Cenovus swings to $224-million profit in Q2 on improved conditions, Husky takeover

Cenovus Energy Inc. swung to a $224-million net profit in its latest quarter on a large recovery in sales due to improved market conditions since the onset of the COVID-19 pandemic and its takeover of rival Husky Energy Inc.

The Calgary-based oil producer earned 11 cents per share in the second quarter, compared with a loss of 19 cents per share or $235 million a year earlier.

Revenues for the three months ended June 30 was $10.58 billion, up from $2.17 billion in the second quarter of 2020.

Cenovus was expected to earn 31 cents per share on $9.78 billion of revenues, according to financial data firm Refinitiv.

Total production reached 765,900 barrels of oil equivalent per day, up 65 per cent from 465,400 boe/d in the prior year period.

As a result, Cenovus is increasing its production guidance for 2021 by two per cent with total capital expenditures to remain unchanged.