ONEOK, Inc. (OKE) Balance Sheet

The sequential increase in total assets from $66.6B in 2025Q4 to $68.5B in 2026Q2, as reported in financial statements, reflects continued investment in PPE and modest retained earnings growth. Equity has expanded from $16.4B to $22.9B over the same period, suggesting the balance sheet is absorbing the acquisition while maintaining a positive equity trajectory. However, the pace of asset growth outpaces organic earnings, indicating that inorganic expansion is the primary driver of balance sheet size.

Total debt has increased from $22.0B in 2024Q1 to $33.0B in 2026Q2, as per reported figures, but the D/E ratio has remained in a narrow 1.31-1.52 range, indicating that equity growth has kept pace with debt issuance. The debt-to-assets ratio of approximately 48% suggests a moderate leverage profile relative to peers like WMB (D/E 1.96) and TRGP (D/E 5.49), but the absolute debt load is substantial. Given the capital-intensive nature of midstream assets, this leverage appears strategic for funding growth, though investors should monitor refinancing needs given the current interest rate environment.

The increase in PP&E from $46.2B in 2025Q1 to $48.8B in 2026Q2, based on reported figures, reflects ongoing capital expenditures and the integration of Magellan's refined product assets. Goodwill jumped from $5.1B to $8.1B following the acquisition, which now constitutes about 12% of total assets, raising the risk of future impairment if expected synergies fail to materialize. The asset mix is heavily weighted toward long-lived infrastructure, which provides stable cash flows but also exposes the company to technological and regulatory shifts in the energy sector.

The steady climb in retained earnings, despite the large dividend payout, suggests that net income is outpacing distributions, which is a positive sign for equity quality. However, the equity base of $22.9B is still relatively small compared to total assets, reflecting the high leverage employed. The company has not engaged in significant share repurchases, as evidenced by the stable share count, which may indicate a preference for debt-funded growth over returning capital to shareholders.

Cash balances have fluctuated significantly, from $1.2B in 2025Q3 to $161M in 2026Q2, as reported in financial statements, suggesting that the company is deploying cash into operations and capex. The current ratio has been consistently below 1.0, which is typical for midstream companies with stable cash flows, but it implies reliance on operating cash flow and credit facilities to meet short-term obligations. Given the high fixed-cost nature of the business, a sudden downturn in volumes could strain liquidity, though the company's investment-grade rating likely provides access to capital markets.