OVV 10-Q Quarterly Reports

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2026

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2026

Ovintiv Inc. reported net earnings of $456 million, or $1.62 per diluted share, for the three months ended June 30, 2026, compared with $307 million in the same period of 2025. For the six months, the company posted a net loss of $174 million, or $0.63 per diluted share, driven by non-cash ceiling test impairments of $1,485 million before tax and a $337 million pre-tax loss on the divestiture of its Anadarko assets. Total revenues were $3,013 million in the quarter and $5,545 million year to date. Cash from operating activities was $1,632 million in the quarter and $2,688 million for the six months, and Non-GAAP Cash Flow was $1,256 million and $2,495 million, respectively. The balance sheet strengthened over the period. Long-term debt fell to $3,695 million at June 30, 2026, from $5,202 million at December 31, 2025, following the repayment of the Term Credit Agreement, the redemption of $700 million of 5.65% senior notes, and the Anadarko sale, which generated proceeds of about $2.8 billion. Total liquidity was approximately $4.4 billion, and Debt to Adjusted EBITDA was 0.8 times. The NuVista Acquisition, closed February 3, 2026, added approximately 930 net well locations and 140,000 net acres in the Alberta Montney, and it was paid for with about 30.1 million shares and roughly $1.2 billion in cash. During the quarter, Ovintiv repurchased about 6.1 million shares for roughly $345 million and paid dividends of $0.30 per share. On July 23, 2026, the Board declared a further $0.30 per share dividend payable September 29, 2026. Full-year 2026 capital investment guidance is $2,250 million to $2,350 million, and updated full-year production guidance is 630.0 to 645.0 MBOE/d. The company also disclosed that management's internal control assessment excluded the NuVista acquisition, which is permitted for up to one year after closing.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2026

Ovintiv Inc. reported a first-quarter 2026 net loss of $630 million, or $2.35 per diluted share, compared with a net loss of $159 million in the first quarter of 2025. The loss was driven primarily by non-cash ceiling test impairments of $1,485 million (USA Operations $1,111 million; Canadian Operations $374 million), against $730 million of impairments in the prior-year quarter. Total revenues rose to $2,532 million from $2,377 million, with product and service revenues of $2,221 million versus $1,965 million. Cash from operating activities was $1,056 million and Non-GAAP Cash Flow was $1,239 million, compared with $873 million and $1,004 million a year earlier. The quarter was shaped by the February 3, 2026 acquisition of NuVista Energy Ltd., valued at approximately $2.8 billion (C$3.8 billion), which added about 930 net well locations and 140,000 net acres in the Alberta Montney. Funding came from roughly 30.1 million issued shares and about $1.2 billion in cash, primarily from a $1.2 billion Term Credit Agreement. Long-term debt, including the current portion, rose to $6,398 million from $5,202 million at year-end 2025, and Debt to EBITDA increased to 2.4 times. Production averaged 678.9 MBOE/d, and the company paid $85 million in dividends and repurchased about 1.5 million shares for roughly $84 million. Subsequent to quarter end, the company closed the divestiture of its Anadarko assets on April 9, 2026 for proceeds of approximately $2.9 billion, used to repay the Term Credit Agreement balance, and redeemed its $700 million 5.65% senior notes on April 20, 2026 at a cost of about $737 million including accrued interest and a $20 million make-whole payment. The Board declared a $0.30 per share dividend on May 11, 2026.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2025

Ovintiv Inc. reported third-quarter 2025 net earnings of $148 million, or $0.57 per diluted share, down from $507 million in the year-earlier quarter. The result included a non-cash ceiling test impairment in the Canadian Operations of $141 million before tax ($108 million after tax). Total revenues were $2,066 million versus $2,324 million a year earlier, and cash from operating activities was $812 million, with Non-GAAP Cash Flow of $895 million. For the first nine months of 2025, net earnings were $296 million ($1.13 per diluted share), including $871 million of pre-tax ceiling test impairments, and cash from operating activities was $2,698 million. The nine-month period was shaped by the $2.274 billion (C$3.280 billion) Montney Acquisition, closed January 31, 2025, and the sale of the Uinta assets for approximately $1.9 billion, closed January 22, 2025. Production averaged 611.5 MBOE/d for the nine months, and the company reported total liquidity of approximately $3.3 billion, Debt to EBITDA of 1.8 times and Debt to Adjusted EBITDA of 1.2 times as at September 30, 2025. Long-term debt, including the current portion, was $5,212 million, and the company redeemed its $600 million 5.65% senior notes in May 2025. Subsequent to quarter end, Ovintiv agreed on November 4, 2025 to acquire NuVista Energy Ltd. in a cash and stock transaction valued at approximately $2.7 billion (C$3.8 billion), inclusive of assumed debt. The cash component is about $1.1 billion and the stock component is about 30 million shares. The company paused its share buyback program for two quarters starting October 2025, and the dividend of $0.30 per share declared November 4, 2025 is unchanged. The transaction is expected to close by the end of the first quarter of 2026, subject to NuVista shareholder, court and other customary approvals.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2025

Ovintiv Inc. reported net earnings of $307 million, or $1.18 per diluted share, for the three months ended June 30, 2025, compared with $340 million for the same period of 2024. For the six months ended June 30, 2025, net earnings were $148 million, or $0.57 per diluted share, after a non-cash ceiling test impairment of $730 million before tax ($557 million after tax) recorded in the Canadian Operations in the first quarter. Total revenues were $2,318 million for the quarter versus $2,288 million a year earlier. Cash from operating activities was $1,013 million for the quarter and $1,886 million for the six months, and Non-GAAP Cash Flow was $913 million and $1,917 million, respectively. The period was shaped by the January 31, 2025 closing of the Montney Acquisition for approximately $2.308 billion (C$3.328 billion) and the January 22, 2025 sale of the Uinta assets for approximately $1.9 billion. Ovintiv lowered its 2025 capital investment guidance to $2,125 million to $2,175 million in July 2025 and raised its full-year 2025 production guidance to 600.0 to 620.0 MBOE/d. The company repaid its $600 million 5.65% senior notes in May 2025 and resumed share repurchases in the second quarter, buying back about 4.1 million shares for approximately $147 million. Total liquidity was approximately $3.2 billion at June 30, 2025, and Debt to Adjusted EBITDA was 1.2 times. On July 24, 2025, the Board declared a quarterly dividend of $0.30 per share, payable September 29, 2025. Shareholders' equity was $10,377 million at June 30, 2025, and long-term debt including the current portion was $5,333 million.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2025

Ovintiv Inc. reported a first-quarter 2025 net loss of $159 million, or $0.61 per diluted share, compared with net earnings of $338 million in the first quarter of 2024. The loss was driven by a before-tax non-cash ceiling test impairment of $730 million in the Canadian Operations, which the filing says primarily resulted from 12-month average trailing prices at March 31, 2025 being lower than the market prices used for the Montney Acquisition on January 31, 2025. Total revenues were $2.38 billion, up from $2.35 billion, and operating income swung to a loss of $89 million from income of $494 million a year earlier. The quarter was dominated by portfolio reshaping. Ovintiv closed the $2.308 billion (C$3.328 billion) acquisition of about 109,000 net acres in the Alberta Montney from Paramount Resources Ltd. on January 31, 2025, and sold substantially all of its Uinta assets to FourPoint Resources, LLC for approximately $1.9 billion on January 22, 2025. Cash from operating activities was $873 million and Non-GAAP Cash Flow was $1,004 million, while capital expenditures were $617 million, near the low end of first-quarter guidance. Total liquidity was approximately $3.5 billion, and the company reported Debt to EBITDA of 1.6 times and Debt to Adjusted EBITDA of 1.2 times. For 2025, Ovintiv expects capital investment of $2.15 billion to $2.25 billion and total production of 595.0 to 615.0 MBOE/d. The company has hedged approximately 50.0 Mbbls/d of oil and condensate and 500 MMcf/d of natural gas for the remainder of the year. It paid a $0.30 per share dividend in the quarter, declared another $0.30 per share dividend on May 6, 2025, and has resumed share buybacks in the second quarter of 2025 under its NCIB.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2024

Ovintiv Inc. reported third-quarter 2024 net earnings of $507 million, or $1.92 per share diluted, compared with $406 million in the third quarter of 2023. Results included a net gain of $150 million, or $0.57 per share diluted, from a settlement of a dispute over previously divested legacy assets, recorded in Other (gains) losses, net. Total revenues were $2.32 billion versus $2.65 billion a year earlier, with product and service revenues of $2.18 billion, down from $2.91 billion, reflecting lower realized natural gas prices and lower Market Optimization sales. Upstream product revenues were $1.77 billion versus $2.05 billion. For the nine months ended September 30, 2024, net earnings were $1.185 billion, or $4.41 per share diluted, and cash from operating activities was $2.70 billion, with Non-GAAP Cash Flow of $3.04 billion. The company's total production averaged 592.6 MBOE/d in the third quarter, above its guidance range, and its full-year 2024 production guidance was updated to 583.0 to 587.0 MBOE/d. Full-year 2024 capital investment guidance was narrowed to $2.275 billion to $2.325 billion. Capital expenditures for the nine months totaled $1.751 billion. Shareholder returns continued through share buybacks, with about 3.7 million shares repurchased in the quarter for approximately $163 million, and quarterly dividends of $0.30 per share, with a further $0.30 dividend declared on November 7, 2024. Balance sheet metrics remained solid. Long-term debt including the current portion was $5.88 billion, shareholders' equity was $10.66 billion, and total liquidity was approximately $3.3 billion as at September 30, 2024. The company reported Debt to EBITDA of 1.1 times and Debt to Adjusted EBITDA of 1.2 times, and it stated it was in compliance with its financial covenants. Current portion of long-term debt rose to $1.02 billion, including $600 million of notes due within the next year.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2024

Ovintiv Inc. reported net earnings of $340 million for the three months ended June 30, 2024, compared with $336 million in the same period of 2023, and net earnings of $678 million for the six months ended June 30, 2024, compared with $823 million a year earlier. Diluted earnings per share were $1.27 for the quarter and $2.51 for the six months. Product and service revenues were $2.19 billion for the quarter and $4.58 billion for the six months, while cash from operating activities was $1,020 million for the quarter and $1,679 million for the six months. Non-GAAP Cash Flow was $1,025 million for the quarter and $2,060 million for the six months. Production averaged 593.8 MBOE/d in the second quarter, above the company's guidance range of 560.0 to 575.0 MBOE/d, and 583.8 MBOE/d for the six months, which the filing attributes in part to the Permian assets acquired in the second quarter of 2023. Realized natural gas prices fell 43 percent for the six months, while realized oil prices rose. The company repurchased approximately 9.0 million shares for about $434 million in the six months and paid $0.60 per share in dividends totaling $160 million. On July 30, 2024, the Board declared a dividend of $0.30 per share payable September 27, 2024. Long-term debt, including the current portion, was $6,087 million at June 30, 2024, up from $5,737 million at December 31, 2023, and the current portion rose to $1,234 million. Total liquidity was approximately $3.1 billion, and the company reported Debt to EBITDA of 1.2 times. The company also updated its full-year 2024 production guidance to 570.0 to 580.0 MBOE/d and narrowed its full-year capital investment guidance to $2,250 million to $2,350 million.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2024

Ovintiv Inc. reported first-quarter 2024 net earnings of $338 million, or $1.25 basic per share, down from $487 million in the first quarter of 2023. Total revenues were $2,352 million versus $2,551 million a year earlier, reflecting lower product and service revenues of $2,387 million, which were pressured by a $322 million decline from lower realized natural gas prices. Cash from operating activities was $659 million, and Non-GAAP Cash Flow was $1,035 million. Capital expenditures were $591 million, in line with the first-quarter guidance range of $580 million to $620 million, and the company reiterated its full-year 2024 capital guidance of $2,200 million to $2,400 million. Production rose to 573.8 MBOE/d, up 12 percent year over year, driven mainly by the Permian assets acquired in June 2023. Upstream DD&A increased to $566 million from $364 million, and administrative expense rose to $102 million. Shareholder returns continued, with 5.4 million shares repurchased for approximately $250 million and dividends of $80 million paid. Balance sheet metrics included long-term debt of $6,198 million, shareholders' equity of $10,262 million, and total liquidity of approximately $3.0 billion. A subsequent event disclosed that Ovintiv resolved a dispute over previously divested legacy assets and expects to recognize an aggregate gain of approximately $150 million later in 2024. Management also updated full-year 2024 total production guidance to 560.0 to 575.0 MBOE/d and expects upstream transportation and processing costs of approximately $7.50 to $8.00 per BOE.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2023

Ovintiv Inc. reported third-quarter 2023 net earnings of $406 million, down from $1,186 million in the third quarter of 2022, and nine-month net earnings of $1,229 million versus $2,302 million a year earlier. Total revenues for the quarter were $2,649 million versus $3,549 million, with net losses on risk management of $282 million in revenues. Cash from operating activities was $906 million for the quarter and $2,805 million for the nine months, and Non-GAAP Cash Flow was $1,112 million for the quarter and $2,662 million for the nine months. Lower realized commodity prices drove the decline in operating cash flow, partly offset by higher production volumes and realized risk management gains versus 2022. The quarter was shaped by the Permian Acquisition, which closed June 12, 2023 for aggregate consideration of approximately $4.4 billion ($3.2 billion in cash plus about 31.8 million shares). The company funded the cash portion with $2,278 million of net proceeds from senior unsecured notes issued in May 2023, Bakken divestiture proceeds of about $717 million, cash on hand and short-term borrowings. Long-term debt rose to $6,163 million at September 30, 2023 from $3,570 million at December 31, 2022, and Debt to Adjusted EBITDA was 1.5 times. Total liquidity was approximately $3.1 billion. Shareholder returns continued, with $0.30 per share of dividends paid in the quarter ($82 million), one million shares repurchased for about $45 million, and a renewed normal course issuer bid for up to approximately 26.7 million shares. On November 7, 2023 the board declared a $0.30 per share dividend payable December 29, 2023. Management updated full-year 2023 production and capital guidance, and the company stated that its disclosure controls were effective while excluding the Permian Acquisition from its internal control assessment.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2023

Ovintiv Inc. reported net earnings of $336 million for the three months ended June 30, 2023, down from $1,357 million in the same period of 2022, and net earnings of $823 million for the six months, versus $1,116 million a year earlier. Total revenues were $2,517 million for the quarter versus $3,736 million, with product and service revenues of $2,352 million and net gains on risk management of $147 million. Cash from operating activities was $831 million for the quarter and $1,899 million for the six months. The period was dominated by the June 12, 2023 closing of the Permian Acquisition from EnCap-managed portfolio companies, for total consideration of approximately $4.4 billion, comprising about $3.2 billion in cash and about 31.8 million shares of common stock. The cash portion was funded largely by a $2,278 million senior unsecured notes offering completed May 31, 2023, and by proceeds from the sale of the Bakken assets for approximately $706 million. Leverage rose meaningfully as a result. Long-term debt, including the current portion, increased to $6,134 million from $3,570 million at December 31, 2022, and the company reported Debt to EBITDA of 1.2 times and Debt to Adjusted EBITDA of 1.7 times. Total liquidity was approximately $3.2 billion at June 30, 2023, and Debt to Adjusted Capitalization was 26 percent against a covenant threshold of less than 60 percent. Shareholder returns continued, with dividends of $0.30 per share declared for the quarter and $0.55 per share for the six months, and approximately 7.7 million shares repurchased for about $328 million in the six months under the normal course issuer bid. The company also updated its full-year 2023 capital investment guidance to $2,680 million to $2,850 million and its full-year production guidance to 535.0 MBOE/d to 550.0 MBOE/d. Realized prices fell sharply year over year, with the average realized oil price at $72.83 per barrel for the quarter and natural gas at $1.95 per Mcf, against $108.57 and $6.78 a year earlier. The filing notes that the Permian Acquisition was excluded from the assessment of internal control over financial reporting, and that the Company is assessing those controls.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2023

Ovintiv Inc. reported net earnings of $487 million for the three months ended March 31, 2023, compared with a net loss of $241 million in the same period of 2022. Total revenues were $2,551 million versus $1,967 million, with the swing driven by losses on risk management of $58 million in 2023 compared with $1,458 million in 2022. Cash from operating activities was $1,068 million, and Non-GAAP Cash Flow was $851 million. Production averaged 511.4 MBOE/d, and the company invested $610 million in capital expenditures during the quarter. The company spent $239 million repurchasing approximately 5.2 million shares and paid $61 million in dividends of $0.25 per share. Total liquidity stood at $3.2 billion at quarter-end, with long-term debt of $3,756 million and Debt to Adjusted EBITDA of 0.9 times. Management reported Debt to Adjusted Capitalization of 19 percent against a covenant threshold of less than 60 percent. Subsequent to quarter-end, on April 3, 2023, Ovintiv agreed to acquire core Midland Basin assets from EnCap-managed portfolio companies for approximately $4.275 billion, consisting of about $3.125 billion in cash and 32.6 million shares. The company also agreed to sell its Bakken assets for approximately $825 million and raised its quarterly dividend by 20 percent to $0.30 per share. Full-year 2023 capital guidance was raised to $2,600 million to $2,900 million, and production guidance to 520.0 to 545.0 MBOE/d.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2022

Ovintiv Inc. reported third-quarter 2022 net earnings of $1,186 million, compared with a net loss of $72 million in the third quarter of 2021, on total revenues of $3,549 million (versus $1,789 million). Results were shaped by net losses on risk management of $111 million in revenues for the quarter, while nine-month net earnings were $2,302 million, including net losses on risk management of $1,864 million. Cash from operating activities was $962 million for the quarter and $2,991 million for the nine months, and Non-GAAP Cash Flow was $948 million and $3,215 million, respectively. The company continued to reduce debt and return capital. Total long-term debt fell to $3,618 million at September 30, 2022 from $4,786 million at December 31, 2021, and the company redeemed its $1.0 billion 5.625% senior notes in June 2022 and repurchased about $565 million in principal in the open market during the nine months. Ovintiv bought back about 11.2 million shares for about $531 million in the nine months under its NCIB, and it raised the cash return to shareholders from 25 percent to 50 percent of Non-GAAP Cash Flow in excess of capital expenditures and base dividends during the third quarter. The company reported total liquidity of $3.4 billion, Net Debt to Adjusted EBITDA of 0.9 times, and a Debt to Adjusted Capitalization of 20 percent. Operationally, the company produced 516.3 MBOE/d in the third quarter and 505.5 MBOE/d for the first nine months, and it reported that Total Costs were $17.16 per BOE in the third quarter, above its guidance range, while the full-year 2022 Total Costs guidance of $16.35 to $16.60 per BOE was unchanged. Management noted that its full-year 2022 capital investment guidance was updated to approximately $1.8 billion in November 2022, and that its credit ratings are all investment grade.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2022

Ovintiv Inc. reported a strong second quarter of 2022, with net earnings of $1,357 million for the three months ended June 30, 2022, compared with a net loss of $205 million in the same period of 2021. Total revenues were $3,736 million, though the results include net losses on risk management of $295 million in revenues. Product and service revenues rose to $4,014 million from $2,473 million, reflecting higher average realized prices. For the six months ended June 30, 2022, net earnings were $1,116 million and cash from operating activities was $2,029 million, which included a net realized loss of $1,252 million on risk management settlements. The company focused on balance sheet strengthening during the period. Ovintiv redeemed its $1.0 billion 5.625% senior notes due 2024 in June 2022 with a one-time make-whole payment of $47 million, and repurchased about $61 million of other senior notes in the open market in the first half. Long-term debt, including the current portion, fell to $3,902 million at June 30, 2022 from $4,786 million at December 31, 2021. Total liquidity was $3.6 billion, and the company reported Net Debt to Adjusted EBITDA of 1.0 times. Shareholder returns also increased: the company repurchased about 4.5 million shares for approximately $206 million in the first half, and the quarterly dividend was raised to $0.25 per share, an annualized $1.00. On July 6, 2022, Ovintiv announced it would raise its share of Non-GAAP Cash Flow in excess of capital expenditures and base dividends returned to shareholders from 25 percent to 50 percent beginning in the third quarter of 2022. The filing also notes asset sales in the Uinta and Bakken basins for approximately $250 million before closing adjustments, expected to close in the third quarter of 2022. The full-year 2022 capital investment guidance was updated to $1.7 billion to $1.8 billion, and the full-year Total Costs guidance was updated in August 2022 to $16.35 to $16.60 per BOE.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2022

Ovintiv Inc. reported a net loss of $241 million for the three months ended March 31, 2022, compared with net earnings of $309 million in the same period of 2021. The loss was driven by net losses on risk management in revenues of $1,458 million, before tax, which were largely unrealized ($1,012 million). Total revenues were $1,967 million, and product and service revenues rose to $3,407 million from $2,247 million, reflecting higher average realized prices (upstream product revenues of $2,324 million versus $1,594 million). Cash from operating activities was $685 million, and Non-GAAP Cash Flow was $1,043 million. The company continued its balance sheet strategy. Long-term debt was $4,775 million at March 31, 2022, down from $4,786 million at year-end 2021, and the company stated it had allocated $2,591 million of excess cash flow to debt reduction since the second quarter of 2020. Net Debt to Adjusted EBITDA was 1.3 times, and total liquidity was $4.6 billion. Ovintiv's credit rating was upgraded to investment grade by one agency during the quarter, and all of its credit ratings are investment grade as of March 31, 2022. On May 9, 2022, the company announced a 25 percent increase in its quarterly dividend and issued notice to redeem its $1.0 billion 5.625 percent senior notes due 2024, with expected annualized interest savings of approximately $55 million. Shareholder returns continued through the quarter, with dividends of $52 million ($0.20 per share) and repurchases of approximately 1.7 million shares for about $71 million under the normal course issuer bid. The company updated its full-year 2022 capital investment guidance to $1.7 billion to $1.8 billion and its Total Costs guidance to $15.75 to $16.25 per BOE, both attributed to inflationary pressures from higher commodity prices.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2021

Ovintiv Inc. reported a third-quarter 2021 net loss of $72 million, compared with a net loss of $1,521 million in the third quarter of 2020, which included a ceiling test impairment in the USA Operations. For the first nine months of 2021, net earnings were $32 million, compared with a net loss of $5,483 million in the prior-year period. Results were heavily affected by risk management losses: net losses on risk management in revenues were $950 million in the quarter and $2,176 million for the nine months, including unrealized losses of $1,426 million for the nine months. Product and service revenues rose to $2,720 million in the quarter (from $1,326 million) and $7,440 million for the nine months (from $3,919 million), driven by higher realized prices. Cash from operating activities was $812 million for the quarter and $2,389 million for the nine months, and Non-GAAP Cash Flow was $845 million and $2,468 million respectively. The company continued to reduce debt, with total long-term debt falling to $4,791 million at September 30, 2021 from $6,885 million at December 31, 2020, after redeeming the $600 million 5.75% notes due 2022 and the $518 million 3.90% notes due 2021. Net Debt to Adjusted EBITDA was 1.5 times, and total liquidity was $4.3 billion. The company sold its Eagle Ford assets for approximately $762 million and its Duvernay assets for approximately $238 million during 2021, and it targets Net Debt of approximately $3.0 billion by the end of 2023. Shareholder returns were expanded through a quarterly dividend of $0.14 per share (about a 50 percent increase announced in July), a new capital allocation framework announced in September, and a normal course issuer bid authorizing purchases of up to approximately 26 million shares from October 1, 2021 to September 30, 2022. The company also declared a further $0.14 per share dividend on November 2, 2021.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2021

Ovintiv Inc. reported a net loss of $205 million for the second quarter of 2021, compared with a net loss of $4,383 million in the second quarter of 2020, which included a $3,250 million ceiling test impairment. For the six months ended June 30, 2021, the company reported net earnings of $104 million, including net losses on risk management in revenues of $1,226 million before tax and a current income tax recovery of $156 million. Total revenues were $1,692 million in the quarter and $3,530 million for the first six months. Cash from operating activities was $750 million in the quarter and $1,577 million for the six months, and Non-GAAP Cash Flow was $733 million and $1,623 million, respectively. The company used excess cash flows to reduce total long-term debt by $1,571 million in the first six months of 2021. Total long-term debt, including the current portion, fell to $5,314 million at June 30, 2021 from $6,885 million at December 31, 2020. In May and June 2021, Ovintiv closed the sales of its Duvernay and Eagle Ford assets, receiving proceeds of approximately $239 million and $771 million, respectively. It redeemed its $600 million 5.75% senior notes due 2022 in June 2021 and expects to redeem its $518 million 3.90% senior notes due November 15, 2021 in August 2021. Total liquidity was $4.4 billion at June 30, 2021, and Net Debt to Adjusted EBITDA was 1.9 times. On July 27, 2021, the Board declared a quarterly dividend of $0.14 per share, an increase of about 50 percent to the annualized dividend. The company hedged approximately 130.0 Mbbls/d of expected crude oil and condensate production and 1,170 MMcf/d of expected natural gas production for the remainder of 2021 as of July 15, 2021. Management targets long-term debt, less cash held, of approximately $3.0 billion by the end of 2023.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2021

Ovintiv Inc. reported a first-quarter 2021 net gain of $309 million, down from $421 million in the first quarter of 2020, but the result was driven by an income tax recovery of $176 million. Total revenues were $1.84 billion, compared with $2.64 billion a year earlier, because of net losses on risk management of $427 million. Product and service revenues rose to $2.25 billion from $1.57 billion, reflecting higher realized prices. Cash from operating activities was $827 million, Non-GAAP Cash Flow was $890 million, and Non-GAAP Cash Flow Margin was $18.39 per BOE. Total Operating Expenses fell to $1.64 billion from $1.88 billion, mainly on lower DD&A and the absence of the 2020 ceiling test impairment. The company used excess cash flow to reduce total long-term debt by $467 million in the quarter, and reported Net Debt to Adjusted EBITDA of 2.7 times, versus 3.1 times at December 31, 2020. Management targets total long-term debt of $4.5 billion by the first half of 2022. Total liquidity was $3.8 billion at March 31, 2021. Subsequent to quarter-end, the Company closed the sale of its Duvernay assets on April 28, 2021 for approximately $232 million of proceeds, and agreed on March 24, 2021 to sell its Eagle Ford assets for approximately $880 million, expected to close in the second quarter of 2021. Production averaged 538.3 MBOE/d, with liquids at 275.6 Mbbls/d (51% of production) and natural gas at 1,576 MMcf/d. Management updated 2021 guidance for oil and plant condensate production to approximately 190.0 Mbbls/d from 200.0 Mbbls/d, reflecting the divestitures, and expects Total Costs of $12.25 to $12.50 per BOE for 2021 versus $12.93 per BOE in the first quarter.

Ovintiv Quarterly Report for Q3 Ended Sep 30, 2020

Ovintiv Inc. reported a third-quarter 2020 net loss of $1,521 million, driven by a non-cash ceiling test impairment of $1,336 million before tax in its USA Operations, and net losses on risk management in revenues of $154 million before tax. For the first nine months of 2020, the net loss was $5,483 million, including a $4,863 million ceiling test impairment, net gains on risk management in revenues of $587 million, restructuring costs of $88 million, and a deferred income tax valuation allowance of $568 million in Canada. Total revenues were $1,190 million for the quarter versus $1,871 million a year earlier, and $4,559 million for the nine months versus $5,161 million. Cash from operating activities was $493 million in the quarter and $1,176 million for the nine months, and Non-GAAP Cash Flow was $398 million and $1,237 million respectively. The company is reducing its workforce by approximately 25 percent and expects total transition and severance costs of about $93 million before tax. Its full-year 2020 capital investment is expected to be approximately $1.8 billion, funded from operating cash flow, and it plans to allocate all excess cash flow to reduce long-term debt over the next five quarters. Long-term debt was $7,142 million at September 30, 2020, and shareholders' equity fell to $4,352 million from $9,930 million at year-end 2019. Net Debt to Adjusted EBITDA was 2.9 times, and total liquidity was $3.1 billion. The filing also discloses that one credit rating agency downgraded the company to below investment grade, that the company is in compliance with its financial covenants (Debt to Adjusted Capitalization of 37 percent versus a 60 percent limit), and that a further ceiling test impairment of approximately $1.3 billion would have been recognized for the nine months under September 30, 2020 futures-based prices. The company also declared a quarterly dividend of $0.09375 per share on October 28, 2020.

Ovintiv Quarterly Report for Q2 Ended Jun 30, 2020

Ovintiv Inc. (formerly Encana Corporation) reported a net loss of $4,383 million for the three months ended June 30, 2020, compared with net earnings of $336 million in the same period of 2019, driven primarily by a non-cash ceiling test impairment of $3,250 million before tax in its USA Operations. For the six months ended June 30, 2020, the net loss was $3,962 million, including a $3,527 million impairment. Total revenues for the quarter fell to $726 million from $2,055 million, reflecting net losses on risk management of $314 million and lower product and service revenues of $1,023 million versus $1,848 million a year earlier. Cash from operating activities was $117 million for the quarter and $683 million for the first six months, versus $906 million and $1,435 million in 2019. The filing describes the January 24, 2020 Reorganization, under which Encana completed a share consolidation and Ovintiv Inc. became a Delaware corporation domiciled in the U.S. Management reduced the second-quarter 2020 capital program by $500 million, ceased operating 16 drilling rigs, and shut in and curtailed 32 MBOE/d of production in the second quarter. The Company suspended its 2020 guidance, announced a workforce reduction of approximately 25 percent in June 2020, and expects full-year 2020 capital investment of approximately $1.8 billion. Liquidity totaled approximately $2.97 billion at June 30, 2020, with cash and cash equivalents of $39 million, and long-term debt of $7,366 million. Net Debt to Adjusted EBITDA was 2.6 times and Debt to Adjusted Capitalization was 35 percent, below the 60 percent covenant threshold. The balance sheet reflects total shareholders' equity of $5,873 million, down from $9,930 million at December 31, 2019, and the Company recorded a deferred income tax valuation allowance of $568 million in Canada. The filing also states that, based on futures prices as of June 30, 2020, an additional before-tax ceiling test impairment of approximately $1.3 billion for the USA Operations would have been recognized for the six months ended June 30, 2020.

Ovintiv Quarterly Report for Q1 Ended Mar 31, 2020

Ovintiv Inc. (filed as Encana Corporation for the period) reported first-quarter 2020 net earnings of $421 million, compared with a net loss of $245 million in the first quarter of 2019. Results were driven by $1,055 million of net gains on risk management in revenues, largely unrealized ($904 million), which offset a $277 million non-cash ceiling test impairment in the USA Operations and a $116 million foreign exchange loss. Cash from operating activities was $566 million and Non-GAAP Cash Flow was $535 million, or $10.29 per BOE. Total revenues were $2,643 million versus $1,235 million a year earlier, and product and service revenues were essentially flat at $1,570 million, as lower realized prices offset higher production of 571.3 MBOE/d. The company reduced its 2020 capital program in response to the COVID-19 pandemic and the collapse in oil prices. It cut second-quarter capital spending by $500 million, ceased operating ten drilling rigs with six more to be cut in May 2020, and suspended its 2020 guidance. Management identified Permian, Anadarko and Montney as Core Assets and said it will consider shutting in low-margin production. The filing states that an additional before-tax ceiling test impairment of $3.7 billion for the USA Operations would have been recognized at March 31, 2020 prices from commodity futures, and that further impairments are possible if low prices persist. The balance sheet remained investment grade with cash of $82 million, total liquidity of $3.43 billion, long-term debt of $7,006 million, and a Net Debt to Adjusted EBITDA ratio of 2.0 times. The company completed its Reorganization on January 24, 2020, becoming a Delaware corporation after a one-for-five share consolidation. A $1.2 billion deferred tax benefit was recorded with a corresponding valuation allowance. The Board declared a quarterly dividend of $0.09375 per share on May 7, 2020.