What changed in this filing

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Item 1. Financial Statements

2025-11-03 compared with 2025-08-04 · 99 added, 53 removed, 441 unchanged (26% of the section changed)

2 unchanged sentences

GAAP, unaudited)

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

2 unchanged sentences

Investment and other income (note 3)

55 44 130 113

Total revenues and other income 12,049 13,259 35,798 38,925

4 unchanged sentences

1,625 1,517 4,975 4,870

Selling and general (c)

Selling and general (c) (note 11)

622 223 1,132 690

Federal excise tax and fuel charge 380 661 1,344 1,908

Depreciation and depletion 478 456 1,009 946

Depreciation and depletion (includes impairments) (note 11)

911 508 1,920 1,454

Non-service pension and postretirement benefit 25 1 36 3

10 unchanged sentences

(a) Amounts from related parties included in revenues (note 1)

3,345 3,755 10,340 10,829

(b) Amounts to related parties included in purchases of crude oil and products (note 1)

1,619 1,955 4,188 5,177

6 unchanged sentences

GAAP, unaudited)

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

17 unchanged sentences

Investments and long-term receivables (b)

Property, plant and equipment, 58,876 58,048

less accumulated depreciation and depletion ( 28,208 ) ( 27,241 )

Property, plant and equipment - net

Property, plant and equipment, (note 11)

59,293 58,048

less accumulated depreciation and depletion (note 11)

( 29,068 ) ( 27,241 )

Property, plant and equipment - net (note 11)

30,225 30,807

Goodwill 166 166

26 unchanged sentences

GAAP, unaudited)

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

18 unchanged sentences

GAAP, unaudited)

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

2 unchanged sentences

Adjustments for non-cash items:

Depreciation and depletion 478 456 1,009 946

Depreciation and depletion (includes impairments) (note 11)

911 508 1,920 1,454

(Gain) loss on asset sales (note 3)

20 unchanged sentences

Common shares purchased (b) (note 9)

( 1,469 ) ( 1,206 ) ( 1,523 ) ( 1,206 )

Cash flows from (used in) financing activities ( 1,841 ) ( 1,533 ) ( 2,577 ) ( 2,145 )

20 unchanged sentences

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

Amounts for related party revenues and purchases for the three months ended June 30, 2024 have been revised from $ 2,946 million to $ 3,657 million and from $ 838 million to $ 1,549 million, respectively.

Amounts for related party revenues and purchases for the six months ended June 30, 2024 have been revised from $ 5,675 million to $ 7,074 million and from $ 1,823 million to $ 3,222 million, respectively.

Amounts for related party revenues and purchases for the three months ended September 30, 2024 have been revised from $ 2,999 million to $ 3,755 million and from $ 1,199 million to $ 1,955 million, respectively.

Amounts for related party revenues and purchases for the nine months ended September 30, 2024 have been revised from $ 8,674 million to $ 10,829 million and from $ 3,022 million to $ 5,177 million, respectively.

Impacts of the revision offset to zero.

The results for the six months ended June 30, 2025, are not necessarily indicative of the operations to be expected for the full year.

The results for the nine months ended September 30, 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

Second Quarter

Downstream (d)

Third Quarter

millions of Canadian dollars 2025 2024 2025 2024 2025 2024

11 unchanged sentences

Production and manufacturing 1,098 1,050 462 423 58 36

Selling and general — — 175 171 20 23

Selling and general (note 11)

— — 169 170 22 22

Federal excise tax and fuel charge — — 379 660 1 1

Depreciation and depletion 418 396 44 46 4 4

Depreciation and depletion (note 11)

434 447 56 48 4 3

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

9 unchanged sentences

353 300 114 133 4 3

Second Quarter

Third Quarter

Corporate and other

12 unchanged sentences

Production and manufacturing 7 8 — — 1,625 1,517

Selling and general 58 29 ( 2 ) ( 2 ) 251 221

Selling and general (note 11)

433 33 ( 2 ) ( 2 ) 622 223

Federal excise tax and fuel charge — — — — 380 661

Depreciation and depletion 12 10 — — 478 456

Depreciation and depletion (note 11)

417 10 — — 911 508

Non-service pension and postretirement benefit 25 1 — — 25 1

Financing (note 5)

2 13 — — 2 14

Total expenses 887 61 ( 5,647 ) ( 6,205 ) 11,348 11,656

13 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 Second Quarter

Revenues Third Quarter

millions of Canadian dollars 2025 2024

4 unchanged sentences

CAPEX excludes the purchase of carbon emission credits.

(d) In the second quarter of 2025, benzene and aromatic solvents are reported under the Downstream segment, whereas in the second quarter of 2024, 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

Six Months to June 30

Downstream (d)

Nine Months to September 30

millions of Canadian dollars 2025 2024 2025 2024 2025 2024

11 unchanged sentences

Production and manufacturing 3,401 3,441 1,385 1,279 171 137

Selling and general — — 349 333 42 49

Selling and general (note 11)

— — 518 503 64 71

Federal excise tax and fuel charge — — 1,340 1,905 4 3

Depreciation and depletion 888 828 89 91 8 8

Depreciation and depletion (note 11)

1,322 1,275 145 139 12 11

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

10 unchanged sentences

972 857 292 435 8 11

Total assets as at June 30

Total assets as at September 30 (d) (note 11)

28,449 28,186 11,696 11,104 542 452

Six Months to June 30

Nine Months to September 30

Corporate and other

12 unchanged sentences

Production and manufacturing 18 13 — — 4,975 4,870

Selling and general 123 89 ( 4 ) ( 4 ) 510 467

Selling and general (note 11)

556 122 ( 6 ) ( 6 ) 1,132 690

Federal excise tax and fuel charge — — — — 1,344 1,908

Depreciation and depletion 24 19 — — 1,009 946

Depreciation and depletion (note 11)

441 29 — — 1,920 1,454

Non-service pension and postretirement benefit 36 3 — — 36 3

10 unchanged sentences

104 141 — — 1,376 1,444

Total assets as at June 30

Total assets as at September 30 (d) (note 11)

4,034 2,942 ( 1,758 ) ( 155 ) 42,963 42,529

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 Six Months

Revenues Nine Months

to September 30

millions of Canadian dollars 2025 2024

4 unchanged sentences

CAPEX excludes the purchase of carbon emission credits.

(d) In 2025, benzene and aromatic solvents are reported under the Downstream segment, whereas in 2024, 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.

(d) In 2025, in conjunction with the company signing an agreement to sell the Calgary Imperial campus, the Upstream segment transferred the asset to the Corporate and other segment for $ 466 million.

The effects of this transaction have been eliminated for consolidation purposes.

Prior periods have not been recast.

IMPERIAL OIL LIMITED

1 unchanged sentence

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

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

2 unchanged sentences

Gain (loss) on asset sales, before-tax

( 22 ) 2 ( 11 ) 5

Gain (loss) on asset sales, after-tax

( 24 ) 2 ( 14 ) 5

Employee retirement benefits

The components of net benefit cost were as follows:

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

5 unchanged sentences

Amortization of actuarial loss (gain) 2 11 8 35

Net pension enhancement 19 — 19 —

Net benefit cost 68 43 168 129

4 unchanged sentences

Amortization of actuarial loss (gain) ( 1 ) ( 2 ) ( 6 ) ( 6 )

Net other postretirement benefits enhancement 1 — 1 —

Net benefit cost 5 8 11 23

Financing costs

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

Debt-related interest

39 48 103 152

Capitalized interest

15 unchanged sentences

Operating lease liability (c)

Other obligations

Other obligations (note 11)

Total other long-term obligations 4,177 3,870

8 unchanged sentences

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

At June 30, 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.

At September 30, 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

10 unchanged sentences

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:

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 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 June 30, 2025

At September 30, 2025

millions of Canadian dollars

23 unchanged sentences

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

At June 30, 2025 and December 31, 2024, the company had $ 14 million and $ 22 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 September 30, 2025 and December 31, 2024, the company had $ 12 million and $ 22 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.

IMPERIAL OIL LIMITED

3 unchanged sentences

Outstanding 496,861 509,045

The current 12-month normal course issuer bid program came into effect June 29, 2025 under which Imperial will continue its existing share purchase program.

The current 12-month normal course issuer bid program came into effect June 29, 2025 under which Imperial has continued its existing share purchase program.

The program enables the company to purchase up to a maximum of 25,452,248 common shares ( 5 percent of the total shares on June 15, 2025) 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.

Imperial plans to continue its acceleration of 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.

6 unchanged sentences

Purchases at stated value ( 12,184 ) ( 23 )

Balance as at June 30, 2025

Balance as at September 30, 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:

Second Quarter

Third Quarter

to September 30

2025 2024 2025 2024

28 unchanged sentences

Amounts reclassified from accumulated other comprehensive income 15 38

Balance at June 30 ( 192 ) ( 648 )

Balance at September 30 ( 187 ) ( 635 )

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

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

4 unchanged sentences

Income tax expense (credit) for components of other comprehensive income (loss):

Second Quarter

Third Quarter

to September 30

millions of Canadian dollars 2025 2024 2025 2024

4 unchanged sentences

IMPERIAL OIL LIMITED

Miscellaneous financial information

Restructuring charges

On September 29, 2025, the company announced restructuring plans to improve its performance by centralizing additional corporate and technical activities in global business and technology centres.

The restructuring plans include a program of targeted workforce reductions.

The program, which is expected to be substantially completed by the end of 2027, involves involuntary employee separations.

In Q3 2025, the company recorded charges of $ 330 million, before-tax, consisting primarily of restructuring costs associated with announced workforce reduction programs.

These costs are captured in “Selling and general” on the Consolidated statement of income and reported in the Corporate and other segment.

The following table summarizes the reserves and charges related to the workforce reduction program, which are recorded in "Accounts payable and accrued liabilities" and "Other long-term obligations" on the Consolidated balance sheet.

millions of Canadian dollars 2025

Balance at January 1 —

Additions/adjustments 330

Payments made —

Balance at September 30 330

Campus impairment

In Q3 2025, the Corporate and other segment included a non-cash impairment charge of $ 406 million, before-tax, in conjunction with the company signing an agreement to sell the Calgary Imperial campus.

The impairment is reflected in "Depreciation and depletion (includes impairments)" on the Consolidated statement of income, and in "Property, plant and equipment - net" on the Consolidated balance sheet.

The Calgary Imperial campus has been classified as an asset held for sale and is reflected in "Property, plant and equipment - net" on the Consolidated balance sheet, with a total asset value of approximately $ 60 million.

It is anticipated that the transaction will close in 2025.

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