Home ShipmanagementAccountancy Diana reports financial results for Q4 and year ended 31 Dec 2019

Diana reports financial results for Q4 and year ended 31 Dec 2019

by admin

..

DIANA SHIPPING INC. REPORTS FINANCIAL RESULTS  FOR THE fourth quarter AND year ended December 31, 2019

ATHENS, GREECE, February 21, 2020 – Diana Shipping Inc. (NYSE: DSX), (the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, today reported net loss of $14.0 million and net loss attributed to common stockholders of $15.4 million for the fourth quarter of 2019, including a $6.5 million impairment loss and $3.3 million loss from sale of vessels. This compares to net income of $2.9 million and net income attributed to common stockholders of $1.5 million reported in the fourth quarter of 2018.

Time charter revenues were $51.5 million for the fourth quarter of 2019, compared to $62.9 million for the same period of 2018. The decrease in time charter revenues was mainly due to decreased revenues due to the sale of two vessels in December 2018 and six vessels in 2019 and decreased average time charter rates that the Company achieved for its vessels during the quarter.

Net loss for 2019 amounted to $10.5 million and net loss attributed to common stockholders amounted to $16.3 million, including a $14.0 million impairment loss and $6.2 million loss from sale of vessels. This compares to net income and net income attributed to common stockholders of $16.6 million and $10.8 million, respectively, for 2018. Time charter revenues were $220.7 million for 2019, compared to $226.2 million for 2018.

 

Fleet Employment Profile (As of February 20, 2020)
Diana Shipping Inc.’s fleet is employed as follows:
  Vessel Sister Ships* Gross Rate (USD Per Day) Com** Charterers Delivery Date to Charterers*** Redelivery Date to Owners**** Notes
BUILT    DWT
14 Panamax Bulk Carriers
1 OCEANIS $10,350 5.00% Ausca Shipping Limited, Hong Kong 16-Nov-18 9-Jan-20 1
$9,200 5.00% Phaethon International Company AG 9-Jan-20 9-Jan-21 – 24-Mar-21
2001    75,211
2 PROTEFS A $11,000 3.75% Hudson Shipping Lines Incorporated 19-Sep-18 30-Nov-19
$9,900 5.00% Phaethon International Company AG 30-Nov-19 1-Jan-21 – 31-Mar-21
2004    73,630
3 CALIPSO A $15,400 5.00% Crystal Sea Shipping Co., Limited 1-Nov-19 25-Feb-20 2
2005    73,691
CLIO A $10,600 5.00% Ausca Shipping Limited, Hong Kong 10-Nov-18 5-Nov-19 3
2005    73,691
4 NAIAS A $10,000 5.00% Phaethon International Company AG 26-Jan-19 26-Dec-20 – 10-Apr-21
2006    73,546
5 ARETHUSA A $9,150 5.00% Ausca Shipping Limited, Hong Kong 2-May-19 2-May-20 – 2-Aug-20
2007     73,593
6 CORONIS $11,300 5.00% CJ International Italy Societa Per Azioni 10-Oct-18 10-Nov-19
$12,000 5.00% Dampskibsselskabet Norden A/S, Copenhagen 10-Nov-19 13-Dec-19
$5,300 5.00% Tongli Shipping Pte. Ltd. 3-Jan-20 5-Feb-20 4
$8,000 5.00% Koch Shipping Pte. Ltd., Singapore 20-Feb-20 5-Nov-20 – 4-Jan-21
2006    74,381
7 MELIA $12,000 5.00% United Bulk Carriers International S.A., Luxemburg 28-Apr-18 22-Nov-19
$10,750 5.00% Cargill International S.A., Geneva 13-Feb-20 3-Apr-20 5,6
2005     76,225
8 ARTEMIS $12,600 5.00% Ausca Shipping Limited, Hong Kong 17-Sep-18 28-Nov-19
$10,150 5.00% Koch Shipping Pte. Ltd., Singapore 28-Nov-19 13-Aug-20 – 28-Oct-20
2006     76,942
9 LETO $13,000 5.00% Uniper Global Commodities SE, Düsseldorf 31-May-19 1-May-20 – 1-Jul-20 7
2010     81,297

 

10 SELINA B $12,250 5.00% BG Shipping Co., Limited, Hong Kong 6-Feb-18 15-Jul-19
$11,750 5.00% Ausca Shipping Limited, Hong Kong 15-Jul-19 15-Feb-20 8, 9
2010     75,700
11 MAERA B $9,450 5.00% Glencore Agriculture B.V., Rotterdam 27-Mar-19 10-Apr-20 – 10-Jul-20
2013     75,403
12 ISMENE $12,125 5.00% Koch Shipping Pte. Ltd., Singapore 12-Dec-18 10-Jan-20
$10,800 5.00% Phaethon International Company AG 10-Jan-20 10-Feb-21 – 25-Apr-21
2013     77,901
13 CRYSTALIA C $10,500 5.00% Glencore Agriculture B.V., Rotterdam 2-Mar-19 2-May-20 – 2-Aug-20
2014    77,525
14 ATALANDI C $12,250 5.00% Uniper Global Commodities SE, Düsseldorf 9-Jul-19 9-Jun-20 – 24-Aug-20
2014    77,529
5 Kamsarmax Bulk Carriers
15 MAIA D $13,300 5.00% Glencore Agriculture B.V., Rotterdam 12-Nov-18 31-Jan-20 10
$11,200 5.00% Aquavita International S.A. 31-Jan-20 31-Mar-21 – 15-Jun-21
2009     82,193
16 MYRSINI D $12,750 5.00% Glencore Agriculture B.V., Rotterdam 22-Dec-18 4-Dec-19
$11,500 5.00% Ausca Shipping Limited, Hong Kong 4-Dec-19 4-Jan-21 – 19-Mar-21
2010     82,117
17 MEDUSA D $14,000 4.75% Cargill International S.A., Geneva 3-Sep-18 15-Nov-19
$11,000 4.75% 16-Nov-19 1-Oct-20 – 16-Dec-20
2010     82,194
18 MYRTO D $14,000 4.75% Cargill International S.A., Geneva 18-Jul-19 3-Apr-20 – 18-Jun-20
2013     82,131
19 ASTARTE $14,250 5.00% Glencore Agriculture B.V., Rotterdam 16-Oct-18 18-Jan-20
$11,750 5.00% Aquavita International S.A. 18-Jan-20 18-Mar-21 – 2-Jun-21
2013     81,513
5 Post-Panamax Bulk Carriers
20 ALCMENE $11,500 5.00% BG Shipping Co., Limited, Hong Kong 21-Nov-18 16-Nov-19
$9,500 5.00% Oriental Bulk Shipping PTE. LTD 16-Nov-19 10-Jan-20 11
2010     93,193
21 AMPHITRITE E $12,750 5.00% Uniper Global Commodities SE, Düsseldorf 27-Jan-19 27-Mar-20 – 27-Jun-20
2012     98,697
22 POLYMNIA E $16,000 4.75% Cargill International S.A., Geneva 9-Jul-18 15-Nov-19
$11,000 4.75% 15-Nov-19 15-Oct-20 – 30-Dec-20
2012    98,704
23 ELECTRA F $13,500 5.00% Uniper Global Commodities SE, Düsseldorf 19-Oct-18 18-Nov-19
$10,250 5.00% Oldendorff Carriers GMBH & Co. KG, Lübeck 21-Nov-19 21-Oct-20 – 21-Dec-20
2013    87,150
24 PHAIDRA F $10,800 5.00% Uniper Global Commodities SE, Düsseldorf 11-Apr-19 27-May-20 – 26-Aug-20
2013    87,146
14 Capesize Bulk Carriers
25 NORFOLK $13,250 5.00% SwissMarine Services S.A., Geneva 1-Dec-17 2-Nov-19
$17,750 5.00% Koch Shipping Pte. Ltd., Singapore 2-Nov-19 20-Feb-20 8
2002    164,218
26 ALIKI $18,000 5.00% SwissMarine Services S.A., Geneva 9-Apr-18 23-Jan-20 11
2005    180,235
27 BALTIMORE $15,000 5.00% Koch Shipping Pte. Ltd., Singapore 19-May-19 4-Dec-20 – 3-Apr-21 12
2005    177,243
28 SALT LAKE CITY $9,750 4.75% Cargill International S.A., Geneva 24-Mar-19 24-Nov-20 – 24-Feb-21
2005    171,810
29 SIDERIS GS G $15,350 5.00% Berge Bulk Shipping Pte. Ltd., Singapore 15-Dec-18 27-Feb-20 13
2006    174,186
30 SEMIRIO G $16,000 4.75% Cargill International S.A., Geneva 30-Jun-19 30-Sep-20 – 30-Dec-20
2007    174,261
31 BOSTON G $15,300 5.00% Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany 7-Jun-19 1-Apr-21 – 30-Jun-21
2007    177,828
32 HOUSTON G $10,125 5.00% Koch Shipping Pte. Ltd., Singapore 17-Feb-19 17-Apr-20 – 1-Aug-20 14
2009    177,729
33 NEW YORK G $15,500 5.00% Singapore Marine Pte. LTD., Singapore 7-Jun-19 7-Nov-20 – 22-Jan-21 15
2010    177,773
34 SEATTLE H $16,000 5.00% SwissMarine Services S.A., Geneva 24-Dec-18 24-Apr-20 – 24-Jul-20
2011     179,362
35 P. S. PALIOS H $17,500 5.00% SwissMarine Services S.A., Geneva 5-Jun-19 25-Feb-20 – 20-Mar-20 13
2013    179,134
36 G. P. ZAFIRAKIS I $17,000 5.00% SwissMarine Services S.A., Geneva 31-Dec-18 31-May-20 – 31-Aug-20
2014    179,492
37 SANTA BARBARA I $20,250 4.75% Cargill International S.A., Geneva 24-Apr-18 9-Dec-19 16
$17,250 5.00% Pacbulk Shipping Pte. Ltd., Singapore 28-Dec-19 28-Dec-20 – 28-Feb-21
2015     179,426
38 NEW ORLEANS $15,000 4.75% Cargill International S.A., Geneva 10-Apr-19 26-Jul-20 – 25-Nov-20
2015    180,960

 

4 Newcastlemax Bulk Carriers
39 LOS ANGELES J $13,250 5.00% SwissMarine Services S.A., Geneva 6-Mar-19 6-Jun-20 – 6-Sep-20
2012    206,104
40 PHILADELPHIA J $20,000 5.00% Koch Shipping Pte. Ltd., Singapore 18-Jun-18 3-Feb-20
$14,500 5.00% BHP Billiton Freight Singapore Pte. Ltd 5-Feb-20 5-Apr-21 – 5-Jul-21
2012    206,040
41 SAN FRANCISCO K $16,000 5.00% Koch Shipping Pte. Ltd., Singapore 5-Mar-19 5-Oct-20 – 20-Jan-21
2017   208,006
42 NEWPORT NEWS K $16,500 5.00% SwissMarine Services S.A., Geneva 25-Feb-19 25-Jun-20 – 25-Sep-20
2017   208,021
* Each dry bulk carrier is a “sister ship”, or closely similar, to other dry bulk carriers that have the same letter.
** Total commission percentage paid to third parties.
*** In case of newly acquired vessel with time charter attached, this date refers to the expected/actual date of delivery of the vessel to the Company.
**** Range of redelivery dates, with the actual date of redelivery being at the Charterers’ option, but subject to the terms, conditions, and exceptions of the particular charterparty.
1 Vessel off hire for drydocking from May 27, 2019 to July 4, 2019.
2 Redelivery date based on an estimated time charter trip duration of about 116 days.
3 “Clio” sold and delivered to her new Owners on November 21, 2019.
4 Charter included a one time gross ballast bonus payment of US$56,000.
5 Charter includes a one time gross ballast bonus payment of US$107,500.
6 Relivery date based on an estimated time charter trip duration of about 50 days.
7 Vessel off hire for drydocking from December 16, 2019 to February 10, 2020.
8 Currently without an active charterparty.
9 Ausca Shipping Limited has agreed to compensate the owners for the early redelivery of the vessel until the minimum agreed redelivery date, February 15, 2020.
10 Vessel off hire for drydocking from August 27, 2019 to October 6, 2019.
11 Currently without an active charterparty. Vessel on scheduled drydocking.
12 Vessel off hire for drydocking for about 40.8 days.
13 Based on latest information.
14 Vessel off hire for drydocking from November 14, 2019 to December 10, 2019.
15 Vessel currently off hire for drydocking.
16 Vessel for scheduled drydocking from December 12, 2019 to December 28, 2019.

 

Summary of Selected Financial & Other Data (unaudited)
    Three months ended December 31,   Year ended December 31,
    2019   2018   2019   2018
 
STATEMENT OF OPERATIONS DATA (in thousands of US Dollars)
  Time charter revenues $ 51,508 $ 62,874 $ 220,728 $ 226,189
  Voyage expenses 4,488 2,747 13,542 7,405
  Vessel operating expenses 23,368 25,210 90,600 95,510
  Net income/(loss) (13,981) 2,908 (10,535) 16,580
  Net income/(loss) attributed to common stockholders (15,423) 1,466 (16,304) 10,811
FLEET DATA
Average number of vessels 42.6 49.5 45.0 49.9
Number of vessels 42.0 48.0 42.0 48.0
Weighted average age of vessels 9.5 9.1 9.5 9.1
Ownership days 3,915 4,554 16,442 18,204
Available days 3,834 4,445 16,192 17,964
Operating days 3,716 4,405 15,971 17,799
Fleet utilization 96.9% 99.1% 98.6% 99.1%
AVERAGE DAILY RESULTS
Time charter equivalent (TCE) rate (1) $ 12,264 $ 13,527 $ 12,796 $ 12,179
Daily vessel operating expenses (2) $ 5,969 $ 5,536 $ 5,510 $ 5,247

___________________

(1)          Time charter equivalent rates, or TCE rates, are defined as our time charter revenues less voyage expenses during a period divided by the number of our available days during the period, which is consistent with industry standards.  Voyage expenses include port charges, bunker (fuel) expenses, canal charges and commissions.  TCE is a non-GAAP measure.  TCE rate is a standard shipping industry performance measure used primarily to compare daily earnings generated by vessels on time charters with daily earnings generated by vessels on voyage charters, because charter hire rates for vessels on voyage charters are generally not expressed in per day amounts while charter hire rates for vessels on time charters are generally expressed in such amounts.

(2)          Daily vessel operating expenses, which include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance, the costs of spares and consumable stores, tonnage taxes and other miscellaneous expenses, are calculated by dividing vessel operating expenses by ownership days for the relevant period.

Conference Call and Webcast Information

The Company’s management will conduct a conference call and simultaneous Internet webcast to review these results at 9:00 A.M. (Eastern Time) on Friday, February 21, 2020.

Investors may access the webcast by visiting the Company’s website at www.dianashippinginc.com, and clicking on the webcast link. The conference call also may be accessed by telephone by dialing 1-877-407-8291 (for U.S.-based callers) or 1-201-689-8345 (for international callers), and asking the operator for the Diana Shipping Inc. conference call.

A replay of the webcast will be available soon after the completion of the call and will be accessible for 30 days on www.dianashippinginc.com. A telephone replay also will be available for 30 days by dialing 1-877-660-6853 (for U.S.-based callers) or 1-201-612-7415 (for international callers), and providing the Replay ID number 13698627.

About the Company

Diana Shipping Inc. is a global provider of shipping transportation services through its ownership of dry bulk vessels. The Company’s vessels are employed primarily on medium to long-term time charters and transport a range of dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “plan,” “potential,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, Company management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although the Company believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies that are difficult or impossible to predict and are beyond the Company’s control, the Company cannot assure you that it will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for dry bulk shipping capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessel breakdowns and instances of off-hires and other factors. Please see the Company’s filings with the U.S. Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

(See financial tables attached)

DIANA SHIPPING INC.
FINANCIAL TABLES
Expressed in thousands of U.S. Dollars, except share and per share data
                   
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS)
    Three months ended December 31,   Year ended December 31,
    2019   2018   2019   2018
  (audited)
REVENUES:      
Time charter revenues $ 51,508 $ 62,874 $ 220,728 $ 226,189
EXPENSES:
Voyage expenses 4,488 2,747 13,542 7,405
Vessel operating expenses 23,368 25,210 90,600 95,510
Depreciation and amortization of deferred charges 12,063 13,001 48,904 52,206
General and administrative expenses 7,819 8,995 28,601 29,518
  Management fees to related party 589 594 2,155 2,394
  Impairment loss 6,467 13,987
Loss from sale of vessels 3,336 1,448 6,171 1,448
Other gain (298) (245) (854) (542)
Operating income/(loss) $ (6,324) $ 11,124 $ 17,622 $ 38,250
OTHER INCOME / (EXPENSES):
Interest and finance costs (6,722) (9,039) (29,432) (30,506)
Interest and other income 602 839 2,858 8,822
Gain/(loss) from investments (1,537) (16) (1,583) 14
  Total other expenses, net $ (7,657) $ (8,216) $ (28,157) $ (21,670)
 
Net income/(loss) $ (13,981) $ 2,908 $ (10,535) $ 16,580
Dividends on series B preferred shares (1,442) (1,442) (5,769) (5,769)
Net income/(loss) attributed to common stockholders (15,423) 1,466 (16,304) 10,811
Earnings/(loss) per common share, basic and diluted $ (0.17) $ 0.01 $ (0.17) $ 0.10
Weighted average number of common shares, basic 90,017,536 103,892,507 95,191,116 103,736,742
 
Weighted average number of common shares, diluted 90,017,536 105,150,906 95,191,116 104,715,883
Three months ended December 31, Year ended December 31,
2019   2018   2019   2018
           
Net income/(loss) $ (13,981) $ 2,908 $ (10,535) $ 16,580
Other comprehensive income/(loss) (Actuarial income/(loss)) (151) 17 (178) (7)
Comprehensive income/(loss) $ (14,132) $ 2,925 $ (10,713) $ 16,573

 

CONDENSED CONSOLIDATED BALANCE SHEET DATA  
(in thousands of U.S. Dollars)    
     
  2019 2018 *
ASSETS    (unaudited)
           
Cash and cash equivalents $ 107,288 $ 126,825
Other current assets 29,751 15,147
Vessels, net   882,297   991,403
Other fixed assets, net   22,077   22,425
Restricted cash, non-current   21,000   24,582
Investments in related parties   1,680   3,263
Other non-current assets 7,187 4,151
Total assets $ 1,071,280 $ 1,187,796
 
LIABILITIES AND STOCKHOLDERS’ EQUITY    
   
Long-term debt, net of deferred financing costs $ 474,951 $ 530,547
Other liabilities 26,265 29,565
Total stockholders’ equity 570,064 627,684
Total liabilities and stockholders’ equity $ 1,071,280 $ 1,187,796
* The balance sheet data have been derived from the audited consolidated financial statements at that date.

 

OTHER FINANCIAL DATA (unaudited)
    Three months ended December 31,   Year ended December 31,
    2019   2018   2019   2018
(audited)
Net cash provided by operating activities $ 5,407 $ 27,959 $ 49,882 $ 79,930
Net cash provided by investment activities 6,013 13,482 38,397 99,370
Net cash used in financing activities $ (32,486) $ (92,140) $ (111,398) $ (93,702)

You may also like

Leave a Comment