Diamond Offshore Drilling Inc. (DO - Free Report) reported fourth-quarter 2016 adjusted earnings of 53 cents per share that comfortably surpassed the Zacks Consensus Estimate of 12 cents. The bottom line, however, decreased from the year-earlier earnings of 89 cents per share.
For full-year 2016, the company registered earnings of $1.43 per share. Full-year earnings beat the Zacks Consensus Estimate of $1.03 per share but decreased from the year-earlier earnings of $3.10.
Total revenue in the quarter of $391.9 million decreased from the year-ago figure of $555.6 million but came in above the Zacks Consensus Estimate of $357.5 million.
For full-year 2016, total revenue decreased nearly 34% year over year to $1,600.3 million. Total revenue topped the Zacks Consensus Estimate of $1,570.0 million.
Operational Performance
In the fourth quarter, revenues from the Contract Drilling segment plunged 27.8% year over year to approximately $384.6 million.
Ultra-Deepwater floaters recorded an average dayrate of $456,000 during the quarter as against $531,000 in the year-earlier quarter. Deepwater floaters realized an average dayrate of $287,000 compared with $337,000 in the year-ago quarter. Mid-water floaters recorded an average dayrate of $478,000 as against $249,000 in the prior-year quarter.
Rig utilization for Ultra-Deepwater floaters decreased to 49% from 70% in the year-ago quarter. Utilization of Deepwater floaters fell to 39% from 42% a year ago. Mid-water category rig utilization was 35% as against 24% in the comparable quarter last year.
Financials
As of Dec 31, 2016, Diamond Offshore had approximately $156.2 million in cash and cash equivalents, while long-term debt totaled $1,980.9 million.
Zacks Rank and Stocks to Consider
Diamond Offshore currently carries a Zacks Rank #3 (Hold). Some better-ranked players in the same space include Denbury Resources Inc. , Holly Energy Partners LP and Noble Midstream Partners L.P. . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Denbury Resources posted a positive earnings surprise of 100.00% in the last reported quarter. It had an average earnings surprise of 283.33% in the four trailing quarters.
Holly Energy Partners posted a negative earnings surprise of 23.26% in the preceding quarter. It had an average negative earnings surprise of 0.96% in the four trailing quarters.
Noble Midstream Partners posted a negative earnings surprise of 77.78% in the last reported quarter.
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Diamond Offshore Drilling Inc. (DO - Free Report) reported fourth-quarter 2016 adjusted earnings of 53 cents per share that comfortably surpassed the Zacks Consensus Estimate of 12 cents. The bottom line, however, decreased from the year-earlier earnings of 89 cents per share.
For full-year 2016, the company registered earnings of $1.43 per share. Full-year earnings beat the Zacks Consensus Estimate of $1.03 per share but decreased from the year-earlier earnings of $3.10.
Total revenue in the quarter of $391.9 million decreased from the year-ago figure of $555.6 million but came in above the Zacks Consensus Estimate of $357.5 million.
For full-year 2016, total revenue decreased nearly 34% year over year to $1,600.3 million. Total revenue topped the Zacks Consensus Estimate of $1,570.0 million.
Operational Performance
In the fourth quarter, revenues from the Contract Drilling segment plunged 27.8% year over year to approximately $384.6 million.
Ultra-Deepwater floaters recorded an average dayrate of $456,000 during the quarter as against $531,000 in the year-earlier quarter. Deepwater floaters realized an average dayrate of $287,000 compared with $337,000 in the year-ago quarter. Mid-water floaters recorded an average dayrate of $478,000 as against $249,000 in the prior-year quarter.
Rig utilization for Ultra-Deepwater floaters decreased to 49% from 70% in the year-ago quarter. Utilization of Deepwater floaters fell to 39% from 42% a year ago. Mid-water category rig utilization was 35% as against 24% in the comparable quarter last year.
Financials
As of Dec 31, 2016, Diamond Offshore had approximately $156.2 million in cash and cash equivalents, while long-term debt totaled $1,980.9 million.
Zacks Rank and Stocks to Consider
Diamond Offshore currently carries a Zacks Rank #3 (Hold). Some better-ranked players in the same space include Denbury Resources Inc. , Holly Energy Partners LP and Noble Midstream Partners L.P. . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Denbury Resources posted a positive earnings surprise of 100.00% in the last reported quarter. It had an average earnings surprise of 283.33% in the four trailing quarters.
Holly Energy Partners posted a negative earnings surprise of 23.26% in the preceding quarter. It had an average negative earnings surprise of 0.96% in the four trailing quarters.
Noble Midstream Partners posted a negative earnings surprise of 77.78% in the last reported quarter.
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In this latest Special Report, Zacks’ Aggressive Growth Strategist Brian Bolan explores a full-blown technological breakthrough in the making – autonomous cars. He also spotlights 8 stocks with tremendous gain potential to feed off this phenomenon. Click to see the stocks right now >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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