ONE Gas, Inc. OGS recorded second-quarter 2019 operating earnings of 46 cents per share, beating the Zacks Consensus Estimate of 41 cents by 12.2%.
Moreover, the reported earnings improved 17.9% year over year driven by new rates, and marginally lower operation and maintenance expenses.
The company reported total revenues of $290.6 million in the second quarter, lagging the Zacks Consensus Estimate of $294 million by nearly 1.15% and declining from the prior-year figure of $292.5 million by 0.7%.
ONE Gas, Inc. Price, Consensus and EPS Surprise
ONE Gas, Inc. price-consensus-eps-surprise-chart | ONE Gas, Inc. Quote
Total operating expenses in the reported quarter increased 2.4% from the year-ago period to $161.1 million.
Operating income in the reported quarter increased 14.1% year over year to $46.9 million.
The company incurred interest expenses of $15.4 million, increasing 28.3% from the year-ago period.
On Jun 30, 2019, ONE Gas had cash and cash equivalents of $11.1 million compared with $21.3 million at 2018-end.
Long-term debt (excluding current maturities) was $1,285.8 million as of Jun 30, 2019, increasing marginally from the Dec 31, 2018 level of $1,285.5 million.
The company’s cash flow from operating activities in the first half of 2019 was $241.1 million compared with $399.9 million in the prior-year period.
ONE Gas upwardly revised its guidance for 2019 net income to the range of $180-$190 million from $174-$190 million. Earnings per share guidance was revised upward to the band of $3.39-$3.57 from $3.27-$3.57 per share. The midpoint of management’s 2019 EPS guidance is $3.48, higher than the current Zacks Consensus Estimate of $3.45 for the period.
The company reiterated its 2019 capital expenditure view of $450 million. Out of the projected expenditure, 70% is directed toward system integrity and replacement projects.
MDU Resources Group Inc. MDU is expected to release second-quarter 2019 results on Jul 31. The Zacks Consensus Estimate for the quarter is pegged at 25 cents.
National Fuel Gas Company NFG is expected to release third-quarter fiscal 2019 results on Aug 2. The Zacks Consensus Estimate for the quarter to be reported is pegged at 64 cents.
Atmos Energy Corporation ATO is expected to release third-quarter fiscal 2019 results on Aug 7. The Zacks Consensus Estimate for the quarter is pegged at 69 cents.
ONE Gas currently has a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.
This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Atmos Energy Corporation (ATO) : Free Stock Analysis Report
MDU Resources Group, Inc. (MDU) : Free Stock Analysis Report
ONE Gas, Inc. (OGS) : Free Stock Analysis Report
National Fuel Gas Company (NFG) : Free Stock Analysis Report
To read this article on Zacks.com click here.