Imperial Oil (IMO) investor relations material

Executive summary

• Net income for Q2 2025 was $949 million, down from $1,133 million in Q2 2024, mainly due to lower upstream realizations and downstream margin capture.

• Cash flows from operating activities were $1,465 million, compared to $1,629 million in Q2 2024, with $2,386 million in cash at quarter end.

• Upstream production reached 427,000 boe/d, the highest Q2 in over 30 years, driven by record Kearl output.

• Major milestones included completion of Canada’s largest renewable diesel facility at Strathcona and Lemming SAGD project progress.

• Shareholder returns continued with $367 million in dividends and plans to accelerate share repurchases under the NCIB.

Financial highlights

• Q2 2025 EPS (diluted) was $1.86, down from $2.11 in Q2 2024; capital expenditures totaled $473 million, up year-over-year.

• Cash and cash equivalents increased to $2,386 million as of June 30, 2025.

• Dividends paid in Q2 2025 totaled $367 million ($0.72 per share), up from $321 million ($0.60 per share) in Q2 2024.

• Free cash flow for Q2 2025 was $993 million, down from $1,173 million in Q2 2024.

• Chemical segment Q2 2025 net income was $21 million, down from $65 million, reflecting weaker polyethylene margins.

Outlook and guidance

• No change to full-year CapEx guidance of $1.9B–$2.1B; higher H2 spending expected due to milestone payments.

• Share repurchases under the NCIB are set to accelerate, targeting completion by year end.

• Lemming SAGD project at Cold Lake is on track, with first oil expected late 2025 and ramp-up in 2026.

• EBIRT pilot at Aspen lease remains on track for early 2027 startup.

• Management continues to monitor global trade volatility, tariffs, and regulatory risks.