logo
Share SHARE
FONT-SIZE Plus   Neg

DryShips Loss Widens, Shares Down 8% - Update

Operators of dry bulk carriers DryShips Inc. (DRYS: Quote), Wednesday reported a wider loss for the fourth quarter as revenues declined. Loss for the quarter was wider than what analysts expected, while revenues also fell short of expectations. The company's shares were down about eight percent in extended trade on the Nasdaq.

Chief Executive George Economou said, "We continue to be bearish about the short-term performance of the shipping markets. Both tanker and drybulk spot charter rates continue to hover around historic lows. Unfortunately this comes at a time when most of our lucrative legacy charters expire."

In the Drybulk business, time charter equivalent rate, a measure of the average daily revenue performance of a vessel on a per voyage basis, plunged to $10,547 from $25,306 last year. Tanker business' time charter equivalent rate was $10,062, down from 10,077 last year.

DryShips' total revenues dropped to $282.9 million from $328.2 million last year. Eight analysts had consensus revenue estimate of $294.3 million for the quarter

Voyage revenues plunged to $53.1 million from $90.5 million last year, while revenues from drilling contracts decreased to $229.8 million from $237.7 million last year.

The Athens, Greece-based marine transporter and offshore driller's loss widened to $129.8 million or $0.34 per share from $6.2 million or $0.02 last year.

Excluding special items, DryShips' net loss for the quarter was $59.9 million or $0.15 per share. Analysts polled by Thomson Reuters expected a loss of $0.11 per share for the quarter. Analysts' estimates typically exclude special items.

The quarter's results included costs associated with the 10-year class survey for the Eirik Raude of $43.9 million and loss on the sale of the newbuilding tankers Esperona and Blanca of $41.3 million.

DRYS closed Wednesday's trading at $1.98, up $0.01 or 0.51%. The stock slipped $0.15 or 7.58% in after hours trade.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
US Steel Corp. (X) Tuesday said it will "adjust operations" and temporarily idle a part of its Minntac plant in Mt. Iron, Minnesota, effective June 1. According to reports, the move would see about 700 employees laid off. The company said the decision was due to its current inventory levels and ongoing... Hewlett-Packard Co. (HPQ) has filed a lawsuit against Michael Lynch, the co-founder of Autonomy Corp., and its former Financial Chief Sushovan Hussain for a whopping $5.1 billion alleging that the executives misrepresented the financial situation of Autonomy. An HP's spokeswoman confirmed that the... Nine acres of green grass with 400 trees and a half-mile-long walk way. We are not talking about any park, but the expansive rooftop of Facebook's new office. The 430,000 square feet office is a single room and it might be the largest open floor plan in the world.
comments powered by Disqus
RELATED NEWS
Trade DRYS now with 
Follow RTT