Canadian Natural Beats Q2 Profit Estimates on Higher Oil Prices

Canadian Natural Resources has raised its full-year production forecast for the second time this year and exceeded analysts' profit expectations in the second quarter. The company's adjusted profit came in at $2.19 per share, beating the average estimate of $1.90 per share from analysts.

The Calgary-based oil and gas producer saw its quarterly output increase to 1.68 million barrels of oil equivalent per day (boepd), up from 1.42 million boepd a year earlier. The company's realized price for exploration and production liquids during the quarter rose 51% from a year ago to $105.11 per barrel, while synthetic crude oil prices climbed 44% to $125.78 per barrel.

Canadian Natural attributed its strong performance to higher oil prices driven by supply concerns following months of conflict in the Middle East and years of investment in low-cost operations that continue to boost cash flow. The company's production forecast for 2026 now ranges from 1.637 million to 1.682 million boepd, up from its previous estimate of 1.615 million to 1.665 million boepd.