Diamond Offshore Q3 Profit Rises - Quick Facts

(RTTNews) - Diamond Offshore Drilling, Inc. (DO) Monday said its third-quarter net income increased to $136 million or $0.99 per share from $53 million or $0.38 per share in the third quarter of 2014.

On average, 33 analysts polled by Thomson Reuters expected earnings of $0.60 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues fell to $610 million from $738 million in the third quarter of 2014. Analysts expected revenues of $594.55 million.

Total operating expenses declined to $428.31 million from $647.27 million.

Further, the firm declared a regular quarterly dividend of $0.125 per share, payable on December 1, to shareholders of record as of November 13, 2015.

The company also confirmed the Ocean Guardian was awarded a contract for a one-year term in the UK North Sea beginning in March of 2016 at a rate of $220,000 per day.

The company reached agreement with Petrobras for contracts on the semisubmersible rig Ocean Alliance and the drillship Ocean Clipper to be ended as of October 30, ahead of their original end dates, in return for an additional 875 days of contract term on the semisubmersible rig Ocean Courage.

The additional term will be at a rate of $380,000 per day, representing revenue backlog of $333 million, and will also extend the contract into mid-2020.

After export from Brazil, the Ocean Alliance will be cold-stacked and the Ocean Clipper will be retired and scrapped. The terminated portions of the contracts represent a loss to revenue backlog of around $91 million.