CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 75-95% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Canada's Strathcona Resources Q3 production rises sequentially, raises quarterly dividend

By Reuters News


Overview

  • Canada heavy oil producer's Q3 production rose 6% from prior qtr to 123,486 boe/d

  • Operating earnings were flat qtr/qtr as higher output offset lower oil prices

  • Company raised quarterly dividend by 7% to C$0.32 per share


Outlook

  • Company expects to provide 2027 guidance after Greenfire Resources acquisition closes in January 2027


Result Drivers

  • HIGHER PRODUCTION - Co said increased Q3 output offset lower oil prices, keeping operating earnings flat qtr/qtr

  • COLD LAKE PERFORMANCE - Q3 production gains attributed to strong output from D01 West pad at Lindbergh, which delivered record productivity and low steam-oil ratio

  • FACILITY DOWNTIME - Lloydminster Conventional production was steady as strong performance at Cactus Lake was offset by downtime at other fields


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

C$124.02 bln

Q3 FFO

C$534 mln

Q3 Capex

-C$239 mln

Q3 Free Cash Flow

C$286 mln

Q3 Operating Income

C$371 mln

Q3 Pretax Profit

C$395 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

  • Wall Street's median 12-month price target for Strathcona Resources Ltd is C$52.00, about 43.1% above its November 6 closing price of C$36.34

  • The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 three months ago


Reuters Recommended Reads

  • Nov 9 - Canada's Greenfire Q3 bitumen output more than doubles after Connacher deal

  • Nov 6 - Canada's Enbridge Q3 EBITDA rises on higher gas transmission, distribution rates

  • Nov 6 - One dead, six injured in fire at Oil India's Assam facility


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.