Market Overview

Diana Shipping Inc. Reports Financial Results for the Third Quarter and Nine Months Ended September 30, 2020

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ATHENS, Greece, Nov. 23, 2020 (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 $13.2 million and a net loss attributed to common stockholders of $14.6 million for the third quarter of 2020, including a $6.8 million impairment loss which resulted from the agreement to sell the vessels Sideris G.S. and Coronis. This compares to net income of $1.8 million and net income attributed to common stockholders of $0.3 million reported in the third quarter of 2019.

Time charter revenues were $42.3 million for the third quarter of 2020, compared to $53.5 million for the same period of 2019. The decrease in time charter revenues was mainly due to the decrease in ownership days resulting from the sale of six vessels in 2019 and 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 the nine months ended September 30, 2020 amounted to $126.8 million and net loss attributed to common stockholders amounted to $131.1 million, including a $102.5 million impairment loss and $1.1 million loss on sale of vessels. This compares to net income of $3.4 million and net loss attributed to common stockholders of $0.9 million for the same period of 2019 including a $7.5 million impairment loss and $2.8 million loss on sale of vessels. Time charter revenues were $127.1 million for the nine months ended September 30, 2020, compared to $169.2 million for the same period of 2019.

  Fleet Employment Profile (As of November 20, 2020)
  Diana Shipping Inc.'s fleet is employed as follows:
  Vessel Sister Ships*

Gross Rate (USD Per Day)

Charterers

Delivery Date to Charterers***

Redelivery Date to Owners****

Notes

  BUILT DWT
                 
  13 Panamax Bulk Carriers
1 OCEANIS   $9,200 5.00% Phaethon International Company AG 9-Jan-20 9-Jan-21 - 24-Mar-21  
  2001 75,211              
2 PROTEFS A $9,900 5.00% Phaethon International Company AG 30-Nov-19 1-Jan-21 - 31-Mar-21 1,2
  2004 73,630              
3 CALIPSO A $8,250 5.00% Uniper Global Commodities SE, Düsseldorf 28-May-20 2-Dec-20 - 31-Dec-20 3
  2005 73,691              
4 NAIAS A $10,000 5.00% Phaethon International Company AG 26-Jan-19 26-Dec-20 - 10-Apr-21  
  2006 73,546              
- ARETHUSA A $5,500 5.00% Oldendorff GmbH & Co. KG, Luebeck 1-Jun-20 29-Jul-20 4
  2007 73,593              
5 CORONIS   $8,000 5.00% Koch Shipping Pte. Ltd., Singapore 20-Feb-20 4-Dec-20 - 22-Dec-20 3,5
  2006 74,381              
6 MELIA   $10,750 4.75% Cargill International S.A., Geneva 13-Feb-20 28-Apr-20 6
      $10,000 5.00% Ausca Shipping Limited, Hong Kong 20-Aug-20 5-Apr-21 - 20-Jun-21 7
  2005 76,225              
7 ARTEMIS   $10,150 5.00% Koch Shipping Pte. Ltd., Singapore 28-Nov-19 24-Oct-20 8
  2006 76,942              
8 LETO   $9,000 4.75% Cargill International S.A., Geneva 21-May-20 15-Jul-21 - 30-Sep-21  
  2010 81,297              
9 SELINA B $11,000 5.00% ST Shipping and Transport Pte. Ltd., Singapore 5-Jul-20 5-Jul-21 - 5-Sep-21  
  2010 75,700              
10 MAERA B $8,600 5.00% Ausca Shipping Limited, Hong Kong 11-Jun-20 1-Jul-21 - 30-Sep-21  
  2013 75,403              
11 ISMENE   $10,800 5.00% Phaethon International Company AG 10-Jan-20 10-Feb-21 - 25-Apr-21  
  2013 77,901              
12 CRYSTALIA C $8,750 5.00% Glencore Agriculture B.V., Rotterdam 22-May-20 1-Jul-21 - 30-Sep-21  
  2014 77,525              
13 ATALANDI C $9,300 5.00% Uniper Global Commodities SE, Düsseldorf 14-Jun-20 14-Jul-21 - 14-Oct-21  
  2014 77,529              
  5 Kamsarmax Bulk Carriers
14 MAIA D $11,200 5.00% Aquavita International S.A. 31-Jan-20 31-Mar-21 - 15-Jun-21  
  2009 82,193              
15 MYRSINI D $11,500 5.00% Ausca Shipping Limited, Hong Kong 4-Dec-19 4-Jan-21 - 19-Mar-21  
  2010 82,117              
16 MEDUSA D $11,000 4.75% Cargill International S.A., Geneva

16-Nov-19 19-Nov-20  
      $11,000 4.75% 19-Nov-20 10-Jan-22 - 20-Mar-22  
  2010 82,194              
17 MYRTO D $10,000 4.75% Cargill International S.A., Geneva 3-Apr-20 1-Jul-21 - 15-Sep-21  
  2013 82,131              
18 ASTARTE   $11,750 5.00% Aquavita International S.A. 18-Jan-20 18-Mar-21 - 2-Jun-21  
  2013 81,513              
  5 Post-Panamax Bulk Carriers
19 ALCMENE   $8,500 4.75% Cargill International S.A., Geneva 1-Jun-20 17-Apr-21 - 2-Jul-21  
  2010 93,193              
20 AMPHITRITE E $10,250 5.00% SwissMarine Pte. Ltd., Singapore 21-Mar-20 6-Apr-21 - 21-Jun-21  
  2012 98,697              
21 POLYMNIA E $11,000 4.75% Cargill International S.A., Geneva 15-Nov-19 22-Nov-20 3
  2012 98,704              
22 ELECTRA F $10,250 5.00% Oldendorff Carriers GMBH & Co. KG, Lübeck 21-Nov-19 5-Dec-20 - 21-Dec-20 3
  2013 87,150              
23 PHAIDRA F $9,400 5.00% Uniper Global Commodities SE, Düsseldorf 29-May-20 29-Apr-21 - 29-Jul-21 9
  2013 87,146              
  13 Capesize Bulk Carriers
24 ALIKI   $11,300 5.00% Koch Shipping Pte. Ltd., Singapore 23-Apr-20 1-Jan-21 - 15-Mar-21  
  2005 180,235              
25 BALTIMORE   $15,000 5.00% Koch Shipping Pte. Ltd., Singapore 19-May-19 4-Dec-20 - 3-Apr-21  
  2005 177,243              
26 SALT LAKE CITY   $9,750 4.75% Cargill International S.A., Geneva 24-Mar-19 5-Dec-20 - 24-Feb-21 3,10
  2005 171,810              
27 SIDERIS GS G $12,700 5.00% Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany 7-Mar-20 3-Dec-20 - 31-Dec-20 3,5
  2006 174,186              
28 SEMIRIO G $16,000 4.75% Cargill International S.A., Geneva 30-Jun-19 2-Dec-20 - 30-Dec-20 3
  2007 174,261              
29 BOSTON G $15,300 5.00% Oldendorff Carriers GMBH & Co. KG, Lübeck, Germany 7-Jun-19 1-Apr-21 - 30-Jun-21  
  2007 177,828              
30 HOUSTON G $12,400 5.00% C Transport Maritime Ltd., Bermuda 13-May-20 1-Jul-21 - 30-Sep-21  
  2009 177,729              
31 NEW YORK G $15,500 5.00% Singapore Marine Pte. LTD., Singapore 7-Jun-19 3-Dec-20 - 22-Jan-21 3
  2010 177,773              
32 SEATTLE H $12,300 5.00% Pacbulk Shipping Pte. Ltd., Singapore 27-Apr-20 1-Oct-21 - 31-Dec-21  
  2011 179,362              
33 P. S. PALIOS H $12,050 5.00% C Transport Maritime Ltd., Bermuda 28-Apr-20 9-Apr-21 - 24-Jun-21  
  2013 179,134              
34 G. P. ZAFIRAKIS I $13,200 5.00% Koch Shipping Pte. Ltd., Singapore 31-May-20 1-Oct-21 - 31-Dec-21  
  2014 179,492              
35 SANTA BARBARA I $17,250 5.00% Pacbulk Shipping Pte. Ltd., Singapore 28-Dec-19 28-Dec-20 - 28-Feb-21  
  2015 179,426              
36 NEW ORLEANS   $15,000 4.75% Cargill International S.A., Geneva 10-Apr-19 12-Nov-20 8
  2015 180,960              
  4 Newcastlemax Bulk Carriers
37 LOS ANGELES J $14,250 5.00% Engelhart CTP Freight (Switzerland) SA 6-Jun-20 1-Oct-21 - 31-Dec-21  
  2012 206,104              
38 PHILADELPHIA J $14,500 5.00% BHP Billiton Freight Singapore Pte. Ltd 5-Feb-20 5-Apr-21 - 5-Jul-21  
  2012 206,040              
39 SAN FRANCISCO K $16,000 5.00% Koch Shipping Pte. Ltd., Singapore 5-Mar-19 10-Dec-20 - 20-Jan-21 3
  2017 208,006              
40 NEWPORT NEWS K $16,500 5.00% SwissMarine Services S.A., Geneva 25-Feb-19 8-Sep-20  
      $18,400 5.00% Koch Shipping Pte. Ltd., Singapore 8-Sep-20 16-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 off hire from June 11, 2020 to July 10, 2020.
2 Vessel off hire for unscheduled maintenance from August 28, 2020 to September 4, 2020.
3 Based on latest information.
4 "Arethusa" sold and delivered to her new owners on August 8, 2020.
5 Vessel sold and expected to be delivered to her new Owners at the latest by January 20, 2021.
6 Vessel on scheduled drydocking from April 28, 2020 to July 17, 2020.
7 Charter includes a one time ballast bonus payment of US$500,000.
8 Currently without an active charterparty. Vessel on scheduled drydocking.
9 Vessel off hire for unscheduled maintenance from July 2, 2020 to July 4, 2020.
10 Vessel off hire for drydocking from June 24, 2020 to August 1, 2020.


Summary of Selected Financial & Other Data (unaudited)
      Three months ended September 30,   Nine months ended September 30,
      2020     2019     2020     2019  
                   
STATEMENT OF OPERATIONS DATA (in thousands of US Dollars)
  Time charter revenues $ 42,341   $ 53,534   $ 127,076   $ 169,220  
  Voyage expenses   2,944     3,315     10,505     9,054  
  Vessel operating expenses   21,318     21,981     63,441     67,232  
  Net income/(loss)   (13,151 )   1,770     (126,767 )   3,446  
  Net income/(loss) attributed to common stockholders   (14,593 )   328     (131,094 )   (880 )
FLEET DATA
  Average number of vessels   40.4     43.8     41.1     45.9  
  Number of vessels   40.0     43.0     40.0     43.0  
  Weighted average age of vessels   10.0     9.4     10.0     9.4  
  Ownership days   3,719     4,027     11,251     12,526  
  Available days   3,670     3,960     10,695     12,358  
  Operating days   3,572     3,938     10,410     12,255  
  Fleet utilization   97.3 %   99.4 %   97.3 %   99.2 %
AVERAGE DAILY RESULTS
  Time charter equivalent (TCE) rate (1) $ 10,735   $ 12,682   $ 10,900   $ 12,961  
  Daily vessel operating expenses (2) $ 5,732   $ 5,458   $ 5,639   $ 5,367  

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, November 23, 2020.

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 13712525.

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 September 30,   Nine months ended September 30,
      2020     2019     2020     2019  
REVENUES:                
  Time charter revenues $ 42,341   $ 53,534   $ 127,076   $ 169,220  
EXPENSES:                
  Voyage expenses   2,944     3,315     10,505     9,054  
  Vessel operating expenses   21,318     21,981     63,441     67,232  
  Depreciation and amortization of deferred charges   9,399     12,113     32,682     36,841  
  General and administrative expenses   9,463     7,137     25,748     20,782  
  Management fees to related party   497     537     1,511     1,567  
  Vessel impairment charges   6,832     -     102,525     7,519  
  Loss on sale of vessels   7     716     1,085     2,835  
  Other loss/(gain)   271     (489 )   129     (556 )
  Operating income/(loss) $ (8,390 ) $ 8,224   $ (110,550 ) $ 23,946  
                   
OTHER INCOME / (EXPENSES):                
  Interest expense and finance costs   (4,874 )   (7,206 )   (16,883 )   (22,709 )
  Interest income   55     754     694     2,255  
  Gain on extinguishment of debt   374     -     374     -  
  Loss from equity method investment   (316 )   (2 )   (402 )   (46 )
  Total other expenses, net $ (4,761 ) $ (6,454 ) $ (16,217 ) $ (20,500 )
                   
Net income/(loss) $ (13,151 ) $ 1,770   $ (126,767 ) $ 3,446  
Dividends on series B preferred shares   (1,442 )   (1,442 )   (4,327 )   (4,326 )
Net income/(loss) attributed to common stockholders   (14,593 )   328     (131,094 )   (880 )
Loss per common share, basic and diluted $ (0.17 ) $ -   $ (1.53 ) $ (0.01 )
Weighted average number of common shares, basic   85,745,586     93,359,239     85,923,171     96,934,593  
                   
Weighted average number of common shares, diluted   85,745,586     94,274,398     85,923,171     96,934,593  
                   
      Three months ended September 30,   Nine months ended September 30,
      2020     2019     2020     2019  
                   
Net income/(loss) $ (13,151 ) $ 1,770   $ (126,767 ) $ 3,446  
Other comprehensive loss (Actuarial loss)   (6 )   (9 )   (20 )   (27 )
Comprehensive income/(loss) $ (13,157 ) $ 1,761   $ (126,787 ) $ 3,419  


CONDENSED CONSOLIDATED BALANCE SHEET DATA
(in thousands of U.S. Dollars)  
           
      September 30, 2020   December 31, 2019*
ASSETS   (unaudited)    
           
Cash, cash equivalents and restricted cash $ 90,386 $ 128,288
Other current assets   35,455   29,751
Vessels, net   731,433   882,297
Other fixed assets, net   21,736   22,077
Investments in related parties   28   1,680
Other non-current assets   9,290   7,187
  Total assets $ 888,328 $ 1,071,280
           
LIABILITIES AND STOCKHOLDERS' EQUITY        
           
Long-term debt, net of deferred financing costs $ 430,890 $ 474,951
Other liabilities   20,965   26,265
Total stockholders' equity   436,473   570,064
  Total liabilities and stockholders' equity $ 888,328 $ 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 September 30,   Nine months ended September 30,
    2020     2019     2020     2019  
                 
Net cash provided by/(used in) operating activities $ (430 ) $ 11,523   $ 11,307   $ 44,475  
Net cash provided by investing activities   13,862     12,244     11,598     32,384  
Net cash used in financing activities $ (24,736 ) $ (18,914 ) $ (60,807 ) $ (78,912 )



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
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