Diana Shipping Inc. (NYSE:DSX) Q3 2019 Earnings Conference Call - Preliminary Transcript

Dec 02, 2019 • 09:00 am ET

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Diana Shipping Inc. (NYSE:DSX) Q3 2019 Earnings Conference Call - Preliminary Transcript

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Q & A
Operator
Operator

Thank you, will now be conducting a question-and-answer session. (Operator Instruction). One moment please while we poll for questions. Our first question today is coming from Randy Giveans from Jefferies. Your line is now live

Analyst
Randy Giveans

how do you team, Diana and they congrats so me on the new role.

Executive
Unidentified Speaker

Thank you, Randy.

Analyst
Randy Giveans

All right. So first, obviously it seems like you're focused on share buybacks, the tenders as you sell the older vessels. I think obviously is a prudent strategy at these equity prices now with a strong cash balance stable operating cash flow through at least 2020.

How do you plan on putting the excess cash to work, is it further tenders fleet renewal maybe looking at buying back the preferred equity

Executive
Unidentified Speaker

yeah, hi, Randy. This is(inaudible) speaking as we have said in the past as long as our stock price is price below clearly below NAV buying back our shares is going to pose as a very attractive thing to do. But having said that, we have to take into account the public nature of the company and we will certainly do not do anything the jeopardize the public nature of the company by overdoing it with the tender offers. Having said that, still have plenty of room to grow and the plan is to keep buying back their stock as long as we are under price for the benefit of our shareholders and from the moment that we end up in a fair value for our stock, we may reintroduce

Executive
Unidentified Speaker

Dividend for the excess costs that you referred to

Analyst
Randy Giveans

perfect. Again, and kind of following up on your mention of the NAV there. Where do you see your kind of current NAV

Executive
Unidentified Speaker

and this is your job not ours we leave it will leave the NAV calculation to the analysts. We never comment on that, you know that

Analyst
Randy Giveans

Thanks for giving the opportunity. No problem part. So (inaudible) I think ahead to draw of (inaudible) So following on your recent vessel sales. You have two Panamax is one Capesize order than 15 years of age sold off a lot of the older vessels.

What are your fleet growth maybe renewal plans and then do you have a preference for Capesizes versus Panamaxes going into 2020

Executive
Unidentified Speaker

I get (ph) Ioannis again here. As we have said in the past, we are, of course, we do not we are not our though, we are not in favor of keeping a particular size for our company for our fleet. We do not see a problem operating 30 vessels said of 50 provided that of the appropriate (inaudible) , so the renewal is done through the sale of older, our average age is good enough as we speak.

We are not considering these as a Phase to grow the company. And if you are asking us whether we have a preference on case or Panamaxes, we have to repeat what we have said in the past, but from the moment the