- Cenovus Energy press release ( NYSE: CVE ): Q2 GAAP EPS of C$1.19 beats by C$0.32 .
- Revenue of C$19.2B beats by C$1.74B .
- AFFO of C$1.53
- Generated cash from operating activities of nearly $3.0 billion, adjusted funds flow of $3.1 billion, free funds flow of $2.3 billion and excess free funds flow of approximately $2.0 billion.
- Reduced long-term debt, including current portion, to $11.2 billion and net debt to $7.5 billion at quarter end.
- Released Cenovus’s 2021 environmental, social and governance ( ESG ) report today, detailing overall sustainability performance and progress on the company’s ESG targets.
-
Changes to the company’s 2022 guidance include:
- Increased total capital investments for the year by $400 million at the mid-point to an updated range of $3.3 billion to $3.7 billion.
- Oil Sands capital guidance has increased by $200 million at the mid-point, related to higher planned investments at Sunrise following the anticipated third-quarter closing of the previously announced acquisition of the remaining 50% partnership interest as well as incremental capital at Foster Creek, Christina Lake and Lloydminster thermals to support continued optimization of the assets, including adding shorter-cycle production opportunities and increased delineation drilling to speed well pad development.
- Capital guidance for the Offshore segment has increased by about $100 million to include preliminary work on the West White Rose Project restart.
- Capital guidance for the Conventional segment has increased by $100 million at the mid-point to account for inflation of labour and equipment costs, increased scope of drilling activity in the second half of 2022 as well as for asset integrity and emissions reduction initiatives.
- Updated total upstream production guidance to between 780,000 BOE/d and 810,000 BOE/d, an increase of 15,000 BOE/d at the midpoint, to reflect the expected closing of the agreement to purchase the remaining 50% partnership interest in the Sunrise oil sands project.
- Increased unit operating expenses across the Downstream business to capture the outlook for strong natural gas prices, extended turnaround activity at the non-operated Wood River, Borger and Toledo refineries, and inflationary pressures on labour costs, and chemical and electricity prices in the U.S. and Canada.
- Revised the range for expected cash taxes to between $2.3 billion and $2.6 billion for the year, reflecting higher commodity price assumptions and increased profitability across Cenovus’s businesses.
- Shares +1.41% PM.
For further details see:
Cenovus Energy GAAP EPS of C$1.19 beats by C$0.32, revenue of $19.2B beats by C$1.74B