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EOG Resources (EOG) Q1 Earnings Top Estimates on Higher Price
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EOG Resources, Inc. (EOG - Free Report) reported first-quarter 2022 adjusted earnings per share of $4.00, beating the Zacks Consensus Estimate of $3.69. The bottom line significantly improved from the year-ago quarter’s earnings of $1.62.
Total quarterly revenues increased to $3,983 million from the year-ago $3,694 million. However, the top line missed the Zacks Consensus Estimate of $6,079 million.
The strong earnings were driven by higher oil equivalent production and commodity prices. The positives were partially offset by higher lease, and well expenses and exploration costs.
EOG Resources, Inc. Price, Consensus and EPS Surprise
EOG Resources announced a special dividend of $1.80 per share. The special dividend is likely to be paid on Jun 30 to stockholders of record as of Jun 15.
Operational Performance
For the quarter under review, EOG Resources’ total volumes increased 13% year over year to 79.5 million barrels of oil equivalent (MMBoe) on higher U.S. output.
Crude oil and condensate production of EOG Resources for the quarter totaled 450.1 thousand barrels per day (MBbls/d), up 4% from the year-ago level. Natural gas liquids (NGL) volumes increased 53% year over year to 190.3 MBbls/d. Natural gas volume rose to 1,458 million cubic feet per day (MMcf/d) from the year-earlier quarter’s 1,342 MMcf/d.
Average price realization of EOG Resources for crude oil and condensates surged 65% year over year to $96.00 per barrel. Natural gas was sold at $5.46 per Mcf, representing a year-over-year improvement of 6%. Also, quarterly NGL prices improved 42% to $39.77 per barrel from $28.03 a year ago.
Operating Costs
Lease and well expenses increased to $318 million from $270 million a year ago. Transportation costs rose to $228 million from $202 million a year ago. The company reported gathering and processing costs of $144 million, higher than the year-ago quarter’s $139 million.
Exploration costs rose to $45 million from $33 million a year ago. As such, total operating expenses for the first quarter were recorded at $3,437 million, higher than the year-ago figure of $2,762 million.
Liquidity Position & Capital Expenditure
As of Mar 31, EOG Resources had cash and cash equivalents of $4,009 million. Long-term debt was reported at $3,816 million. The current portion of the long-term debt was recorded at $1283 million. It had a debt to total capitalization of 19.1%.
In the reported quarter, the company generated $2,363 million in free cash flow. It incurred $1,009 million of capital expenditure in the quarter.
Guidance
EOG Resources continues to project 2022 production in the band of 858.3 to 933.7 MBoe/d. It expects second-quarter production at 864.3-927.0 MBoe/d.
For 2022, the leading upstream energy company continues to expect capital spending of $4,300-$4,700 million. Of the same, $1,100-$1,300 million will likely be used in the second quarter.
Considering production and reserves, ConocoPhillips is one of the leading exploration and production players in the global market. ConocoPhillips has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, ConocoPhillips is likely to see earnings growth of 140.1%.
Marathon Oil is a leading oil and natural gas exploration and production company. Marathon Oil has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, Marathon Oil is likely to see earnings growth of 197.5%.
In the United States, Occidental Petroleum is among the largest oil producers. Occidental Petroleum has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, Occidental Petroleum is likely to see earnings growth of 264.3%.
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EOG Resources (EOG) Q1 Earnings Top Estimates on Higher Price
EOG Resources, Inc. (EOG - Free Report) reported first-quarter 2022 adjusted earnings per share of $4.00, beating the Zacks Consensus Estimate of $3.69. The bottom line significantly improved from the year-ago quarter’s earnings of $1.62.
Total quarterly revenues increased to $3,983 million from the year-ago $3,694 million. However, the top line missed the Zacks Consensus Estimate of $6,079 million.
The strong earnings were driven by higher oil equivalent production and commodity prices. The positives were partially offset by higher lease, and well expenses and exploration costs.
EOG Resources, Inc. Price, Consensus and EPS Surprise
EOG Resources, Inc. price-consensus-eps-surprise-chart | EOG Resources, Inc. Quote
Special Dividend
EOG Resources announced a special dividend of $1.80 per share. The special dividend is likely to be paid on Jun 30 to stockholders of record as of Jun 15.
Operational Performance
For the quarter under review, EOG Resources’ total volumes increased 13% year over year to 79.5 million barrels of oil equivalent (MMBoe) on higher U.S. output.
Crude oil and condensate production of EOG Resources for the quarter totaled 450.1 thousand barrels per day (MBbls/d), up 4% from the year-ago level. Natural gas liquids (NGL) volumes increased 53% year over year to 190.3 MBbls/d. Natural gas volume rose to 1,458 million cubic feet per day (MMcf/d) from the year-earlier quarter’s 1,342 MMcf/d.
Average price realization of EOG Resources for crude oil and condensates surged 65% year over year to $96.00 per barrel. Natural gas was sold at $5.46 per Mcf, representing a year-over-year improvement of 6%. Also, quarterly NGL prices improved 42% to $39.77 per barrel from $28.03 a year ago.
Operating Costs
Lease and well expenses increased to $318 million from $270 million a year ago. Transportation costs rose to $228 million from $202 million a year ago. The company reported gathering and processing costs of $144 million, higher than the year-ago quarter’s $139 million.
Exploration costs rose to $45 million from $33 million a year ago. As such, total operating expenses for the first quarter were recorded at $3,437 million, higher than the year-ago figure of $2,762 million.
Liquidity Position & Capital Expenditure
As of Mar 31, EOG Resources had cash and cash equivalents of $4,009 million. Long-term debt was reported at $3,816 million. The current portion of the long-term debt was recorded at $1283 million. It had a debt to total capitalization of 19.1%.
In the reported quarter, the company generated $2,363 million in free cash flow. It incurred $1,009 million of capital expenditure in the quarter.
Guidance
EOG Resources continues to project 2022 production in the band of 858.3 to 933.7 MBoe/d. It expects second-quarter production at 864.3-927.0 MBoe/d.
For 2022, the leading upstream energy company continues to expect capital spending of $4,300-$4,700 million. Of the same, $1,100-$1,300 million will likely be used in the second quarter.
Zacks Rank & Other Stocks to Consider
EOG Resources currently sports a Zacks Rank #1 (Strong Buy). Other prospective players in the energy space include ConocoPhillips (COP - Free Report) , Marathon Oil (MRO - Free Report) and Occidental Petroleum (OXY - Free Report) . All the stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Considering production and reserves, ConocoPhillips is one of the leading exploration and production players in the global market. ConocoPhillips has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, ConocoPhillips is likely to see earnings growth of 140.1%.
Marathon Oil is a leading oil and natural gas exploration and production company. Marathon Oil has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, Marathon Oil is likely to see earnings growth of 197.5%.
In the United States, Occidental Petroleum is among the largest oil producers. Occidental Petroleum has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days.
In 2022, Occidental Petroleum is likely to see earnings growth of 264.3%.