Diana Shipping Inc. Reports Financial Results for the Second Quarter and Six Months Ended June 30, 2017

Wednesday, 26. July 2017 14:48

ATHENS, Greece, July 26, 2017 (GLOBE NEWSWIRE) -- Diana Shipping Inc. (NYSE:DSX), (the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, today reported a net loss of $23.8 million and net loss attributed to common stockholders of $25.3 million for the second quarter of 2017. This compares to a net loss of $31.3 million and  net loss attributed to common stockholders of $32.7 million for the second quarter of 2016.

Time charter revenues were $37.8 million for the second quarter of 2017, compared to $28.3 million for the same quarter of 2016. The increase in time charter revenues was due to increased average time charter rates achieved for the Company’s vessels during the quarter and increased revenues resulting from the enlargement of the fleet.

Net loss and net loss attributed to common stockholders for the six months ended June 30, 2017 amounted to $50.3 million and $53.2 million, respectively. This compares to a net loss and net loss attributed to common stockholders of $62.7 million and $65.6 million, respectively, for the same period of 2016. Time charter revenues were $69.0 million for the six months ended June 30, 2017, compared to $59.1 million for the same period of 2016.


 Fleet Employment Profile (As of July 24, 2017)
 Diana Shipping Inc.’s fleet is employed as follows:
         
 VesselSister Ships*Gross Rate (USD Per Day)Com**CharterersDelivery Date to Charterers***Redelivery Date to Owners****Notes
 BUILT  DWT
 23 Panamax Bulk Carriers
1DANAEA$9,0004.75%Cargill International S.A., Geneva8-Mar-1724-May-171
   $7,7505.00%Phaethon International Company AG24-May-179-Oct-17 - 29-Dec-17 
 2001  75,106       
2DIONEA$7,2005.00%Caravel Shipping Limited, Hong Kong3-Feb-174-May-17 
   $7,0505.00%4-May-173-Nov-17 - 18-Feb-18 
 2001  75,172       
3NIREFSA$6,5005.00%Raffles Shipping International Pte. Ltd., Singapore14-Feb-175-May-17 
   $9,4005.00%Jaldhi Overseas Pte. Ltd., Singapore5-May-175-Jun-18 - 5-Sep-18 
 2001  75,311       
4ALCYONA$5,0005.00%Dampskibsselskabet Norden A/S, Copenhagen4-May-1620-Jul-17 
   $8,8005.00%Hudson Shipping Lines Incorporated20-Jul-1720-Jul-18 - 20-Oct-18 
 2001  75,247       
5TRITONA$6,3005.00%Windrose SPS Shipping and Trading S.A., Geneva25-Oct-164-Jun-17 
   $6,5005.00%Ausca Shipping Limited, Hong Kong8-Jun-178-Jul-18 - 23-Oct-18 
 2001  75,336       
6OCEANISA$5,2005.00%Nidera S.P.A., Roma30-Jun-1630-May-17 
   $7,0005.00%Ausca Shipping Limited, Hong Kong30-May-1730-Jul-18 - 14-Nov-18 
 2001  75,211       
7THETISB$5,1505.00%Transgrain Shipping B.V., Rotterdam19-Jun-1614-Jul-17 
   $8,3505.00%Ausca Shipping Limited, Hong Kong14-Jul-1714-Jul-18 - 14-Oct-18 
 2004  73,583       
8PROTEFSB$4,5005.00%Transgrain Shipping B.V., Rotterdam23-Feb-162-Jun-172
   $7,9005.00%Hudson Shipping Lines Incorporated24-Jun-1724-Jun-18 - 9-Oct-18 
 2004  73,630       
9CALIPSO $9,0005.00%Transgrain Shipping B.V., Rotterdam14-Mar-1730-Jan-18 - 14-May-18 
 2005  73,691       
10CLIOB$5,3505.00%Transgrain Shipping B.V., Rotterdam22-May-169-Jul-17 
   $8,5505.00%Phaethon International Company AG9-Jul-179-Aug-18 - 9-Nov-18 
 2005  73,691       
11NAIASB$7,5005.00%Glencore Agriculture B.V., Rotterdam27-Dec-161-Aug-17 - 11-Nov-173
 2006  73,546       
12ARETHUSAB$7,2005.00%Noble Resources International Pte. Ltd., Singapore23-Jan-1723-Nov-17 - 23-Mar-184
 2007  73,593       
13ERATOC$4,6505.00%Glencore Grain B.V., Rotterdam26-Mar-1625-May-17 
   $7,2505.00%Phaethon International Company AG25-May-1710-Oct-17 - 30-Dec-17 
 2004  74,444       
14CORONISC$4,7505.00%Narina Maritime Ltd19-Mar-1616-May-17 
   $9,0005.00%16-May-1716-Apr-18 - 16-Jul-18 
 2006  74,381       
15MELITED$8,0005.00%Uniper Global Commodities SE, Düsseldorf6-Dec-162-Aug-17 - 6-Oct-173
 2004  76,436       
16MELIAD$9,5005.00%Nidera S.P.A., Roma19-Mar-174-Feb-18 - 4-May-18 
 2005  76,225       
17ARTEMIS $5,3505.00%Bunge S.A., Geneva7-Jun-168-Jul-17 
   $9,0005.00%Ausca Shipping Limited, Hong Kong8-Jul-178-Jul-18 - 8-Oct-18 
 2006  76,942       
18LETO $7,7505.00%Glencore Agriculture B.V., Rotterdam29-Dec-1629-Sep-17 - 29-Jan-18 
 2010  81,297       
  E$4,5005.00%BG Shipping Co., Limited, Hong Kong24-Jan-1723-Feb-17 
19SELINA $7,1005.00%23-Feb-1724-Oct-17 - 8-Feb-18 
 2010  75,700       
20MAERAE$4,5005.00%United Bulk Carriers International S.A., Luxembourg10-May-1630-Apr-175
   $8,5005.00%Transgrain Shipping B.V., Rotterdam15-Jun-1714-Aug-176,7
 2013  75,403       
21ISMENE $5,8505.00%Glencore Grain B.V., Rotterdam7-Aug-1629-Jul-17 - 22-Sep-173
 2013   77,901       
22CRYSTALIAF$6,2505.00%SwissMarine Services S.A., Geneva28-Jun-162-Aug-17  21-Oct-173,8
 2014  77,525       
23ATALANDIF$5,3005.00%Glencore Grain B.V., Rotterdam26-Mar-1626-Nov-17 - 26-Apr-18 
 2014   77,529       
 5 Kamsarmax Bulk Carriers
24MAIAG$7,5005.00%RWE Supply & Trading GmbH, Essen13-Nov-1529-Jul-173,9
 2009  82,193       
25MYRSINIG$5,5505.00%RWE Supply & Trading GmbH, Essen9-Mar-168-Jun-17 
   $8,6505.00%8-Jun-1731-Aug-18  31-Dec-18 
 2010  82,117       
26MEDUSAG$6,3005.00%Quadra Commodities S.A., Geneva7-Apr-166-Jul-17 
   $10,0004.75%Cargill International S.A., Geneva6-Jul-176-Jul-18 - 6-Oct-18 
 2010   82,194       
27MYRTOG$8,0004.75%Cargill International S.A., Geneva17-Jan-1717-Jan-18 - 17-Apr-18 
 2013  82,131       
28ASTARTE $9,0005.00%Glencore Agriculture B.V., Rotterdam12-Jun-1712-Aug-18 - 12-Nov-1810
 2013  81,513       
 5 Post-Panamax Bulk Carriers
29ALCMENE $6,7505.00%ADM International Sarl, Rolle, Switzerland13-May-151-Jun-17 
   $8,0004.75%Cargill International S.A., Geneva8-Jun-178-Jul-18 - 23-Oct-18 
 2010  93,193       
30AMPHITRITEH$7,7005.00%Bunge S.A., Geneva15-Jul-1531-Jul-17 - 30-Aug-173
 2012  98,697       
31POLYMNIAH$10,1004.75%Cargill International S.A., Geneva15-Mar-1731-Mar-18 - 15-Jul-1811
 2012  98,704       
32ELECTRAI$8,0005.00%Uniper Global Commodities SE, Düsseldorf11-Jun-1711-Jul-18 - 11-Nov-1812
 2013  87,150       
33PHAIDRAI$7,7505.00%Jera Trading Singapore Pte. Ltd.19-May-1719-Sep-17 - 3-Jan-18 
 2013  87,146       
 14 Capesize Bulk Carriers
34NORFOLK $12,0005.00%Trafigura Maritime Logistics Pte. Ltd., Singapore26-Apr-1711-Oct-17 - 26-Dec-17 
 2002  164,218       
35ALIKI $10,3005.00%SwissMarine Services S.A., Geneva14-Feb-1730-Dec-17 - 14-Apr-18 
 2005  180,235       
36BALTIMORE $11,3004.75%Cargill International S.A., Geneva16-Feb-1716-Mar-18 - 1-Jul-18 
 2005  177,243       
37SALT LAKE CITY $9,0005.00%Uniper Global Commodities SE, Düsseldorf20-Jan-1720-Jan-18 - 20-May-18 
 2005  171,810       
38SIDERIS GSJ$6,5005.00%Rio Tinto Shipping (Asia) Pte., Ltd., Singapore22-Dec-1521-Jun-17 
   $13,0005.00%21-Jun-1721-Jul-18 - 21-Nov-18 
 2006  174,186       
39SEMIRIOJ$4,8005.00%SwissMarine Services S.A., Geneva6-Feb-1621-May-1713
   $14,1505.00%Koch Shipping Pte. Ltd., Singapore21-May-1721-May-18 - 21-Sep-18 
 2007  174,261       
40BOSTONJ$13,0004.75%Clearlake Shipping Pte. Ltd., Singapore9-Aug-151-Aug-17 - 24-Oct-173,14,15
 2007  177,828       
41HOUSTONJ$10,0005.00%SwissMarine Services S.A., Geneva17-Feb-172-Mar-18 - 17-May-1816
 2009   177,729       
42NEW YORKJ$5,2005.00%Rio Tinto Shipping (Asia) Pte., Ltd., Singapore3-Feb-1623-Apr-17 
   $14,4505.00%Koch Shipping Pte. Ltd., Singapore23-Apr-178-Oct-17 - 29-Dec-17 
 2010  177,773       
43SEATTLEK$11,7005.00%Koch Shipping Pte. Ltd., Singapore8-Feb-178-Apr-18 - 23-Jul-18 
 2011  179,362       
44P. S. PALIOSK$10,5505.00%Koch Shipping Pte. Ltd., Singapore27-Jan-1727-Jan-18 - 11-Jun-1817
 2013  179,134       
45G. P. ZAFIRAKISL$6,5005.00%RWE Supply & Trading GmbH, Essen14-Feb-1631-Jul-17 - 14-Aug-173
 2014  179,492       
46SANTA BARBARAL$12,0004.75%Cargill International S.A., Geneva24-Jan-179-Jan-18 - 24-Apr-18 
 2015  179,426       
47NEW ORLEANS $11,2505.00%Koch Shipping Pte. Ltd., Singapore10-Dec-1610-Dec-17 - 10-Apr-18 
 2015  180,960       
 4 Newcastlemax Bulk Carriers
48LOS ANGELESMBCI_2014 5TCs AVG + 14%5.00%SwissMarine Services S.A., Geneva22-Jan-177-Feb-18 - 22-Apr-18 
 2012  206,104       
49PHILADELPHIAM$15,5005.00%Koch Shipping Pte. Ltd., Singapore14-Mar-1714-Jan-18 - 29-Apr-18 
 2012  206,040       
50SAN FRANCISCON$11,7505.00%Koch Shipping Pte. Ltd., Singapore5-Jan-175-Jan-18 - 20-May-18 
 2017  208,006       
51NEWPORT NEWSNBCI_2014 5TCs AVG + 24%5.00%SwissMarine Services S.A., Geneva10-Jan-1710-Nov-18 - 10-Mar-19 
 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 Charter included a one time gross ballast bonus payment of US$400,000.
2 Vessel on scheduled drydocking from June 2, 2017 to June 24, 2017.
3 Based on latest information.
4 Vessel off-hire from June 27, 2017 to July 1, 2017.
5 Charterers have agreed to pay the BPI 4 T/C Average as published by The Baltic Exchange on 28th April 2017 and in any case not below the current rate of USD 4,500 for
the excess period commencing April 28, 2017.
6 Charter includes a one time gross ballast bonus payment of US$350,000.
7 Redelivery date based on an estimated time charter trip duration of about 60 days.
8 Vessel off-hire for drydocking from March 2, 2017 to April 26, 2017.
9 Charterers have agreed to pay the weighted average of the 4 T/C routes on 14th July 2017 plus 20% for the excess period commencing July 13, 2017.
10 Vessel on scheduled drydocking from May 26, 2017 to June 12, 2017.
11 Vessel off-hire for drydocking from April 30, 2017 to May 14, 2017.
12 Vessel on scheduled drydocking from May 29, 2017 to June 11, 2017.
13 Vessel on scheduled drydocking from March 16, 2017 to April 2, 2017.
14 Clearlake Shipping Pte. Ltd., Singapore is a member of the Gunvor Group.
15 Vessel off-hire for drydocking from June 1, 2017 to June 23, 2017.
16 Charterers will pay US$5,150 per day for the first 15 days of the charter period.
17 Vessel off-hire for drydocking from July 9, 2017 to July 20, 2017.



Summary of Selected Financial & Other Data (unaudited)
   Three months ended June 30, Six months ended June 30,
   2017
 2016
 2017
 2016
          
STATEMENT OF OPERATIONS DATA (in thousands of US Dollars)
 Time charter revenues$37,752 $28,326 $69,040 $59,118 
 Voyage expenses 2,059  3,562  3,119  10,318 
 Vessel operating expenses 22,324  21,933  43,640  43,874 
 Net loss (23,819) (31,284) (50,290) (62,670)
 Net loss attributed to common stockholders (25,261) (32,726) (53,174) (65,554)
FLEET DATA
 Average number of vessels 49.4  45.6  48.6  44.4 
 Number of vessels 51.0  46.0  51.0  46.0 
 Weighted average age of vessels 7.9  7.7  7.9  7.7 
 Ownership days 4,491  4,147  8,804  8,078 
 Available days 4,367  4,125  8,643  8,005 
 Operating days 4,271  4,099  8,472  7,943 
 Fleet utilization 97.8% 99.4% 98.0% 99.2%
AVERAGE DAILY RESULTS
 Time charter equivalent (TCE) rate (1)$8,173 $6,003 $7,627 $6,096 
 Daily vessel operating expenses (2)$4,971 $5,289 $4,957 $5,431 

_____________________

(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 Wednesday, July 26, 2017.

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 13665613.

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, our management's examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors, other important factors that, in our 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 our operating expenses, including bunker prices, drydocking and insurance costs, the market for our 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 our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties.

(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 LOSS
          
   Three months ended June 30, Six months ended June 30,
   2017
 2016
 2017
 2016
          
REVENUES:        
 Time charter revenues$37,752 $28,326 $69,040 $59,118 
          
EXPENSES:        
 Voyage expenses 2,059  3,562  3,119  10,318 
 Vessel operating expenses 22,324  21,933  43,640  43,874 
 Depreciation and amortization of deferred
charges
 21,646  20,309  42,719  40,314 
 General and administrative expenses 6,651  6,465  12,438  12,743 
 Management fees to related party 440  360  861  720 
 Other income/(expenses) 176  (86) 245  75 
 Operating loss (15,544) (24,217) (33,982) (48,926)
          
OTHER INCOME / (EXPENSES):        
 Interest and finance costs (6,687) (5,586) (13,076) (10,611)
 Interest and other income 928  541  1,568  1,097 
 Loss from equity method investments (2,516) (2,022) (4,800) (4,230)
 Total other expenses, net (8,275) (7,067) (16,308) (13,744)
          
Net loss$(23,819)$(31,284)$(50,290)$(62,670)
          
Dividends on series B preferred shares (1,442) (1,442) (2,884) (2,884)
          
Net loss attributed to common stockholders (25,261) (32,726) (53,174) (65,554)
          
Loss per common share, basic and diluted$(0.26)$(0.41)$(0.60)$(0.82)
          
Weighted average number of common shares,
basic and diluted
 96,691,952  80,534,351  89,015,484  80,287,498 
          
   Three months ended June 30, Six months ended June 30,
   2017
 2016
 2017
 2016
          
Net loss$(23,819)$(31,284)$(50,290)$(62,670)
Other comprehensive loss (Actuarial loss) (7) (8) (14) (15)
Comprehensive loss$(23,826)$(31,292)$(50,304)$(62,685)



CONDENSED CONSOLIDATED BALANCE SHEET DATA   
(in thousands of U.S. Dollars)  
       
   June 30, 2017  December 31, 2016*
ASSETS (unaudited)  
       
Cash and cash equivalents$42,273$98,142
Other current assets 18,295 17,174
Advances for vessels under construction and acquisitions and other vessel costs - 46,863
Vessels' net book value 1,536,345 1,403,912
Other fixed assets, net 22,849 23,114
Restricted cash 25,500 23,000
Due from related parties, non-current 82,617 45,417
Equity method investments 4,214 6,014
Other non-current assets 7,116 5,027
 Total assets $1,739,209$1,668,663
      
LIABILITIES AND STOCKHOLDERS' EQUITY    
      
Long-term debt, net of deferred financing costs$633,602$598,181
Other liabilities 20,321 13,893
Total stockholders' equity 1,085,286 1,056,589
 Total liabilities and stockholders' equity $1,739,209$1,668,663
      
*The balance sheet data have been derived from the audited consolidated financial statements at that date.



OTHER FINANCIAL DATA (unaudited)
   Three months ended June 30,  Six months ended June 30,
   2017
 2016 
 2017
 2016 
          
Net Cash provided by / (used in) operating activities$3,513 $(4,192)$2,921 $(13,625)
Net Cash used in investing activities (107,691) (19,010) (165,712) (45,558)
Net Cash provided by financing activities$63,749 $809 $109,422 $14,603 

 

Corporate Contact:
Ioannis Zafirakis
Director, Chief Operating Officer and Secretary
Telephone: + 30-210-9470100
Email: izafirakis@dianashippinginc.com
Website: www.dianashippinginc.com
                                                       
Investor and Media Relations:
Edward Nebb
Comm-Counsellors, LLC
Telephone: + 1-203-972-8350
Email: enebb@optonline.net

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