Diana Shipping Inc. Reports Financial Results for the Fourth Quarter and Year Ended December 31, 2020

Monday, 22. February 2021 14:29

ATHENS, Greece, Feb. 22, 2021 (GLOBE NEWSWIRE) -- Diana Shipping Inc. (NYSE: DSX), (the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, today reported a net loss of $7.4 million and net loss attributed to common stockholders of $8.9 million for the fourth quarter of 2020, including a $1.9 million impairment loss. This compares to a net loss of $14.0 million and net loss attributed to common stockholders of $15.4 million reported in the fourth quarter of 2019, including a $6.5 million impairment loss and $3.3 million loss on sale of vessels.

Time charter revenues were $42.7 million for the fourth quarter of 2020, compared to $51.5 million for the same quarter of 2019. The decrease in time charter revenues was mainly due to the decrease in ownership days resulting from the sale of two vessels in 2020 and also due to decreased average time charter rates that the Company achieved for its vessels during the quarter.

Net loss for 2020 amounted to $134.2 million and net loss attributed to common stockholders amounted to $140.0 million, including a $104.4 million impairment loss and $1.1 million loss on sale of vessels. This compares to a net loss of $10.5 million and net loss attributed to common stockholders of $16.3 million for 2019, including a $14.0 million impairment loss and $6.2 million loss on sale of vessels. Time charter revenues were $169.7 million for 2020, compared to $220.7 million for 2019.

 Fleet Employment Profile (As of February 19, 2021)
 Diana Shipping Inc.’s fleet is employed as follows:
 VesselSister Ships* Gross Rate (USD Per Day) Com** Charterers Delivery Date to Charterers*** Redelivery Date to Owners**** Notes 
 BUILT DWT
         
 12 Panamax Bulk Carriers
1OCEANIS $9,2005.00%Phaethon International Company AG9-Jan-204-Mar-21 - 24-Mar-211,2
 2001 75,211       
2PROTEFSA$9,9005.00%Phaethon International Company AG30-Nov-198-Feb-21 
   $10,6505.00%Reachy International (HK) Co., Limited8-Feb-2110-Mar-22 - 20-May-22 
 2004 73,630       
3CALIPSOA$8,2505.00%Uniper Global Commodities SE, Düsseldorf13-Apr-2022-Jan-213
   $10,4005.00%Viterra Chartering B.V., Rotterdam22-Jan-211-Oct-21 - 15-Dec-21 
 2005 73,691       
4NAIASA$10,0005.00%Phaethon International Company AG26-Jan-1927-Jan-21 
   $11,0004.75%Cargill International S.A., Geneva27-Jan-2118-Mar-214
 2006 73,546       
-CORONIS $8,0005.00%Koch Shipping Pte. Ltd., Singapore20-Feb-2031-Dec-205
 2006 74,381       
5MELIA $10,0005.00%Ausca Shipping Limited, Hong Kong20-Aug-205-Apr-21 - 20-Jun-216
 2005 76,225       
6ARTEMIS $10,1505.00%Koch Shipping Pte. Ltd., Singapore28-Nov-1924-Oct-207
   $10,2505.00%Glencore Agriculture B.V., Rotterdam30-Nov-205-Jan-22 - 30-Mar-22 
 2006 76,942       
7LETO $9,0004.75%Cargill International S.A., Geneva21-May-2015-Jul-21 - 30-Sep-21 
 2010 81,297       
8SELINAB$11,0005.00%ST Shipping and Transport Pte. Ltd., Singapore5-Jul-205-Jul-21 - 5-Sep-21 
 2010 75,700       
9MAERAB$8,6005.00%Ausca Shipping Limited, Hong Kong11-Jun-201-Jul-21 - 30-Sep-21 
 2013 75,403       
10ISMENE $10,8005.00%Phaethon International Company AG10-Jan-201-Mar-21 - 25-Apr-212
 2013 77,901       
11CRYSTALIAC$8,7505.00%Glencore Agriculture B.V., Rotterdam22-May-201-Jul-21 - 30-Sep-21 
 2014 77,525       
12ATALANDIC$9,3005.00%Uniper Global Commodities SE, Düsseldorf14-Jun-2014-Jul-21 - 14-Oct-21 
 2014 77,529       
 5 Kamsarmax Bulk Carriers
13MAIAD$11,2005.00%Aquavita International S.A.31-Jan-2031-Mar-21 - 15-Jun-21 
 2009 82,193       
14MYRSINID$11,5005.00%Ausca Shipping Limited, Hong Kong4-Dec-192-Mar-21 - 19-Mar-212
 2010 82,117       
15MEDUSAD$11,0004.75%Cargill International S.A., Geneva16-Nov-1919-Nov-20 
   $11,0004.75%19-Nov-2010-Jan-22 - 20-Mar-22 
 2010 82,194       
16MYRTOD$10,0004.75%Cargill International S.A., Geneva3-Apr-201-Jul-21 - 15-Sep-21 
 2013 82,131       
17ASTARTE $11,7505.00%Aquavita International S.A.18-Jan-2018-Mar-21 - 2-Jun-21 
 2013 81,513       
 5 Post-Panamax Bulk Carriers
18ALCMENE $8,5004.75%Cargill International S.A., Geneva2-Apr-2017-Apr-21 - 2-Jul-21 
 2010 93,193       
19AMPHITRITEE$10,2505.00%SwissMarine Pte. Ltd., Singapore21-Mar-206-Apr-21 - 21-Jun-21 
 2012 98,697       
20POLYMNIAE$11,0004.75%Cargill International S.A., Geneva15-Nov-1922-Nov-20 
   $12,1005.00%CLdN Cobelfret SA, Luxembourg22-Nov-2015-Oct-21 - 25-Dec-21 
 2012 98,704       
21ELECTRAF$10,2505.00%Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany21-Nov-194-Jan-218
   $12,5005.00%SwissMarine Pte. Ltd., Singapore   
 2013 87,150    4-Jan-2130-Mar-21 
22PHAIDRAF$9,4005.00%Uniper Global Commodities SE, Düsseldorf29-May-2029-Apr-21 - 29-Jul-21 
 2013 87,146       
 12 Capesize Bulk Carriers
23ALIKI $11,3005.00%Koch Shipping Pte. Ltd., Singapore23-Apr-204-Mar-21 - 15-Mar-212
 2005 180,235       
24BALTIMORE $15,0005.00%Koch Shipping Pte. Ltd., Singapore19-May-1921-Dec-20 
   $13,0005.00%21-Dec-2020-Jul-21 - 5-Oct-21 
 2005 177,243       
25SALT LAKE CITY $9,7504.75%Cargill International S.A., Geneva24-Mar-199-Jan-21 
   $13,0005.00%C Transport Maritime Ltd., Bermuda9-Jan-211-Apr-22 - 30-Jun-22 
 2005 171,810       
-SIDERIS GSG$12,7005.00%Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany7-Mar-2015-Jan-219,10
 2006 174,186       
26SEMIRIOG$16,0004.75%Cargill International S.A., Geneva30-Jun-191-Jan-21 
   $13,5005.00%SwissMarine Pte. Ltd., Singapore1-Jan-215-Oct-21 - 20-Dec-21 
 2007 174,261       
27BOSTONG$15,3005.00%Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany7-Jun-191-Apr-21 - 30-Jun-21 
 2007 177,828       
28HOUSTONG$12,4005.00%C Transport Maritime Ltd., Bermuda13-Apr-201-Jul-21 - 30-Sep-21 
 2009 177,729       
29NEW YORKG$15,5005.00%Singapore Marine Pte. LTD., Singapore7-Jun-1929-Dec-20 
   $14,0005.00%EGPN Bulk Carrier Co., Limited, Hong Kong29-Dec-2016-Apr-22 - 30-Jun-22 
 2010 177,773       
30SEATTLEH$12,3005.00%Pacbulk Shipping Pte. Ltd., Singapore27-Apr-201-Oct-21 - 31-Dec-21 
 2011 179,362       
31P. S. PALIOSH$12,0505.00%C Transport Maritime Ltd., Bermuda24-Mar-209-Apr-21 - 24-Jun-21 
 2013 179,134       
32G. P. ZAFIRAKISI$13,2005.00%Koch Shipping Pte. Ltd., Singapore31-May-201-Oct-21 - 31-Dec-21 
 2014 179,492       
33SANTA BARBARAI$17,2505.00%Pacbulk Shipping Pte. Ltd., Singapore28-Dec-199-Jan-21 
   $17,2504.75%Cargill International S.A., Geneva9-Jan-215-Jan-22 - 5-Mar-22 
 2015 179,426       
34NEW ORLEANS $15,0004.75%Cargill International S.A., Geneva10-Apr-1912-Nov-2011
   $15,5005.00%Nippon Yusen Kabushiki Kaisha3-Dec-2025-Jan-22 - 25-Mar-22 
 2015 180,960       
 4 Newcastlemax Bulk Carriers
35LOS ANGELESJ$14,2505.00%Engelhart CTP Freight (Switzerland) SA6-Jun-201-Oct-21 - 31-Dec-21 
 2012 206,104       
36PHILADELPHIAJ$14,5005.00%BHP Billiton Freight Singapore Pte. Ltd5-Feb-205-Apr-21 - 5-Jul-21 
 2012 206,040       
37SAN FRANCISCOK$16,0005.00%Koch Shipping Pte. Ltd., Singapore5-Mar-1911-Feb-2112,13
 2017 208,006       
38NEWPORT NEWSK$18,4005.00%Koch Shipping Pte. Ltd., Singapore8-Sep-2016-Oct-21 - 30-Dec-21 
 2017 208,021       
* Each dry bulk carrier is a "sister ship", or closely similar, to other dry bulk carriers that have the same letter.
** Total commission percentage paid to third parties.
*** In case of newly acquired vessel with time charter attached, this date refers to the expected/actual date of delivery of the vessel to the Company.
**** Range of redelivery dates, with the actual date of redelivery being at the Charterers’ option, but subject to the terms, conditions, and exceptions of the particular charterparty.
 
1 Vessel sold and expected to be delivered to her new Owners at the latest by April 16, 2021.
2 Based on latest information.
3 The compensation for the overlapping period from December 31, 2020 until January 22, 2021, which is beyond the maximum contractual period, is still pending to be agreed between Owners and Uniper Global Commodities SE, Düsseldorf.
4 Redelivery date based on an estimated time charter trip duration of about 50 days.
5 "Coronis" sold and delivered to her new owners on January 13, 2021.
6 Charter includes a one time ballast bonus payment of US$500,000.
7 Vessel on scheduled drydocking from October 24, 2020 to November 30, 2020.
8 Charterers have agreed to pay the average of the daily published rates for p3a-82 route of the baltic panamax index for the days that index was published (i.e. 21/12-24/12 and 04/12) for the excess period commencing from December 21, 2020.
9 "Sideris GS" sold and delivered to her new owners on January 20, 2021.
10 The compensation for the overlapping period from December 31, 2020 until January 15, 2021, which is beyond the maximum contractual period, is still pending to be agreed between Owners and Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany.
11 Vessel on scheduled drydocking from November 12, 2020 to December 3, 2020.
12 Charterers have agreed to pay US$18,000 per day, for the excess period commencing from January 20, 2021 till February 11, 2021.
13 Currently without an active charterparty.


Summary of Selected Financial & Other Data (unaudited)
   Three months ended December 31, Year ended December 31,
   2020  2019  2020  2019 
          
STATEMENT OF OPERATIONS DATA (in thousands of US Dollars)
 Time charter revenues$42,657 $51,508 $169,733 $220,728 
 Voyage expenses 3,020  4,488  13,525  13,542 
 Vessel operating expenses 22,407  23,368  85,847  90,600 
 Net income/(loss) (7,430) (13,981) (134,197) (10,535)
 Net income/(loss) attributed to common stockholders (8,872) (15,423) (139,966) (16,304)
FLEET DATA
 Average number of vessels 40.0  42.6  40.8  45.0 
 Number of vessels 40.0  42.0  40.0  42.0 
 Weighted average age of vessels 10.2  9.5  10.2  9.5 
 Ownership days 3,680  3,915  14,931  16,442 
 Available days 3,623  3,834  14,318  16,192 
 Operating days 3,610  3,716  14,020  15,971 
 Fleet utilization 99.6% 96.9% 97.9% 98.6%
AVERAGE DAILY RESULTS
 Time charter equivalent (TCE) rate (1)$10,940 $12,264 $10,910 $12,796 
 Daily vessel operating expenses (2)$6,089 $5,969 $5,750 $5,510 

Non-GAAP Measures      

(1)Time charter equivalent rates, or TCE rates, are defined as our time charter revenues less voyage expenses during a period divided by the number of our available days during the period, which is consistent with industry standards. Voyage expenses include port charges, bunker (fuel) expenses, canal charges and commissions. TCE is a non-GAAP measure. TCE rate is a standard shipping industry performance measure used primarily to compare daily earnings generated by vessels on time charters with daily earnings generated by vessels on voyage charters, because charter hire rates for vessels on voyage charters are generally not expressed in per day amounts while charter hire rates for vessels on time charters are generally expressed in such amounts.
  
(2)Daily vessel operating expenses, which include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance, the costs of spares and consumable stores, tonnage taxes and other miscellaneous expenses, are calculated by dividing vessel operating expenses by ownership days for the relevant period.

Conference Call and Webcast Information

The Company’s management will conduct a conference call and simultaneous Internet webcast to review these results at 9:00 A.M. (Eastern Time) on Monday, February 22, 2021.

Investors may access the webcast by visiting the Company’s website at www.dianashippinginc.com, and clicking on the webcast link. The conference call also may be accessed by telephone by dialing 1-877-407-8291 (for U.S.-based callers) or 1-201-689-8345 (for international callers), and asking the operator for the Diana Shipping Inc. conference call.

A replay of the webcast will be available soon after the completion of the call and will be accessible for 30 days on www.dianashippinginc.com. A telephone replay also will be available for 30 days by dialing 1-877-660-6853 (for U.S.-based callers) or 1-201-612-7415 (for international callers), and providing the Replay ID number 13715849.

About the Company

Diana Shipping Inc. is a global provider of shipping transportation services through its ownership of dry bulk vessels. The Company’s vessels are employed primarily on medium to long-term time charters and transport a range of dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “plan,” “potential,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, Company management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although the Company believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies that are difficult or impossible to predict and are beyond the Company’s control, the Company cannot assure you that it will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward-looking statements include the severity, magnitude and duration of the COVID-19 pandemic, including impacts of the pandemic and of businesses’ and governments’ responses to the pandemic on our operations, personnel, and on the demand for seaborne transportation of bulk products; the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for dry bulk shipping capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessel breakdowns and instances of off-hires and other factors. Please see the Company’s filings with the U.S. Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

(See financial tables attached)

DIANA SHIPPING INC.
FINANCIAL TABLES
Expressed in thousands of U.S. Dollars, except share and per share data
          
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS)
 
   Three months ended December 31, Year ended December 31,
   2020  2019  2020  2019 
REVENUES:       (audited)
 Time charter revenues$42,657 $51,508 $169,733 $220,728 
EXPENSES:        
 Voyage expenses 3,020  4,488  13,525  13,542 
 Vessel operating expenses 22,407  23,368  85,847  90,600 
 Depreciation and amortization of deferred charges 10,309  12,063  42,991  48,904 
 General and administrative expenses 7,030  7,819  32,778  28,601 
 Management fees to related party 506  589  2,017  2,155 
 Vessel impairment charges 1,869  6,467  104,395  13,987 
 Loss on sale of vessels -  3,336  1,085  6,171 
 Other income (359) (298) (230) (854)
 Operating income/(loss)$(2,125)$(6,324)$(112,675)$17,622 
          
OTHER INCOME / (EXPENSES):        
 Interest expense and finance costs (4,632) (6,722) (21,514) (29,432)
 Interest and other income 35  602  728  2,858 
 Gain on extinguishment of debt -  -  374  - 
 Loss from related party investments (708) (1,537) (1,110) (1,583)
 Total other expenses, net$(5,305)$(7,657)$(21,522)$(28,157)
          
Net loss$(7,430)$(13,981)$(134,197)$(10,535)
Dividends on series B preferred shares (1,442) (1,442) (5,769) (5,769)
Net loss attributed to common stockholders (8,872) (15,423) (139,966) (16,304)
Loss per common share, basic and diluted$(0.10)$(0.17)$(1.62)$(0.17)
Weighted average number of common shares, basic and diluted 86,799,922  90,017,536  86,143,556  95,191,116 
          
   Three months ended December 31, Year ended December 31,
   2020  2019  2020  2019 
         (audited)
Net loss$(7,430)$(13,981)$(134,197)$(10,535)
Other comprehensive loss (Actuarial loss) (20) (151) (40) (178)
Comprehensive loss$(7,450)$(14,132)$(134,237)$(10,713)


CONDENSED CONSOLIDATED BALANCE SHEET DATA  
(in thousands of U.S. Dollars)  
      
   December 31, 2020 December 31, 2019*
ASSETS (unaudited)  
      
Cash, cash equivalents and restricted cash$82,909$128,288
Other current assets 41,752 29,751
Vessels, net 716,178 882,297
Other fixed assets, net 21,704 22,077
Investments in related parties - 1,680
Other non-current assets 9,867 7,187
 Total assets $872,410$1,071,280
      
LIABILITIES AND STOCKHOLDERS' EQUITY    
      
Long-term debt, net of deferred financing costs$420,314$474,951
Other liabilities 23,526 26,265
Total stockholders' equity 428,570 570,064
 Total liabilities and stockholders' equity $872,410$1,071,280
      
*The balance sheet data have been derived from the audited consolidated financial statements at that date.


OTHER FINANCIAL DATA (unaudited)
   Three months ended December 31,  Year ended December 31,
   2020  2019  2020  2019 
         (audited)
Net cash provided by operating activities$5,927 $5,407 $17,234 $49,882 
Net cash provided by/(used in) investing activities (1,114) 6,013  10,484  38,397 
Net cash used in financing activities$(12,290)$(32,486)$(73,097)$(111,398)

Corporate Contact:
Ioannis Zafirakis
Director, Interim Chief Financial Officer, Chief Strategy Officer, Treasurer and Secretary
Telephone: + 30-210-9470100
Email: izafirakis@dianashippinginc.com
Website: www.dianashippinginc.com

Investor and Media Relations:
Edward Nebb
Comm-Counsellors, LLC
Telephone: + 1-203-972-8350
Email: enebb@optonline.net
Related Links: 
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