Diamond Offshore Drilling Shares Increase on Contract News

Diamond Offshore Drilling, Inc. has recently announced new floater commitments that reflect positively on the company's outlook. The company has executed a two-year contract extension with a subsidiary of BP in the U.S. Gulf of Mexico for the Ocean Blacklion, representing approximately $350 million dollars of additional backlog. Additionally, Diamond Offshore has entered into a drilling contract with Serica Energy (UK) Limited to utilize the Ocean Patriot for two plug and abandonment (P&A) wells in the U.K. North Sea, representing over $10 million of additional backlog, excluding mobilization.

Bernie Wolford, Jr., President and Chief Executive Officer of Diamond Offshore, expressed optimism about these developments, stating, "These awards reflect the continuing strength of the drillship market and the improving moored floater market in the U.K. North Sea while highlighting the exceptional work of our crews across these regions."

The company's shares have responded to this news by moving 2.8%, and are currently trading at a price of $11.65.

The full 8-K submission from Diamond Offshore Drilling, Inc. is available here.

2018 2019 2020 2021 2022 2023
Revenue (k) $1,083,215 $980,644 $733,687 $169,379 $841,278 $981,806
Revenue Growth n/a -9.47% -25.18% -76.91% 396.68% 16.7%
Net Margins -17% -36% -171% 0% -12% 5%
Net Income (k) -$180,272 -$357,214 -$1,254,904 $30 -$103,211 $48,558
Net Interest Expense (k) $700 $122,832 $42,585 -$34,827 $40,423 $50,200
Earnings Per Share -$1.31 -$2.6 -$9.09 -$14.21 -$1.03 $0.42
EPS Growth n/a -98.47% -249.62% -56.33% 92.75% 140.78%
Diluted Shares (k) 137,399 137,652 137,996 100,071 100,561 102,215
Capital Expenditures $222,406 $326,090 $189,528 $49,119 $60,023 $117,248
Current Ratio 3.32 1.58 3.1 1.17 1.22 1.84
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