Williams Companies Third Quarter Earnings

Williams Companies Inc (NYSE:WMB) announced its results for the most recent quarter on October 30, 2012. Williams Companies is engaged in finding, producing, gathering, processing and transporting natural gas.

A business' earnings are the main determinant of its share price because earnings and the circumstances relating to them can indicate whether the business will be profitable and successful in the long run. SEE: Everything Investors Need To Know About Earnings

The Numbers: Williams Companies announced adjusted net income of 25 cents per share versus the 27 cents per share estimate. The company's net income for the quarter was $155 million. This is a 43% decline from last year.



Looking Ahead: Analysts appear increasingly negative about the company's results for the next quarter. The average estimate for the fourth quarter has moved down from 32 cents a share to 30 cents over the last 90 days. When analyst increase earnings estimates investors can assume business has been stronger than first thought and is an encouraging sign for investors. Decreasing earnings estimates is generally a negative sign as it suggests analyst believe future earnings to be weaker than previously anticipated. For the fiscal year, the average estimate has moved up from $1.15 a share to $1.17 over the last ninety days.