Cenovus Energy ( NYSE: CVE ) -4.5% in Thursday's trading after reporting lower than expected Q4 GAAP earnings and revenues, and appointing current COO Jon McKenzie as the company's new CEO to replace Alex Pourbaix, who becomes executive chair.
While missing expectations, Cenovus' ( CVE ) Q4 net earnings swung to a profit of C$784M (US$585.4M), or C$0.39/share, from a year-earlier loss of C$408M, or C$0.21/share; free funds flow fell 4% to C$1.07B from C$1.11B in the year-earlier quarter.
The company said results were affected by lower operating margin and non-cash impairments of C$266M in its U.S. manufacturing segment and a revaluation gain of C$$549M in Q3 related to an acquisition.
Q4 total revenues fell to $14.1B from $17.5B in Q3, mainly due to lower benchmark commodity prices, which drove reduced prices for the company's products across the upstream and downstream businesses.
Q4 total upstream production fell to 806.9K boe/day from 825.3K boe/day in the year-earlier quarter, while downstream production rose to 473.5 bbl/day from 469.9K bbl/day a year ago.
Cenovus Energy ( CVE ) shares have gained 2% so far this year and 20% during the past year .
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Cenovus Energy swings to Q4 profit but short of analyst expectations