One Gas(NYSE) OGS

ONE Gas, Inc. delivers natural gas to homes and businesses. It helps people heat their houses and cook their food. The company serves 2.3 million customers across three central states.

Where Does the Gas Go?

• Natural Gas Sales: Delivery of fuel to 2.1 million residential and 161,000 commercial customers through a network of 41,600 miles of distribution mains.
• Transportation Services: Moving gas through 2,400 miles of pipelines for large industrial and commercial users who manage their own supplies.
• Storage Facilities: Maintenance of 51.4 billion cubic feet of capacity to ensure reliable gas deliveries during high-demand winter months.
• Infrastructure Support: Building new line extensions and service connections to expand the utility network into developing residential areas.

Growing the Network

• Approved a $36.9 million rate increase in Texas starting July 2026 to recover the costs of natural gas system improvements.
• Implemented interim rates in Oklahoma in June 2026 while waiting for a final decision on a $28.7 million revenue request.
• Submitted an application in Kansas in July 2026 for a $14.3 million rate adjustment to fund gas system reliability.
• Added approximately 9,600 new customer connections during the first six months of 2026 through the extension of existing systems.

Steady Results in Any Weather

The company uses weather normalization rules to keep earnings stable when seasonal temperatures are warmer or colder than usual. These regulatory mechanisms allow the utility to adjust customer rates to recover specific costs and maintain consistent returns on its infrastructure investments.

The Financial Scorecard

• Net income rose to $46.8 million in the three-month period ended June 30, 2026, up from $32.0 million a year earlier.
• Adjusted net income, which is a non-GAAP measure, reached $185.5 million for the six-month period ended June 30, 2026, up from $152.8 million.
• Total revenues were $1.24 billion for the six-month period ended June 30, 2026, a 9% decrease from the prior-year period.
• The company expects to spend approximately $800 million on capital expenditures and the removal of old assets during 2026.
• Market capitalization reached $4.9 billion by Q2 2026, a 12.3% increase compared to $4.3 billion in Q2 2025.

Bottom Line

ONE Gas has transitioned into a focused, regulated natural gas utility that uses consistent infrastructure investment to drive its performance. Its reliance on rate-setting mechanisms helps provide predictable results despite fluctuations in energy prices or weather patterns.