By Adriano Marchese

Cenovus Energy posted higher profit in the fourth quarter, thanks to greater oil output from its operations.

The Canadian integrated oil and natural gas company posted on Thursday higher net income of 934 million Canadian dollars ($682 million), or C$0.50 a share, up from C$146 million, or C$0.07 a share, in the comparable quarter a year ago.

According to FactSet, analysts were expecting C$0.40 a share.

Cash from operations were also higher, reaching C$2.41 billion, up from C$2.03 billion, while adjusted funds flow rose to C$2.67 billion from C$1.6 billion.

Upstream production, which refers to the exploration and extraction stage of oil production, averaged 917,900 barrels of oil equivalent a day, an increase of 5% from the prior year, a figure that which excludes the contributions from its MEG Energy acquisition.

Cenovus moved to acquire MEG Energy in 2025 after MEG rejected a hostile bid from rival Strathcona Resources, opening the door for Cenovus to step in with a higher offer. The deal ultimately prevailed over Strathcona's offer, giving Cenovus a major Alberta oil-sands expansion and reshaping the competitive landscape in the region.

The company said production ended the year at a monthly rate of over 970,000 barrels a day in December.

Cenovus processed 465,500 barrels of crude per day in the fourth quarter, with its facility running at 98% of capacity, and earning slightly more than typical market levels in the U.S., it said. A year ago, downstream production was 626,600 barrels a day.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

February 19, 2026 06:54 ET (11:54 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.