(Calgary) Cenovus Energy on Wednesday posted a profit of 1.6 billion for its first quarter, and announced that its quarterly dividend would now be three times higher.
Posted at 11:18 a.m.
The company said its base dividend would increase to 42 cents per share from 14 cents per share and would continue to be declared and paid on a quarterly basis.
Cenovus said it would also return money to shareholders through stock buybacks or variable dividends, depending on its available excess funds and level of leverage.
The energy company earned 81 cents per share in its quarter ended March 31, which compared with a profit of 220 million, or 10 cents per share, in the first quarter of last year. Its revenues totaled $16.2 billion, up 74% from $9.3 billion in the same period a year earlier.
Upstream production climbed to the equivalent of 798,600 barrels of oil per day, from 769,300 barrels per day in the first quarter of last year. Downstream production reached the equivalent of 501,800 barrels per day, compared to 469,100 barrels per day a year earlier.
In its outlook, the company raised its 2022 capital expenditure forecast by $300 million, and now expects to spend between $2.9 billion and $3.3 billion due to increased costs related to the reconstruction of its refinery in Superior, Wisconsin.