Diamond Offshore Drilling Inc. (NYSE: DO) reported third-quarter 2016 results before markets opened on Monday. The offshore drill rig operator posted adjusted diluted earnings per share (EPS) of $0.10 and revenues of $349.18 million. In the third quarter of 2015, the company reported EPS of $1.01 on revenues of $609.74 million. Thomson Reuters had a consensus estimate for EPS of $0.08 and revenues of $363.23 million.
Diamond is controlled by Loews Corp. (NYSE: L) which itself reported Monday morning adjusted EPS of $0.97 for the third quarter. The commercial property and casualty insurance company posted revenue of $3.29 billion in the period.
On a GAAP basis, Diamond also posted EPS of $0.10 per share, attributed primarily to cost cutting.
Company president and CEO Marc Edwards said:
Despite continued market headwinds, Diamond Offshore achieved earnings per share of $0.10. Overall, I am pleased with our third quarter results and our ability to manage costs, while remaining focused on maintaining our backlog position.
Third-quarter operating expenses dropped from $428.31 million last year to $295.11 million, primarily contract drilling savings.
As of September 30, 2016, the company’s total contracted backlog was $4.1 billion, which represents 27 rig years of work. Approximately 96% of the Diamond’s available ultra-deepwater rig days for the remainder of 2016 are contracted with top-tier customers.
Shares traded down about 3.8% in the noon hour Monday to $16.52. The stock’s 52-week range is $14.18 to $26.72, and the consensus 12-month price target is $17.18.
Loews traded up about 5.8% to $43.38, in a 52-week range of $33.84 to $43.68, a new high set earlier Monday morning. The consensus 12-month price target is $42.00.
The Average American Has No Idea How Much Money You Can Make Today (Sponsor)
The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.