2023-04-26 07:57:27 ET
Cenovus Energy ( NYSE: CVE ) -1.8% pre-market Wednesday after missing Q1 adjusted earnings expectations but forecasting higher production this year and raising its dividend by a third .
Q1 net income fell to C636M (US$466.8M), or C$32/share, from C$1.63B, or C$0.79/share, and revenues fell 12.7% Y/Y to C$12.3B, mainly due to lower benchmark commodity prices.
Q1 production slipped 2.5% Y/Y to 779K boe/day, as output at Christina Lake fell due to the timing of new sustaining well pads, and downstream throughput fell 8.7% to 457.9K bbl/day, citing unplanned outages early in the quarter and a longer than expected ramp-up period at the Toledo operation.
For FY 2023, Cenovus ( CVE ) said it expects total production will rise to 790K-810K boe/day from 786.2K boe/day in 2022, while U.S. manufacturing throughput is seen at 480K-500K bbl/day, compared to 493.7K bbl/day last year.
In February, Cenovus ( CVE ) closed a deal to buy BP's 50% stake in the BP-Husky Toledo refinery in Ohio, raising the company's total downstream refining capacity to ~740K bbl/day.
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Cenovus Energy slips after Q1 earnings and revenues tumble