Cenovus announces second-quarter 2025 results

Core Insights - Cenovus Energy Inc. reported strong operational performance in Q2 2025, achieving significant milestones in project execution and maintenance activities, which are expected to enhance free funds flow in the future [3][19][20] Financial Summary - The company generated approximately $2.4 billion in cash from operating activities, $1.5 billion in adjusted funds flow, and $355 million in free funds flow for Q2 2025 [4][17] - Total revenues for Q2 2025 were $12.3 billion, a decrease from $13.3 billion in Q1 2025, with upstream revenues at $6.8 billion and downstream revenues at $7.7 billion [8] - Net earnings for Q2 2025 were $851 million, slightly down from $859 million in Q1 2025, impacted by lower benchmark oil prices and higher maintenance costs [17][18] Production and Throughput - Total upstream production was 765,900 barrels of oil equivalent per day (BOE/d), down from 818,900 BOE/d in Q1 2025, primarily due to planned maintenance and wildfire impacts [10][12] - Downstream crude throughput was 665,800 barrels per day (bbls/d), slightly up from 665,400 bbls/d in the previous quarter, reflecting a utilization rate of 92% [13][14] Growth Projects - Cenovus achieved first oil at Narrows Lake in July 2025, with production expected to ramp up to peak rates of 20,000 to 30,000 bbls/d by year-end [6][19] - Significant progress was made on the West White Rose project, with the concrete gravity structure installed ahead of schedule and drilling expected to commence by year-end [20] Shareholder Returns - The company returned $819 million to shareholders in Q2 2025, including $301 million from share purchases and $368 million in dividends [26] - A quarterly base dividend of $0.20 per common share was declared, payable on September 29, 2025 [23]