WMB

Revenue grew from $12,632,000,000 in FY2024 to $14,899,000,000 in FY2025, a gain of +17.9%. Net income rose +17.7% over the same period, from $2,225,000,000 to $2,618,000,000, while diluted EPS increased +17.6% from $1.82 in FY2024 to $2.14 in FY2025.

The model rewarded broad-based double-digit growth across revenue, net income, and earnings per share in FY2025, reflecting consistent expansion at the top and bottom line. The score stops short of the maximum, suggesting the model applies additional criteria beyond year-over-year percentage gains alone.

In FY2025, Williams Companies posted an operating margin of 28.2% and a net margin of 17.6%, alongside a return on assets of 4.5%.

The model rewarded the company's ability to convert a substantial share of revenue into operating and net income, as evidenced by the wide margins in FY2025. The relatively modest return on assets of 4.5% in FY2025, typical of asset-intensive infrastructure businesses, likely tempers the score from a perfect mark.

In FY2025, Williams Companies carried a debt-to-equity ratio of 2.24 against total assets of $58,573,000,000.

The model penalized the elevated leverage reflected in the FY2025 debt-to-equity ratio of 2.24, which signals that the company's capital structure relies heavily on debt relative to equity. The large asset base of $58,573,000,000 in FY2025 is consistent with a capital-intensive pipeline business but does not offset the leverage concern under the model's scoring methodology.

Over the last four reported quarters, revenue rose sequentially from $3,378,000,000 in 2025Q2 to $3,491,000,000 in 2025Q3, $3,843,000,000 in 2025Q4, and $4,718,000,000 in 2026Q1. Net income followed a similarly consistent upward path from $546,000,000 in 2025Q2 to $865,000,000 in 2026Q1, and operating income climbed from $945,000,000 in 2025Q2 to $1,321,000,000 in 2026Q1, with a brief dip to $1,048,000,000 in 2025Q4 before rebounding sharply.

The model recognized a clear upward trend in both revenue and net income across all four quarters, with an especially pronounced acceleration into 2026Q1. The temporary softening in operating income during 2025Q4 may have introduced some caution into the model's momentum assessment, preventing a higher score.

Williams Companies paid dividends per share of $1.70 in FY2022, $1.79 in FY2023, $1.90 in FY2024, and $2.00 in FY2025, representing a consistent upward trend. However, the dividend payout ratio in FY2025 stood at 93.3%, meaning nearly all of net income was returned to shareholders as dividends.

The model acknowledged the steady multi-year dividend growth through FY2025, but the extremely high payout ratio of 93.3% in FY2025 leaves very little earnings retained for reinvestment or debt reduction, which the model likely treated as a financial sustainability risk and a significant constraint on the score.

Williams Companies is assigned to the Energy Security macro theme.

Although the company carries the Energy Security theme assignment, this designation did not translate into score points under the model's current methodology. The theme assignment reflects the company's role in natural gas infrastructure, but the scoring outcome suggests the model's current weighting or criteria for this theme did not produce a positive contribution at this time.