EOG Resources reported first quarter 2012 net income of $324.0 million,. This compares to first quarter 2011 net income of $134.0 million.
Consistent with some analysts’ practice of matching realizations to settlement months and making certain other adjustments in order to exclude one-time items, adjusted non-GAAP net income for the quarter was $317.5 million. Adjusted non-GAAP net income for the first quarter 2011 was $177.0 million. The results for the first quarter 2012 included a $37.0 million, net of tax impairment of certain North American non-core assets, net gains on asset dispositions of $43.2 million, net of tax and a previously disclosed non-cash net gain of $134.2 million ($85.9 million after tax) on the mark-to-market of financial commodity contracts. During the quarter, the net cash inflow related to financial commodity contracts was $133.6 million ($85.6 million after tax).
Delivering on its goals of strong earnings, discretionary cash flow and adjusted EBITDAX growth, EOG posted robust financial metrics for the first quarter 2012 versus the same prior year period. Compared to the first quarter 2011, earnings per share increased 131 percent, discretionary cash flow increased 39 percent and adjusted EBITDAX rose 39 percent.
“ To put it simply, the marked improvement in productivity from individual wells is flowing to EOG’s bottom line, ” said Mark G. Papa, Chairman and Chief Executive Officer . “ Our first quarter 2012 performance reflects both our prudent strategy of reinventing EOG as an oil company and underscores our early-mover advantage in prolific new domestic crude oil shale plays where we continue to hone our drilling and completion acumen .”
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LNG World News Staff, May 9, 2012