Diamond Offshore Q1 Profit Falls, Weatherford Reverses Loss

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Deepwater driller Diamond Offshore said its first-quarter profit slumped 14% due to lower day rates, but higher utilization rates helped the company beat Wall Street estimates. The company's net income fell to $251 million, or $1.80 per share, from $291 million, or $2.09 per share, a year earlier. Revenue slid 6% to $806 million.

Analysts were expecting a profit of $1.42 a share on revenue of $798 million. Texas-based Diamond Offshore (DO) also set a special dividend of 75 cents a share.

Separately, Weatherford International (WFT), the world's fourth-largest oilfield services company, posted a first-quarter profit of $59.2 million, or 8 cents a share compared with a year-ago loss of $68.4 million, or 9 cents a share. On an adjusted basis, Weatherford earned 10 cents a share. Revenue climbed 23% to $2.9 billion. Analysts were expecting a profit of 18 cents on revenue of $2.82 billion.

The Switzerland-based company forecast a second-quarter profit of 15-17 cents a share, below the 20 cents analysts were expecting. Weatherford said it plans to boost capital spending this year to take advantage of increased demand for the company's services in North America and international markets.