EOG Q1 Earnings Beat Estimates on Higher Oil Equivalent Production

Core Viewpoint - EOG Resources, Inc. reported strong adjusted earnings per share for Q1 2025, exceeding estimates, but total revenues fell short of expectations and declined year-over-year Financial Performance - Adjusted earnings per share for Q1 2025 were $2.87, beating the Zacks Consensus Estimate of $2.74 and increasing from $2.82 in the same quarter last year [1] - Total quarterly revenues were $5.67 billion, missing the Zacks Consensus Estimate of $5.83 billion and down from $6.12 billion in the prior-year quarter [1] Operational Performance - Total production volumes increased by 4.8% year-over-year to 98.1 million barrels of oil equivalent (MMBoe), surpassing the company's guidance of 96.9 MMBoe [3] - Crude oil and condensate production averaged 502.1 thousand barrels per day (MBbls/d), up nearly 3% from the previous year and exceeding the estimate of 497.3 MBbls/d [4] - Natural gas volumes rose to 2,080 million cubic feet per day (MMcf/d), up from 1,858 MMcf/d year-over-year, also beating the estimate of 2,047.9 MMcf/d [4] Pricing and Costs - Average price realization for crude oil and condensates decreased by 7.1% year-over-year to $72.87 per barrel [5] - Natural gas prices improved by almost 51% year-over-year to $3.41 per Mcf, while NGL prices increased to $26.29 per barrel from $24.32 [5] - Total operating expenses were $3.81 billion, lower than $3.85 billion recorded a year ago, despite increases in lease and well expenses and gathering, processing, and transportation costs [6] Liquidity and Capital Expenditure - As of March 31, 2025, EOG had cash and cash equivalents of $6.6 billion and long-term debt of $3.5 billion [7] - The company generated $1.33 billion in free cash flow during the quarter, with capital expenditures amounting to $1.48 billion [7] Guidance - For 2025, EOG expects total production to be between 1,099.5 and 1,136.5 MBoe/d, with a second-quarter production forecast of 1,096.2 to 1,133.3 MBoe/d [8] - Full-year capital expenditure is projected to be in the range of $5.8 to $6.2 billion, with $1.5 to $1.6 billion allocated for the second quarter [8]