IMONYSEPetroleum RefiningUS GAAP · USD

Imperial Oil Limited

Imperial Oil Ltd. is a Canadian integrated oil company with operations across upstream production, refining, distribution, marketing, and petrochemicals. It produces crude oil and natural gas, refines and sells petroleum products across Canada, and also develops lower-emission businesses such as carbon capture, hydrogen, lower-emission fuels, and lithium.

Ask about the company
Revenue47.1bn USD
−8.6 %y/y
Net income3,268m USD
−31.8 %y/y
Free cash flow6,708m USD
+12.2 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

0204060bn USD2020: 22.4 bn USD20202021: 37.6 bn USD20212022: 59.7 bn USD20222023: 51.0 bn USD20232024: 51.5 bn USD20242025: 47.1 bn USD202547.1
RevenueOperating profit (EBIT)
Ask Clarifo about Imperial Oil Limited

Business

Share of revenue
Upstream45 %

Exploration and production of crude oil, natural gas, synthetic crude oil and bitumen.

Downstream45 %

Refining, transportation, blending, distribution and marketing of petroleum products.

Chemical8 %

Manufacturing and marketing of petrochemicals such as solvents, intermediates and polyethylene resin.

Corporate and other2 %

Non-operating items, corporate functions and eliminations not allocated to operating segments.

Customers

Imperial sells primarily to industrial, transportation and wholesale fuel customers, with additional exposure to agriculture, residential heating and commercial end markets through branded resellers. It also supplies independent marketers, resellers and other refiners, while its chemical products serve industrial buyers that use solvents, intermediates and polyethylene in manufacturing and processing.

Industrial and transportation fuel buyers

Buy gasoline, diesel, jet fuel, asphalt and lubricants for fleet, logistics and industrial use.

Wholesale marketers and resellers

Purchase branded fuel supply and product volumes for resale through Esso and Mobil channels.

Agriculture, residential heating and commercial end markets

Buy fuel and lubricants through reseller networks for seasonal and local energy needs.

Petrochemical customers

Buy aliphatic solvents, plasticizer intermediates, polyethylene resin and refinery-grade propylene.

Other refiners and industrial counterparties

Purchase or exchange petroleum products and feedstocks in wholesale and balancing transactions.

Strategy

Imperial is focused on maximizing value from its integrated Canadian oil sands, refining and marketing system while maintaining operational reliability and cost discipline. It is also pursuing lower-emission opportunities and capital allocation actions, including dividends and share repurchases, while managing exposure to commodity cycles and trade volatility.

Improve integrated operating performanceShort term

The business depends on efficient coordination between production, refining and distribution to capture value from Canadian crude and product markets.

Advance lower-emission business opportunitiesMedium term

These projects diversify the portfolio and position the company for policy and customer demand shifts in energy transition markets.

Preserve capital discipline and shareholder returnsShort term

A cyclical commodity business needs disciplined spending and cash returns to support resilience through price swings.

Geography

Imperial is headquartered in Calgary, Alberta and its operations are concentrated in Canada, where it runs upstream assets, three refineries, a nationwide distribution network and petrochemical facilities. The company’s business is highly exposed to Canadian crude differentials, domestic refining margins, and cross-border trade conditions, while commodity prices are benchmarked largely in U.S. dollars.

Risks

Imperial’s results are highly sensitive to crude prices, refining margins, WTI/WCS spreads and demand conditions, so earnings can move sharply with commodity cycles. The company also faces operational, weather, cyber, regulatory and trade risks, including refinery outages, oil sands disruptions, tariff uncertainty and greenhouse-gas restrictions that can affect costs and asset economics.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Crude oil and product price volatility1Energy transition and emissions policy risk2Operational disruption and maintenance risk3Weather, wildfire and natural hazard exposure4Trade and tariff uncertainty5Cybersecurity and infrastructure resilience6
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Crude oil and product price volatilityImpact: HighLikelihood: Medium

    Upstream realizations and downstream margins depend on global commodity benchmarks and regional spreads.

    ExposureBitumenSynthetic crudeGasolineDieselJet fuel pricing
  2. Energy transition and emissions policy riskImpact: HighLikelihood: Medium

    Carbon pricing, emissions limits and policy changes can alter project economics and capital allocation.

    Exposure: Lower-emission projects and hydrocarbon operations

  3. Operational disruption and maintenance riskImpact: HighLikelihood: Low

    Refineries and oil sands assets require planned turnarounds and can suffer unplanned downtime.

    ExposureStrathconaSarniaNanticokeOil sands operations
  4. Weather, wildfire and natural hazard exposureImpact: HighLikelihood: Low

    Extreme cold, wet weather, drought, forest fires and other events can interrupt production and transport.

    Exposure: Canadian oil sands and logistics network

  5. Trade and tariff uncertaintyImpact: MediumLikelihood: High

    Cross-border tariffs or sanctions can affect supply chains, customer demand and product economics.

    Exposure: Canada-U.S. trade flows and imported inputs

  6. Cybersecurity and infrastructure resilienceImpact: MediumLikelihood: Low

    The company is regularly targeted by cyberattacks and depends on resilient operations and data systems.

    ExposureOperational technologyBusiness continuitySupply chain systems
Ask Clarifo about Imperial Oil Limited

Accounting

Judgemental items
Identified items: impairment and restructuring charges

The company excludes significant non-operational events from non-GAAP earnings, which can change quarter-to-quarter comparability.

Impact: Third quarter 2025 included a non-cash impairment charge and restructuring charge

Inventory and commodity pricing effects

Refined product and crude inventories are exposed to changing market prices and spreads.

Impact: Can create volatility in gross margin and reported earnings

Turnaround and maintenance accounting

Planned and unplanned maintenance changes throughput and cost absorption across periods.

Impact: Affects refinery utilization, unit costs and comparability across quarters

Foreign currency translation

Commodity prices are benchmarked in U.S. dollars while reporting is in Canadian dollars.

Impact: Exchange rate movements can materially affect reported earnings

Working capital and deferred tax movements

Operating cash flow is sensitive to inventory, receivables, payables and tax timing.

Impact: Can cause cash flow to diverge from net income in a given period

Similar listed companies

Publicly listed companies with a comparable business focus.

Empire Petroleum Corporation

EP · Crude Petroleum & Natural Gas

Canadian Natural Resources Limited

CNQ · Crude Petroleum & Natural Gas

Suncor Energy Inc

SU · Petroleum Refining

Murphy Oil Corporation

MUR · Crude Petroleum & Natural Gas

Reserve Petroleum Co

RSRV · Crude Petroleum & Natural Gas

Gran Tierra Energy Inc

GTE · Crude Petroleum & Natural Gas

Last updated: 24/09/2026