The parent company was also encouraged by the performance of its distribution and energy-services segments, leading it to raise its 2009 earnings guidance to $2.65 to $2.85 per share from the previous outlook of $2.40 to $2.75.

"Our energy services segment had a strong quarter, building on its solid second-quarter performance and benefiting from higher transportation margins and our continued efforts to reduce this segment's earnings volatility," said Oneok chief John Gibson.

For the latest quarter, Oneok reported a profit of $48 million, or 45 cents per share, compared with $58 million, or 55 cents per share, a year earlier.

Revenue dropped 44% to $2.36 billion, Dow Jones reported.

Analysts were looking for earnings of 23 cents on revenue of $3.74 billion, according to a poll by Thomson Reuters.

Gross margin surged to 19.1% from 10.7%.

Both the distribution and energy-services segments swung to a profit.

Oneok Partners, Oneok's gas-gathering and transportation affiliate, reported a profit of $121.5 million, or $1 per unit, down from $203.9 million, or $1.97 per unit, a year earlier. Revenue fell 30% to $1.56 billion.

Wall Street expected earnings of 87 cents on revenue of $1.86 billion.

Earnings fell 37% in both the natural-gas gathering and processing segment and the natural-gas liquids business, but the pipeline segment recorded a 25% increase.

For 2009, the partnership again narrowed its earnings guidance, this time toward the higher end of its prior forecast.

Shares of Oneok were up 0.7% at $37.20 in after-hours trading, while Oneok Partners was inactive after finishing at $54.62.

Both companies remain well their March lows despite pulling back from recent 52-week highs.

Published: 03 November 2009 23:32 GMT  | Last updated: 03 November 2009 23:32 GMT