Imperial Sees 55% Lower Profit, Digs In for ‘Sustained Lower Prices’
With many Canadian oil and gas companies “bleeding money” due to falling oil prices, Imperial Oil reported lower profits but no layoffs when it released its quarterly financial results Thursday.
The company’s net income was down 55%, to $421 million, and “would have been lower if not for an uptick in daily production of about 3,000 barrels on the 333,000 barrels per day it did last year,” CBC reports.
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The big question for Imperial is “when oil prices might start cooperating again,” Bakx writes.
“The truth is no one knows,” CEO Richard Kruger told shareholders. “So at Imperial we are approaching our business as if we may be in for a sustained period of lower prices.”
In other quarterly earnings reports, Canada’s largest oil company, Suncor Energy, posted a $341 million loss and cut 1,200 jobs, while Cenovus Energy lost $688 million.