The Williams Companies (WMB) Q2 2026 earnings summary

Executive summary

• Achieved strong execution and meaningful growth, including a 51% year-over-year increase in Q2 2026 GAAP net income to $827 million and a 37% rise in net income attributable to common stockholders to $1.69 billion for the first half of 2026, driven by higher service revenues, asset sales, and segment performance.

• Completed Phase 1 of the Socrates Power Innovation project on time and on budget, advanced Phase 2, and signed key commercial agreements for Transco expansions.

• Announced and closed the strategic acquisition of Momentum Midstream for up to $5.5 billion, expanding the Haynesville and Gulf Coast pipeline footprint and strengthening the position in key natural gas growth basins.

• Formed a $5.34 billion Power Innovation financing joint venture with Blackstone, providing low-cost equity and enhancing project returns.

• Major expansion projects in key regions, including Haynesville Shale and Gulf Coast, contributed to revenue growth and future capacity increases.

Financial highlights

• Second quarter 2026 adjusted EBITDA rose 6% year-over-year to $1.921 billion, with year-to-date adjusted EBITDA up 10% to $4.175 billion.

• Net income for Q2 2026 was $827 million, up from $546 million in Q2 2025; diluted EPS for the first half of 2026 was $1.38, up from $1.01.

• Total revenues for the first half of 2026 increased 4% year-over-year to $6.08 billion; operating income rose 23% to $2.5 billion.

• AFFO for Q2 2026 was $1.45 billion, up 10% year-over-year; dividend coverage ratio improved to 2.26x.

• Net gain of $126 million from sale of Brazos Permian II investment and $194 million gain from South Mansfield upstream sale.

Outlook and guidance

• Raised full-year 2026 adjusted EBITDA guidance by $200 million to $8.3–$8.5 billion, reflecting the Momentum acquisition and improved base business.

• AFFO guidance for 2026: $6.31–$6.44 billion; AFFO per share: $5.10–$5.20; dividend coverage ratio projected at 2.47x.

• Growth capital and investment expenditures for 2026 projected at $7.3–$7.9 billion, excluding acquisitions.

• Increased long-term EBITDA growth target to 11%+ CAGR through 2030, up from 10%+.

• Year-end leverage expected at 3.9x, or 3.75x on a full-year run-rate basis, providing over $2 billion incremental capacity for new projects.