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IMPERIAL OIL LIMITED THIRD QUARTER

 TORONTO, Oct. 21 /PRNewswire/ - Imperial Oil Limited's (AMEX: IMO) third-quarter net earnings were $84 million or 43 cents a share, compared with $46 million or 23 cents a share during the third quarter of 1992.
 Nine-month net earnings were $225 million or $1.16 a share in 1993, compared with $144 million or 74 cents a share in 1992. Excluding losses from unusual items in both nine-month periods, earnings from operations were $293 million in 1993, compared with $202 million in 1992.
 Cash flow from operating activities was $1,034 million in the latest nine months, compared with $964 million during the same period last year.
 Imperial's chairman and chief executive officer Bob Peterson said: "Despite lower crude-oil prices and little improvement in product margins, corporate earnings continue to improve over last year. Our drive to reduce the company's overall cost structure is paying off."
 Supplementary Information
 Natural resources
 Nine-month net earnings from natural resources were $101 million in 1993, compared with $95 million in 1992. Excluding losses on asset sales, nine-month operating earnings were $115 million in 1993, compared with $145 million in 1992. The decline resulted mainly from reduced sales of conventional crude oil and lower crude-oil prices. Those factors were only partly offset by increased sales of blended bitumen from Cold Lake and improved natural-gas prices.
 Petroleum products
 Net earnings from petroleum products were $169 million during the first nine months of 1993, compared with $98 million during the same period last year. Excluding a second-quarter provision of $54-million for the shutdown of the company's refinery in Ioco, B.C., nine-month operating earnings were $223 million. That compares with $106 million in the same period of 1992, when there was an $8-million loss on asset sales.
 The increased earnings were primarily the result of lower costs in all parts of the business. The total volume of products sold declined because of a decision to reduce sales in low-margin business lines.
 Chemicals
 Nine-month earnings from chemical operations were $25 million in 1993, compared with $15 million in 1992. The improvement reflected increased sales volumes and an improved product mix.
 Corporate and other
 Corporate charges were $70 million for the first nine months of 1993, compared with $64 million during the same period last year. The increase resulted from foreign-exchange losses on the company's U.S.- dollar-denominated debt, partly offset by lower interest expense and higher interest income.
 IMPERIAL OIL LIMITED
 Consolidated Statement Of Earnings
 (Unaudited, in millions of dollars)
 Period ended Third quarter Nine months
 Sept. 30 1993 1992 1993 1992
 Revenues
 Operating revenues 2,217 2,324 6,617 6,712
 Interest and
 investment income 26 26 77 53
 Total Revenues 2,243 2,350 6,694 6,765
 Expenses
 Exploration 12 36 26 54
 Purchases of crude oil and
 products 800 899 2,521 2,600
 Operating 679 672 2,006 2,074
 Commodity and other taxes 307 307 834 845
 Depreciation and depletion 230 230 636 651
 Interest 35 38 108 120
 Total Expenses 2,063 2,182 6,131 6,344
 Unusual Items (C) (12) (63) (120) (85)
 Earnings Before Income Taxes 168 105 443 336
 Income Taxes 84 59 218 192
 Net Earnings 84 46 225 144
 Per-Share Information - Dollars
 Net Earnings 0.43 0.23 1.16 0.74
 Dividends 0.45 0.45 1.35 1.35
 Approved by the directors Oct. 21, 1993 Chairman and chief executive officer, president
 Consolidated Statement Of Cash Flows
 (Unaudited, in millions of dollars)
 Period ended Third Quarter Nine Months
 Sept. 30 1993 1992 1993 1992
 inflow (outflow)
 Operating Activities
 Cash flow provided from
 earnings (D) 318 309 900 808
 Change in operating assets
 and liabilities 33 106 134 156
 Cash Provided From Operating
 Activities 351 415 1,034 964
 Investing Activities
 Payments for capital and
 exploration expenditures (133) (95) (298) (310)
 Proceeds from sale of property,
 plant and equipment, and
 other long-term assets 17 37 55 189
 Marketable securities - net 20 (352) (207) (665)
 Cash Used In Investing
 Activities (96) (410) (450) (786)
 Financing Activities
 Repayment of long-term debt (39) (36) (216) (77)
 Short-term debt - net --- --- --- (58)
 Dividends paid (88) (88) (262) (262)
 Cash Used In Financing
 Activities (127) (124) (478) (397)
 Increase (Decrease) In Cash 128 (119) 106 (219)
 Cash At Beginning Of Period 243 186 265 286
 Cash At End Of Period (A) 371 67 371 67
 (A) Total cash and marketable securities at Sept. 30, 1993 was $1,335 million (1992 -- $739 million)
 Consolidated Balance Sheet
 (Unaudited, in millions of dollars)
 As at As at
 9/30/93 12/31/92
 Assets
 Cash and marketable securities at cost 1,335 1,022
 Accounts receivable 949 1,008
 Inventories of crude oil and products 479 468
 Materials, supplies and prepaid expenses 164 140
 Investments and other long-term assets 201 216
 Property, plant and equipment 9,479 9,965
 Goodwill 362 373
 Total Assets 12,969 13,192
 Liabilities
 Current payables and accrued liabilities 1,595 1,563
 Long-term debt 2,100 2,243
 Other long-term obligations 1,191 1,173
 Total Liabilities 4,886 4,979
 Deferred Income Taxes 1,484 1,577
 Shareholders' Equity 6,599 6,636
 Total Liabilities, Deferred Income Taxes And
 Shareholders' Equity 12,969 13,192
 Period ended Third Quarter Nine months
 Sept. 30, 1993 1992 1993 1992
 Business Segments (unaudited, in millions of dollars)
 Revenues
 Natural resources 519 652 1,656 1,755
 Petroleum products 1,908 1,974 5,448 5,582
 Chemicals 190 176 749 697
 Corporate and other 29 28 84 60
 Intersegment sales (403) (480) (1,243) (1,329)
 Total revenues 2,243 2,350 6,694 6,765
 Earnings (includes unusual items,
 see note C)
 Natural resources 15 31 101 95
 Petroleum products 96 27 169 98
 Chemicals 1 --- 25 15
 Corporate and other (28) (12) (70) (64)
 Net earnings 84 46 225 144
 Capital And Exploration Expenditures
 Natural resources 92 62 207 155
 Petroleum products 35 22 74 55
 Chemicals 4 11 14 21
 Corporate and other 2 --- 3 79
 Total capital and exploration
 expenditures 133 95 298 310
 Period ended Third Quarter Nine months
 Sept. 30, 1993 1992 1993 1992
 Operating Statistics
 Gross Crude-Oil Production (thousands of barrels a day)
 Conventional 115 137 123 141
 Cold Lake 89 95 91 85
 Syncrude 48 43 44 43
 Total crude-oil production 252 275 258 269
 Natural-gas liquids (NGLs)
 available for sale 33 33 31 41
 Total crude-oil and NGL
 production 285 308 289 310
 Natural Gas (millions of cubic feet a day)
 Production (gross) 547 481 606 525
 Production available for sale
 (gross) 397 341 452 385
 Sales 477 490 526 551
 Average Sales Prices (dollars)
 Conventional crude-oil sales
 (a barrel) 18.87 22.65 20.03 20.97
 Par crude-oil price at
 Edmonton (a barrel) 21.32 24.96 22.54 23.47
 Heavy crude-oil price at Hardisty
 (Bow River Bantry, a barrel) 16.97 20.04 17.60 18.28
 Natural-gas sales
 (a thousand cubic feet) 1.71 1.36 1.70 1.35
 Petroleum Products Sales
 (millions of liters a day)
 Gasolines 34.6 32.9 31.9 31.3
 Heating, diesel and jet fuels. 23.1 22.2 23.3 24.8
 Heavy fuel oils 5.5 7.1 5.9 7.0
 Liquefied petroleum gas,
 lube oils and other products 11.5 12.3 10.8 10.1
 Total petroleum products 74.7 74.5 71.9 73.2
 Crude oil processed at company
 refineries 67.5 67.6 65.9 64.0
 Refinery capacity utilization
 (percent) 79 79 77 75
 Chemicals Sales (thousands of tons a day)
 Petrochemicals 2.7 2.6 2.8 2.6
 Agricultural chemicals 2.0 2.0 4.9 4.7
 Share Ownership, Trading And Performance
 Period ended Third quarter Nine months
 Sept. 30, 1993 1992 1993 1992
 Return On Average Capital Employed
 (rolling 4 quarters, percent) --- --- 3.5 1.0
 Share Ownership
 Outstanding shares (thousands)
 Monthly weighted average 193841 193841 193841 193841
 At Sept. 30 --- --- 193841 193841
 Number of shareholders at
 Sept. 30 --- --- 21620 22183
 Share Prices (dollars)
 High 50 1/4 48 1/8 50 1/4 48 1/8
 Low. 43 1/8 43 40 1/8 37 3/4
 Close at Sept. 30 --- --- 47 7/8 43 1/8
 Notes To The Consolidated Financial Statements
 (Unaudited)
 C. Unusual items
 The before-tax loss from unusual items for the nine months to


Sept. 30 was $120 million (1992 -- $85 million).
 The after-tax impact of the unusual items was:
 Period ended Third quarter Nine months
 Sept. 30, 1993 1992 1993 1992
 (millions of dollars)
 Loss from divestments (A)
 Natural resources (8) (40) (14) (50)
 Petroleum products --- --- --- (8)
 Total loss from divestments
 after income taxes (8) (40) (14) (58)
 Ioco refinery shut down (B)
 Petroleum products --- --- (54) ---
 Total unusual items
 after income-tax (8) (40) (68) (58)
 (A) The company divested certain assets as part of its ongoing restructuring to improve the efficiency of its operations.
 (B) The company intends to permanently shut down refining operations at its Ioco site, in Vancouver, in the latter half of 1994. A provision was made for the write down of the refinery assets and for related shutdown costs.
 D. Cash flow provided from earnings
 Period ended Third quarter Nine months
 Sept. 30 1993 1992 1993 1992
 (millions of dollars)
 Net earnings 84 46 225 144
 Exploration expenses (A) 12 36 26 54
 Non-cash items included in earnings
 Depreciation and depletion 230 230 636 651
 Loss from divestments 12 63 25 85
 Write down of
 Ioco refinery assets --- --- 55 ---
 Deferred income taxes (28) (72) (93) (132)
 Other 8 6 26 6
 Total cash flow provided from
 earnings 318 309 900 808
 (A) Exploration expenses have been deducted in arriving at net earnings; in the consolidated statement of cash flows they are reclassified and included in investing activities.
 -0- 10/21/93
 /CONTACT: (Investors) Jean Cote, 416-968-4262, or (Media) Richard O'Farrell, 416-968-4875, both of Imperial Oil Limited/
 (IMO)


CO: Imperial Oil Limited ST: Ontario IN: OIL SU: ERN

MP -- NY114 -- 2129 10/21/93 17:35 EDT
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Date:Oct 21, 1993
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