Suncor Energy earns $877M on increased production; doubles dividend

Photo: The Canadian Press

A Suncor logo is shown at the company's annual meeting in Calgary, Thursday, May 2, 2019.THE CANADIAN PRESS/Jeff McIntosh

Suncor Energy Inc. says it earned a net profit of $877 million in its latest quarter as it continued to pay down debt and ramp up production in the wake of higher oil prices.

The Calgary-based oil producer and refiner reported after markets closed on Wednesday that it earned $0.59 per common share in the third quarter of 2021, compared to a net loss of $12 million or $0.01 per common share in the third quarter of 2020.

The company says it will double its dividend as of Dec. 24, 2021, to $0.42 per common share from $0.21 per share, thanks to strong performance and higher than expected commodity prices.

Its operating earnings increased to $1.043 billion or $0.71 per common share, compared to an operating loss of $338 million or $0.22 per common share in the same period last year.

Suncor's total upstream production for the quarter ended Sept. 30 was 698,600 barrels of oil equivalent per day, compared to 616,200 in the same quarter a year ago.

Suncor's refinery business reported $947 million in funds from operations in the third quarter, compared to $594 million in the same quarter the year before.

The company says it reduced its net debt by $2 billion in the third quarter and has reduced its net debt by a total of $3.1 billion since the beginning of 2021.