Nov 4 – Canadian Natural Resources Ltd (CNQ.TO) reported a third-quarter profit on Thursday that beat analysts’ estimates, helped by a recovery in oil demand and higher output, and the company said it would increase its dividend.
The company, which remained on track to meet its full- year 2021 capital investment target of about $3.48 billion, said the company’s board has approved a 25% increase in its quarterly dividend to $0.5875 per share.
Investors have rewarded companies that spend excess cash on dividends and buybacks, rather than on growth.
Canadian Natural produced 1.24 million barrels of oil equivalent per day (boepd) in the third quarter, compared with 1.1 million boepd a year earlier.
The oil and gas producer, which operates in the Canadian provinces of Alberta, northeastern British Columbia and Saskatchewan, said average realized prices for crude rose 69.5% to C$68.06 per barrel, while realized prices for its natural gas jumped about 78.8% to C$4.13.
On an adjusted basis, the company earned C$1.77 per share, compared with estimates of C$1.58, according to Refinitiv IBES.
($1 = 1.2400 Canadian dollars)
