Loews Suffers Loss In 2Q Hurt By Drilling Offshore

Loews Corporation L announced a net loss for the three-month period ended June 30, 2016. Its revenue also dipped 3.6 percent hurt by weak results from Diamond Offshore.

The company reported a net loss of $65 million or $0.19 loss per share, compared to net income of $170 million or $0.46 per share in the year-ago period. Analysts were expecting the company to report EPS of $0.57.

Loews clarified that the results included asset impairment charges at Diamond Offshore Drilling of $267 million for the three-month period. It claimed book value per share, excluding accumulated other comprehensive income (AOCI), grew to $52.84 at the end of the second quarter from $52.72 at the December last year.

The company generated $3.31 billion revenue, down 3.6 percent from $3.44 billion in the previous year quarter.

Loews press statement said, "Diamond Offshore's earnings declined due to a substantial reduction in the number of rigs operating as compared to the year ago period partially offset by lower depreciation expense resulting mainly from the asset impairment charges recorded in 2015."

Shares of the company closed Friday at $41.33.