$IMO · IMPERIAL OIL LTD
Imperial Oil filed its Q3 2026 10-Q, reporting net income of C$2,454M (C$5.11 diluted EPS) on revenue of C$16,205M. Results were powered by sharply higher crude realizations — WTI averaged US$85.68/bbl versus US$64.97 in Q3 2025 — and the absence of the prior year's C$555M in impairment and restructuring charges. The company continued aggressive share buybacks, repurchasing C$2,128M in the quarter.
- Net income C$2,454M vs C$539M in Q3 2025, a 4.5x increase driven by higher commodity prices.
- Diluted EPS of C$5.11 vs C$1.07 a year ago; prior-year included C$555M in impairment and restructuring charges.
- WTI averaged US$85.68/bbl vs US$64.97/bbl; bitumen realizations rose C$23.94/bbl to C$92.16.
- Revenue reached C$16,205M, up 34% YoY from C$12,049M, with upstream contributing C$5,068M.
- Share repurchases totaled C$2,128M in Q3; 472M shares outstanding vs 484M at year-end 2025.
IMO down 2.85% to $134.17 despite strong results, likely reflecting profit-taking or macro oil-price weakness overriding the earnings beat. The C$2.45B net income far exceeded the prior-year C$539M, but the market may have priced in elevated crude benchmarks.
A 4.5x YoY net income jump on surging crude prices, paired with aggressive buybacks shrinking the share count by 12M shares, signals strong capital returns in a high-price environment.
Imperial benefits from the same elevated crude price environment lifting all Canadian oil sands producers. WTI at US$85.68 and tighter WTI/WCS spread at US$13.78 support strong upstream margins, though the spread widened from US$10.35 a year ago.
U.S.-Canada trade tariffs remain a wildcard; Imperial states they do not expect material impact but acknowledges ongoing volatility. Upstream operating costs rose ~C$210M driven by higher energy costs and planned turnaround activity.