed current assets of $3.24B. This below-1.0 ratio indicates potential short-term liquidity pressure and reliance on refinancing or credit facilities to meet near-term obligations.
Source: Source: 10-K Balance Sheet, Financial Data
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $0.72 versus the $0.57 analyst consensus — a +25.3% beat for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $11.95B | $10.5B | +13.78% |
Operating Income | $4.2B | $3.34B | +25.67% |
Net Income | $2.62B | $2.23B | +17.66% |
EPS (Basic) | $2.14 | $1.82 | +17.58% |
EPS (Diluted) | $2.14 | $1.82 | +17.58% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $58.57B | $54.53B | +7.41% |
Current Assets | $3.24B | $2.66B | +21.91% |
Current Liabilities | $6.11B | $5.31B | +14.95% |
Stockholders' Equity | $12.81B | $12.44B | +2.98% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $5.9B | $4.97B | +18.58% |
Investing Cash Flow | $-5.49B | $-4.86B | -12.87% |
Financing Cash Flow | $-406M | $-2.2B | +81.55% |
Share Buybacks | $0 | $0 | — |
D&A | $2.35B | $2.22B | +5.77% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | 35.1% | 31.8% | +3.32% |
Net Margin | 21.9% | — | — |
ROE | 20.4% | — | — |
ROA | 4.5% | — | — |
Current Ratio | $0.531 | — | — |
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Williams Companies grew revenue by 13.8% in FY2025, rising from $10.50B to $11.95B. This growth was driven by increased natural gas throughput volumes and favorable market conditions across its midstream infrastructure network.
The key takeaways from WMB's FY2025 results include operating income surging 25.7% to $4.20B, operating margin expanding to 35.1%, and operating cash flow reaching $5.90B. Net income grew 17.7% to $2.62B and EPS rose to $2.14, reflecting strong operational performance across the business.
Key risks for WMB include a low current ratio of 0.53 indicating short-term liquidity pressure, heavy capital expenditure requirements of $5.49B that exceed net income, and a highly leveraged balance sheet with implied total liabilities of approximately $45.8B against equity of $12.81B.
WMB's financial health shows strong earnings power with a 35.1% operating margin and $5.90B in operating cash flow, but the balance sheet carries significant leverage with a current ratio of only 0.53 and a large debt load relative to its $12.81B in stockholders' equity. The company's ROE of 20.4% reflects solid returns but is partly a function of high financial leverage.
Williams Companies generated approximately $409M in implied free cash flow in FY2025, calculated as operating cash flow of $5.90B less investing outflows of $5.49B. This relatively modest free cash flow figure reflects the company's substantial ongoing capital investment in pipeline and midstream infrastructure growth projects.