Diamond Offshore Drilling
The 10-second takeaway
For the quarter ended June 30 (Q2), Diamond Offshore Drilling met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased slightly. GAAP earnings per share shrank.
Gross margins expanded, operating margins grew, net margins dropped.
Diamond Offshore Drilling booked revenue of $758.0 million. The 19 analysts polled by S&P Capital IQ expected to see a top line of $767.3 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.33. The 33 earnings estimates compiled by S&P Capital IQ forecast $1.23 per share. GAAP EPS of $1.33 for Q2 were 8.3% lower than the prior-year quarter's $1.45 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 51.3%, 710 basis points better than the prior-year quarter. Operating margin was 34.6%, 660 basis points better than the prior-year quarter. Net margin was 24.4%, 330 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $757.7 million. On the bottom line, the average EPS estimate is $1.02.
Next year's average estimate for revenue is $3.05 billion. The average EPS estimate is $4.65.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,900 members out of 1,944 rating the stock outperform, and 44 members rating it underperform. Among 366 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 352 give Diamond Offshore Drilling a green thumbs-up, and 14 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Diamond Offshore Drilling is hold, with an average price target of $75.37.
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