Cenovus reports $211 million Q1 profit

An oil well belonging to Cenovus Energy, near Brooks, Alberta. File/The Canadian Press Images/Larry MacDougal

Cenovus Energy Inc. says production from its oilsands operations was up 32 per cent in the first quarter from the same time last year, helping to fuel a $211-million net profit.

The profit was better than expected since analysts had estimated a loss of six cents per share under general accounting rules and an adjusted loss of eight cents per share, according to Thomson Reuters data.

READ MORE: Cenovus Energy stock slides after C$17.7B-deal

The Calgary-based oilsands producer says its net income was equal to 25 cents per share in the three months ended March 31, compared with a loss of $118 million or 14 cents per share in the first quarter of 2016.

Revenue was $3.87 billion up nearly $1.7 billion from a year earlier, when benchmark oil prices were at a 13-year low, but in line with analyst estimates.

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READ MORE: Cenovus Energy buying most of ConocoPhillips’ Canadian assets for $17.7B

The results are contained in the first Cenovus quarterly report since it announced at the end of March that it plans to buy most of the Canadian assets belonging to ConocoPhillips in a $17.7 billion blockbuster deal.

Cenovus says it has been making progress towards completing and paying for that acquisition.

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In addition to closing a $3 billion sale of Cenovus stock to help pay for the ConocoPhillips deal, the company has been marketing its Pelican Lake and Suffield conventional oil and gas assets.

CEO Brian Ferguson says those assets have attracted strong interest from a variety of potential producers.

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