Suncor Energy Inc. (TSX:SU) shares are slightly lower in premarket deals on Nasdaq following quarterly results that showed a halving of profit in the second three months of its financial year.
Net income was reported at C$1.88 billion (US$1.4bn) down from C$4 billion in the same period last year, while on a per share basis it reported C$1.44 versus C$2.84.
The Canadian energy company, which reported earnings after Monday’s market close, confirmed it had incurred some C$275 million in write-offs amidst its recent restructuring.
It also pointed to weakened global oil prices, from last year’s peak (coincident with the war in Ukraine), and, waning demand as concerns in the macro-economy dampened fuel-consuming activities.
Suncor’s restructuring sees the company axe around 1,500 people from its workforce this year.
Operationally, upstream production rose by around 3% in the quarter to 741,900 barrels of oil equivalent per day, while in its refinery division Suncor saw utilization average 85%, and, crude throughput measured 394,000 barrels per day.
According to chief executive Rich Kruger, it was a “strong performance once again”.
“During the second quarter, we generated $2.7 billion of adjusted funds from operations and delivered $1.4 billion to shareholders, and we're making good progress on our goal of clarifying, simplifying and focusing the organization to drive improved performance and maximize value for our shareholders,” Kruger said in a statement.
Suncor separately confirmed a quarterly dividend of 52 cents per share, payable to holders as of 1 September.
Management, meanwhile, noted that a cybersecurity incident in June had no bearing on the company’s financial outcomes.
In New York, Suncor stock is seen trading down 1.2% in premarket dealing changing hands at US$31.15 ahead of Tuesday's open.