Williams Raises Guidance, but Shares Lose Ground

Williams (WMB Quote) expects its first-quarter bottom line to easily surpass Wall Street's estimates, and the company also raised its earnings guidance for the full year, citing the improved performance in energy trading activities and natural gas exploration and production.

For the first quarter, Williams expects to report earnings from continuing operations of 65 cents to 75 cents a share, up from a profit of 30 cents a share in the same quarter one year ago. Nine analysts surveyed by Thomson Financial/First Call estimate the company, which is based in Tulsa, Okla., will earn 38 cents a share.

The energy company raised its earnings expectation for the full year to a range of $1.75 to $1.95 a share, up from its prior estimate of $1.62 to $1.80. Analysts expect the company to earn $1.44 a share, down from a profit of $1.72 in 2000.

Shares of Williams lost $2.34, or 5.4%, to $41.21 in recent New York Stock Exchange trading.