What changed in this filing

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Item 1. Financial Statements

2025-05-05 compared with 2024-11-04 · 17 added, 151 removed, 357 unchanged (32% of the section changed)

2 unchanged sentences

GAAP, unaudited)

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

2 unchanged sentences

Investment and other income (note 3)

44 47 113 166

Total revenues and other income 12,517 12,283

1 unchanged sentence

Purchases of crude oil and products (b)

8,734 8,748 25,296 24,082

Production and manufacturing (c)

1,517 1,666 4,870 5,207

Selling and general (c)

223 237 690 629

Federal excise tax and fuel charge 592 591

8 unchanged sentences

Net income (loss) per common share - basic (note 9)

2.33 2.77 6.67 6.05

Net income (loss) per common share - diluted (note 9)

2.33 2.76 6.66 6.04

(a) Amounts from related parties included in revenues.

2,999 3,553 8,674 10,245

(b) Amounts to related parties included in purchases of crude oil and products.

1,199 1,228 3,022 3,270

and general expenses.

121 121 406 381

(d) Amounts to related parties included in financing.

40 44 127 124

The information in the notes to consolidated financial statements is an integral part of these statements.

2 unchanged sentences

GAAP, unaudited)

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

49 unchanged sentences

GAAP, unaudited)

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

18 unchanged sentences

GAAP, unaudited)

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

4 unchanged sentences

(Gain) loss on asset sales (note 3)

( 2 ) 3 ( 5 ) ( 19 )

Deferred income taxes and other ( 31 ) ( 164 )

4 unchanged sentences

Accounts payable and accrued liabilities 114 707

All other items - net (b)

1 35 ( 2 ) ( 48 )

All other items - net (c)

Cash flows from (used in) operating activities 1,527 1,076

6 unchanged sentences

Finance lease obligations - reduction (note 6)

( 5 ) ( 5 ) ( 18 ) ( 16 )

Dividends paid ( 307 ) ( 278 )

Common shares purchased (note 9)

( 1,206 ) ( 1,342 ) ( 1,206 ) ( 1,342 )

Common shares purchased (b) (note 9)

Cash flows from (used in) financing activities ( 365 ) ( 283 )

2 unchanged sentences

Cash and cash equivalents at end of period (a)

1,490 2,716 1,490 2,716

(a) Cash equivalents are all highly liquid securities with maturity of three months or less.

(b) Includes contributions to registered pension plans.

(b) Includes 2 percent tax paid on repurchases of equity.

( 37 ) ( 37 )

2 unchanged sentences

Interest (paid), net of capitalization.

( 11 ) ( 15 ) ( 37 ) ( 52 )

The information in the notes to consolidated financial statements is an integral part of these statements.

7 unchanged sentences

The company’s exploration and production activities are accounted for under the “successful efforts” method.

The results for the nine months ended September 30, 2024, are not necessarily indicative of the operations to be expected for the full year.

The results for the three months ended March 31, 2025, are not necessarily indicative of the operations to be expected for the full year.

All amounts are in Canadian dollars unless otherwise indicated.

1 unchanged sentence

Business segments

Third Quarter

Three Months to March 31

Downstream (d)

17 unchanged sentences

Financing (note 5)

Total expenses 3,266 3,461 14,315 14,342 219 352

Income (loss) before income taxes 1,343 1,346 255 770 36 30

Income tax expense (benefit) 316 318 50 184 8 7

Net income (loss)

( 12 ) 1 — — — —

Cash flows from (used in) operating activities

1,298 1,771 164 378 49 74

Capital and exploration expenditures (c)

300 244 133 103 3 2

Third Quarter

Corporate and other

millions of Canadian dollars 2024 2023 2024 2023 2024 2023

Revenues and other income

Revenues (a) (b)

— — — — 13,215 13,873

Intersegment sales

— — ( 6,205 ) ( 6,420 ) — —

Investment and other income (note 3)

30 39 — — 44 47

30 39 ( 6,205 ) ( 6,420 ) 13,259 13,920

Exploration — — — — 1 1

Purchases of crude oil and products

— — ( 6,203 ) ( 6,419 ) 8,734 8,748

Production and manufacturing 8 — — — 1,517 1,666

Selling and general 33 40 ( 2 ) ( 1 ) 223 237

Federal excise tax and fuel charge — — — — 661 654

Depreciation and depletion 10 9 — — 508 475

Non-service pension and postretirement benefit 1 20 — — 1 20

Financing (note 5)

9 16 — — 11 19

Total expenses 3,498 3,435 13,254 12,809 331 344

7 unchanged sentences

266 290 88 153 3 5

IMPERIAL OIL LIMITED

(a) Includes export sales to the United States of $ 2,631 million (2023 - $ 2,180 million).

(b) Revenues include both revenue within the scope of ASC 606 and outside the scope of ASC 606 .

Trade receivables in "Accounts receivable – net" reported on the Consolidated balance sheet include both receivables within the scope of ASC 606 and outside the scope of ASC 606 .

Revenue and receivables outside the scope of ASC 606 primarily relate to physically settled commodity contracts accounted for as derivatives.

Contractual terms, credit quality and type of customer are generally similar between contracts within the scope of ASC 606 and those outside it.

Revenues Third Quarter

millions of Canadian dollars 2024 2023

Revenue from contracts with customers 10,404 12,271

Revenue outside the scope of ASC 606

Total 13,215 13,873

(c) Capital and exploration expenditures (CAPEX) include exploration expenses, additions to property, plant and equipment, additions to finance leases, additional investments and acquisitions and the company’s share of similar costs for equity companies.

CAPEX excludes the purchase of carbon emission credits.

(d) In the third quarter of 2024, benzene and aromatic solvents are reported under the Downstream segment, whereas in the third quarter of 2023, they were reported under the Chemicals segment.

The company has determined that the impact of this change is not material;

therefore, the comparative period has not been recast.

IMPERIAL OIL LIMITED

Nine Months to September 30

Downstream (d)

millions of Canadian dollars 2024 2023 2024 2023 2024 2023

Revenues and other income

Revenues (a) (b)

95 180 37,862 36,534 855 980

Intersegment sales

13,227 11,909 4,949 4,748 235 272

Investment and other income (note 3)

7 8 32 47 2 —

13,329 12,097 42,843 41,329 1,092 1,252

Exploration 3 3 — — — —

Purchases of crude oil and products

5,479 4,827 37,549 35,390 673 791

Production and manufacturing 3,441 3,730 1,279 1,291 137 186

Selling and general — — 503 494 71 69

Federal excise tax and fuel charge — — 1,905 1,778 3 3

Depreciation and depletion 1,275 1,250 139 135 11 10

Non-service pension and postretirement benefit — — — — — —

Financing (note 5)

Total expenses 10,202 9,813 41,375 39,088 895 1,059

Income (loss) before income taxes 3,127 2,284 1,468 2,241 197 193

Income tax expense (benefit) 743 542 338 535 47 46

Net income (loss)

2,384 1,742 1,130 1,706 150 147

Cash flows from (used in) operating activities

3,351 1,946 555 187 120 97

Capital and exploration expenditures (c)

857 868 435 329 11 11

Total assets as at September 30

Total assets as at March 31

29,382 28,661 12,327 11,126 473 517

Nine Months to September 30

Three Months to March 31

Corporate and other

27 unchanged sentences

41 48 — — 398 496

Total assets as at September 30

Total assets as at March 31

3,830 2,699 ( 2,123 ) ( 490 ) 43,889 42,513

5 unchanged sentences

Contractual terms, credit quality and type of customer are generally similar between contracts within the scope of ASC 606 and those outside it.

Revenues Nine Months

to September 30

Revenues Three Months

millions of Canadian dollars 2025 2024

10 unchanged sentences

Investment and other income included gains and losses on asset sales as follows:

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

5 unchanged sentences

The components of net benefit cost were as follows:

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

9 unchanged sentences

Interest cost 5 6

Amortization of prior service cost (credit) ( 1 ) —

Amortization of actuarial loss (gain) ( 2 ) ( 2 )

1 unchanged sentence

Financing costs

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

Debt-related interest

48 53 152 148

Capitalized interest

9 unchanged sentences

Total long-term debt 3,988 3,992

As previously communicated, in June 2024, the company extended the maturity date of its existing long-term, variable-rate, Canadian dollar loan from ExxonMobil to June 30, 2035.

All other terms and conditions remain unchanged.

Other long-term obligations

15 unchanged sentences

There are no material differences between the fair value of the company’s financial instruments and the recorded carrying value.

At September 30, 2024 and December 31, 2023, the fair value of long-term debt ($ 3,447 million, excluding finance lease obligations) was primarily a level 2 measurement.

At March 31, 2025 and December 31, 2024, the fair value of long-term debt ($ 3,447 million, excluding finance lease obligations) was primarily a level 2 measurement.

Derivative instruments

9 unchanged sentences

Products ( 1,281 ) ( 371 )

Realized and unrealized gain/(loss) on derivative instruments recognized in the Consolidated statement of income is included in the following lines on a before-tax basis:

Third Quarter

to September 30

Realized and unrealized gain/(loss) on derivative instruments recognized in the Consolidated statement of income is included in the following line on a before-tax basis:

millions of Canadian dollars 2025 2024

2 unchanged sentences

The estimated fair value of derivative instruments, and the related hierarchy level for the fair value measurement, were as follows:

At September 30, 2024

At March 31, 2025

millions of Canadian dollars

23 unchanged sentences

“Accounts payable and accrued liabilities” and “Other long-term obligations”.

At September 30, 2024 and December 31, 2023, the company had $ 25 million and $ 24 million, respectively, of collateral under a master netting arrangement not offset against the derivatives on the Consolidated balance sheet in “Accounts receivable - net”, primarily related to initial margin requirements.

At March 31, 2025 and December 31, 2024, the company had $ 22 million of collateral under a master netting arrangement not offset against the derivatives on the Consolidated balance sheet in “Accounts receivable - net”, primarily related to initial margin requirements.

IMPERIAL OIL LIMITED

3 unchanged sentences

Outstanding 509,045 509,045

The current 12-month normal course issuer bid program came into effect June 29, 2024 under which Imperial has continued its existing share purchase program.

The program enables the company to purchase up to a maximum of 26,791,840 common shares ( 5 percent of the total shares on June 15, 2024) which includes shares purchased under the normal course issuer bid from Exxon Mobil Corporation.

As in the past, Exxon Mobil Corporation has advised the company that it intends to participate to maintain its ownership percentage at approximately 69.6 percent.

Imperial plans to accelerate its share purchases under the normal course issuer bid program, and anticipates repurchasing all remaining allowable shares prior to year end.

Purchase plans may be modified at any time without prior notice.

The excess of the purchase cost over the stated value of shares purchased has been recorded as a distribution of earnings reinvested.

The company’s common share activities are summarized below:

1 unchanged sentence

Balance as at December 31, 2023

584,153 1,079

Purchases at stated value ( 26,792 ) ( 50 )

1 unchanged sentence

Purchases at stated value — —

Balance as at September 30, 2024

Balance as at March 31, 2025

The following table provides the calculation of basic and diluted earnings per common share and the dividends declared by the company on its outstanding common shares:

Third Quarter

to September 30

2024 2023 2024 2023

Net income (loss) per common share – basic

Net income (loss) (millions of Canadian dollars)

1,237 1,601 3,565 3,524

Weighted-average number of common shares outstanding (millions of shares)

530.6 578.0 534.1 582.1

Net income (loss) per common share (dollars)

2.33 2.77 6.67 6.05

Net income (loss) per common share – diluted

Net income (loss) (millions of Canadian dollars)

1,237 1,601 3,565 3,524

Weighted-average number of common shares outstanding (millions of shares)

530.6 578.0 534.1 582.1

Effect of employee share-based awards (millions of shares)

1.3 1.3 1.2 1.2

Weighted-average number of common shares outstanding,

assuming dilution (millions of shares)

531.9 579.3 535.3 583.3

Net income (loss) per common share (dollars)

2.33 2.76 6.66 6.04

Dividends per common share – declared (dollars)

0.60 0.50 1.80 1.44

IMPERIAL OIL LIMITED

6 unchanged sentences

Amounts reclassified from accumulated other comprehensive income 5 12

Balance at September 30 ( 635 ) ( 462 )

Balance at March 31 ( 197 ) ( 661 )

Amounts reclassified out of accumulated other comprehensive income (loss) – before-tax income (expense):

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

1 unchanged sentence

included in net benefit cost (a)

( 16 ) ( 13 ) ( 50 ) ( 39 )

(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):

Third Quarter

to September 30

millions of Canadian dollars 2025 2024

2 unchanged sentences

Amortization of postretirement benefits liability adjustment included in net benefit cost

Total 4 4 13 17

IMPERIAL OIL LIMITED

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements