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OVV · Ovintiv

7 filings

10-K

OVV 10-K Annual Reports

Ovintiv - 7 annual reports

Filing record · 2020–202610-K710-Q218-K127

2025
Ovintiv Annual Report, Year Ended Dec 31, 2025
Ovintiv Inc. reported 2025 net earnings of $1,242 million, or $4.78 per diluted share, including non-cash ceiling test impairments of $703 million after tax. Cash from operating activities was $3,652 million and Non-GAAP Cash Flow was $3,785 million, with cash from operating activities exceeding capital expenditures by $1,505 million. Total revenues declined to $8,908 million from $9,152 million, reflecting lower upstream product revenues of $7,144 million, down from $7,350 million, as lower oil and liquids prices outweighed higher natural gas prices and production volumes. Total proved reserves rose to 2,325.1 MMBOE at year-end 2025, up from 2,057.1 MMBOE, largely from the Montney Acquisition and price revisions, partially offset by the Uinta divestiture. The company made significant portfolio moves in the period. It closed the $2.274 billion Montney Acquisition from Paramount Resources in January 2025 and divested its Uinta assets for approximately $1.9 billion. After year-end, it closed the NuVista Energy acquisition on February 3, 2026, valued at approximately $2.8 billion, and agreed on February 17, 2026 to sell its Anadarko assets for $3.0 billion before closing adjustments, with proceeds earmarked for debt reduction. Ovintiv also redeemed a $459 million senior note due January 2026 and reported Debt to Adjusted EBITDA of 1.2 times. On February 23, 2026, the Board updated the shareholder return framework to return between 50 and 100 percent of annual Non-GAAP Cash Flow in excess of capital expenditures through base dividends and share buybacks. The 2026 capital program is planned at $2,250 million to $2,350 million, with full-year production guidance of 620.0 to 645.0 MBOE/d. The quarterly dividend remains $0.30 per share, and the company held total liquidity of approximately $4.5 billion at year-end 2025.
Feb 23, 2026
2024
Ovintiv Annual Report, Year Ended Dec 31, 2024
Ovintiv Inc. reported 2024 net earnings of $1,125 million, or $4.21 per diluted share, down from $2,085 million in 2023, after a $450 million pre-tax ceiling test impairment in the Canadian Operations. Total revenues fell to $9,152 million from $10,883 million, and upstream product revenues declined to $7,350 million from $7,805 million, reflecting lower average realized natural gas prices, which the filing says decreased 38 percent. Cash from operating activities was $3,721 million and Non-GAAP Cash Flow was $4,042 million, against capital expenditures of $2,303 million. The company returned capital through $597 million of share repurchases (about 12.7 million shares) and $316 million of dividends, and reported total liquidity of approximately $3.6 billion with Debt to EBITDA of 1.3 times. The balance sheet and portfolio changed materially after year-end. On January 22, 2025, Ovintiv closed the sale of substantially all of its Uinta assets to FourPoint Resources, LLC for approximately $2.0 billion before closing adjustments. On January 31, 2025, it closed the acquisition of Montney assets from Paramount Resources Ltd. for approximately $2.307 billion (C$3.325 billion), adding about 109,000 net acres. The company expects to recognize an after-tax ceiling test impairment in the Canadian cost center of approximately $400 million to $600 million for the quarter ending March 31, 2025, and has paused share buybacks since October 2024, expecting to resume them in the second quarter of 2025. For 2025, Ovintiv guided to a capital investment program of approximately $2,150 million to $2,250 million and total production of approximately 595 to 615 MBOE/d. Total proved reserves at year-end 2024 were 2,057.1 MMBOE, down from 2,185.9 MMBOE, with 58 percent proved developed. The company also disclosed a 10 percent workforce reduction in October 2024, which resulted in $27 million of restructuring charges.
Feb 26, 2025
2023
Ovintiv Annual Report, Year Ended Dec 31, 2023
Ovintiv Inc. (NYSE/TSX: OVV) is a North American oil and natural gas exploration and production company with operations in the United States (Permian, Anadarko, Uinta) and Canada (Montney, Horn River). In 2023 the company completed the Permian Acquisition, a Midland basin transaction valued at approximately $4.4 billion before closing adjustments, which added about 1,050 net well locations and 65,000 net acres, and it divested its Bakken assets for proceeds of approximately $734 million. Production averaged 565.6 MBOE/d, up from 510.0 MBOE/d in 2022, and total proved reserves ended the year at 2,185.9 MMBOE, a decline of 87.7 MMBOE from the prior year after production of 206.5 MMBOE, with the decrease attributed mainly to a 330.0 MMBOE change in the approved development plan. Financially, net earnings fell to $2,085 million from $3,637 million in 2022, as realized commodity prices dropped sharply; natural gas realized prices fell 53 percent and liquids prices fell 21 percent. Cash from operating activities rose to $4,167 million from $3,866 million, Non-GAAP Cash Flow was $3,899 million, and capital expenditures were $2,744 million, leaving cash from operations in excess of capital spending by $1,423 million. Debt rose to $5,737 million, lifting Debt to Adjusted EBITDA to 1.3 times, and total liquidity was approximately $3.5 billion at year end. The company returned capital through dividends of $1.15 per share ($307 million), share repurchases of approximately $426 million, and a quarterly dividend increase to $0.30 per share declared on February 27, 2024. For 2024, the company guided to capital investment of $2.2 billion to $2.4 billion and production of 545 to 575 MBOE/d.
Feb 27, 2024
2022
Ovintiv Annual Report, Year Ended Dec 31, 2022
Ovintiv Inc. (NYSE/TSX: OVV) reported 2022 net earnings of $3.637 billion, up from $1.416 billion in 2021, on total revenues of $12.464 billion. Cash from operating activities was $3.866 billion and Non-GAAP Cash Flow was $4.110 billion, which exceeded capital expenditures of $1.831 billion by $2.035 billion. Net losses on risk management of $1.867 billion, including realized losses of $2.613 billion, reduced reported revenues, and the company said the realized losses were offset by higher commodity prices. The company ended 2022 with proved reserves of 2,273.6 MMBOE, up from 2,258.2 MMBOE, with production of 510.0 MBOE/d. Long-term debt fell to $3.570 billion from $4.786 billion, and the company reported $3.3 billion of total liquidity. Debt to EBITDA was 0.7 times, and all credit ratings were investment grade at year-end. Shareholder returns increased, with 14.7 million shares repurchased for about $719 million and dividends of $0.95 per share totaling $239 million. The company raised its cash return target to 50 percent of Non-GAAP Cash Flow in excess of capital expenditures and base dividends. For 2023, Ovintiv guided to capital investment of $2.150 billion to $2.350 billion and production of 500.0 to 525.0 MBOE/d. The Board declared a quarterly dividend of $0.25 per share on February 27, 2023. The filing also discloses risk factors related to commodity price volatility, Canadian exchange rates, and indigenous land claims in northeast British Columbia.
Feb 27, 2023
2021
Ovintiv Annual Report, Year Ended Dec 31, 2021
Ovintiv Inc. (NYSE/TSX: OVV) reported 2021 net earnings of $1,416 million, a sharp turnaround from a net loss of $6,097 million in 2020, which included $5,580 million of non-cash ceiling test impairments. Cash from operating activities was $3,129 million and Non-GAAP Cash Flow was $3,209 million, exceeding capital expenditures by $1,610 million. Realized losses on commodity and FX risk management of $1,362 million offset part of the benefit from higher realized prices, where average realized natural gas and liquids prices rose 91 and 90 percent, respectively. Total upstream product revenues were $7,420 million, up from $4,044 million. The company used excess cash to reduce long-term debt by over $2.1 billion, ending 2021 with long-term debt of $4,786 million and Net Debt of $4,591 million. Net Debt to Adjusted EBITDA improved to 1.4 times from 3.1 times. Ovintiv targets Net Debt of $3 billion in the second half of 2022, assuming WTI of $85.00 per barrel and NYMEX gas of $4.50 per MMBtu. Total liquidity stood at $4.5 billion, and a credit rating was upgraded to investment grade by one agency during the fourth quarter. Capital returns increased: a new framework returns 25 percent of Non-GAAP Cash Flow in excess of capital expenditures and base dividends through buybacks and/or variable dividends. The company repurchased approximately 3.1 million shares for $111 million in 2021 under a NCIB covering up to about 26 million shares through September 30, 2022. The quarterly dividend was raised to $0.14 per share in the third and fourth quarters of 2021, and on February 24, 2022 the board declared a $0.20 quarterly dividend. For 2022, the company plans capital spending of approximately $1.5 billion, expects liquids production of 180.0 to 190.0 Mbbls/d of oil and plant condensate and 1,450 to 1,500 MMcf/d of natural gas, and projects Total Costs of $14.75 to $15.25 per BOE.
Feb 25, 2022
2020
Ovintiv Annual Report, Year Ended Dec 31, 2020
Ovintiv Inc. (NYSE/TSX: OVV) reported a 2020 net loss of $6,097 million, driven primarily by a non-cash ceiling test impairment of $5,580 million in its USA Operations. Total revenues were $6,087 million, down from $6,726 million in 2019. Cash from operating activities was $1,895 million and Non-GAAP Cash Flow was $1,929 million, which exceeded capital expenditures of $1,736 million by $159 million. Production averaged 543.8 MBOE/d, with liquids at 53 percent of volumes, and total proved reserves ended the year at 1,992.5 MMBOE. Proved reserves fell 196.3 MMBOE during 2020, reflecting negative revisions and 199.0 MMBOE of production, partly offset by 377.5 MMBOE of extensions and discoveries. Management's priorities are financial strength and debt reduction. The company committed to reducing long-term debt by at least $1.25 billion by the end of 2021, has repaid $481 million toward that target, and ended 2020 with $3.3 billion of total liquidity. One credit rating agency downgraded the company to below investment grade during 2020, and the filing notes that further downgrades could raise borrowing costs and collateral requirements. The 2021 plan calls for capital spending of about $1.5 billion, flat liquids production, and Total Costs of $12.25 to $12.50 per BOE. The dividend was held at $0.09375 per quarter, and the company is 2021 Duvernay sale agreement for about $263 million is pending. The filing also flags material risks. Management indicated that a further ceiling test impairment of less than $150 million for USA Operations could be recognized in the first quarter of 2021 under forecast prices, and that additional impairments are possible if low commodity prices persist. The company also recorded a $568 million valuation allowance in Canada and a $1.2 billion capital-loss valuation allowance tied to the Reorganization.
Feb 18, 2021
2019
Ovintiv Annual Report, Year Ended Dec 31, 2019
Ovintiv Inc. (NYSE/TSX: OVV) filed this Form 10-K for fiscal 2019 following the January 24, 2020 completion of a reorganization in which Encana Corporation was consolidated (one post-consolidation share for each five pre-consolidation shares) and Ovintiv migrated from Canada to become a Delaware corporation. The Company reported 2019 net earnings of $234 million, down from $1,069 million in 2018, on total revenues of $6,726 million. Results were shaped by the February 13, 2019 Newfield Exploration acquisition, which lifted production 56 percent year over year to 564.9 MBOE/d and added proved reserves of 796.6 MMBOE through purchases. Cash from operating activities was $2,921 million and Non-GAAP Cash Flow was $2,931 million, against capital expenditures of $2,626 million, and the Company reported Net Debt to Adjusted EBITDA of 2.0 times. The Company's strategy centers on three Core Assets, Permian and Anadarko in the U.S. and Montney in Canada, which received $2,030 million, or 77 percent, of 2019 capital spending. Total proved reserves at year-end 2019 were 2,188.8 MMBOE, of which 48 percent were proved developed. The Company exited its China operations on July 31, 2019, and reported a net loss on risk management in revenues of $361 million. Shareholder returns included purchases of about 196.7 million pre-consolidation shares for approximately $1,250 million and dividends of $0.375 per share on a post-consolidation basis. The 2020 outlook calls for approximately $2.7 billion of capital investment, liquids production of 318.0 to 332.0 Mbbls/d, and Total Costs of $12.20 to $12.50 per BOE. Key investor considerations include the sensitivity of earnings and reserves to commodity prices, a $6,974 million long-term debt balance at year-end, one credit rating below investment grade, and the tax and listing consequences of the Reorganization, including the U.S. Domestication and possible index-inclusion effects.
Feb 21, 2020