Key Takeaways SU posted Q4 adjusted EPS of 79 cents, beating estimates as record upstream production lifted results.Revenues reached $8.8B, topping consensus on higher upstream and downstream volumes despite a Y/Y dip.Record refining throughput and 108% utilization drove stronger downstream earnings in the quarter.Suncor Energy Inc. (SU) reported fourth-quarter 2025 adjusted operating earnings of 79 cents per share, which beat the Zacks Consensus Estimate of 77 cents. This outperformance can be attributed t ...

Canadian oil sands producer Suncor Energy will present the market this spring with options it is considering for securing long-term bitumen supply, the company's chief executive said on Wednesday. ...

Financial Data and Key Metrics Changes - The fourth quarter of 2025 marked the best operational performance in the company's history, with upstream production reaching 909,000 barrels per day, a 34,000 barrels per day increase from the previous record in Q4 2024 [5][6] - Full-year upstream production was 860,000 barrels per day, exceeding the previous best by 32,000 barrels per day and 20,000 barrels per day above the high end of original guidance [6] - Refining throughput in Q4 was 504,000 barrels per day, the highest ever recorded, and full-year throughput was 480,000 barrels per day, also a record [7][8] - The company achieved a full-year capital expenditure of CAD 5.66 billion, down CAD 510 million from 2024, while maintaining higher production levels [10][18] Business Line Data and Key Metrics Changes - Upgrader utilization was 106% for Q4 and 99% for the full year, both records [7] - Product sales reached 640,000 barrels per day in Q4, marking the best fourth quarter ever, and full-year sales were 623,000 barrels per day, also a record [8][9] - The company reported a 12% increase in total material movement in mining operations, moving 1.4 billion tons of material at essentially the same cost base [30] Market Data and Key Metrics Changes - The company noted a year-on-year decrease in WTI prices by 15%, with adjusted funds from operations (AFFO) down 8% and free funds flow down 6% [15] - Despite lower oil prices, the company maintained a strong balance sheet with net debt at CAD 6.3 billion, the lowest in over a decade [18][19] Company Strategy and Development Direction - The company has successfully executed a three-year performance improvement plan in just two years, achieving significant production growth and cost reductions ahead of schedule [12][13] - Future plans include a new value improvement plan to be detailed on March 31, focusing on both short-term and long-term growth strategies [17] - The company aims to maintain a low-cost production model while returning capital to shareholders through buybacks and dividends [14][68] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of continuous improvement and operational excellence, which has led to record-breaking performance across various metrics [11][32] - The company expressed confidence in its ability to navigate market fluctuations and maintain profitability, highlighting its integrated business model as a key advantage [56][77] Other Important Information - The company has repurchased 163 million shares over the past three years, representing more than 12% of its float, and plans to continue buybacks at an increased rate in 2026 [16][20] - The management team has implemented a leadership development framework to ensure a continuous pipeline of leadership candidates [26][27] Q&A Session Summary Question: Changes in company culture and succession planning - Management discussed the importance of leadership development and succession planning, emphasizing a focus on functional excellence and expertise [25][26] Question: Performance of mining operations - Management highlighted improvements in mining operations, including technology implementations to enhance performance in varying weather conditions [28][30] Question: Field-driven optimization opportunities - Management noted a cultural shift towards immediate action on optimization opportunities, leading to increased refining utilization and throughput [36][37] Question: Refining market outlook - Management expressed confidence in the sustainability of refining margins in Canada, citing structural advantages and operational improvements [55][56] Question: Buyback guidance and conditions - Management confirmed that the ability to maintain buybacks is supported by reduced net debt and a low breakeven point, allowing for shareholder returns even in lower oil price environments [47][48]

Financial Data and Key Metrics Changes - The fourth quarter of 2025 saw upstream production reach 909,000 barrels per day, the highest quarterly production in company history, exceeding the previous best by 34,000 barrels per day [5][6] - Full-year upstream production was 860,000 barrels per day, also a record, surpassing the previous year by 32,000 barrels per day and exceeding original guidance by 20,000 barrels per day [6][9] - Refining throughput for Q4 was 504,000 barrels per day, marking the best quarter ever, and full-year throughput was 480,000 barrels per day, also a record [7][8] - Capital expenditures for the full year were CAD 5.66 billion, down CAD 510 million from 2024, and CAD 540 million below original guidance, achieved through rigorous cost management [10][12] - The company reported a net debt of CAD 6.3 billion, the lowest in over a decade, and a significant reduction in WTI breakeven costs [14][18] Business Line Data and Key Metrics Changes - Upstream production increased by 114,000 barrels per day over two years without major acquisitions or capital-intensive projects, demonstrating growth from within [6][12] - Refining utilization was reported at 108% for Q4 and 103% for the full year, both record levels, with all refineries operating at 100% or higher for two consecutive quarters [8][9] - Product sales reached 640,000 barrels per day in Q4, the best fourth quarter ever, and full-year sales were 623,000 barrels per day, also a record [9] Market Data and Key Metrics Changes - The company noted a year-on-year decrease in WTI prices by 15%, with adjusted AFFO down 8% and free funds flow down 6% [14][15] - Despite lower oil prices, the company maintained a strong performance in share buybacks, repurchasing over CAD 3 billion worth of shares in 2025 [15][16] Company Strategy and Development Direction - The company aims to continue its growth trajectory with a focus on operational excellence, cost management, and shareholder returns, including a commitment to share buybacks and dividends [12][20] - A new value improvement plan is set to be detailed on March 31, focusing on both short-term and long-term strategies, including bitumen supply and development options [17][68] - The company has shifted to a low-cost producer model, significantly improving its balance sheet and operational efficiency [14][18] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of leadership development and succession planning as key to sustaining performance improvements [26][27] - The company expressed confidence in its ability to navigate market fluctuations, leveraging its integrated business model to maintain profitability [56][77] - Management highlighted the resilience of the company in the face of external market pressures, indicating a strong position to capitalize on opportunities during downturns [77] Other Important Information - The company reported a 12% increase in total material movement in mining operations year-over-year, achieving 1.4 billion tons moved at essentially the same cost base [30] - The implementation of technology in mining operations, such as the Autonomous Haul System, has contributed to improved efficiency and performance [30] Q&A Session Summary Question: Changes in company culture and succession planning - Management discussed the importance of continuous leadership development and succession planning, emphasizing a focus on functional excellence [25][26] Question: Performance of mining operations - Management noted improvements in mining performance due to better maintenance of haul roads and the implementation of new technologies [28][30] Question: Field-driven optimization opportunities - Management indicated a proactive approach to field-driven optimizations, focusing on immediate opportunities rather than a backlog [35][36] Question: Refining market sustainability - Management expressed confidence in the Canadian refining market's structural advantages and the company's ability to capture margins effectively [55][56] Question: M&A opportunities - Management stated that the company has earned credibility and trust to pursue M&A if it aligns with shareholder value creation [61][63] Question: CapEx guidance beyond 2026 - Management indicated a focus on maintaining capital expenditures around CAD 6 billion while continuing to return capital to shareholders [66][68]

Financial Data and Key Metrics Changes - In Q4 2025, Suncor achieved upstream production of 909,000 barrels per day, marking the best quarter in the company's history, which is 34,000 barrels per day higher than the previous best in Q4 2024 [4][5] - Full-year upstream production reached 860,000 barrels per day, exceeding the previous best by 32,000 barrels per day and 20,000 barrels per day above the high end of original guidance [5] - The company reported refining throughput of 504,000 barrels per day in Q4 2025, also the best quarter ever, and a full-year throughput of 480,000 barrels per day, which is 15,000 barrels per day higher than the previous best [6][7] - Capital expenditures for the full year were CAD 5.66 billion, down CAD 510 million from 2024 and CAD 540 million below original guidance, indicating improved cost management [9][12] - Net debt decreased to CAD 6.3 billion, the lowest level in over a decade, demonstrating strong financial resilience [16][12] Business Line Data and Key Metrics Changes - Upstream production growth over the last two years totaled 114,000 barrels per day, achieved without costly acquisitions or major capital projects, indicating effective internal growth strategies [5][12] - Refining utilization reached 108% for the quarter and 103% for the full year, both record levels, with all four refineries operating at 100% or higher for two consecutive quarters [6][7] - Product sales in Q4 were 640,000 barrels per day, the best fourth quarter ever, and full-year sales reached 623,000 barrels per day, exceeding previous highs by 23,000 barrels per day [7][8] Market Data and Key Metrics Changes - The company noted a year-on-year decrease in WTI prices by 15%, with adjusted funds from operations (AFFO) down 8% and free funds flow down 6% [13] - Despite lower oil prices, Suncor maintained a stable dividend and increased share buybacks, demonstrating resilience in a fluctuating market [14][18] Company Strategy and Development Direction - Suncor's strategy focuses on continuous improvement, operational excellence, and maintaining a low-cost production model, which has transformed it from a high-cost to a low-cost producer [13][12] - The company plans to detail a new value improvement plan on March 31, focusing on both short-term (next 3 years) and long-term (next 15 years) strategies, particularly in bitumen supply and development options [15][12] - Suncor aims to return 100% of excess funds to shareholders through buybacks after achieving net debt targets, emphasizing shareholder value [12][14] Management's Comments on Operating Environment and Future Outlook - Management highlighted that 2025 was the safest year in the company's history, with a 70% reduction in injuries and incidents compared to 2022, reflecting a strong safety culture [4] - The management expressed confidence in achieving operational targets ahead of schedule, with significant improvements in production and financial metrics [12][13] - The company remains optimistic about its ability to navigate market fluctuations and maintain profitability, leveraging its integrated business model [11][79] Other Important Information - Suncor has repurchased 163 million shares over the past three years, representing more than 12% of its float, at an average price of CAD 50 per share [14] - The company has implemented a rigorous capital stewardship approach, including detailed readiness reviews before spending and comprehensive post-execution evaluations [9][12] Q&A Session Summary Question: Changes in company culture and succession planning - Management emphasized the importance of leadership development and succession planning, focusing on functional excellence and a continuous pipeline of leadership candidates [25][26] Question: Performance of mining operations - Management noted improvements in mining operations due to better maintenance of haul roads and the implementation of technology to enhance performance in varying weather conditions [28][29] Question: Backlog of field-driven optimization opportunities - Management indicated a proactive approach to optimization, continuously identifying and addressing opportunities rather than maintaining a backlog [36][38] Question: Refining market sustainability - Management discussed the advantages of the Canadian refining market, including product pricing based on import parity and locally advantaged crude prices, contributing to sustained profitability [56][58] Question: Buyback guidance and conditions for reconsideration - Management reiterated the commitment to share buybacks, emphasizing the importance of a strong balance sheet and reduced breakeven costs as enablers of this strategy [50][51] Question: Impact of weather on production - Management stated that despite adverse weather conditions, production levels were maintained, showcasing the company's operational resilience [53] Question: Refining macro outlook for 2026 - Management expressed confidence in the refining market, highlighting strong diesel margins and the company's ability to adapt to market conditions [85][87]

SUNCOR ENERGY Investor Information Q4 2025 Published February 3, 2026 SUNCOR ENERGY Suncor's value proposition Long-life, competitively advantaged assets Regional and vertical integration Operational reliability Disciplined investment & cost management Deliver superior long-term shareholder value SUNCOR ENERGY 2 Suncor key statistics | Market capitalization Q4 2025 | $73B | | --- | --- | | Net debt to AFFO Q4 2025 TTM | 0.5x | | Oil sands reserve life index | 2024 25 yrs | | Upgrading capacity | 556 kbpd | ...

分组1 - Suncor Energy reported quarterly earnings of $0.79 per share, exceeding the Zacks Consensus Estimate of $0.77 per share, but down from $0.89 per share a year ago, representing an earnings surprise of +3.04% [1] - The company achieved revenues of $8.82 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 4.02%, although this is a decrease from year-ago revenues of $8.94 billion [2] - Suncor Energy has consistently surpassed consensus EPS estimates over the last four quarters, indicating strong performance [2] 分组2 - The stock has increased approximately 18.7% since the beginning of the year, significantly outperforming the S&P 500's gain of 1.9% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the upcoming quarter is $0.61 on revenues of $7.82 billion, and for the current fiscal year, it is $2.73 on revenues of $32.28 billion [7] 分组3 - The Zacks Industry Rank for Oil and Gas - Integrated - Canadian is currently in the bottom 6% of over 250 Zacks industries, suggesting potential challenges for stocks in this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The estimate revisions trend for Suncor Energy was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6]

Financial Performance - Suncor's Oil Sands segment adjusted operating earnings for Q4 2025 were $1.129 billion, down from $1.609 billion in Q4 2024, primarily due to lower crude oil price realizations [55]. - Net earnings for Q4 2025 were $1.476 billion, up from $818 million in Q4 2024 [141]. - Gross revenues for Q4 2025 were $12.733 billion, compared to $13.657 billion in Q4 2024 [141]. - Adjusted funds from operations for Q4 2025 were $3.218 billion, compared to $3.493 billion in Q4 2024 [141]. - The company reported a cash dividend of $0.60 per share in Q4 2025, compared to $0.57 in Q4 2024 [194]. - Net earnings for 2025 were $5,918 million, down from $6,016 million in 2024, resulting in basic and diluted earnings per share of $4.85 and $4.85 respectively [222]. - Total revenues for 2025 were $52,377 million, a decrease of 4.6% from $54,881 million in 2024 [214]. Production and Sales - Total Oil Sands bitumen production reached a record 992,700 bbls/d in Q4 2025, compared to 951,500 bbls/d in Q4 2024, driven by strong mining performance [61]. - Net SCO production increased to a record 557,000 bbls/d in Q4 2025, up from 543,600 bbls/d in the prior year quarter, with upgrader utilization rates of 109% at Syncrude and 103% at Oil Sands Base [62]. - Sales volumes of upgraded net SCO and diesel rose to 570,300 bbls/d in Q4 2025, compared to 538,300 bbls/d in Q4 2024, attributed to increased production and inventory draw [65]. - Total Oil Sands production volumes reached 845.4 mbbls/d, up from 812.2 mbbls/d in the prior quarter, reflecting a 4.0% increase [240]. - Total upstream production in Q4 2025 was 909.0 mbbls/d, an increase from 875.0 mbbls/d in Q4 2024 [141]. Costs and Expenses - Total Oil Sands operating expenses increased in Q4 2025, driven by higher commodity input costs and increased production volumes [70]. - Oil Sands operations cash operating costs per barrel decreased to $25.90 in Q4 2025 from $26.55 in Q4 2024, primarily due to increased power sales volumes [78]. - The company reported operating expenses for Q4 2025 were $10.289 billion, down from $11.413 billion in Q4 2024, reflecting cost control measures [194]. - Cash operating costs for Oil Sands operations were $1,119 million for the quarter, compared to $1,142 million in the previous quarter, a reduction of 2.0% [240]. Capital Expenditures and Investments - Capital expenditures for Q4 2025 totaled $1.483 billion, slightly down from $1.498 billion in Q4 2024, with significant investments in asset sustainment and maintenance [116]. - The company plans to allocate $5.6 billion to $5.8 billion for capital spending in 2026, with expectations to fund this through cash flow and available credit facilities [188]. - The company’s total capital expenditures for 2025 were $5.856 billion, down from $6.483 billion in 2024 [233]. Debt and Financial Position - Total debt decreased to $9.987 billion as of December 31, 2025, from $10.091 billion at the beginning of the quarter, influenced by favorable foreign exchange rates [128]. - The company reported net debt of $6.337 billion at the end of 2025, a reduction from $6.861 billion at the beginning of the year, representing a decrease of 7.6% [158]. - The current portion of long-term debt was $973 million, a decrease from $997 million in 2024, indicating improved debt management [196]. Market Conditions and Price Realizations - Price realizations for upgraded net SCO and diesel decreased to $80.27/bbl in Q4 2025 from $95.28/bbl in Q4 2024, reflecting weaker crude oil benchmark prices [67]. - The average WTI crude oil price at Cushing was $59.15/bbl in Q4 2025, down from $70.30/bbl in Q4 2024, indicating a significant decline in benchmark pricing [51]. - Price realization per barrel for Oil Sands in Q4 2025 was $70.86, down from $86.32 in Q4 2024, with total sales volumes increasing to 78,574 mbbls from 75,492 mbbls [178]. Future Outlook - Planned maintenance activities are set to commence in Q1 2026 for multiple facilities, impacting 2026 guidance [83]. - Future outlook includes continued focus on capital efficiencies and cost savings, with expectations for stable production rates and commodity prices [184]. - The company expects to maintain existing production levels through the design and construction of new well pads in its In Situ operations [188].

Canada's Suncor Energy beat fourth-quarter profit estimates on Tuesday, helped by higher oil production. ...

Unless otherwise noted, all financial figures are unaudited, presented in Canadian dollars (Cdn$), and derived from the company's condensed consolidated financial statements which are based on Canadian generally accepted accounting principles (GAAP), specifically International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB), and are prepared in accordance with International Accounting Standard (IAS) 34 Interim Financial Reporting. Production volumes are ...