Suncor Energy tops profit estimates on higher oil prices, margins
SU•Suncor Energy reported adjusted operating profit of C$3.97 per share for the third quarter, above analysts’ average estimate of C$3.28. Oil sands revenue rose 32% to C$9.32 billion, and the company raised monthly share buybacks to C$750 million starting in October.
1. Quarterly results
Suncor Energy beat analysts’ third-quarter profit expectations as higher oil prices and stronger refinery margins offset lower production and throughput. Adjusted operating profit was C$3.97 per share for the quarter ended September 30, compared with analysts’ average estimate of C$3.28.
2. Production and returns
Oil sands production revenue increased 32% to C$9.32 billion, while refining revenue rose more than 65% to about C$13.4 billion. Upstream production fell 2% to 852,500 barrels per day, and refinery throughput declined slightly to 487,700 bpd. Suncor declared a quarterly dividend of 66 Canadian cents per share, payable December 24, and increased monthly share repurchases from C$500 million to C$750 million beginning in October.
