6-K 1 d669518_6-k.txt FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 For the month of May 2006 DIANA SHIPPING INC. (Translation of registrant's name into English) Diana Shipping Inc. Pendelis 16 175 64 Palaio Faliro Athens, Greece (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F [X] Form 40-F [_] Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes [_] No [X] INFORMATION CONTAINED IN THIS FORM 6-K REPORT Attached to this Report on Form 6-K as Exhibit 1 is a copy of the press release issued by Diana Shipping Inc. (the "Company") on May 11, 2006, announcing the Company's Financial Results for the First Quarter Ended March 31, 2006, the declaration of a cash dividend and a Conference Call and Webcast to be Held on May 12, 2006. Corporate Contact: Ioannis Zafirakis Director and Vice-President Telephone: + 30-210-9470100 Email: izafirakis@dianashippinginc.com Investor and Media Relations: Edward Nebb Euro RSCG Magnet Telephone: + 1-212-367-6848 Email: ed.nebb@eurorscg.com DIANA SHIPPING INC. REPORTS FINANCIAL RESULTS FOR THE FIRST QUARTER ENDED MARCH 31, 2006 DECLARES CASH DIVIDEND OF $0.345 PER SHARE FOR THE FIRST QUARTER CONFERENCE CALL AND WEBCAST TO BE HELD ON MAY 12, 2006 ATHENS, GREECE, May 11, 2006 - Diana Shipping Inc. (NYSE: DSX), a global shipping transportation company specializing in dry bulk cargoes, today reported net income of $11.7 million for the three months ended March 31, 2006 compared to $14.6 million for the same period of 2005. Voyage and time charter revenues were $24.2 million for the three months ended March 31, 2006, compared to $23.9 million for the same period of 2005. Voyage and time charter revenues and net income reported for the first quarter of 2006 have been reduced by $0.8 million, reflecting the non-cash amortization of the prepaid time charter revenue of the vessel Thetis. Dividend declaration The Company has declared a cash dividend on its common stock of $0.345 per share, based on the Company's results from operations during the quarter ended March 31, 2006. The cash dividend will be payable on or about June 8, 2006 to all shareholders of record as of May 18, 2006. The Company has 45 million shares of common stock outstanding. During the quarter ended March 31, 2006, there were 12.7 vessels on average operating in the Company's fleet, as compared with 8.0 vessels during the corresponding period of 2005. Fleet Employment Profile Currently Diana's fleet is employed as follows:
Sister Name ships(3) Year Built DWT Employment (1) Expiration(2) ----------------- ---------- -------------- --------------- -------------------------- ----------------------- Nirefs A 2001 75,311 4TCs Average + 4.5%(4) Mar 04, 2006 Alcyon A 2001 75,247 $ 22,582 Oct 15, 2007 Triton A 2001 75,336 $18,250 May 12, 2006 Oceanis A 2001 75,211 $17,000 May 20, 2006 Dione A 2001 75,172 $16,300 June 10, 2006 Danae A 2001 75,106 $ 30,000 Jan 13, 2007 Protefs B 2004 73,630 4TCs Average(4) Jan 04, 2007 Calipso B 2005 73,691 4TCs Average(4) Dec 21, 2007 Clio B 2005 73,691 4TCs Average +$850(4) Jan 02, 2007 Thetis B 2004 73,583 $ 25,000 Jul 19, 2007 Erato C 2004 74,444 $ 21,000 Oct 22, 2006 Coronis C 2006 74,381 $ 21,000 Dec 27, 2006 Pantelis SP - 1999 169,883 $ 47,500 Jan 25, 2008 --------------- Total: 1,064,686
(1) Gross Time Charter Rate per day. (2) Estimated dates assuming earliest redelivery by charterers. (3) Each vessel is a sister ship of the other vessels that have the same letter. (4) Adjustable every 15 days based on the average of four main pre-determined time charter routes, as published by the Baltic Exchange. (5) As of March 31, 2006 Summary of Selected Financial & Other Data Three Months Ended March 31, 2006 2005 ------- --------- (unaudited) (unaudited) INCOME STATEMENT DATA (in thousands of US Dollars): Voyage and time charter revenues $ 24,179 $ 23,906 Voyage expenses 1,755 1,634 Vessel operating expenses 4,927 3,176 Net income 11,716 14,555 FLEET DATA Average number of vessels 12.7 8.0 Number of vessels at the end of the period 13.0 9.0 Weighted average age of fleet (in years) 3.8 3.8 Ownership days 1,146 723 Available days 1,112 723 Operating days 1,108 718 Fleet utilization 99.6% 99.3% AVERAGE DAILY RESULTS Time charter equivalent (TCE) rate (1) $ 20,165 $ 30,805 Daily vessel operating expenses (2) $ 4,299 $ 4,393 (1) Time charter equivalent rates, or TCE rates, are defined as our voyage and 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 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 Diana Shipping Inc. will conduct a conference call and simultaneous Internet webcast webcast to review these results at 10:00 A.M. (Eastern Time) on Friday, May 12, 2006. Investors may access the webcast by visiting the Company's website at www.dianashippinginc.com, and clicking on the webcast link. The webcast also is accessible at www.viavid.net, by clicking on the Diana Shipping link under "Events". The conference call also may be accessed by telephone by dialing 1-877-692-2086 (for U.S.-based callers) or 1-973-935-8599 (for international callers). A replay of the webcast will be available soon after the completion of the call and will be accessible on both www.dianashippinginc.com and www.viavid.net. A telephone replay will be available by dialing 1-877-519-4471 (for U.S.-based callers) or 1-973-341-3080 (for international callers); callers must use the PIN number 7358810. About the Company Diana Shipping Inc. is a global provider of shipping transportation services. The Company specializes in transporting dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes. Diana Shipping Inc. priced its initial public offering of common stock on March 17, 2005. 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," "except," "anticipate," "intends," "estimate," "forecast," "project," "plan," "potential," "will," "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, our management's examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. In addition to these important factors, other important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include 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 our operating expenses, including bunker prices, drydocking and insurance costs, the market for our 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, vessels breakdowns and instances of off-hires and other factors. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. (See financial tables attached) DIANA SHIPPING INC. FINANCIAL TABLES Expressed in thousands of U.S. Dollars, except share, per day and fleet data
CONSOLIDATED STATEMENTS OF INCOME Three Months Ended March 31, 2006 2005 -------------- --------------- (unaudited) (unaudited) REVENUES: Voyage and time charter revenues $ 24,179 $ 23,906 EXPENSES: Voyage expenses 1,755 1,634 Vessel operating expenses 4,927 3,176 Depreciation and amortization of deferred charges 3,757 1,879 Management fees 572 363 Executive management services and rent 76 342 General and administrative expenses 824 430 Foreign currency losses (gains) 10 (8) ------------- ------------ Operating income 12,258 16,090 ------------- ------------ OTHER INCOME (EXPENSES): Interest and finance costs, net (785) (1,677) Interest Income 243 142 ------------- ------------ Total other income (expenses), net (542) (1,535) ------------- ------------ Net Income $ 11,716 $ 14,555 ============= ============ Earnings per common share, basic and diluted $ 0.26 $ 0.49 ============= ============ Weighted average number of common shares, basic and diluted 45,000,000 29,550,000 ============= ============ BALANCE SHEET DATA March 31, December 31, 2006 2005 -------------- ------------- ASSETS (unaudited) ------ Cash and cash equivalents 19,418 21,230 Other current assets 5,319 5,367 Advances for vessels under construction and acquisitions and other vessel costs - 4,221 Vessels' net book value 345,840 307,305 Other non-current assets 3,408 3,826 ------------- ------------- Total assets $ 373,985 341,949 ============= ============= LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities, including current portion of long term debt 4,619 4,667 Long-term debt, net of current portion 51,169 12,859 Other non-current liabilities 247 265 Total stockholders' equity 317,950 324,158 ------------- ------------- Total liabilities and stockholders' equity $ 373,985 341,949 ============= ============= OTHER FINANCIAL DATA Three Months Ended March 31, 2006 2005 ------------- -------------- (unaudited) (unaudited) Net cash from operating activities $ 15,605 $ 17,754 Net cash used in investing activities (37,917) (72,232) Net cash from financing activities 20,500 88,049
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. DIANA SHIPPING INC. (registrant) Dated: May 11, 2006 By: /s/ Anastassis Margaronis -------------------------- Anastassis Margaronis President SK 23159 0002 669518