Greece-based DryShips Inc. (DRYS) reported first-quarter of 2016 net income of $55.4 million, after reporting a loss in the same period a year earlier.
The company said it had profit of $2.05 per share. Losses, adjusted for non-recurring gains, came to 78 cents per share.
Vessel impairment charges and loss on sales, of $40.8 million, or $1.53 per share. Net income pick-up from the Company's 40.4% ownership in Ocean Rig, of $116.5 million, or $4.36 per share.
The operator of oil rigs and dry cargo carriers posted revenue of $11.9 million in the period.
On April 11, 2016, the Company received notice of termination from Petroleo Brasileiro S.A. (Petrobras) of the contract for the oil spill recovery vessel Vega Inruda effective as of April 6, 2016.
On April 5, 2016, the Company sold all of its shares in Ocean Rig, to a subsidiary of Ocean Rig for total cash consideration of approximately $49.9 million. The Company no longer holds any equity interest in Ocean Rig.
DRYS says it is in talks with its lenders for the restructuring of its debt facilities; three of the bank facilities have matured and DRYS says it has not made the final balloon installment, and the company is suspending principal and interest payments for the remaining facilities.