The Globe and Mail reports in its Saturday edition that Imperial Oil posted weaker than expected quarterly cash flow on Friday that weighed on shares, even as its profit beat expectations. A Reuters dispatch to The Globe reports that signs of slowing global inflation and optimism around China's economy have lifted fuel demand, while crude supplies are tight. Imperial Oil's cash flow per share, a measure of financial flexibility, was $2.65, about 2 per cent less than analysts expected, TD said in a note. The reason was an income-tax catch-up payment, BMO said. Imperial Oil's shares dipped 0.7 per cent while its Canadian peers' stocks rose 2 per cent to 4 per cent. Chief executive officer Brad Corson said record-high quarterly production at Kearl, Imperial Oil's biggest Alberta oil sands facility, and high refinery utilization rates boosted profits. The company's crude capacity utilization stood at 96 per cent, resulting in a total throughput of 417,000 thousand barrels per day (bpd) for the quarter, higher than 399,000 bpd a year earlier. Imperial said defining margins remained high due to low inventory of petroleum products. Imperial raised its quarterly dividend by 14 per cent to 50 cents per share.