Imperial Oil beats profit estimates on stronger refining margins
IMO•Imperial Oil reported third-quarter adjusted profit of C$5.11 per share, above analysts’ average estimate of C$4.70, as stronger refining margins lifted downstream earnings to C$1.56 billion. The company lowered its 2026 Kearl production target to 280,000 gross barrels per day.
1. Profit and refining gains
Imperial Oil beat Wall Street estimates for third-quarter adjusted profit as stronger refining margins drove downstream earnings higher, offsetting lower crude production. Downstream earnings rose to C$1.56 billion from C$444 million a year earlier, reflecting improved margins and a more favorable product mix. Brent crude averaged about $89.27 per barrel during the quarter, up more than 31% from a year earlier.
2. Production and throughput
Total throughput fell to 381,000 barrels per day from 425,000 a year earlier, due to unplanned downtime, a third-party pipeline outage and planned turnaround activity. Upstream production averaged 418,000 gross barrels of oil equivalent per day, down from 462,000, with lower production and planned turnarounds at its three Alberta assets. Imperial reduced its 2026 production target for the Kearl oil sands mine to 280,000 gross barrels per day, citing third-party disruptions earlier in the year.
3. Sales and shareholder returns
Petroleum product sales increased to 474,000 barrels per day from 464,000, driven by higher export sales. Imperial returned C$2.51 billion to shareholders through dividends and share buybacks during the quarter.
