Williams Companies Beats Q3 Revenue and EBITDA Estimates but Misses on EPS and Full-Year Earnings Guidance

Williams Companies reported third-quarter 2026 results after the bell on November 2, posting revenue of $3.22 billion against analyst estimates of $2.89 billion, a 10% increase year over year. Adjusted EBITDA came in at $2.04 billion, edging past the $2.02 billion consensus and rising 6% from a year earlier. Adjusted EPS of $0.54 missed the $0.55 estimate, though it still represented 10% year-over-year growth.

The company affirmed its full-year 2026 guidance, targeting adjusted EBITDA of $8.3 billion to $8.5 billion against a consensus of $8.47 billion, and full-year adjusted EPS of $2.35, below the $2.40 estimate. Growth capital expenditure guidance was set at $7.3 billion to $7.9 billion. Cash flow from operations reached $1.51 billion, up 5% year over year, while adjusted funds from operations rose 10% to $1.59 billion, supporting a dividend coverage ratio of 2.42 times on an AFFO basis.

At the segment level, Transmission and Gulf matched estimates at $1.03 billion, up 9% year over year, and Northeast Gathering and Processing beat at $542 million versus a $537.5 million estimate, also up 7%. The West segment came in below expectations at $401 million against a $417 million estimate, though it still grew 9% year over year. Gas and NGL Marketing Services fell sharply, contributing just $4 million, a 64% decline year over year.

Williams also closed its Momentum Midstream acquisition ahead of schedule, expanding its position in the Haynesville basin. On its Transco pipeline system, the company brought on more than 150 million cubic feet per day of new capacity through the Southeast Supply Enhancement II project and 84 million cubic feet per day via the Garden Connector expansion, with total pipeline capacity expanded by 413 million cubic feet per day across four projects. Management cited growing demand from LNG export, power generation, and industrial customers as the strategic rationale for the Haynesville buildout.