The Board of Directors has approved a 10% increase in the quarterly base dividend to
Highlights
- Reached highest ever quarterly Upstream production of 972,100 BOE/d, an increase of 54,200 BOE/d or 6% from Q4 2025 and 153,200 BOE/d or 19% from Q1 2025.
- Accelerated the redevelopment well program at Christina Lake North. The first of 40 redevelopment wells was drilled in March with first oil processed in April.
- Increased Offshore production to 75,400 BOE/d in Q1 2026, an increase of 4,500 BOE/d or 6% from Q4 2025. With the West White Rose project now complete and drilling operations underway, first oil is expected in Q3 2026.
- Achieved a Downstream utilization rate of 97%, with crude throughput of 458,500 bbls/d.
U.S. Refining adjusted market capture2 of 114% contributed to total Downstream operating margin3 of$734 million , including a $457 million inventory holding gain. - Returned
$1.0 billion to shareholders in the first quarter, including$379 million through common and preferred share dividends,$356 million through common share repurchases and$300 million in preferred share redemptions.
“Our people continued to deliver exceptional operating and financial results. From record Upstream production to seamless project execution and robust Downstream performance, the entire suite of integrated assets contributed to a terrific quarterly result,” said
Financial summary
| ($ millions, except per share amounts) | 2026 Q1 | 2025 Q4 | 2025 Q1 |
| Cash from (used in) operating activities | 2,181 | 2,408 | 1,315 |
| Adjusted funds flow2 | 3,377 | 2,674 | 2,212 |
| Per share (diluted)2 | 1.80 | 1.46 | 1.21 |
| Capital investment | 1,170 | 1,360 | 1,229 |
| Free funds flow2 | 2,207 | 1,314 | 983 |
| Excess free funds flow2 | 1,723 | (1,597) | 373 |
| Net earnings (loss) | 1,570 | 934 | 859 |
| Per share (diluted) | 0.83 | 0.50 | 0.47 |
| Long-term debt, including current portion | 10,633 | 11,032 | 7,524 |
| Net debt | 8,058 | 8,292 | 5,079 |
Production and throughput
| (before royalties, net to Cenovus) | 2026 Q1 | 2025 Q4 | 2025 Q1 |
| Oil and NGLs (bbls/d)1 | 830,100 | 774,500 | 670,900 |
| Conventional natural gas (MMcf/d)1 | 852.0 | 860.4 | 887.9 |
| Total Upstream production (BOE/d)1 | 972,100 | 917,900 | 818,900 |
| Total Downstream crude throughput (bbls/d)1 | 458,500 | 465,500 | 665,400 |
1 See Advisory for production by product type and by reporting segment.
2 Non-GAAP financial measure or contains a non-GAAP financial measure. See Advisory.
3 Specified financial measure. See Advisory.
First-quarter results
Operating1
Cenovus’s total revenues were
Total operating margin4 was
Total Upstream production was 972,100 BOE/d in the first quarter, up from 917,900 BOE/d in the fourth quarter of 2025.
Production from the
Production in the Conventional segment was 121,700 BOE/d, an increase from 120,400 BOE/d in the prior quarter.
In the Offshore segment, production was 75,400 BOE/d compared with 70,900 BOE/d in the fourth quarter of 2025. In
Total Downstream crude throughput in the first quarter was 458,500 bbls/d. Crude throughput in Canadian Refining was 115,300 bbls/d, representing a utilization rate of 107%, compared with 112,900 bbls/d in the prior quarter.
In
4 Non-GAAP financial measure. Total operating margin is the total of Upstream operating margin plus Downstream operating margin. See Advisory.
5 Specified financial measure. See Advisory.
Financial
Cash from operating activities in the first quarter declined to approximately
Long-term debt, including the current portion, was
Growth projects
The
At West White Rose, commissioning and testing of the platform was completed, and drilling operations have commenced. First oil is now anticipated in the third quarter of 2026.
Sale of Canadian commercial fuels business
Cenovus entered into agreements to sell its Canadian commercial fuels business, which includes travel centres, cardlocks, retail sites and bulk plants. Total expected cash proceeds from the sales are
Sustainability
Today, Cenovus released its 2025 Corporate Social Responsibility report, illustrating the company’s progress and performance related to safety, Indigenous reconciliation, and acceptance and belonging as well as its approach to governance. The report is available on the company's website at cenovus.com.
The report highlights how Cenovus advanced several major initiatives that strengthened competitiveness in 2025 and continued to position the company for long-term success, supporting both business performance and sustainability efforts. Cenovus delivered top-quartile process safety performance, reached a record
The company is actively engaged with the governments of
“We have an unprecedented opportunity to produce more oil to meet global demand, and by doing so we will strengthen Canada’s economy,” McKenzie said. “Now is the time to create the conditions so industry can be globally competitive and
Dividend declarations and share purchases
The Board of Directors has declared a quarterly base dividend of
All dividends paid on Cenovus’s common shares will be designated as “eligible dividends” for Canadian federal income tax purposes. Declaration of dividends is at the sole discretion of the Board and will continue to be evaluated on a quarterly basis.
In the first quarter, the company returned
2026 planned maintenance
The following table provides details on planned maintenance activities at Cenovus assets in 2026 and anticipated production or throughput impacts.
Potential quarterly production/throughput impact (Mbbls/d or MBOE/d)
| (MBOE/d or Mbbls/d) | Q2 | Q3 | Q4 | Annual impact |
| Upstream | ||||
| Oil Sands | 5 - 9 | 23 - 28 | 2 - 4 | 8 - 10 |
| Offshore | - | - | - | - |
| Conventional | - | - | - | - |
| Downstream | ||||
| Canadian Refining | 10 - 15 | - | - | 2 - 4 |
| - | 35 - 45 | 40 - 50 | 20 - 26 | |
Conference call today
Cenovus will host a conference call today,
For analysts wanting to join the call, please register in advance.
To participate in the conference call, complete the online registration form in advance of the call start time. Once registered, you will receive a unique PIN to access the call by phone. You can either dial into the conference call using the unique PIN or select the “Call Me” option to receive an automated call.
A live audio webcast of the conference call will also be available and will remain archived for approximately 30 days.
Cenovus will also host its Annual Meeting of Shareholders today,
Advisory
Basis of Presentation
Cenovus reports financial results in Canadian dollars and presents production volumes on a net to Cenovus before royalties basis, unless otherwise stated. Cenovus prepares its financial statements in accordance with International Financial Reporting Standards as issued by the
Barrels of Oil Equivalent
Natural gas volumes have been converted to BOE on the basis of six thousand cubic feet (Mcf) to one barrel (bbl). BOE may be misleading, particularly if used in isolation. A conversion ratio of one bbl to six Mcf is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil compared with natural gas is significantly different from the energy equivalency conversion ratio of 6:1, utilizing a conversion on a 6:1 basis is not an accurate reflection of value.
Product types
| Product type by reporting segment | Three months ended |
| Oil Sands | |
| Bitumen (Mbbls/d) | 743.6 |
| Heavy crude oil (Mbbls/d) | 29.0 |
| Conventional natural gas (MMcf/d) | 14.4 |
| Total Oil Sands segment production (MBOE/d) | 775.0 |
| Conventional | |
| Light crude oil (Mbbls/d) | 6.0 |
| Natural gas liquids (Mbbls/d) | 22.9 |
| Conventional natural gas (MMcf/d) | 556.4 |
| Total Conventional segment production (MBOE/d) | 121.7 |
| Offshore | |
| Light crude oil (Mbbls/d) | 18.3 |
| Natural gas liquids (Mbbls/d) | 10.3 |
| Conventional natural gas (MMcf/d) | 281.2 |
| Total Offshore segment production (MBOE/d) | 75.4 |
| Total Upstream production (MBOE/d) | 972.1 |
Forward-looking Information
This news release contains certain forward-looking statements and forward-looking information (collectively referred to as “forward-looking information”) within the meaning of applicable securities legislation about Cenovus’s current expectations, estimates and projections about the future of the company, based on certain assumptions made in light of the company’s experiences and perceptions of historical trends. Although Cenovus believes that the expectations represented by such forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Forward-looking information in this document is identified by words such as “anticipate”, “continue”, “deliver”, “expect”, “payable”, “plan”, “progress”, “steward”, and “will” or similar expressions and includes suggestions of future outcomes, including, but not limited to, statements about: focus on safety and disciplined execution of our business plan; stewarding towards our long-term net debt target; progressing the Foster Creek Amine Claus project;
Developing forward-looking information involves reliance on a number of assumptions and consideration of certain risks and uncertainties, some of which are specific to Cenovus and others that apply to the industry generally. The factors or assumptions on which the forward-looking information in this news release are based include, but are not limited to the assumptions inherent in Cenovus’s 2026 corporate guidance available on cenovus.com.
The risk factors and uncertainties that could cause actual results to differ materially from the forward-looking information in this news release include, but are not limited to: changes to general economic, market and business conditions; the accuracy of estimates regarding commodity production and operating expenses, inflation, taxes, royalties, capital costs and currency and interest rates; risks inherent in the operation of Cenovus’s business; and risks associated with climate change and Cenovus’s assumptions relating thereto and other risks identified under “Risk Management and Risk Factors” and “Advisory” in Cenovus’s Management’s Discussion and Analysis (MD&A) for the year ended
Except as required by applicable securities laws, Cenovus disclaims any intention or obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned that the foregoing lists are not exhaustive and are made as at the date hereof. Events or circumstances could cause actual results to differ materially from those estimated or projected and expressed in, or implied by, the forward-looking information. For additional information regarding Cenovus’s material risk factors, the assumptions made, and risks and uncertainties which could cause actual results to differ from the anticipated results, refer to “Risk Management and Risk Factors” and “Advisory” in Cenovus’s MD&A for the periods ended
Specified Financial Measures
This news release contains references to certain specified financial measures that do not have standardized meanings prescribed by IFRS Accounting Standards. Readers should not consider these measures in isolation or as a substitute for analysis of the company’s results as reported under IFRS Accounting Standards. These measures are defined differently by different companies and, therefore, might not be comparable to similar measures presented by other issuers. For information on the composition of these measures, as well as an explanation of how the company uses these measures, refer to the Specified Financial Measures Advisory located in Cenovus’s MD&A for the periods ended
Upstream Operating Margin and Downstream Operating Margin
Upstream Operating Margin and Downstream Operating Margin, and the individual components thereof, are included in Note 1 of the interim Consolidated Financial Statements.
Total Operating Margin
Total Operating Margin is the total of Upstream Operating Margin plus Downstream Operating Margin.
| Upstream(6) | Downstream(6) | Total | |||||||
| ($ millions) | Q1 2026 | Q4 2025 | Q1 2025 | Q1 2026 | Q4 2025 | Q1 2025 | Q1 2026 | Q4 2025 | Q1 2025 |
| Revenues | |||||||||
| Gross Sales | 10,370 | 8,287 | 9,252 | 5,627 | 5,314 | 7,705 | 15,997 | 13,601 | 16,957 |
| Less: Royalties | (983) | (670) | (906) | — | — | — | (983) | (670) | (906) |
| 9,387 | 7,617 | 8,346 | 5,627 | 5,314 | 7,705 | 15,014 | 12,931 | 16,051 | |
| Expenses | |||||||||
| Purchased Product | 1,244 | 1,271 | 1,167 | 4,378 | 4,574 | 7,082 | 5,622 | 5,845 | 8,249 |
| Transportation and Blending | 3,375 | 2,832 | 3,247 | — | — | — | 3,375 | 2,832 | 3,247 |
| Operating | 1,047 | 893 | 893 | 526 | 591 | 854 | 1,573 | 1,484 | 1,747 |
| Realized (Gain) Loss on Risk Management | 13 | (7) | (9) | (11) | — | 6 | 2 | (7) | (3) |
| Operating Margin | 3,708 | 2,628 | 3,048 | 734 | 149 | (237) | 4,442 | 2,777 | 2,811 |
6 Found in Note 1 of the
Adjusted Funds Flow, Free Funds Flow and Excess Free Funds Flow
The following table provides a reconciliation of cash from (used in) operating activities found in Cenovus’s interim Consolidated Financial Statements to Adjusted Funds Flow, Free Funds Flow and Excess Free Funds Flow. Adjusted Funds Flow per Share – Basic and Adjusted Funds Flow per Share – Diluted are calculated by dividing Adjusted Funds Flow by the respective basic or diluted weighted average number of common shares outstanding during the period and may be useful to evaluate a company’s ability to generate cash.
| Three Months Ended | |||
| ($ millions) | 2026 | 2025 | 2025 |
| Cash From (Used in) Operating Activities(7) | 2,181 | 2,408 | 1,315 |
| (Add) Deduct: | |||
| Settlement of Decommissioning Liabilities | (53) | (82) | (36) |
| Net Change in | (1,143) | (184) | (861) |
| Adjusted Funds Flow | 3,377 | 2,674 | 2,212 |
| Capital Investment | 1,170 | 1,360 | 1,229 |
| Free Funds Flow | 2,207 | 1,314 | 983 |
| Add (Deduct): | |||
| Base Dividends Paid on Common Shares | (377) | (376) | (327) |
| Purchase of Common Shares under Employee Benefit Plan | (51) | (61) | (58) |
| Dividends Paid on Preferred Shares | (2) | (4) | (6) |
| Settlement of Decommissioning Liabilities | (53) | (82) | (36) |
| Principal Repayment of Leases | (90) | (84) | (83) |
| Acquisitions, Net of Cash Acquired | (10) | (3,430) | (100) |
| Acquisition of Ownership Interest in MEG(8) | — | (752) | — |
| Proceeds From Divestitures | 99 | 1,878 | — |
| Excess Free Funds Flow | 1,723 | (1,597) | 373 |
7 Found in the
8 Represents the acquired MEG common shares purchased prior to the closing of the MEG acquisition. For further information, refer to Note 3 of the
Adjusted Market Capture
Adjusted market capture contains a non-GAAP financial measure and is used in the company’s
| ($ millions) | Three months ended | Three months ended |
| Revenues(9) | 4,220 | 4,158 |
| Purchased Product(9) | 3,318 | 3,664 |
| Gross Margin | 902 | 494 |
| Inventory Holding (Gain) Loss | (457) | 134 |
| Adjusted Gross Margin | 445 | 628 |
| Total Processed Inputs (Mbbls/d) | 359.9 | 375.8 |
| Adjusted Refining Margin ($/bbl) | 13.74 | 18.17 |
| Operable Capacity (Mbbls/d) | 364.8 | 364.8 |
| Operable Capacity by Regional Benchmark (percent) | ||
| Chicago 3-2-1 Crack Spread Weighting | 88 | 88 |
| Group 3 3-2-1 Crack Spread Weighting | 12 | 12 |
| Benchmark Prices and Exchange Rate | ||
| Chicago 3-2-1 Crack Spread (US$/bbl) | 17.55 | 18.20 |
| Group 3 3-2-1 Crack Spread (US$/bbl) | 17.16 | 19.25 |
| RINs (US$/bbl) | 8.71 | 6.04 |
| US$ per | 0.729 | 0.717 |
| Weighted Average Crack Spread, Net of RINs ($/bbl) | 12.06 | 17.14 |
| Adjusted Market Capture (percent) | 114 | 106 |
9 Found in Note 1 of the
Find Cenovus on Facebook, LinkedIn, YouTube and Instagram.
Cenovus contacts
Investors
Investor Relations general line
403-766-7711
Media
Media Relations general line
403-766-7751
