Company: DSX-PB
Filing Date: 2025-03-21
Form Type: 20-F
Source: 0001562762-25-000050
Chunk: 261

Company: DIANA SHIPPING INC.
Filing Date: 2025-03-21
Form: 20-F
Item: Item 19
Chunk 261
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. Our audit included performing

procedures to assess the risks of material

misstatement of the financial statements,

whether due to error or fraud, and performing

procedures that respond to

those risks. Such procedures included examining,

on a test basis, evidence regarding

the amounts and disclosures in the

financial statements. Our audit also

included evaluating the accounting principles

used and significant estimates made by

management, as well as evaluating the overall

presentation of the financial

statements. We

believe that our audit

provide a reasonable basis for our opinion.

Critical Audit Matter

The critical audit matter communicated

below is a matter arising from the current

-period audit of the financial

statements that was communicated

or required to be communicated

to the audit committee and that (1) relates

to

accounts or disclosures that are material

to the financial statements and (2) involved

our especially challenging,

subjective, or complex judgments. The communication

of critical audit matters does not alter

in any way our opinion on

the financial statements, taken

as a whole, and we are not, by communicating

the critical audit matter below,

providing a

separate opinion on the critical audit matter

or on the accounts or disclosures to which it relates.

F-3

Impairment of long-lived assets - 

Future Charter Rates for vessels with impairment indicators

 - Refer to Note 2 of the

consolidated financial statements.

Critical Audit Matter Description

The Company’s evaluation

of vessels held for use by the Company

for impairment involves

an initial assessment of each

vessel to determine whether events or

changes in circumstances indicate

that the carrying amount of the vessel may

not

be recoverable. As at December

31, 2024, 12 out of 38 vessels held for use had impairment

indicators.

If impairment indicators exist,

the Company compares undiscounted

projected net operating cash

flows to the carrying

value of the respective vessel with impairment

indicators to determine

if the vessel is required to be impaired.

When the

Company’s estimate

of undiscounted projected net

operating cash flows, excluding

interest charges, expected

to be

generated by the use and eventual

disposition of the vessel is less than its carrying amount,

the Company records an

impairment loss equal to the difference

between the vessel’s

carrying value and fair market

value.

The Company makes various assumptions

and judgments to determine the undiscounted