Canada's Imperial Q1 profit falls 27% as refinery issues weigh

Imperial Oil

01/05/2026 13:04

Overview

Canada oil and gas producer's Q1 net income and EPS declined yr/yr

Quarterly revenue was little changed, upstream production stable yr/yr

Downstream results impacted by unplanned downtime and Syncrude feedstock disruption

Outlook

Imperial intends to renew its normal course issuer bid in June 2026

Company says recent tariffs are not expected to materially impact financial position or cash flows

Imperial cites significant volatility in global commodity markets as a factor for current outlook

Result Drivers

LOWER REALIZATIONS - Decreased average bitumen and synthetic crude oil prices, mainly due to weaker WTI/WCS and synthetic/WTI spreads, reduced upstream earnings

REFINERY AND FEEDSTOCK DISRUPTIONS - Unplanned refinery downtime and disruption of synthetic crude feedstock from Syncrude's coker outage lowered downstream throughput and capacity utilization

UNFAVORABLE FOREIGN EXCHANGE - Upstream results were negatively affected by unfavorable foreign exchange impacts of about C$100 mln

Company press release: ID:nBw6ClGsTa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
C$1.94
Q1 Net Income
C$940 mln


Analyst Coverage

The current average analyst rating on the shares is "sell" and the breakdown of recommendations is 1 "strong buy" or "buy", 6 "hold" and 9 "sell" or "strong sell"

The average consensus recommendation for the oil & gas refining and marketing peer group is "buy."

Wall Street's median 12-month price target for Imperial Oil Ltd is C$131.00, about 28% below its April 30 closing price of C$181.96

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 21 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.)