{"success":true,"data":{"pressRelease":{"id":"16904","rtpr_id":"nBw6ClGsTa","ticker":"IMO","exchange":"NYSE American","all_tickers":["IMO"],"title":"Imperial announces first quarter 2026 financial and operating results","author":"Business Wire","published_at":"2026-05-01T11:55:00.232Z","article_body":"Imperial announces first quarter 2026 financial and operating results\n\n\n * Quarterly net income of $940 million\n\n * Cash flows from operating activities of $756 million and cash flows from\noperating activities excluding working capital(1) of $1,239 million\n\n * Quarterly Upstream production of 419,000 gross oil-equivalent barrels per day\n\n * Kearl quarterly production of 259,000 total gross oil-equivalent barrels per\nday (183,000 barrels Imperial's share)\n\n * Cold Lake quarterly production of 155,000 gross oil-equivalent barrels per day\n\n * Downstream refinery capacity utilization of 88 percent\n\n * Intend to renew normal course issuer bid in June 2026\n\nImperial (TSE: IMO) (NYSE American: IMO):\n   First quarter \n millions of Canadian dollars, unless noted 2026 2025 ∆I \n Net income (loss) (U.S. GAAP) 940 1,288 (348) \n Net income (loss) per common share, assuming dilution (dollars) 1.94 2.52 (0.58) \n Capital and exploration expenditures 478 398 +80 \n\n\nImperial reported estimated net income in the first quarter of $940 million,\nup from net income of $492 million in the fourth quarter of 2025, primarily\ndriven by the absence of identified items(1 )and by higher prices, partially\noffset by lower volumes. Excluding identified items(1), estimated net income\nin the fourth quarter of 2025 was $968 million.\n\nQuarterly cash flows from operating activities were $756 million, compared to\n$1,918 million generated in the fourth quarter of 2025. Excluding the impact\nof working capital(1), cash flows from operating activities were $1,239\nmillion, compared to $1,260 million in the fourth quarter of 2025.\n\n\"Against a backdrop of significant volatility in global commodity markets, we\nremain committed to our long-standing corporate strategy of maximizing the\nvalue of our existing assets while progressing advantaged growth\nopportunities,\" said John Whelan, chairman, president and chief executive\nofficer.\n\nUpstream production in the quarter averaged 419,000 gross oil-equivalent\nbarrels per day. At Kearl, quarterly total gross production averaged 259,000\nbarrels per day (183,000 barrels Imperial's share) including the impact of a\nthird-party natural gas supply outage. Cold Lake averaged 155,000 barrels per\nday with continued strong solvent-assisted SAGD performance from its\nadvantaged production at Grand Rapids. The company's share of Syncrude\nproduction in the quarter averaged 72,000 gross barrels per day, and was\nimpacted by unplanned coker downtime.\n\nDownstream throughput in the quarter averaged 384,000 barrels per day,\nresulting in refinery capacity utilization of 88 percent. Throughput was\nimpacted by unplanned downtime and a disruption of synthetic crude feedstock\ncaused by Syncrude's coker outage. Petroleum product sales averaged 441,000\nbarrels per day.\n\nDuring the quarter, Imperial returned $350 million to shareholders through\ndividend payments and declared a second quarter dividend of 87 cents per\nshare.\n\n\"Our competitive advantages of scale and a long-standing commitment to\ntechnology and innovation continue to support our corporate strategy and\nadvantaged integrated business model. I am confident in our ability to\ngenerate superior cash flow, underpinning our reliable and growing dividend\nand our industry-leading share buyback program,\" said Whelan.\n\nFirst quarter highlights\n\n\n * Net income of $940 million or $1.94 per share on a diluted basis, compared to\n$1,288 million or $2.52 per share in the first quarter of 2025.\n\n * Cash flows from operating activities of $756 million, compared to cash flows\nfrom operating activities of $1,527 million in the first quarter of 2025. Cash\nflows from operating activities excluding working capital(1) of $1,239\nmillion, compared to $1,760 million in the first quarter of 2025.\n\n * Capital and exploration expenditures totaled $478 million, up from $398\nmillion in the first quarter of 2025.\n\n * The company returned $350 million to shareholders in the first quarter of 2026\nthrough dividends paid.\n\n * Upstream production averaged 419,000 gross oil-equivalent barrels per day, up\nfrom 418,000 gross oil-equivalent barrels per day in the first quarter of\n2025.\n\n * Total gross bitumen production at Kearl averaged 259,000 barrels per day\n(183,000 barrels Imperial's share), up from 256,000 barrels per day (181,000\nbarrels Imperial's share) in the first quarter of 2025, despite the impact of\na third-party natural gas supply outage.\n\n * Gross bitumen production at Cold Lake averaged 155,000 barrels per day, up\nfrom 154,000 barrels per day in the first quarter of 2025.\n\n * The company's share of gross production from Syncrude averaged 72,000 barrels\nper day, compared to 73,000 barrels per day in the first quarter of 2025.\nLower volumes at Syncrude were driven by unplanned coker downtime, partially\noffset by improved mine reliability.\n\n * Refinery throughput averaged 384,000 barrels per day, compared to 397,000\nbarrels per day in the first quarter of 2025. Capacity utilization was 88\npercent, compared to 91 percent in the first quarter of 2025. Lower refinery\nthroughput and capacity utilization were primarily due to unplanned downtime\nand a disruption of synthetic crude feedstock caused by Syncrude's coker\noutage.\n\n * Petroleum product sales were 441,000 barrels per day, compared to 455,000\nbarrels per day in the first quarter of 2025, mainly due to the lower volumes\nin the supply channel.\n\n * Chemical net income of $24 million in the quarter, compared to $31 million in\nthe first quarter of 2025.\n\nRecent business environment\n\nDuring the first quarter of 2026, the price of crude oil increased relative to\nthe fourth quarter of 2025, while the Canadian WTI/WCS spread widened.\nGeopolitical events in the Middle East and increasing supply uncertainty\ncontinued to drive volatility in crude oil prices and heavy crude\ndifferentials. Industry refining margins improved in the first quarter of\n2026, impacted by industry supply outages.\n\nDuring 2025, the United States implemented and adjusted a variety of\ntrade-related measures, including tariffs on certain imports from Canada and\nseveral other countries. In response, Canada announced its own retaliatory\ntariffs. Based on Imperial's assessment of these actions and their effects to\ndate, the company does not expect them to have a material impact on its\nconsolidated financial position, results of operations, or cash flows.\n\nOperating results\n\nFirst quarter 2026 vs. first quarter 2025\n   First Quarter \n millions of Canadian dollars, unless noted 2026 2025 \n Net income (loss) (U.S. GAAP) 940 1,288 \n Net income (loss) per common share, assuming dilution (dollars) 1.94 2.52 \n\n Upstream \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Price Volume Royalty Other 2026 \n 731 (80) (50) 10 (141) 470 \n\n\nPrice – Average bitumen realizations decreased by $7.10 per barrel,\nprimarily driven by a weaker WTI/WCS spread. Synthetic crude oil realizations\ndecreased by $2.66 per barrel, primarily driven by a weaker Synthetic/WTI\nspread.\n\nVolume – Inventory impacts partially offset by higher production.\n\nOther – Primarily due to unfavourable foreign exchange impacts of about $100\nmillion.\n Marker prices and average realizations \n   First Quarter \n Canadian dollars, unless noted 2026 2025 \n West Texas Intermediate (US$ per barrel) 72.67 71.42 \n Western Canada Select (US$ per barrel) 58.33 58.83 \n WTI/WCS Spread (US$ per barrel) 14.34 12.59 \n Bitumen (per barrel) 68.21 75.31 \n Synthetic crude oil (per barrel) 96.13 98.79 \n Average foreign exchange rate (US$) 0.73 0.70 \n\n Production   \n   First Quarter \n thousands of barrels per day 2026 2025 \n Kearl (Imperial's share) 183 181 \n Cold Lake 155 154 \n Syncrude (a) 72 73 \n       \n Kearl total gross production (thousands of barrels per day) 259 256 \n\n (a)   In the first quarter of 2026, Syncrude gross production included about 8 \n thousand barrels per day of bitumen and other products (2025 - 2 thousand \n barrels per day) that were exported to the operator's facilities using an \n existing interconnect pipeline. \n\n\nLower production at Syncrude driven by unplanned coker downtime, partially\noffset by improved mine reliability.\n Downstream \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Margins Other 2026 \n 584 (30) 57 611 \n\n\nOther – Primarily due to product mix effects.\n Refinery utilization and petroleum product sales \n   First Quarter \n thousands of barrels per day, unless noted 2026 2025 \n Refinery throughput 384 397 \n Refinery capacity utilization (percent) 88 91 \n Petroleum product sales 441 455 \n\n\nLower refinery throughput and capacity utilization were primarily due to\nunplanned downtime and a disruption of synthetic crude feedstock caused by\nSyncrude's coker outage.\n\nLower petroleum product sales were primarily due to lower volumes in the\nsupply channel.\n Chemicals \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Margins Other 2026 \n 31 (10) 3 24 \n\n Corporate and other \n   First Quarter \n millions of Canadian dollars 2026 2025 \n Net income (loss) (U.S. GAAP) (165) (58) \n\n\nCurrent year results reflect higher incentive compensation as a result of the\nhigher share price.\n Liquidity and capital resources   \n   First Quarter \n millions of Canadian dollars 2026 2025 \n Cash flows from (used in):     \n Operating activities 756 1,527 \n Investing activities (450) (377) \n Financing activities (419) (365) \n Increase (decrease) in cash and cash equivalents (113) 785 \n       \n Cash and cash equivalents at period end 1,029 1,764 \n\n\nCash flows from operating activities primarily reflect lower earnings and\nunfavourable working capital impacts.\n\nCash flows used in investing activities primarily reflect higher additions to\nproperty, plant and equipment.\n\nCash flows used in financing activities primarily reflect:\n   First Quarter \n millions of Canadian dollars, unless noted 2026 2025 \n Dividends paid 350 307 \n Per share dividend paid (dollars) 0.72 0.60 \n Share repurchases (a) — — \n Number of shares purchased (millions) (a) — — \n\n (a)   The company did not purchase any shares in the first quarter of 2026 and 2025. \n\n\nKey financial and operating data follow.\n\nForward-looking statements\n\nStatements of future events or conditions in this report, including\nprojections, targets, expectations, estimates, and business plans, are\nforward-looking statements. Similarly, discussion of roadmaps or future plans\nrelated to carbon capture, transportation and storage, biofuel, hydrogen, and\nother future plans to reduce emissions and emission intensity of the company,\nits affiliates and third parties are dependent on future market factors, such\nas continued technological progress, policy support and timely rule-making and\npermitting, and represent forward-looking statements. Forward-looking\nstatements can be identified by words such as believe, anticipate, intend,\npropose, plan, goal, seek, estimate, expect, future, continue, likely, may,\nshould, will and similar references to future periods. Forward-looking\nstatements in this report include, but are not limited to, references to the\nrenewal of the company’s normal course issuer bid; the company’s strategy\nof maximizing asset value while progressing growth opportunities; the\ncompany’s commitment to technology and innovation; the company’s ability\nto generate cash flow, grow dividends and deliver share buybacks; and the\nimpact on the company of trade-related actions.\n\nForward-looking statements are based on the company's current expectations,\nestimates, projections and assumptions at the time the statements are made.\nActual future financial and operating results, including expectations and\nassumptions concerning, for the renewal of the company’s normal course\nissuer bid, approval of the Toronto Stock Exchange and participation of the\ncompany’s majority shareholder; future energy demand, supply and mix;\nproduction rates, growth and mix across various assets; project plans, timing,\ncosts, technical evaluations and capacities and the company’s ability to\neffectively execute on these plans and operate its assets; the adoption and\nimpact of new facilities or technologies on reductions to greenhouse gas\nemissions intensity, including but not limited to technologies using solvents\nto replace energy intensive steam at Cold Lake, Strathcona renewable diesel,\ncarbon capture and storage including in connection with hydrogen for the\nrenewable diesel project, recovery technologies and efficiency projects, and\nany changes in the scope, terms, or costs of such projects; for shareholder\nreturns, assumptions such as cash flow forecasts, financing sources and\ncapital structure, participation of the company’s majority shareholder in\nthe normal course issuer bid, and the results of periodic and ongoing\nevaluation of alternate uses of capital; the amount and timing of emissions\nreductions, including the impact of lower carbon fuels; the degree and\ntimeliness of support that will be provided by policymakers and other\nstakeholders for various new technologies such as carbon capture and storage;\nreceipt of regulatory and third-party approvals in a timely manner, especially\nwith respect to large scale emissions reduction projects; availability and\nperformance of third-party service providers, including ExxonMobil global\ncapability centres and other service providers located outside of Canada;\nrefinery utilization and product sales; applicable laws and government\npolicies, including with respect to climate change, greenhouse gas emissions\nreductions and low carbon fuels; the ability to offset any ongoing or renewed\ninflationary pressures; capital and environmental expenditures; cash\ngeneration, financing sources and capital structure, such as dividends and\nshareholder returns, including the timing and amounts of share repurchases;\nand commodity prices, foreign exchange rates and general market conditions,\ncould differ materially depending on a number of factors.\n\nThese factors include global, regional or local changes in supply and demand\nfor oil, natural gas, petroleum and petrochemical products, feedstocks and\nother market factors, economic conditions and seasonal fluctuations and\nresulting demand, price, differential and margin impacts, including Canadian\nand foreign government action with respect to supply levels, prices, trade\ntariffs, trade sanctions or trade controls, disruptions, realignment or\nbreaking of trade alliances or agreements or a broader breakdown in global\ntrade, and disruptions in military alliances or wars; political or regulatory\nevents, including changes in law or government policy, applicable royalty\nrates, and tax laws; third-party opposition to company and service provider\noperations, projects and infrastructure; competition from alternative energy\nsources, other emission reduction technologies, and established competitors in\nsuch markets; availability and allocation of capital; the receipt, in a timely\nmanner, of regulatory and third-party approvals, including for new\ntechnologies relating to the company’s lower emissions business activities;\nfailure, delay, reduction, revocation or uncertainty regarding supportive\npolicy and market development for the adoption of emerging lower emission\nenergy technologies and other technologies that support emissions reductions;\nenvironmental regulation, including climate change and greenhouse gas\nregulation and changes to such regulation; unanticipated technical or\noperational difficulties; project management and schedules and timely\ncompletion of projects; the results of research programs and new technologies,\nincluding with respect to greenhouse gas emissions, and the ability to bring\nnew technologies to scale on a commercially competitive basis, and the\ncompetitiveness of alternative energy and other emission reduction\ntechnologies; availability and performance of third-party service providers,\nincluding ExxonMobil global capability centres and other services providers\nlocated outside of Canada; environmental risks inherent in oil and gas\nexploration and production activities; effectiveness of company risk\nmanagement programs and emergency response preparedness; operational hazards\nand risks; cybersecurity incidents including incidents caused by actors\nemploying emerging technologies such as artificial intelligence; currency\nexchange rates; general economic conditions, including continued or renewed\ninflation and the occurrence and duration of economic recessions or downturns;\nand other factors discussed in Item 1A risk factors and Item 7 management’s\ndiscussion and analysis of financial condition and results of operations of\nImperial’s most recent annual report on Form 10-K.\n\nForward-looking statements are not guarantees of future performance and\ninvolve a number of risks and uncertainties, some that are similar to other\noil and gas companies and some that are unique to Imperial. Imperial’s\nactual results may differ materially from those expressed or implied by its\nforward-looking statements and readers are cautioned not to place undue\nreliance on them. Imperial undertakes no obligation to update any\nforward-looking statements contained herein, except as required by applicable\nlaw.\n\nForward-looking and other statements regarding Imperial's environmental,\nsocial and other sustainability efforts and aspirations are not an indication\nthat these statements are material to investors or require disclosure in the\ncompany's filings with securities regulators. In addition, historical, current\nand forward-looking environmental, social and sustainability-related\nstatements may be based on standards for measuring progress that are still\ndeveloping, internal controls and processes that continue to evolve, and\nassumptions that are subject to change in the future, including future\nrule-making. Individual projects or opportunities may advance based on a\nnumber of factors, including availability of stable and supportive policy,\npermitting, technological advancement for cost-effective abatement, insights\nfrom the company planning process, and alignment with partners and other\nstakeholders.\n\nIn this release all dollar amounts are expressed in Canadian dollars unless\notherwise stated. This release should be read in conjunction with Imperial’s\nmost recent Form 10-K. Note that numbers may not add due to rounding.\n\nThe term “project” as used in this release can refer to a variety of\ndifferent activities and does not necessarily have the same meaning as in any\ngovernment payment transparency reports.\n\nIn this release, unless the context otherwise indicates, reference to “the\ncompany” or “Imperial” includes Imperial Oil Limited and its\nsubsidiaries.\n   Attachment I \n       \n       \n   Three Months \n millions of Canadian dollars, unless noted 2026 2025 \n       \n Net income (loss) (U.S. GAAP)     \n Total revenues and other income 12,446 12,517 \n Total expenses 11,214 10,829 \n Income (loss) before income taxes 1,232 1,688 \n Income taxes 292 400 \n Net income (loss) 940 1,288 \n       \n Net income (loss) per common share (dollars) 1.94 2.53 \n Net income (loss) per common share - assuming dilution (dollars) 1.94 2.52 \n       \n Other financial data     \n Gain (loss) on asset sales, after-tax 7 9 \n       \n Total assets at March 31 45,453 43,889 \n       \n Total debt at March 31 3,993 4,006 \n       \n Shareholders' equity at March 31 22,748 24,411 \n       \n Dividends declared on common stock     \n Total 421 367 \n Per common share (dollars) 0.87 0.72 \n       \n Millions of common shares outstanding     \n At March 31 483.6 509.0 \n Average - assuming dilution 484.8 510.2 \n       \n\n   Attachment II \n       \n       \n   Three Months \n millions of Canadian dollars 2026   2025   \n       \n Total cash and cash equivalents at period end 1,029   1,764   \n       \n Operating activities     \n Net income (loss) 940   1,288   \n Adjustments for non-cash items:     \n Depreciation and depletion (includes impairments) 520   531   \n (Gain) loss on asset sales (8 ) (10 ) \n Deferred income taxes and other (346 ) (31 ) \n Changes in operating assets and liabilities (483 ) (233 ) \n All other items - net 133   (18 ) \n Cash flows from (used in) operating activities 756   1,527   \n       \n Investing activities     \n Additions to property, plant and equipment (475 ) (398 ) \n Proceeds from asset sales 9   11   \n Loans to equity companies - net 16   10   \n Cash flows from (used in) investing activities (450 ) (377 ) \n Cash flows from (used in) financing activities (419 ) (365 ) \n\n   Attachment III \n       \n       \n   Three Months \n millions of Canadian dollars 2026   2025   \n       \n Net income (loss) (U.S. GAAP)     \n Upstream 470   731   \n Downstream 611   584   \n Chemical 24   31   \n Corporate and other (165 ) (58 ) \n Net income (loss) 940   1,288   \n       \n Revenues and other income     \n Upstream 4,021   4,458   \n Downstream 13,910   14,019   \n Chemical 336   372   \n Eliminations / Corporate and other (5,821 ) (6,332 ) \n Revenues and other income 12,446   12,517   \n       \n Purchases of crude oil and products     \n Upstream 1,719   1,862   \n Downstream 12,062   11,987   \n Chemical 226   253   \n Eliminations / Corporate and other (5,829 ) (6,346 ) \n Purchases of crude oil and products 8,178   7,756   \n       \n Production and manufacturing     \n Upstream 1,236   1,176   \n Downstream 463   457   \n Chemical 52   51   \n Eliminations / Corporate and other 3   2   \n Production and manufacturing 1,754   1,686   \n       \n Selling and general     \n Upstream —   —   \n Downstream 180   174   \n Chemical 22   22   \n Eliminations / Corporate and other 195   63   \n Selling and general 397   259   \n       \n Capital and exploration expenditures     \n Upstream 362   266   \n Downstream 91   88   \n Chemical 3   3   \n Corporate and other 22   41   \n Capital and exploration expenditures 478   398   \n Exploration expenses charged to Upstream income included above 3   2   \n\n   Attachment IV \n       \n       \n Operating statistics Three Months \n   2026 2025 \n       \n Gross crude oil production (thousands of barrels per day)     \n Kearl 183 181 \n Cold Lake 155 154 \n Syncrude (a) 72 73 \n Conventional 5 5 \n Total crude oil production 415 413 \n       \n Gross natural gas production (millions of cubic feet per day) 25 30 \n       \n Gross oil-equivalent production (b) 419 418 \n (thousands of oil-equivalent barrels per day)     \n       \n Net crude oil production (thousands of barrels per day)     \n Kearl 175 169 \n Cold Lake 119 123 \n Syncrude (a) 60 62 \n Conventional 4 4 \n Total crude oil production 358 358 \n       \n Net natural gas production (millions of cubic feet per day) 25 30 \n       \n Net oil-equivalent production (b) 362 363 \n (thousands of oil-equivalent barrels per day)     \n       \n Kearl blend sales (thousands of barrels per day) 262 259 \n Cold Lake blend sales (thousands of barrels per day) 207 207 \n       \n Average realizations (Canadian dollars)     \n Bitumen (per barrel) 68.21 75.31 \n Synthetic crude oil (per barrel) 96.13 98.79 \n Conventional crude oil (per barrel) 52.44 48.70 \n       \n Refinery throughput (thousands of barrels per day) 384 397 \n Refinery capacity utilization (percent) 88 91 \n       \n Petroleum product sales (thousands of barrels per day)     \n Gasolines 211 215 \n Heating, diesel and jet fuels 169 175 \n Lube oils and other products 49 50 \n Heavy fuel oils 12 15 \n Net petroleum products sales 441 455 \n Petrochemical sales (thousands of tonnes) 180 165 \n\n (a)    Syncrude gross and net production included bitumen and other products that   \n were exported to the operator’s facilities using an existing interconnect \n pipeline. \n     Gross bitumen and other products production (thousands of barrels per day) 8 2 \n     Net bitumen and other products production (thousands of barrels per day) 7 2 \n (b)    Gas converted to oil-equivalent at six million cubic feet per one thousand   \n barrels. \n\n   Attachment V \n       \n       \n     Net income (loss) per \n   Net income (loss) (U.S. GAAP) common share - diluted (a) \n   millions of Canadian dollars Canadian dollars \n       \n 2022     \n First Quarter 1,173 1.75 \n Second Quarter 2,409 3.63 \n Third Quarter 2,031 3.24 \n Fourth Quarter 1,727 2.86 \n Year 7,340 11.44 \n       \n 2023     \n First Quarter 1,248 2.13 \n Second Quarter 675 1.15 \n Third Quarter 1,601 2.76 \n Fourth Quarter 1,365 2.47 \n Year 4,889 8.49 \n       \n 2024     \n First Quarter 1,195 2.23 \n Second Quarter 1,133 2.11 \n Third Quarter 1,237 2.33 \n Fourth Quarter 1,225 2.37 \n Year 4,790 9.03 \n       \n 2025     \n First Quarter 1,288 2.52 \n Second Quarter 949 1.86 \n Third Quarter 539 1.07 \n Fourth Quarter 492 1.00 \n Year 3,268 6.48 \n       \n 2026     \n First Quarter 940 1.94 \n\n (a)   Computed using the average number of shares outstanding during each period. \n The sum of the quarters presented may not add to the year total. \n\n\nAttachment VI\n\nNon-GAAP financial measures and other specified financial measures\n\nCertain measures included in this document are not prescribed by U.S.\nGenerally Accepted Accounting Principles (GAAP). These measures constitute\n\"non-GAAP financial measures\" under Securities and Exchange Commission\nRegulation G and Item 10(e) of Regulation S-K, and \"specified financial\nmeasures\" under National Instrument 52-112 Non-GAAP and Other Financial\nMeasures Disclosure of the Canadian Securities Administrators.\n\nReconciliation of these non-GAAP financial measures to the most comparable\nGAAP measure, and other information required by these regulations, have been\nprovided. Non-GAAP financial measures and specified financial measures are not\nstandardized financial measures under GAAP and do not have a standardized\ndefinition. As such, these measures may not be directly comparable to measures\npresented by other companies, and should not be considered a substitute for\nGAAP financial measures.\n\nCash flows from (used in) operating activities excluding working capital\n\nCash flows from (used in) operating activities excluding working capital is a\nnon-GAAP financial measure that is the total cash flows from operating\nactivities less the changes in operating assets and liabilities in the period.\nThe most directly comparable financial measure that is disclosed in the\nfinancial statements is \"Cash flows from (used in) operating activities\"\nwithin the company’s Consolidated statement of cash flows. Management\nbelieves it is useful for investors to consider these numbers in comparing the\nunderlying performance of the company’s business across periods when there\nare significant period-to-period differences in the amount of changes in\nworking capital. Changes in working capital is equal to “Changes in\noperating assets and liabilities” as disclosed in the company’s\nConsolidated statement of cash flows and in Attachment II of this document.\nThis measure assesses the cash flows at an operating level, and as such, does\nnot include proceeds from asset sales as defined in Cash flows from operating\nactivities and asset sales in the Frequently Used Terms section of the\ncompany’s annual Form 10-K.\n Reconciliation of cash flows from (used in) operating activities excluding \n working capital \n   Three Months \n millions of Canadian dollars 2026   2025   \n From Imperial's Consolidated statement of cash flows     \n Cash flows from (used in) operating activities 756   1,527   \n       \n Less changes in working capital     \n Changes in operating assets and liabilities (483 ) (233 ) \n Cash flows from (used in) operating activities excl. working capital 1,239   1,760   \n\n\nFree cash flow\n\nFree cash flow is a non-GAAP financial measure that is cash flows from\noperating activities less additions to property, plant and equipment and\nequity company investments plus proceeds from asset sales. The most directly\ncomparable financial measure that is disclosed in the financial statements is\n\"Cash flows from (used in) operating activities\" within the company’s\nConsolidated statement of cash flows. This measure is used to evaluate cash\navailable for financing activities (including but not limited to dividends and\nshare purchases) after investment in the business.\n Reconciliation of free cash flow \n   Three Months \n millions of Canadian dollars 2026   2025   \n From Imperial's Consolidated statement of cash flows     \n Cash flows from (used in) operating activities 756   1,527   \n       \n Cash flows from (used in) investing activities     \n Additions to property, plant and equipment (475 ) (398 ) \n Proceeds from asset sales 9   11   \n Loans to equity companies - net 16   10   \n Free cash flow 306   1,150   \n\n\nNet income (loss) excluding identified items\n\nNet income (loss) excluding identified items is a non-GAAP financial measure\nthat is total net income (loss) excluding individually significant\nnon-operational events with an absolute corporate total earnings impact of at\nleast $100 million in a given quarter. Net income (loss) excluding identified\nitems per common share is a non-GAAP ratio which is calculated by dividing Net\nincome (loss) excluding identified items by the weighted-average number of\ncommon shares outstanding, assuming dilution. The net income (loss) impact of\nan identified item for an individual segment in a given quarter may be less\nthan $100 million when the item impacts several periods or several segments.\nNet income (loss) excluding identified items does include non-operational\nearnings events or impacts that are generally below the $100 million threshold\nutilized for identified items. The most directly comparable financial measure\nthat is disclosed in the financial statements is \"Net income (loss)\" within\nthe company’s Consolidated statement of income. Management uses these\nfigures to improve comparability of the underlying business across multiple\nperiods by isolating and removing significant non-operational events from\nbusiness results. The company believes this view provides investors increased\ntransparency into business results and trends, and provides investors with a\nview of the business as seen through the eyes of management. Net income (loss)\nexcluding identified items is not meant to be viewed in isolation or as a\nsubstitute for net income (loss) as prepared in accordance with U.S. GAAP. All\nidentified items are presented on an after-tax basis.\n\nReconciliation of net income (loss) excluding identified items\n\nThere were no identified items in the first quarter of 2026 and 2025.\n\nIn the fourth quarter of 2025, net income was $492 million. Results included\nidentified items related to impairments of $264 million after-tax ($348\nmillion before-tax) and other of $212 million after-tax ($279 million\nbefore-tax). Excluding identified items, net income in the fourth quarter of\n2025 was $968 million.\n\nCash operating costs (cash costs)\n\nCash operating costs is a non-GAAP financial measure that consists of total\nexpenses, less purchases of crude oil and products, federal excise taxes and\nfuel charge, financing, and costs that are non-cash in nature, including\ndepreciation and depletion, and non-service pension and postretirement\nbenefit. The components of cash operating costs include \"Production and\nmanufacturing\", \"Selling and general\" and \"Exploration\" from the company’s\nConsolidated statement of income, and as disclosed in Attachment III of this\ndocument. The sum of these income statement lines serves as an indication of\ncash operating costs and does not reflect the total cash expenditures of the\ncompany. The most directly comparable financial measure that is disclosed in\nthe financial statements is \"Total expenses\" within the company’s\nConsolidated statement of income. This measure is useful for investors to\nunderstand the company’s efforts to optimize cash through disciplined\nexpense management.\n Reconciliation of cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025   \n From Imperial's Consolidated statement of income     \n Total expenses 11,214 10,829   \n Less:     \n Purchases of crude oil and products 8,178 7,756   \n Federal excise taxes and fuel charge 348 592   \n Depreciation and depletion (includes impairments) 520 531   \n Non-service pension and postretirement benefit 3 5   \n Financing 11 (2 ) \n Cash operating costs 2,154 1,947   \n\n Components of cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025 \n From Imperial's Consolidated statement of income     \n Production and manufacturing 1,754 1,686 \n Selling and general 397 259 \n Exploration 3 2 \n Cash operating costs 2,154 1,947 \n\n Segment contributions to total cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025 \n Upstream 1,239 1,178 \n Downstream 643 631 \n Chemicals 74 73 \n Eliminations / Corporate and other 198 65 \n Cash operating costs 2,154 1,947 \n\n\nUnit cash operating costs (unit cash costs)\n\nUnit cash operating costs is a non-GAAP ratio. Unit cash operating costs (unit\ncash costs) is calculated by dividing cash operating costs by total gross\noil-equivalent production, and is calculated for the Upstream segment, as well\nas the major Upstream assets. Cash operating costs is a non-GAAP financial\nmeasure and is disclosed and reconciled above. This measure is useful for\ninvestors to understand the expense management efforts of the company’s\nmajor assets as a component of the overall Upstream segment. Unit cash\noperating cost, as used by management, does not directly align with the\ndefinition of “Average unit production costs” as set out by the U.S.\nSecurities and Exchange Commission (SEC), and disclosed in the company’s SEC\nForm 10-K.\n Components of unit cash operating costs \n   Three Months \n   2026   2025 \n millions of Canadian dollars Upstream   Kearl   Cold   Syncrude   Upstream   Kearl   Cold   Syncrude \n \n(a) \n \nLake \n(a) \nLake \n \n  \n Production and manufacturing 1,236   487   279   413   1,176   484   285   353 \n Selling and general —   —   —   —   —   —   —   — \n Exploration 3   —   —   —   2   —   —   — \n Cash operating costs 1,239   487   279   413   1,178   484   285   353 \n                                 \n Gross oil-equivalent production 419   183   155   72   418   181   154   73 \n (thousands of barrels per day)                               \n                                 \n Unit cash operating cost ($/oeb) 32.86   29.57   20.00   63.73   31.31   29.71   20.56   53.73 \n USD converted at the YTD average forex 23.99   21.59   14.60   46.52   21.92   20.80   14.39   37.61 \n \n \n \n2026 US$0.73; 2025 US$0.70 \n\n (a)   Upstream includes Imperial's share of Kearl, Cold Lake, Syncrude and other. \n   \n __________________________________________ \n (1) Non-GAAP financial measure - see Attachment VI for definition and reconciliation \n\n\nAfter more than a century, Imperial continues to be an industry leader in\napplying technology and innovation to responsibly develop Canada’s energy\nresources. As Canada’s largest petroleum refiner, a major producer of crude\noil, a key petrochemical producer and a leading fuels marketer from coast to\ncoast, our company remains committed to high standards across all areas of our\nbusiness.\n\nSource: Imperial\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260501022135/en/\n(https://www.businesswire.com/news/home/20260501022135/en/)\n\nInvestor Relations\n\n(587) 962-4401\n\n\n\nMedia Relations\n\n(587) 476-7010\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw6ClGsTa","title":"Imperial announces first quarter 2026 financial and operating results","author":"Business Wire","ticker":"IMO","created":"2026-05-01T11:55:00.232Z","tickers":["IMO"],"exchange":"NYSE American","article_body":"Imperial announces first quarter 2026 financial and operating results\n\n\n * Quarterly net income of $940 million\n\n * Cash flows from operating activities of $756 million and cash flows from\noperating activities excluding working capital(1) of $1,239 million\n\n * Quarterly Upstream production of 419,000 gross oil-equivalent barrels per day\n\n * Kearl quarterly production of 259,000 total gross oil-equivalent barrels per\nday (183,000 barrels Imperial's share)\n\n * Cold Lake quarterly production of 155,000 gross oil-equivalent barrels per day\n\n * Downstream refinery capacity utilization of 88 percent\n\n * Intend to renew normal course issuer bid in June 2026\n\nImperial (TSE: IMO) (NYSE American: IMO):\n   First quarter \n millions of Canadian dollars, unless noted 2026 2025 ∆I \n Net income (loss) (U.S. GAAP) 940 1,288 (348) \n Net income (loss) per common share, assuming dilution (dollars) 1.94 2.52 (0.58) \n Capital and exploration expenditures 478 398 +80 \n\n\nImperial reported estimated net income in the first quarter of $940 million,\nup from net income of $492 million in the fourth quarter of 2025, primarily\ndriven by the absence of identified items(1 )and by higher prices, partially\noffset by lower volumes. Excluding identified items(1), estimated net income\nin the fourth quarter of 2025 was $968 million.\n\nQuarterly cash flows from operating activities were $756 million, compared to\n$1,918 million generated in the fourth quarter of 2025. Excluding the impact\nof working capital(1), cash flows from operating activities were $1,239\nmillion, compared to $1,260 million in the fourth quarter of 2025.\n\n\"Against a backdrop of significant volatility in global commodity markets, we\nremain committed to our long-standing corporate strategy of maximizing the\nvalue of our existing assets while progressing advantaged growth\nopportunities,\" said John Whelan, chairman, president and chief executive\nofficer.\n\nUpstream production in the quarter averaged 419,000 gross oil-equivalent\nbarrels per day. At Kearl, quarterly total gross production averaged 259,000\nbarrels per day (183,000 barrels Imperial's share) including the impact of a\nthird-party natural gas supply outage. Cold Lake averaged 155,000 barrels per\nday with continued strong solvent-assisted SAGD performance from its\nadvantaged production at Grand Rapids. The company's share of Syncrude\nproduction in the quarter averaged 72,000 gross barrels per day, and was\nimpacted by unplanned coker downtime.\n\nDownstream throughput in the quarter averaged 384,000 barrels per day,\nresulting in refinery capacity utilization of 88 percent. Throughput was\nimpacted by unplanned downtime and a disruption of synthetic crude feedstock\ncaused by Syncrude's coker outage. Petroleum product sales averaged 441,000\nbarrels per day.\n\nDuring the quarter, Imperial returned $350 million to shareholders through\ndividend payments and declared a second quarter dividend of 87 cents per\nshare.\n\n\"Our competitive advantages of scale and a long-standing commitment to\ntechnology and innovation continue to support our corporate strategy and\nadvantaged integrated business model. I am confident in our ability to\ngenerate superior cash flow, underpinning our reliable and growing dividend\nand our industry-leading share buyback program,\" said Whelan.\n\nFirst quarter highlights\n\n\n * Net income of $940 million or $1.94 per share on a diluted basis, compared to\n$1,288 million or $2.52 per share in the first quarter of 2025.\n\n * Cash flows from operating activities of $756 million, compared to cash flows\nfrom operating activities of $1,527 million in the first quarter of 2025. Cash\nflows from operating activities excluding working capital(1) of $1,239\nmillion, compared to $1,760 million in the first quarter of 2025.\n\n * Capital and exploration expenditures totaled $478 million, up from $398\nmillion in the first quarter of 2025.\n\n * The company returned $350 million to shareholders in the first quarter of 2026\nthrough dividends paid.\n\n * Upstream production averaged 419,000 gross oil-equivalent barrels per day, up\nfrom 418,000 gross oil-equivalent barrels per day in the first quarter of\n2025.\n\n * Total gross bitumen production at Kearl averaged 259,000 barrels per day\n(183,000 barrels Imperial's share), up from 256,000 barrels per day (181,000\nbarrels Imperial's share) in the first quarter of 2025, despite the impact of\na third-party natural gas supply outage.\n\n * Gross bitumen production at Cold Lake averaged 155,000 barrels per day, up\nfrom 154,000 barrels per day in the first quarter of 2025.\n\n * The company's share of gross production from Syncrude averaged 72,000 barrels\nper day, compared to 73,000 barrels per day in the first quarter of 2025.\nLower volumes at Syncrude were driven by unplanned coker downtime, partially\noffset by improved mine reliability.\n\n * Refinery throughput averaged 384,000 barrels per day, compared to 397,000\nbarrels per day in the first quarter of 2025. Capacity utilization was 88\npercent, compared to 91 percent in the first quarter of 2025. Lower refinery\nthroughput and capacity utilization were primarily due to unplanned downtime\nand a disruption of synthetic crude feedstock caused by Syncrude's coker\noutage.\n\n * Petroleum product sales were 441,000 barrels per day, compared to 455,000\nbarrels per day in the first quarter of 2025, mainly due to the lower volumes\nin the supply channel.\n\n * Chemical net income of $24 million in the quarter, compared to $31 million in\nthe first quarter of 2025.\n\nRecent business environment\n\nDuring the first quarter of 2026, the price of crude oil increased relative to\nthe fourth quarter of 2025, while the Canadian WTI/WCS spread widened.\nGeopolitical events in the Middle East and increasing supply uncertainty\ncontinued to drive volatility in crude oil prices and heavy crude\ndifferentials. Industry refining margins improved in the first quarter of\n2026, impacted by industry supply outages.\n\nDuring 2025, the United States implemented and adjusted a variety of\ntrade-related measures, including tariffs on certain imports from Canada and\nseveral other countries. In response, Canada announced its own retaliatory\ntariffs. Based on Imperial's assessment of these actions and their effects to\ndate, the company does not expect them to have a material impact on its\nconsolidated financial position, results of operations, or cash flows.\n\nOperating results\n\nFirst quarter 2026 vs. first quarter 2025\n   First Quarter \n millions of Canadian dollars, unless noted 2026 2025 \n Net income (loss) (U.S. GAAP) 940 1,288 \n Net income (loss) per common share, assuming dilution (dollars) 1.94 2.52 \n\n Upstream \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Price Volume Royalty Other 2026 \n 731 (80) (50) 10 (141) 470 \n\n\nPrice – Average bitumen realizations decreased by $7.10 per barrel,\nprimarily driven by a weaker WTI/WCS spread. Synthetic crude oil realizations\ndecreased by $2.66 per barrel, primarily driven by a weaker Synthetic/WTI\nspread.\n\nVolume – Inventory impacts partially offset by higher production.\n\nOther – Primarily due to unfavourable foreign exchange impacts of about $100\nmillion.\n Marker prices and average realizations \n   First Quarter \n Canadian dollars, unless noted 2026 2025 \n West Texas Intermediate (US$ per barrel) 72.67 71.42 \n Western Canada Select (US$ per barrel) 58.33 58.83 \n WTI/WCS Spread (US$ per barrel) 14.34 12.59 \n Bitumen (per barrel) 68.21 75.31 \n Synthetic crude oil (per barrel) 96.13 98.79 \n Average foreign exchange rate (US$) 0.73 0.70 \n\n Production   \n   First Quarter \n thousands of barrels per day 2026 2025 \n Kearl (Imperial's share) 183 181 \n Cold Lake 155 154 \n Syncrude (a) 72 73 \n       \n Kearl total gross production (thousands of barrels per day) 259 256 \n\n (a)   In the first quarter of 2026, Syncrude gross production included about 8 \n thousand barrels per day of bitumen and other products (2025 - 2 thousand \n barrels per day) that were exported to the operator's facilities using an \n existing interconnect pipeline. \n\n\nLower production at Syncrude driven by unplanned coker downtime, partially\noffset by improved mine reliability.\n Downstream \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Margins Other 2026 \n 584 (30) 57 611 \n\n\nOther – Primarily due to product mix effects.\n Refinery utilization and petroleum product sales \n   First Quarter \n thousands of barrels per day, unless noted 2026 2025 \n Refinery throughput 384 397 \n Refinery capacity utilization (percent) 88 91 \n Petroleum product sales 441 455 \n\n\nLower refinery throughput and capacity utilization were primarily due to\nunplanned downtime and a disruption of synthetic crude feedstock caused by\nSyncrude's coker outage.\n\nLower petroleum product sales were primarily due to lower volumes in the\nsupply channel.\n Chemicals \n Net income (loss) factor analysis \n millions of Canadian dollars \n 2025 Margins Other 2026 \n 31 (10) 3 24 \n\n Corporate and other \n   First Quarter \n millions of Canadian dollars 2026 2025 \n Net income (loss) (U.S. GAAP) (165) (58) \n\n\nCurrent year results reflect higher incentive compensation as a result of the\nhigher share price.\n Liquidity and capital resources   \n   First Quarter \n millions of Canadian dollars 2026 2025 \n Cash flows from (used in):     \n Operating activities 756 1,527 \n Investing activities (450) (377) \n Financing activities (419) (365) \n Increase (decrease) in cash and cash equivalents (113) 785 \n       \n Cash and cash equivalents at period end 1,029 1,764 \n\n\nCash flows from operating activities primarily reflect lower earnings and\nunfavourable working capital impacts.\n\nCash flows used in investing activities primarily reflect higher additions to\nproperty, plant and equipment.\n\nCash flows used in financing activities primarily reflect:\n   First Quarter \n millions of Canadian dollars, unless noted 2026 2025 \n Dividends paid 350 307 \n Per share dividend paid (dollars) 0.72 0.60 \n Share repurchases (a) — — \n Number of shares purchased (millions) (a) — — \n\n (a)   The company did not purchase any shares in the first quarter of 2026 and 2025. \n\n\nKey financial and operating data follow.\n\nForward-looking statements\n\nStatements of future events or conditions in this report, including\nprojections, targets, expectations, estimates, and business plans, are\nforward-looking statements. Similarly, discussion of roadmaps or future plans\nrelated to carbon capture, transportation and storage, biofuel, hydrogen, and\nother future plans to reduce emissions and emission intensity of the company,\nits affiliates and third parties are dependent on future market factors, such\nas continued technological progress, policy support and timely rule-making and\npermitting, and represent forward-looking statements. Forward-looking\nstatements can be identified by words such as believe, anticipate, intend,\npropose, plan, goal, seek, estimate, expect, future, continue, likely, may,\nshould, will and similar references to future periods. Forward-looking\nstatements in this report include, but are not limited to, references to the\nrenewal of the company’s normal course issuer bid; the company’s strategy\nof maximizing asset value while progressing growth opportunities; the\ncompany’s commitment to technology and innovation; the company’s ability\nto generate cash flow, grow dividends and deliver share buybacks; and the\nimpact on the company of trade-related actions.\n\nForward-looking statements are based on the company's current expectations,\nestimates, projections and assumptions at the time the statements are made.\nActual future financial and operating results, including expectations and\nassumptions concerning, for the renewal of the company’s normal course\nissuer bid, approval of the Toronto Stock Exchange and participation of the\ncompany’s majority shareholder; future energy demand, supply and mix;\nproduction rates, growth and mix across various assets; project plans, timing,\ncosts, technical evaluations and capacities and the company’s ability to\neffectively execute on these plans and operate its assets; the adoption and\nimpact of new facilities or technologies on reductions to greenhouse gas\nemissions intensity, including but not limited to technologies using solvents\nto replace energy intensive steam at Cold Lake, Strathcona renewable diesel,\ncarbon capture and storage including in connection with hydrogen for the\nrenewable diesel project, recovery technologies and efficiency projects, and\nany changes in the scope, terms, or costs of such projects; for shareholder\nreturns, assumptions such as cash flow forecasts, financing sources and\ncapital structure, participation of the company’s majority shareholder in\nthe normal course issuer bid, and the results of periodic and ongoing\nevaluation of alternate uses of capital; the amount and timing of emissions\nreductions, including the impact of lower carbon fuels; the degree and\ntimeliness of support that will be provided by policymakers and other\nstakeholders for various new technologies such as carbon capture and storage;\nreceipt of regulatory and third-party approvals in a timely manner, especially\nwith respect to large scale emissions reduction projects; availability and\nperformance of third-party service providers, including ExxonMobil global\ncapability centres and other service providers located outside of Canada;\nrefinery utilization and product sales; applicable laws and government\npolicies, including with respect to climate change, greenhouse gas emissions\nreductions and low carbon fuels; the ability to offset any ongoing or renewed\ninflationary pressures; capital and environmental expenditures; cash\ngeneration, financing sources and capital structure, such as dividends and\nshareholder returns, including the timing and amounts of share repurchases;\nand commodity prices, foreign exchange rates and general market conditions,\ncould differ materially depending on a number of factors.\n\nThese factors include global, regional or local changes in supply and demand\nfor oil, natural gas, petroleum and petrochemical products, feedstocks and\nother market factors, economic conditions and seasonal fluctuations and\nresulting demand, price, differential and margin impacts, including Canadian\nand foreign government action with respect to supply levels, prices, trade\ntariffs, trade sanctions or trade controls, disruptions, realignment or\nbreaking of trade alliances or agreements or a broader breakdown in global\ntrade, and disruptions in military alliances or wars; political or regulatory\nevents, including changes in law or government policy, applicable royalty\nrates, and tax laws; third-party opposition to company and service provider\noperations, projects and infrastructure; competition from alternative energy\nsources, other emission reduction technologies, and established competitors in\nsuch markets; availability and allocation of capital; the receipt, in a timely\nmanner, of regulatory and third-party approvals, including for new\ntechnologies relating to the company’s lower emissions business activities;\nfailure, delay, reduction, revocation or uncertainty regarding supportive\npolicy and market development for the adoption of emerging lower emission\nenergy technologies and other technologies that support emissions reductions;\nenvironmental regulation, including climate change and greenhouse gas\nregulation and changes to such regulation; unanticipated technical or\noperational difficulties; project management and schedules and timely\ncompletion of projects; the results of research programs and new technologies,\nincluding with respect to greenhouse gas emissions, and the ability to bring\nnew technologies to scale on a commercially competitive basis, and the\ncompetitiveness of alternative energy and other emission reduction\ntechnologies; availability and performance of third-party service providers,\nincluding ExxonMobil global capability centres and other services providers\nlocated outside of Canada; environmental risks inherent in oil and gas\nexploration and production activities; effectiveness of company risk\nmanagement programs and emergency response preparedness; operational hazards\nand risks; cybersecurity incidents including incidents caused by actors\nemploying emerging technologies such as artificial intelligence; currency\nexchange rates; general economic conditions, including continued or renewed\ninflation and the occurrence and duration of economic recessions or downturns;\nand other factors discussed in Item 1A risk factors and Item 7 management’s\ndiscussion and analysis of financial condition and results of operations of\nImperial’s most recent annual report on Form 10-K.\n\nForward-looking statements are not guarantees of future performance and\ninvolve a number of risks and uncertainties, some that are similar to other\noil and gas companies and some that are unique to Imperial. Imperial’s\nactual results may differ materially from those expressed or implied by its\nforward-looking statements and readers are cautioned not to place undue\nreliance on them. Imperial undertakes no obligation to update any\nforward-looking statements contained herein, except as required by applicable\nlaw.\n\nForward-looking and other statements regarding Imperial's environmental,\nsocial and other sustainability efforts and aspirations are not an indication\nthat these statements are material to investors or require disclosure in the\ncompany's filings with securities regulators. In addition, historical, current\nand forward-looking environmental, social and sustainability-related\nstatements may be based on standards for measuring progress that are still\ndeveloping, internal controls and processes that continue to evolve, and\nassumptions that are subject to change in the future, including future\nrule-making. Individual projects or opportunities may advance based on a\nnumber of factors, including availability of stable and supportive policy,\npermitting, technological advancement for cost-effective abatement, insights\nfrom the company planning process, and alignment with partners and other\nstakeholders.\n\nIn this release all dollar amounts are expressed in Canadian dollars unless\notherwise stated. This release should be read in conjunction with Imperial’s\nmost recent Form 10-K. Note that numbers may not add due to rounding.\n\nThe term “project” as used in this release can refer to a variety of\ndifferent activities and does not necessarily have the same meaning as in any\ngovernment payment transparency reports.\n\nIn this release, unless the context otherwise indicates, reference to “the\ncompany” or “Imperial” includes Imperial Oil Limited and its\nsubsidiaries.\n   Attachment I \n       \n       \n   Three Months \n millions of Canadian dollars, unless noted 2026 2025 \n       \n Net income (loss) (U.S. GAAP)     \n Total revenues and other income 12,446 12,517 \n Total expenses 11,214 10,829 \n Income (loss) before income taxes 1,232 1,688 \n Income taxes 292 400 \n Net income (loss) 940 1,288 \n       \n Net income (loss) per common share (dollars) 1.94 2.53 \n Net income (loss) per common share - assuming dilution (dollars) 1.94 2.52 \n       \n Other financial data     \n Gain (loss) on asset sales, after-tax 7 9 \n       \n Total assets at March 31 45,453 43,889 \n       \n Total debt at March 31 3,993 4,006 \n       \n Shareholders' equity at March 31 22,748 24,411 \n       \n Dividends declared on common stock     \n Total 421 367 \n Per common share (dollars) 0.87 0.72 \n       \n Millions of common shares outstanding     \n At March 31 483.6 509.0 \n Average - assuming dilution 484.8 510.2 \n       \n\n   Attachment II \n       \n       \n   Three Months \n millions of Canadian dollars 2026   2025   \n       \n Total cash and cash equivalents at period end 1,029   1,764   \n       \n Operating activities     \n Net income (loss) 940   1,288   \n Adjustments for non-cash items:     \n Depreciation and depletion (includes impairments) 520   531   \n (Gain) loss on asset sales (8 ) (10 ) \n Deferred income taxes and other (346 ) (31 ) \n Changes in operating assets and liabilities (483 ) (233 ) \n All other items - net 133   (18 ) \n Cash flows from (used in) operating activities 756   1,527   \n       \n Investing activities     \n Additions to property, plant and equipment (475 ) (398 ) \n Proceeds from asset sales 9   11   \n Loans to equity companies - net 16   10   \n Cash flows from (used in) investing activities (450 ) (377 ) \n Cash flows from (used in) financing activities (419 ) (365 ) \n\n   Attachment III \n       \n       \n   Three Months \n millions of Canadian dollars 2026   2025   \n       \n Net income (loss) (U.S. GAAP)     \n Upstream 470   731   \n Downstream 611   584   \n Chemical 24   31   \n Corporate and other (165 ) (58 ) \n Net income (loss) 940   1,288   \n       \n Revenues and other income     \n Upstream 4,021   4,458   \n Downstream 13,910   14,019   \n Chemical 336   372   \n Eliminations / Corporate and other (5,821 ) (6,332 ) \n Revenues and other income 12,446   12,517   \n       \n Purchases of crude oil and products     \n Upstream 1,719   1,862   \n Downstream 12,062   11,987   \n Chemical 226   253   \n Eliminations / Corporate and other (5,829 ) (6,346 ) \n Purchases of crude oil and products 8,178   7,756   \n       \n Production and manufacturing     \n Upstream 1,236   1,176   \n Downstream 463   457   \n Chemical 52   51   \n Eliminations / Corporate and other 3   2   \n Production and manufacturing 1,754   1,686   \n       \n Selling and general     \n Upstream —   —   \n Downstream 180   174   \n Chemical 22   22   \n Eliminations / Corporate and other 195   63   \n Selling and general 397   259   \n       \n Capital and exploration expenditures     \n Upstream 362   266   \n Downstream 91   88   \n Chemical 3   3   \n Corporate and other 22   41   \n Capital and exploration expenditures 478   398   \n Exploration expenses charged to Upstream income included above 3   2   \n\n   Attachment IV \n       \n       \n Operating statistics Three Months \n   2026 2025 \n       \n Gross crude oil production (thousands of barrels per day)     \n Kearl 183 181 \n Cold Lake 155 154 \n Syncrude (a) 72 73 \n Conventional 5 5 \n Total crude oil production 415 413 \n       \n Gross natural gas production (millions of cubic feet per day) 25 30 \n       \n Gross oil-equivalent production (b) 419 418 \n (thousands of oil-equivalent barrels per day)     \n       \n Net crude oil production (thousands of barrels per day)     \n Kearl 175 169 \n Cold Lake 119 123 \n Syncrude (a) 60 62 \n Conventional 4 4 \n Total crude oil production 358 358 \n       \n Net natural gas production (millions of cubic feet per day) 25 30 \n       \n Net oil-equivalent production (b) 362 363 \n (thousands of oil-equivalent barrels per day)     \n       \n Kearl blend sales (thousands of barrels per day) 262 259 \n Cold Lake blend sales (thousands of barrels per day) 207 207 \n       \n Average realizations (Canadian dollars)     \n Bitumen (per barrel) 68.21 75.31 \n Synthetic crude oil (per barrel) 96.13 98.79 \n Conventional crude oil (per barrel) 52.44 48.70 \n       \n Refinery throughput (thousands of barrels per day) 384 397 \n Refinery capacity utilization (percent) 88 91 \n       \n Petroleum product sales (thousands of barrels per day)     \n Gasolines 211 215 \n Heating, diesel and jet fuels 169 175 \n Lube oils and other products 49 50 \n Heavy fuel oils 12 15 \n Net petroleum products sales 441 455 \n Petrochemical sales (thousands of tonnes) 180 165 \n\n (a)    Syncrude gross and net production included bitumen and other products that   \n were exported to the operator’s facilities using an existing interconnect \n pipeline. \n     Gross bitumen and other products production (thousands of barrels per day) 8 2 \n     Net bitumen and other products production (thousands of barrels per day) 7 2 \n (b)    Gas converted to oil-equivalent at six million cubic feet per one thousand   \n barrels. \n\n   Attachment V \n       \n       \n     Net income (loss) per \n   Net income (loss) (U.S. GAAP) common share - diluted (a) \n   millions of Canadian dollars Canadian dollars \n       \n 2022     \n First Quarter 1,173 1.75 \n Second Quarter 2,409 3.63 \n Third Quarter 2,031 3.24 \n Fourth Quarter 1,727 2.86 \n Year 7,340 11.44 \n       \n 2023     \n First Quarter 1,248 2.13 \n Second Quarter 675 1.15 \n Third Quarter 1,601 2.76 \n Fourth Quarter 1,365 2.47 \n Year 4,889 8.49 \n       \n 2024     \n First Quarter 1,195 2.23 \n Second Quarter 1,133 2.11 \n Third Quarter 1,237 2.33 \n Fourth Quarter 1,225 2.37 \n Year 4,790 9.03 \n       \n 2025     \n First Quarter 1,288 2.52 \n Second Quarter 949 1.86 \n Third Quarter 539 1.07 \n Fourth Quarter 492 1.00 \n Year 3,268 6.48 \n       \n 2026     \n First Quarter 940 1.94 \n\n (a)   Computed using the average number of shares outstanding during each period. \n The sum of the quarters presented may not add to the year total. \n\n\nAttachment VI\n\nNon-GAAP financial measures and other specified financial measures\n\nCertain measures included in this document are not prescribed by U.S.\nGenerally Accepted Accounting Principles (GAAP). These measures constitute\n\"non-GAAP financial measures\" under Securities and Exchange Commission\nRegulation G and Item 10(e) of Regulation S-K, and \"specified financial\nmeasures\" under National Instrument 52-112 Non-GAAP and Other Financial\nMeasures Disclosure of the Canadian Securities Administrators.\n\nReconciliation of these non-GAAP financial measures to the most comparable\nGAAP measure, and other information required by these regulations, have been\nprovided. Non-GAAP financial measures and specified financial measures are not\nstandardized financial measures under GAAP and do not have a standardized\ndefinition. As such, these measures may not be directly comparable to measures\npresented by other companies, and should not be considered a substitute for\nGAAP financial measures.\n\nCash flows from (used in) operating activities excluding working capital\n\nCash flows from (used in) operating activities excluding working capital is a\nnon-GAAP financial measure that is the total cash flows from operating\nactivities less the changes in operating assets and liabilities in the period.\nThe most directly comparable financial measure that is disclosed in the\nfinancial statements is \"Cash flows from (used in) operating activities\"\nwithin the company’s Consolidated statement of cash flows. Management\nbelieves it is useful for investors to consider these numbers in comparing the\nunderlying performance of the company’s business across periods when there\nare significant period-to-period differences in the amount of changes in\nworking capital. Changes in working capital is equal to “Changes in\noperating assets and liabilities” as disclosed in the company’s\nConsolidated statement of cash flows and in Attachment II of this document.\nThis measure assesses the cash flows at an operating level, and as such, does\nnot include proceeds from asset sales as defined in Cash flows from operating\nactivities and asset sales in the Frequently Used Terms section of the\ncompany’s annual Form 10-K.\n Reconciliation of cash flows from (used in) operating activities excluding \n working capital \n   Three Months \n millions of Canadian dollars 2026   2025   \n From Imperial's Consolidated statement of cash flows     \n Cash flows from (used in) operating activities 756   1,527   \n       \n Less changes in working capital     \n Changes in operating assets and liabilities (483 ) (233 ) \n Cash flows from (used in) operating activities excl. working capital 1,239   1,760   \n\n\nFree cash flow\n\nFree cash flow is a non-GAAP financial measure that is cash flows from\noperating activities less additions to property, plant and equipment and\nequity company investments plus proceeds from asset sales. The most directly\ncomparable financial measure that is disclosed in the financial statements is\n\"Cash flows from (used in) operating activities\" within the company’s\nConsolidated statement of cash flows. This measure is used to evaluate cash\navailable for financing activities (including but not limited to dividends and\nshare purchases) after investment in the business.\n Reconciliation of free cash flow \n   Three Months \n millions of Canadian dollars 2026   2025   \n From Imperial's Consolidated statement of cash flows     \n Cash flows from (used in) operating activities 756   1,527   \n       \n Cash flows from (used in) investing activities     \n Additions to property, plant and equipment (475 ) (398 ) \n Proceeds from asset sales 9   11   \n Loans to equity companies - net 16   10   \n Free cash flow 306   1,150   \n\n\nNet income (loss) excluding identified items\n\nNet income (loss) excluding identified items is a non-GAAP financial measure\nthat is total net income (loss) excluding individually significant\nnon-operational events with an absolute corporate total earnings impact of at\nleast $100 million in a given quarter. Net income (loss) excluding identified\nitems per common share is a non-GAAP ratio which is calculated by dividing Net\nincome (loss) excluding identified items by the weighted-average number of\ncommon shares outstanding, assuming dilution. The net income (loss) impact of\nan identified item for an individual segment in a given quarter may be less\nthan $100 million when the item impacts several periods or several segments.\nNet income (loss) excluding identified items does include non-operational\nearnings events or impacts that are generally below the $100 million threshold\nutilized for identified items. The most directly comparable financial measure\nthat is disclosed in the financial statements is \"Net income (loss)\" within\nthe company’s Consolidated statement of income. Management uses these\nfigures to improve comparability of the underlying business across multiple\nperiods by isolating and removing significant non-operational events from\nbusiness results. The company believes this view provides investors increased\ntransparency into business results and trends, and provides investors with a\nview of the business as seen through the eyes of management. Net income (loss)\nexcluding identified items is not meant to be viewed in isolation or as a\nsubstitute for net income (loss) as prepared in accordance with U.S. GAAP. All\nidentified items are presented on an after-tax basis.\n\nReconciliation of net income (loss) excluding identified items\n\nThere were no identified items in the first quarter of 2026 and 2025.\n\nIn the fourth quarter of 2025, net income was $492 million. Results included\nidentified items related to impairments of $264 million after-tax ($348\nmillion before-tax) and other of $212 million after-tax ($279 million\nbefore-tax). Excluding identified items, net income in the fourth quarter of\n2025 was $968 million.\n\nCash operating costs (cash costs)\n\nCash operating costs is a non-GAAP financial measure that consists of total\nexpenses, less purchases of crude oil and products, federal excise taxes and\nfuel charge, financing, and costs that are non-cash in nature, including\ndepreciation and depletion, and non-service pension and postretirement\nbenefit. The components of cash operating costs include \"Production and\nmanufacturing\", \"Selling and general\" and \"Exploration\" from the company’s\nConsolidated statement of income, and as disclosed in Attachment III of this\ndocument. The sum of these income statement lines serves as an indication of\ncash operating costs and does not reflect the total cash expenditures of the\ncompany. The most directly comparable financial measure that is disclosed in\nthe financial statements is \"Total expenses\" within the company’s\nConsolidated statement of income. This measure is useful for investors to\nunderstand the company’s efforts to optimize cash through disciplined\nexpense management.\n Reconciliation of cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025   \n From Imperial's Consolidated statement of income     \n Total expenses 11,214 10,829   \n Less:     \n Purchases of crude oil and products 8,178 7,756   \n Federal excise taxes and fuel charge 348 592   \n Depreciation and depletion (includes impairments) 520 531   \n Non-service pension and postretirement benefit 3 5   \n Financing 11 (2 ) \n Cash operating costs 2,154 1,947   \n\n Components of cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025 \n From Imperial's Consolidated statement of income     \n Production and manufacturing 1,754 1,686 \n Selling and general 397 259 \n Exploration 3 2 \n Cash operating costs 2,154 1,947 \n\n Segment contributions to total cash operating costs \n   Three Months \n millions of Canadian dollars 2026 2025 \n Upstream 1,239 1,178 \n Downstream 643 631 \n Chemicals 74 73 \n Eliminations / Corporate and other 198 65 \n Cash operating costs 2,154 1,947 \n\n\nUnit cash operating costs (unit cash costs)\n\nUnit cash operating costs is a non-GAAP ratio. Unit cash operating costs (unit\ncash costs) is calculated by dividing cash operating costs by total gross\noil-equivalent production, and is calculated for the Upstream segment, as well\nas the major Upstream assets. Cash operating costs is a non-GAAP financial\nmeasure and is disclosed and reconciled above. This measure is useful for\ninvestors to understand the expense management efforts of the company’s\nmajor assets as a component of the overall Upstream segment. Unit cash\noperating cost, as used by management, does not directly align with the\ndefinition of “Average unit production costs” as set out by the U.S.\nSecurities and Exchange Commission (SEC), and disclosed in the company’s SEC\nForm 10-K.\n Components of unit cash operating costs \n   Three Months \n   2026   2025 \n millions of Canadian dollars Upstream   Kearl   Cold   Syncrude   Upstream   Kearl   Cold   Syncrude \n \n(a) \n \nLake \n(a) \nLake \n \n  \n Production and manufacturing 1,236   487   279   413   1,176   484   285   353 \n Selling and general —   —   —   —   —   —   —   — \n Exploration 3   —   —   —   2   —   —   — \n Cash operating costs 1,239   487   279   413   1,178   484   285   353 \n                                 \n Gross oil-equivalent production 419   183   155   72   418   181   154   73 \n (thousands of barrels per day)                               \n                                 \n Unit cash operating cost ($/oeb) 32.86   29.57   20.00   63.73   31.31   29.71   20.56   53.73 \n USD converted at the YTD average forex 23.99   21.59   14.60   46.52   21.92   20.80   14.39   37.61 \n \n \n \n2026 US$0.73; 2025 US$0.70 \n\n (a)   Upstream includes Imperial's share of Kearl, Cold Lake, Syncrude and other. \n   \n __________________________________________ \n (1) Non-GAAP financial measure - see Attachment VI for definition and reconciliation \n\n\nAfter more than a century, Imperial continues to be an industry leader in\napplying technology and innovation to responsibly develop Canada’s energy\nresources. As Canada’s largest petroleum refiner, a major producer of crude\noil, a key petrochemical producer and a leading fuels marketer from coast to\ncoast, our company remains committed to high standards across all areas of our\nbusiness.\n\nSource: Imperial\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260501022135/en/\n(https://www.businesswire.com/news/home/20260501022135/en/)\n\nInvestor Relations\n\n(587) 962-4401\n\n\n\nMedia Relations\n\n(587) 476-7010\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-05-01T11:55:00.282302208Z","server_sent_at_ms":1777636500282},"received_at":"2026-05-01T11:55:00.438Z","source_url":"https://www.businesswire.com/news/home/20260501022135/en/"},"analysis":null,"durationMs":null,"modelName":null}}