Canadian Natural Resources Shares Higher After Dividend Lifted

By Robb M. Stewart

Canadian Natural Resources' shares advanced Thursday after the energy company boosted its dividend after achieving record quarterly production volumes.

In morning trading, the shares were 1.3% higher at C$90.90 in Toronto, widening the advance so far this year to 21%. On the New York Stock Exchange, the stock was ahead 1.9% at $65.89, for a year-to-date gain of 19%.

Canadian Natural Resources' board has approved an 11% increase to the base dividend to C$1 a share, which the company said demonstrated confidence in the sustainability of the business model, a strong balance sheet and the reserves and asset base. With the increase, the dividend has been raised 18% this year to C$4 a share annually.

The company posted net earnings of 2.34 billion Canadian dollars ($1.69 billion), or C$2.13 a share, up strongly from the quarter before but down from C$2.81 billion, or C$2.49, a year earlier.

On an adjusted basis, per-share earnings came in at C$2.59, beating the C$2.43 mean estimate of 11 analysts polled by FactSet.

The company's daily production for the quarter averaged 1.39 million oil-equivalent barrels, the highest in the company's history, up from 1.19 million the previous quarter and 1.34 million barrels a year earlier as output of natural gas and crude oil and natural gas liquids increased.

With its financial results, the energy company said President Tim McKay plans to retire next summer. In the interim, he will take on the role of vice chairman, while Scott Stauth, a veteran of 26 years with the company and currently chief operating office for the oil sands business, will be promoted to president.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

November 02, 2023 10:13 ET (14:13 GMT)

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