Suncor Energy Inc T.SU

Did SU pay back $3.6 billion and $1.8 billion? $5.4 billion?

[Clemxb7]

Suncor has confused messaging

So from the results: 

• In support of its debt reduction and annual capital allocation targets, the company reduced net debt by approximately $1.8 billion in the third quarter of 2022, excluding the impact of a $723 million unrealized foreign exchange loss on the revaluation of U.S. dollar denominated debt.

• Subsequent to the quarter, Suncor executed a debt tender offer and, as a result, repaid approximately $3.6 billion of its various notes below par. This structural reduction of long-term debt was executed during opportunistic market conditions and demonstrates the company's confidence in its business and commitment to reducing net debt.

[Clemxb7]

Suncor needs to hire someone who knows how to communicate/message. I just listened to the conference call. The answers to the questions would do a politician proud. Someone directly asked about where they were on debt and the answer was a word salad with no answer. The management team are a bunch of arrogant b's. No wonder the stock price has been the same for 15 years.

[Clemxb7]

 In the report they said net debt at the end of Q3 was $14.58 billion. They also state that after the close of Q3 they bought back $3.6 billion of their notes at a discount. $14.58 billion minus $3.6 billion = $11 billion! If true then they should be allocating 75% towards buybacks. But they don't say that explicitly.  As I said they don't know how to communicate. I think

[TheCrazyAcct]

This is my first post.  I have owned SU for a while and I have been following this board very closely.   Regarding net debt, lets assume that the $3.6B repayment came out of cash on October 1st.  Cash is included in the calculation of net debt.. therefore there is no impact to net debt. However, I am a little perplexed as total debt does not appear to have been reduced. 

[autofocus111]

Q3 Total Debt increased due to new short term debt issued and FX adjustments, but Net Debt dropped. >>> June 30 Total Debt 17369M Less Cash&Equiv 1670M Net Debt 15699M Sept 30 Total Debt 19243M Less Cash&Equiv 4659M Net Debt 14584M

[autofocus111]

TheCrazyAcct Just to add to this.... if USDCAD stabilizes here going forward, there won't be any new negative adjustments. Or they could actually reverse if the CAD strengthens as MigraineCall pointed out. It's a double-edged sword. FX trends tend to last many months, but when the US Fed does finally pivot, and if oil prices hold up until then and the Can govt doesn't announce big new

[Clemxb7]

"Sept 30 Total Debt 19243M Less Cash&Equiv 4659M" That’s a lot of cash. Maybe that’s what they used to buyback the $3.6 billion in notes? They made an offer in late September to buy back 2.75 billion in notes I believe. If they got back $3.6 billion in outstanding notes for $2.75 billion then that’s very good. However I think it's impossible to know what is going on based

[Experienced]

LOL Pretty much all of these things are the same.  Rehersed, pre-programmed analyst questions, and lawyers talking into the CEO's earpiece to make sure he doesn't say anything. These are the reasons that I stopped listening to them years ago and study the Q reports carefully and develop a relationship with senior people in the company so I can talk to them without lawyers and in

[PabloLafortune]

Ever since they started buying back shares instead of restoring the dividend (or reducing debt), I knew..... Thing is, Suncor is very very profitable.  Suncor generated $2.38 per share of free cash-flow in Q3 per me, the dividend is 47 cents. Draw your own conclusions if they don't increase the dividend.