DryShips Posts Loss in Q1, Misses Ests - Analyst Blog

By
A A A

DryShips Inc. ( DRYS ) declared lackluster first-quarter 2014 financial results. Quarterly GAAP net loss came in at $34.6 million or 8 cents per share compared with a loss of $116.6 million or 30 cents per share in the year-ago quarter. However, loss per share of 4 cents compared unfavorably with the Zacks Consensus Estimate of a profit of 2 cents. Quarterly total revenue was $457.5 million, up 43.1% year over year. However, the figure lagged the Zacks Consensus Estimate of $489 million.

Quarterly total operating expenses stood at $257.8 million, up 24.8% year over year. This was mainly due to higher drilling rig operating expenses. Operating income in the reported quarter stood at $90.8 million compared with an operating loss of $44.9 million in the prior-year quarter. Adjusted EBITDA was $201.2 million as against $112 million in the year-ago quarter.

At the end of the first quarter of 2014, DryShips had $887.6 million of cash & cash equivalents and $5,976.3 million of outstanding debt on its balance sheet compared with $739.3 million of cash and cash equivalents and $5,568 million of outstanding debt at the end of 2013. The debt-to-capitalization ratio stood at 0.60 compared with 0.59 at the end of 2013.

Drybulk Carrier Segment

The Drybulk Carrier segment generated $53.4 million in revenues, up 17.4% year over year. Time charter equivalent revenues totaled $45.3 million, up 22.8% from the year-ago quarter. Time charter equivalent TCE rate was $13,564, up 19% year over year. Total voyage days for fleet stood at 3,338, up 3% from the year-ago quarter.  

Oil Tanker Segment

The Tanker segment generated $43.3 million in revenues, up 55.8% year over year. Time charter equivalent revenues came in at $22.3 million, up by a whopping 106.5% from the prior-year quarter. Time charter equivalent TCE rate was $24,781, up 93.7% year over year. Total voyage days for fleet grossed 900, up 6.1% year over year.  

Offshore Drilling Segment

Quarterly revenues from Drilling contracts totaled approximately $360.8 million, up 46.4% year over year. At the end of the first quarter, this segment had an order backlog of $5 billion.  

Other Stocks to Consider

DryShips currently has a Zacks Rank #4 (Sell). Other better-ranked stocks in the shipping industry are Global Ship Lease, Inc. ( GSL ), Kirby Corporation ( KEX ) and Nordic American Tankers Limited ( NAT ). All three stocks currently sport a Zacks Rank #2 (Buy).


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

DRYSHIPS INC (DRYS): Free Stock Analysis Report

GLOBAL SHIP LS (GSL): Get Free Report

KIRBY CORP (KEX): Free Stock Analysis Report

NORDIC AMERICAN (NAT): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Stocks

Referenced Stocks: DRYS , GSL , KEX , NAT

Zacks.com

Zacks.com

More from Zacks.com:

Related Videos

Stocks

Referenced

Most Active by Volume

112,007,213
  • $14.79 ▼ 2.12%
79,492,830
  • $17.05 ▲ 0.24%
63,236,947
  • $56.63 ▲ 7.54%
55,553,482
  • $3.41 ▼ 3.94%
53,662,885
  • $14.19 ▼ 3.47%
52,606,858
  • $100.75 ▲ 0.64%
39,074,810
  • $4.84 ▼ 2.22%
38,681,912
  • $25.62 ▲ 0.79%
As of 9/30/2014, 04:15 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com