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Tickers in this Article: EOG
EOG Resources (NYSE:EOG) announced its results for the third quarter on November 5, 2012. EOG Resources develops and produces natural gas and crude oil primarily in the United States, Canada, the Republic of Trinidad, Tobago, and the United Kingdom.

Earnings season is important to investors because it shows how much profit is left in the company's hand after deducting costs from revenue. SEE: Surprising Earnings Results

The Numbers: EOG beat expectations with its latest EPS and revenue figures. The company reported adjusted net income of $1.73 per share versus the $1.12 per share estimate and revenues of $2.95 billion versus the $2.36 billion estimate. Revenue climbed 2.4% from the same period last year. EOG's revenue has grown during each of the past four quarters on a year-over-year basis. The company's net income for the quarter fell 34.3% to $355.5 million.

Management Quote: "With especially strong, consistent individual well results, EOG's best plays have become even better," said Mark G. Papa, Chairman and Chief Executive Officer. "Therefore, based on nine months of robust crude oil production, we are setting the bar higher for the third time this year. EOG has increased its 2012 crude oil production growth target to 40 percent from 37 percent. Because our outstanding oil results also impact total liquids production, we are also raising our total liquids production growth target to 38 percent from 35 percent and increasing our total company production target to 10.6 percent from nine percent."

Looking Ahead: For next quarter, analysts have a more positive outlook about the company's expected results. The average estimate for the fourth quarter is $1.23 per share, up from $1.09 90 days ago. Increasing earnings estimate is a positive sign about the company and it typically leads a increase in the stock price. For the fiscal year, the average estimate has moved up from $4.36 a share to $4.75 over the last ninety days.

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