Diamond Offshore publishes its first financial statements since re-listing on the NYSE

Global deepwater drilling company Diamond Offshore has released its first set of quarterly financial results since relisting on the New York Stock Exchange.

The Houston-based company was delisted two years ago after filing voluntary reorganization petitions in Chapter 11 bankruptcy proceedings; it later exited Chapter 11 in April 2021.

Bernie Wolford, Managing Director, said: “I am delighted that during the quarter we were able to re-list Diamond Offshore on the New York Stock Exchange and commence the West Auriga contract for BP. The company has a long and successful history in offshore drilling, and we look forward to the opportunities that come our way as the industry’s recovery unfolds.”

Financial results

The company posted a net loss of $34.3 million in the quarter ending March 31, 2022, compared to a loss of $124 million in the previous three months.

Drilling revenue was $150 million, compared to $184 million in the fourth quarter of 2021.

The drop in revenue is mainly due to the semi-submersible Ocean Apex, which was out of contract during the first quarter of 2022 but started working in Australia under a new contract in May 2022.

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Additionally, during the first quarter, the Ocean Patriot and Ocean Endeavor were both out of service for repairs, including a special investigation for the Ocean Patriot. Both rigs are now back under contract and working in the North Sea.

Diamond Offshore said it added $29 million in backlog during the first quarter, bringing the company’s total backlog as of April 1, 2022 to $1.2 billion, representing 15.6 years of work. .

Liquidity and prospects

As of March 31, 2022, the company had total liquidity of $388 million, consisting of $54 million of unrestricted liquidity and $334 million of available capacity on its revolving credit facility and senior drawdown notes. deferred.

Regarding the offshore drilling market, Wolford said: “We continue to see improvements in the moored, DP and drilling segments of the market.

“Drillship rates and utilization have improved and are at recent cycle highs, and we expect this trend to continue in the coming months.

“The moored segment has also improved; however, it has been at a more measured pace and more geographically diverse than that of the drillships.

“We are excited to have a strong backlog with price revision and new opportunities ahead of us in the quarters ahead. Customers continue to favor work rigs, and we believe Diamond Offshore is well positioned for the price revision cycle currently underway in the moored and rig segments.”

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