Marc Edwards, the CEO of Diamond Offshore Drilling Inc (NYSE:DO), reported that for Q3 2017 the company posted earnings of $0.08 a diluted share, which comprises an after-tax loss of $0.17 linked to their recent successful debt refinancing.
Excluding this deal, their adjusted Q3 2017 results compare favorably to their third quarter 2016 results. The Ocean GreatWhite and Ocean BlackRhino, having started their deals earlier this year, were main drivers of this jump in year-over-year performance. But he also wants to showcase that their knack to high-grade operations and offer industry-leading uptime remarkably influenced these enhanced results.
Diamond Offshore Drilling continues to focus on premium operations for their customers as they advance through this downturn. This initiative has allowed them to record an operating efficiency, discounting planned downtime, of 98.5% in Q3 2017, making it the best operating efficiency quarter since he joined company in 2014.
This operational enhancement has moved into real savings for their customers. Case in point, one of their leading sixth-generation drillships recently completed and drilled a well 47 days ahead of plan. In addition, one of their drillships offered operational efficiency this third quarter extremely close to 100%, with just seven hours of downtime in the complete quarter. Their ability to get wells in ahead of plan and lower total well cost is a victory for both their customers and Diamond Offshore as they work towards turning offshore drilling more efficient.
The CEO of Diamond Offshore stated that they would like to briefly highlight their recent bond offering. Provided the sustained uncertainty in the offshore drilling segment, it was wise to extend their already premium-in-class liquidity runway and support their balance sheet.
They have no remaining considerable plan capital expenditures, comprising new build capital and have a remarkable debt profile as their subsequent bond maturity is not before 2023, with over 50% of all maturities in 2039 and in imminent period.