Imperial announces third quarter 2024 financial and operating results
Imperial reported Q3 2024 net income of $1,237 million, down from $1,601 million in Q3 2023. The company achieved record upstream production of 447,000 gross oil-equivalent barrels per day, the highest third quarter in over 30 years. Kearl production matched its highest-ever Q3 at 295,000 barrels per day. Cold Lake production reached 147,000 barrels per day, boosted by Grand Rapids project. Refinery utilization was 90% amid planned turnarounds. The company returned $1,528 million to shareholders through $322 million in dividends and $1,206 million in share repurchases.
Imperial ha riportato un utile netto del Q3 2024 di 1.237 milioni di dollari, in calo rispetto ai 1.601 milioni di dollari del Q3 2023. L'azienda ha raggiunto una produzione upstream record di 447.000 barili equivalenti in petrolio al giorno, il miglior terzo trimestre in oltre 30 anni. La produzione di Kearl ha eguagliato il suo massimo storico per il Q3 a 295.000 barili al giorno. La produzione di Cold Lake ha raggiunto i 147.000 barili al giorno, grazie al progetto Grand Rapids. L'utilizzo della raffineria è stato del 90% nonostante i fermi programmati. L'azienda ha restituito 1.528 milioni di dollari agli azionisti tramite 322 milioni di dollari in dividendi e 1.206 milioni di dollari in riacquisti di azioni.
Imperial reportó un ingreso neto de $1,237 millones en el Q3 2024, una disminución con respecto a los $1,601 millones en el Q3 2023. La compañía logró una producción upstream récord de 447,000 barriles equivalentes de petróleo por día, el tercer trimestre más alto en más de 30 años. La producción de Kearl igualó su máximo histórico del Q3 con 295,000 barriles por día. La producción de Cold Lake alcanzó los 147,000 barriles por día, impulsada por el proyecto Grand Rapids. La utilización de la refinería fue del 90% en medio de paradas planificadas. La empresa devolvió $1,528 millones a los accionistas a través de $322 millones en dividendos y $1,206 millones en recompra de acciones.
임페리얼은 2024년 3분기 순수익이 12억 3천7백만 달러라고 보고했으며, 이는 2023년 3분기 16억 1천만 달러에서 감소한 수치입니다. 이 회사는 하류 생산량 44만 7천 배럴의 기록을 세웠습니다, 30년 이상 만에 가장 높은 3분기입니다. 카엘 생산량은 29만 5천 배럴로 3분기 최고치를 기록했습니다. 콜드 레이크 생산량은 그랜드 래피드 프로젝트의 지원을 받아 14만 7천 배럴에 도달했습니다. 정유소 가동률은 계획된 정비 작업 가운데 90%였습니다. 이 회사는 주주에게 15억 2천8백만 달러를 환원했습니다, 이 중 3억 2천2백만 달러는 배당금으로, 12억 6천만 달러는 자사주 매입으로 진행되었습니다.
Imperial a annoncé un revenu net de 1,237 milliard de dollars pour le T3 2024, en baisse par rapport à 1,601 milliard de dollars pour le T3 2023. La société a atteint une production en amont record de 447 000 barils équivalents pétrole par jour, le meilleur troisième trimestre en plus de 30 ans. La production de Kearl a égalé son niveau le plus élevé jamais enregistré pour un T3 à 295 000 barils par jour. La production de Cold Lake a atteint 147 000 barils par jour, stimulée par le projet Grand Rapids. L'utilisation de la raffinerie était de 90 % malgré des arrêts planifiés. L'entreprise a restitué 1,528 milliard de dollars aux actionnaires par le biais de 322 millions de dollars en dividendes et de 1,206 milliard de dollars en rachat d'actions.
Imperial berichtete von einem Nettogewinn von 1.237 Millionen Dollar im Q3 2024, zurückgegangen von 1.601 Millionen Dollar im Q3 2023. Das Unternehmen erzielte eine Rekordproduktion in der Upstream-Sparte von 447.000 Barrel ölgleichwert pro Tag, dem höchsten dritten Quartal seit über 30 Jahren. Die Produktion in Kearl erreichte mit 295.000 Barrel pro Tag den höchsten Wert im Q3. Die Produktion in Cold Lake belief sich auf 147.000 Barrel pro Tag, unterstützt durch das Projekt Grand Rapids. Die Raffineriekapazität betrug 90% trotz geplanter Wartungsarbeiten. Das Unternehmen gab 1.528 Millionen Dollar an die Aktionäre zurück durch 322 Millionen Dollar an Dividenden und 1.206 Millionen Dollar an Aktienrückkäufen.
- Record Q3 upstream production of 447,000 barrels per day
- Kearl matched highest-ever Q3 production at 295,000 barrels per day
- Cold Lake production increased to 147,000 barrels per day
- Strong shareholder returns of $1,528 million in Q3
- Grand Rapids project exceeded expectations, reaching 20,000 barrels per day in September
- Net income decreased by $364 million YoY to $1,237 million
- Refinery throughput declined to 389,000 from 416,000 barrels per day YoY
- Lower margins in downstream operations due to weaker market conditions
Insights
Imperial Oil delivered a solid Q3 2024 with
The company's financial position remains strong with healthy cash generation and disciplined capital allocation. The commitment to complete the full NCIB program by year-end signals confidence in cash flow sustainability. While commodity price headwinds impacted realizations, improved operational efficiency and lower costs helped maintain profitability.
The standout achievement this quarter is Imperial's successful deployment of solvent-assisted SAGD technology at Grand Rapids, reaching 20,000 barrels per day in September - ahead of projections. This industry-first application could transform heavy oil recovery economics. Kearl's consistent performance at 295,000 barrels per day and progress on the Strathcona renewable diesel facility demonstrate balanced investment in both conventional and low-carbon initiatives.
The Pathways Alliance carbon capture project advancement shows Imperial's strategic positioning for energy transition. Lower energy costs and improved operational efficiency helped reduce unit cash costs, strengthening competitive positioning despite market volatility.
-
Quarterly net income of
$1,237 million -
Cash flows from operating activities of
$1,487 million $1,797 million - Upstream production of 447,000 gross oil-equivalent barrels per day, highest third quarter in over 30 years
- Kearl production of 295,000 total gross oil-equivalent barrels per day (209,000 barrels Imperial's share), matching highest-ever third quarter production
-
Cold Lake production of 147,000 gross oil-equivalent barrels per day, reflecting a strong initial ramp up of theGrand Rapids project -
Refinery capacity utilization of 90 percent inclusive of the safe execution of planned turnaround activities at
Nanticoke andStrathcona -
Returned
$1,528 million $322 million $1,206 million
|
Third quarter |
Nine months |
||||
millions of Canadian dollars, unless noted |
2024 |
2023 |
∆ |
2024 |
2023 |
∆ |
Net income (loss) ( |
1,237 |
1,601 |
(364) |
3,565 |
3,524 |
+41 |
Net income (loss) per common share, assuming dilution (dollars) |
2.33 |
2.76 |
(0.43) |
6.66 |
6.04 |
+0.62 |
Capital and exploration expenditures |
486 |
387 |
+99 |
1,444 |
1,309 |
+135 |
Imperial reported estimated net income in the third quarter of
"Imperial achieved another strong quarter of operating performance across our integrated business," said Brad Corson, chairman, president, and chief executive officer. "Operating results were driven by the strongest third- quarter upstream production in over 30 years and continued improvement in upstream unit cash costs1, as well as achieving strong downstream utilization while safely executing significant planned turnaround activities at our
Upstream production in the third quarter averaged 447,000 gross oil-equivalent barrels per day, the highest third quarter production in over 30 years. At Kearl, quarterly total gross production averaged 295,000 barrels per day (209,000 barrels Imperial's share), matching the asset's third quarter production record and achieving a year-to- date production record.
"The strong ramp up of
Downstream throughput in the quarter averaged 389,000 barrels per day, with overall refinery capacity utilization of 90 percent. Operating results included the safe execution of planned turnaround activities at the
During the quarter, Imperial returned a total of
"Imperial remains committed to shareholder returns as demonstrated by 30 consecutive years of dividend growth and our plans to complete our full NCIB by year end," said Corson.
Third quarter highlights
-
Net income of
$1,237 million $2.33 $1,601 million $2.76 -
Cash flows from operating activities of
$1,487 million $2,359 million $1,797 million $1,946 million -
Capital and exploration expenditures totaled
$486 million $387 million -
The company returned
$1,528 million $322 million $1,206 million -
Production averaged 447,000 gross oil-equivalent barrels per day, the highest third quarter production in over 30 years, up from 423,000 gross oil-equivalent barrels per day in the same period of 2023, primarily driven by
Grand Rapids , and by production and steam cycle timing atCold Lake . - Total gross bitumen production at Kearl averaged 295,000 barrels per day (209,000 barrels Imperial's share), matching highest-ever third quarter production in 2023.
-
Gross bitumen production at
Cold Lake averaged 147,000 barrels per day inclusive of the planned turnaround activities at Maskwa, up from 128,000 barrels per day in the third quarter of 2023, mainly driven byGrand Rapids , and by production and steam cycle timing. -
Grand Rapids successful ramp up averaged 15,000 barrels per day.Grand Rapids is the first solvent- assisted SAGD project in the industry and averaged 20,000 barrels per day for the month of September as the operation continues its optimization. - Leming SAGD redevelopment project completed tie-ins for modules with installation ongoing. The project is expected to start up in 2025 with peak production anticipated to be around 9,000 barrels per day.
- The company's share of gross production from Syncrude averaged 81,000 barrels per day, up from 75,000 barrels per day in the third quarter of 2023.
-
Refinery throughput averaged 389,000 barrels per day, compared to 416,000 barrels per day in the third quarter of 2023, reflecting the safe execution of planned turnaround activities at the
Nanticoke andStrathcona refineries ahead of plan and below budget. Capacity utilization was 90 percent, compared to 96 percent in the third quarter of 2023. - Petroleum product sales were 487,000 barrels per day, up from 478,000 barrels per day in the third quarter of 2023.
-
Continued to advance work on
Canada's largest renewable diesel facility at theStrathcona refinery. When completed, the project is expected to have a capacity of more than one billion litres of renewable diesel annually. -
Chemical net income of
$28 million $23 million - Recipient of the TSX Top 30, based on the company's three-year average dividend-adjusted share price performance of 167 percent.
- Pathways Alliance continued to progress early technical work and issued the request for proposals to pipeline manufacturers for the proposed transportation pipeline. Completion of the carbon capture and storage project is contingent on fiscal support and regulatory approvals.
Recent business environment
During the third quarter, crude prices decreased versus the second quarter, reflecting uncertainty about future
Operating results
Third quarter 2024 vs. third quarter 2023
Third Quarter |
||
millions of Canadian dollars, unless noted |
2024 |
2023 |
Net income (loss) ( |
1,237 |
1,601 |
Net income (loss) per common share, assuming dilution (dollars) |
2.33 |
2.76 |
Upstream
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Price |
Volumes |
Royalty |
Other |
2024 |
1,028 |
(310) |
140 |
60 |
109 |
1,027 |
Price – Average bitumen realizations decreased by
Volumes – Higher volumes were primarily driven by
Royalty – Lower royalties were primarily driven by lower commodity prices, partially offset by higher volumes.
Other – Includes lower operating expenses of about
Marker prices and average realizations
Third Quarter |
||
Canadian dollars, unless noted |
2024 |
2023 |
West Texas Intermediate (US$ per barrel) |
75.27 |
82.32 |
Western Canada Select (US$ per barrel) |
61.76 |
69.39 |
WTI/WCS Spread (US$ per barrel) |
13.51 |
12.93 |
Bitumen (per barrel) |
77.24 |
86.05 |
Synthetic crude oil (per barrel) |
104.41 |
112.98 |
Average foreign exchange rate (US$) |
0.73 |
0.75 |
Production
Third Quarter |
||
thousands of barrels per day |
2024 |
2023 |
Kearl (Imperial's share) |
209 |
209 |
|
147 |
128 |
Syncrude |
81 |
75 |
|
|
|
Kearl total gross production (thousands of barrels per day) |
295 |
295 |
Higher production at
Downstream
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Margins |
Other |
2024 |
586 |
(340) |
(41) |
205 |
Margins – Lower margins primarily reflect weaker market conditions.
Refinery utilization and petroleum product sales
Third Quarter |
||
thousands of barrels per day, unless noted |
2024 |
2023 |
Refinery throughput |
389 |
416 |
Refinery capacity utilization (percent) |
90 |
96 |
Petroleum product sales |
487 |
478 |
Refinery throughput in the third quarter of 2024 reflects the impact of turnaround activities at the
Chemicals
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Margins |
Other |
2024 |
23 |
20 |
(15) |
28 |
Corporate and other
Third Quarter |
||||
millions of Canadian dollars |
2024 |
|
2023 |
|
Net income (loss) ( |
(23 |
) |
(36 |
) |
Liquidity and capital resources
Third Quarter |
||||
millions of Canadian dollars |
2024 |
|
2023 |
|
Cash flows from (used in): |
|
|
||
Operating activities |
1,487 |
|
2,359 |
|
Investing activities |
(484 |
) |
(380 |
) |
Financing activities |
(1,533 |
) |
(1,639 |
) |
Increase (decrease) in cash and cash equivalents |
(530 |
) |
340 |
|
Cash and cash equivalents at period end |
1,490 |
|
2,716 |
|
Cash flows from operating activities primarily reflect unfavourable working capital impacts.
Cash flows used in investing activities primarily reflect higher additions to property, plant and equipment.
Cash flows used in financing activities primarily reflect:
Third Quarter |
||
millions of Canadian dollars, unless noted |
2024 |
2023 |
Dividends paid |
322 |
292 |
Per share dividend paid (dollars) |
0.60 |
0.50 |
Share repurchases (a) |
1,206 |
1,342 |
Number of shares purchased (millions) (a) |
12.4 |
17.5 |
(a) |
Share repurchases were made under and in connection with the company's normal course issuer bid program, and include shares purchased from Exxon Mobil Corporation. |
Nine months 2024 vs. nine months 2023
Nine Months |
||
millions of Canadian dollars, unless noted |
2024 |
2023 |
Net income (loss) ( |
3,565 |
3,524 |
Net income (loss) per common share, assuming dilution (dollars) |
6.66 |
6.04 |
Upstream
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Price |
Volumes |
Royalty |
Other |
2024 |
1,742 |
330 |
440 |
(240) |
112 |
2,384 |
Price – Average bitumen realizations increased by
Volumes – Higher volumes were primarily driven by improved mine fleet productivity and optimized turnaround at Kearl, as well as
Royalty – Higher royalties were primarily driven by higher volumes.
Other – Includes lower operating expenses of about
Marker prices and average realizations
Nine Months |
||
Canadian dollars, unless noted |
2024 |
2023 |
West Texas Intermediate (US$ per barrel) |
77.59 |
77.29 |
Western Canada Select (US$ per barrel) |
62.15 |
59.67 |
WTI/WCS Spread (US$ per barrel) |
15.44 |
17.62 |
Bitumen (per barrel) |
75.60 |
68.70 |
Synthetic crude oil (per barrel) |
102.95 |
105.65 |
Average foreign exchange rate (US$) |
0.74 |
0.74 |
Production
Nine Months |
||
thousands of barrels per day |
2024 |
2023 |
Kearl (Imperial's share) |
195 |
182 |
|
145 |
134 |
Syncrude (a) |
73 |
72 |
|
|
|
Kearl total gross production (thousands of barrels per day) |
275 |
257 |
(a) |
In 2024, Syncrude gross production included about 1 thousand barrels per day of bitumen and other products (2023 - 1 thousand barrels per day) that were exported to the operator's facilities using an existing interconnect pipeline. |
Higher production at Kearl was primarily driven by improved mine fleet productivity and optimized turnaround.
Higher production at
Downstream
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Margins |
Other |
2024 |
1,706 |
(640) |
64 |
1,130 |
Margins – Lower margins primarily reflect weaker market conditions.
Other – Primarily due to lower turnaround impacts of about
Refinery utilization and petroleum product sales
Nine Months |
||
thousands of barrels per day, unless noted |
2024 |
2023 |
Refinery throughput |
395 |
407 |
Refinery capacity utilization (percent) |
91 |
94 |
Petroleum product sales |
469 |
469 |
Lower refinery throughput in 2024 mainly reflects the impact of turnaround activity at the
Chemicals
Net income (loss) factor analysis
millions of Canadian dollars
2023 |
Margins |
Other |
2024 |
147 |
20 |
(17) |
150 |
Corporate and other
Nine Months |
||||
millions of Canadian dollars |
2024 |
|
2023 |
|
Net income (loss) ( |
(99 |
) |
(71 |
) |
Liquidity and capital resources
Nine Months |
||||
millions of Canadian dollars |
2024 |
|
2023 |
|
Cash flows from (used in): |
|
|
||
Operating activities |
4,192 |
|
2,423 |
|
Investing activities |
(1,421 |
) |
(1,283 |
) |
Financing activities |
(2,145 |
) |
(2,173 |
) |
Increase (decrease) in cash and cash equivalents |
626 |
|
(1,033 |
) |
Cash flows from operating activities primarily reflect the absence of unfavourable working capital impacts mainly related to an income tax catch-up payment of
Cash flows used in investing activities primarily reflect higher additions to property, plant and equipment.
Cash flows used in financing activities primarily reflect:
Nine Months |
||
millions of Canadian dollars, unless noted |
2024 |
2023 |
Dividends paid |
921 |
815 |
Per share dividend paid (dollars) |
1.70 |
1.38 |
Share repurchases (a) |
1,206 |
1,342 |
Number of shares purchased (millions) (a) |
12.4 |
17.5 |
(a) |
Share repurchases were made under and in connection with the company's normal course issuer bid program, and include shares purchased from Exxon Mobil Corporation. |
On June 24, 2024, the company announced by news release that it had received final approval from the Toronto Stock Exchange for a new normal course issuer bid and will continue its existing share purchase program. The program enables the company to purchase up to a maximum of 26,791,840 common shares during the period June 29, 2024 to June 28, 2025. This maximum includes shares purchased under the normal course issuer bid from Exxon Mobil Corporation. As in the past, Exxon Mobil Corporation has advised the company that it intends to participate to maintain its ownership percentage at approximately 69.6 percent. The program will end should the company purchase the maximum allowable number of shares or otherwise on June 28, 2025. Imperial plans to accelerate its share purchases under the normal course issuer bid program, and anticipates repurchasing all remaining allowable shares prior to year end. Purchase plans may be modified at any time without prior notice.
Key financial and operating data follow.
Forward-looking statements
Statements of future events or conditions in this report, including projections, targets, expectations, estimates, and business plans, are forward-looking statements. Similarly, discussion of roadmaps or future plans related to carbon capture, transportation and storage, biofuel, hydrogen, and other future plans to reduce emissions and emission intensity of the company, its affiliates and third parties are dependent on future market factors, such as continued technological progress, policy support and timely rule-making and permitting, and represent forward- looking statements. Forward-looking statements can be identified by words such as believe, anticipate, intend, propose, plan, goal, seek, estimate, expect, future, continue, likely, may, should, will and similar references to future periods. Forward-looking statements in this report include, but are not limited to, references to the company’s shareholder returns programs, including commitments to shareholder returns, purchases under the normal course issuer bid and accelerating purchases to complete the full normal course issuer bid before year end; the impact of the Cold Lake Grand Rapids project, including production and contributions of the project towards meeting the company’s long-term strategy; the company’s
Forward-looking statements are based on the company's current expectations, estimates, projections and assumptions at the time the statements are made. Actual future financial and operating results, including expectations and assumptions concerning future energy demand, supply and mix; production rates, growth and mix across various assets; project plans, timing, costs, technical evaluations and capacities and the company’s ability to effectively execute on these plans and operate its assets, including the Cold Lake Grand Rapids project, the
These factors include global, regional or local changes in supply and demand for oil, natural gas, and petroleum and petrochemical products and resulting price, differential and margin impacts, including foreign government action with respect to supply levels and prices, and the occurrence of wars; political or regulatory events, including changes in law or government policy, applicable royalty rates, and tax laws; third-party opposition to company and service provider operations, projects and infrastructure; availability and allocation of capital; the receipt, in a timely manner, of regulatory and third-party approvals, including for new technologies that will help the company meet its lower emissions goals; failure, delay or uncertainty regarding supportive policy and market development for the adoption of emerging lower emission energy technologies and other technologies that support emissions reductions; environmental regulation, including climate change and greenhouse gas regulation and changes to such regulation; unanticipated technical or operational difficulties; project management and schedules and timely completion of projects; availability and performance of third-party service providers; environmental risks inherent in oil and gas exploration and production activities; management effectiveness and disaster response preparedness; operational hazards and risks; cybersecurity incidents; currency exchange rates; general economic conditions, including inflation and the occurrence and duration of economic recessions or downturns; and other factors discussed in Item 1A risk factors and Item 7 management’s discussion and analysis of financial condition and results of operations of Imperial’s most recent annual report on Form 10-K.
Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some that are similar to other oil and gas companies and some that are unique to Imperial. Imperial’s actual results may differ materially from those expressed or implied by its forward-looking statements and readers are cautioned not to place undue reliance on them. Imperial undertakes no obligation to update any forward-looking statements contained herein, except as required by applicable law.
Forward-looking and other statements regarding Imperial's environmental, social and other sustainability efforts and aspirations are not an indication that these statements are material to investors or require disclosure in the company's filings with securities regulators. In addition, historical, current and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future, including future rule-making. Individual projects or opportunities may advance based on a number of factors, including availability of supportive policy, technology for cost-effective abatement, company planning process, and alignment with our partners and other stakeholders.
In this release all dollar amounts are expressed in Canadian dollars unless otherwise stated. This release should be read in conjunction with Imperial’s most recent Form 10-K. Note that numbers may not add due to rounding.
The term “project” as used in this release can refer to a variety of different activities and does not necessarily have the same meaning as in any government payment transparency reports.
Attachment I |
|||||
Third Quarter |
|
Nine Months |
|||
millions of Canadian dollars, unless noted |
2024 |
2023 |
|
2024 |
2023 |
Net income (loss) ( |
|||||
Total revenues and other income |
13,259 |
13,920 |
38,925 |
37,860 |
|
Total expenses |
11,656 |
11,820 |
|
34,261 |
33,231 |
Income (loss) before income taxes |
1,603 |
2,100 |
|
4,664 |
4,629 |
Income taxes |
366 |
499 |
|
1,099 |
1,105 |
Net income (loss) |
1,237 |
1,601 |
|
3,565 |
3,524 |
Net income (loss) per common share (dollars) |
2.33 |
2.77 |
6.67 |
6.05 |
|
Net income (loss) per common share - assuming dilution (dollars) |
2.33 |
2.76 |
|
6.66 |
6.04 |
Other financial data |
|||||
Gain (loss) on asset sales, after tax |
2 |
(2 |
) |
5 |
16 |
Total assets at September 30 |
|
|
|
42,529 |
43,586 |
Total debt at September 30 |
|
|
|
4,115 |
4,138 |
Shareholders' equity at September 30 |
|
|
|
23,639 |
23,808 |
Dividends declared on common stock |
|||||
Total |
317 |
288 |
960 |
837 |
|
Per common share (dollars) |
0.60 |
0.50 |
|
1.80 |
1.44 |
Millions of common shares outstanding |
|||||
At September 30 |
523.4 |
566.7 |
|||
Average - assuming dilution |
531.9 |
579.3 |
|
535.3 |
583.3 |
Attachment II |
||||||||
Third Quarter |
Nine Months |
|||||||
millions of Canadian dollars |
2024 |
|
2023 |
|
2024 |
|
2023 |
|
Total cash and cash equivalents at period end |
1,490 |
|
2,716 |
|
1,490 |
|
2,716 |
|
Operating activities |
|
|
|
|
|
|
|
|
Net income (loss) |
1,237 |
|
1,601 |
|
3,565 |
|
3,524 |
|
Adjustments for non-cash items: |
||||||||
Depreciation and depletion |
508 |
475 |
1,454 |
1,418 |
||||
(Gain) loss on asset sales |
(2 |
) |
3 |
|
(5 |
) |
(19 |
) |
Deferred income taxes and other |
53 |
|
(168 |
) |
(186 |
) |
(239 |
) |
Changes in operating assets and liabilities |
(310 |
) |
413 |
|
(634 |
) |
(2,213 |
) |
All other items - net |
1 |
|
35 |
|
(2 |
) |
(48 |
) |
Cash flows from (used in) operating activities |
1,487 |
|
2,359 |
|
4,192 |
|
2,423 |
|
Investing activities |
|
|
|
|
|
|
|
|
Additions to property, plant and equipment |
(486 |
) |
(387 |
) |
(1,444 |
) |
(1,315 |
) |
Proceeds from asset sales |
— |
|
6 |
|
7 |
|
29 |
|
Loans to equity companies - net |
2 |
|
1 |
|
16 |
|
3 |
|
Cash flows from (used in) investing activities |
(484 |
) |
(380 |
) |
(1,421 |
) |
(1,283 |
) |
Cash flows from (used in) financing activities |
(1,533 |
) |
(1,639 |
) |
(2,145 |
) |
(2,173 |
) |
Attachment III |
||||||||
Third Quarter |
Nine Months |
|||||||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
||||
Net income (loss) ( |
|
|
|
|
||||
Upstream |
1,027 |
|
1,028 |
|
2,384 |
|
1,742 |
|
Downstream |
205 |
|
586 |
|
1,130 |
|
1,706 |
|
Chemical |
28 |
|
23 |
|
150 |
|
147 |
|
Corporate and other |
(23 |
) |
(36 |
) |
(99 |
) |
(71 |
) |
Net income (loss) |
1,237 |
|
1,601 |
|
3,565 |
|
3,524 |
|
Revenues and other income |
|
|
|
|
||||
Upstream |
4,609 |
|
4,807 |
|
13,329 |
|
12,097 |
|
Downstream |
14,570 |
|
15,112 |
|
42,843 |
|
41,329 |
|
Chemical |
255 |
|
382 |
|
1,092 |
|
1,252 |
|
Eliminations / Corporate and other |
(6,175 |
) |
(6,381 |
) |
(18,339 |
) |
(16,818 |
) |
Revenues and other income |
13,259 |
|
13,920 |
|
38,925 |
|
37,860 |
|
Purchases of crude oil and products |
|
|
|
|
||||
Upstream |
1,766 |
|
1,852 |
|
5,479 |
|
4,827 |
|
Downstream |
13,014 |
|
13,061 |
|
37,549 |
|
35,390 |
|
Chemical |
157 |
|
254 |
|
673 |
|
791 |
|
Eliminations / Corporate and other |
(6,203 |
) |
(6,419 |
) |
(18,405 |
) |
(16,926 |
) |
Purchases of crude oil and products |
8,734 |
|
8,748 |
|
25,296 |
|
24,082 |
|
Production and manufacturing |
|
|
|
|
||||
Upstream |
1,050 |
|
1,187 |
|
3,441 |
|
3,730 |
|
Downstream |
423 |
|
405 |
|
1,279 |
|
1,291 |
|
Chemical |
36 |
|
74 |
|
137 |
|
186 |
|
Eliminations / Corporate and other |
8 |
|
— |
|
13 |
|
— |
|
Production and manufacturing |
1,517 |
|
1,666 |
|
4,870 |
|
5,207 |
|
Selling and general |
|
|
|
|
||||
Upstream |
— |
|
— |
|
— |
|
— |
|
Downstream |
170 |
|
177 |
|
503 |
|
494 |
|
Chemical |
22 |
|
21 |
|
71 |
|
69 |
|
Eliminations / Corporate and other |
31 |
|
39 |
|
116 |
|
66 |
|
Selling and general |
223 |
|
237 |
|
690 |
|
629 |
|
Capital and exploration expenditures |
|
|
|
|
||||
Upstream |
300 |
|
244 |
|
857 |
|
868 |
|
Downstream |
133 |
|
103 |
|
435 |
|
329 |
|
Chemical |
3 |
|
2 |
|
11 |
|
11 |
|
Corporate and other |
50 |
|
38 |
|
141 |
|
101 |
|
Capital and exploration expenditures |
486 |
|
387 |
|
1,444 |
|
1,309 |
|
Exploration expenses charged to Upstream income included above |
1 |
|
1 |
|
3 |
3 |
||
Attachment IV |
|||||
| Operating statistics | Third Quarter |
Nine Months |
|||
2024 |
2023 |
2024 |
2023 |
||
| Gross crude oil production (thousands of barrels per day) | |||||
| Kearl | 209 |
209 |
195 |
182 |
|
147 |
128 |
145 |
134 |
||
| Syncrude (a) | 81 |
75 |
73 |
72 |
|
| Conventional | 5 |
6 |
6 |
6 |
|
| Total crude oil production | 442 |
418 |
419 |
394 |
|
| Gross natural gas production (millions of cubic feet per day) | 31 |
30 |
30 |
32 |
|
| Gross oil-equivalent production (b) | 447 |
423 |
424 |
399 |
|
| (thousands of oil-equivalent barrels per day) |
|
|
|
|
|
| Net crude oil production (thousands of barrels per day) | |||||
| Kearl | 194 |
195 |
181 |
170 |
|
114 |
91 |
110 |
105 |
||
| Syncrude (a) | 68 |
59 |
61 |
63 |
|
| Conventional | 5 |
5 |
6 |
5 |
|
| Total crude oil production | 381 |
350 |
358 |
343 |
|
| Net natural gas production (millions of cubic feet per day) | 30 |
30 |
30 |
32 |
|
| Net oil-equivalent production (b) | 386 |
355 |
363 |
348 |
|
| (thousands of oil-equivalent barrels per day) |
|
|
|
|
|
| Kearl blend sales (thousands of barrels per day) | 281 |
279 |
269 |
250 |
|
189 |
166 |
192 |
176 |
||
| Average realizations (Canadian dollars) | |||||
| Bitumen (per barrel) | 77.24 |
86.05 |
75.60 |
68.70 |
|
| Synthetic crude oil (per barrel) | 104.41 |
112.98 |
102.95 |
105.65 |
|
| Conventional crude oil (per barrel) | 60.91 |
76.53 |
59.42 |
68.61 |
|
| Natural gas (per thousand cubic feet) | 0.07 |
2.69 |
0.40 |
2.72 |
|
| Refinery throughput (thousands of barrels per day) | 389 |
416 |
395 |
407 |
|
| Refinery capacity utilization (percent) | 90 |
96 |
91 |
94 |
|
| Petroleum product sales (thousands of barrels per day) | |||||
| Gasolines | 227 |
239 |
223 |
227 |
|
| Heating, diesel and jet fuels | 185 |
170 |
177 |
176 |
|
| Lube oils and other products (c) | 55 |
43 |
47 |
43 |
|
| Heavy fuel oils | 20 |
26 |
22 |
23 |
|
| Net petroleum products sales | 487 |
478 |
469 |
469 |
|
| Petrochemical sales (thousands of tonnes) (c) | 76 |
212 |
510 |
650 |
|
(a) |
Syncrude gross and net production included bitumen and other products that were exported to the operator’s facilities using an existing interconnect pipeline. |
||||
Gross bitumen and other products production (thousands of barrels per day) |
— |
— |
1 |
1 |
|
Net bitumen and other products production (thousands of barrels per day) |
— |
— |
1 |
1 |
|
(b) |
Gas converted to oil-equivalent at six million cubic feet per one thousand barrels. |
||||
(c) |
In 2024, benzene and aromatic solvent sales are reported under Petroleum product sales - Lube oils and other products, whereas in 2023, they were reported under Petrochemical sales. The company has determined that the impact of this change is not material; therefore, the comparative period has not been recast. |
||||
Attachment V |
||||
Net income (loss) ( |
Net income (loss) per common share - diluted (a) |
|||
|
millions of Canadian dollars |
Canadian dollars |
||
2020 First Quarter |
(188 |
) |
(0.25 |
) |
Second Quarter |
(526 |
) |
(0.72 |
) |
Third Quarter |
3 |
|
— |
|
Fourth Quarter |
(1,146 |
) |
(1.56 |
) |
Year |
(1,857 |
) |
(2.53 |
) |
2021 First Quarter |
392 |
|
0.53 |
|
Second Quarter |
366 |
|
0.50 |
|
Third Quarter |
908 |
|
1.29 |
|
Fourth Quarter |
813 |
|
1.18 |
|
Year |
2,479 |
|
3.48 |
|
2022 First Quarter |
1,173 |
|
1.75 |
|
Second Quarter |
2,409 |
|
3.63 |
|
Third Quarter |
2,031 |
|
3.24 |
|
Fourth Quarter |
1,727 |
|
2.86 |
|
Year |
7,340 |
|
11.44 |
|
2023 First Quarter |
1,248 |
|
2.13 |
|
Second Quarter |
675 |
|
1.15 |
|
Third Quarter |
1,601 |
|
2.76 |
|
Fourth Quarter |
1,365 |
|
2.47 |
|
Year |
4,889 |
|
8.49 |
|
2024 First Quarter |
1,195 |
|
2.23 |
|
Second Quarter |
1,133 |
|
2.11 |
|
Third Quarter |
1,237 |
|
2.33 |
|
Year |
3,565 |
|
6.66 |
|
(a) |
Computed using the average number of shares outstanding during each period. The sum of the quarters presented may not add to the year total. |
Attachment VI
Non-GAAP financial measures and other specified financial measures
Certain measures included in this document are not prescribed by
Reconciliation of these non-GAAP financial measures to the most comparable GAAP measure, and other information required by these regulations, have been provided. Non-GAAP financial measures and specified financial measures are not standardized financial measures under GAAP and do not have a standardized definition. As such, these measures may not be directly comparable to measures presented by other companies, and should not be considered a substitute for GAAP financial measures.
Cash flows from (used in) operating activities excluding working capital
Cash flows from (used in) operating activities excluding working capital is a non-GAAP financial measure that is the total cash flows from operating activities less the changes in operating assets and liabilities in the period. The most directly comparable financial measure that is disclosed in the financial statements is "Cash flows from (used in) operating activities" within the company’s Consolidated statement of cash flows. Management believes it is useful for investors to consider these numbers in comparing the underlying performance of the company’s business across periods when there are significant period-to-period differences in the amount of changes in working capital. Changes in working capital is equal to “Changes in operating assets and liabilities” as disclosed in the company’s Consolidated statement of cash flows and in Attachment II of this document. This measure assesses the cash flows at an operating level, and as such, does not include proceeds from asset sales as defined in Cash flows from operating activities and asset sales in the Frequently Used Terms section of the company’s annual Form 10-K.
Reconciliation of cash flows from (used in) operating activities excluding working capital
Third Quarter |
Nine Months |
||||||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
|||
From Imperial's Consolidated statement of cash flows |
|||||||
Cash flows from (used in) operating activities |
1,487 |
|
2,359 |
4,192 |
|
2,423 |
|
Less changes in working capital |
|||||||
Changes in operating assets and liabilities |
(310 |
) |
413 |
(634 |
) |
(2,213 |
) |
Cash flows from (used in) operating activities excl. working capital |
1,797 |
|
1,946 |
4,826 |
|
4,636 |
|
Free cash flow
Free cash flow is a non-GAAP financial measure that is cash flows from operating activities less additions to property, plant and equipment and equity company investments plus proceeds from asset sales. The most directly comparable financial measure that is disclosed in the financial statements is "Cash flows from (used in) operating activities" within the company’s Consolidated statement of cash flows. This measure is used to evaluate cash available for financing activities (including but not limited to dividends and share purchases) after investment in the business.
Reconciliation of free cash flow
Third Quarter |
Nine Months |
|||||||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
||||
From Imperial's Consolidated statement of cash flows Cash flows from (used in) operating activities |
1,487 |
|
2,359 |
|
4,192 |
|
2,423 |
|
Cash flows from (used in) investing activities |
||||||||
Additions to property, plant and equipment |
(486 |
) |
(387 |
) |
(1,444 |
) |
(1,315 |
) |
Proceeds from asset sales |
— |
|
6 |
|
7 |
|
29 |
|
Loans to equity companies - net |
2 |
|
1 |
|
16 |
|
3 |
|
Free cash flow |
1,003 |
|
1,979 |
|
2,771 |
|
1,140 |
|
Net income (loss) excluding identified items
Net income (loss) excluding identified items is a non-GAAP financial measure that is total net income (loss) excluding individually significant non-operational events with an absolute corporate total earnings impact of at least
Reconciliation of net income (loss) excluding identified items
There were no identified items in the third quarter or year-to-date 2024 and 2023 periods.
Cash operating costs (cash costs)
Cash operating costs is a non-GAAP financial measure that consists of total expenses, less purchases of crude oil and products, federal excise taxes and fuel charge, financing, and costs that are non-cash in nature, including depreciation and depletion, and non-service pension and postretirement benefit. The components of cash operating costs include "Production and manufacturing", "Selling and general" and "Exploration" from the company’s Consolidated statement of income, and as disclosed in Attachment III of this document. The sum of these income statement lines serves as an indication of cash operating costs and does not reflect the total cash expenditures of the company. The most directly comparable financial measure that is disclosed in the financial statements is "Total expenses" within the company’s Consolidated statement of income. This measure is useful for investors to understand the company’s efforts to optimize cash through disciplined expense management.
Reconciliation of cash operating costs
Third Quarter |
Nine Months |
|||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
From Imperial's Consolidated statement of income |
||||
Total expenses |
11,656 |
11,820 |
34,261 |
33,231 |
Less: |
||||
Purchases of crude oil and products |
8,734 |
8,748 |
25,296 |
24,082 |
Federal excise taxes and fuel charge |
661 |
654 |
1,908 |
1,781 |
Depreciation and depletion |
508 |
475 |
1,454 |
1,418 |
Non-service pension and postretirement benefit |
1 |
20 |
3 |
60 |
Financing |
11 |
19 |
37 |
51 |
Cash operating costs |
1,741 |
1,904 |
5,563 |
5,839 |
Components of cash operating costs |
|
|
|
|
Third Quarter |
Nine Months |
|||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
From Imperial's Consolidated statement of income Production and manufacturing |
1,517 |
1,666 |
4,870 |
5,207 |
Selling and general |
223 |
237 |
690 |
629 |
Exploration |
1 |
1 |
3 |
3 |
Cash operating costs |
1,741 |
1,904 |
5,563 |
5,839 |
Segment contributions to total cash operating costs |
|
|
|
|
Third Quarter |
Nine Months |
|||
millions of Canadian dollars |
2024 |
2023 |
2024 |
2023 |
Upstream |
1,051 |
1,188 |
3,444 |
3,733 |
Downstream |
593 |
582 |
1,782 |
1,785 |
Chemicals |
58 |
95 |
208 |
255 |
Eliminations / Corporate and other |
39 |
39 |
129 |
66 |
Cash operating costs |
1,741 |
1,904 |
5,563 |
5,839 |
Unit cash operating cost (unit cash costs)
Unit cash operating costs is a non-GAAP ratio. Unit cash operating costs (unit cash costs) is calculated by dividing cash operating costs by total gross oil-equivalent production, and is calculated for the Upstream segment, as well as the major Upstream assets. Cash operating costs is a non-GAAP financial measure and is disclosed and reconciled above. This measure is useful for investors to understand the expense management efforts of the company’s major assets as a component of the overall Upstream segment. Unit cash operating cost, as used by management, does not directly align with the definition of “Average unit production costs” as set out by the
Components of unit cash operating cost
Third Quarter |
||||||||
2024 |
2023 |
|||||||
millions of Canadian dollars |
Upstream (a) |
Kearl |
|
Syncrude |
Upstream (a) |
Kearl |
|
Syncrude |
Production and manufacturing |
1,050 |
461 |
238 |
313 |
1,187 |
520 |
284 |
345 |
Selling and general |
— |
— |
— |
— |
— |
— |
— |
— |
Exploration |
1 |
— |
— |
— |
1 |
— |
— |
— |
Cash operating costs |
1,051 |
461 |
238 |
313 |
1,188 |
520 |
284 |
345 |
Gross oil-equivalent production |
447 |
209 |
147 |
81 |
423 |
209 |
128 |
75 |
(thousands of barrels per day) |
|
|
|
|
|
|
|
|
Unit cash operating cost ($/oeb) |
25.56 |
23.98 |
17.60 |
42.00 |
30.53 |
27.04 |
24.12 |
50.00 |
USD converted at the quarterly average forex |
18.66 |
17.51 |
12.85 |
30.66 |
22.90 |
20.28 |
18.09 |
37.50 |
2024 |
|
|
|
|
|
|
|
|
Components of unit cash operating cost
Nine Months |
||||||||
2024 |
2023 |
|||||||
millions of Canadian dollars |
Upstream (a) |
Kearl |
|
Syncrude |
Upstream (a) |
Kearl |
|
Syncrude |
Production and manufacturing |
3,441 |
1,459 |
809 |
1,055 |
3,730 |
1,604 |
868 |
1,156 |
Selling and general |
— |
— |
— |
— |
— |
— |
— |
— |
Exploration |
3 |
— |
— |
— |
3 |
— |
— |
— |
Cash operating costs |
3,444 |
1,459 |
809 |
1,055 |
3,733 |
1,604 |
868 |
1,156 |
Gross oil-equivalent production |
424 |
195 |
145 |
73 |
399 |
182 |
134 |
72 |
(thousands of barrels per day) |
|
|
|
|
|
|
|
|
Unit cash operating cost ($/oeb) |
29.64 |
27.31 |
20.36 |
52.74 |
34.27 |
32.28 |
23.73 |
58.81 |
USD converted at the YTD average forex |
21.93 |
20.21 |
15.07 |
39.03 |
25.36 |
23.89 |
17.56 |
43.52 |
2024 |
|
|
|
|
|
|
|
|
(a) |
Upstream includes Imperial's share of Kearl, |
|
|
|
1 Non-GAAP financial measure - see Attachment VI for definition and reconciliation |
||
After more than a century, Imperial continues to be an industry leader in applying technology and innovation to responsibly develop Canada’s energy resources. As Canada’s largest petroleum refiner, a major producer of crude oil, a key petrochemical producer and a leading fuels marketer from coast to coast, our company remains committed to high standards across all areas of our business.
Source: Imperial
View source version on businesswire.com: https://www.businesswire.com/news/home/20241101612591/en/
Investor Relations
(587) 962-4401
Media Relations
(587) 476-7010
Source: Imperial
FAQ
What was Imperial's Q3 2024 net income?
How much did Imperial return to shareholders in Q3 2024?
What was Imperial's upstream production in Q3 2024?
What was the performance of Imperial's Grand Rapids project in Q3 2024?
