98-0017682 | ||||||||
(State or other jurisdiction | (I.R.S. Employer | |||||||
of incorporation or organization) | Identification No.) | |||||||
505 Quarry Park Boulevard S.E. Calgary, Alberta, Canada | T2C 5N1 | |||||||
(Address of principal executive offices) | (Postal Code) |
Title of each class | Trading symbol | Name of each exchange on which registered | ||||||||||||
None | None |
Yes | ✓ | No |
Yes | ✓ | No |
Large accelerated | ✓ | Smaller reporting company | ||||||||||||||||||
Non-accelerated filer | Emerging growth company | |||||||||||||||||||
Accelerated filer |
Yes | No | ✓ |
IMPERIAL OIL LIMITED |
Consolidated statement of income (U.S. GAAP, unaudited) |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Revenues and other income | ||||||||||||||
Revenues (a) | 11,764 | 17,285 | 23,821 | 29,942 | ||||||||||
Investment and other income (note 3) | 55 | 22 | 119 | 51 | ||||||||||
Total revenues and other income | 11,819 | 17,307 | 23,940 | 29,993 | ||||||||||
Expenses | ||||||||||||||
Exploration | 1 | 1 | 2 | 3 | ||||||||||
Purchases of crude oil and products (b) | 7,856 | 11,021 | 15,334 | 19,371 | ||||||||||
Production and manufacturing (c) | 1,785 | 1,908 | 3,541 | 3,567 | ||||||||||
Selling and general (c) | 206 | 191 | 392 | 416 | ||||||||||
Federal excise tax and fuel charge | 598 | 553 | 1,127 | 1,032 | ||||||||||
Depreciation and depletion | 453 | 451 | 943 | 877 | ||||||||||
Non-service pension and postretirement benefit | 20 | 5 | 40 | 9 | ||||||||||
Financing (d) (note 5) | 16 | 11 | 32 | 18 | ||||||||||
Total expenses | 10,935 | 14,141 | 21,411 | 25,293 | ||||||||||
Income (loss) before income taxes | 884 | 3,166 | 2,529 | 4,700 | ||||||||||
Income taxes | 209 | 757 | 606 | 1,118 | ||||||||||
Net income (loss) | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Per share information (Canadian dollars) | ||||||||||||||
Net income (loss) per common share - basic (note 9) | 1.16 | 3.63 | 3.29 | 5.37 | ||||||||||
Net income (loss) per common share - diluted (note 9) | 1.15 | 3.63 | 3.29 | 5.36 | ||||||||||
(a) Amounts from related parties included in revenues. | 3,556 | 5,175 | 6,692 | 9,134 | ||||||||||
(b) Amounts to related parties included in purchases of crude oil and products. | 964 | 1,129 | 2,042 | 1,779 | ||||||||||
(c) Amounts to related parties included in production and manufacturing, and selling and general expenses. | 125 | 116 | 260 | 234 | ||||||||||
(d) Amounts to related parties included in financing. | 41 | 13 | 80 | 17 | ||||||||||
The information in the notes to consolidated financial statements is an integral part of these statements. |
IMPERIAL OIL LIMITED |
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Revenues and other income | ||||||||||||||||
Revenues (a) | 17,285 | 8,007 | 29,942 | 14,999 | ||||||||||||
Investment and other income (note 3) | 22 | 40 | 51 | 46 | ||||||||||||
Total revenues and other income | 17,307 | 8,047 | 29,993 | 15,045 | ||||||||||||
Expenses | ||||||||||||||||
Exploration | 1 | 2 | 3 | 4 | ||||||||||||
Purchases of crude oil and products (b) | 11,021 | 4,867 | 19,371 | 8,754 | ||||||||||||
Production and manufacturing (c) | 1,908 | 1,569 | 3,567 | 3,054 | ||||||||||||
Selling and general (c) | 191 | 200 | 416 | 389 | ||||||||||||
Federal excise tax and fuel charge | 553 | 465 | 1,032 | 869 | ||||||||||||
Depreciation and depletion | 451 | 450 | 877 | 944 | ||||||||||||
Non-service pension and postretirement benefit | 5 | 10 | 9 | 21 | ||||||||||||
Financing (d) (note 5) | 11 | 13 | 18 | 27 | ||||||||||||
Total expenses | 14,141 | 7,576 | 25,293 | 14,062 | ||||||||||||
Income (loss) before income taxes | 3,166 | 471 | 4,700 | 983 | ||||||||||||
Income taxes | 757 | 105 | 1,118 | 225 | ||||||||||||
Net income (loss) | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Per share information (Canadian dollars) | ||||||||||||||||
Net income (loss) per common share - basic (note 9) | 3.63 | 0.51 | 5.37 | 1.04 | ||||||||||||
Net income (loss) per common share - diluted (note 9) | 3.63 | 0.50 | 5.36 | 1.04 | ||||||||||||
(a) Amounts from related parties included in revenues. | 5,175 | 1,405 | 9,134 | 2,913 | ||||||||||||
(b) Amounts to related parties included in purchases of crude oil and products. | 1,129 | 666 | 1,779 | 1,181 | ||||||||||||
(c) Amounts to related parties included in production and manufacturing, and selling and general expenses. | 116 | 106 | 234 | 222 | ||||||||||||
(d) Amounts to related parties included in financing (note 5). | 13 | 10 | 17 | 21 |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Net income (loss) | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Other comprehensive income (loss), net of income taxes | ||||||||||||||
Postretirement benefits liability adjustment (excluding amortization) | — | — | 21 | 24 | ||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit costs | 10 | 21 | 20 | 42 | ||||||||||
Total other comprehensive income (loss) | 10 | 21 | 41 | 66 | ||||||||||
Comprehensive income (loss) | 685 | 2,430 | 1,964 | 3,648 | ||||||||||
The information in the notes to consolidated financial statements is an integral part of these statements. |
Consolidated statement of comprehensive income (U.S. GAAP, unaudited) | ||||||||||||||||
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Net income (loss) | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Other comprehensive income (loss), net of income taxes | ||||||||||||||||
Postretirement benefits liability adjustment (excluding amortization) | - | - | 24 | 54 | ||||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit costs | 21 | 33 | 42 | 66 | ||||||||||||
Total other comprehensive income (loss) | 21 | 33 | 66 | 120 | ||||||||||||
Comprehensive income (loss) | 2,430 | 399 | 3,648 | 878 |
Consolidated balance sheet (U.S. GAAP, unaudited) |
millions of Canadian dollars | As at June 30 2023 | As at Dec 31 2022 | ||||||
Assets | ||||||||
Current assets | ||||||||
Cash and cash equivalents | 2,376 | 3,749 | ||||||
Accounts receivable - net (a) | 4,585 | 4,719 | ||||||
Inventories of crude oil and products | 1,460 | 1,514 | ||||||
Materials, supplies and prepaid expenses | 869 | 754 | ||||||
Total current assets | 9,290 | 10,736 | ||||||
Investments and long-term receivables (b) | 998 | 893 | ||||||
Property, plant and equipment, | 55,424 | 54,568 | ||||||
less accumulated depreciation and depletion | (24,945) | (24,062) | ||||||
Property, plant and equipment, net | 30,479 | 30,506 | ||||||
Goodwill | 166 | 166 | ||||||
Other assets, including intangibles - net | 1,193 | 1,223 | ||||||
Total assets | 42,126 | 43,524 | ||||||
Liabilities | ||||||||
Current liabilities | ||||||||
Notes and loans payable | 122 | 122 | ||||||
Accounts payable and accrued liabilities (a) (note 7) | 5,923 | 6,194 | ||||||
Income taxes payable | 184 | 2,582 | ||||||
Total current liabilities | 6,229 | 8,898 | ||||||
Long-term debt (c) (note 6) | 4,022 | 4,033 | ||||||
Other long-term obligations (note 7) | 3,418 | 3,467 | ||||||
Deferred income tax liabilities | 4,629 | 4,713 | ||||||
Total liabilities | 18,298 | 21,111 | ||||||
Shareholders’ equity | ||||||||
Common shares at stated value (d) (note 9) | 1,079 | 1,079 | ||||||
Earnings reinvested | 23,220 | 21,846 | ||||||
Accumulated other comprehensive income (loss) (note 10) | (471) | (512) | ||||||
Total shareholders’ equity | 23,828 | 22,413 | ||||||
Total liabilities and shareholders’ equity | 42,126 | 43,524 | ||||||
(a) Accounts receivable - net included net amounts receivable from related parties of $1,029 million (2022 - $1,108 million). | ||||||||
(b) Investments and long-term receivables included amounts from related parties of $286 million (2022 - $288 million). | ||||||||
(c) Long-term debt included amounts to related parties of $3,447 million (2022 - $3,447 million). | ||||||||
(d) Number of common shares authorized and outstanding were 1,100 million and 584 million, respectively (2022 - 1,100 million and 584 million, respectively). | ||||||||
The information in the notes to consolidated financial statements is an integral part of these statements. |
As at | As at | |||||||
June 30 | Dec 31 | |||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Assets | ||||||||
Current assets | ||||||||
Cash | 2,867 | 2,153 | ||||||
Accounts receivable - net (a) | 6,839 | 3,869 | ||||||
Inventories of crude oil and products | 1,394 | 1,102 | ||||||
Materials, supplies and prepaid expenses | 789 | 689 | ||||||
Total current assets | 11,889 | 7,813 | ||||||
Investments and long-term receivables (b) | 754 | 757 | ||||||
Property, plant and equipment, | 57,222 | 56,762 | ||||||
less accumulated depreciation and depletion | (26,256 | ) | (25,522 | ) | ||||
Property, plant and equipment, net (note 11) | 30,966 | 31,240 | ||||||
Goodwill | 166 | 166 | ||||||
Other assets, including intangibles - net | 1,117 | 806 | ||||||
Total assets | 44,892 | 40,782 | ||||||
Liabilities | ||||||||
Current liabilities | ||||||||
Notes and loans payable | 122 | 122 | ||||||
Accounts payable and accrued liabilities (a) (note 7) | 7,947 | 5,184 | ||||||
Income taxes payable | 2,018 | 248 | ||||||
Total current liabilities | 10,087 | 5,554 | ||||||
Long-term debt (c) (note 6) | 5,044 | 5,054 | ||||||
Other long-term obligations (note 7) | 3,453 | 3,897 | ||||||
Deferred income tax liabilities | 4,329 | 4,542 | ||||||
Total liabilities | 22,913 | 19,047 | ||||||
Shareholders’ equity | ||||||||
Common shares at stated value (d) (note 9) | 1,177 | 1,252 | ||||||
Earnings reinvested | 21,913 | 21,660 | ||||||
Accumulated other comprehensive income (loss) (note 10) | (1,111 | ) | (1,177 | ) | ||||
Total shareholders’ equity | 21,979 | 21,735 | ||||||
Total liabilities and shareholders’ equity | 44,892 | 40,782 |
Consolidated statement of shareholders’ equity (U.S. GAAP, unaudited) |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Common shares at stated value (note 9) | ||||||||||||||
At beginning of period | 1,079 | 1,237 | 1,079 | 1,252 | ||||||||||
Share purchases at stated value | — | (60) | — | (75) | ||||||||||
At end of period | 1,079 | 1,177 | 1,079 | 1,177 | ||||||||||
Earnings reinvested | ||||||||||||||
At beginning of period | 22,837 | 22,171 | 21,846 | 21,660 | ||||||||||
Net income (loss) for the period | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Share purchases in excess of stated value | — | (2,440) | — | (2,874) | ||||||||||
Dividends declared | (292) | (227) | (549) | (455) | ||||||||||
At end of period | 23,220 | 21,913 | 23,220 | 21,913 | ||||||||||
Accumulated other comprehensive income (loss) (note 10) | ||||||||||||||
At beginning of period | (481) | (1,132) | (512) | (1,177) | ||||||||||
Other comprehensive income (loss) | 10 | 21 | 41 | 66 | ||||||||||
At end of period | (471) | (1,111) | (471) | (1,111) | ||||||||||
Shareholders’ equity at end of period | 23,828 | 21,979 | 23,828 | 21,979 | ||||||||||
The information in the notes to consolidated financial statements is an integral part of these statements. |
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Common shares at stated value (note 9) | ||||||||||||||||
At beginning of period | 1,237 | 1,357 | 1,252 | 1,357 | ||||||||||||
Share purchases at stated value | (60 | ) | (55 | ) | (75 | ) | (55 | ) | ||||||||
At end of period | 1,177 | 1,302 | 1,177 | 1,302 | ||||||||||||
Earnings reinvested | ||||||||||||||||
At beginning of period | 22,171 | 22,281 | 21,660 | 22,050 | ||||||||||||
Net income (loss) for the period | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Share purchases in excess of stated value | (2,440 | ) | (1,116 | ) | (2,874 | ) | (1,116 | ) | ||||||||
Dividends declared | (227 | ) | (195 | ) | (455 | ) | (356 | ) | ||||||||
At end of period | 21,913 | 21,336 | 21,913 | 21,336 | ||||||||||||
Accumulated other comprehensive income (loss) (note 10) | ||||||||||||||||
At beginning of period | (1,132 | ) | (1,902 | ) | (1,177 | ) | (1,989 | ) | ||||||||
Other comprehensive income (loss) | 21 | 33 | 66 | 120 | ||||||||||||
At end of period | (1,111 | ) | (1,869 | ) | (1,111 | ) | (1,869 | ) | ||||||||
Shareholders’ equity at end of period | 21,979 | 20,769 | 21,979 | 20,769 |
Consolidated statement of cash flows (U.S. GAAP, unaudited) |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Operating activities | ||||||||||||||
Net income (loss) | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Adjustments for non-cash items: | ||||||||||||||
Depreciation and depletion | 453 | 451 | 943 | 877 | ||||||||||
(Gain) loss on asset sales (note 3) | (13) | (4) | (22) | (24) | ||||||||||
Deferred income taxes and other | (15) | (149) | (71) | (480) | ||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Accounts receivable | (302) | (1,426) | 134 | (2,970) | ||||||||||
Inventories, materials, supplies and prepaid expenses | 420 | (27) | (59) | (391) | ||||||||||
Income taxes payable | (321) | 853 | (2,398) | 1,312 | ||||||||||
Accounts payable and accrued liabilities | (48) | 499 | (303) | 2,643 | ||||||||||
All other items - net (c) | 36 | 76 | (83) | 47 | ||||||||||
Cash flows from (used in) operating activities | 885 | 2,682 | 64 | 4,596 | ||||||||||
Investing activities | ||||||||||||||
Additions to property, plant and equipment | (499) | (333) | (928) | (637) | ||||||||||
Proceeds from asset sales (note 3) (b) | 9 | 102 | 23 | 126 | ||||||||||
Loans to equity companies - net | 1 | 1 | 2 | 2 | ||||||||||
Cash flows from (used in) investing activities | (489) | (230) | (903) | (509) | ||||||||||
Financing activities | ||||||||||||||
Finance lease obligations - reduction (note 6) | (6) | (6) | (11) | (11) | ||||||||||
Dividends paid | (257) | (228) | (523) | (413) | ||||||||||
Common shares purchased (note 9) | — | (2,500) | — | (2,949) | ||||||||||
Cash flows from (used in) financing activities | (263) | (2,734) | (534) | (3,373) | ||||||||||
Increase (decrease) in cash and cash equivalents | 133 | (282) | (1,373) | 714 | ||||||||||
Cash and cash equivalents at beginning of period | 2,243 | 3,149 | 3,749 | 2,153 | ||||||||||
Cash and cash equivalents at end of period (a) | 2,376 | 2,867 | 2,376 | 2,867 | ||||||||||
(a) Cash equivalents are all highly liquid securities with maturity of three months or less. | ||||||||||||||
(b) In the second quarter of 2022, a deposit of $94 million was received for the pending sale of XTO Energy Canada. | ||||||||||||||
(c) Included contributions to registered pension plans. | (44) | (46) | (86) | (96) | ||||||||||
Income taxes (paid) refunded. | (557) | (52) | (3,189) | (275) | ||||||||||
Interest (paid), net of capitalization. | (16) | (10) | (37) | (22) | ||||||||||
The information in the notes to consolidated financial statements is an integral part of these statements. |
Six Months | ||||||||||||||||
Inflow (outflow) | Second Quarter | to June 30 | ||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Operating activities | ||||||||||||||||
Net income (loss) | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Adjustments for non-cash items: | ||||||||||||||||
Depreciation and depletion | 451 | 450 | 877 | 944 | ||||||||||||
(Gain) loss on asset sales (note 3) | (4 | ) | (24 | ) | (24 | ) | (27 | ) | ||||||||
Deferred income taxes and other | (149 | ) | 76 | (480 | ) | 136 | ||||||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Accounts receivable | (1,426 | ) | (775 | ) | (2,970 | ) | (1,244 | ) | ||||||||
Inventories, materials, supplies and prepaid expenses | (27 | ) | 58 | (391 | ) | (101 | ) | |||||||||
Income taxes payable | 853 | 21 | 1,312 | 42 | ||||||||||||
Accounts payable and accrued liabilities | 499 | 655 | 2,643 | 1,239 | ||||||||||||
All other items - net (c) | 76 | 25 | 47 | 150 | ||||||||||||
Cash flows from (used in) operating activities | 2,682 | 852 | 4,596 | 1,897 | ||||||||||||
Investing activities | ||||||||||||||||
Additions to property, plant and equipment | (333 | ) | (241 | ) | (637 | ) | (408 | ) | ||||||||
Proceeds from asset sales (note 3) (b) | 102 | 35 | 126 | 42 | ||||||||||||
Loans to equity companies - net | 1 | (1 | ) | 2 | 12 | |||||||||||
Cash flows from (used in) investing activities | (230 | ) | (207 | ) | (509 | ) | (354 | ) | ||||||||
Financing activities | ||||||||||||||||
Short-term debt - net | - | - | - | (36 | ) | |||||||||||
Reduction in finance lease obligations (note 6) | (6 | ) | (4 | ) | (11 | ) | (8 | ) | ||||||||
Dividends paid | (228 | ) | (161 | ) | (413 | ) | (323 | ) | ||||||||
Common shares purchased (note 9) | (2,500 | ) | (1,171 | ) | (2,949 | ) | (1,171 | ) | ||||||||
Cash flows from (used in) financing activities | (2,734 | ) | (1,336 | ) | (3,373 | ) | (1,538 | ) | ||||||||
Increase (decrease) in cash | (282 | ) | (691 | ) | 714 | 5 | ||||||||||
Cash at beginning of period | 3,149 | 1,467 | 2,153 | 771 | ||||||||||||
Cash at end of period (a) | 2,867 | 776 | 2,867 | 776 | ||||||||||||
(a) Cash is composed of cash in bank and cash equivalents at cost. Cash equivalents are all highly liquid securities with maturity of three months or less when purchased. | ||||||||||||||||
(b) Included $94 million deposit for the potential sale of XTO Energy Canada (note 11). | ||||||||||||||||
(c) Included contributions to registered pension plans. | (46 | ) | (42 | ) | (96 | ) | (70 | ) | ||||||||
Income taxes (paid) refunded. | (52 | ) | 27 | (275 | ) | 28 | ||||||||||
Interest (paid), net of capitalization. | (10 | ) | (14 | ) | (22 | ) | (27 | ) |
1. Basis of financial statement preparation |
Second Quarter | Upstream | Downstream | Chemical | ||||||||||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||
Revenues and other income | |||||||||||||||||||||||
Revenues (a) (b) | 61 | 119 | 11,355 | 16,752 | 348 | 414 | |||||||||||||||||
Intersegment sales | 3,519 | 5,827 | 1,365 | 2,024 | 89 | 149 | |||||||||||||||||
Investment and other income (note 3) | 10 | 3 | 15 | 9 | — | — | |||||||||||||||||
3,590 | 5,949 | 12,735 | 18,785 | 437 | 563 | ||||||||||||||||||
Expenses | |||||||||||||||||||||||
Exploration | 1 | 1 | — | — | — | — | |||||||||||||||||
Purchases of crude oil and products | 1,432 | 2,357 | 11,133 | 16,261 | 263 | 401 | |||||||||||||||||
Production and manufacturing | 1,256 | 1,423 | 475 | 418 | 54 | 67 | |||||||||||||||||
Selling and general | — | — | 160 | 153 | 22 | 22 | |||||||||||||||||
Federal excise tax and fuel charge | — | — | 597 | 553 | 1 | — | |||||||||||||||||
Depreciation and depletion | 398 | 395 | 44 | 45 | 4 | 4 | |||||||||||||||||
Non-service pension and postretirement benefit | — | — | — | — | — | — | |||||||||||||||||
Financing (note 5) | — | 1 | — | — | — | — | |||||||||||||||||
Total expenses | 3,087 | 4,177 | 12,409 | 17,430 | 344 | 494 | |||||||||||||||||
Income (loss) before income taxes | 503 | 1,772 | 326 | 1,355 | 93 | 69 | |||||||||||||||||
Income tax expense (benefit) | 119 | 426 | 76 | 322 | 22 | 16 | |||||||||||||||||
Net income (loss) | 384 | 1,346 | 250 | 1,033 | 71 | 53 | |||||||||||||||||
Cash flows from (used in) operating activities | 573 | 2,087 | 228 | 641 | 55 | 64 | |||||||||||||||||
Capital and exploration expenditures (c) | 303 | 233 | 152 | 69 | 5 | 2 |
Second Quarter | Corporate and other | Eliminations | Consolidated | ||||||||||||||||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Revenues and other income | |||||||||||||||||||||||||||||
Revenues (a) (b) | — | — | — | — | 11,764 | 17,285 | |||||||||||||||||||||||
Intersegment sales | — | — | (4,973) | (8,000) | — | — | |||||||||||||||||||||||
Investment and other income (note 3) | 30 | 10 | — | — | 55 | 22 | |||||||||||||||||||||||
30 | 10 | (4,973) | (8,000) | 11,819 | 17,307 | ||||||||||||||||||||||||
Expenses | |||||||||||||||||||||||||||||
Exploration | — | — | — | — | 1 | 1 | |||||||||||||||||||||||
Purchases of crude oil and products | — | — | (4,972) | (7,998) | 7,856 | 11,021 | |||||||||||||||||||||||
Production and manufacturing | — | — | — | — | 1,785 | 1,908 | |||||||||||||||||||||||
Selling and general | 25 | 18 | (1) | (2) | 206 | 191 | |||||||||||||||||||||||
Federal excise tax and fuel charge | — | — | — | — | 598 | 553 | |||||||||||||||||||||||
Depreciation and depletion | 7 | 7 | — | — | 453 | 451 | |||||||||||||||||||||||
Non-service pension and postretirement benefit | 20 | 5 | — | — | 20 | 5 | |||||||||||||||||||||||
Financing (note 5) | 16 | 10 | — | — | 16 | 11 | |||||||||||||||||||||||
Total expenses | 68 | 40 | (4,973) | (8,000) | 10,935 | 14,141 | |||||||||||||||||||||||
Income (loss) before income taxes | (38) | (30) | — | — | 884 | 3,166 | |||||||||||||||||||||||
Income tax expense (benefit) | (8) | (7) | — | — | 209 | 757 | |||||||||||||||||||||||
Net income (loss) | (30) | (23) | — | — | 675 | 2,409 | |||||||||||||||||||||||
Cash flows from (used in) operating activities | 29 | (110) | — | — | 885 | 2,682 | |||||||||||||||||||||||
Capital and exploration expenditures (c) | 33 | 10 | — | — | 493 | 314 |
Second Quarter | Upstream | Downstream | Chemical | |||||||||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||
Revenues and other income | ||||||||||||||||||||||||
Revenues (a) (b) | 119 | 2,616 | 16,752 | 5,015 | 414 | 376 | ||||||||||||||||||
Intersegment sales | 5,827 | 1,312 | 2,024 | 788 | 149 | 79 | ||||||||||||||||||
Investment and other income (note 3) | 3 | 6 | 9 | 28 | 0- | 1 | ||||||||||||||||||
5,949 | 3,934 | 18,785 | 5,831 | 563 | 456 | |||||||||||||||||||
Expenses | ||||||||||||||||||||||||
Exploration | 1 | 2 | 0- | 0- | 0- | 0- | ||||||||||||||||||
Purchases of crude oil and products | 2,357 | 2,044 | 16,261 | 4,760 | 401 | 240 | ||||||||||||||||||
Production and manufacturing | 1,423 | 1,166 | 418 | 357 | 67 | 46 | ||||||||||||||||||
Selling and general | 0- | 0- | 153 | 142 | 22 | 22 | ||||||||||||||||||
Federal excise tax and fuel charge | 0- | 0- | 553 | 465 | 0- | 0- | ||||||||||||||||||
Depreciation and depletion | 395 | 399 | 45 | 39 | 4 | 5 | ||||||||||||||||||
Non-service pension and postretirement benefit | - | 0- | 0- | 0- | 0- | 0- | ||||||||||||||||||
Financing (note 5) | 1 | 0- | 0- | 0- | 0- | 0- | ||||||||||||||||||
Total expenses | 4,177 | 3,611 | 17,430 | 5,763 | 494 | 313 | ||||||||||||||||||
Income (loss) before income taxes | 1,772 | 323 | 1,355 | 68 | 69 | 143 | ||||||||||||||||||
Income tax expense (benefit) | 426 | 76 | 322 | 8 | 16 | 34 | ||||||||||||||||||
Net income (loss) | 1,346 | 247 | 1,033 | 60 | 53 | 109 | ||||||||||||||||||
Cash flows from (used in) operating activities | 2,087 | 595 | 641 | 136 | 64 | 111 | ||||||||||||||||||
Capital and exploration expenditures (c) | 233 | 130 | 69 | 120 | 2 | 2 | ||||||||||||||||||
Second Quarter | Corporate and other | Eliminations | Consolidated | |||||||||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||
Revenues and other income | ||||||||||||||||||||||||
Revenues (a) (b) | 0- | 0- | 0- | 0- | 17,285 | 8,007 | ||||||||||||||||||
Intersegment sales | 0- | 0- | (8,000 | ) | (2,179 | ) | 0- | 0- | ||||||||||||||||
Investment and other income (note 3) | 10 | 5 | - | 0- | 22 | 40 | ||||||||||||||||||
10 | 5 | (8,000 | ) | (2,179 | ) | 17,307 | 8,047 | |||||||||||||||||
Expenses | ||||||||||||||||||||||||
Exploration | 0- | 0- | 0- | 0- | 1 | 2 | ||||||||||||||||||
Purchases of crude oil and products | 0- | 0- | (7,998 | ) | (2,177 | ) | 11,021 | 4,867 | ||||||||||||||||
Production and manufacturing | 0- | 0- | 0- | 0- | 1,908 | 1,569 | ||||||||||||||||||
Selling and general | 18 | 38 | (2 | ) | (2 | ) | 191 | 200 | ||||||||||||||||
Federal excise tax and fuel charge | 0- | 0- | 0- | 0- | 553 | 465 | ||||||||||||||||||
Depreciation and depletion | 7 | 7 | 0- | 0- | 451 | 450 | ||||||||||||||||||
Non-service pension and postretirement benefit | 5 | 10 | 0- | 0- | 5 | 10 | ||||||||||||||||||
Financing (note 5) | 10 | 13 | 0- | 0- | 11 | 13 | ||||||||||||||||||
Total expenses | 40 | 68 | (8,000 | ) | (2,179 | ) | 14,141 | 7,576 | ||||||||||||||||
Income (loss) before income taxes | (30 | ) | (63 | ) | 0- | 0- | 3,166 | 471 | ||||||||||||||||
Income tax expense (benefit) | (7 | ) | (13 | ) | 0- | 0- | 757 | 105 | ||||||||||||||||
Net income (loss) | (23 | ) | (50 | ) | 0- | 0- | 2,409 | 366 | ||||||||||||||||
Cash flows from (used in) operating activities | (110 | ) | 10 | 0- | 0- | 2,682 | 852 | |||||||||||||||||
Capital and exploration expenditures (c) | 10 | 7 | 0- | 0- | 314 | 259 |
Revenues | Second Quarter | |||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Revenue from contracts with customers | 10,922 | 15,871 | ||||||
Revenue outside the scope of ASC 606 | 842 | 1,414 | ||||||
Total | 11,764 | 17,285 |
IMPERIAL OIL LIMITED |
Six Months to June 30 | Upstream | Downstream | Chemical | ||||||||||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||
Revenues and other income | |||||||||||||||||||||||
Revenues (a) (b) | 137 | 218 | 22,994 | 28,943 | 690 | 781 | |||||||||||||||||
Intersegment sales | 7,141 | 10,258 | 3,188 | 3,857 | 180 | 253 | |||||||||||||||||
Investment and other income (note 3) | 12 | 7 | 35 | 30 | — | — | |||||||||||||||||
7,290 | 10,483 | 26,217 | 32,830 | 870 | 1,034 | ||||||||||||||||||
Expenses | |||||||||||||||||||||||
Exploration | 2 | 3 | — | — | — | — | |||||||||||||||||
Purchases of crude oil and products | 2,975 | 4,247 | 22,329 | 28,773 | 537 | 716 | |||||||||||||||||
Production and manufacturing | 2,543 | 2,672 | 886 | 774 | 112 | 121 | |||||||||||||||||
Selling and general | — | — | 317 | 300 | 48 | 45 | |||||||||||||||||
Federal excise tax and fuel charge | — | — | 1,125 | 1,032 | 2 | — | |||||||||||||||||
Depreciation and depletion | 832 | 768 | 89 | 86 | 8 | 9 | |||||||||||||||||
Non-service pension and postretirement benefit | — | — | — | — | — | — | |||||||||||||||||
Financing (note 5) | — | 1 | — | — | — | — | |||||||||||||||||
Total expenses | 6,352 | 7,691 | 24,746 | 30,965 | 707 | 891 | |||||||||||||||||
Income (loss) before income taxes | 938 | 2,792 | 1,471 | 1,865 | 163 | 143 | |||||||||||||||||
Income tax expense (benefit) | 224 | 664 | 351 | 443 | 39 | 34 | |||||||||||||||||
Net income (loss) | 714 | 2,128 | 1,120 | 1,422 | 124 | 109 | |||||||||||||||||
Cash flows from (used in) operating activities | 175 | 3,534 | (191) | 1,016 | 23 | 131 | |||||||||||||||||
Capital and exploration expenditures (c) | 624 | 455 | 226 | 137 | 9 | 3 | |||||||||||||||||
Total assets as at June 30 | 28,603 | 28,961 | 9,629 | 11,649 | 482 | 505 |
Six Months to June 30 | Upstream | Downstream | Chemical | |||||||||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||
Revenues and other income | ||||||||||||||||||||||||
Revenues (a) (b) | 218 | 4,758 | 28,943 | 9,542 | 781 | 699 | ||||||||||||||||||
Intersegment sales | 10,258 | 2,663 | 3,857 | 1,561 | 253 | 132 | ||||||||||||||||||
Investment and other income (note 3) | 7 | 6 | 30 | 33 | 0- | 1 | ||||||||||||||||||
10,483 | 7,427 | 32,830 | 11,136 | 1,034 | 832 | |||||||||||||||||||
Expenses | ||||||||||||||||||||||||
Exploration | 3 | 4 | 0- | 0- | 0- | 0- | ||||||||||||||||||
Purchases of crude oil and products | 4,247 | 3,878 | 28,773 | 8,780 | 716 | 449 | ||||||||||||||||||
Production and manufacturing | 2,672 | 2,275 | 774 | 683 | 121 | 96 | ||||||||||||||||||
Selling and general | 0- | 0- | 300 | 275 | 45 | 47 | ||||||||||||||||||
Federal excise tax and fuel charge | 0- | 0- | 1,032 | 869 | 0- | 0- | ||||||||||||||||||
Depreciation and depletion | 768 | 844 | 86 | 78 | 9 | 9 | ||||||||||||||||||
Non-service pension and postretirement benefit | 0- | 0- | 0- | 0- | 0- | 0- | ||||||||||||||||||
Financing (note 5) | 1 | 1 | 0- | 0- | 0- | 0- | ||||||||||||||||||
Total expenses | 7,691 | 7,002 | 30,965 | 10,685 | 891 | 601 | ||||||||||||||||||
Income (loss) before income taxes | 2,792 | 425 | 1,865 | 451 | 143 | 231 | ||||||||||||||||||
Income tax expense (benefit) | 664 | 99 | 443 | 99 | 34 | 55 | ||||||||||||||||||
Net income (loss) | 2,128 | 326 | 1,422 | 352 | 109 | 176 | ||||||||||||||||||
Cash flows from (used in) operating activities | 3,534 | 1,126 | 1,016 | 598 | 131 | 173 | ||||||||||||||||||
Capital and exploration expenditures (c) | 455 | 215 | 137 | 188 | 3 | 4 | ||||||||||||||||||
Total assets as at June 30 (note 11) | 28,961 | 31,931 | 11,649 | 5,352 | 505 | 481 | ||||||||||||||||||
Six Months to June 30 | Corporate and other | Eliminations | Consolidated | |||||||||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||
Revenues and other income | ||||||||||||||||||||||||
Revenues (a) (b) | 0- | 0- | 0- | 0- | 29,942 | 14,999 | ||||||||||||||||||
Intersegment sales | 0- | 0- | (14,368 | ) | (4,356 | ) | 0- | 0- | ||||||||||||||||
Investment and other income (note 3) | 14 | 6 | 0- | 0- | 51 | 46 | ||||||||||||||||||
14 | 6 | (14,368 | ) | (4,356 | ) | 29,993 | 15,045 | |||||||||||||||||
Expenses | ||||||||||||||||||||||||
Exploration | 0- | 0- | 0- | 0- | 3 | 4 | ||||||||||||||||||
Purchases of crude oil and products | 0- | 0- | (14,365 | ) | (4,353 | ) | 19,371 | 8,754 | ||||||||||||||||
Production and manufacturing | 0- | 0- | 0- | 0- | 3,567 | 3,054 | ||||||||||||||||||
Selling and general | 74 | 70 | (3 | ) | (3 | ) | 416 | 389 | ||||||||||||||||
Federal excise tax and fuel charge | 0- | 0- | 0- | 0- | 1,032 | 869 | ||||||||||||||||||
Depreciation and depletion | 14 | 13 | 0- | 0- | 877 | 944 | ||||||||||||||||||
Non-service pension and postretirement benefit | 9 | 21 | 0- | 0- | 9 | 21 | ||||||||||||||||||
Financing (note 5) | 17 | 26 | 0- | 0- | 18 | 27 | ||||||||||||||||||
Total expenses | 114 | 130 | (14,368 | ) | (4,356 | ) | 25,293 | 14,062 | ||||||||||||||||
Income (loss) before income taxes | (100 | ) | (124 | ) | 0- | 0- | 4,700 | 983 | ||||||||||||||||
Income tax expense (benefit) | (23 | ) | (28 | ) | 0- | 0- | 1,118 | 225 | ||||||||||||||||
Net income (loss) | (77 | ) | (96 | ) | 0- | 0- | 3,582 | 758 | ||||||||||||||||
Cash flows from (used in) operating activities | (85 | ) | 0- | 0- | 0- | 4,596 | 1,897 | |||||||||||||||||
Capital and exploration expenditures (c) | 15 | 15 | 0- | 0- | 610 | 422 | ||||||||||||||||||
Total assets as at June 30 (note 11) | 4,016 | 1,606 | (239 | ) | (431 | ) | 44,892 | 38,939 |
Six Months to June 30 | Corporate and other | Eliminations | Consolidated | ||||||||||||||||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Revenues and other income | |||||||||||||||||||||||||||||
Revenues (a) (b) | — | — | — | — | 23,821 | 29,942 | |||||||||||||||||||||||
Intersegment sales | — | — | (10,509) | (14,368) | — | — | |||||||||||||||||||||||
Investment and other income (note 3) | 72 | 14 | — | — | 119 | 51 | |||||||||||||||||||||||
72 | 14 | (10,509) | (14,368) | 23,940 | 29,993 | ||||||||||||||||||||||||
Expenses | |||||||||||||||||||||||||||||
Exploration | — | — | — | — | 2 | 3 | |||||||||||||||||||||||
Purchases of crude oil and products | — | — | (10,507) | (14,365) | 15,334 | 19,371 | |||||||||||||||||||||||
Production and manufacturing | — | — | — | — | 3,541 | 3,567 | |||||||||||||||||||||||
Selling and general | 29 | 74 | (2) | (3) | 392 | 416 | |||||||||||||||||||||||
Federal excise tax and fuel charge | — | — | — | — | 1,127 | 1,032 | |||||||||||||||||||||||
Depreciation and depletion | 14 | 14 | — | — | 943 | 877 | |||||||||||||||||||||||
Non-service pension and postretirement benefit | 40 | 9 | — | — | 40 | 9 | |||||||||||||||||||||||
Financing (note 5) | 32 | 17 | — | — | 32 | 18 | |||||||||||||||||||||||
Total expenses | 115 | 114 | (10,509) | (14,368) | 21,411 | 25,293 | |||||||||||||||||||||||
Income (loss) before income taxes | (43) | (100) | — | — | 2,529 | 4,700 | |||||||||||||||||||||||
Income tax expense (benefit) | (8) | (23) | — | — | 606 | 1,118 | |||||||||||||||||||||||
Net income (loss) | (35) | (77) | — | — | 1,923 | 3,582 | |||||||||||||||||||||||
Cash flows from (used in) operating activities | 57 | (85) | — | — | 64 | 4,596 | |||||||||||||||||||||||
Capital and exploration expenditures (c) | 63 | 15 | — | — | 922 | 610 | |||||||||||||||||||||||
Total assets as at June 30 | 3,915 | 4,016 | (503) | (239) | 42,126 | 44,892 |
Revenues | Six Months to June 30 | |||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Revenue from contracts with customers | 21,442 | 26,735 | ||||||
Revenue outside the scope of ASC 606 | 2,379 | 3,207 | ||||||
Total | 23,821 | 29,942 |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Proceeds from asset sales | 9 | 8 | 23 | 32 | ||||||||||
Book value of asset sales | (4) | 4 | 1 | 8 | ||||||||||
Gain (loss) on asset sales, before tax | 13 | 4 | 22 | 24 | ||||||||||
Gain (loss) on asset sales, after tax | 10 | 3 | 18 | 19 |
Second Quarter | Six Months to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Proceeds from asset sales | 8 | 35 | 32 | 42 | ||||||||||||
Book value of asset sales | 4 | 11 | 8 | 15 | ||||||||||||
Gain (loss) on asset sales, before tax | 4 | 24 | 24 | 27 | ||||||||||||
Gain (loss) on asset sales, after tax | 3 | 22 | 19 | 24 |
4. | Employee retirement benefits |
Second Quarter | Six Months to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Pension benefits: | ||||||||||||||||
Service cost | 70 | 81 | 140 | 162 | ||||||||||||
Interest cost | 74 | 68 | 147 | 136 | ||||||||||||
Expected return on plan assets | (103) | (107) | (206) | (214) | ||||||||||||
Amortization of prior service cost | 4 | 4 | 8 | 8 | ||||||||||||
Amortization of actuarial loss (gain) | 21 | 36 | 43 | 72 | ||||||||||||
Net benefit cost | 66 | 82 | 132 | 164 | ||||||||||||
Other postretirement benefits: | ||||||||||||||||
Service cost | 5 | 7 | 11 | 14 | ||||||||||||
Interest cost | 6 | 5 | 12 | 11 | ||||||||||||
Amortization of actuarial loss (gain) | 3 | 4 | 5 | 8 | ||||||||||||
Net benefit cost | 14 | 16 | 28 | 33 |
Second Quarter | Six Months to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Debt-related interest | 20 | 20 | 32 | 41 | ||||||||||||
Capitalized interest | (10) | (7) | (15) | (15) | ||||||||||||
Net interest expense | 10 | 13 | 17 | 26 | ||||||||||||
Other interest | 1 | - | 1 | 1 | ||||||||||||
Total financing | 11 | 13 | 18 | 27 |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Pension benefits: | ||||||||||||||
Service cost | 40 | 70 | 81 | 140 | ||||||||||
Interest cost | 93 | 74 | 186 | 147 | ||||||||||
Expected return on plan assets | (93) | (103) | (186) | (206) | ||||||||||
Amortization of prior service cost | 4 | 4 | 8 | 8 | ||||||||||
Amortization of actuarial loss (gain) | 11 | 21 | 22 | 43 | ||||||||||
Net benefit cost | 55 | 66 | 111 | 132 | ||||||||||
Other postretirement benefits: | ||||||||||||||
Service cost | 3 | 5 | 6 | 11 | ||||||||||
Interest cost | 7 | 6 | 14 | 12 | ||||||||||
Amortization of actuarial loss (gain) | (2) | 3 | (4) | 5 | ||||||||||
Net benefit cost | 8 | 14 | 16 | 28 |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Debt-related interest | 49 | 20 | 95 | 32 | ||||||||||
Capitalized interest | (33) | (10) | (63) | (15) | ||||||||||
Net interest expense | 16 | 10 | 32 | 17 | ||||||||||
Other interest | — | 1 | — | 1 | ||||||||||
Total financing | 16 | 11 | 32 | 18 |
As at June 30 | As at Dec 31 | |||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Long-term debt | 3,447 | 3,447 | ||||||
Finance leases | 575 | 586 | ||||||
Total long-term debt | 4,022 | 4,033 | ||||||
As at June 30 | As at Dec 31 | |||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Employee retirement benefits (a) | 875 | 902 | ||||||
Asset retirement obligations and other environmental liabilities (b) | 2,165 | 2,150 | ||||||
Share-based incentive compensation liabilities | 107 | 101 | ||||||
Operating lease liability (c) | 127 | 151 | ||||||
Other obligations | 144 | 163 | ||||||
Total other long-term obligations | 3,418 | 3,467 | ||||||
(a)Total recorded employee retirement benefits obligations also included $63 million in current liabilities (2022 - $63 million). (b)Total asset retirement obligations and other environmental liabilities also included $116 million in current liabilities (2022 - $116 million). (c)Total operating lease liability also included $106 million in current liabilities (2022 - $100 million). In addition to the total operating lease liability, additional undiscounted commitments for leases not yet commenced totalled $60 million (2022 - $14 million). |
As at June 30 | As at Dec 31 | |||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Long-term debt | 4,447 | 4,447 | ||||||
Finance leases | 597 | 607 | ||||||
Total long-term debt | 5,044 | 5,054 |
As at June 30 | As at Dec 31 | |||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Employee retirement benefits (a) | 1,323 | 1,362 | ||||||
Asset retirement obligations and other environmental liabilities (b) | 1,733 | 1,713 | ||||||
Share-based incentive compensation liabilities | 119 | 79 | ||||||
Operating lease liability (c) | 122 | 147 | ||||||
Other obligations | 156 | 596 | ||||||
Total other long-term obligations | 3,453 | 3,897 |
IMPERIAL OIL LIMITED |
8. Financial and derivative instruments |
As at June 30 | As at Dec 31 | |||||||
thousands of barrels | 2023 | 2022 | ||||||
Crude | 8,040 | 1,800 | ||||||
Products | (670) | (350) |
As at June 30 | As at Dec 31 | |||||||
thousands of barrels | 2022 | 2021 | ||||||
Crude | 8,680 | 7,390 | ||||||
Products | (930 | ) | (560 | ) |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Revenues | 10 | (51) | (13) | (14) | ||||||||||
Second Quarter | Six Months to June 30 | |||||||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||
Revenues | (51 | ) | (9 | ) | (14 | ) | (9 | ) | ||||||||||||
Purchases of crude oil and products | - | (19 | ) | - | (33 | ) | ||||||||||||||
Total | (51 | ) | (28 | ) | (14 | ) | (42 | ) |
IMPERIAL OIL LIMITED |
At June 30, 2023 | |||||||||||||||||||||||
millions of Canadian dollars | |||||||||||||||||||||||
Fair value | Effect of counterparty netting | Effect of collateral netting | Net carrying value | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||
Assets | |||||||||||||||||||||||
Derivative assets (a) | 11 | 31 | — | 42 | (11) | — | 31 | ||||||||||||||||
Liabilities | |||||||||||||||||||||||
Derivative liabilities (b) | 13 | 26 | — | 39 | (11) | (2) | 26 | ||||||||||||||||
(a)Included in the Consolidated balance sheet line: “Materials, supplies and prepaid expenses”, “Accounts receivable - net” and “Other assets, including intangibles - net”. (b)Included in the Consolidated balance sheet line: “Accounts payable and accrued liabilities” and “Other long-term obligations”. |
At June 30, 2022 | ||||||||||||||||||||||||||||
millions of Canadian dollars | ||||||||||||||||||||||||||||
Fair value | Effect of | Effect of | Net | |||||||||||||||||||||||||
counterparty | collateral | carrying | ||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | netting | netting | value | ||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||
Derivative assets (a) | 35 | 25 | - | 60 | (44 | ) | (3 | ) | 13 | |||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||
Derivative liabilities (b) | 32 | 47 | - | 79 | (44 | ) | - | 35 |
At December 31, 2022 | |||||||||||||||||||||||
millions of Canadian dollars | |||||||||||||||||||||||
Fair value | Effect of counterparty netting | Effect of collateral netting | Net carrying value | ||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||
Assets | |||||||||||||||||||||||
Derivative assets (a) | 17 | 32 | — | 49 | (27) | — | 22 | ||||||||||||||||
Liabilities | |||||||||||||||||||||||
Derivative liabilities (b) | 21 | 20 | — | 41 | (27) | (4) | 10 | ||||||||||||||||
(a)Included in the Consolidated balance sheet line: “Materials, supplies and prepaid expenses”, “Accounts receivable - net” and “Other assets, including intangibles - net”. (b)Included in the Consolidated balance sheet line: “Accounts payable and accrued liabilities” and “Other long-term obligations”. |
At December 31, 2021 | ||||||||||||||||||||||||||||
millions of Canadian dollars | ||||||||||||||||||||||||||||
Fair value | Effect of | Effect of | Net | |||||||||||||||||||||||||
counterparty | collateral | carrying | ||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | netting | netting | value | ||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||
Derivative assets (a) | 24 | 17 | - | 41 | (31 | ) | - | 10 | ||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||
Derivative liabilities (b) | 31 | 12 | - | 43 | (31 | ) | (7 | ) | 5 |
IMPERIAL OIL LIMITED |
thousands of shares | As at June 30 2023 | As at Dec 31 2022 | ||||||
Authorized | 1,100,000 | 1,100,000 | ||||||
Outstanding | 584,153 | 584,153 |
As of | As of | |||||||
June 30 | Dec 31 | |||||||
thousands of shares | 2022 | 2021 | ||||||
Authorized | 1,100,000 | 1,100,000 | ||||||
Common shares outstanding | 636,676 | 678,080 |
Thousands of shares | Millions of dollars | Thousands of shares | Millions of dollars | |||||||||||||
Balance as at December 31, 2020 | 734,077 | 1,357 | ||||||||||||||
Issued under employee share-based awards | 7 | - | ||||||||||||||
Purchases at stated value | (56,004 | ) | (105 | ) | ||||||||||||
Balance as at December 31, 2021 | 678,080 | 1,252 | Balance as at December 31, 2021 | 678,080 | 1,252 | |||||||||||
Issued under employee share-based awards | - | - | Issued under employee share-based awards | — | — | |||||||||||
Purchases at stated value | (41,404 | ) | (75 | ) | Purchases at stated value | (93,927) | (173) | |||||||||
Balance as at June 30, 2022 | 636,676 | 1,177 | ||||||||||||||
Balance as at December 31, 2022 | Balance as at December 31, 2022 | 584,153 | 1,079 | |||||||||||||
Issued under employee share-based awards | Issued under employee share-based awards | — | — | |||||||||||||
Purchases at stated value | Purchases at stated value | — | — | |||||||||||||
Balance as at June 30, 2023 | Balance as at June 30, 2023 | 584,153 | 1,079 |
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net income (loss) per common share - basic | ||||||||||||||||
Net income (loss) (millions of Canadian dollars) | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Weighted average number of common shares outstanding (millions of shares) | 663.0 | 724.1 | 666.7 | 729.1 | ||||||||||||
Net income (loss) per common share (dollars) | 3.63 | 0.51 | 5.37 | 1.04 | ||||||||||||
Net income (loss) per common share - diluted | ||||||||||||||||
Net income (loss) (millions of Canadian dollars) | 2,409 | 366 | 3,582 | 758 | ||||||||||||
Weighted average number of common shares outstanding (millions of shares) | 663.0 | 724.1 | 666.7 | 729.1 | ||||||||||||
Effect of employee share-based awards (millions of shares) | 1.4 | 1.7 | 1.4 | 1.7 | ||||||||||||
Weighted average number of common shares outstanding, assuming dilution (millions of shares) | 664.4 | 725.8 | 668.1 | 730.8 | ||||||||||||
Net income (loss) per common share (dollars) | 3.63 | 0.50 | 5.36 | 1.04 | ||||||||||||
Dividends per common share - declared (dollars) | 0.34 | 0.27 | 0.68 | 0.49 |
Second Quarter | Six Months to June 30 | |||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||
Net income (loss) per common share – basic | ||||||||||||||
Net income (loss) (millions of Canadian dollars) | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Weighted average number of common shares outstanding (millions of shares) | 584.2 | 663.0 | 584.2 | 666.7 | ||||||||||
Net income (loss) per common share (dollars) | 1.16 | 3.63 | 3.29 | 5.37 | ||||||||||
Net income (loss) per common share – diluted | ||||||||||||||
Net income (loss) (millions of Canadian dollars) | 675 | 2,409 | 1,923 | 3,582 | ||||||||||
Weighted average number of common shares outstanding (millions of shares) | 584.2 | 663.0 | 584.2 | 666.7 | ||||||||||
Effect of employee share-based awards (millions of shares) | 1.1 | 1.4 | 1.1 | 1.4 | ||||||||||
Weighted-average number of common shares outstanding, assuming dilution (millions of shares) | 585.3 | 664.4 | 585.3 | 668.1 | ||||||||||
Net income (loss) per common share (dollars) | 1.15 | 3.63 | 3.29 | 5.36 | ||||||||||
Dividends per common share – declared (dollars) | 0.50 | 0.34 | 0.94 | 0.68 |
IMPERIAL OIL LIMITED |
millions of Canadian dollars | 2023 | 2022 | ||||||
Balance at January 1 | (512) | (1,177) | ||||||
Postretirement benefits liability adjustment: | ||||||||
Current period change excluding amounts reclassified from accumulated other comprehensive income | 21 | 24 | ||||||
Amounts reclassified from accumulated other comprehensive income | 20 | 42 | ||||||
Balance at June 30 | (471) | (1,111) |
Amounts reclassified out of accumulated other comprehensive income (loss) - before-tax income (expense): |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit cost (a) | (13) | (27) | (26) | (55) | ||||||||||
(a) This accumulated other comprehensive income component is included in the computation of net benefit cost (note 4). |
Income tax expense (credit) for components of other comprehensive income (loss): |
Second Quarter | Six Months to June 30 | |||||||||||||
millions of Canadian dollars | 2023 | 2022 | 2023 | 2022 | ||||||||||
Postretirement benefits liability adjustments: | ||||||||||||||
Postretirement benefits liability adjustment (excluding amortization) | — | — | 7 | 8 | ||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit cost | 3 | 6 | 6 | 13 | ||||||||||
Total | 3 | 6 | 13 | 21 |
millions of Canadian dollars | 2022 | 2021 | ||||||
Balance at January 1 | (1,177 | ) | (1,989 | ) | ||||
Postretirement benefits liability adjustment: | ||||||||
Current period change excluding amounts reclassified from accumulated other comprehensive income | 24 | 54 | ||||||
Amounts reclassified from accumulated other comprehensive income | 42 | 66 | ||||||
Balance at June 30 | (1,111 | ) | (1,869 | ) |
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit cost (a) | (27 | ) | (44) | (55) | (88) |
Six Months | ||||||||||||||||
Second Quarter | to June 30 | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | 2022 | 2021 | ||||||||||||
Postretirement benefits liability adjustments: | ||||||||||||||||
Postretirement benefits liability adjustment (excluding amortization) | - | - | 8 | 17 | ||||||||||||
Amortization of postretirement benefits liability adjustment included in net benefit cost | 6 | 11 | 13 | 22 | ||||||||||||
Total | 6 | 11 | 21 | 39 |
IMPERIAL OIL LIMITED |
Second Quarter | ||||||||
millions of Canadian dollars, unless noted | 2023 | 2022 | ||||||
Net income (loss) (U.S. GAAP) | 675 | 2,409 | ||||||
Net income (loss) per common share, assuming dilution (dollars) | 1.15 | 3.63 | ||||||
Second Quarter | ||||||||
millions of Canadian dollars, unless noted | 2022 | 2021 | ||||||
Net income (loss) (U.S. GAAP) | 2,409 | 366 | ||||||
Net income (loss) per common share, assuming dilution (dollars) | 3.63 | 0.50 |
Second Quarter | ||||||||
Canadian dollars, unless noted | 2023 | 2022 | ||||||
West Texas Intermediate (US$ per barrel) | 73.56 | 108.52 | ||||||
Western Canada Select (US$ per barrel) | 58.49 | 95.80 | ||||||
WTI/WCS Spread (US$ per barrel) | 15.07 | 12.72 | ||||||
Bitumen (per barrel) | 68.64 | 112.27 | ||||||
Synthetic crude oil (per barrel) | 100.92 | 144.67 | ||||||
Average foreign exchange rate (US$) | 0.74 | 0.78 |
IMPERIAL OIL LIMITED |
Second Quarter | ||||||||
thousands of barrels per day | 2023 | 2022 | ||||||
Kearl (Imperial's share) | 154 | 159 | ||||||
Cold Lake | 132 | 144 | ||||||
Syncrude (a) | 66 | 81 | ||||||
Kearl total gross production (thousands of barrels per day) | 217 | 224 |
Second Quarter | ||||||||
Canadian dollars, unless noted | 2022 | 2021 | ||||||
West Texas Intermediate (US$ per barrel) | 108.52 | 66.17 | ||||||
Western Canada Select (US$ per barrel) | 95.80 | 54.64 | ||||||
WTI/WCS Spread (US$ per barrel) | 12.72 | 11.53 | ||||||
Bitumen (per barrel) | 112.27 | 57.26 | ||||||
Synthetic crude oil (per barrel) | 144.67 | 80.80 | ||||||
Average foreign exchange rate (US$) | 0.78 | 0.81 |
Second Quarter | ||||||||
thousands of barrels per day, unless noted | 2023 | 2022 | ||||||
Refinery throughput | 388 | 412 | ||||||
Refinery capacity utilization (percent) | 90 | 96 | ||||||
Petroleum product sales | 475 | 480 |
Second Quarter | ||||||||
thousands of barrels per day | 2022 | 2021 | ||||||
Kearl (Imperial’s share) | 159 | 181 | ||||||
Cold Lake | 144 | 142 | ||||||
Syncrude (a) | 81 | 47 | ||||||
Kearl total gross production (thousands of barrels per day) | 224 | 255 |
Refinery utilization and petroleum product sales | ||||||||
Second Quarter | ||||||||
thousands of barrels per day, unless noted | 2022 | 2021 | ||||||
Refinery throughput | 412 | 332 | ||||||
Refinery capacity utilization (percent) | 96 | 78 | ||||||
Petroleum product sales | 480 | 429 |
IMPERIAL OIL LIMITED |
Second Quarter | ||||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Net income (loss) (U.S. GAAP) | (30) | (23) |
Second Quarter | ||||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Net income (loss) (U.S. GAAP) | (23) | (50) |
Second Quarter | ||||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Cash flow generated from (used in): | ||||||||
Operating activities | 885 | 2,682 | ||||||
Investing activities | (489) | (230) | ||||||
Financing activities | (263) | (2,734) | ||||||
Increase (decrease) in cash and cash equivalents | 133 | (282) | ||||||
Cash and cash equivalents at period end | 2,376 | 2,867 |
Second Quarter | ||||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Cash flow generated from (used in): | ||||||||
Operating activities | 2,682 | 852 | ||||||
Investing activities | (230 | ) | (207 | ) | ||||
Financing activities | (2,734 | ) | (1,336 | ) | ||||
Increase (decrease) in cash and cash equivalents | (282 | ) | (691 | ) | ||||
Cash and cash equivalents at period end | 2,867 | 776 |
Second Quarter | ||||||||
millions of Canadian dollars, unless noted | 2022 | 2021 | ||||||
Dividends paid | 228 | 161 | ||||||
Per share dividend paid (dollars) | 0.34 | 0.22 | ||||||
Share repurchases (a) | 2,500 | 1,171 | ||||||
Number of shares purchased (millions) (a) | 32.5 | 29.5 | ||||||
(a) Share repurchases were made under the company’s substantial issuer bid that commenced on May 6, 2022 and expired on June 10, 2022. Includes shares purchased from Exxon Mobil Corporation by way of a proportionate tender to maintain its ownership percentage at approximately 69.6 percent. |
Second Quarter | ||||||||
millions of Canadian dollars, unless noted | 2023 | 2022 | ||||||
Dividends paid | 257 | 228 | ||||||
Per share dividend paid (dollars) | 0.44 | 0.34 | ||||||
Share repurchases (a) | — | 2,500 | ||||||
Number of shares purchased (millions) (a) | — | 32.5 |
IMPERIAL OIL LIMITED |
Six Months | ||||||||
millions of Canadian dollars, unless noted | 2023 | 2022 | ||||||
Net income (loss) (U.S. GAAP) | 1,923 | 3,582 | ||||||
Net income (loss) per common share, assuming dilution (dollars) | 3.29 | 5.36 | ||||||
Six Months | ||||||||
millions of Canadian dollars, unless noted | 2022 | 2021 | ||||||
Net income (loss) (U.S. GAAP) | 3,582 | 758 | ||||||
Net income (loss) per common share, assuming dilution (dollars) | 5.36 | 1.04 |
Six Months | ||||||||
Canadian dollars, unless noted | 2023 | 2022 | ||||||
West Texas Intermediate (US$ per barrel) | 74.77 | 101.77 | ||||||
Western Canada Select (US$ per barrel) | 54.92 | 88.13 | ||||||
WTI/WCS Spread (US$ per barrel) | 19.85 | 13.64 | ||||||
Bitumen (per barrel) | 58.94 | 101.53 | ||||||
Synthetic crude oil (per barrel) | 101.73 | 131.41 | ||||||
Average foreign exchange rate (US$) | 0.74 | 0.79 |
Six Months | ||||||||
Canadian dollars, unless noted | 2022 | 2021 | ||||||
West Texas Intermediate (US$ per barrel) | 101.77 | 62.22 | ||||||
Western Canada Select (US$ per barrel) | 88.13 | 50.14 | ||||||
WTI/WCS Spread (US$ per barrel) | 13.64 | 12.08 | ||||||
Bitumen (per barrel) | 101.53 | 52.45 | ||||||
Synthetic crude oil (per barrel) | 131.41 | 72.42 | ||||||
Average foreign exchange rate (US$) | 0.79 | 0.80 |
IMPERIAL OIL LIMITED |
Six Months | ||||||||
thousands of barrels per day | 2023 | 2022 | ||||||
Kearl (Imperial's share) | 169 | 146 | ||||||
Cold Lake | 137 | 142 | ||||||
Syncrude (a) | 71 | 79 | ||||||
Kearl total gross production (thousands of barrels per day) | 238 | 205 |
Six Months | ||||||||
thousands of barrels per day | 2022 | 2021 | ||||||
Kearl (Imperial’s share) | 146 | 180 | ||||||
Cold Lake | 142 | 141 | ||||||
Syncrude (a) | 79 | 63 | ||||||
Kearl total gross production (thousands of barrels per day) | 205 | 253 |
Refinery utilization and petroleum product sales | ||||||||
Six Months | ||||||||
thousands of barrels per day, unless noted | 2022 | 2021 | ||||||
Refinery throughput | 406 | 348 | ||||||
Refinery capacity utilization (percent) | 95 | 81 | ||||||
Petroleum product sales | 464 | 421 |
Six Months | ||||||||
thousands of barrels per day, unless noted | 2023 | 2022 | ||||||
Refinery throughput | 403 | 406 | ||||||
Refinery capacity utilization (percent) | 93 | 95 | ||||||
Petroleum product sales | 465 | 464 |
IMPERIAL OIL LIMITED |
Six Months | ||||||||
millions of Canadian dollars | 2023 | 2022 | ||||||
Net income (loss) (U.S. GAAP) | (35) | (77) |
Six Months | ||||||||
millions of Canadian dollars | 2022 | 2021 | ||||||
Net income (loss) (U.S. GAAP) | (77) | (96 | ) |
Six Months | Six Months | |||||||||||||||
millions of Canadian dollars | 2022 | 2021 | millions of Canadian dollars | 2023 | 2022 | |||||||||||
Cash flow generated from (used in): | Cash flow generated from (used in): | |||||||||||||||
Operating activities | 4,596 | 1,897 | Operating activities | 64 | 4,596 | |||||||||||
Investing activities | (509 | ) | (354 | ) | Investing activities | (903) | (509) | |||||||||
Financing activities | (3,373 | ) | (1,538 | ) | Financing activities | (534) | (3,373) | |||||||||
Increase (decrease) in cash and cash equivalents | 714 | 5 | Increase (decrease) in cash and cash equivalents | (1,373) | 714 |
Six Months | ||||||||
millions of Canadian dollars, unless noted | 2023 | 2022 | ||||||
Dividends paid | 523 | 413 | ||||||
Per share dividend paid (dollars) | 0.88 | 0.61 | ||||||
Share repurchases (a) | — | 2,949 | ||||||
Number of shares purchased (millions) (a) | — | 41.4 | ||||||
(a)The company did not purchase shares during the six months ended June 30, 2023. In the six months ended June 30, 2022, share repurchases were made under the company's normal course issuer bid program and substantial issuer bid that commenced on May 6, 2022 and expired on June 10, 2022. Includes shares purchased from Exxon Mobil Corporation concurrent with, but outside of, the normal course issuer bid, and by way of a proportionate tender under the company's substantial issuer bid. |
Six Months | ||||||||
millions of Canadian dollars, unless noted | 2022 | 2021 | ||||||
Dividends paid | 413 | 323 | ||||||
Per share dividend paid (dollars) | 0.61 | 0.44 | ||||||
Share repurchases (a) | 2,949 | 1,171 | ||||||
Number of shares purchased (millions) (a) | 41.4 | 29.5 | ||||||
(a) Share repurchases were made under the company’s normal course issuer bid program and substantial issuer bid that commenced on May 6, 2022 and expired on June 10, 2022. Includes shares purchased from Exxon Mobil Corporation concurrent with, but outside of the normal course issuer bid, and by way of a proportionate tender under the company’s substantial issuer bid. |
IMPERIAL OIL LIMITED |
IMPERIAL OIL LIMITED |
IMPERIAL OIL LIMITED |
| Total number of shares purchased | | | Average price paid per share (Canadian dollars) | | | Total number of shares purchased as part of publicly announced plans or programs | | | Maximum number of shares that may yet be purchased under the plans or programs (a) (b) (c) | | |||||
April 2022 | - | - | - | - | ||||||||||||
(April 1 - April 30) | ||||||||||||||||
May 2022 | - | - | - | - | ||||||||||||
(May 1 - May 31) | ||||||||||||||||
June 2022 | 32,467,532 | 77.00 | 32,467,532 | - | ||||||||||||
(June 1 - June 28) | ||||||||||||||||
(June 29 - June 30) | - | - | - | 31,833,809 |
Total number of | Average price paid per share (Canadian dollars) | Total number of shares purchased as part of publicly announced plans or programs | Maximum number of shares that may yet be purchased under the programs (a) (b) | |||||||||||
April 2023 | ||||||||||||||
(April 1 - April 30) | — | — | — | — | ||||||||||
May 2023 | ||||||||||||||
(May 1 - May 31) | — | — | — | — | ||||||||||
June 2023 | ||||||||||||||
(June 1 - June 30) | — | — | — | — | ||||||||||
IMPERIAL OIL LIMITED |
IMPERIAL OIL LIMITED |
Imperial Oil Limited | ||||||||||
(Registrant) | ||||||||||
Date: | August 1, 2023 | /s/ Daniel E. Lyons | ||||||||
(Signature) | ||||||||||
Daniel E. Lyons | ||||||||||
Senior vice-president, finance and administration, and controller | ||||||||||
(Principal accounting officer) | ||||||||||
Date: | August 1, 2023 | /s/ Cathryn Walker | ||||||||
(Signature) | ||||||||||
Cathryn Walker | ||||||||||
Assistant corporate secretary |