Suncor Energy Inc. closed out its 2024 fiscal year on a strong note, beating analysts’ expectations and setting operational records in Q4.
The Calgary-based oil major posted $3.5 billion in adjusted funds from operations and generated $1.9 billion in free funds flow. The company returned $1.7 billion to shareholders through dividend payments of $700 million, and $1 billion in share buy-backs. Net earnings for the quarter came in at $828 million.
Operational performance continued to be a bright spot, with upstream production hitting a record 875,000 barrels per day (bbls/d) and upgrader utilization reaching 103 per cent. Refining throughput was also near record levels, with utilization of 104 per cent, processing 486,200 bbls/d. The company reported record refined product sales of 613,300 bbls/d, surpassing its previous high set in the third quarter of 2024.
“Suncor’s fourth quarter was about finishing an exceptional year strong and building momentum for 2025,” said President and CEO Rich Kruger.
“Performance records were set across the company, including records in upstream production, refining throughput, refined product sales, and asset utilization. In addition, personnel safety and operational integrity were at or near best-ever annual performance levels.”
For the full year, Suncor generated $13.8 billion in adjusted funds from operations and $7.4 billion in free funds flow, an increase of $2.3 billion in normalized free funds flow compared to 2023. The company also repurchased $2.9 billion in shares repurchases while issuing $2.8 billion in dividends.
Despite increased production volumes, total operating, selling, and general expenses were reduced by over $300 million, reinforcing Suncor’s commitment to cost-effective operations.
Looking ahead, Kruger said the company’s focus is on continuing its strong performance. “Suncor’s people, company-wide, delivered by working in a team-based, results-oriented manner. Looking ahead in 2025, we remain committed to continuing to deliver high-performance results with safe, reliable, and cost-effective operations to achieve our free cash flow targets and create superior shareholder value.”
Despite market volatility and concerns over U.S. trade policies, Suncor’s stock remained resilient this week, closing at $55.44 on Tuesday. Western Canadian Select prices have continued to hover around the $60-per-barrel mark.