Jan 30, 2026 (MarketLine via COMTEX) --
Imperial reported quarterly net income of $492 million and net income excluding identified items of $968 million.
Cash flows from operating activities of $1,918 millionQuarterly Upstream production of 444,000 gross oil-equivalent barrels per day, and the highest annual production in over 30 years of 438,000 gross oil-equivalent barrels per dayKearl quarterly production of 274,000 total gross oil-equivalent barrels per day (194,000 barrels Imperials share), and annual total gross production of 280,000 barrels per day (199,000 barrels Imperials share)Cold Lake quarterly production of 153,000 gross oil-equivalent barrels per day and annual production of 151,000 barrels per dayDownstream refinery capacity utilization of 94 percent for the quarter and 93 percent for the yearReturned $2,072 million to shareholders in the quarter with $361 million in dividend payments and $1,711 million of share repurchasesQuarterly dividend increased by 20 percent from 72 cents to 87 cents per shareImperial reported estimated net income in the fourth quarter of $492 million, compared to net income of $539 million in the third quarter of 2025, primarily driven by lower upstream realizations. Excluding identified items1, estimated net income was $968 million compared to $1,094 million in the third quarter of 2025. Identified items1 in the fourth quarter related to Norman Wells end of field life acceleration and a separate one-time charge associated with the optimization of materials and supplies inventory.
Quarterly cash flows from operating activities were $1,918 million, up from $1,798 million generated in the third quarter of 2025. Cash flows from operating activities excluding working capital1 were $1,260 million – which included an unfavourable $325 million related to identified items1. Cash flows from operating activities excluding working capital1 were $1,600 million in the third quarter of 2025 – which included an unfavourable $149 million related to identified items1.
Full year estimated net income was $3,268 million with cash flows from operating activities of $6,708 million. Excluding identified items1, full year estimated net income was $4,299 million. Full-year cash flows from operating activities excluding the impacts of working capital1 were $6,033 million – which included an unfavourable $474 million related to identified items1.
"This past year demonstrated the strength of our integrated business model, as we achieved record annual crude production, deployed advantaged technology at Cold Lake, and started up Canadas largest renewable diesel facility," said John Whelan, chairman, president and chief executive officer. "Looking ahead, we are confident in our plans to profitably grow volumes, lower unit cash costs1, and progress our restructuring, while maintaining our focus on safety and operational excellence."
Upstream production in the quarter averaged 444,000 gross oil-equivalent barrels per day. At Kearl, quarterly total gross production averaged 274,000 barrels per day (194,000 barrels Imperials share) with operations impacted by wet weather early in the quarter. Cold Lake averaged 153,000 barrels per day with first oil achieved at our new Leming SAGD project. The companys share of Syncrude production in the quarter averaged 87,000 gross barrels per day and contributed to annual production of 79,000 barrels per day.
Downstream throughput in the quarter averaged 408,000 barrels per day, impacted by the planned Sarnia turnaround and additional maintenance in the companys eastern manufacturing hub, resulting in an overall refinery capacity utilization of 94 percent. Petroleum product sales averaged 479,000 barrels per day. Full-year throughput averaged 402,000 barrels per day with capacity utilization of 93 percent and petroleum product sales of 470,000 barrels per day.
During the quarter, Imperial returned $2,072 million to shareholders through dividend payments and share repurchases under the accelerated normal course issuer bid (NCIB) program.
"Our corporate strategy, capital expenditure plans and efficiency initiatives, including restructuring, give me confidence in our ability to continue to grow shareholder value and returns," said Whelan. "I am pleased to announce a 20 percent increase in our dividend to 87 cents per share."
Fourth quarter highlightsNet income of $492 million or $1.00 per share on a diluted basis, compared to $1,225 million or $2.37 per share in the fourth quarter of 2024. Results in the current quarter include identified items1 of $320 million after-tax related to the Norman Wells end of field life acceleration and a separate one-time $156 million after-tax charge associated with the optimization of materials and supplies inventory.Cash flows from operating activities of $1,918 million, up from cash flows from operating activities of $1,789 million in the fourth quarter of 2024. Cash flows from operating activities excluding working capital1 of $1,260 million – which included an unfavourable $325 million related to the identified items1 – compared to $1,650 million in the fourth quarter of 2024.Capital and exploration expenditures totaled $651 million, up from $423 million in the fourth quarter of 2024.The company returned $2,072 million to shareholders in the fourth quarter of 2025, including $361 million in dividends paid and $1,711 million with the successful completion of its accelerated share repurchases under the NCIB.Upstream production averaged 444,000 gross oil-equivalent barrels per day, compared to 460,000 gross oil-equivalent barrels per day in the fourth quarter of 2024, with Kearl operations impacted by wet weather early in the quarter.Total gross bitumen production at Kearl averaged 274,000 barrels per day (194,000 barrels Imperials share), compared to 299,000 barrels per day (212,000 barrels Imperials share) in the fourth quarter of 2024, as operations were impacted by wet weather early in the quarter.Gross bitumen production at Cold Lake averaged 153,000 barrels per day, compared to 157,000 barrels per day in the fourth quarter of 2024.Cold Lake Leming SAGD project achieved first oil and, as expected, is currently ramping up to a peak of around 9,000 barrels per day.The companys share of gross production from Syncrude averaged 87,000 barrels per day, up from 81,000 barrels per day in the fourth quarter of 2024.Announced plans to accelerate cessation of production at Norman Wells in the Northwest Territories to the end of the third quarter of 2026 as the asset reaches end of economic field life.Refinery throughput averaged 408,000 barrels per day, compared to 411,000 barrels per day in the fourth quarter of 2024, primarily due to additional maintenance in the companys eastern manufacturing hub. Capacity utilization was 94 percent, compared to 95 percent in the fourth quarter of 2024.Petroleum product sales were 479,000 barrels per day, up from 458,000 barrels per day in the fourth quarter of 2024, driven by higher volumes in the supply and retail channels, supported by a growing number of retail sites nationwide.Chemical net income of $9 million in the quarter, compared to $21 million in the fourth quarter of 2024.Recent business environment
During the fourth quarter of 2025, the price of crude oil decreased relative to the third quarter of 2025 due to global supply outpacing demand resulting in inventory builds. The Canadian WTI/WCS spread widened as seasonal weakening in heavy crude demand coincided with an increase in WCS supply. Industry refining margins improved in the fourth quarter of 2025, influenced by geopolitical factors and supply disruptions.
Operating results Fourth quarter 2025 vs. fourth quarter 2024
Fourth Quarter
Current quarter results include identified items1 of $320 million after-tax ($421 million before-tax) related to the Norman Wells end of field life acceleration and a separate one-time $156 million after-tax ($206 million before-tax) charge associated with the optimization of materials and supplies inventory.
Price – Average bitumen realizations decreased by $12.58 per barrel, primarily driven by lower marker prices partially offset by favourable diluent and narrowing WTI/WCS spread. Synthetic crude oil realizations decreased by $19.03 per barrel, primarily driven by lower WTI and a weaker Synthetic/WTI spread.
Volume – Lower volumes were impacted by wet weather early in the quarter at Kearl.
Royalty – Lower royalties were primarily driven by lower commodity prices.
Identified items1 – $320 million after-tax ($421 million before-tax) related to the Norman Wells end of field life acceleration and a separate one-time $100 million after-tax ($131 million before-tax) charge associated with the Upstream portion of the optimization of materials and supplies inventory.
Other – Primarily due to higher operating expenses of about $80 million, including higher energy costs, additional maintenance in the companys eastern manufacturing hub and additional operating costs from the start-up of the Strathcona renewable diesel facility.
Refinery utilization and petroleum product sales
Fourth Quarter
Lower refinery throughput was primarily due to additional maintenance in the companys eastern manufacturing hub.
Higher petroleum product sales were primarily due to higher volumes in the supply and retail channels, supported by a growing number of retail sites nationwide.
Cash flows from operating activities primarily reflect favourable 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:
The company completed share repurchases under its normal course issuer bid on December 17, 2025.
Full-year 2025 vs. full-year 2024
Current year results include identified items1 of: $320 million after-tax ($421 million before-tax) related to the Norman Wells end of field life acceleration; a $306 million after-tax ($406 million before-tax) non-cash impairment charge of the Calgary Imperial Campus; a $249 million after-tax ($330 million before-tax) restructuring charge; and a one-time $156 million after-tax ($206 million before-tax) charge associated with the optimization of materials and supplies inventory.
Price – Average bitumen realizations decreased by $7.52 per barrel, primarily driven by lower marker prices partially offset by narrowing WTI/WCS spread and favourable diluent. Synthetic crude oil realizations decreased by $12.92 per barrel, primarily driven by lower WTI.
Volume – Inventory impacts partially offset by higher production.
Royalty – Lower royalties were primarily driven by lower commodity prices.
Other – Primarily due to favourable foreign exchange impacts of about $190 million.
Identified items1 – $320 million after-tax ($421 million before-tax) related to the Norman Wells end of field life acceleration and a separate one-time $100 million after-tax ($131 million before-tax) charge associated with the Upstream portion of the optimization of materials and supplies inventory.
On June 23, 2025, the company announced by news release that it had received final approval from the Toronto Stock Exchange for a new normal course issuer bid to continue its then-existing share purchase program. The program enabled the company to purchase up to a maximum of 25,452,248 common shares during the period June 29, 2025 to June 28, 2026. The program completed on December 17, 2025 as a result of the company purchasing the maximum allowable number of shares under the program.
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COMTEX_472973683/2227/2026-02-05T18:46:21
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