Is the business good?
How good a business is OGS?
ONE Gas, Inc. earns 5.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
5.5%
Return on invested capital · cost of capital 9.0% · 3.5 points below what the capital costs: growth destroys value
- Operating margin
- 21%
Operating margin · Utilities - Regulated Gas median 22% · 12 months to Q2 2026
- Cash conversion
- −0.60×
Cash conversion · −0.57× a year ago · some of the reported profit has not turned into cash yet
- Share count, year on year
- +4.5%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 20% |
| FY2021 | 17% |
| FY2022 | 14% |
| FY2023 | 16% |
| FY2024 | 19% |
| FY2025 | 19% |
Details›
- Gross margin12 months to Q2 2026
- 63%
- Operating margin12 months to Q2 2026
- 21%
- Net margin12 months to Q2 2026
- 12%
- Free cash flow margin
- −7.5%
- Revenue, trailing twelve months
- $2.31B
- Free cash flow, trailing twelve months
- −$173M
- Net income, trailing twelve months
- $288M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 5.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Utilities - Regulated Gas
Ranks #9 of 13 by Smart Score