A late Ashley Williams goal gave Everton their first Premier League win since October and denied Arsenal the chance to go top of the table.
Alexis Sanchez had given the Gunners the lead in the first half with a deflected free kick, but Seamus Coleman equalised on the stroke of half time.
And Welsh international centre back Williams was on hand to head home from an Everton corner in the 86th minute to give the Toffees a crucial win.
Arsenal were in front inside 20 minutes when Sanchez's relatively tame free kick from just outside the box was fortuitously deflected off Ashley Williams and beat Martin Stekelenburg.
The opening goal came after the hosts had made a lacklustrestart to the contestin front of a Goodison Park crowd increasingly growing in frustration.Everton upped the tempo in response - and the fans upped the atmosphere - but Petr Cech remained largely untroubled.
That was until, moments before half time, an unmarkedColeman headed home an exquisite Leighton Baines cross to put the much improvedhome side level.
Seamus Coleman has now scored 3 league goals this season; Romelu Lukaku is the only Everton player with more (9).
Great header. pic.twitter.com/c31TPfPW2v
The visitors had been rattled by Everton's high octane end to the first half, although it wasMesut Ozil that had the first chance after the break.Sanchez's pull-back was placedperfectly into the path of the German playmaker, but he swept his effort narrowly over the bar.
Arsenal saw a prolonged spell of pressure go unrewarded just after the hour mark as they looked to assert their dominance on the game.
Everton then had a spell of their own in return. The previously subduedRomelu Lukaku was involved in some promising moves including a powerful driving run down the left-hand side which Gabriel did well to stop.
But, with the game seemingly heading towards a draw, centre back Williams rose highest from a corner to put Everton in front with just five minutes remaining.
The game ended with an amazingly dramatic passage of play that saw Arsenal denied by two clearances off the line in a goalmouth scrap, before Everton went up the other end and almost scored a third.
Arsenal's attempts to find an equaliser, despite the late sending off of Phil Jagielka, ultimatelyproved unsuccessful, leaving themthree points off league leaders Chelsea having played a game more.
Victory for Everton, meanwhile, moved them up to 7th.
Here it is - our lineup for #EFCvAFC pic.twitter.com/xQ6PZTlQXr
TEAM NEWS: Here is how we will line-up for tonight's game against @Arsenal. #COYB! #EFCmatchday pic.twitter.com/7adFh4eQiX