#United States #Houston #EOG Resources #Fourth Quarter News #2026 Capital Plan

EOG Resources Reports Strong Financial Results for 2025

EOG Resources, Inc., a leading player in the crude oil and natural gas sector, recently disclosed its financial performance for the fourth quarter and full-year of 2025. The company highlighted several significant accomplishments that underline its operational efficiency and commitment to shareholder value.

Fourth Quarter Highlights

In the fourth quarter of 2025, EOG achieved an impressive net cash flow from operating activities, amounting to $2.6 billion. This marked a robust performance driven by higher production levels and effective cost management. Notably, the company reported generated free cash flow of $1.0 billion, reinforcing its financial strength. EOG's net income for the quarter stood at $701 million, translating to $1.30 per share.

Furthermore, EOG returned substantial value to its shareholders through a regular quarterly dividend of $1.02 per share and share repurchases totaling $675 million. This approach reflects the company's strategy to prioritize shareholder returns amidst a volatile market environment.

Overview of 2025 Performance

For the full year, EOG reported net cash provided by operating activities of $10 billion and an adjusted cash flow from operations of $11 billion. The company generated a staggering $4.7 billion in free cash flow, returning 100% of this amount to shareholders via dividends and stock buybacks. EOG's net income for 2025 reached $5 billion, or $9.12 per share, emphasizing a year of significant achievement in financial performance.

Additionally, EOG effectively reduced its average well costs by 7% across various production sectors, a testament to its operational efficiency.

2026 Capital Plan

Looking ahead, EOG has unveiled an ambitious capital plan amounting to $6.5 billion for 2026. This plan aims to maintain oil production levels consistent with the fourth quarter of 2025 while projecting a growth in total production of 5% year-over-year. Key investments will focus on high-return plays within the Delaware Basin, Utica, and Eagle Ford, alongside increased activity in Dorado and international investments, particularly in the UAE and Bahrain.

EOG's CEO commended the operational excellence demonstrated throughout 2025, stating, "We exceeded our original oil and total volume targets, capital expenditures were on target, and we continued driving down both well costs and cash operating costs."

Commitment to Shareholders

The Board of Directors reaffirmed its dedication to returning capital by declaring a $1.02 per share dividend, scheduled for payment on April 30, 2026. Additionally, EOG's ongoing buyback program has successfully reduced the share count by approximately 10% since its initiation in 2023, further enhancing shareholder value.

Future Outlook

The outlook for 2026 appears promising, with expectations of $4.5 billion in free cash flow, guided by the company's focus on maintaining disciplined capital expenditures amidst fluctuating commodity prices. EOG's strong operational and financial foundation positions it well to navigate future industry cycles and deliver continued value to its shareholders.

In conclusion, EOG Resources has navigated 2025 with significant operational advancements and a robust financial performance, setting the stage for growth and capital returns in 2026 and beyond.