Canada's Cardinal Energy Q1 revenue rises on record production

Cardinal Energy (Alberta)

07/05/2026 22:13

Overview

Canada oil and gas producer's Q1 revenue rose 11% yr/yr on record production

Adjusted funds flow for Q1 fell yr/yr despite higher production

Net operating expenses per boe fell 13% yr/yr due to cost efficiencies and lower taxes

Outlook

Cardinal raises 2026 capital budget to C$205 mln, up from C$160 mln

Company forecasts 2026 adjusted funds flow of C$321 mln, up from C$208 mln prior outlook

Cardinal expects year-end 2026 net debt of C$206 mln, down from prior forecast of C$269 mln

Result Drivers

REFORD 1 SAGD PROJECT - Record Q1 production driven by Reford 1 SAGD volumes exceeding nameplate capacity

COST EFFICIENCIES - Lower net operating expenses per boe due to low Reford costs, reduced carbon taxes and decreased power prices

CAPITAL INVESTMENT - Higher capital expenditures focused on Reford 2 SAGD project, drilling, and asset maintenance

Company press release: ID:nNFC7CH53T

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Petroleum and Natural Gas Revenue
C$166.6 mln
Q1 Cash Flow from Operating Activities
C$45.6 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

Wall Street's median 12-month price target for Cardinal Energy Ltd (Alberta) is C$13.00, about 6.7% above its May 6 closing price of C$12.18

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 35 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)