MEG Energy again increases annual production guidance after 3rd quarter results

A file photo of the MEG Energy logo. THE CANADIAN PRESS/HO, MEG Energy

MEG Energy Corp. boosted its output forecast for the year after swinging to a $54-million profit in its latest quarter on a doubling of revenues.

The Calgary-based company said it earned 17 cents per diluted share in the third quarter, compared with a loss of three cents per share or $9 million a year earlier.

Revenues for the three months ended Sept. 30 were $1.09 billion, up from $533 million in the third quarter of 2020.

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READ MORE: MEG Energy boosts 2021 production guidance on strong 6 months and Q2 profits 

MEG was expected to earn 29 cents per share on $1 billion of revenue, according to financial data firm Refinitiv.

Adjusted funds flow increased to $239 million or 77 cents per share from $26 million or nine cents per share a year earlier.

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Quarterly production increased 28 per cent to 91,506 barrels per day, compared with 71,516 bbls/d in the prior year quarter. As a result, it again increased its annual average production guidance, this time to 92,500 to 93,500 bbls/d from 91,000 to 93,000 bbls/d.

“Given what we are seeing operationally we have upwardly revised our annual production guidance and look forward to a strong finish to 2021,” stated CEO Derek Evans.

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