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DryShips Inc. (DRYS - Analyst Report) declared mixed financial results for the second quarter of 2013. Quarterly GAAP net loss was $18.2 million or a loss of 5 cents per share, remaining same year over year. However, adjusted (excluding one-time charges) loss per share in the second quarter of 2013 was 8 cents, wider than the Zacks Consensus Estimate of a loss of 6 cents. Quarterly total revenue was $336 million, remaining almost same year over year but surpassed the Zacks Consensus Estimate of $328 million.

Quarterly total operating expenses were $297 million, up 3.8% year over year. This was mainly due to higher voyage expanse, higher vessel operating expenses and expenses for legal settlement. Operating income in the reported quarter was $39.1 million compared with $50 million in the prior-year quarter. Adjusted EBITDA was $112.3 million compared with $140.2 million in the prior-year quarter.

At the end of the first half of 2013, DryShips had $315.7 million of cash & cash equivalents and $4,436.2 million of outstanding debt on its balance sheet compared with $315.7 million of cash and cash equivalents and $4,241.8 million of outstanding debt at the end of 2012. At the end of the reported quarter, the debt-to-capitalization ratio was 0.53 compared with 0.52 at the end of 2012.

Drybulk Carrier Segment

The Drybulk Carrier segment generated $48.3 million in revenues, down 22.7% year over year. Time charter equivalent revenues were $42.4 million, down 27.6% year over year. Time charter equivalent TCE rate was $12,756, down 30.4% year over year. The total voyage days per fleet were 3,326, down 3.9% year over year.

Oil Tanker Segment

The Tanker segment generated $27.9 million in revenues, up by a whopping 174.2% year over year. Time charter equivalent revenues were $9.1 million, up 7.7% year over year. Time charter equivalent TCE rate was $10,004, down 34.7% year over year. The total voyage days per fleet were 910, up 64.9% year over year.

Offshore Drilling Segment

Quarterly revenues from Drilling contracts were approximately $259.8 million, down 1.4% year over year. DryShips controls a 59% stake in its majority owned deepwater oil drilling unit, Ocean Rig UDW Inc. (ORIG - Snapshot Report). At the end of the second quarter of 2013, Ocean Rig had an order backlog of approximately $6 billion. 

Other Stocks to Consider

DryShips currently has a Zacks Rank #3 (Hold). Other stocks to consider in the shipping industry are Paragon Shipping Inc. (PRGN - Snapshot Report) and Euroseas Ltd. (ESEA - Snapshot Report). While Paragon currently has a Zacks Rank #1 (Strong Buy), Euroseas carries a Zacks Rank #2 (Buy).

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