ONEOK Raises 2026 Outlook as Pipeline, NGL Volumes Drive Growth
ONEOK raised its 2026 outlook after higher pipeline, natural gas liquids and processing volumes boosted quarterly results across its U.S. midstream network.
(Reuters) — U.S. pipeline operator ONEOK raised its annual earnings forecast on April 28 after reporting first-quarter core profit that beat estimates, driven by higher volumes across its natural gas liquids, gas processing and pipeline systems.
The company raised its 2026 net income expectations to a range of $3.21 billion to $3.79 billion, compared with its prior forecast of $3.19 billion to $3.71 billion.
It also increased its adjusted EBITDA outlook to $8.0 billion to $8.5 billion, up from a previous range of $7.9 billion to $8.3 billion.
U.S. midstream operators are benefiting from rising production in major shale basins, particularly the Permian, alongside expectations of record-high flows across the broader U.S. natural gas system in 2026, with demand fueled by stronger LNG exports and rising power needs from data centers.
"Strong performance across multiple business segments, supported by a constructive market environment, is strengthening our forward outlook, building momentum through the year and supporting increased 2026 financial guidance expectations," said ONEOK CEO Pierce Norton.
For the January-March quarter, adjusted EBITDA rose to $1.997 billion, beating analysts' average estimate of $1.95 billion, according to data compiled by LSEG.
In natural gas liquids (NGL) segment, quarterly adjusted EBITDA rose 11% to $706 million from a year earlier.
The company reported 15% increase in NGL raw feed throughput volumes, while refined products shipments increased 12%, and natural gas processing volumes gained 5%.
ONEOK transports natural gas, natural gas liquids, refined products and crude oil through its 60,000-mile-long network of pipelines.
The company has been diversifying its portfolio through acquisitions over the past two years, including a Gulf Coast NGL pipeline system from Easton Energy, as well as Medallion Midstream and EnLink Midstream.