05:32 PM EDT, 07/31/2025 (MT Newswires) -- (Corrects financial and operating results to quarterly figures rather than the six-month results previously used.)

MEG Energy ( MEGEF ) after market close said its second-quarter profit rose despite lower output from its oil-sands operations, while it hiked its dividend by 10%.

The company, which is fending off a hostile takeover offer from Strathcona Resources (SCR.TO), said it earned $67 million, or $0.26 per share, down from $211 million, or $0.826, in the year-prior quarter.

Revenue fell 35% to $757 million from $1.16 billion, as bitumen production fell 38% to 63,502 barrels per day as the company was forced to temporarily suspend operations due to wildfires and oil prices weakened.

"We safely and successfully completed the largest planned turnaround in MEG's history in the second quarter, while prioritizing the safety of our workforce and communities during challenging wildfire conditions. We made meaningful progress advancing the Facility Expansion Project, including achieving key milestones during the turnaround, which will further unlock significant value from our world-class Christina Lake resource," chief executive Darlene Gates said.

MEG said it is raising its quarterly dividend 10% to $0.11 per share, with the first higher payment made Oct. 15 to shareholders of record on Sept.12.

The company also continued to press its shareholders to reject the Strathcona offer. It said it is launching a strategic review and its financial advisors have "begun an outreach to potential parties to solicit interest in an alternative transaction".

MEG shares closed down $0.26 to $27.31 on the Toronto Stock Exchange.