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Diamond Offshore Drilling Inc. Announces Fourth Quarter 2000 Earnings
Diamond Offshore Drilling Inc. Announces Fourth Quarter 2000 Earnings
HOUSTON--(BUSINESS WIRE)--Jan. 23, 2001--Diamond Offshore Drilling Inc. (NYSE:DO) today reported net income of $28.7 million, or $0.20 per share on a diluted basis, on revenues of $190.9 million for the fourth quarter of 2000, compared to net income of $13.2 million, or $0.10 per share on a diluted basis, on revenues of $170.9 million for the fourth quarter of 1999.
For the year ended December 31, 2000, the Company reported net income of $72.3 million, or $0.53 per share on a diluted basis, on revenues of $659.4 million, compared to net income of $156.1 million, or $1.11 per share on a diluted basis, on revenues of $821.0 million for 1999.
The Board of Directors has declared a cash dividend of $0.125 per common share payable March 1, 2001 to stockholders of record on February 1, 2001.
As of December 31, 2000, there were 133.2 million common shares outstanding. Depending on market conditions, the Company may, from time to time, purchase shares of its outstanding common stock in the open market or otherwise. During the fourth quarter of 2000, the Company repurchased 2.3 million shares of its common stock at an aggregate cost of $80.9 million.
Diamond Offshore is a leader in deep water drilling. The Company's fleet of 45 offshore drilling rigs consists of 30 semisubmersibles, 14 jack-ups and one drillship. The fleet operates in the waters of six of the world's seven continents.
Diamond Offshore will provide an online, real-time simulcast and rebroadcast of its 2000 fourth quarter earnings release conference call. The live broadcast of the Diamond Offshore Drilling Inc. quarterly conference call will be available online at www.diamondoffshore.com on January 23, 2001, beginning at 9:00 a.m. Central Time. The online replay will follow immediately and continue for 5 days after the original call. Please go to the Web site at least 15 minutes before the broadcast to register, download and install any necessary audio software.
Statements in this press release that contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 include, but are not limited to, statements concerning the repurchase of the Company's common stock in the open market. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those projected. A discussion of the risk factors that could impact these areas and the Company's overall business and financial performance can be found in the Company's reports filed with the Securities and Exchange Commission. Given these concerns, investors and analysts should not place undue reliance on forward-looking statements.
The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based.
DIAMOND OFFSHORE DRILLING INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
Three Months Ended Twelve Months Ended
December 31, December 31,
-------------------- ---------------------
2000 1999 2000 1999
------ ------ ------ ------
Revenues $190,943 $170,910 $659,436 $821,024
Operating expenses:
Contract drilling 118,091 106,881 433,091 431,523
Depreciation and
amortization 35,096 35,515 145,596 142,963
General and
administrative 5,950 5,591 23,803 22,877
--------- --------- --------- ---------
Total operating
expenses 159,137 147,987 602,490 597,363
--------- --------- --------- ---------
Operating income 31,806 22,923 56,946 223,661
Other income
(expense):
Gain on sale of
assets 93 49 14,324 231
Interest income 14,288 8,971 49,525 34,985
Interest expense (3,570) (1,738) (10,272) (9,212)
Other, net 1,081 (9,630) 344 (9,302)
--------- --------- --------- ---------
Income before
income tax expense 43,698 20,575 110,867 240,363
Income tax expense (15,019) (7,395) (38,586) (84,292)
--------- --------- --------- ---------
Net income $28,679 $13,180 $72,281 $156,071
========= ========= ========= =========
Earnings per share:
Basic $0.21 $0.10 $0.53 $1.15
========= ========= ========= =========
Diluted $0.20 $0.10 $0.53 $1.11
========= ========= ========= =========
Weighted average
shares outstanding
Common shares 133,976 135,824 135,164 135,822
Dilutive potential
common shares 16,837 9,876 9,876 9,876
--------- --------- --------- ---------
Total weighted
average shares
outstanding 150,813 145,700 145,040 145,698
========= ========= ========= =========
DIAMOND OFFSHORE DRILLING INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS
(in thousands)
Three Months Ended
December 31,
--------------------
2000 1999
------ ------
REVENUES
High Specification Floaters $58,364 $61,423
Other Semisubmersibles 82,550 88,980
Jack-ups 39,501 15,235
Integrated Services 14,458 7,146
Other 627 --
Eliminations (4,557) (1,874)
--------- ---------
Total Revenues $190,943 $170,910
========= =========
CONTRACT DRILLING EXPENSE
High Specification Floaters $24,053 $26,164
Other Semisubmersibles 57,477 53,322
Jack-ups 26,512 20,983
Integrated Services 12,334 8,538
Other 2,272 (252)
Eliminations (4,557) (1,874)
--------- ---------
Total Contract Drilling Expense $118,091 $106,881
========= =========
OPERATING INCOME
High Specification Floaters $34,311 $35,259
Other Semisubmersibles 25,073 35,658
Jack-ups 12,989 (5,748)
Integrated Services 2,124 (1,392)
Other (1,645) 252
Depreciation and Amortization Expense (35,096) (35,515)
General and Administrative Expense (5,950) (5,591)
--------- ---------
Total Operating Income $31,806 $22,923
========= =========
DIAMOND OFFSHORE DRILLING INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
December 31,
--------------
2000 1999
------ ------
ASSETS
Current assets:
Cash and cash equivalents $144,456 $112,316
Marketable securities 717,678 529,042
Accounts receivable 151,502 143,569
Rig inventory and supplies 40,698 38,760
Prepaid expenses and other 42,666 36,605
---------- ----------
Total current assets 1,097,000 860,292
Drilling and other property and
equipment, less accumulated
depreciation 1,902,415 1,737,905
Goodwill, net of amortization 55,205 73,174
Other assets 20,929 9,658
---------- ----------
Total assets $3,075,549 $2,681,029
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $123,013 $135,401
Long-term debt 856,559 400,000
Deferred tax liability 314,620 291,213
Other liabilities 13,504 12,193
Stockholders' equity 1,767,853 1,842,222
---------- ----------
Total liabilities and
stockholders' equity $3,075,549 $2,681,029
========== ==========
DIAMOND OFFSHORE DRILLING INC. AND SUBSIDIARIES
AVERAGE DAYRATES AND UTILIZATION
Fourth Quarter Third Quarter Fourth Quarter
2000 2000 1999
-------------- ------------- --------------
Dayrate Utili- Dayrate Utili- Dayrate Utili-
zation zation zation
------- ------ ------- ------ ------- ------
(Dayrate in thousands)
High
Specification
Floaters $96 94% $95 80% $111 86%
Other
Semisubmersibles $63 65% $60 59% $71 59%
Jack-ups $35 87% $27 91% $17 67%
--30--EB/ho* BMD/ho
CONTACT: Diamond Offshore Drilling Inc., Houston
Caren W. Steffes, 281/492-5393
KEYWORD: TEXAS
INDUSTRY KEYWORD: ENERGY OIL/GAS EARNINGS