May 8 (Reuters) - Canadian oil and gas producer Cenovus Energy (CVE.TO) , opens new tab on Thursday posted a fall in first-quarter profit but managed to beat Wall Street estimates on the back of higher output and improved refining margins.

The Calgary, Alberta-based company's U.S.-listed shares were up nearly 1.4% in premarket trading following the results.

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Energy producers in Canada have been benefiting from the completion of the Trans Mountain pipeline expansion project, which offers the only export route to international markets bypassing the U.S.

The pipeline has raised its capacity to 890,000 barrels per day.

Peer Imperial Oil (IMO.TO) , opens new tab last week posted its highest-ever first-quarter earnings, driven by stronger margins in its refining and fuel sales business.

Suncor Energy(SU.TO) , opens new tab on Tuesday beat quarterly profit estimates on greater refinery production and sales volumes.

Cenovus' total upstream production was 818,900 barrels of oil equivalent per day (boepd) in the first quarter, up from 800,900 boepd a year earlier.

Its total quarterly downstream throughput was 665,400 barrels (bbl) per day, compared with 655,200 bbl per day a year ago.

Refinery utilization in the Canadian Refining segment rose to 104% from 94% a year ago, while it rose to 90% in the U.S. Refining segment from 87%.

CEOs of Canadian oil and gas producers, including Cenovus' Jon McKenzie, had said earlier in April they are seeking to avoid making abrupt decisions about spending or production, with oil prices hitting four-year lows and recession fears growing.

Cenovus' first-quarter net income fell to C$859 million ($618.79 million) from C$1.18 billion a year earlier, as crude prices declined on uncertainty surrounding the U.S. economy, tariff policies and fears of oversupply.

However, the company's quarterly profit per share of 47 Canadian cents surpassed analysts' average estimate of 37 cents per share, according to data compiled by LSEG.

($1 = 1.3882 Canadian dollars)

https://www.reuters.com/business/energy/canadas-cenovus-energy-posts-lower-first-quarter-profit-2025-05-08/