Williams to Report Q4 Earnings: What Surprise Awaits Investors?

Core Viewpoint - The Williams Companies, Inc. (WMB) is expected to report fourth-quarter results on February 12, with a consensus estimate of 45 cents per share in profit and revenues of $2.9 billion, indicating a year-over-year decline in earnings but an increase in revenues [1][4]. Financial Performance - In the previous quarter, Williams reported adjusted earnings per share of 43 cents, surpassing the Zacks Consensus Estimate by one cent, with revenues of$2.7 billion, exceeding the consensus by $6 million [3]. - The company has consistently beaten earnings estimates over the last four quarters, achieving an average earnings surprise of 8.8$852 million, reflecting a 13.3% increase from 752 million in the previous year [5]. - The Northeast G&P unit is also expected to show slight year-over-year gains due to increased service revenues [6]. Cost Considerations - Higher costs are a concern, as total costs and expenses in the third quarter reached 1.8 billion, a nearly 16% increase from the previous year, a trend likely to continue in the upcoming quarter due to project-related costs and inflation [7]. Earnings Prediction Model - The Zacks model does not indicate a strong likelihood of WMB beating estimates in the fourth quarter, with an Earnings ESP of -2.53% and a Zacks Rank of 3 (Hold) [8][9].