Oil producer Imperial reported net income of CAD539mn ($390mn) in the third quarter of 2025, compared with CAD1.237bn in the same period last year, a decline of 56%. This contraction mainly resulted from a non-cash impairment of CAD306mn ($222mn) related to its Calgary campus and a restructuring charge of CAD249mn ($181mn). Excluding exceptional items, adjusted net income stood at CAD1.094bn ($792mn).
Strong operational performance in upstream and downstream
Upstream production reached a record 462,000 oil-equivalent barrels per day, the highest quarterly level in more than three decades. The Kearl site delivered an unprecedented total of 316,000 barrels per day, including 224,000 barrels for Imperial. Cold Lake maintained an average of 150,000 barrels per day, while Imperial’s share in Syncrude reached 78,000 barrels per day.
In refining, throughput averaged 425,000 barrels per day, corresponding to a 98% utilisation rate, up from 90% a year earlier. However, petroleum product sales decreased to 464,000 barrels per day from 487,000, reflecting lower volumes in supply and wholesale channels.
Cash flow rises despite one-off charges
Operating cash flow reached CAD1.798bn ($1.30bn), up from CAD1.487bn in the prior year, supported by favourable working capital effects. Excluding working capital changes, cash flow amounted to CAD1.600bn ($1.16bn), including a CAD149mn impact related to restructuring.
Capital and exploration expenditures totalled CAD505mn ($366mn), slightly higher than CAD486mn in the third quarter of 2024. Imperial distributed CAD1.835bn ($1.33bn) to shareholders during the period, including CAD366mn in dividends and CAD1.469bn in share buybacks under its accelerated normal course issuer bid (NCIB) programme, expected to be completed before year-end.
New restructuring phase to strengthen competitiveness
Announced in late September, the restructuring aims to centralise additional technical and corporate functions within global service and technology centres. This reorganisation forms part of the company’s long-term strategy to leverage scale efficiencies and a rapidly evolving technology environment to improve operational performance.
The Leming SAGD (steam-assisted gravity drainage) redevelopment project, under development in the Cold Lake region, is expected to begin production in the coming weeks. The targeted peak capacity is around 9,000 barrels per day.
