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Inside the numbers.
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Williams operates natural-gas transportation, gathering, processing and storage infrastructure and is expanding into contracted power generation. New projects and the completed Momentum acquisition support earnings growth while increasing capital needs.
The Williams Companies, Inc. (NYSE: WMB) transports, gathers, processes and stores natural gas and related liquids. Its infrastructure includes Transco and Northwest Pipeline. It is also building contracted power-generation facilities.
The table compares the three months ended September 30. Amounts are USD millions, except per-share figures.
| Results | 2026 Q3 | 2025 Q3 |
|---|---|---|
| Revenue | 3,223 | 2,923 |
| Net income available to common shareholders, GAAP | 699 | 646 |
| Diluted EPS, GAAP | 0.56 | 0.53 |
| Adjusted net income | 663 | 603 |
| Adjusted diluted EPS | 0.54 | 0.49 |
| Adjusted EBITDA | 2,039 | 1,920 |
| Operating cash flow, GAAP | 1,505 | 1,439 |
| Cash capital spending | 2,489 | 954 |
| Common dividends paid | 656 | 611 |
Adjusted earnings remove selected asset-sale gains, acquisition and joint-venture costs, derivative valuation changes and tax items. Adjusted EBITDA also removes interest, taxes, depreciation and amortization and includes Williams' proportional share of joint-venture results.
Quarterly AFFO was $1.589 billion, producing reported dividend coverage of 2.42 times. AFFO adjusts operating cash for working capital and selected other items and does not deduct capital spending. Beginning in Q2 2026, it also excludes capital contributions from outside subsidiary owners.
Operating cash of $1.505 billion was below cash capital spending of $2.489 billion before $656 million of common dividends. For nine months, operating cash was $4.484 billion and cash capital spending was $5.682 billion, versus $4.322 billion and $2.938 billion a year earlier.
The company's separate capital-investment measure was $2.727 billion in Q3 and $6.011 billion year to date. It includes accrued additions to assets and investment contributions, while excluding acquisitions and certain reimbursable equipment. It differs from cash capital spending.
The common dividend paid in each of the first three quarters was $0.525 a share, up from $0.50 in 2025.
Williams expects annual adjusted EBITDA of $8.3 billion to $8.5 billion, unchanged from August, and is tracking toward the upper half. Growth capital and investment spending remains forecast at $7.3 billion to $7.9 billion, excluding acquisitions and certain reimbursable power equipment.
At September 30, cash was $1.756 billion, including $494 million available only for use within certain consolidated subsidiaries. Debt carrying amounts totaled $33.934 billion, including $2.202 billion due within one year and $31.732 billion longer term.
Reported net leverage was 3.80 times trailing-four-quarter adjusted EBITDA. That company measure deducts cash and $857 million of certain reimbursable equipment purchases from debt. The annual leverage target midpoint remains approximately 3.75 times.
Undrawn credit capacity was $4.75 billion. During the first nine months, Williams raised $5.538 billion through long-term debt, repaid $1.137 billion of long-term debt and reduced commercial paper by $700 million.
Williams acquired 100% of M6 Midstream, known as Momentum, on September 3, 2026. Total purchase consideration was approximately $5.128 billion, paid through cash and roughly 27 million Williams shares. Cash paid after acquired cash was $2.816 billion. The acquired group retained $869 million of debt principal at its NG3 subsidiary.
Momentum adds Haynesville gathering, processing and transportation assets. From closing through September 30, it contributed $113 million of revenue and $40 million of modified EBITDA, Williams' segment earnings measure.
Williams sold a 49% noncontrolling interest in Pantheon in July for $5.34 billion of committed capital. It retains 51% and control. The transaction provided $3.737 billion of cash by September 30; another $1 billion arrived in October. Contributions are dedicated to power-project construction, with remaining commitments expected through Q1 2027.
Socrates South entered service in Q3. The northern section of Socrates remains under construction, with service expected later in Q4. Apollo is expected in the second half of 2027; Aquila is expected in stages from the second half of 2027 through the first half of 2028. Socrates the Younger and Neo are expected in the second half of 2028.
Williams completed the sale of certain Permian gathering assets in August for $139 million, generating an $83 million pretax gain.
The Brazos Permian II investment sale closed in June for $143 million, with consideration mainly in the buyer's publicly traded partnership units. The South Mansfield upstream-interest sale closed on January 30 for $398 million, with additional contingent consideration possible through 2029.
Analysis WMB
Williams reported strong dividend coverage while cash capital spending exceeded operating cash flow. Our comparison explains the measure and follows the project funding, debt and completed Momentum acquisition.