Core Viewpoint - EOG Resources, Inc. reported strong financial results for the first quarter of 2025, highlighting increased revenues, net income, and free cash flow, alongside a proactive capital expenditure plan aimed at optimizing investments and maintaining production levels [1][5][10]. Financial Performance - Total revenue for Q1 2025 was $5.669 billion, an increase from $5.585 billion in Q4 2024 [2]. - Net income reached $1.463 billion, up from $1.251 billion in the previous quarter [2]. - Adjusted net income was $1.586 billion, or $2.87 per share, compared to $1.535 billion, or $2.74 per share in Q4 2024 [2][9]. - Free cash flow generated in the quarter was $1.329 billion, with $538 million returned to shareholders through dividends and $788 million through share repurchases [5][9]. Production and Capital Expenditures - Crude oil and condensate production averaged 502.1 MBod, exceeding guidance and up from 494.6 MBod in Q4 2024 [3][15]. - Total capital expenditures for Q1 2025 were $1.484 billion, with a revised full-year capital plan now expected to range from $5.8 billion to $6.2 billion [10][17]. - The company aims for a 2% growth in oil production and a 5% growth in total production for the year [10]. Operational Highlights - EOG achieved better-than-expected cash operating costs of $10.31 per Boe, slightly higher than $10.15 in Q4 2024 [2][16]. - The company reported successful exploration efforts, including a new oil discovery in Trinidad [11][9]. - EOG's financial position allows for returning over 100% of annual free cash flow in the near term, supporting ongoing shareholder returns [5][6]. Market Context - Crude oil prices increased in Q1 2025, with WTI averaging $71.42 per barrel, compared to $70.28 in Q4 2024 [16]. - Natural gas prices also saw an uptick, with Henry Hub prices averaging $3.66 per Mcf in Q1 2025 [16].

Core Viewpoint - Analysts forecast a decline in EOG Resources' quarterly earnings and revenues compared to the previous year, indicating potential challenges for the company in the upcoming earnings release [1]. Earnings Estimates - EOG Resources is expected to report earnings of $2.74 per share, reflecting a year-over-year decline of 2.8% [1]. - The consensus estimate for revenues is projected at $5.88 billion, which represents a 4% decrease from the same quarter last year [1]. - Over the last 30 days, the consensus EPS estimate has been revised downward by 10.6%, indicating a shift in analysts' expectations [2]. Revenue Breakdown - The estimated revenue from natural gas is $669.21 million, showing a significant increase of 75.2% year-over-year [5]. - Revenue from crude oil and condensate is expected to be $3.26 billion, indicating a decline of 6.2% compared to the previous year [5]. - Natural gas liquids revenue is projected at $527.24 million, reflecting a modest increase of 2.8% year-over-year [5]. - Gathering, processing, and marketing revenues are estimated to reach $1.37 billion, down 6.3% from the prior-year quarter [6]. Production Metrics - Total crude oil equivalent volumes per day are expected to be 1,084.04 million barrels, up from 1,028.8 million barrels reported in the same quarter last year [6]. - Natural gas volumes per day are projected at 2,052.84 million cubic feet, compared to 1,858 million cubic feet in the previous year [7]. - Crude oil and condensate volumes per day are estimated to reach 500.08 million barrels, an increase from 487.4 million barrels reported last year [7]. - Natural gas liquids volumes per day are expected to be 242.22 million barrels, up from 231.7 million barrels in the same quarter last year [8]. Price Estimates - Average crude oil and condensate prices are forecasted to be $72.78 per barrel, down from $78.46 per barrel in the previous year [8]. - Average natural gas liquids prices are estimated at $24.82 per barrel, slightly up from $24.32 per barrel reported last year [9]. Overall Market Performance - EOG Resources' shares have decreased by 12.7% over the past month, contrasting with a minor decline of 0.2% in the Zacks S&P 500 composite [11].