Suncor ‘Beat It’ with better-than-expected third-quarter results

CALGARY – The Michael Jackson classic “Beat It” was playing before the start of Suncor Energy Inc.’s third-quarter conference call — and a beat is just what the oil giant’s latest financial results delivered. 

The company reported earnings per share for the three months ended Sept. 30 of $1.34 — a drop from $1.59 a year earlier, but handily topping the $1.10 analysts had been expecting, according to financial markets firm LSEG Data & Analytics.

Adjusted funds from operations were $3.83 billion, or $3.16 per share, up from $3.79 billion, or $2.98 per share a year earlier. 

“Suncor released stellar 3Q25 financial results headlined by a significant 19 per cent cash flow beat, driven by outperformance across each operational segment,” wrote Desjardins Securities analyst Chris MacCulloch in a report Wednesday. 

Another analyst on the call lightheartedly mentioned the choice for introductory music. Suncor CEO Rich Kruger said it’s “one of the secrets of the crown” that he, his wife and the company’s external affairs executive decide ahead of time what song will best match the mood of each quarterly call.

“Troy’s smiling because he picked this one,” Kruger said, referring to Troy Little, promoted this month from senior vice-president of external affairs to chief financial officer. 

Suncor shares jumped 4.5 per cent to close at $58.17 on the TSX on Wednesday. 

Late Tuesday, Suncor bumped up its forecasts for 2025 oil and gas production and refinery throughput. 

It now expects to finish the year with oil and gas production ranging between 845,000 and 855,000 barrels per day, up from its August forecast of 810,000 to 840,000 bbls/d. 

The company also expects its refineries to handle between 470,000 and 475,000 barrels per day this year, an increase from its earlier forecast of 435,000 to 450,000 barrels. 

Refinery utilization targets have been raised from 93 to 97 per cent to higher than the full capacity the facilities were designed for — between 101 and 102 per cent. 

Refined product sales are now expected to be 610,000 to 620,000 barrels per day, up from a range of 555,000 to 585,000 barrels per day. 

Kruger said having the business tied together from mines and wells all the way through to fuel at the pump is key to the company’s success. 

“In today’s world of commodity price uncertainty and volatility, owning all the way through the customer is a competitive advantage,” Kruger told analysts. 

“All integration is not created equal … and our unparalleled integration is a part of our story and a part of our performance.” 

Kruger added that Suncor is “institutionalizing a culture that every barrel and every dollar matter.” 

On Tuesday, Suncor reported record quarterly upstream production and refinery throughput and utilization. 

Total upstream production in the quarter was 870,000 barrels of oil equivalent per day, up from 828,600 boe/d. 

Suncor’s refineries processed 491,700 barrels per day, an increase from 487,600 barrels in the year-ago quarter. 

Upgraders, which turn thick oilsands bitumen into refinery-ready light crude, and refineries ran above their design capacity — 102 per cent and 106 per cent, respectively. 

“Notably, this marks the fifth of the last six quarters that Suncor has exceeded 100 per cent refinery utilization, providing additional support for our thesis that nameplate capacity of refineries and upgraders is understated following recent operational enhancements, the redefinition of which could be a material catalyst for the stock,” MacCulloch wrote. 

This report by The Canadian Press was first published Nov. 5, 2025.

Companies in this story: (TSX:SU)