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Revenue Recognition
 9 Months Ended
Sep. 30, 2025
Revenue Recognition [Abstract]  
Revenue Recognition [Text Block]
Note 5 – Revenue Recognition
Revenue by Category
The following tables present Williams’ revenue disaggregated by major service line:
Transmission, Power & GulfNortheast G&PWestGas & NGL Marketing ServicesOtherEliminationsTotal
(Millions)
Three Months Ended September 30, 2025
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$973 $— $— $— $— $(21)$952 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration247 463 464 — — (64)1,110 
Commodity consideration24 — 21 — — — 45 
Other10 25 5 — — (4)36 
Total service revenues1,254 488 490 — — (89)2,143 
Product sales130 31 219 1,248 136 (416)1,348 
Total revenues from contracts with customers1,384 519 709 1,248 136 (505)3,491 
Other revenues (1)8 11 3 658 24 — 704 
Other adjustments (2)— — — (1,458)— 186 (1,272)
Total revenues$1,392 $530 $712 $448 $160 $(319)$2,923 
Three Months Ended September 30, 2024
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$879 $— $— $— $— $(20)$859 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration177 442 422 — — (42)999 
Commodity consideration14 1 19 — — — 34 
Other8 22 4 — — (3)31 
Total service revenues1,078 465 445 — — (65)1,923 
Product sales84 26 218 1,005 95 (316)1,112 
Total revenues from contracts with customers1,162 491 663 1,005 95 (381)3,035 
Other revenues (1)8 11 — 515 8 (1)541 
Other adjustments (2)— — — (1,038)— 115 (923)
Total revenues$1,170 $502 $663 $482 $103 $(267)$2,653 
Transmission, Power & GulfNortheast G&PWestGas & NGL Marketing ServicesOtherEliminationsTotal
(Millions)
Nine Months Ended September 30, 2025
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$2,820 $— $— $— $— $(62)$2,758 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration665 1,385 1,335 — — (164)3,221 
Commodity consideration75 1 65 — — — 141 
Other40 74 17 — — (14)117 
Total service revenues3,600 1,460 1,417 — — (240)6,237 
Product sales353 132 693 4,517 428 (1,304)4,819 
Total revenues from contracts with customers3,953 1,592 2,110 4,517 428 (1,544)11,056 
Other revenues (1)23 34 3 2,354 50 (2)2,462 
Other adjustments (2)— — — (5,323)— 557 (4,766)
Total revenues$3,976 $1,626 $2,113 $1,548 $478 $(989)$8,752 
Nine Months Ended September 30, 2024
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$2,605 $— $— $— $— $(61)$2,544 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration480 1,317 1,253 — — (117)2,933 
Commodity consideration28 1 53 — — — 82 
Other32 69 15 — — (12)104 
Total service revenues3,145 1,387 1,321 — — (190)5,663 
Product sales185 74 657 3,233 289 (880)3,558 
Total revenues from contracts with customers3,330 1,461 1,978 3,233 289 (1,070)9,221 
Other revenues (1)27 33 7 1,685 22 (2)1,772 
Other adjustments (2)— — — (3,575)— 342 (3,233)
Total revenues$3,357 $1,494 $1,985 $1,343 $311 $(730)$7,760 
______________
(1)Revenues not derived from contracts with customers primarily consist of physical product sales related to commodity derivative contracts, realized and unrealized gains and losses associated with Williams’ commodity derivative contracts, which are reported in Net gain (loss) from commodity derivatives in the Consolidated Statement of Income, management fees received for certain services provided to operated equity-method investments, and leasing revenues associated with the Williams headquarters building.
(2)Other adjustments reflect certain costs of Gas & NGL Marketing Services’ risk management activities. As Williams is acting as agent for natural gas marketing customers or engages in energy trading activities, the resulting revenues are presented net of the related costs of those activities in the Consolidated Statement of Income.
For Transco and NWP, revenue disaggregation by major service line includes Natural gas transportation, Natural gas storage, Natural gas product sales, and Other, which are separately presented in their Statements of Net Income.
Contract Assets
The following tables present a reconciliation of contract assets:
Three Months Ended September 30,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$102 $67 $13 $3 $23 $19 
Revenue recognized in excess of amounts invoiced13 44 — 4 2 1 
Minimum volume commitments invoiced(5)(23)— — — — 
Contract assets acquired— 36 — — — — 
Amortization of contract assets(2)— — — (1)— 
Balance at end of period$108 $124 $13 $7 $24 $20 
Nine Months Ended September 30,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$98 $36 $10 $— $21 $17 
Revenue recognized in excess of amounts invoiced71 125 4 7 5 3 
Minimum volume commitments invoiced(58)(73)— — — — 
Contract assets acquired— 36 — — — — 
Amortization of contract assets(3)— (1)— (2)— 
Balance at end of period$108 $124 $13 $7 $24 $20 
Contract Liabilities
The following tables present a reconciliation of contract liabilities:
Three Months Ended September 30,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$1,054 $1,064 $168 $179 $— $1 
Payments received and deferred32 33 — — — — 
Significant financing component1 2 — — — — 
Contract liability acquired (disposed) – net— 53 — — — — 
Recognized in revenue(83)(66)(3)(3)— — 
Balance at end of period$1,004 $1,086 $165 $176 $— $1 
Nine Months Ended September 30,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$1,046 $1,081 $173 $184 $— $2 
Payments received and deferred152 150 — — — — 
Other additions23 — — — — — 
Significant financing component5 6 — — — — 
Contract liability acquired (disposed) – net— 53 — — — — 
Recognized in revenue(222)(204)(8)(8)— (1)
Balance at end of period$1,004 $1,086 $165 $176 $— $1 
Remaining Performance Obligations
Remaining performance obligations primarily include reservation charges on contracted capacity for Williams’ gas pipeline firm transportation contracts with customers, storage capacity contracts, long-term contracts containing MVC associated with midstream businesses, and fixed payments associated with offshore gathering and transportation. For Williams’ interstate natural gas pipeline businesses, including Transco and NWP, remaining performance obligations generally reflect the expected rates for such services for the life of the related contracts; however, these rates may change based on future tariffs approved by the FERC.
Remaining performance obligations exclude variable consideration, including contracts with variable consideration for which it has elected the practical expedient for consideration recognized in revenue as billed. Certain of its contracts contain evergreen and other renewal provisions for periods beyond the initial term of the contract. The remaining performance obligation amounts as of September 30, 2025, do not consider potential future performance obligations for which the renewal has not been exercised and exclude contracts with customers for which the underlying facilities have not received FERC authorization to be placed into service. Consideration received prior to September 30, 2025, that will be recognized in future periods is also excluded from its remaining performance obligations and is instead reflected in contract liabilities.
The following tables present the amount of the contract liabilities balance expected to be recognized as revenue when performance obligations are satisfied and the transaction price allocated to the remaining performance obligations under certain contracts as of September 30, 2025.
Contract Liabilities
WilliamsTranscoNWP
(Millions)
2025 (three months)
$60 $3 $— 
2026 (one year)
173 10 — 
2027 (one year)
154 10 — 
2028 (one year)
130 11 — 
2029 (one year)
95 11 — 
Thereafter
392 120 — 
   Total$1,004 $165 $— 
Remaining Performance Obligations
WilliamsTranscoNWP
(Millions)
2025 (three months)
$1,112 $761 $100 
2026 (one year)
4,490 2,926 399 
2027 (one year)
4,170 2,721 380 
2028 (one year)
3,619 2,371 367 
2029 (one year)
2,872 1,791 348 
Thereafter
15,785 11,401 2,256 
   Total$32,048 $21,971 $3,850 
Accounts Receivable
The following is a summary of Williams’ Trade accounts and other receivables:
September 30, 2025December 31, 2024
(Millions)
Accounts receivable related to revenues from contracts with customers$1,227 $1,494 
Receivables from derivatives186 294 
Other accounts receivable67 75 
Trade accounts and other receivables$1,480 $1,863 
Transco and NWP receivables from contracts with customers are included within Receivables - Trade and Receivables - Affiliates. Receivables that are not related to contracts with customers are included within Receivables - Advances to affiliate and Receivables - Other.