Imperial Oil(US:IMO)2026-01-30 13:07Financial Performance - Net income for Q4 2025 was $492 million, down from $1,225 million in Q4 2024, with net income excluding identified items at $968 million compared to $1,225 million in the previous year[2][9] - Full-year estimated net income for 2025 was $3,268 million, down from $4,790 million in 2024, with net income excluding identified items at $4,299 million[2][33] - Net income for 2025 was $3,268 million, a decline of 31.5% compared to $4,790 million in 2024[59] - Net income for Q4 2025 was CAD 492 million, a decrease of 60% from CAD 1,225 million in Q4 2024[63] - Total revenues for Q4 2025 were CAD 11,280 million, down 10.5% from CAD 12,607 million in Q4 2024[63] - Upstream revenues decreased to CAD 3,599 million in Q4 2025 from CAD 4,686 million in Q4 2024, a decline of 23.2%[63] - Total revenues for 2025 were $47,078 million, down from $51,532 million in 2024, reflecting a decrease of approximately 8.5%[59] Cash Flow and Expenditures - Cash flows from operating activities increased to $1,918 million in Q4 2025, up from $1,789 million in Q4 2024, while cash flows excluding working capital were $1,260 million[3][9] - Cash flows from operating activities increased to $6,708 million in 2025 from $5,981 million in 2024, representing a growth of 12.2%[42] - Capital and exploration expenditures rose to $651 million in Q4 2025, compared to $423 million in Q4 2024[3][9] - Capital and exploration expenditures increased to CAD 651 million in Q4 2025, compared to CAD 423 million in Q4 2024, a rise of 54%[63] Shareholder Returns - The company returned $2,072 million to shareholders in Q4 2025, including $361 million in dividends and $1,711 million in share repurchases[6][9] - Quarterly dividend increased by 20% from $0.72 to $0.87 per share[6][9] - Dividends paid increased to $1,401 million in 2025 from $1,238 million in 2024, reflecting a rise of 13.2%[44] - The company plans to continue its share repurchase program, having received approval to buy up to 25,452,248 common shares from June 29, 2025, to June 28, 2026[45] Production and Operational Metrics - Upstream production averaged 444,000 gross oil-equivalent barrels per day in Q4 2025, a decrease from 460,000 barrels per day in Q4 2024, with Kearl production impacted by wet weather[4][9] - Gross crude oil production averaged 439,000 barrels per day in Q4 2025, a decrease from 455,000 barrels per day in Q4 2024[65] - Total crude oil production for the year 2025 was 433,000 barrels per day, an increase from 428,000 barrels per day in 2024[65] - Refinery throughput averaged 408,000 barrels per day in Q4 2025, slightly down from 411,000 barrels per day in Q4 2024, with capacity utilization at 94%[5][9] - Refinery throughput increased to 402 thousand barrels per day in 2025, up from 399 thousand barrels per day in 2024, indicating improved operational efficiency[39] - Petroleum product sales increased to 479,000 barrels per day in Q4 2025, up from 458,000 barrels per day in Q4 2024, driven by higher volumes in supply and retail channels[5][9] Costs and Expenses - Cash operating costs for Q4 2025 were CAD 2,552 million, an increase of 28.7% compared to CAD 1,984 million in Q4 2024; for the twelve months, cash operating costs rose to CAD 8,662 million from CAD 7,547 million, a 14.8% increase[81] - Total expenses for Q4 2025 were CAD 10,651 million, down from CAD 11,032 million in Q4 2024, while total expenses for the twelve months decreased to CAD 42,816 million from CAD 45,293 million[81] - The production and manufacturing costs in Q4 2025 were CAD 2,294 million, up 32.8% from CAD 1,729 million in Q4 2024; for the twelve months, these costs increased to CAD 7,269 million from CAD 6,599 million[82] - Unit cash operating costs for the Upstream segment in Q4 2025 were CAD 39.61 per oil-equivalent barrel, significantly higher than CAD 28.43 in Q4 2024[85] - The cash operating costs for the Upstream segment in Q4 2025 were CAD 1,618 million, compared to CAD 1,203 million in Q4 2024, reflecting a 34.5% increase[83] Impairments and Charges - Identified items for the year included a $320 million after-tax charge related to the Norman Wells end of field life acceleration and a $306 million after-tax non-cash impairment charge[33] - The company reported a non-cash impairment charge of $306 million after-tax related to the Calgary Imperial Campus in 2025[41] - The company reported an unfavorable one-time charge of CAD 109 million before-tax for Kearl and CAD 21 million before-tax for Cold Lake related to inventory optimization[87] Realizations and Exchange Rates - Average bitumen realizations decreased by $7.52 per barrel, while synthetic crude oil realizations decreased by $12.92 per barrel due to lower WTI prices[34] - The average foreign exchange rate was 0.72 in 2025, slightly down from 0.73 in 2024[36] - Average realizations for bitumen decreased to CAD 59.00 per barrel in Q4 2025 from CAD 71.58 per barrel in Q4 2024[65] Earnings Per Share - Net income per common share for Q4 2025 was CAD 1.00, down 57.8% from CAD 2.37 in Q4 2024, while the twelve-month net income per share decreased to CAD 6.48 from CAD 9.03[79] - The net income excluding identified items per common share for Q4 2025 was CAD 1.97, compared to CAD 2.37 in Q4 2024, indicating a decline of 16.9%[79]