Business segments

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Business segments

Business segments

Three Months to March 31	Upstream		Downstream		Chemical
millions of Canadian dollars	2023	2022	2023	2022	2023	2022
Revenues and other income
Revenues (a) (b)	76	99	11,639	12,191	342	367
Intersegment sales	3,622	4,431	1,823	1,833	91	104
Investment and other income (note 3)	2	4	20	21	—	—
	3,700	4,534	13,482	14,045	433	471
Expenses
Exploration	1	2	—	—	—	—
Purchases of crude oil and products	1,543	1,890	11,196	12,512	274	315
Production and manufacturing	1,287	1,249	411	356	58	54
Selling and general	—	—	157	147	26	23
Federal excise tax and fuel charge	—	—	528	479	1	—
Depreciation and depletion	434	373	45	41	4	5
Non-service pension and postretirement benefit	—	—	—	—	—	—
Financing (note 5)	—	—	—	—	—	—
Total expenses	3,265	3,514	12,337	13,535	363	397
Income (loss) before income taxes	435	1,020	1,145	510	70	74
Income tax expense (benefit)	105	238	275	121	17	18
Net income (loss)	330	782	870	389	53	56
Cash flows from (used in) operating activities	(398)	1,447	(419)	375	(32)	67
Capital and exploration expenditures (c)	321	222	74	68	4	1
Total assets as at March 31	29,059	29,182	9,535	10,179	477	501

Three Months to March 31	Corporate and other		Eliminations		Consolidated
millions of Canadian dollars	2023	2022	2023	2022	2023	2022
Revenues and other income
Revenues (a) (b)	—	—	—	—	12,057	12,657
Intersegment sales	—	—	(5,536)	(6,368)	—	—
Investment and other income (note 3)	42	4	—	—	64	29
	42	4	(5,536)	(6,368)	12,121	12,686
Expenses
Exploration	—	—	—	—	1	2
Purchases of crude oil and products	—	—	(5,535)	(6,367)	7,478	8,350
Production and manufacturing	—	—	—	—	1,756	1,659
Selling and general	4	56	(1)	(1)	186	225
Federal excise tax and fuel charge	—	—	—	—	529	479
Depreciation and depletion	7	7	—	—	490	426
Non-service pension and postretirement benefit	20	4	—	—	20	4
Financing (note 5)	16	7	—	—	16	7
Total expenses	47	74	(5,536)	(6,368)	10,476	11,152
Income (loss) before income taxes	(5)	(70)	—	—	1,645	1,534
Income tax expense (benefit)	—	(16)	—	—	397	361
Net income (loss)	(5)	(54)	—	—	1,248	1,173
Cash flows from (used in) operating activities	28	25	—	—	(821)	1,914
Capital and exploration expenditures (c)	30	5	—	—	429	296
Total assets as at March 31	3,815	4,136	(771)	(188)	42,115	43,810

Includes export sales to the United States of $2,375 million (2022 - $2,504 million).

(b)Revenues include both revenue within the scope of ASC 606 and outside the scope of ASC 606. Trade receivables in "Accounts receivable – net" reported on the Consolidated balance sheet include both receivables within the scope of ASC 606 and those outside the scope of ASC 606. Revenue and receivables outside the scope of ASC 606 primarily relate to physically settled commodity contracts accounted for as derivatives. Contractual terms, credit quality, and type of customer are generally similar between those revenues and receivables within the scope of ASC 606 and those outside it.

Revenues	Three Months        to March 31
millions of Canadian dollars	2023	2022
Revenue from contracts with customers	10,520	10,864
Revenue outside the scope of ASC 606	1,537	1,793
Total	12,057	12,657

(c)Capital and exploration expenditures (CAPEX) include exploration expenses, additions to property, plant and equipment, additions to finance leases, additional investments and acquisitions and the company’s share of similar costs for equity companies. CAPEX excludes the purchase of carbon emission credits.