Suncor Energy Inc. (TSX:SU) reported better-than-expected third quarter earnings which sent its shares higher on Thursday.
The Calgary, Alberta-based oil producer posted earnings of $1.54 billion or C$1.19 per share for 3Q, compared to a loss of C$609 million or loss per share of C$0.45 in the year-ago quarter when its profits were hit by impairment charges.
Its adjusted earnings were $1.98 billion C$1.52 per share, ahead of the consensus analyst expectation of C$1.36, but down from the year-ago quarter’s $2.57 billion or $1.88 on lower crude oil prices, increased royalties, and decreased sales volumes due to international asset divestments.
Total upstream production of 690,500 barrels of oil equivalent per day (boepd), down year-over-year from 724,100 boepd.
Refinery utilization was 99%, down from 100% in 3Q 2022 but up from 85% in the second quarter.
"We generated over C$3.6 billion in adjusted funds from operations and returned nearly C$1 billion to shareholders this quarter," Suncor CEO Rich Kruger highlighted in a statement.
"Outside of planned maintenance activities, our upgrader and refinery utilizations were over 100%, highlighting our strong operating performance in the third quarter."
Suncor’s United States shares added 5.1% at US$33, while its Toronto-listed shares gained 5% at C$45.43.
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