Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 26, 2020 | Jun. 28, 2019 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | Mammoth Energy Services, Inc. | ||
Entity Central Index Key | 0001679268 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Interactive Data Current | Yes | ||
Entity Small Business | false | ||
Entity Common Stock, Shares Outstanding | 45,108,545 | ||
Entity Public Float | $ 89.6 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 5,872 | $ 67,625 |
Accounts receivable, net | 363,053 | 337,460 |
Receivables from related parties | 7,523 | 11,164 |
Inventories | 17,483 | 21,302 |
Prepaid expenses | 12,354 | 11,317 |
Other current assets | 695 | 688 |
Total current assets | 406,980 | 449,556 |
Property, plant and equipment, net | 352,772 | 436,699 |
Sand reserves | 68,351 | 71,708 |
Operating lease right-of-use assets | 43,446 | |
Intangible assets, net | 5,788 | 7,756 |
Goodwill | 67,581 | 101,245 |
Other non-current assets | 7,467 | 6,127 |
Total assets | 952,385 | 1,073,091 |
CURRENT LIABILITIES | ||
Accounts payable | 39,220 | 68,843 |
Payables to related parties | 526 | 370 |
Accrued expenses and other current liabilities | 40,754 | 59,652 |
Current operating lease liability | 16,432 | |
Income taxes payable | 33,465 | 104,958 |
Total current liabilities | 130,397 | 233,823 |
Long-term debt | 80,000 | 0 |
Deferred income tax liabilities | 36,873 | 79,309 |
Long-term operating lease liability | 27,102 | |
Asset retirement obligations | 4,241 | 3,164 |
Other liabilities | 5,031 | 2,743 |
Total liabilities | 283,644 | 319,039 |
COMMITMENTS AND CONTINGENCIES (Note 20) | ||
Equity: | ||
Common stock, $0.01 par value, 200,000,000 shares authorized, 45,108,545 and 44,876,649 issued and outstanding at December 31, 2019 and 2018 | 451 | 449 |
Additional paid in capital | 535,094 | 530,919 |
Retained earnings | 136,502 | 226,765 |
Accumulated other comprehensive loss | (3,306) | (4,081) |
Total equity | 668,741 | 754,052 |
Total liabilities and equity | 952,385 | 1,073,091 |
Customer relationships | ||
CURRENT ASSETS | ||
Intangible assets, net | 583 | 1,711 |
Trade names | ||
CURRENT ASSETS | ||
Intangible assets, net | $ 5,205 | $ 6,045 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares, issued (in shares) | 45,108,545 | 44,876,649 |
Common stock outstanding (in shares) | 45,108,545 | 44,876,649 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
REVENUE | ||||
Revenue | $ 625,012,000 | $ 1,690,084,000 | $ 691,496,000 | [1] |
COST AND EXPENSES | ||||
Gross profit (loss) | 81,224,000 | 596,280,000 | ||
Selling, general and administrative (Note 13) | 49,705,000 | 71,199,000 | 48,405,000 | [2] |
Selling, general and administrative - related parties (Note 13) | 1,847,000 | 1,898,000 | 1,481,000 | [2] |
Depreciation, depletion, amortization and accretion | 117,033,000 | 119,877,000 | 92,124,000 | [2] |
Impairment of goodwill | 33,664,000 | 3,203,000 | 0 | [2],[3] |
Impairment of other long-lived assets | 7,358,000 | 5,652,000 | 4,146,000 | [2],[3] |
Total cost and expenses | 753,395,000 | 1,295,633,000 | 628,725,000 | [1] |
Operating (loss) income | (128,383,000) | 394,451,000 | 62,771,000 | [1] |
OTHER INCOME (EXPENSE) | ||||
Interest expense, net | (4,958,000) | (3,187,000) | (4,310,000) | [2] |
Bargain purchase gain | 0 | 0 | 4,012,000 | [2],[3] |
Other, net | 42,216,000 | (2,036,000) | (677,000) | [2] |
Total other income (expense) | 37,258,000 | (5,223,000) | (975,000) | [1] |
(Loss) income before income taxes | (91,125,000) | 389,228,000 | 61,796,000 | [1] |
(Benefit) provision for income taxes | (12,081,000) | 153,263,000 | 2,832,000 | [2] |
Net (loss) income | (79,044,000) | 235,965,000 | 58,964,000 | [1],[3] |
OTHER COMPREHENSIVE INCOME (LOSS) | ||||
Foreign currency translation adjustment, net of tax of ($203), $397 and $645, respectively, for 2019, 2018 and 2017 | 775,000 | (1,420,000) | 555,000 | [2] |
Comprehensive (loss) income | $ (78,269,000) | $ 234,545,000 | $ 59,519,000 | [1] |
Net (loss) income per share (basic) (in USD per share) | $ (1.76) | $ 5.27 | $ 1.42 | [1] |
Net (loss) income per share (diluted) (in USD per share) | $ (1.76) | $ 5.24 | $ 1.42 | [1] |
Weighted average number of shares outstanding (Note 16) (in shares) | 45,011 | 44,750 | 41,548 | [1] |
Weighted average number of shares outstanding, including dilutive effect (in shares) | 45,011 | 45,021 | 41,639 | [1] |
Service | ||||
REVENUE | ||||
Revenue | $ 452,594,000 | $ 1,471,085,000 | $ 435,409,000 | [2] |
COST AND EXPENSES | ||||
Gross profit (loss) | 451,206,000 | 961,205,000 | 390,112,000 | [2] |
Product | ||||
REVENUE | ||||
Revenue | 42,105,000 | 75,766,000 | 47,067,000 | [2] |
COST AND EXPENSES | ||||
Gross profit (loss) | 87,812,000 | 126,714,000 | 91,049,000 | [2] |
Related parties | ||||
COST AND EXPENSES | ||||
Selling, general and administrative - related parties (Note 13) | 1,847,000 | 1,898,000 | 1,481,000 | |
Related parties | Service | ||||
REVENUE | ||||
Revenue | 102,624,000 | 118,183,000 | 166,064,000 | [2] |
COST AND EXPENSES | ||||
Gross profit (loss) | 4,770,000 | 5,885,000 | 1,408,000 | [2] |
Related parties | Product | ||||
REVENUE | ||||
Revenue | $ 27,689,000 | $ 25,050,000 | $ 42,956,000 | [2] |
[1] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. | |||
[2] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||
[3] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Tax portion of foreign currency translation adjustment | $ (203) | $ 397 | $ 645 |
Service | |||
Depreciation, amortization, and accretion, cost of revenue | 102,901 | 106,282 | 82,686 |
Product | |||
Depreciation, amortization, and accretion, cost of revenue | 14,039 | 13,512 | 9,389 |
Related parties | Service | |||
Depreciation, amortization, and accretion, cost of revenue | 0 | 0 | 0 |
Related parties | Product | |||
Depreciation, amortization, and accretion, cost of revenue | $ 0 | $ 0 | $ 0 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | Members' Equity | Common Stock | Retained Earnings (Deficit) | Additional Paid-In Capital | Accumulated Other Comprehensive Loss | Stingray Entities | Stingray EntitiesCommon Stock | Stingray EntitiesAdditional Paid-In Capital | Sturgeon Acquisitions LLC | Sturgeon Acquisitions LLCMembers' Equity | Sturgeon Acquisitions LLCCommon Stock | Sturgeon Acquisitions LLCAdditional Paid-In Capital |
Beginning balance (in shares) at Dec. 31, 2016 | 37,500,000 | ||||||||||||
Beginning balance at Dec. 31, 2016 | $ 422,781 | $ 375 | $ (56,323) | $ 400,206 | $ (3,216) | ||||||||
Beginning balance at Dec. 31, 2016 | $ 81,739 | ||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||
Net income of Sturgeon prior to acquisition | 640 | 640 | |||||||||||
Acquisition of company (in shares) | 1,393,000 | 5,607,000 | |||||||||||
Acquisition of company | $ 25,762 | $ 14 | $ 25,748 | $ (4,010) | $ (82,379) | $ 56 | $ 78,313 | ||||||
Stock based compensation (in shares) | 89,000 | ||||||||||||
Stock based compensation | 3,744 | $ 1 | 3,743 | ||||||||||
Net income (loss) | 58,324 | 58,324 | |||||||||||
Other comprehensive income (loss) | 555 | 555 | |||||||||||
Ending balance (in shares) at Dec. 31, 2017 | 44,589,000 | ||||||||||||
Ending balance at Dec. 31, 2017 | 507,796 | $ 446 | 2,001 | 508,010 | (2,661) | ||||||||
Ending balance at Dec. 31, 2017 | 0 | ||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||
Stock based compensation (in shares) | 288,000 | ||||||||||||
Stock based compensation | 5,425 | $ 3 | 5,422 | ||||||||||
Net income (loss) | 235,965 | 235,965 | |||||||||||
Other comprehensive income (loss) | (1,420) | (1,420) | |||||||||||
Equity based compensation (Note 17) | 17,487 | 17,487 | |||||||||||
Cash dividends declared | $ (11,201) | (11,201) | |||||||||||
Ending balance (in shares) at Dec. 31, 2018 | 44,876,649 | 44,877,000 | |||||||||||
Ending balance at Dec. 31, 2018 | $ 754,052 | $ 449 | 226,765 | 530,919 | (4,081) | ||||||||
Ending balance at Dec. 31, 2018 | 0 | ||||||||||||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||||||||||||
Stock based compensation (in shares) | 232,000 | ||||||||||||
Stock based compensation | 4,177 | $ 2 | 4,175 | ||||||||||
Net income (loss) | (79,044) | (79,044) | |||||||||||
Other comprehensive income (loss) | 775 | 775 | |||||||||||
Cash dividends declared | $ (11,219) | (11,219) | |||||||||||
Ending balance (in shares) at Dec. 31, 2019 | 45,108,545 | 45,109,000 | |||||||||||
Ending balance at Dec. 31, 2019 | $ 668,741 | $ 451 | $ 136,502 | $ 535,094 | $ (3,306) | ||||||||
Ending balance at Dec. 31, 2019 | $ 0 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends declared (in usd per share) | $ 0.25 | $ 0.25 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | Dec. 31, 2019 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Cash flows from operating activities | |||||||||||||
Net (loss) income | $ (60,779,000) | $ 28,333,000 | $ 68,207,000 | $ 55,546,000 | $ (79,044,000) | $ 235,965,000 | $ 58,964,000 | [1],[2] | |||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | |||||||||||||
Equity based compensation (Note 17) | 0 | 17,487,000 | 0 | [1] | |||||||||
Stock based compensation | 4,177,000 | 5,425,000 | 3,741,000 | [1] | |||||||||
Depreciation, depletion, amortization and accretion | 117,033,000 | 119,877,000 | 92,124,000 | [1] | |||||||||
Amortization of coil tubing strings | 1,641,000 | 2,193,000 | 2,855,000 | [1] | |||||||||
Amortization of debt origination costs | 326,000 | 387,000 | 399,000 | [1] | |||||||||
Bad debt expense (Note 2) | 1,434,000 | (14,578,000) | 16,206,000 | [1] | |||||||||
Loss on disposal of property and equipment | 55,000 | 947,000 | 69,000 | [1] | |||||||||
Gain on bargain purchase | 0 | 0 | (4,012,000) | [1],[3] | |||||||||
Impairment of goodwill | $ 30,500,000 | 33,664,000 | 3,203,000 | 0 | [1],[3] | $ 0 | |||||||
Impairment of other long-lived assets | 7,358,000 | 5,652,000 | 4,146,000 | [1],[3] | |||||||||
Inventory obsolescence | 1,349,000 | 0 | 0 | [1] | |||||||||
Deferred income taxes | (42,639,000) | 52,226,000 | (34,425,000) | [1] | |||||||||
Other | 986,000 | (16,000) | 0 | [1] | |||||||||
Changes in assets and liabilities, net of acquisitions of businesses: | |||||||||||||
Accounts receivable, net | (27,006,000) | (78,840,000) | (231,751,000) | [1] | |||||||||
Receivables from related parties | 3,641,000 | 22,624,000 | (1,096,000) | [1] | |||||||||
Inventories | 830,000 | (5,502,000) | (14,238,000) | [1] | |||||||||
Prepaid expenses and other assets | (1,040,000) | 1,423,000 | (7,628,000) | [1] | |||||||||
Accounts payable | (25,968,000) | (64,966,000) | 101,725,000 | [1] | |||||||||
Payables to related parties | 156,000 | (1,008,000) | 1,174,000 | [1] | |||||||||
Accrued expenses and other liabilities | (18,800,000) | 15,445,000 | 32,968,000 | [1] | |||||||||
Income taxes payable | (71,499,000) | 68,692,000 | 36,395,000 | [1] | |||||||||
Net cash (used in) provided by operating activities | (95,318,000) | 386,668,000 | 57,616,000 | [1] | |||||||||
Cash flows from investing activities: | |||||||||||||
Purchases of property and equipment | (35,417,000) | (187,285,000) | (132,295,000) | [1] | |||||||||
Purchases of property and equipment from related parties | (344,000) | (4,658,000) | (1,558,000) | [1] | |||||||||
Business acquisitions, net | 0 | (20,824,000) | (42,008,000) | [1] | |||||||||
Contributions to equity investee | (680,000) | (702,000) | 0 | [1] | |||||||||
Proceeds from disposal of property and equipment | 3,217,000 | 1,514,000 | 907,000 | [1] | |||||||||
Business combination cash acquired (Note 4) | 0 | 0 | 2,671,000 | [1] | |||||||||
Net cash used in investing activities | (33,224,000) | (211,955,000) | (172,283,000) | [1] | |||||||||
Cash flows from financing activities: | |||||||||||||
Borrowings on long-term debt | 156,000,000 | 77,000,000 | 156,850,000 | [1] | |||||||||
Repayments of long-term debt | (76,000,000) | (176,900,000) | (56,950,000) | [1] | |||||||||
Dividends paid | (11,219,000) | (11,201,000) | 0 | [1] | |||||||||
Principal payments on financing leases and equipment financing notes | (2,079,000) | (292,000) | 0 | [1] | |||||||||
Debt issuance costs | 0 | (1,199,000) | 0 | [1] | |||||||||
Repayment of acquisition-related long-term debt | 0 | 0 | (8,851,000) | [1] | |||||||||
Net cash provided by (used in) financing activities | 66,702,000 | (112,592,000) | 91,049,000 | [1] | |||||||||
Effect of foreign exchange rate on cash | 87,000 | (133,000) | 16,000 | [1] | |||||||||
Net (decrease) increase in cash and cash equivalents | (61,753,000) | 61,988,000 | (23,602,000) | [1] | |||||||||
Cash and cash equivalents at beginning of period | $ 67,625,000 | $ 5,637,000 | [1] | 67,625,000 | 5,637,000 | [1] | 29,239,000 | [1] | |||||
Cash and cash equivalents at end of period | $ 5,872,000 | $ 5,872,000 | $ 67,625,000 | 5,872,000 | 67,625,000 | 5,637,000 | [1] | $ 29,239,000 | [1] | ||||
Supplemental disclosure of cash flow information: | |||||||||||||
Cash paid for interest | 4,741,000 | 3,212,000 | 3,656,000 | [1] | |||||||||
Cash paid for income taxes | 110,848,000 | 32,757,000 | 840,000 | [1] | |||||||||
Supplemental disclosure of non-cash transactions: | |||||||||||||
Acquisition of Stingray Cementing LLC and Stingray Energy Services LLC | 0 | 0 | 23,091,000 | [1] | |||||||||
Purchases of property and equipment included in accounts payable | 2,303,000 | 11,908,000 | 15,038,000 | [1] | |||||||||
Right-of-use assets obtained for financing lease liabilities | $ 3,721,000 | $ 0 | $ 0 | ||||||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||||||||
[2] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. | ||||||||||||
[3] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Organization and Basis of Prese
Organization and Basis of Presentation | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation The accompanying consolidated financial statements were prepared in accordance with the rules and regulations of the Securities and Exchange Commission, and reflect all adjustments, which in the opinion of management are necessary for the fair presentation of the results. Mammoth Energy Services, Inc. (“Mammoth Inc.” or the “Company”), together with its subsidiaries, is an integrated, growth-oriented company serving both the oil and gas and the electric utility industries in North America and US territories. Mammoth Inc.'s infrastructure division provides construction, upgrade, maintenance and repair services to various public and private owned utilities. Its oilfield services division provides a diversified set of services to the exploration and production industry including pressure pumping, natural sand and proppant and drilling services as well as coil tubing, equipment rental, crude oil hauling, full service transportation and remote accommodation services. The Company was incorporated in Delaware in June 2016 as a wholly-owned subsidiary of Mammoth Energy Partners, LP, a Delaware limited partnership (the “Partnership” or the “Predecessor”). The Partnership was originally formed by Wexford Capital LP (“Wexford”) in February 2014 as a holding company under the name Redback Energy Services Inc. and was converted to a Delaware limited partnership in August 2014. On November 24, 2014, Mammoth Energy Holdings, LLC (“Mammoth Holdings,” an entity controlled by Wexford), Gulfport Energy Corporation (“Gulfport”) and Rhino Resource Partners LP (“Rhino”) (collectively known as “Predecessor Interest”) contributed their interest in certain of the entities presented below to the Partnership in exchange for 20 million limited partner units. Mammoth Energy Partners GP, LLC (the “General Partner”) held a non-economic general partner interest in the Partnership. The following companies (“Operating Entities”) are included in these consolidated financial statements: Bison Drilling and Field Services, LLC (“Bison Drilling”), formed November 15, 2010; Bison Trucking LLC (“Bison Trucking”), formed August 9, 2013; White Wing Tubular Services LLC (“White Wing”), formed July 29, 2014; Barracuda Logistics LLC (“Barracuda”), formed October 24, 2014; Mr. Inspections LLC (“MRI”), formed January 25, 2015; Panther Drilling Systems LLC (“Panther”), formed December 11, 2012; Redback Energy Services, LLC (“Redback Energy”), formed October 6, 2011; Redback Coil Tubing, LLC (“Coil Tubing”), formed May 15, 2012; Redback Pump Down Services LLC (“Pump Down”), formed January 16, 2015; Muskie Proppant LLC (“Muskie”), formed September 14, 2011; Stingray Pressure Pumping LLC (“Stingray Pressure Pumping”), acquired November 24, 2014; Silverback Energy LLC (“Silverback”), formerly known as Stingray Logistics LLC, acquired November 24, 2014; Great White Sand Tiger Lodging Ltd. (“Sand Tiger”), formed October 1, 2007; WTL Oil LLC (“WTL”), formerly known as Silverback Energy Services LLC, formed June 8, 2016; Mammoth Equipment Leasing LLC, formed November 14, 2016; Cobra Acquisitions LLC (“Cobra”), formed January 9, 2017; Lion Power Services LLC (“Lion Power”), formerly known as Cobra Energy LLC, formed January 25, 2017; Mako Acquisitions LLC (“Mako”), formed March 28, 2017; Piranha Proppant LLC (“Piranha”), formed March 28, 2017; Higher Power Electrical LLC (“Higher Power”), acquired April 21, 2017; Stingray Energy Services LLC (“SR Energy”), acquired June 5, 2017; Stingray Cementing LLC (“Cementing”), acquired June 5, 2017; Sturgeon Acquisitions LLC (“Sturgeon”), acquired June 5, 2017; Taylor Frac, LLC (“Taylor Frac”), acquired June 5, 2017; Taylor Real Estate Investments, LLC (“Taylor RE”), acquired June 5, 2017; South River Road, LLC (“South River”), acquired June 5, 2017; 5 Star Electric, LLC (“5 Star”), acquired July 1, 2017; Tiger Shark Logistics LLC (“Tiger Shark”), formed October 20, 2017; Cobra Aviation Services LLC (“Cobra Aviation”), formed January 2, 2018; Bison Sand Logistics LLC (“Bison Sand”), formed January 8, 2018; Dire Wolf Energy Services LLC (“Dire Wolf”), formed January 8, 2018; Cobra Logistics Holdings LLC (“Cobra Logistics”), formed February 13, 2018; Black Mamba Energy LLC (“Black Mamba”), formed March 28, 2018; Stingray Cementing and Acidizing LLC (“Stingray Cementing and Acidizing”), formerly known as RTS Energy Services LLC (“RTS”), acquired June 15, 2018; Aquahawk Energy LLC (“Aquahawk”), formed June 28, 2018; Ivory Freight Solutions LLC (“Ivory Freight”), formed July 26, 2018; Cobra Caribbean LLC (“Cobra Caribbean”), formed October 3, 2018; Python Equipment LLC (“Python”), formed December 5, 2018; IFX Transport LLC (“IFX”), formed December 5, 2018; Air Rescue Systems LLC (“ARS”), acquired December 21, 2018; Leopard Aviation LLC (“Leopard”), formed April 29, 2019; Predator Aviation LLC (“Predator”), formed April 19, 2019; Anaconda Manufacturing LLC (“Anaconda”), formed July 31, 2019; and Aquawolf LLC (“Aquawolf”), formed September 25, 2019. On October 12, 2016, the Partnership was converted into a Delaware limited liability company named Mammoth Energy Partners LLC (“Mammoth LLC”), and then Mammoth Holdings, Gulfport and Rhino, as all the members of Mammoth LLC, contributed their member interests in Mammoth LLC to Mammoth Inc. Prior to the conversion and the contribution, Mammoth Inc. was a wholly-owned subsidiary of the Partnership. Following the conversion and the contribution, Mammoth LLC (as the converted successor to the Partnership) was a wholly-owned subsidiary of Mammoth Inc. Mammoth Inc. did not conduct any material business operations until Mammoth LLC was contributed to it. On October 19, 2016, Mammoth Inc. closed its initial public offering of 7,750,000 shares of common stock (the “IPO”), which included an aggregate of 250,000 shares that were offered by Mammoth Holdings, Gulfport and Rhino, at a price to the public of $15.00 per share. Net proceeds to Mammoth Inc. from its sale of 7,500,000 shares of common stock were approximately $103.1 million . On the closing date of the IPO, Mammoth Inc. repaid all outstanding borrowings under its revolving credit facility and used the remaining net proceeds for general corporate purposes, including the acquisition of additional equipment and complementary businesses that enhanced its existing service offerings, broadened its service offerings and expanded its customer relationships. On June 5, 2017, the Company completed the acquisition of (1) Sturgeon, a Delaware limited liability company, which included the acquisition of Sturgeon's wholly-owned subsidiaries Taylor Frac, a Wisconsin limited liability company, Taylor RE, a Wisconsin limited liability company, and South River, a Wisconsin limited liability company, (2) SR Energy, a Delaware limited liability company; and (3) Cementing, a Delaware limited liability company (together with SR Energy, the “Stingray Acquisition”) in exchange for the issuance by Mammoth Inc. of an aggregate of 7,000,000 shares of its common stock. Prior to its acquisition of Sturgeon, the Company and Sturgeon were under common control and it is required under accounting principles generally accepted in the Unites States of America (“GAAP”) to account for this common control acquisition in a manner similar to the pooling of interest method of accounting. Therefore, the Company's historical financial information for all periods included in the accompanying financial statements has been recast to combine Sturgeon with the Company as if the acquisition had been effective since the date Sturgeon commenced operations. Refer to Note 4 for additional disclosure regarding the acquisition of Sturgeon. On June 29, 2018, Gulfport and MEH Sub LLC (“MEH Sub”), an entity controlled by Wexford, (collectively, the “Selling Stockholders”) completed an underwritten secondary public offering of 4,000,000 shares of the Company’s common stock at a purchase price to the Selling Stockholders of $38.01 per share. The Selling Stockholders granted the underwriters an option to purchase up to an aggregate of 600,000 additional shares of the Company's common stock at the same purchase price. This option was exercised, in part, and on July 30, 2018, the underwriters purchased an additional 385,000 shares of common stock from the Selling Stockholders at the same price per share. The Selling Stockholders received all proceeds from this offering. At December 31, 2019 and December 31, 2018 , Wexford, Gulfport and Rhino beneficially owned the following shares of outstanding common stock of Mammoth Inc.: December 31, 2019 December 31, 2018 Share Count % Ownership Share Count % Ownership Wexford 22,045,273 48.9 % 21,988,473 49.0 % Gulfport 9,829,548 21.8 % 9,826,893 21.9 % Rhino — — % 104,100 0.2 % Outstanding shares owned by related parties 31,874,821 70.7 % 31,919,466 71.1 % Total outstanding 45,108,545 100.0 % 44,876,649 100.0 % Operations The Company's infrastructure services include construction, upgrade, maintenance and repair services to the electrical infrastructure industry as well as repair and restoration services in response to storms and other disasters. The Company's pressure pumping services include equipment and personnel used in connection with the completion and early production of oil and natural gas wells. The Company's natural sand proppant services include the distribution and production of natural sand proppant that is used primarily for hydraulic fracturing in the oil and gas industry. The Company's drilling services provides drilling rigs and directional tools for both vertical and horizontal drilling of oil and natural gas wells and salt water disposal wells as well as rig moving services. The Company also provides other services, including coil tubing, equipment rentals, crude oil hauling, full service transportation and remote accommodations. All of the Company’s operations are in North America. During certain of the periods presented in this report, the Company provided its infrastructure services primarily in the northeast, southwest and midwest portions of the United States and in Puerto Rico. The Company’s infrastructure business depends on infrastructure spending on maintenance, upgrade, expansion and repair and restoration. Any prolonged decrease in spending by electric utility companies, delays or reductions in government appropriations or the failure of customers to pay their receivables could have a material adverse effect on the Company’s results of operations and financial condition. During the periods presented, the Company has operated its oil and natural gas businesses in the Permian Basin, the Utica Shale, the Eagle Ford Shale, the Marcellus Shale, the Granite Wash, the SCOOP, the STACK, the Cana-Woodford Shale, the Cleveland Sand and the oil sands located in Northern Alberta, Canada. The Company's oil and natural gas business depends in large part on the conditions in the oil and natural gas industry and, specifically, on the amount of capital spending by its customers. Any prolonged increase or decrease in oil and natural gas prices affects the levels of exploration, development and production activity, as well as the entire health of the oil and natural gas industry. Changes in the commodity prices for oil and natural gas could have a material effect on the Company’s results of operations and financial condition. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements are prepared in accordance with GAAP and include the accounts of the Company and its subsidiaries and the variable interest entities (“VIE”) for which the Company is the primary beneficiary. All material intercompany accounts and transactions between the entities within the Company have been eliminated. Variable Interest Entities The Company consolidates a VIE when it is determined to be the primary beneficiary, which is the party that has both (i) the power to direct the activities that most significantly impact the VIE's economic performance and (ii) through its interests in the VIE, the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. See Note 12 for more information on the Company's VIEs. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include, but are not limited to, the Company's sand reserves and their impact on calculating depletion expense, allowance for doubtful accounts, asset retirement obligations, reserves for self-insurance, depreciation and amortization of property and equipment, business combination valuations, amortization of intangible assets and future cash flows, fair values used to assess recoverability and impairment of long-lived assets, including goodwill and estimates of income taxes. Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation. Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less are considered cash equivalents. The Company maintains its cash accounts in financial institutions that are insured by the Federal Deposit Insurance Corporation, with the exception of cash held by Sand Tiger in a Canadian financial institution. At December 31, 2019 , we had $3.5 million , in Canadian dollars, of cash in Canadian accounts. Cash balances from time to time may exceed the insured amounts; however, the Company has not experienced any losses in such accounts and does not believe it is exposed to any significant credit risks on such accounts. Accounts Receivable Accounts receivable include amounts due from customers for services performed or goods sold. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Most areas in the continental United States in which the Company operates provide for a mineral lien or mechanic’s lien against the property on which the service is performed if the lien is filed within the statutorily specified time frame. Customer balances are generally considered delinquent if unpaid by the 30 th day following the invoice date and credit privileges may be revoked if balances remain unpaid. Interest on delinquent accounts receivable is recognized in other income when chargeable and collectability is reasonably assured. During certain of the periods presented, the Company provided infrastructure services in Puerto Rico under master services agreements entered into by Cobra, one of the Company's subsidiaries, with the Puerto Rico Electric Power Authority (“PREPA”) to perform repairs to PREPA’s electrical grid as a result of Hurricane Maria. During the year ended December 31, 2019 , the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreements with PREPA totaling $42.0 million . These amounts are included in other, net on the consolidated statement of comprehensive (loss) income. The Company regularly reviews receivables and provides for estimated losses through an allowance for doubtful accounts. In evaluating the level of established reserves, the Company makes judgments regarding its customers’ ability to make required payments, economic events and other factors. As the financial conditions of customers change, circumstances develop or additional information becomes available, adjustments to the allowance for doubtful accounts may be required. In the event the Company was to determine that a customer may not be able to make required payments, the Company would increase the allowance through a charge to income in the period in which that determination is made. If it is determined that previously reserved amounts are collectible, the Company would decrease the allowance through a credit to income in the period in which that determination is made. Uncollectible accounts receivable are periodically charged against the allowance for doubtful accounts once final determination is made of their uncollectability. Following is a roll forward of the allowance for doubtful accounts for the years ended December 31, 2019 , 2018 and 2017 (in thousands): Balance, December 31, 2016 $ 5,377 Additions charged to expense 16,206 Additions - other 179 Deductions for uncollectible receivables written off (25 ) Balance, December 31, 2017 21,737 Additions charged to expense (14,589 ) Deductions for uncollectible receivables written off (1,950 ) Balance, December 31, 2018 5,198 Additions charged to expense 1,434 Deductions for uncollectible receivables written off (1,478 ) Balance, December 31, 2019 $ 5,154 At December 31, 2017, the Company reviewed receivables due from PREPA and made specific reserves consistent with Company policy which resulted in additions to allowance for doubtful accounts totaling $16.0 million . During the year ended December 31, 2018, the Company received payment from PREPA for the amount reserved at December 31, 2017. As a result, the Company reversed the 2017 additions to the allowance for doubtful accounts from PREPA in 2018. Additionally, the Company has made specific reserves consistent with Company policy which resulted in additions to allowance for doubtful accounts totaling $1.4 million , $1.4 million and $0.2 million , respectively, for the years ended December 31, 2019 , 2018 and 2017 . The Company will continue to pursue collection until such time as final determination is made consistent with Company policy. As of December 31, 2019 , PREPA owed the Company approximately $227.0 million for services performed, excluding $42.0 million of interest charged on these delinquent balances as of December 31, 2019 . The Company believes these receivables are collectible. PREPA, however, is currently subject to bankruptcy proceedings, which were filed in July 2017 and are currently pending in the U.S. District Court for the District of Puerto Rico. As a result, PREPA's ability to meet its payment obligations is largely dependent upon funding from the Federal Emergency Management Agency or other sources. On September 30, 2019, the Company filed a motion with the U.S. District Court for the District of Puerto Rico seeking recovery of the amounts owed to the Company by PREPA. PREPA filed a motion to stay the Company's motion on the ground that the ongoing criminal proceedings described in Note 20 below against the former president of Cobra and two other individuals may affect the recovery of those amounts. On October 17, 2019, the court granted PREPA’s request to stay the Company's motion and, on February 3, 2020, extended the stay until a status conference to be held on June 17, 2020. In the event PREPA (i) does not have or does not obtain the funds necessary to satisfy its obligations to Cobra under the contracts, (ii) obtains the necessary funds but refuses to pay the amounts owed to the Company or (iii) otherwise does not pay amounts owed to the Company for services performed, the receivable may not be collectible. Inventory Inventory consists of raw sand and processed sand available for sale, raw materials, chemicals and other products sold as a bi-product of completion and production operations and supplies used in performing services. Inventory is stated at the lower of cost or market (net realizable value) on an average cost basis. The Company assesses the valuation of its inventories based upon specific usage, future utility, obsolescence and other factors. Inventory manufactured at the Company’s sand production facilities includes direct excavation costs, processing costs and overhead allocation. Stockpile tonnages are calculated by measuring the number of tons added and removed from the stockpile. Costs are calculated on a per ton basis and are applied to the stockpiles based on the number of tons in the stockpile. Inventory transported for sale at the Company’s terminal facility includes the cost of purchased or manufactured sand, plus transportation related charges. Coil tubing strings of various widths, diameters and lengths are included in inventory. The strings are used in providing specialized services to customers who are primarily operators of oil or gas wells and are used at various rates based on factors such as well conditions (i.e. pressure and friction), vertical and horizontal length of the well, running speed of the string in the well and total running feet accumulated to the string. The Company obtains usage information from data acquisition software and other established assessment methods and attempts to amortize the strings over their estimated useful life. In no event will a string be amortized over a period longer than 12 months . Amortization of coil strings is included in services cost of revenue in the consolidated statements of comprehensive (loss) income and totaled $1.6 million , $2.2 million and $2.9 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. See Note 5 for additional disclosure related to inventory. Prepaid Expenses Prepaid expenses primarily consist of insurance costs and rail car freight and lease expense. These costs are expensed over the periods that they benefit. Property and Equipment Property and equipment, including renewals and betterments, are capitalized and stated at cost, while maintenance and repairs that do not increase the capacity, improve the efficiency or safety, or improve or extend the useful life are charged to operations as incurred. Disposals are removed at cost, less accumulated depreciation, and any resulting gain or loss is recorded in operations. Depreciation is calculated using the straight-line method over the shorter of the estimated useful life, or the remaining lease term, as applicable. Depreciation does not begin until property and equipment is placed in service. Once placed in service, depreciation on property and equipment continues while being repaired, refurbished, or between periods of deployment. Sand Reserves Sand reserve costs include engineering, mineralogical studies and other related costs to develop the mine, the removal of overburden to initially expose the mineral and building access ways. Exploration costs are expensed as incurred and classified as product cost of revenue. Capitalization of mine development project costs begins once the deposit is classified as proven and probable reserves. Drilling and related costs are capitalized for deposits where proven and probable reserves exist and the activities are directed at obtaining additional information on the deposit or converting non-reserve minerals to proven and probable reserves and the benefit is to be realized over a period greater than one year. Mining property and development costs are amortized using the units-of-production method on estimated measured tons in in-place reserves. The impact of revisions to reserve estimates is recognized on a prospective basis. Long-Lived Assets The Company reviews long-lived assets for recoverability in accordance with the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) 360, Impairment or Disposal of Long-Lived Assets , which requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. Recoverability of assets is measured by comparing the carrying amount of an asset to future undiscounted net cash flows expected to be generated by the asset. These evaluations for impairment are significantly impacted by estimates of revenues, costs and expenses and other factors. If long-lived assets are considered to be impaired, the impairment to be recognized is measured by the amount in which the carrying amount of the assets exceeds the fair value of the assets. See Note 7 for additional disclosure related to impairment of long-lived assets. Goodwill Goodwill is tested for impairment annually, or more frequently if events or changes in circumstances indicate that goodwill might be impaired. If it is determined that an impairment exists, an impairment charge is recognized for the excess of carrying value over implied fair value. The fair value is determined using a combination of the income and market approaches. See Notes 7 and 8 for additional disclosure related to goodwill. Other Non-Current Assets Other non-current assets primarily consist of deferred financing costs on our credit facility (see Note 11), sales tax receivables and our equity method investment (see Note 9). Investments are accounted for under the equity method in circumstances where the Company has the ability to exercise significant influence over the operating and investing policies of the investee, but does not have control. Under the equity method, the Company recognizes its share of the investee's earnings in its consolidated statements of comprehensive (loss) income. Investments are evaluated for impairment and a charge to earnings is recognized when any identified impairment is determined to be other than temporary. Asset Retirement Obligations Mine reclamation costs, future remediation costs for inactive mines and other contractual site remediation costs are accrued based on management’s best estimate at the end of each period of the costs expected to be incurred at a site. Such cost estimates include, where applicable, ongoing care, maintenance and monitoring costs. Changes in estimates are reflected in earnings in the period an estimate is revised. Following is a roll forward of the Company's asset retirement obligations for the years ended December 31, 2019 and 2018 (in thousands): December 31, 2019 2018 Balance as of beginning of period $ 3,164 $ 2,123 Additions 952 989 Accretion expense 120 60 Foreign currency translation adjustment 5 (8 ) Asset retirement obligation as of end of period $ 4,241 $ 3,164 Business Combinations The Company accounts for its business acquisitions under the acquisition method of accounting as indicated in FASB ASC 805, Business Combinations , which requires the acquiring entity in a business combination to recognize the fair value of all assets acquired, liabilities assumed and any noncontrolling interest in the acquiree and establishes the acquisition date as the fair value measurement point. Accordingly, the Company recognizes assets acquired and liabilities assumed in business combinations, including contingent assets and liabilities and noncontrolling interest in the acquiree, based on fair value estimates as of the date of acquisition. In accordance with FASB ASC 805, the Company recognizes and measures goodwill, if any, as of the acquisition date, as the excess of the fair value of the consideration paid over the fair value of the identified net assets acquired. When the Company acquires a business from an entity under common control, whereby the companies are ultimately controlled by the same party or parties both before and after the transaction, it is treated for accounting purposes in a manner similar to the pooling of interest method of accounting. The assets and liabilities are recorded at the transferring entity’s historical cost instead of reflecting the fair market value of assets and liabilities. Amortizable Intangible Assets Intangible assets subject to amortization include customer relationships and trade names. Customer relationships are amortized based on an estimated attrition factor and trade names are amortized over their estimated useful lives. See Notes 7 and 8 for additional disclosure related to intangible assets. Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, trade receivables, trade payables, amounts receivable or payable to related parties and long-term debt. The carrying amount of cash and cash equivalents, trade receivables, trade payables and receivables and payables from related parties approximates fair value because of the short-term nature of the instruments. The fair value of long-term debt approximates it s carrying value because the cost of borrowing fluctuates based upon market conditions. Revenue Recognition On January 1, 2018, the Company adopted Accounting Standards Update (“ASU”) 2014-09 and its related amendments (collectively, “ASC 606”) using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. See Note 3 for additional discussion of the Company's revenue. The timing of revenue recognition may differ from contract billing or payment schedules, resulting in revenues that have been earned but not billed (“unbilled revenue”) or amounts that have been billed, but not earned (“deferred revenue”). The Company had $42.1 million and $56.2 million , respectively, of unbilled revenue included in accounts receivable, net in the consolidated balance sheets at December 31, 2019 and 2018 . The Company had $1.3 million and $4.1 million , respectively, of unbilled revenue included in receivables from related parties in the consolidated balance sheets at December 31, 2019 and 2018 . The Company had $7.2 million and $4.3 million , respectively, of deferred revenue included in accrued expenses and other current liabilities in the consolidated balance sheets at December 31, 2019 and 2018 . Earnings (Loss) per Share Earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of outstanding shares. See Note 16. Equity-based Compensation The Company measures equity-based payments at fair value on the date of grant and expenses the value of these equity-based payments in compensation expense over the applicable vesting periods. See Note 17. Stock-based Compensation The Company's stock-based compensation program consists of restricted stock units granted to employees and restricted stock units granted to non-employee directors under the Mammoth Energy Services, Inc. 2016 Incentive Plan (the “2016 Plan”). The Company recognizes in its financial statements the cost of employee services received in exchange for restricted stock based on the fair value of the equity instruments as of the grant date. In general, this value is amortized over the vesting period; for grants with a non-substantive service condition, this value is recognized immediately. Amounts are recognized in cost of revenue and selling, general and administrative expenses. See Note 18. Income Taxes The Company's operations are included in a consolidated federal income tax return and other state returns. Accordingly, the Company has recognized deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases for all our subsidiaries as if each entity were a corporation, regardless of its actual characterization for U.S. federal income tax purposes. Under FASB ASC 740, Income Taxes , deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using statutory tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of deferred tax assets and liabilities as a result of a change in tax rate are recognized in the period that includes the statutory enactment date. A valuation allowance for deferred tax assets is recognized when it is more likely than not that the benefit of deferred tax assets will not be realized. To assess that likelihood, the Company uses estimates and judgments regarding future taxable income, as well as the jurisdiction in which such taxable income is generated, to determine whether a valuation allowance is required. Certain income from our infrastructure services segment and income from our remote accommodations business is subject to foreign income taxes, and such taxes are provided in the financial statements pursuant to FASB ASC 740 . On December 22, 2017, the United States enacted the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act significantly changed US corporate income tax laws by, among other things, reducing the US corporate income tax rate from 35% to 21% starting in 2018 and creating a territorial tax system with a one-time mandatory tax on previously deferred foreign earnings of US subsidiaries. As a result, the Company recorded a one-time reduction to income tax expense of $31.0 million during the year ended December 31, 2017, which is included in provision for income taxes in the consolidated statements of comprehensive income (loss). See Note 14 for further information. The Company evaluates tax positions taken or expected to be taken in preparation of its tax returns and disallows the recognition of tax positions that do not meet a “more likely than not” threshold of being sustained upon examination by the taxing authorities. During the years ended December 31, 2019 and 2018 , no uncertain tax positions existed. Penalties and interest, if any, are recognized in selling, general and administrative expense and interest expense, respectively. Foreign Currency Translation For foreign operations, assets and liabilities are translated at the period-end exchange rate and income statement items are translated at the average exchange rate for the period. Resulting translation adjustments are recorded within accumulated other comprehensive income (loss). Assets and liabilities denominated in foreign currencies, if any, are re-measured at the balance sheet date. Transaction gains or losses are included as a component of current period earnings. Environmental Matters The Company is subject to various federal, state and local laws and regulations relating to the protection of the environment. Management has established procedures for the ongoing evaluation of the Company’s operations, to identify potential environmental exposures and to comply with regulatory policies and procedures. Environmental expenditures that relate to current operations are expensed or capitalized as appropriate. Expenditures that relate to an existing condition caused by past operations and do not contribute to current or future revenue generation are expensed as incurred. Liabilities are recorded when environmental costs are probable and the costs can be reasonably estimated. The Company maintains insurance which may cover in whole or in part certain environmental expenditures. As of December 31, 2019 and 2018 , there were no probable environmental matters. Other Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) included certain changes in equity that are excluded from net income (loss). Specifically, cumulative foreign currency translation adjustments are included in accumulated other comprehensive income (loss). Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents in excess of federally insured limits and trade receivables. Following is a summary of our significant customers based on accounts receivable balances at December 31, 2019 and 2018 and revenues derived for the years ended December 31, 2019 , 2018 and 2017 : REVENUES ACCOUNTS RECEIVABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Customer A (a) 15 % 60 % 29 % 73 % 65 % Customer B (b) 20 % 8 % 30 % 2 % 3 % a. Customer A is a third-party customer. Revenues and the related accounts receivable balances earned from Customer A were derived from the Company's infrastructure services segment. Accounts receivable for Customer A also includes receivables due for interest charged on delinquent accounts receivable. b. Customer B is a related party customer. Revenues and the related accounts receivable balances earned from Customer B were derived from the Company's pressure pumping services segment, natural sand proppant services segment and other businesses. Recent Accounting Pronouncements Accounting Pronouncements Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02 “Leases (Topic 842)” amending the current accounting for leases. Under the new provisions, all lessees will report a right of use asset and lease liability on the balance sheet for all leases with a term longer than one year, while maintaining substantially similar classifications for financing and operating leases. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company adopted this ASU effective January 1, 2019 utilizing the transition method permitted by ASU No. 2018-11 “Leases (Topic 842): Targeted Improvements”, issued in August 2018, which permits an entity to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment made to the comparative periods presented in the consolidated financial statements. See Note 15 for the impact the adoption of this standard had on the Company's financial statements. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Improvements to Non-employee Share-Based Accounting,” which simplifies the accounting for share-based payments granted to non-employees by aligning the accounting with requirements for employee share-based compensation. Upon transition, this ASU requires non-employee awards to be measured at fair value as of the adoption date. This ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company adopted this ASU effective January 1, 2019 and estimates the fair value of its non-employee awards (see Note 17) was approximately $18.9 million as of this date. Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which amends current guidance on reporting credit losses on financial instruments. This ASU requires entities to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets, including trade accounts receivable. The Company will adopt this standard effective January 1, 2020. This standard will not have a material impact on the Company’s consolidated financial statements and related disclosures. |
Revenues
Revenues | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | Revenues Adoption of ASC 606 “Revenues from Contracts with Customers” In May 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers ,” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition , and most industry-specific guidance. The new guidance requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, the Company adopted ASU 2014-09 and its related amendments (collectively, “ASC 606”) using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. While ASC 606 requires additional disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, its adoption has not had a material impact on the measurement or recognition of the Company's revenues. The adoption of ASC 606 represents a change in accounting principle. After evaluation of all contracts not completed as of January 1, 2018, the Company determined the cumulative effect of adopting ASC 606 was immaterial, and as such, has not recorded an adjustment to the opening balance of retained earnings on January 1, 2018. Revenue Recognition The Company's primary revenue streams include infrastructure services, pressure pumping services, natural sand proppant services, drilling services and other services, which includes coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, full service transportations, crude oil hauling and remote accommodations services. See Note 21 for the Company's revenue disaggregated by type. Infrastructure Services Infrastructure services are typically provided pursuant to master service agreements, repair and maintenance contracts or fixed price and non-fixed price installation contracts. Pricing under these contracts may be unit priced, cost-plus/hourly (or time and materials basis) or fixed price (or lump sum basis). The Company accounts for infrastructure services as a single performance obligation satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Under certain customer contracts in our infrastructure services segment, the Company warranties equipment and labor performed for a specified period following substantial completion of the work. Pressure Pumping Services Pressure pumping services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Generally, the Company accounts for pressure pumping services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies proppant that is utilized for pressure pumping as part of the agreement with the customer. The Company accounts for these pressure pumping agreements as multiple performance obligations satisfied over time. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Generally, revenue is recognized over time upon the completion of each segment of work based upon a completed field ticket, which includes the charges for the services performed, mobilization of the equipment to the location and personnel. Pursuant to a contract with one of its customers, the Company has agreed to provide that customer with use of up to two pressure pumping fleets for the period covered by the contract. Under this agreement, performance obligations are satisfied as services are rendered based on the passage of time rather than the completion of each segment of work. The Company has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to the Company for services performed during the contractual period is fixed and the right to receive it is unconditional. Additional revenue is generated through labor charges and the sale of consumable supplies that are incidental to the service being performed. Such amounts are recognized ratably over the period during which the corresponding goods and services are consumed. Natural Sand Proppant Services The Company sells natural sand proppant through sand supply agreements with its customers. Under these agreements, sand is typically sold at a flat rate per ton or a flat rate per ton with an index-based adjustment. The Company recognizes revenue at the point in time when the customer obtains legal title to the product, which may occur at the production facility, rail origin or at the destination terminal. Certain of the Company's sand supply agreements contain a minimum volume commitment related to sand purchases whereby the Company charges a shortfall payment if the customer fails to meet the required minimum volume commitment. These agreements may also contain make-up provisions whereby shortfall payments can be applied in future periods against purchased volumes exceeding the minimum volume commitment. If a make-up right exists, the Company has future performance obligations to deliver excess volumes of product in subsequent periods. In accordance with ASC 606, if the customer fails to meet the minimum volume commitment, the Company will assess whether it expects the customer to fulfill its unmet commitment during the contractually specified make-up period based on discussions with the customer and management's knowledge of the business. If the Company expects the customer will make-up deficient volumes in future periods, revenue related to shortfall payments will be deferred and recognized on the earlier of the date on which the customer utilizes make-up volumes or the likelihood that the customer will exercise its right to make-up deficient volumes becomes remote. As of December 31, 2019 and 2018, the Company had deferred revenue totaling $7.2 million and $4.2 million , respectively, related to shortfall payments. These amount is included in accrued expenses and other current liabilities on the consolidated balance sheet. If the Company does not expect the customer will make-up deficient volumes in future periods, the breakage model will be applied and revenue related to shortfall payments will be recognized when the model indicates the customer's inability to take delivery of excess volumes. During the years ended December 31, 2019 and 2018, the Company recognized revenue totaling $2.8 million and $1.5 million , respectively, related to shortfall payments. In certain of the Company's sand supply agreements, the customer obtains control of the product when it is loaded into rail cars and the customer reimburses the Company for all freight charges incurred. The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the sand. If revenue is recognized for the related product before the shipping and handling activities occur, the Company accrues the related costs of those shipping and handling activities. Drilling Services Contract drilling services were provided under daywork contracts. Directional drilling services, including motor rentals, are provided on a day rate or hourly basis, and revenue is recognized as work progresses. Performance obligations are satisfied over time as the work progresses based on the measure of output. Mobilization revenue and costs were recognized over the days of actual drilling. As a result of market conditions, the Company temporarily shut down its contract land drilling operations in December 2019. Other Services During the periods presented, the Company also provided coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, crude oil hauling, full service transportation and remote accommodations services, which are reported under other services. As a result of market conditions, the Company temporarily shut down its cementing and acidizing operations as well as its flowback operations during the third quarter of 2019. The Company's other services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Performance obligations for these services are satisfied over time and revenue is recognized as the work progresses based on the measure of output. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Practical Expedients The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts in which variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied distinct good or service that forms part of a single performance obligation. Contract Balances Following is a rollforward of the Company's contract liabilities (in thousands): Balance, January 1, 2018 $ 15,000 Deduction for recognition of revenue (15,000 ) Increase for deferral of shortfall payments 4,246 Increase for deferral of customer prepayments 58 Balance, December 31, 2018 4,304 Deduction for recognition of revenue (4,827 ) Increase for deferral of shortfall payments 8,442 Increase for deferral of customer prepayments 675 Deduction of shortfall payments due to contract renegotiations (1,350 ) Balance, December 31, 2019 $ 7,244 The Company did no t have any contract assets as of December 31, 2019 , December 31, 2018 or January 1, 2018. Performance Obligations Revenue recognized in the current period from performance obligations satisfied in previous periods was a nominal amount for the year ended December 31, 2019 . As of December 31, 2019 , the Company had unsatisfied performance obligations totaling $92.1 million , which will be recognized over the next two years. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions Acquisition of Air Rescue Systems and Brim Equipment Assets On December 21, 2018, Cobra Aviation, a variable interest entity of the Company, completed a series of transactions that provided for an expansion of its aviation service business. These transactions include (i) the acquisition of all outstanding equity interests in ARS, (ii) the purchase of two commercial helicopters, spare parts, support equipment and aircraft documents from Brim Equipment Leasing, Inc. (“Brim Equipment”) (the “Brim Equipment Assets”) and (iii) the formation of a joint venture between Cobra Aviation and Wexford Partners Investment Co. LLC (“Wexford Investment”), a related party, under the name of Brim Acquisitions LLC (“Brim Acquisitions”), which acquired all outstanding equity interest in Brim Equipment. Cobra Aviation owns a 49% economic interest and Wexford Investment owns a 51% economic interest in Brim Acquisitions, and each member contributed its pro rata portion of Brim Acquisitions initial capital of $2.0 million . The acquisition of ARS qualifies under FASB ASC 805, Business Combinations , as a business combination. The purchase of the Brim Equipment Assets was negotiated and funded as part of the acquisition. Therefore, the purchase of the Brim Equipment Assets also qualifies as a business combination under ASC 805. Cobra Aviation is able to exercise significant influence over Brim Acquisitions, but is a minority owner and does not have controlling financial interest. As a result, Cobra Aviation's investment in Brim Acquisitions is accounted for as an equity method investment under FASB ASC 323, Investments-Equity Method and Joint Ventures . See Note 9 for additional information on our investment in Brim Acquisitions. Total consideration paid for ARS and the Brim Equipment Assets was $2.7 million and $4.2 million , respectively. The Company used cash on hand to fund the acquisitions. The following table summarizes the fair value of ARS and the Brim Equipment Assets as of December 21, 2018 (in thousands): ARS Brim Equipment Assets Accounts receivable $ 146 $ — Property, plant and equipment 1,702 1,990 Identifiable intangible assets - trade name (a) 120 — Goodwill (b) 694 2,243 Other non-current assets 5 — Total assets acquired $ 2,667 $ 4,233 a. Trade name was valued using a “Relief-from-Royalty” method and will be amortized over 20 years . b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. From the acquisition date through December 31, 2019 , ARS and the Brim Equipment Assets provided the following activity (in thousands): 2019 2018 2019 2018 ARS Brim Equipment Assets Revenues $ 2,153 $ — $ 2,616 $ — Net loss (a) (546 ) (25 ) (1,056 ) — a. Includes depreciation expense of $0.3 million and $0.02 million , respectively, for ARS for 2019 and 2018 and $0.4 million for the Brim Equipment Assets for 2019. The following table presents unaudited pro forma information as if the ARS and the Brim Equipment Assets acquisitions had occurred as of January 1, 2017 (in thousands): Years Ended December 31, Years Ended December 31, 2018 2017 2018 2017 ARS Brim Equipment Assets Revenues $ 3,055 $ 2,641 $ 4,478 $ 1,448 Net income (loss) 207 (39 ) 2,410 459 The Company recognized $0.3 million of transaction related costs during the year ended December 31, 2018 related to these acquisitions. Acquisition of WTL Oil On May 31, 2018, the Company completed its acquisition of WTL for total consideration of $6.1 million . The Company used cash on hand and borrowings under its credit facility to fund the acquisition. The acquisition of WTL expanded the Company's service offerings into the crude oil hauling business. The following table summarizes the fair value of WTL as of May 31, 2018 (in thousands): WTL Property, plant and equipment $ 2,960 Identifiable intangible assets - customer relationships (a) 930 Identifiable intangible assets - trade name (a) 650 Goodwill (b) 1,567 Total assets acquired $ 6,107 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “Relief-from-Royalty” method. Non-contractual customer relationships were valued using a “Multi-period excess earnings” method. Identifiable intangible assets will be amortized over 10 - 20 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through December 31, 2019 , WTL provided the following activity (in thousands): 2019 2018 Revenues $ 8,413 $ 7,511 Net loss (a) (2,719 ) (149 ) a. Includes depreciation and amortization expense of $2.2 million and $1.0 million , respectively, for 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of WTL had occurred as of January 1, 2017 (in thousands): Years Ended December 31, 2018 2017 Revenues $ 10,270 $ 4,229 Net (loss) income (64 ) 165 The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2018 related to this acquisition. Acquisition of RTS Energy Services On June 15, 2018, the Company completed its acquisition of RTS for total consideration of $8.1 million . The Company used cash on hand and borrowings under its credit facility to fund the acquisition. The acquisition of RTS expanded Mammoth Inc.'s cementing services into the Permian Basin and added acidizing to the Company's service offerings. The following table summarizes the fair value of RTS as of June 15, 2018 (in thousands): RTS Inventory $ 180 Property, plant and equipment 7,787 Goodwill (a) 133 Total assets acquired $ 8,100 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through December 31, 2019 , RTS provided the following activity (in thousands): 2019 2018 Revenues $ 2,456 $ 6,682 Net loss (a) (6,458 ) (3,210 ) a. Includes depreciation expense of $2.3 million and $0.9 million , respectively, for 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of RTS had occurred as of January 1, 2017 (in thousands): Years Ended December 31, 2018 2017 Revenues $ 16,212 $ 20,877 Net (loss) income (4,066 ) 1,141 The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2018 related to this acquisition. As a result of market conditions, the Company temporarily shut down its cementing and acidizing operations during the third quarter of 2019. As a result, the Company impaired the balance of RTS's goodwill totaling $0.1 million . In addition, the Company wrote-off obsolete inventory totaling $0.2 million . Acquisition of 5 Star On July 1, 2017, the Company completed its acquisition of 5 Star for total consideration of $2.4 million in cash to the sellers. The Company funded the purchase price for 5 Star with cash on hand and borrowings under its credit facility. The acquisition of 5 Star added to the infrastructure component of the Company's business and provided expansion of the infrastructure segment into the eastern United States. The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. The following table summarizes the fair value of 5 Star as of July 1, 2017 (in thousands): 5 Star Accounts receivable $ 2,440 Property, plant and equipment 1,863 Identifiable intangible assets - trade names (a) 300 Goodwill (b) 248 Total assets acquired $ 4,851 Long-term debt and other liabilities $ 2,413 Total liabilities assumed $ 2,413 Net assets acquired $ 2,438 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “Relief-from-Royalty” method. Non-contractual customer relationships were valued using a “Multi-period excess earnings” method. Identifiable intangible assets will be amortized over 10 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. From its acquisition date through December 31, 2019 , 5 Star has provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 55,205 $ 143,302 $ 25,216 Net (loss) income (b) (17,281 ) 4,149 4,191 a. Includes intercompany revenues of $7.6 million , $112.6 million and $16.0 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization expense of $6.1 million , $3.5 million and $0.8 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of 5 Star had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 31,548 Net income 3,910 Acquisition of Higher Power On April 21, 2017, the Company completed its acquisition of Higher Power for total consideration of $4.0 million . The Company funded the purchase price for Higher Power with cash on hand and borrowings under its credit facility. The acquisition of Higher Power added an energy infrastructure component to the Company's business, helping to diversify its service offerings. The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. The following table summarizes the fair value of Higher Power as of April 21, 2017 (in thousands): Higher Power Property, plant and equipment $ 1,744 Identifiable intangible assets - customer relationships 1,613 Goodwill (a) 643 Total assets acquired $ 4,000 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. From its acquisition date through December 31, 2019 , Higher Power has provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 93,379 $ 220,281 $ 39,571 Net (loss) income (b) (33,195 ) (5,868 ) 5,127 a. Includes intercompany revenues of $26.5 million , $191.2 million and $27.4 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization of $10.5 million , $7.1 million and $2.0 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of Higher Power had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 42,343 Net income 5,004 Acquisition of Sturgeon On March 20, 2017, and as amended on May 12, 2017, the Company entered into a definitive contribution agreement with MEH Sub, Wexford Offshore Sturgeon Corp., Gulfport, Rhino and Mammoth Energy Partners LLC (the “Sturgeon Contribution Agreement”). Under the Sturgeon Contribution Agreement, the Company agreed to acquire all outstanding membership interests, through its wholly-owned subsidiary Mammoth LLC, in Sturgeon, which owns all of the membership interests in Taylor Frac, Taylor RE and South River (collectively, the “Sturgeon subsidiaries”). The acquisition added sand reserves, increased our production capacity and provided access to the Canadian National Railway, which affords access to the Appalachian basin in support of the Company’s pressure pumping services as well as to western Canada. The acquisition of Sturgeon closed on June 5, 2017. Pursuant to the Sturgeon Contribution Agreement, Mammoth Inc. issued 5,607,452 shares of its common stock, par value $0.01 per share, for all outstanding equity interests in Sturgeon. Based upon a closing price of Mammoth Inc.'s common stock of $18.50 per share on June 5, 2017, the total purchase price was $103.7 million . As a result of this transaction, the Company's historical financial information has been recast to combine the consolidated statements of comprehensive income (loss) and the consolidated balance sheets of the Company for all periods included in the accompanying financial statements with those of Sturgeon as if the combination had been in effect since Sturgeon commenced operations on September 13, 2014. Any material transactions between the Company and Sturgeon were eliminated. Sturgeon's financial results were incorporated into the Company's natural sand proppant services division. The Company recognized $1.3 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. Acquisition of Chieftain On March 27, 2017, as amended as of May 24, 2017, the Company entered into a purchase agreement with the Chieftain Sellers, following the Company's successful bid in a bankruptcy court auction for substantially all of the assets of the Chieftain Sellers (the “Chieftain Assets”). The Chieftain acquisition closed on May 26, 2017. The Company funded the purchase price for the Chieftain Assets with cash on hand and borrowings under its revolving credit facility. The Chieftain Assets are held by the Company's wholly owned subsidiary Piranha and are included in the Company's natural sand proppant services segment. The Chieftain acquisition added sand reserves, increased our production capacity and provided access to the Union Pacific railroad, which affords access to both the Mid-Continent and Permian basins in support of the Company’s pressure pumping services. The following table summarizes the fair value of the Chieftain Acquisition as of May 26, 2017 (in thousands): Total Property, plant and equipment (a) $ 23,373 Sand reserves (b) 20,910 Total assets acquired $ 44,283 Asset retirement obligation 1,732 Total liabilities assumed $ 1,732 Total allocation of purchase price $ 42,551 Bargain purchase price (c, d) (6,231 ) Total purchase price $ 36,320 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. The fair value of the sand reserves was determined based on the excess cash flow method, a form of the income approach. The method provides a value based on the estimated remaining life of sand reserves, projected financial information and industry projections. c. Amount in consolidated statements of comprehensive (loss) income reflected net of income taxes of $2.2 million . d. The fair value of the business was determined based on the excess cash flow method, a form of the income approach. Since the acquisition date, the Chieftain Assets have provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 27,617 $ 52,628 $ 22,847 Net (loss) income (b) (3,513 ) 8,379 5,520 a. Includes intercompany revenues of $3.7 million , $14.8 million and $12.3 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization of $5.0 million , $4.9 million and $2.8 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of the Chieftain Assets had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 22,847 Net income 5,655 The Company's historical financial information was adjusted to give pro forma effect to the events that were directly attributable to the Chieftain Acquisition. The Company recognized $0.8 million of transaction related costs related to this acquisition. Acquisition of Stingray On March 20, 2017, and as amended on May 12, 2017, the Company entered into two definitive contribution agreements, one such agreement with MEH Sub, Wexford Offshore Stingray Energy Corp., Gulfport and Mammoth LLC and the other with MEH Sub, Wexford Offshore Stingray Pressure Pumping Corp., Gulfport and Mammoth LLC (collectively, the “Stingray Contribution Agreements”). Under the Stingray Contribution Agreements, the Company agreed to acquire all outstanding membership interests, through its wholly-owned subsidiary Mammoth LLC, in Cementing and SR Energy (the “2017 Stingray Acquisition”). The addition of their water transfer, equipment rentals and cementing services further expanded and vertically integrated the Company’s service offerings. The 2017 Stingray Acquisition closed on June 5, 2017. Pursuant to the Stingray Contribution Agreements, Mammoth Inc. issued 1,392,548 shares of its common stock, par value $0.01 per share, for all outstanding equity interests in SR Energy and Cementing. Based upon a closing price of Mammoth Inc.'s common stock of $18.50 per share on June 5, 2017, the total purchase price was $25.8 million . At the acquisition date, the components of the consideration transferred were as follows (in thousands): Consideration attributable to Cementing (a) $ 12,975 Consideration attributable to SR Energy (a) 12,787 Total consideration transferred $ 25,762 a. See summary of acquired assets and liabilities below SR Energy Cementing Total (in thousands) Cash and cash equivalents $ 1,611 $ 1,060 $ 2,671 Accounts receivable, net 3,913 495 4,408 Receivables from related parties 3,684 1,418 5,102 Inventories — 306 306 Prepaid expenses 35 32 67 Property, plant and equipment (a) 13,061 7,459 20,520 Identifiable intangible assets - customer relationships (b) — 1,140 1,140 Identifiable intangible assets - trade names (b) 550 270 820 Goodwill (c) 3,929 6,264 10,193 Other assets 7 — 7 Total assets acquired $ 26,790 $ 18,444 $ 45,234 Accounts payable and accrued liabilities $ 5,890 $ 2,063 $ 7,953 Long-term debt (d) 5,074 2,000 7,074 Deferred tax liability 3,039 1,406 4,445 Total liabilities assumed $ 14,003 $ 5,469 $ 19,472 Net assets acquired $ 12,787 $ 12,975 $ 25,762 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “relief-from-Royalty” method. Non-contractual customer relationships were valued using a “multi-period excess earnings” method. Identifiable intangible assets will be amortized over 5 - 10 years. c. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability based on the synergies expected to arise from the acquired entities. d. Long-term debt assumed was paid off subsequent to the acquisition. Since the acquisition date, the businesses acquired have provided the following activity (in thousands): 2019 2018 2017 SR Energy Cementing SR Energy Cementing SR Energy Cementing Revenues (a) $ 36,600 $ 618 $ 29,287 $ 6,426 $ 11,572 $ 7,500 Net loss (b, c) (3,975 ) (2,449 ) (2,539 ) (5,869 ) (1,626 ) (1,963 ) a. Includes intercompany revenues of $2.3 million , $3.0 million and $0.6 million , respectively, for SR Energy for 2019, 2018 and 2017 and $0.6 million , $0.3 million and a nominal amount, respectively, for Cementing for 2019, 2018 and 2017. b. Includes depreciation and amortization of $4.9 million , $5.4 million and $3.4 million , respectively, for SR Energy for 2019, 2018 and 2017 and $0.8 million , $1.5 million and $4.1 million , respectively, for Cementing for 2019, 2018 and 2017. c. Includes non-cash impairment expense of $3.9 million for SR Energy in 2019 and $3.1 million and $4.4 million , respectively, for Cementing in 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of SR Energy and Cementing had occurred on January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 35,142 Net loss (4,066 ) The historical financial information was adjusted to give effect to the pro forma events that were directly attributable to the 2017 Stingray Acquisition. For the year ended December 31, 2017, there were $0.2 million transaction related costs expensed. The unaudited pro forma consolidated results are not necessarily indicative of what the consolidated results of operations actually would have been had the 2017 Stingray Acquisition been completed on January 1, 2017. In addition, the unaudited pro forma consolidated results do not purport to project the future results of operations of the Company. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories A summary of the Company's inventories is shown below (in thousands): December 31, 2019 2018 Supplies $ 9,598 $ 12,571 Raw materials 746 199 Work in process 4,608 3,273 Finished goods 2,531 5,259 Total inventory $ 17,483 $ 21,302 As a result of market conditions, the Company temporarily shut down its cementing and acidizing operations as well as its flowback operations during the third quarter of 2019. As a result of this, the Company wrote-off obsolete inventory totaling $1.3 million . |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment include the following (in thousands): December 31, Useful Life 2019 2018 Pressure pumping equipment 3-5 years $ 216,627 $ 208,968 Drilling rigs and related equipment 3-15 years 117,783 122,198 Machinery and equipment 7-20 years 190,221 173,867 Buildings (a) 15-39 years 47,859 46,380 Vehicles, trucks and trailers 5-10 years 135,724 132,337 Coil tubing equipment 4-10 years 29,438 29,128 Land N/A 13,687 14,235 Land improvements 15 years or life of lease 10,135 9,614 Rail improvements 10-20 years 13,802 13,806 Other property and equipment (a) 3-12 years 18,880 18,551 794,156 769,084 Deposits on equipment and equipment in process of assembly (b) 6,627 16,865 800,783 785,949 Less: accumulated depreciation (c) 448,011 349,250 Total property, plant and equipment, net $ 352,772 $ 436,699 a. Included in Buildings and Other property and equipment at December 31, 2019 are costs of $6.7 million and $6.5 million , respectively, related to assets under operating leases. b. Deposits on equipment and equipment in process of assembly represents deposits placed with vendors for equipment that is in the process of assembly and purchased equipment that is being outfitted for its intended use. The equipment is not yet placed in service. c. Includes accumulated depreciation of $3.5 million at December 31, 2019 related to assets under operating leases. Proceeds from customers for horizontal and directional drilling services equipment, damaged or lost down-hole are reflected in revenue with the carrying value of the related equipment charged to cost of service revenues and are reported as cash inflows from investing activities in the statement of cash flows. For the years ended December 31, 2019 , 2018 and 2017 , proceeds from the sale of equipment damaged or lost down-hole were a nominal amount, $1.0 million and $0.5 million , respectively, and gain on sales of equipment damaged or lost down-hole were a nominal amount, $0.9 million and $0.3 million , respectively. Proceeds from assets sold or disposed of as well as the carrying value of the related equipment are reflected in other, net on the consolidated statement of comprehensive (loss) income. For the years ended December 31, 2019 , 2018 and 2017 , proceeds from the sale of equipment were $3.2 million , $0.8 million and $0.4 million , respectively, and losses from the sale or disposal of equipment were $0.1 million , $1.8 million and $0.4 million , respectively. A summary of depreciation, depletion, amortization and accretion expense is shown below (in thousands): Years Ended December 31, 2019 2018 2017 Depreciation expense $ 112,435 $ 107,634 $ 81,191 Accretion and depletion expense (see Note 2) 3,477 3,539 1,632 Amortization expense (see Note 8) 1,121 8,704 9,301 Depreciation, depletion, amortization and accretion $ 117,033 $ 119,877 $ 92,124 |
Impairments
Impairments | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Impairments | Impairments Impairment of Goodwill The Company performed its annual assessment of goodwill during the fourth quarter of 2019 and determined that the carrying value of goodwill for certain of its entities was greater than their fair values. As a result, the Company impaired goodwill associated with Stingray Pressure Pumping, SR Energy, Taylor Frac and Cobra Aviation, resulting in a $30.5 million impairment charge in 2019. To determine fair value at December 31, 2019 , the Company used a combination of the income and market approaches. The income approach estimates the fair value based on anticipated cash flows that are discounted using a weighted average cost of capital. The market approach estimates the fair value using comparative multiples, which involves significant judgment in the selection of the appropriate peer group companies and valuation multiples. Additionally, during the third quarter of 2019, the Company temporarily shut down its cementing and acidizing operations. As a result, the Company recognized goodwill impairment expense of $3.2 million associated with Cementing and Stingray Cementing and Acidizing. The fair value was measured using an income approach. During the year ended December 31, 2018 , the Company moved Cementing's equipment from the Utica Shale to the Permian Basin. As a result, the Company recognized impairment on Cementing's goodwill totaling $3.2 million . The fair value was measured using an income approach. Impairment of Other Long-Lived Assets A summary of impairment of other long-lived assets is as follows (in thousands): December 31, 2019 2018 2017 Drilling rigs and related equipment $ 2,955 $ 3,966 $ 3,822 Other property, plant and equipment 3,557 307 324 Intangible assets 846 1,379 — $ 7,358 $ 5,652 $ 4,146 For the years ended December 31, 2019 , 2018 and 2017 , the Company recognized impairments of $3.0 million , $4.0 million and $3.8 million , respectively, related to drilling rig assets and $3.6 million , $0.3 million and $0.3 million , respectively, related to other property, plant and equipment. These assets were deemed impaired based on future expected cash flows of the equipment. The Company measured the fair values of its drilling rig assets at December 31, 2018 and 2017 and other property, plant and equipment at December 31, 2019 , 2018 and 2017 using significant unobservable inputs (Level 3) based on an income approach. The Company measured the fair value of its drilling rig assets at December 31, 2019 using significant unobservable inputs (Level 3) based on a market approach. The Company determined the fair value of WTL's non-contractual customer relationships was less than their carrying value, resulting in impairment expense of $0.8 million during the year ended December 31, 2019 . Additionally, during the third quarter of 2019, the Company temporarily shut down its flowback operations, resulting in impairment of non-contractual customer relationships of $0.1 million . During the year ended December 31, 2018 , the Company moved Cementing's equipment from the Utica shale to the Permian basin. As a result, the Company recognized impairment on Cementing's intangible assets, including non-contractual customer relationships and trade name of $1.0 million and $0.2 million , respectively. Additionally, the Company recognized impairment of trade name totaling $0.2 million related to the name change of Stingray Logistics to Silverback Energy, which is included in the Company's Pressure Pumping segment. The assumptions used in the impairment evaluation for long-lived assets are inherently uncertain and require management’s judgment. A continued period of low oil and natural gas prices or continued reductions in capital expenditures by our customers would likely have an adverse impact on our utilization and the prices that we receive for our services. This could result in the recognition of future material impairment charges on the same, or additional, property and equipment if future cash flow estimates, based upon information then available to management, indicate that their carrying values are not recoverable. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill Changes in the net carrying amount of goodwill by reporting segment (see Note 21) for the years ended December 31, 2019 and 2018 are presented below (in thousands): Infrastructure Pressure Pumping Sand Other Total Balance as of January 1, 2018 Goodwill $ 891 $ 86,043 $ 2,684 $ 10,193 $ 99,811 Accumulated impairment losses — — — — — 891 86,043 2,684 10,193 99,811 Acquisitions 2,937 — — 1,700 4,637 Impairment losses (a) — — — (3,203 ) (3,203 ) Balance as of December 31, 2018 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses — — — (3,203 ) (3,203 ) 3,828 86,043 2,684 8,690 101,245 Acquisitions — — — — — Impairment losses (a) (434 ) (23,423 ) (2,684 ) (7,123 ) (33,664 ) Balance as of December 31, 2019 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434 ) (23,423 ) (2,684 ) (10,326 ) (36,867 ) $ 3,394 $ 62,620 $ — $ 1,567 $ 67,581 a. See Note 7 for a description of impairment losses recognized. Intangible Assets The Company had the following definite lived intangible assets recorded as of the dates presented below (in thousands): December 31, 2019 2018 Customer relationships $ 1,050 $ 2,255 Trade names 9,063 9,063 Less: accumulated amortization - customer relationships (467 ) (544 ) Less: accumulated amortization - trade names (3,858 ) (3,018 ) Intangible assets, net $ 5,788 $ 7,756 Amortization expense for intangible assets was $1.1 million , $8.7 million and $9.3 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. The Company recognized impairment of intangible assets totaling $0.8 million and $1.4 million , respectively, for the years ended December 31, 2019 and 2018 . See Note 7 for a description of these impairment losses. The original lives of customer relationships is 6 years and as of December 31, 2019 the remaining average useful life was 3.33 years. The original lives of trade names range from 10 to 20 years and as of December 31, 2019 the remaining average useful life was 8.26 years. Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands): Year ended December 31: Amount 2020 $ 1,015 2021 1,015 2022 1,015 2023 898 2024 771 Thereafter 1,074 $ 5,788 |
Equity Method Investment
Equity Method Investment | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investment | Equity Method Investment On December 21, 2018, Cobra Aviation and Wexford Investment, a related party, formed a joint venture under the name of Brim Acquisitions to acquire all outstanding equity interest in Brim Equipment for a total purchase price of approximately $2.0 million . Cobra Aviation owns a 49% economic interest and Wexford Investment owns a 51% economic interest in Brim Acquisitions, and each member contributed its pro rata portion of Brim Acquisitions initial capital of $2.0 million . Brim Acquisitions, through Brim Equipment, owns one commercial helicopter and leases one commercial helicopter for operation, which it uses to provide a variety of services, including short haul, aerial ignition, hoist operations, aerial photography, fire suppression, construction services, animal/capture/survey, search and rescue, airborne law enforcement, power line construction, precision long line operations, pipeline construction and survey, mineral and seismic exploration, and aerial seeding and fertilization. The Company uses the equity method of accounting to account for its investment in Brim Acquisitions, which had a carrying value of approximately $2.6 million and $1.0 million , respectively, at December 31, 2019 and 2018 . The investment is included in other non-current assets on the consolidated balance sheets. The Company recorded equity method adjustments to its investment for its share of Brim Acquisitions' income (loss) of $1.0 million for the year ended December 31, 2019 and ($0.02) million for the period between the acquisition date and December 31, 2018 , which is included in other, net on the consolidated statements of comprehensive (loss) income. The Company made additional investments totaling $0.7 million during the year ended December 31, 2019 . |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expense and other current liabilities included the following (in thousands): December 31, 2019 2018 State and local taxes payable $ 15,288 18,687 Deferred revenue 7,244 4,304 Financed insurance premiums 6,463 6,761 Accrued compensation, benefits and related taxes 5,938 20,898 Insurance reserves 2,906 4,678 Other 2,915 4,324 Total $ 40,754 $ 59,652 Financed insurance premiums are due in monthly installments, are unsecured and mature within the twelve-month period following the close of the year. As of December 31, 2019 , the applicable interest rates associated with financed insurance premiums ranged from 3.45% to 3.75% . As of December 31, 2018 , the applicable interest rate associated with financed insurance premiums was 3.45% . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt Mammoth Credit Facility On October 19, 2018, Mammoth Inc. and certain of its direct and indirect subsidiaries, as borrowers, entered into an amended and restated revolving credit and security agreement with the lenders party thereto and PNC Bank, National Association, as a lender and as administrative agent for the lenders, as amended and restated (the “revolving credit facility”). The revolving credit facility matures on October 19, 2023. Borrowings under the revolving credit facility are secured by the assets of Mammoth Inc., inclusive of the subsidiary companies, and are subject to a borrowing base calculation prepared monthly. On November 5, 2019, the Company entered into a first amendment to the revolving credit facility to amend the interest coverage ratio definition to give accrual treatment to certain cash taxes included in the ratio calculation. As a result, certain cash tax payments that were made in 2019 were now treated as if they were made in 2018, the year in which the income related to such tax payments was actually received. As of December 31, 2019 , outstanding borrowings under the revolving credit facility bore interest at a per annum rate elected by Mammoth Inc. that was equal to an alternate base rate or LIBOR, in each case plus the applicable margin. As of December 31, 2019 , the applicable margin ranged from 1.00% to 1.50% per annum in the case of the alternate base rate, and from 2.00% to 2.50% per annum in the case of LIBOR. The applicable margin depends on the amount of excess availability under the revolving credit facility. At December 31, 2019 , there were outstanding borrowings under the revolving credit facility of $80.0 million and $96.1 million of available borrowing capacity, after giving effect to $8.7 million of outstanding letters of credit. At December 31, 2018 , there were no outstanding borrowings under the revolving credit facility and $175.8 million of borrowing capacity under the facility, after giving effect to $8.4 million of outstanding letters of credit. As of December 31, 2019 , the revolving credit facility contained various customary affirmative and restrictive covenants. Among the covenants are two financial covenants, including a minimum interest coverage ratio ( 3.0 to 1.0), and a maximum leverage ratio ( 4.0 to 1.0). As of December 31, 2019 and 2018 , the Company was in compliance with its covenants under the revolving credit facility. However, the Company believes that its adjusted EBITDA for the trailing four fiscal quarters would have resulted in a breach of the maximum leverage ratio and/or the interest coverage ratio as early as the end of the first quarter of 2020 if the Company did not receive payments due from PREPA before the end of such quarter. As the Company believes that such payments from PREPA are unlikely to be received by March 31, 2020, on February 26, 2020, the Company entered into a second amendment to the revolving credit facility to, among other things, (i) amend its financial covenants, as outlined below, (ii) decrease the maximum revolving advance amount from $185 million to $130 million , (iii) decrease the amount that the maximum revolving advance can be increased to (the accordion) from $350 million to $180 million , (iv) increase the applicable margin ranges from 2.00% to 2.50% per annum in the case of the alternate base rate and from 3.00% to 3.50% per annum in the case of LIBOR, (v) increase the aggregate amount of permitted asset dispositions, and (vi) permit certain sale-leaseback transactions. The financial covenants under the revolving credit facility were amended as follows: • the minimum interest coverage ratio of 3.0 to 1.0 was eliminated; • the maximum leverage coverage ratio of 4.0 to 1.0 was eliminated for the first two fiscal quarters of 2020 and, beginning with the fiscal quarter ended September 30, 2020, changed to 2.5 to 1.0; • beginning with the fiscal quarter ended September 30, 2020, a minimum fixed charge coverage ratio of at least 1.1 to 1.0 was added; and • from the effective date of February 26, 2020 through September 30, 2020, a minimum excess availability covenant of 10% of the maximum revolving advance amount was added. As of February 26, 2020, the Company had $87.4 million in borrowings outstanding under its revolving credit facility, leaving an aggregate of $20.6 million of available borrowing capacity under this facility, after giving effect to the recent amendment that reduced the maximum revolving advance amount to $130 million . The available borrowing capacity is reduced by (i) a minimum excess availability covenant of 10% of the maximum revolving advance amount and (ii) $9.0 million of outstanding letters of credit. Sturgeon Credit Facility On June 30, 2015, Sturgeon entered in to a three -year $25.0 million revolving line of credit secured by substantially all of the assets of Sturgeon (“the Sturgeon revolver”). Advances under the Sturgeon revolver bore interest at 2% plus the greater of (a) the Base Rate as set by the lender's commercial lending group, (b) the sum of the Federal Funds Open Rate plus one half of one percent and (c) the sum of the Daily LIBOR rate. Additionally, at Sturgeon’s request, advances could be obtained at LIBOR plus 3% . The LIBOR rate option allowed Sturgeon to select interest periods from one, two, three or six month LIBOR futures spot rates. The Sturgeon revolver was terminated on June 6, 2017. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | Variable Interest Entities Dire Wolf Energy Services LLC (“Dire Wolf”) and Predator Aviation LLC (“Predator Aviation”), wholly owned subsidiaries of the Company, are party to Voting Trust Agreements with TVPX Aircraft Solutions Inc. (the “Voting Trustee”). Under the Voting Trust Agreements, Dire Wolf transferred 100% of its membership interest in Cobra Aviation and Predator Aviation transferred 100% of its membership in Leopard Aviation LLC (“Leopard') to the respective Voting Trustees in exchange for Voting Trust Certificates. Dire Wolf and Predator Aviation retained the obligation to absorb all expected returns or losses of Cobra Aviation and Leopard. Prior to the transfer of the membership interest to the Voting Trustee, Cobra Aviation was a wholly owned subsidiary of Dire Wolf and Leopard was a wholly owned subsidiary of Predator Aviation. Cobra Aviation owns three helicopters and support equipment, 100% of the equity interest in ARS and 49% of the equity interest in Brim Acquisitions. Leopard owns one helicopter. Dire Wolf and Predator Aviation entered into the Voting Trust Agreements in order to meet certain registration requirements. Dire Wolf's and Predator Aviation's voting rights are not proportional to their respective obligations to absorb expected returns or losses of Cobra Aviation and Leopard and all of Cobra Aviation's and Leopard's activities are conducted on behalf of Dire Wolf and Predator Aviation, which have disproportionately fewer voting rights; therefore, Cobra Aviation and Leopard meet the criteria of a VIE. Cobra Aviation's and Leopard's operational activities are directed by Dire Wolf's and Predator Aviation's officers and Dire Wolf and Predator Aviation have the option to terminate the Voting Trust Agreements at any time. Therefore, the Company, through Dire Wolf and Predator Aviation, is considered the primary beneficiary of the VIEs and consolidates Cobra Aviation and Leopard at December 31, 2019 . |
Selling, General and Administra
Selling, General and Administrative Expense | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Selling, General And Administrative Expense | Selling, General and Administrative Expense Selling, general and administrative (“SG&A”) expense includes of the following (in thousands): Years Ended December 31, 2019 2018 2017 Cash expenses: Compensation and benefits $ 19,364 $ 42,950 $ 15,322 Professional services 17,128 11,854 7,765 Other (a) 10,300 10,718 7,503 Total cash SG&A expense 46,792 65,522 30,590 Non-cash expenses: Bad debt provision (b) 1,434 (14,578 ) 16,098 Equity based compensation (c) — 17,487 — Stock based compensation 3,326 4,666 3,198 Total non-cash SG&A expense 4,760 7,575 19,296 Total SG&A expense $ 51,552 $ 73,097 $ 49,886 a. Includes travel-related costs, IT expenses, rent, utilities and other general and administrative-related costs. b. During the year ended December 31, 2018 , the Company received payment for amounts previously reserved in 2017. As a result, during the year ended December 31, 2018 , the Company reversed bad debt expense of $16.0 million recognized in 2017. c. Represents compensation expense for non-employee awards, which were issued and are payable by certain affiliates of Wexford (the sponsor level). See Note 17 for additional detail. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of income tax expense (benefit) attributable to the Company for the year ended December 31, 2019 , 2018 and 2017 , respectively, are as follows (in thousands): Year Ended December 31, 2019 2018 2017 U.S. current income tax expense $ 386 $ 25,656 $ 804 U.S. deferred income tax (benefit) expense (21,761 ) 25,372 (27,764 ) Foreign current income tax expense 30,172 75,381 36,565 Foreign deferred income tax (benefit) expense (20,878 ) 26,854 (6,773 ) Total $ (12,081 ) $ 153,263 $ 2,832 A reconciliation of the statutory federal income tax amount to the recorded expense is as follows (in thousands): Year Ended December 31, 2019 2018 2017 (Loss) income before income taxes, as reported $ (91,125 ) $ 389,228 $ 61,796 Bargain purchase gain, net of tax — — (4,012 ) (Loss) income before income taxes, as taxed (91,125 ) 389,228 57,784 Statutory income tax rate 21 % 21 % 35 % Expected income tax (benefit) expense (19,136 ) 81,738 20,224 Change in tax rate — (103 ) (21,309 ) Tax reform - unrepatriated foreign earnings — — (9,727 ) Foreign income tax rate differential 9,387 39,080 6,286 Foreign earnings not in reported income 12,581 46,834 22,054 Foreign tax credits (26,141 ) (89,677 ) (29,551 ) Withholding taxes 3,635 13,930 — Goodwill impairment 6,506 675 — Other permanent differences 1,873 12,370 503 State tax expenses 2,364 5,394 39 Return to provision (15,156 ) 6,071 — Other — 680 (1,192 ) Change in valuation allowance 12,006 36,271 15,505 Total $ (12,081 ) $ 153,263 $ 2,832 The Company's effective tax rate was 13.3% for the year ended December 31, 2019 compared to 39.4% for the year ended December 31, 2018 and 4.9% for the year ended December 31, 2017 . The decrease in effective tax rate from 2018 to 2019 is primarily the result of a decline in earnings for the Company's Puerto Rico operations as well as return to provision adjustments and goodwill impairment. The increase in effective tax rate from 2017 to 2018 is primarily the result of a tax rate change recorded in 2017 related to the Tax Act as discussed below. Additionally, the Company's tax rate was affected by the mix of earnings between the U.S. and Puerto Rico, increased foreign tax credits resulting from increased profitability in foreign jurisdictions, changes in valuation allowance on excess foreign tax credit carryforwards and withholding taxes on foreign source income, as well as other items, such as equity compensation expense and certain non-deductible expenses. On December 22, 2017, the United States enacted the Tax Act. The Tax Act significantly changed U.S. corporate income tax laws by, among other things, reducing the U.S. corporate income tax rate from 35% to 21% starting in 2018 and creating a territorial tax system with a one-time mandatory tax on previously deferred foreign earnings of U.S. subsidiaries. Under the accounting rules, companies were required to recognize the effects of changes in tax laws and tax rates on deferred tax assets and liabilities in 2017, the period in which the new legislation was enacted. The effects of the Tax Act on the Company included (i) remeasurement of deferred taxes and (ii) recognition of liabilities for taxes on mandatory deemed repatriation. As a result of the Tax Act, the Company recorded a credit of $31.0 million during the fourth quarter of 2017. This amount, which is included in (benefit) provision for income taxes in the consolidated statements of comprehensive (loss) income, consists of two components: (i) a $21.3 million credit resulting from the remeasurement of the Company's net deferred tax liabilities in the U.S. based on the new lower corporate income tax rate, and (ii) a $9.7 million credit related to a reversal of deferred liabilities for unrepatriated foreign earnings. The SEC staff issued Staff Accounting Bulletin No. 118 in December 2017, which allowed registrants to record provisional amounts for effects of the Tax Act during a one-year measurement period. The Company completed its analysis of the Tax Act during the fourth quarter of 2018 and recorded a nominal adjustment to its provisional estimates. Deferred tax liabilities attributable to the Company consisted of the following (in thousands): Year Ended December 31, 2019 2018 Deferred tax assets: Allowance for doubtful accounts $ 1,189 $ 1,180 Lease asset 11,105 — Deferred compensation — 1,032 Accrued liabilities 950 3,428 Net operating loss carryover 4,180 467 Foreign tax credits 76,060 51,776 Other 1,633 1,627 Valuation allowance (63,783 ) (51,776 ) Deferred tax assets 31,334 7,734 Deferred tax liabilities: Property and equipment $ (55,180 ) $ (63,181 ) Intangible assets — (4,936 ) Withholding taxes — (17,419 ) Lease liability (11,151 ) — Other (1,876 ) (1,507 ) Deferred tax liabilities (68,207 ) (87,043 ) Net deferred tax liability $ (36,873 ) $ (79,309 ) Reflected in accompanying balance sheet as: Deferred income tax asset $ — $ — Deferred income tax liability (36,873 ) (79,309 ) Total $ (36,873 ) $ (79,309 ) During the years ended December 31, 2019 and 2018 , the Company recorded changes in its valuation allowance of $12.0 million and $36.3 million , respectively, related to excess foreign tax credits that are not expected to be utilized. The Company has foreign tax credits carryforwards of $76.1 million as of December 31, 2019 . These credits have a 10 year carryforward period and begin to expire in 2028. The Company maintains a partial valuation allowance related to U.S. foreign tax credit carryforwards, as it cannot objectively assert that these deferred tax assets are more likely than not to be realized. All available positive and negative evidence was weighed to determine whether a valuation allowance was necessary. The more significant evidential matter is the higher foreign tax rate applied to foreign source income in comparison to the U.S. Federal tax rate of 21%. As a result, the Company’s has foreign tax credits in excess of the corresponding U.S. income tax liability for which the foreign tax credits are allowed as an offset and, therefore, are not likely to be realized. At December 31, 2019, the Company had federal net operating loss carryforwards of $17.8 million that are not subject to expiration, however are limited to 80% of taxable income in any carryforward period. At December 31, 2019, the Company had undistributed earnings in its Puerto Rico foreign branch. The distribution of these undistributed earnings is subject to a withholding tax in Puerto Rico and since the Company intends to make these distributions in the future, the withholding tax has been accrued. As of December 31, 2019, the Company had no uncertain tax positions or interest and penalties that qualify for either recognition or disclosure in the financial statements. The Company’s U.S. federal tax returns for tax years 2016 through 2019 remain subject to examination by the tax authorities. The Company's state and local income tax returns for tax years 2015 through 2019 remain subject to examination, with few exceptions, by the respective tax authorities. Puerto Rico tax returns for tax years 2017 through 2019 and Canada tax returns for the tax years 2014 through 2019 remain open to examination by the respective tax authorities. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) which supersedes the requirements set forth in ASC 840, Leases . The Company adopted this standard effective January 1, 2019 utilizing the transition method which permits an entity to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment made to the comparative periods presented in the consolidated financial statements. Accordingly, the comparative information as of December 31, 2018 and for the years ended December 31, 2018 and 2017, have not been adjusted and continues to be reported under the previous lease standard. The new guidance requires lessees to report a right of use asset and lease liability on the balance sheet for all leases with a term longer than one year, while maintaining substantially similar classifications for financing and operating leases. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. The Company elected the transition practical expedient package whereby an entity was not required to reassess (i) whether any expired or existing contracts are or contained leases, (ii) the lease classification for any expired or existing leases and (iii) initial direct costs for any existing leases. The adoption of ASC 842 resulted in the recognition of approximately $60.0 million of operating lease right-of-use assets and operating lease liabilities on our consolidated balance sheet as of January 1, 2019 and did not materially impact our consolidated statement of comprehensive (loss) income for the year ended December 31, 2019 . Lessee Accounting Beginning January 1, 2019, for all leases with a term in excess of 12 months, the Company recognized a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term, while finance leases include both an operating expense and an interest expense component. For all leases with a term of 12 months or less, the Company elected the practical expedient to not recognize lease assets and liabilities and recognizes lease expense for these short-term leases on a straight-line basis over the lease term. The Company's operating leases are primarily for rail cars, real estate, equipment and vehicles and its finance leases are primarily for machinery and equipment. Generally, the Company does not include renewal or termination options in its assessment of the leases unless extension or termination for certain assets is deemed to be reasonably certain. The accounting for some of the Company's leases requires significant judgment, which includes determining whether a contract contains a lease, determining the incremental borrowing rates to utilize in the net present value calculation of lease payments for lease agreements which do not provide an implicit rate and assessing the likelihood of renewal or termination options. Lease agreements that contain a lease and non-lease component are generally accounted for as a single lease component. The rate implicit in the Company's leases is not readily determinable. Therefore, the Company uses its incremental borrowing rate based on information available at the commencement date of its leases in determining the present value of lease payments. The Company's incremental borrowing rate reflects the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Lease expense consisted of the following for the year ended December 31, 2019 (in thousands): Year Ended December 31, 2019 Operating lease expense $ 21,643 Short-term lease expense 682 Finance lease expense: Amortization of right-of-use assets 1,134 Interest on lease liabilities 192 Total lease expense $ 23,651 Supplemental balance sheet information related to leases as of December 31, 2019 is as follows: December 31, 2019 Operating leases: Operating lease right-of-use assets $ 43,446 Current operating lease liability 16,432 Long-term operating lease liability 27,102 Finance leases: Property and equipment, net $ 5,111 Accrued expenses and other current liabilities 1,365 Other liabilities 3,856 Other supplemental information related to leases for the year ended December 31, 2019 is as follows (in thousands): Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,375 Operating cash flows from finance leases 192 Financing cash flows from finance leases 1,503 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 5,548 Finance leases 3,721 December 31, 2019 Weighted-average remaining lease term: Operating leases 3.4 years Finance leases 4.1 years Weighted-average discount rate: Operating leases 4.4 % Finance leases 4.3 % Maturities of lease liabilities as of December 31, 2019 are as follows (in thousands): Operating Leases Finance Leases 2020 $ 17,948 $ 1,563 2021 13,181 1,254 2022 8,747 1,221 2023 4,353 1,214 2024 1,721 441 Thereafter 881 — Total lease payments 46,831 5,693 Less: Present value discount 3,297 472 Present value of lease payments $ 43,534 $ 5,221 As of December 31, 2018, future minimum payments under noncancellable operating leases were $66.2 million in the aggregate, which consisted of the following: $20.2 million in 2019, $16.6 million in 2020, $12.6 million in 2021, $9.3 million in 2022, $5.0 million in 2023 and $2.5 million thereafter. Lessor Accounting Certain of the Company's agreements with its customers for contract land drilling services, aviation services and remote accommodation services contain an operating lease component under ASC 842 because (i) there are identified assets, (ii) the customer obtains substantially all of the economic benefits of the identified assets throughout the period of use and (iii) the customer directs the use of the identified assets throughout the period of use. The Company has elected to apply the practical expedient provided to lessors to combine the lease and non-lease components of a contract where the revenue recognition pattern is the same and where the lease component, when accounted for separately, would be considered an operating lease. The practical expedient also allows a lessor to account for the combined lease and non-lease components under ASC 606, Revenue from Contracts with Customers , when the non-lease component is the predominant element of the combined component. The Company's agreements for its contract land drilling services contain a service component in addition to a lease component. The Company has determined the service component is greater than the lease component and therefore, reports revenue for its contract land drilling services under ASC 606. The Company's lease agreements are generally short-term in nature and lease revenue is recognized over time based on a monthly, daily or hourly rate basis. The Company does not provide an option for the lessee to purchase the rented assets at the end of the lease and the lessees do not provide residual value guarantees on the rented assets. During the year ended December 31, 2019 , the Company recognized lease revenue, which is included in services revenue - related parties and services revenue on the consolidated statements of comprehensive (loss) income, of $1.8 million and $0.6 million , respectively. |
Leases | Leases In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) which supersedes the requirements set forth in ASC 840, Leases . The Company adopted this standard effective January 1, 2019 utilizing the transition method which permits an entity to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment made to the comparative periods presented in the consolidated financial statements. Accordingly, the comparative information as of December 31, 2018 and for the years ended December 31, 2018 and 2017, have not been adjusted and continues to be reported under the previous lease standard. The new guidance requires lessees to report a right of use asset and lease liability on the balance sheet for all leases with a term longer than one year, while maintaining substantially similar classifications for financing and operating leases. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. The Company elected the transition practical expedient package whereby an entity was not required to reassess (i) whether any expired or existing contracts are or contained leases, (ii) the lease classification for any expired or existing leases and (iii) initial direct costs for any existing leases. The adoption of ASC 842 resulted in the recognition of approximately $60.0 million of operating lease right-of-use assets and operating lease liabilities on our consolidated balance sheet as of January 1, 2019 and did not materially impact our consolidated statement of comprehensive (loss) income for the year ended December 31, 2019 . Lessee Accounting Beginning January 1, 2019, for all leases with a term in excess of 12 months, the Company recognized a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term, while finance leases include both an operating expense and an interest expense component. For all leases with a term of 12 months or less, the Company elected the practical expedient to not recognize lease assets and liabilities and recognizes lease expense for these short-term leases on a straight-line basis over the lease term. The Company's operating leases are primarily for rail cars, real estate, equipment and vehicles and its finance leases are primarily for machinery and equipment. Generally, the Company does not include renewal or termination options in its assessment of the leases unless extension or termination for certain assets is deemed to be reasonably certain. The accounting for some of the Company's leases requires significant judgment, which includes determining whether a contract contains a lease, determining the incremental borrowing rates to utilize in the net present value calculation of lease payments for lease agreements which do not provide an implicit rate and assessing the likelihood of renewal or termination options. Lease agreements that contain a lease and non-lease component are generally accounted for as a single lease component. The rate implicit in the Company's leases is not readily determinable. Therefore, the Company uses its incremental borrowing rate based on information available at the commencement date of its leases in determining the present value of lease payments. The Company's incremental borrowing rate reflects the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Lease expense consisted of the following for the year ended December 31, 2019 (in thousands): Year Ended December 31, 2019 Operating lease expense $ 21,643 Short-term lease expense 682 Finance lease expense: Amortization of right-of-use assets 1,134 Interest on lease liabilities 192 Total lease expense $ 23,651 Supplemental balance sheet information related to leases as of December 31, 2019 is as follows: December 31, 2019 Operating leases: Operating lease right-of-use assets $ 43,446 Current operating lease liability 16,432 Long-term operating lease liability 27,102 Finance leases: Property and equipment, net $ 5,111 Accrued expenses and other current liabilities 1,365 Other liabilities 3,856 Other supplemental information related to leases for the year ended December 31, 2019 is as follows (in thousands): Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,375 Operating cash flows from finance leases 192 Financing cash flows from finance leases 1,503 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 5,548 Finance leases 3,721 December 31, 2019 Weighted-average remaining lease term: Operating leases 3.4 years Finance leases 4.1 years Weighted-average discount rate: Operating leases 4.4 % Finance leases 4.3 % Maturities of lease liabilities as of December 31, 2019 are as follows (in thousands): Operating Leases Finance Leases 2020 $ 17,948 $ 1,563 2021 13,181 1,254 2022 8,747 1,221 2023 4,353 1,214 2024 1,721 441 Thereafter 881 — Total lease payments 46,831 5,693 Less: Present value discount 3,297 472 Present value of lease payments $ 43,534 $ 5,221 As of December 31, 2018, future minimum payments under noncancellable operating leases were $66.2 million in the aggregate, which consisted of the following: $20.2 million in 2019, $16.6 million in 2020, $12.6 million in 2021, $9.3 million in 2022, $5.0 million in 2023 and $2.5 million thereafter. Lessor Accounting Certain of the Company's agreements with its customers for contract land drilling services, aviation services and remote accommodation services contain an operating lease component under ASC 842 because (i) there are identified assets, (ii) the customer obtains substantially all of the economic benefits of the identified assets throughout the period of use and (iii) the customer directs the use of the identified assets throughout the period of use. The Company has elected to apply the practical expedient provided to lessors to combine the lease and non-lease components of a contract where the revenue recognition pattern is the same and where the lease component, when accounted for separately, would be considered an operating lease. The practical expedient also allows a lessor to account for the combined lease and non-lease components under ASC 606, Revenue from Contracts with Customers , when the non-lease component is the predominant element of the combined component. The Company's agreements for its contract land drilling services contain a service component in addition to a lease component. The Company has determined the service component is greater than the lease component and therefore, reports revenue for its contract land drilling services under ASC 606. The Company's lease agreements are generally short-term in nature and lease revenue is recognized over time based on a monthly, daily or hourly rate basis. The Company does not provide an option for the lessee to purchase the rented assets at the end of the lease and the lessees do not provide residual value guarantees on the rented assets. During the year ended December 31, 2019 , the Company recognized lease revenue, which is included in services revenue - related parties and services revenue on the consolidated statements of comprehensive (loss) income, of $1.8 million and $0.6 million , respectively. |
Dividends and Earnings (Loss) P
Dividends and Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Stockholder's Equity and Earnings (Loss) Per Share | Dividends and Earnings (Loss) Per Share Dividends On July 16, 2018, the Company initiated a quarterly dividend policy. As a result of oilfield market conditions and other factors, which include collections from PREPA, the Company's Board of Directors suspended the quarterly cash dividend in the third quarter of 2019. The table below summarizes the dividends paid on the Company's common stock. Per Share Total (in thousands) 2019 Paid on February 14, 2019 $ 0.125 $ 5,609 Paid on May 17, 2019 0.125 5,610 Total cash dividends $ 0.25 $ 11,219 2018 Paid on August 14, 2018 $ 0.125 $ 5,595 Paid on November 15, 2018 0.125 5,606 Total cash dividends $ 0.25 $ 11,201 Earnings (Loss) Per Share Year Ended December 31, 2019 2018 2017 (in thousands, except per share data) Basic (loss) earnings per share: Allocation of earnings: Net (loss) income $ (79,044 ) $ 235,965 $ 58,964 Weighted average common shares outstanding 45,011 44,750 41,548 Basic (loss) earnings per share $ (1.76 ) $ 5.27 $ 1.42 Diluted (loss) earnings per share: Allocation of earnings: Net (loss) income $ (79,044 ) $ 235,965 $ 58,964 Weighted average common shares, including dilutive effect (a) 45,011 45,021 41,639 Diluted (loss) earnings per share $ (1.76 ) $ 5.24 $ 1.42 a. No incremental shares of potentially dilutive restricted stock awards were included for the year ended December 31, 2019 as their effect was antidilutive under the treasury stock method. |
Equity Based Compensation
Equity Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Equity Based Compensation | Equity Based Compensation Upon formation of certain operating entities by Wexford, Gulfport and Rhino, specified members of management (the “Specified Members”) and certain non-employee members (the “Non-Employee Members”) were granted the right to receive distributions from the operating entities after the contribution member’s unreturned capital balance was recovered (referred to as “Payout” provision). On November 24, 2014, the awards were modified in conjunction with the contribution of the operating entities to Mammoth Inc. These awards were not granted in limited or general partner units. The awards are for interests in the distributable earnings of the members of MEH Sub, Mammoth Inc.’s majority equity holder. On the IPO closing date, the unreturned capital balance of Mammoth Inc.'s majority equity holder was not fully recovered from its sale of common stock in the IPO. As a result, Payout did not occur and no compensation cost was recorded. On June 29, 2018, as part of an underwritten secondary public offering, MEH Sub sold 2,764,400 shares of the Company’s common stock at a purchase price to MEH Sub of $38.01 per share. Additionally, the selling stockholders granted the underwriters an option to purchase additional shares of the Company's common stock at the same purchase price. On July 30, 2018, in connection with the partial exercise of this option, MEH Sub sold an additional 266,026 shares of common stock to the underwriters. MEH Sub received the proceeds from this offering. As a result of the June 29, 2018 offering, a portion of the Non-Employee Member awards reached Payout. During the year ended December 31, 2018, the Company recognized equity compensation expense totaling $17.5 million related to these non-employee awards. These awards are at the sponsor level and this transaction had no dilutive impact or cash impact to the Company. Payout for the remaining awards is expected to occur as the contribution member's unreturned capital balance is recovered from additional sales by MEH Sub of its shares of the Company's common stock or from dividend distributions, which is not considered probable until the event occurs. For the Specified Member awards, the unrecognized amount, which represents the fair value of the award as of the modification dates or grant date, was $5.6 million . The Company adopted ASU 2018-07 as of January 1, 2019. This ASU aligns the accounting for non-employee share-based compensation with the requirements for employee share-based compensation. The standard required non-employee awards to be measured at fair value as of the date of adoption. For the Company's Non-Employee Member awards, the unrecognized amount, which represents the fair value of the awards as of the date of adoption of ASU 2018-07 was $18.9 million . Stock-Based Compensation The 2016 Plan authorizes the Company's Board of Directors or the compensation committee of the Company's Board of Directors to grant incentive restricted stock, restricted stock unit, stock appreciation rights, stock options and performance awards. There are 4.5 million shares of common stock reserved for issuance under the 2016 Plan. Restricted Stock Units The fair value of restricted stock unit awards was determined based on the fair market value of the Company's common stock on the date of the grant. This value is amortized over the vesting period. Forfeitures are recognized as they occur. A summary of the status and changes of the unvested shares of restricted stock units under the 2016 Plan is presented below. Number of Unvested Restricted Stock Units Weighted Average Grant-Date Fair Value Unvested restricted stock units as of January 1, 2017 282,780 $ 14.98 Granted 460,185 $ 20.72 Vested (97,890 ) $ 15.07 Forfeited (4,443 ) $ 15.00 Unvested restricted stock units as of December 31, 2017 640,632 $ 19.44 Granted 103,556 $ 27.74 Vested (270,069 ) $ 19.26 Forfeited (40,000 ) $ 20.68 Unvested restricted stock units as of December 31, 2018 434,119 $ 22.78 Granted 101,181 $ 6.83 Vested (231,896 ) $ 22.45 Forfeited (82,163 ) $ 18.55 Unvested restricted stock units as of December 31, 2019 221,241 $ 22.43 As of December 31, 2019 , there was $1.2 million of total unrecognized compensation cost related to the unvested restricted stock. The cost is expected to be recognized over a weighted average period of approximately eleven months . Included in cost of revenue and selling, general and administrative expenses is stock-based compensation expense of $4.2 million , $5.4 million and $3.7 million , respectively, for the years ended December 31, 2019 , 2018 and 2017 . |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Equity Based Compensation Upon formation of certain operating entities by Wexford, Gulfport and Rhino, specified members of management (the “Specified Members”) and certain non-employee members (the “Non-Employee Members”) were granted the right to receive distributions from the operating entities after the contribution member’s unreturned capital balance was recovered (referred to as “Payout” provision). On November 24, 2014, the awards were modified in conjunction with the contribution of the operating entities to Mammoth Inc. These awards were not granted in limited or general partner units. The awards are for interests in the distributable earnings of the members of MEH Sub, Mammoth Inc.’s majority equity holder. On the IPO closing date, the unreturned capital balance of Mammoth Inc.'s majority equity holder was not fully recovered from its sale of common stock in the IPO. As a result, Payout did not occur and no compensation cost was recorded. On June 29, 2018, as part of an underwritten secondary public offering, MEH Sub sold 2,764,400 shares of the Company’s common stock at a purchase price to MEH Sub of $38.01 per share. Additionally, the selling stockholders granted the underwriters an option to purchase additional shares of the Company's common stock at the same purchase price. On July 30, 2018, in connection with the partial exercise of this option, MEH Sub sold an additional 266,026 shares of common stock to the underwriters. MEH Sub received the proceeds from this offering. As a result of the June 29, 2018 offering, a portion of the Non-Employee Member awards reached Payout. During the year ended December 31, 2018, the Company recognized equity compensation expense totaling $17.5 million related to these non-employee awards. These awards are at the sponsor level and this transaction had no dilutive impact or cash impact to the Company. Payout for the remaining awards is expected to occur as the contribution member's unreturned capital balance is recovered from additional sales by MEH Sub of its shares of the Company's common stock or from dividend distributions, which is not considered probable until the event occurs. For the Specified Member awards, the unrecognized amount, which represents the fair value of the award as of the modification dates or grant date, was $5.6 million . The Company adopted ASU 2018-07 as of January 1, 2019. This ASU aligns the accounting for non-employee share-based compensation with the requirements for employee share-based compensation. The standard required non-employee awards to be measured at fair value as of the date of adoption. For the Company's Non-Employee Member awards, the unrecognized amount, which represents the fair value of the awards as of the date of adoption of ASU 2018-07 was $18.9 million . Stock-Based Compensation The 2016 Plan authorizes the Company's Board of Directors or the compensation committee of the Company's Board of Directors to grant incentive restricted stock, restricted stock unit, stock appreciation rights, stock options and performance awards. There are 4.5 million shares of common stock reserved for issuance under the 2016 Plan. Restricted Stock Units The fair value of restricted stock unit awards was determined based on the fair market value of the Company's common stock on the date of the grant. This value is amortized over the vesting period. Forfeitures are recognized as they occur. A summary of the status and changes of the unvested shares of restricted stock units under the 2016 Plan is presented below. Number of Unvested Restricted Stock Units Weighted Average Grant-Date Fair Value Unvested restricted stock units as of January 1, 2017 282,780 $ 14.98 Granted 460,185 $ 20.72 Vested (97,890 ) $ 15.07 Forfeited (4,443 ) $ 15.00 Unvested restricted stock units as of December 31, 2017 640,632 $ 19.44 Granted 103,556 $ 27.74 Vested (270,069 ) $ 19.26 Forfeited (40,000 ) $ 20.68 Unvested restricted stock units as of December 31, 2018 434,119 $ 22.78 Granted 101,181 $ 6.83 Vested (231,896 ) $ 22.45 Forfeited (82,163 ) $ 18.55 Unvested restricted stock units as of December 31, 2019 221,241 $ 22.43 As of December 31, 2019 , there was $1.2 million of total unrecognized compensation cost related to the unvested restricted stock. The cost is expected to be recognized over a weighted average period of approximately eleven months . Included in cost of revenue and selling, general and administrative expenses is stock-based compensation expense of $4.2 million , $5.4 million and $3.7 million , respectively, for the years ended December 31, 2019 , 2018 and 2017 . |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Transactions between the subsidiaries of the Company and the following companies are included in Related Party Transactions: Gulfport; Grizzly Oil Sands ULC (“Grizzly”); El Toro Resources LLC (“El Toro”); Cementing and SR Energy (collectively, prior to the 2017 Stingray Acquisition, the “2017 Stingray Companies”); Everest Operations Management LLC (“Everest”); Elk City Yard LLC (“Elk City Yard”); Double Barrel Downhole Technologies LLC (“DBDHT”); Orange Leaf Holdings LLC (“Orange Leaf”); Caliber Investment Group LLC (“Caliber”); Dunvegan North Oilfield Services ULC (“Dunvegan”); Predator Drilling LLC (“Predator”); T&E Flow Services LLC (“T&E”); and Brim Equipment. Following is a summary of related party transactions (in thousands): REVENUES ACCOUNTS RECEIVABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Stingray Pressure Pumping and Gulfport (a) $ 90,357 $ 96,013 $ 144,473 $ 5,950 $ 8,175 Muskie and Gulfport (b) 27,689 25,050 42,956 1,141 1,193 SR Energy and Gulfport (c) 8,772 14,717 10,129 156 1,658 Aquahawk and Gulfport (d) 828 — — — — Panther and Gulfport (e) — 44 3,253 — — Cementing and Gulfport (f) — 5,853 7,410 — — Cobra Aviation/ARS/Leopard and Brim Equipment (g) 2,093 — — 235 — Panther and El Toro (h) 573 918 96 — 64 Other Relationships 1 638 703 41 74 $ 130,313 $ 143,233 $ 209,020 $ 7,523 $ 11,164 a. Stingray Pressure Pumping provides pressure pumping, stimulation and related completion services to Gulfport. b. Muskie has agreed to sell and deliver, and Gulfport has agreed to purchase, specified annual and monthly amounts of natural sand proppant, subject to certain exceptions specified in the agreement, and pay certain costs and expenses. c. SR Energy provides rental services for Gulfport. d. Aquahawk provides water transfer services for Gulfport pursuant to a master services agreement. e. Panther performs drilling services for Gulfport pursuant to a master service agreement. f. Cementing performs well cementing services for Gulfport. g. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. h. Panther provides directional drilling services for El Toro, an affiliate of Wexford, pursuant to a master service agreement. COST OF REVENUE ACCOUNTS PAYABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Cobra Aviation/ARS/Leopard and Brim Equipment (a) 4,720 — — 433 — Cobra and T&E (b) — 4,042 610 — — Higher Power and T&E (b) — 1,603 25 — — Panther and DBDHT (c) — 240 196 240 The Company and 2017 Stingray Companies (d) — — 432 — — Other Relationships 50 — 145 — — $ 4,770 $ 5,885 $ 1,408 $ 433 $ 240 SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Wexford (e) 650 992 892 1 100 The Company and Caliber (f) 785 648 335 7 3 Cobra Aviation/ARS/Leopard and Brim Equipment (a) 233 — — — — Other Relationships 179 258 254 9 27 $ 1,847 $ 1,898 $ 1,481 $ 17 $ 130 CAPITAL EXPENDITURES Leopard and Brim Equipment (a) 420 — — 76 — Cobra and T&E (b) — 1,247 629 — — Higher Power and T&E (b) — 2,960 1,380 — — $ 420 $ 4,207 $ 2,009 $ 76 $ — $ 526 $ 370 a. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. b. Cobra and Higher Power purchased materials and services from T&E, an entity in which a member of management's family owned a minority interest. T&E ceased to be a related party as of September 30, 2018. c. Panther rents rotary steerable equipment in connection with its directional drilling services from DBDHT, an affiliate of Wexford. d. Prior to the 2017 Stingray Acquisition, the 2017 Stingray Companies provided certain services to the Company and, from time to time, the 2017 Stingray Companies paid for goods and services on behalf of the Company. e. Wexford provides certain administrative and analytical services to the Company and, from time to time, the Company pays for goods and services on behalf of Wexford. f. The Company leases office space from Caliber, an entity controlled by Wexford. On June 29, 2018, Gulfport and certain entities controlled by Wexford (the “Selling Stockholders”) completed an underwritten secondary public offering of 4,000,000 shares of the Company’s common stock at a purchase price to the Selling Stockholders of $38.01 per share. The Selling Stockholders granted the underwriters an option to purchase up to an aggregate of 600,000 additional shares of the Company's common stock at the same purchase price. This option was exercised, in part, and on July 30, 2018, the underwriters purchased an additional 385,000 shares of common stock from the Selling Stockholders at the same price per share. The Selling Stockholders received all proceeds from this offering. The Company incurred costs of approximately $1.0 million related to the secondary public offering during the year ended December 31, 2018. On December 21, 2018, Cobra Aviation acquired all outstanding equity interest in ARS and purchased two commercial helicopters, spare parts, support equipment and aircraft documents from Brim Equipment. Following these transactions, and also on December 21, 2018, Cobra Aviation formed a joint venture with Wexford Investments named Brim Acquisitions to acquire all outstanding equity interests in Brim Equipment. Cobra Aviation owns a 49% economic interest and Wexford Investment owns a 51% economic interest in Brim Acquisitions, and each member contributed its pro rata portion of Brim Acquisitions' initial capital of $2.0 million . Cobra Aviation made additional investments in Brim Acquisitions totaling $0.7 million during the year ended December 31, 2019 . Wexford Investments is an entity controlled by Wexford, which owns approximately 49% of the Company's outstanding common stock. ARS leases a helicopter to Brim Equipment and Cobra Aviation leases the two helicopters purchased as part of these transactions to Brim Equipment under the terms of aircraft lease and management agreements. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Minimum Purchase Commitments The Company has entered into agreements with suppliers that contain minimum purchase obligations. Failure to purchase the minimum amounts may require the Company to pay shortfall fees. However, the minimum quantities set forth in the agreements are not in excess of currently expected future requirements. Capital Spend Commitments The Company has entered into agreements with suppliers to acquire capital equipment. Aggregate future minimum payments under these agreements at December 31, 2019 are as follows (in thousands): Year ended December 31: Capital Spend Commitments Minimum Purchase Commitments (a) 2020 $ 4,865 $ 24,416 2021 — 697 2022 — 124 2023 — 8 2024 — — Thereafter — — $ 4,865 $ 25,245 a. Included in these amounts are sand purchase commitments of $19.5 million . Pricing for certain sand purchase agreements is variable and, therefore, the total sand purchase commitments could be as much as $23.1 million . The minimum amount due in the form of shortfall fees under certain sand purchase agreements was $1.8 million as of December 31, 2019 . Letters of Credit The Company has various letters of credit that were issued under the Company's revolving credit facility which is collateralized by substantially all of the assets of the Company. The letters of credit are categorized below (in thousands): December 31, 2019 2018 Environmental remediation $ 4,182 $ 3,877 Insurance programs 4,105 4,105 Rail car commitments 455 455 Total letters of credit $ 8,742 $ 8,437 Insurance The Company has insurance coverage for physical partial loss to its assets, employer’s liability, automobile liability, commercial general liability, workers’ compensation and insurance for other specific risks. The Company has also elected in some cases to accept a greater amount of risk through increased deductibles on certain insurance policies. As of December 31, 2019 and 2018 , the workers' compensation and automobile liability policies required a deductible per occurrence of up to $0.3 million and $0.1 million , respectively. The Company establishes liabilities for the unpaid deductible portion of claims incurred based on estimates. As of December 31, 2019 and 2018 , the workers' compensation and auto liability policies contained an aggregate stop loss of $5.4 million . The Company establishes liabilities for the unpaid deductible portion of claims incurred relating to workers’ compensation and auto liability based on estimates. As of December 31, 2019 and 2018 , accrued claims were $2.9 million and $4.7 million , respectively. The Company also has insurance coverage for directors and officers liability. As of December 31, 2019 and 2018 , the directors and officers liability policy had a deductible per occurrence of $1.0 million and an aggregate deductible of $10.0 million . As of December 31, 2019 and 2018 , the Company did not have any accrued claims for directors and officers liability. The Company also self-insures its employee health insurance. The Company has coverage on its self-insurance program in the form of a stop loss of $0.2 million per participant and an aggregate stop-loss of $5.8 million for the calendar year ending December 31, 2019 . As of December 31, 2019 and 2018 , accrued claims were $3.0 million and $3.2 million , respectively. These estimates may change in the near term as actual claims continue to develop. Warranty Guarantees Pursuant to certain customer contracts in our infrastructure services segment, the Company warrants equipment and labor performed under the contracts for a specified period following substantial completion of the work. Generally, the warranty is for one year or less. No liabilities were accrued as of December 31, 2019 or 2018 and no expense was recognized during the years ended December 31, 2019 , 2018 or 2017 related to warranty claims. However, if warranty claims occur, the Company could be required to repair or replace warrantied items, which in most cases are covered by warranties extended from the manufacturer of the equipment. In the event the manufacturer of equipment failed to perform on a warranty obligation or denied a warranty claim made by the Company, the Company could be required to pay for the cost of the repair or replacement. Bonds In the ordinary course of business, the Company is required to provide bid bonds to certain customers in the infrastructure services segment as part of the bidding process. These bonds provide a guarantee to the customer that the Company, if awarded the project, will perform under the terms of the contract. Bid bonds are typically provided for a percentage of the total contract value. Additionally, the Company may be required to provide performance and payment bonds for contractual commitments related to projects in process. These bonds provide a guarantee to the customer that the Company will perform under the terms of a contract and that the Company will pay subcontractors and vendors. If the Company fails to perform under a contract or to pay subcontractors and vendors, the customer may demand that the surety make payments or provide services under the bond. The Company must reimburse the surety for expenses or outlays it incurs. As of December 31, 2019 and 2018 , outstanding performance and payment bonds totaled $40.4 million and $22.3 million , respectively. The estimated cost to complete projects secured by the performance and payment bonds totaled $8.0 million as of December 31, 2019 . As of December 31, 2018, outstanding bid bonds totaled $3.6 million . The Company did not have any bid bonds outstanding as of December 31, 2019 . Litigation The Company is routinely involved in state and local tax audits. During 2015, the State of Ohio assessed taxes on the purchase of equipment the Company believes is exempt under state law. The Company appealed the assessment and a hearing was held in 2017. As a result of the hearing, the Company received a decision from the State of Ohio. The Company is appealing the decision and while it is not able to predict the outcome of the appeal, this matter is not expected to have a material adverse effect on the Company's business, financial condition, results of operations or cash flows. On June 19, 2018, Wendco of Puerto Rico Inc. filed a putative class action lawsuit in the Commonwealth of Puerto Rico styled Wendco of Puerto Rico Inc.; Multisystem Restaurant Inc.; Restaurant Operators Inc.; Apple Caribe, Inc.; on their own behalf and in representation of all businesses that conduct business in the Commonwealth of Puerto Rico vs. Mammoth Energy Services Inc.; Cobra Acquisitions, LLC; D. Grimm Puerto Rico, LLC, et al. The plaintiffs allege that the defendants caused power outages in Puerto Rico while performing restoration work on Puerto Rico’s electrical network following Hurricanes Irma and Maria in 2017, thereby interrupting commercial activities and causing economic loss. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. On various dates in 2018 and 2019, Cobra was served with four lawsuits from municipalities in Puerto Rico alleging failure to pay municipal license and construction excise taxes. In 2020, five additional municipalities in Puerto Rico filed lawsuits against Cobra making substantially similar allegations. The Government of Puerto Rico's Central Recovery and Reconstruction Office (“COR3”) has noted the unique nature of work executed by entities such as Cobra in Puerto Rico and that taxes, such as those in these matters, may be eligible for reimbursement by the government. Further, COR3 indicated that it is working to develop a solution that will result in payment of taxes owed to the municipalities without placing an undue burden on entities such as Cobra. The Company continues to work with COR3 to resolve these matters. However, at this time, the Company is not able to predict the outcome of these matters or whether they will have a material impact on the Company's business, financial condition, results of operations or cash flows. On March 20, 2019, EJ LeJeune, a former employee of ESPADA Logistics and Security Group, LLC and ESPADA Caribbean LLC (together, “ESPADA”) filed a collective and class action complaint in LeJeune v. Mammoth Energy Services, Inc. d/b/a Cobra Energy & ESPADA Logistics and Security Group, LLC, No. 5:19-cv-00286-DAE, in the Western District of Texas. On August 5, 2019, the court granted the plaintiff’s motion for leave to amend his complaint, dismissing Mammoth Energy Services, Inc. as a defendant, adding Cobra Acquisitions LLC (“Cobra”) as a defendant, and adding ESPADA Caribbean LLC and two officers of ESPADA-James Jorrie and Jennifer Gay Jorrie-as defendants. The amended complaint alleges that the defendants jointly employed the plaintiff and all similarly situated workers and failed to pay them overtime as required by the Fair Labor Standards Act and Puerto Rico law. The complaint also alleges the following violations of Puerto Rico law: illegal deductions from workers’ wages, failure to timely pay all wages owed, failure to pay a required severance when terminating workers without just cause, failure to pay for all hours worked, failure to provide required meal periods and failure to pay a statutorily required bonus to eligible workers. The parties have agreed to stay the case until May 31, 2020 in order to conduct a mediation. Mr. LeJeune seeks to represent a class of workers allegedly employed by one or both defendants and paid a flat amount for each day worked regardless of how many hours were worked. The complaint seeks back wages, including overtime wages owed, liquidated damages equal to the overtime wages owed, attorneys’ fees, costs, and pre- and post-judgment interest. Cobra denies that it employed Mr. LeJeune and the putative class members and intends to enforce the indemnification obligations owed to it by ESPADA. At this time, the Company is not able to predict the outcome of these proceedings or whether they will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On April 16, 2019, a putative class and collective action lawsuit was filed in the U.S. District Court for the District of Puerto Rico, styled Christopher Williams, individually and on behalf of all others similarly situated v. Higher Power Electrical, LLC, Cobra Acquisitions LLC, and Cobra Energy LLC. On June 24, 2019, the complaint was amended to replace Mr. Williams with Matthew Zeisset as the named plaintiff. The plaintiffs allege that the Company failed to pay overtime wages to a class of workers in compliance with the Fair Labor Standards Act and Puerto Rico law. On July 8, 2019, the defendants moved to dismiss the plaintiffs’ claims and compel them to arbitration on an individual basis. On August 21, 2019, upon request of the parties, the court stayed proceedings in the lawsuit pending completion of the arbitration proceedings involving Mr. Zeisset and all opt-in plaintiffs. The plaintiff and additional claimants subsequently initiated individual arbitration proceedings which remain pending. In a similar matter, in April 2019, the Company received a demand for arbitration from seven individual claimants alleging the Company failed to pay overtime in violation of the Fair Labor Standards Act and Puerto Rico law. Other claimants have subsequently initiated individual arbitration proceedings as well. All complainants and the respondents have paid the filing fees necessary to initiate the arbitrations. The parties are currently waiting for arbitrators to be assigned to these matters. At this time, the Company is not able to predict the outcome of these proceedings or whether they will have a material impact on the Company’s business, financial condition, results of operations or cash flows. In June 2019 and August 2019, the Company was served with three class action lawsuits filed in the Western District of Oklahoma. On September 13, 2019, the court consolidated the three lawsuits under the case caption In re Mammoth Energy Services, Inc. Securities Litigation. On November 12, 2019, the plaintiffs filed their first amended complaint against Mammoth Energy Services, Inc., Arty Straehla, and Mark Layton. Pursuant to their first amended complaint, the plaintiffs brought a consolidated putative federal securities class action on behalf of all investors who purchased or otherwise acquired Mammoth Energy Services, Inc. common stock between October 19, 2017, and June 5, 2019, inclusive. On January 10, 2020, the defendants filed their motion to dismiss the first amended complaint. The Company believes the plaintiffs’ claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. In September 2019, four derivative lawsuits were filed, two in the Western District of Oklahoma and two in the District of Delaware, purportedly on behalf of the Company and against its officers and directors. In October 2019, the plaintiffs in the two Oklahoma actions voluntarily dismissed their respective cases, with one plaintiff refiling his action in the District of Delaware. On September 13, 2019, the Delaware court consolidated the three actions under the case caption In re Mammoth Energy Services, Inc. Consolidated Shareholder Litigation. On January 17, 2020, the plaintiffs filed their consolidated amended shareholder derivative complaint on behalf of Nominal Defendant, Mammoth Energy Services, Inc., and against Arty Straehla, Mark Layton, Arthur Amron, Paul V. Heerwagen IV, Marc McCarthy, Jim Palm, Matthew Ross, Arthur Smith, Gulfport Energy Corporation, and Wexford Capital LP. On February 18, 2020, the defendants filed a motion to stay this action. The Company believes the plaintiffs’ claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. On September 10, 2019, the U.S. District Court for the District of Puerto Rico unsealed an indictment that charged the former president of Cobra Acquisitions LLC with conspiracy, wire fraud, false statements and disaster fraud. Two other individuals were also charged in the indictment. The indictment is focused on the interactions between a former FEMA official and the former president of Cobra. Neither the Company nor any of its subsidiaries were charged in the indictment. The Company is continuing to cooperate with the related investigation. Given the uncertainty inherent in the criminal litigation, it is not possible at this time to determine the potential outcome or other potential impacts that the criminal litigation could have on the Company. PREPA has stated in court filings that it may contend the alleged criminal activity affects Cobra's entitlement to payment under its contracts with PREPA. Subsequent to the indictment, the Company received (i) a preservation request letter from the United States Securities and Exchange Commission (“SEC”) related to documents relevant to an ongoing investigation it is conducting and (ii) a civil investigative demand (“CID”) from the United States Department of Justice (“DOJ”), which requests certain documents and answers to specific interrogatories relevant to an ongoing investigation it is conducting. Both the SEC and DOJ investigations relate to the same subjects as those at issue in the criminal matter. The Company is cooperating with both the SEC and DOJ and is not able to predict the outcome of these investigations or if either will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On September 12, 2019, AL Global Services, LLC (“Alpha Lobo”) filed a second amended third-party petition against the Company in an action styled Jim Jorrie v. Craig Charles, Julian Calderas, Jr., and AL Global Services, LLC v. Jim Jorrie v. Cobra Acquisitions LLC v. ESPADA Logistics & Security Group, LLC, ESPADA Caribbean LLC, Arty Straehla, Ken Kinsey, Jennifer Jorrie, and Mammoth Energy Services, Inc., in the 57 th Judicial District in Bexar County, Texas. The petition alleges that the Company should be held vicariously liable under alter ego, agency and respondeat superior theories for Alpha Lobo’s alleged claims against Cobra and Arty Straehla for aiding and abetting, knowing participation in and conspiracy to breach fiduciary duty in connection with Cobra’s execution of an agreement with ESPADA Caribbean, LLC for security services related to Cobra’s work in Puerto Rico. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. On September 16, 2019, Cobra filed a lawsuit against Robert Malcom (“Malcom”) and BHI Energy I Power Services LLC in a case styled Cobra Acquisitions v. Robert L. Malcom and BHI Energy I Power Services LLC in the 242 nd Judicial District, District Court of Hale County, Texas. Cobra alleges Malcom breached his non-compete and non-solicit obligations contained in the purchase and sale agreement in which Cobra purchased Higher Power from Malcom. On September 16, 2019, the court entered a Temporary Restraining Order enjoining Malcom from competing against Higher Power or soliciting its customers and employees. Subsequently, on October 25, 2019, the court entered a Temporary Injunction enjoining Malcom from competing against Higher Power or soliciting its customers and employees until the time of trial. Cobra is seeking to permanently enjoin Malcom from competing against Higher Power or soliciting its customers and employees, and further seeks damages it incurred as a result of Malcom's breach of his non-compete agreement. On November 3, 2019, Malcom filed his original counter-petition and third-party petition against Cobra, Higher Power, Keith Ellison and Arty Straehla alleging, among other things, breach of contract, conversion, unjust enrichment, tortious interference, retaliation, violations of the federal Racketeer Influenced and Corrupt Organizations Act, and conspiracy. The Company moved to dismiss these claims and, on January 24, 2020, after the hearing on the motion to dismiss, Malcom dismissed his claims without prejudice. As a result, at this time the matter poses no liability to Cobra or other Mammoth Inc. entities. As of December 31, 2019 , PREPA owed the Company approximately $227.0 million for services performed, excluding $42.0 million of interest charged on these delinquent balances as of December 31, 2019 . The Company believes these receivables are collectible. However, PREPA is currently subject to bankruptcy proceedings, which were filed in July 2017 and are currently pending in the U.S. District Court for the District of Puerto Rico. As a result, PREPA's ability to meet its payment obligations is largely dependent upon funding from the Federal Emergency Management Agency or other sources. On September 30, 2019, the Company filed a motion with the U.S. District Court for the District of Puerto Rico seeking recovery of the amounts owed to the Company by PREPA. PREPA filed a motion to stay the Company's motion on the ground that the ongoing criminal proceedings described above against the former president of Cobra and two other individuals may affect the recovery of those amounts. On October 17, 2019, the court granted PREPA’s request to stay the Company's motion and, on February 3, 2020, extended the stay until a status conference to be held on June 17, 2020. In the event PREPA (i) does not have or does not obtain the funds necessary to satisfy its obligations to Cobra under the contracts, (ii) obtains the necessary funds but refuses to pay the amounts owed to the Company or (iii) otherwise does not pay amounts owed to the Company for services performed, the receivable may not be collectible. On December 18, 2019, Gulfport filed a lawsuit against Stingray Pressure Pumping in the Superior Court of the State of Delaware. Pursuant to the complaint, Gulfport seeks to terminate the October 1, 2014, Amended and Restated Master Services Agreement for Pressure Pumping Services between Gulfport and Stingray Pressure Pumping (“MSA”). In addition, Gulfport alleges breach of contract and seeks damages for alleged overpayments and audit costs under the MSA and other fees and expenses associated with this lawsuit. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. On January 21, 2020, Mastec Renewables Puerto Rico, LLC (“Mastec”) filed a lawsuit against Mammoth Inc., and Cobra, in the U.S. District Court in the Southern District of Florida. Pursuant to its complaint, Mastec asserts claims against the Company and Cobra for violations of the federal Racketeer Influenced and Corrupt Organizations Act, tortious interference and violations of Puerto Rico state laws. Mastec alleges that it sustained injuries to its business and property in the alleged amount of $500 million because of the Company’s and Cobra’s wrongful interference, payment of bribes, and other inducement to a FEMA official in order to secure two infrastructure contracts to aid in the rebuilding of the energy infrastructure in Puerto Rico after Hurricane Maria. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's business, financial condition, results of operations or cash flows. The Company is involved in various other legal proceedings in the ordinary course of business. Although the Company cannot predict the outcome of these proceedings, legal matters are subject to inherent uncertainties and there exists the possibility that the ultimate resolution of these matters could have a material impact on the Company's business, financial condition, results of operations or cash flows. Defined contribution plan The Company sponsors a 401(k) defined contribution plan for the benefit of substantially all employees at their date of hire. The plan allows eligible employees to contribute up to 92% of their annual compensation, not to exceed annual limits established by the federal government. The Company makes discretionary matching contributions of up to 3% of an employee’s compensation and may make additional discretionary contributions for eligible employees. For the years ended December 31, 2019 and 2018 the Company paid $3.3 million and $5.6 million , respectively, in contributions to the plan. The Company did not pay any contributions for the year ended December 31, 2017. |
Reporting Segments and Geograph
Reporting Segments and Geographic Areas | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Reporting Segments and Geographic Areas | Reporting Segments and Geographic Areas Reporting Segments As of December 31, 2019 , our revenues, income before income taxes and identifiable assets are primarily attributable to four reportable segments. The Company principally provides electric infrastructure services to private utilities, public investor-owned utilities and co-operative utilities and services in connection with on-shore drilling of oil and natural gas wells for small to large domestic independent oil and natural gas producers. The Company's Chief Executive Officer and Chief Financial Officer comprise the Company's Chief Operating Decision Maker function (“CODM”). Segment information is prepared on the same basis that the CODM manages the segments, evaluates the segment financial statements, and makes key operating and resource utilization decisions. Segment evaluation is determined on a quantitative basis based on a function of operating income (loss) less impairment expense, as well as a qualitative basis, such as nature of the product and service offerings and types of customers. In 2018, the Company had three reportable segments, including pressure pumping services, infrastructure services and natural sand proppant services. Based on its assessment of FASB ASC 280, Segment Reporting , guidance at December 31, 2019 , the Company changed its reportable segment presentation in 2019 to include its drilling services, which includes Bison Drilling, Bison Trucking, Panther Drilling, Mako Acquisitions and White Wing Tubular, as its own reportable segment. The results of the entities were previously included in the reconciling column titled “All Other” in the tables below for the years ended December 31, 2018 and 2017. As of December 31, 2019 , the Company’s four reportable segments include infrastructure services (“Infrastructure”), pressure pumping services (“Pressure Pumping”), natural sand proppant services (“Sand”) and drilling services (“Drilling”). The results for the years ended December 31, 2018 and 2017 have been retroactively adjusted to reflect his change in reportable segments. During the periods presented, the infrastructure services segment provided electric utility infrastructure services to government-funded utilities, private utilities, public investor-owned utilities and co-operative utilities in Puerto Rico and the northeast, southwest and midwest portions of the United States. The pressure pumping services segment provides hydraulic fracturing services primarily in the Utica Shale of Eastern Ohio, Marcellus Shale in Pennsylvania, Eagle Ford and Permian Basins in Texas and the mid-continent region. The sand segment mines, processes and sells sand for use in hydraulic fracturing. The sand segment primarily services the Utica Shale, Permian Basin, SCOOP, STACK and Montney Shale in British Columbia and Alberta, Canada. During the periods presented, the Company also provided coil tubing services, flowback services, cementing services, acidizing services, equipment rental services, crude oil hauling services, full service transportation and remote accommodation services. The businesses that provide these services are distinct operating segments, which the CODM reviews independently when making key operating and resource utilization decisions. None of these operating segments met the quantitative thresholds of a reporting segment and did not meet the aggregation criteria set forth in ASC 280 Segment Reporting for the year ended December 31, 2019 . Therefore, results for these operating segments are included in the column labeled “All Other” in the tables below. Additionally, assets for corporate activities, which primarily include cash and cash equivalents, inter-segment accounts receivable, prepaid insurance and certain property and equipment, are included in the All Other column. Although Mammoth LLC, which holds these corporate assets, meets one of the quantitative thresholds of a reporting segment, it does not engage in business activities from which it may earn revenues and its results are not regularly reviewed by the Company's CODM when making key operating and resource utilization decisions. Therefore, the Company does not include it as a reportable segment. Sales from one segment to another are generally priced at estimated equivalent commercial selling prices. Total revenue and total cost of revenue amounts included in the Eliminations column in the following tables include inter-segment transactions conducted between segments. Receivables due for sales from one segment to another and for corporate allocations to each segment are included in the Eliminations column for total assets in the following tables. All transactions conducted between segments are eliminated in consolidation. Transactions conducted by companies within the same reporting segment are eliminated within each reporting segment. The following tables set forth certain financial information with respect to the Company’s reportable segments (in thousands): Year Ended December 31, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 214,449 $ 241,972 $ 69,794 $ 31,728 $ 67,069 $ — $ 625,012 Intersegment revenues — 4,378 29,796 498 2,231 (36,903 ) — Total revenue 214,449 246,350 99,590 32,226 69,300 (36,903 ) 625,012 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 171,756 177,997 87,637 35,963 70,435 — 543,788 Intersegment cost of revenues — 31,727 2,542 846 1,848 (36,963 ) — Total cost of revenue 171,756 209,724 90,179 36,809 72,283 (36,963 ) 543,788 Selling, general and administrative 25,390 10,993 5,006 4,160 6,003 — 51,552 Depreciation, depletion, amortization and accretion 31,451 40,240 14,050 13,255 18,037 — 117,033 Impairment of goodwill 434 23,423 2,684 — 7,123 — 33,664 Impairment of other long-lived assets — — — 2,955 4,403 — 7,358 Operating income (loss) (14,582 ) (38,030 ) (12,329 ) (24,953 ) (38,549 ) 60 (128,383 ) Interest expense 1,689 1,283 193 907 886 — 4,958 Other expense (42,787 ) 580 67 (109 ) 33 — (42,216 ) Income (loss) before income taxes $ 26,516 $ (39,893 ) $ (12,589 ) $ (25,751 ) $ (39,468 ) $ 60 $ (91,125 ) Total expenditures for property, plant and equipment $ 5,643 $ 14,703 $ 2,877 $ 3,156 $ 9,382 $ — $ 35,761 As of December 31, 2019: Intangible assets, net $ 1,410 $ 3,371 $ — $ — $ 1,007 $ — $ 5,788 Total assets $ 420,285 $ 175,259 $ 190,382 $ 61,545 $ 142,731 $ (37,817 ) $ 952,385 Year Ended December 31, 2018 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 1,082,371 $ 362,491 $ 100,816 $ 66,237 $ 78,169 $ — $ 1,690,084 Intersegment revenue — 7,001 67,459 416 5,541 (80,417 ) — Total revenue 1,082,371 369,492 168,275 66,653 83,710 (80,417 ) 1,690,084 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 608,017 223,296 126,714 60,248 75,529 — 1,093,804 Intersegment cost of revenues 2,583 70,365 6,103 554 785 (80,390 ) — Total cost of revenue 610,600 293,661 132,817 60,802 76,314 (80,390 ) 1,093,804 Selling, general and administrative (a) 27,126 29,761 6,218 5,343 4,649 — 73,097 Depreciation and amortization 20,516 51,487 13,519 18,233 16,122 — 119,877 Impairment of goodwill — — — — 3,203 — 3,203 Impairment of other long-lived assets 308 143 — 3,966 1,235 — 5,652 Operating income (loss) 423,821 (5,560 ) 15,721 (21,691 ) (17,813 ) (27 ) 394,451 Interest expense 423 1,171 234 835 524 — 3,187 Other expense 573 434 525 461 43 — 2,036 Income (loss) before income taxes $ 422,825 $ (7,165 ) $ 14,962 $ (22,987 ) $ (18,380 ) $ (27 ) $ 389,228 Total expenditures for property, plant and equipment $ 100,701 $ 33,774 $ 17,935 $ 13,398 $ 26,135 $ — $ 191,943 As of December 31, 2018: Intangible assets, net $ 1,650 $ 4,059 $ — $ — $ 2,047 $ — $ 7,756 Total assets $ 366,457 $ 254,278 $ 177,870 $ 83,714 $ 132,309 $ 58,463 $ 1,073,091 a. Included in Pressure Pumping selling, general and administrative expense is non-cash equity based compensation of $17.5 million . Year Ended December 31, 2017 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 224,425 $ 277,326 $ 90,023 $ 50,075 $ 49,647 $ — $ 691,496 Intersegment revenues — 2,026 27,014 446 2,081 (31,567 ) — Total revenue 224,425 279,352 117,037 50,521 51,728 (31,567 ) 691,496 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 120,117 183,089 91,049 46,701 41,613 — 482,569 Intersegment cost of revenues 1,443 28,147 1,731 146 65 (31,532 ) — Total cost of revenue 121,560 211,236 92,780 46,847 41,678 (31,532 ) 482,569 Selling, general and administrative 21,606 9,501 8,190 5,510 5,079 — 49,886 Depreciation, depletion, amortization and accretion 3,185 45,413 9,394 19,635 14,497 — 92,124 Impairment of long-lived assets — — 324 3,822 — — 4,146 Operating loss 78,074 13,202 6,349 (25,293 ) (9,526 ) (35 ) 62,771 Interest expense 241 1,622 679 1,695 73 — 4,310 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense (income) 6 129 211 256 75 — 677 (Loss) income before income taxes $ 77,827 $ 11,451 $ 9,471 $ (27,244 ) $ (9,674 ) $ (35 ) $ 61,796 Total expenditures for property, plant and equipment 20,144 85,853 16,376 8,927 2,553 — 133,853 As of December 31, 2017: Intangible assets, net $ 1,770 $ 12,392 $ — $ — $ 1,977 $ — $ 16,139 Total assets $ 205,275 $ 297,140 $ 190,859 $ 88,527 $ 243,767 $ (158,325 ) $ 867,243 Geographic Areas The following table presents consolidated revenues by country based on sales destination of the products or services (in thousands): Year Ended December 31, 2019 2018 2017 United States $ 516,276 $ 654,506 $ 471,745 Puerto Rico 96,630 1,022,558 203,087 Canada 11,946 13,020 16,664 Other 160 — — Total $ 625,012 $ 1,690,084 $ 691,496 The following table presents long-lived assets, excluding deferred income tax assets, by country (in thousands): Year Ended December 31, 2019 2018 2017 United States $ 526,584 $ 571,555 $ 515,904 Puerto Rico — 32,604 6,923 Canada 18,821 19,376 23,254 Total $ 545,405 $ 623,535 $ 546,081 |
Quarterly Financial Data (unaud
Quarterly Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (unaudited) | Quarterly Financial Data (unaudited) Three Months Ended March 31, June 30, September 30, December 31, Total 2019 2019 2019 2019 (in thousands, except per share data) Revenue $ 262,138 $ 181,820 $ 113,417 $ 67,637 $ 625,012 Gross profit (loss) 73,068 13,805 2,283 (7,932 ) 81,224 Net income (loss) 28,333 (10,889 ) (35,709 ) (60,779 ) (79,044 ) Net income (loss) per share (basic) $ 0.63 $ (0.24 ) $ (0.79 ) $ (1.35 ) $ (1.76 ) Net income (loss) per share (diluted) $ 0.63 $ (0.24 ) $ (0.79 ) $ (1.35 ) $ (1.76 ) Three Months Ended March 31, June 30, September 30, December 31, Total 2018 2018 2018 2018 (in thousands, except per share data) Revenue $ 494,249 $ 533,594 $ 384,043 $ 278,198 $ 1,690,084 Gross profit 168,148 193,766 136,478 97,888 596,280 Net income 55,546 42,700 69,512 68,207 235,965 Net income per share (basic) $ 1.24 $ 0.95 $ 1.55 $ 1.52 $ 5.27 Net income per share (diluted) $ 1.24 $ 0.95 $ 1.54 $ 1.51 $ 5.24 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events As discussed above, on February 26, 2020, the Company entered into a second amendment to its revolving credit facility. See Note 11 above for details. Subsequent to December 31, 2019 , the Company ordered additional capital equipment with aggregate commitments of $2.2 million . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements are prepared in accordance with GAAP and include the accounts of the Company and its subsidiaries and the variable interest entities (“VIE”) for which the Company is the primary beneficiary. All material intercompany accounts and transactions between the entities within the Company have been eliminated. |
Variable Interest Entity | Variable Interest Entities The Company consolidates a VIE when it is determined to be the primary beneficiary, which is the party that has both (i) the power to direct the activities that most significantly impact the VIE's economic performance and (ii) through its interests in the VIE, the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. See Note 12 for more information on the Company's VIEs. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include, but are not limited to, the Company's sand reserves and their impact on calculating depletion expense, allowance for doubtful accounts, asset retirement obligations, reserves for self-insurance, depreciation and amortization of property and equipment, business combination valuations, amortization of intangible assets and future cash flows, fair values used to assess recoverability and impairment of long-lived assets, including goodwill and estimates of income taxes. |
Reclassifications | Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation. |
Cash and Cash Equivalents | Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less are considered cash equivalents. The Company maintains its cash accounts in financial institutions that are insured by the Federal Deposit Insurance Corporation, with the exception of cash held by Sand Tiger in a Canadian financial institution. |
Accounts Receivable | Accounts Receivable Accounts receivable include amounts due from customers for services performed or goods sold. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Most areas in the continental United States in which the Company operates provide for a mineral lien or mechanic’s lien against the property on which the service is performed if the lien is filed within the statutorily specified time frame. Customer balances are generally considered delinquent if unpaid by the 30 th day following the invoice date and credit privileges may be revoked if balances remain unpaid. Interest on delinquent accounts receivable is recognized in other income when chargeable and collectability is reasonably assured. During certain of the periods presented, the Company provided infrastructure services in Puerto Rico under master services agreements entered into by Cobra, one of the Company's subsidiaries, with the Puerto Rico Electric Power Authority (“PREPA”) to perform repairs to PREPA’s electrical grid as a result of Hurricane Maria. During the year ended December 31, 2019 , the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreements with PREPA totaling $42.0 million . These amounts are included in other, net on the consolidated statement of comprehensive (loss) income. The Company regularly reviews receivables and provides for estimated losses through an allowance for doubtful accounts. In evaluating the level of established reserves, the Company makes judgments regarding its customers’ ability to make required payments, economic events and other factors. As the financial conditions of customers change, circumstances develop or additional information becomes available, adjustments to the allowance for doubtful accounts may be required. In the event the Company was to determine that a customer may not be able to make required payments, the Company would increase the allowance through a charge to income in the period in which that determination is made. If it is determined that previously reserved amounts are collectible, the Company would decrease the allowance through a credit to income in the period in which that determination is made. Uncollectible accounts receivable are periodically charged against the allowance for doubtful accounts once final determination is made of their uncollectability. |
Inventory | Inventory Inventory consists of raw sand and processed sand available for sale, raw materials, chemicals and other products sold as a bi-product of completion and production operations and supplies used in performing services. Inventory is stated at the lower of cost or market (net realizable value) on an average cost basis. The Company assesses the valuation of its inventories based upon specific usage, future utility, obsolescence and other factors. Inventory manufactured at the Company’s sand production facilities includes direct excavation costs, processing costs and overhead allocation. Stockpile tonnages are calculated by measuring the number of tons added and removed from the stockpile. Costs are calculated on a per ton basis and are applied to the stockpiles based on the number of tons in the stockpile. Inventory transported for sale at the Company’s terminal facility includes the cost of purchased or manufactured sand, plus transportation related charges. Coil tubing strings of various widths, diameters and lengths are included in inventory. The strings are used in providing specialized services to customers who are primarily operators of oil or gas wells and are used at various rates based on factors such as well conditions (i.e. pressure and friction), vertical and horizontal length of the well, running speed of the string in the well and total running feet accumulated to the string. The Company obtains usage information from data acquisition software and other established assessment methods and attempts to amortize the strings over their estimated useful life. In no event will a string be amortized over a period longer than 12 months . |
Prepaid Expenses | Prepaid Expenses Prepaid expenses primarily consist of insurance costs and rail car freight and lease expense. These costs are expensed over the periods that they benefit. |
Property and Equipment | Property and Equipment Property and equipment, including renewals and betterments, are capitalized and stated at cost, while maintenance and repairs that do not increase the capacity, improve the efficiency or safety, or improve or extend the useful life are charged to operations as incurred. Disposals are removed at cost, less accumulated depreciation, and any resulting gain or loss is recorded in operations. Depreciation is calculated using the straight-line method over the shorter of the estimated useful life, or the remaining lease term, as applicable. Depreciation does not begin until property and equipment is placed in service. Once placed in service, depreciation on property and equipment continues while being repaired, refurbished, or between periods of deployment. |
Sand Reserves | Sand Reserves Sand reserve costs include engineering, mineralogical studies and other related costs to develop the mine, the removal of overburden to initially expose the mineral and building access ways. Exploration costs are expensed as incurred and classified as product cost of revenue. Capitalization of mine development project costs begins once the deposit is classified as proven and probable reserves. Drilling and related costs are capitalized for deposits where proven and probable reserves exist and the activities are directed at obtaining additional information on the deposit or converting non-reserve minerals to proven and probable reserves and the benefit is to be realized over a period greater than one year. Mining property and development costs are amortized using the units-of-production method on estimated measured tons in in-place reserves. The impact of revisions to reserve estimates is recognized on a prospective basis. |
Long-Lived Assets | Long-Lived Assets The Company reviews long-lived assets for recoverability in accordance with the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) 360, Impairment or Disposal of Long-Lived Assets , which requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. Recoverability of assets is measured by comparing the carrying amount of an asset to future undiscounted net cash flows expected to be generated by the asset. These evaluations for impairment are significantly impacted by estimates of revenues, costs and expenses and other factors. If long-lived assets are considered to be impaired, the impairment to be recognized is measured by the amount in which the carrying amount of the assets exceeds the fair value of the assets. |
Goodwill | Goodwill Goodwill is tested for impairment annually, or more frequently if events or changes in circumstances indicate that goodwill might be impaired. If it is determined that an impairment exists, an impairment charge is recognized for the excess of carrying value over implied fair value. The fair value is determined using a combination of the income and market approaches. |
Other Non-Current Assets | Other Non-Current Assets Other non-current assets primarily consist of deferred financing costs on our credit facility (see Note 11), sales tax receivables and our equity method investment (see Note 9). Investments are accounted for under the equity method in circumstances where the Company has the ability to exercise significant influence over the operating and investing policies of the investee, but does not have control. Under the equity method, the Company recognizes its share of the investee's earnings in its consolidated statements of comprehensive (loss) income. Investments are evaluated for impairment and a charge to earnings is recognized when any identified impairment is determined to be other than temporary. |
Asset Retirement Obligations | Asset Retirement Obligations Mine reclamation costs, future remediation costs for inactive mines and other contractual site remediation costs are accrued based on management’s best estimate at the end of each period of the costs expected to be incurred at a site. Such cost estimates include, where applicable, ongoing care, maintenance and monitoring costs. Changes in estimates are reflected in earnings in the period an estimate is revised. |
Business Combinations | Business Combinations The Company accounts for its business acquisitions under the acquisition method of accounting as indicated in FASB ASC 805, Business Combinations , which requires the acquiring entity in a business combination to recognize the fair value of all assets acquired, liabilities assumed and any noncontrolling interest in the acquiree and establishes the acquisition date as the fair value measurement point. Accordingly, the Company recognizes assets acquired and liabilities assumed in business combinations, including contingent assets and liabilities and noncontrolling interest in the acquiree, based on fair value estimates as of the date of acquisition. In accordance with FASB ASC 805, the Company recognizes and measures goodwill, if any, as of the acquisition date, as the excess of the fair value of the consideration paid over the fair value of the identified net assets acquired. When the Company acquires a business from an entity under common control, whereby the companies are ultimately controlled by the same party or parties both before and after the transaction, it is treated for accounting purposes in a manner similar to the pooling of interest method of accounting. The assets and liabilities are recorded at the transferring entity’s historical cost instead of reflecting the fair market value of assets and liabilities. |
Amortizable Intangible Assets | Amortizable Intangible Assets Intangible assets subject to amortization include customer relationships and trade names. Customer relationships are amortized based on an estimated attrition factor and trade names are amortized over their estimated useful lives. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, trade receivables, trade payables, amounts receivable or payable to related parties and long-term debt. The carrying amount of cash and cash equivalents, trade receivables, trade payables and receivables and payables from related parties approximates fair value because of the short-term nature of the instruments. The fair value of long-term debt approximates it s carrying value because the cost of borrowing fluctuates based upon market conditions. |
Revenue Recognition | Revenue Recognition On January 1, 2018, the Company adopted Accounting Standards Update (“ASU”) 2014-09 and its related amendments (collectively, “ASC 606”) using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. See Note 3 for additional discussion of the Company's revenue. The timing of revenue recognition may differ from contract billing or payment schedules, resulting in revenues that have been earned but not billed (“unbilled revenue”) or amounts that have been billed, but not earned (“deferred revenue”). Adoption of ASC 606 “Revenues from Contracts with Customers” In May 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers ,” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition , and most industry-specific guidance. The new guidance requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, the Company adopted ASU 2014-09 and its related amendments (collectively, “ASC 606”) using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. While ASC 606 requires additional disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, its adoption has not had a material impact on the measurement or recognition of the Company's revenues. The adoption of ASC 606 represents a change in accounting principle. After evaluation of all contracts not completed as of January 1, 2018, the Company determined the cumulative effect of adopting ASC 606 was immaterial, and as such, has not recorded an adjustment to the opening balance of retained earnings on January 1, 2018. Revenue Recognition The Company's primary revenue streams include infrastructure services, pressure pumping services, natural sand proppant services, drilling services and other services, which includes coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, full service transportations, crude oil hauling and remote accommodations services. See Note 21 for the Company's revenue disaggregated by type. Infrastructure Services Infrastructure services are typically provided pursuant to master service agreements, repair and maintenance contracts or fixed price and non-fixed price installation contracts. Pricing under these contracts may be unit priced, cost-plus/hourly (or time and materials basis) or fixed price (or lump sum basis). The Company accounts for infrastructure services as a single performance obligation satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Under certain customer contracts in our infrastructure services segment, the Company warranties equipment and labor performed for a specified period following substantial completion of the work. Pressure Pumping Services Pressure pumping services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Generally, the Company accounts for pressure pumping services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies proppant that is utilized for pressure pumping as part of the agreement with the customer. The Company accounts for these pressure pumping agreements as multiple performance obligations satisfied over time. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Generally, revenue is recognized over time upon the completion of each segment of work based upon a completed field ticket, which includes the charges for the services performed, mobilization of the equipment to the location and personnel. Pursuant to a contract with one of its customers, the Company has agreed to provide that customer with use of up to two pressure pumping fleets for the period covered by the contract. Under this agreement, performance obligations are satisfied as services are rendered based on the passage of time rather than the completion of each segment of work. The Company has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to the Company for services performed during the contractual period is fixed and the right to receive it is unconditional. Additional revenue is generated through labor charges and the sale of consumable supplies that are incidental to the service being performed. Such amounts are recognized ratably over the period during which the corresponding goods and services are consumed. Natural Sand Proppant Services The Company sells natural sand proppant through sand supply agreements with its customers. Under these agreements, sand is typically sold at a flat rate per ton or a flat rate per ton with an index-based adjustment. The Company recognizes revenue at the point in time when the customer obtains legal title to the product, which may occur at the production facility, rail origin or at the destination terminal. Certain of the Company's sand supply agreements contain a minimum volume commitment related to sand purchases whereby the Company charges a shortfall payment if the customer fails to meet the required minimum volume commitment. These agreements may also contain make-up provisions whereby shortfall payments can be applied in future periods against purchased volumes exceeding the minimum volume commitment. If a make-up right exists, the Company has future performance obligations to deliver excess volumes of product in subsequent periods. In accordance with ASC 606, if the customer fails to meet the minimum volume commitment, the Company will assess whether it expects the customer to fulfill its unmet commitment during the contractually specified make-up period based on discussions with the customer and management's knowledge of the business. If the Company expects the customer will make-up deficient volumes in future periods, revenue related to shortfall payments will be deferred and recognized on the earlier of the date on which the customer utilizes make-up volumes or the likelihood that the customer will exercise its right to make-up deficient volumes becomes remote. As of December 31, 2019 and 2018, the Company had deferred revenue totaling $7.2 million and $4.2 million , respectively, related to shortfall payments. These amount is included in accrued expenses and other current liabilities on the consolidated balance sheet. If the Company does not expect the customer will make-up deficient volumes in future periods, the breakage model will be applied and revenue related to shortfall payments will be recognized when the model indicates the customer's inability to take delivery of excess volumes. During the years ended December 31, 2019 and 2018, the Company recognized revenue totaling $2.8 million and $1.5 million , respectively, related to shortfall payments. In certain of the Company's sand supply agreements, the customer obtains control of the product when it is loaded into rail cars and the customer reimburses the Company for all freight charges incurred. The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the sand. If revenue is recognized for the related product before the shipping and handling activities occur, the Company accrues the related costs of those shipping and handling activities. Drilling Services Contract drilling services were provided under daywork contracts. Directional drilling services, including motor rentals, are provided on a day rate or hourly basis, and revenue is recognized as work progresses. Performance obligations are satisfied over time as the work progresses based on the measure of output. Mobilization revenue and costs were recognized over the days of actual drilling. As a result of market conditions, the Company temporarily shut down its contract land drilling operations in December 2019. Other Services During the periods presented, the Company also provided coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, crude oil hauling, full service transportation and remote accommodations services, which are reported under other services. As a result of market conditions, the Company temporarily shut down its cementing and acidizing operations as well as its flowback operations during the third quarter of 2019. The Company's other services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Performance obligations for these services are satisfied over time and revenue is recognized as the work progresses based on the measure of output. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Practical Expedients The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts in which variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied distinct good or service that forms part of a single performance obligation. |
Earnings (Loss) per Share/Unaudited Pro Forma Earnings (Loss) per Share | Earnings (Loss) per Share Earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of outstanding shares. See Note 16. |
Equity-based and Stock-based Compensation | Equity-based Compensation The Company measures equity-based payments at fair value on the date of grant and expenses the value of these equity-based payments in compensation expense over the applicable vesting periods. See Note 17. Stock-based Compensation The Company's stock-based compensation program consists of restricted stock units granted to employees and restricted stock units granted to non-employee directors under the Mammoth Energy Services, Inc. 2016 Incentive Plan (the “2016 Plan”). The Company recognizes in its financial statements the cost of employee services received in exchange for restricted stock based on the fair value of the equity instruments as of the grant date. In general, this value is amortized over the vesting period; for grants with a non-substantive service condition, this value is recognized immediately. Amounts are recognized in cost of revenue and selling, general and administrative expenses. |
Income Taxes | Income Taxes The Company's operations are included in a consolidated federal income tax return and other state returns. Accordingly, the Company has recognized deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases for all our subsidiaries as if each entity were a corporation, regardless of its actual characterization for U.S. federal income tax purposes. Under FASB ASC 740, Income Taxes , deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using statutory tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of deferred tax assets and liabilities as a result of a change in tax rate are recognized in the period that includes the statutory enactment date. A valuation allowance for deferred tax assets is recognized when it is more likely than not that the benefit of deferred tax assets will not be realized. To assess that likelihood, the Company uses estimates and judgments regarding future taxable income, as well as the jurisdiction in which such taxable income is generated, to determine whether a valuation allowance is required. Certain income from our infrastructure services segment and income from our remote accommodations business is subject to foreign income taxes, and such taxes are provided in the financial statements pursuant to FASB ASC 740 . On December 22, 2017, the United States enacted the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act significantly changed US corporate income tax laws by, among other things, reducing the US corporate income tax rate from 35% to 21% starting in 2018 and creating a territorial tax system with a one-time mandatory tax on previously deferred foreign earnings of US subsidiaries. The Company evaluates tax positions taken or expected to be taken in preparation of its tax returns and disallows the recognition of tax positions that do not meet a “more likely than not” threshold of being sustained upon examination by the taxing authorities. |
Foreign Currency Translation | Foreign Currency Translation For foreign operations, assets and liabilities are translated at the period-end exchange rate and income statement items are translated at the average exchange rate for the period. Resulting translation adjustments are recorded within accumulated other comprehensive income (loss). Assets and liabilities denominated in foreign currencies, if any, are re-measured at the balance sheet date. Transaction gains or losses are included as a component of current period earnings. |
Environmental Matters | Environmental Matters The Company is subject to various federal, state and local laws and regulations relating to the protection of the environment. Management has established procedures for the ongoing evaluation of the Company’s operations, to identify potential environmental exposures and to comply with regulatory policies and procedures. Environmental expenditures that relate to current operations are expensed or capitalized as appropriate. Expenditures that relate to an existing condition caused by past operations and do not contribute to current or future revenue generation are expensed as incurred. Liabilities are recorded when environmental costs are probable and the costs can be reasonably estimated. The Company maintains insurance which may cover in whole or in part certain environmental expenditures. |
Other Comprehensive Income (Loss) | Other Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) included certain changes in equity that are excluded from net income (loss). Specifically, cumulative foreign currency translation adjustments are included in accumulated other comprehensive income (loss). |
Concentrations of Credit Risk and Significant Customers | Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents in excess of federally insured limits and trade receivables. |
New Accounting Pronouncements | Recent Accounting Pronouncements Accounting Pronouncements Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02 “Leases (Topic 842)” amending the current accounting for leases. Under the new provisions, all lessees will report a right of use asset and lease liability on the balance sheet for all leases with a term longer than one year, while maintaining substantially similar classifications for financing and operating leases. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company adopted this ASU effective January 1, 2019 utilizing the transition method permitted by ASU No. 2018-11 “Leases (Topic 842): Targeted Improvements”, issued in August 2018, which permits an entity to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment made to the comparative periods presented in the consolidated financial statements. See Note 15 for the impact the adoption of this standard had on the Company's financial statements. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Improvements to Non-employee Share-Based Accounting,” which simplifies the accounting for share-based payments granted to non-employees by aligning the accounting with requirements for employee share-based compensation. Upon transition, this ASU requires non-employee awards to be measured at fair value as of the adoption date. This ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company adopted this ASU effective January 1, 2019 and estimates the fair value of its non-employee awards (see Note 17) was approximately $18.9 million as of this date. Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which amends current guidance on reporting credit losses on financial instruments. This ASU requires entities to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets, including trade accounts receivable. The Company will adopt this standard effective January 1, 2020. This standard will not have a material impact on the Company’s consolidated financial statements and related disclosures. |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of ownership of the company by major stakeholders | At December 31, 2019 and December 31, 2018 , Wexford, Gulfport and Rhino beneficially owned the following shares of outstanding common stock of Mammoth Inc.: December 31, 2019 December 31, 2018 Share Count % Ownership Share Count % Ownership Wexford 22,045,273 48.9 % 21,988,473 49.0 % Gulfport 9,829,548 21.8 % 9,826,893 21.9 % Rhino — — % 104,100 0.2 % Outstanding shares owned by related parties 31,874,821 70.7 % 31,919,466 71.1 % Total outstanding 45,108,545 100.0 % 44,876,649 100.0 % |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Allowance for Doubtful Accounts Receivable | Following is a roll forward of the allowance for doubtful accounts for the years ended December 31, 2019 , 2018 and 2017 (in thousands): Balance, December 31, 2016 $ 5,377 Additions charged to expense 16,206 Additions - other 179 Deductions for uncollectible receivables written off (25 ) Balance, December 31, 2017 21,737 Additions charged to expense (14,589 ) Deductions for uncollectible receivables written off (1,950 ) Balance, December 31, 2018 5,198 Additions charged to expense 1,434 Deductions for uncollectible receivables written off (1,478 ) Balance, December 31, 2019 $ 5,154 |
Schedule of Asset Retirement Obligations | Following is a roll forward of the Company's asset retirement obligations for the years ended December 31, 2019 and 2018 (in thousands): December 31, 2019 2018 Balance as of beginning of period $ 3,164 $ 2,123 Additions 952 989 Accretion expense 120 60 Foreign currency translation adjustment 5 (8 ) Asset retirement obligation as of end of period $ 4,241 $ 3,164 |
Schedules of Significant Customers | Following is a summary of our significant customers based on accounts receivable balances at December 31, 2019 and 2018 and revenues derived for the years ended December 31, 2019 , 2018 and 2017 : REVENUES ACCOUNTS RECEIVABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Customer A (a) 15 % 60 % 29 % 73 % 65 % Customer B (b) 20 % 8 % 30 % 2 % 3 % a. Customer A is a third-party customer. Revenues and the related accounts receivable balances earned from Customer A were derived from the Company's infrastructure services segment. Accounts receivable for Customer A also includes receivables due for interest charged on delinquent accounts receivable. b. Customer B is a related party customer. Revenues and the related accounts receivable balances earned from Customer B were derived from the Company's pressure pumping services segment, natural sand proppant services segment and other businesses. |
Revenues (Tables)
Revenues (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of contract liabilities | Following is a rollforward of the Company's contract liabilities (in thousands): Balance, January 1, 2018 $ 15,000 Deduction for recognition of revenue (15,000 ) Increase for deferral of shortfall payments 4,246 Increase for deferral of customer prepayments 58 Balance, December 31, 2018 4,304 Deduction for recognition of revenue (4,827 ) Increase for deferral of shortfall payments 8,442 Increase for deferral of customer prepayments 675 Deduction of shortfall payments due to contract renegotiations (1,350 ) Balance, December 31, 2019 $ 7,244 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Schedule of recognized identified assets acquired and liabilities assumed | The following table summarizes the fair value of the Chieftain Acquisition as of May 26, 2017 (in thousands): Total Property, plant and equipment (a) $ 23,373 Sand reserves (b) 20,910 Total assets acquired $ 44,283 Asset retirement obligation 1,732 Total liabilities assumed $ 1,732 Total allocation of purchase price $ 42,551 Bargain purchase price (c, d) (6,231 ) Total purchase price $ 36,320 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. The fair value of the sand reserves was determined based on the excess cash flow method, a form of the income approach. The method provides a value based on the estimated remaining life of sand reserves, projected financial information and industry projections. c. Amount in consolidated statements of comprehensive (loss) income reflected net of income taxes of $2.2 million . d. The fair value of the business was determined based on the excess cash flow method, a form of the income approach. The following table summarizes the fair value of WTL as of May 31, 2018 (in thousands): WTL Property, plant and equipment $ 2,960 Identifiable intangible assets - customer relationships (a) 930 Identifiable intangible assets - trade name (a) 650 Goodwill (b) 1,567 Total assets acquired $ 6,107 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “Relief-from-Royalty” method. Non-contractual customer relationships were valued using a “Multi-period excess earnings” method. Identifiable intangible assets will be amortized over 10 - 20 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of ARS and the Brim Equipment Assets as of December 21, 2018 (in thousands): ARS Brim Equipment Assets Accounts receivable $ 146 $ — Property, plant and equipment 1,702 1,990 Identifiable intangible assets - trade name (a) 120 — Goodwill (b) 694 2,243 Other non-current assets 5 — Total assets acquired $ 2,667 $ 4,233 a. Trade name was valued using a “Relief-from-Royalty” method and will be amortized over 20 years . b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of Higher Power as of April 21, 2017 (in thousands): Higher Power Property, plant and equipment $ 1,744 Identifiable intangible assets - customer relationships 1,613 Goodwill (a) 643 Total assets acquired $ 4,000 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of RTS as of June 15, 2018 (in thousands): RTS Inventory $ 180 Property, plant and equipment 7,787 Goodwill (a) 133 Total assets acquired $ 8,100 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of 5 Star as of July 1, 2017 (in thousands): 5 Star Accounts receivable $ 2,440 Property, plant and equipment 1,863 Identifiable intangible assets - trade names (a) 300 Goodwill (b) 248 Total assets acquired $ 4,851 Long-term debt and other liabilities $ 2,413 Total liabilities assumed $ 2,413 Net assets acquired $ 2,438 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “Relief-from-Royalty” method. Non-contractual customer relationships were valued using a “Multi-period excess earnings” method. Identifiable intangible assets will be amortized over 10 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability expected to arise from the acquired entity. |
Business acquisition, pro forma information | From the acquisition date through December 31, 2019 , ARS and the Brim Equipment Assets provided the following activity (in thousands): 2019 2018 2019 2018 ARS Brim Equipment Assets Revenues $ 2,153 $ — $ 2,616 $ — Net loss (a) (546 ) (25 ) (1,056 ) — a. Includes depreciation expense of $0.3 million and $0.02 million , respectively, for ARS for 2019 and 2018 and $0.4 million for the Brim Equipment Assets for 2019. The following table presents unaudited pro forma information as if the ARS and the Brim Equipment Assets acquisitions had occurred as of January 1, 2017 (in thousands): Years Ended December 31, Years Ended December 31, 2018 2017 2018 2017 ARS Brim Equipment Assets Revenues $ 3,055 $ 2,641 $ 4,478 $ 1,448 Net income (loss) 207 (39 ) 2,410 459 From its acquisition date through December 31, 2019 , Higher Power has provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 93,379 $ 220,281 $ 39,571 Net (loss) income (b) (33,195 ) (5,868 ) 5,127 a. Includes intercompany revenues of $26.5 million , $191.2 million and $27.4 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization of $10.5 million , $7.1 million and $2.0 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of Higher Power had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 42,343 Net income 5,004 From the acquisition date through December 31, 2019 , WTL provided the following activity (in thousands): 2019 2018 Revenues $ 8,413 $ 7,511 Net loss (a) (2,719 ) (149 ) a. Includes depreciation and amortization expense of $2.2 million and $1.0 million , respectively, for 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of WTL had occurred as of January 1, 2017 (in thousands): Years Ended December 31, 2018 2017 Revenues $ 10,270 $ 4,229 Net (loss) income (64 ) 165 From its acquisition date through December 31, 2019 , 5 Star has provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 55,205 $ 143,302 $ 25,216 Net (loss) income (b) (17,281 ) 4,149 4,191 a. Includes intercompany revenues of $7.6 million , $112.6 million and $16.0 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization expense of $6.1 million , $3.5 million and $0.8 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of 5 Star had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 31,548 Net income 3,910 From the acquisition date through December 31, 2019 , RTS provided the following activity (in thousands): 2019 2018 Revenues $ 2,456 $ 6,682 Net loss (a) (6,458 ) (3,210 ) a. Includes depreciation expense of $2.3 million and $0.9 million , respectively, for 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of RTS had occurred as of January 1, 2017 (in thousands): Years Ended December 31, 2018 2017 Revenues $ 16,212 $ 20,877 Net (loss) income (4,066 ) 1,141 Since the acquisition date, the Chieftain Assets have provided the following activity (in thousands): 2019 2018 2017 Revenues (a) $ 27,617 $ 52,628 $ 22,847 Net (loss) income (b) (3,513 ) 8,379 5,520 a. Includes intercompany revenues of $3.7 million , $14.8 million and $12.3 million , respectively, for 2019, 2018 and 2017. b. Includes depreciation and amortization of $5.0 million , $4.9 million and $2.8 million , respectively, for 2019, 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of the Chieftain Assets had occurred as of January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 22,847 Net income 5,655 Since the acquisition date, the businesses acquired have provided the following activity (in thousands): 2019 2018 2017 SR Energy Cementing SR Energy Cementing SR Energy Cementing Revenues (a) $ 36,600 $ 618 $ 29,287 $ 6,426 $ 11,572 $ 7,500 Net loss (b, c) (3,975 ) (2,449 ) (2,539 ) (5,869 ) (1,626 ) (1,963 ) a. Includes intercompany revenues of $2.3 million , $3.0 million and $0.6 million , respectively, for SR Energy for 2019, 2018 and 2017 and $0.6 million , $0.3 million and a nominal amount, respectively, for Cementing for 2019, 2018 and 2017. b. Includes depreciation and amortization of $4.9 million , $5.4 million and $3.4 million , respectively, for SR Energy for 2019, 2018 and 2017 and $0.8 million , $1.5 million and $4.1 million , respectively, for Cementing for 2019, 2018 and 2017. c. Includes non-cash impairment expense of $3.9 million for SR Energy in 2019 and $3.1 million and $4.4 million , respectively, for Cementing in 2019 and 2018. The following table presents unaudited pro forma information as if the acquisition of SR Energy and Cementing had occurred on January 1, 2017 (in thousands): Year Ended December 31, 2017 Revenues $ 35,142 Net loss (4,066 ) |
Summary of consideration transferred | At the acquisition date, the components of the consideration transferred were as follows (in thousands): Consideration attributable to Cementing (a) $ 12,975 Consideration attributable to SR Energy (a) 12,787 Total consideration transferred $ 25,762 a. See summary of acquired assets and liabilities below SR Energy Cementing Total (in thousands) Cash and cash equivalents $ 1,611 $ 1,060 $ 2,671 Accounts receivable, net 3,913 495 4,408 Receivables from related parties 3,684 1,418 5,102 Inventories — 306 306 Prepaid expenses 35 32 67 Property, plant and equipment (a) 13,061 7,459 20,520 Identifiable intangible assets - customer relationships (b) — 1,140 1,140 Identifiable intangible assets - trade names (b) 550 270 820 Goodwill (c) 3,929 6,264 10,193 Other assets 7 — 7 Total assets acquired $ 26,790 $ 18,444 $ 45,234 Accounts payable and accrued liabilities $ 5,890 $ 2,063 $ 7,953 Long-term debt (d) 5,074 2,000 7,074 Deferred tax liability 3,039 1,406 4,445 Total liabilities assumed $ 14,003 $ 5,469 $ 19,472 Net assets acquired $ 12,787 $ 12,975 $ 25,762 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a “relief-from-Royalty” method. Non-contractual customer relationships were valued using a “multi-period excess earnings” method. Identifiable intangible assets will be amortized over 5 - 10 years. c. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to assembled workforces and future profitability based on the synergies expected to arise from the acquired entities. d. Long-term debt assumed was paid off subsequent to the acquisition. |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | A summary of the Company's inventories is shown below (in thousands): December 31, 2019 2018 Supplies $ 9,598 $ 12,571 Raw materials 746 199 Work in process 4,608 3,273 Finished goods 2,531 5,259 Total inventory $ 17,483 $ 21,302 As a result of market conditions, the Company temporarily shut down its cementing and acidizing operations as well as its flowback operations during the third quarter of 2019. As a result of this, the Company wrote-off obsolete inventory totaling $1.3 million . |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment include the following (in thousands): December 31, Useful Life 2019 2018 Pressure pumping equipment 3-5 years $ 216,627 $ 208,968 Drilling rigs and related equipment 3-15 years 117,783 122,198 Machinery and equipment 7-20 years 190,221 173,867 Buildings (a) 15-39 years 47,859 46,380 Vehicles, trucks and trailers 5-10 years 135,724 132,337 Coil tubing equipment 4-10 years 29,438 29,128 Land N/A 13,687 14,235 Land improvements 15 years or life of lease 10,135 9,614 Rail improvements 10-20 years 13,802 13,806 Other property and equipment (a) 3-12 years 18,880 18,551 794,156 769,084 Deposits on equipment and equipment in process of assembly (b) 6,627 16,865 800,783 785,949 Less: accumulated depreciation (c) 448,011 349,250 Total property, plant and equipment, net $ 352,772 $ 436,699 a. Included in Buildings and Other property and equipment at December 31, 2019 are costs of $6.7 million and $6.5 million , respectively, related to assets under operating leases. b. Deposits on equipment and equipment in process of assembly represents deposits placed with vendors for equipment that is in the process of assembly and purchased equipment that is being outfitted for its intended use. The equipment is not yet placed in service. c. Includes accumulated depreciation of $3.5 million at December 31, 2019 related to assets under operating leases. |
Schedule Of Depreciation, Depletion, Accretion And Amortization Expense | A summary of depreciation, depletion, amortization and accretion expense is shown below (in thousands): Years Ended December 31, 2019 2018 2017 Depreciation expense $ 112,435 $ 107,634 $ 81,191 Accretion and depletion expense (see Note 2) 3,477 3,539 1,632 Amortization expense (see Note 8) 1,121 8,704 9,301 Depreciation, depletion, amortization and accretion $ 117,033 $ 119,877 $ 92,124 |
Impairments (Tables)
Impairments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Details of Impairment of Long-Lived Assets Held and Used by Asset | A summary of impairment of other long-lived assets is as follows (in thousands): December 31, 2019 2018 2017 Drilling rigs and related equipment $ 2,955 $ 3,966 $ 3,822 Other property, plant and equipment 3,557 307 324 Intangible assets 846 1,379 — $ 7,358 $ 5,652 $ 4,146 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Changes in the net carrying amount of goodwill by reporting segment (see Note 21) for the years ended December 31, 2019 and 2018 are presented below (in thousands): Infrastructure Pressure Pumping Sand Other Total Balance as of January 1, 2018 Goodwill $ 891 $ 86,043 $ 2,684 $ 10,193 $ 99,811 Accumulated impairment losses — — — — — 891 86,043 2,684 10,193 99,811 Acquisitions 2,937 — — 1,700 4,637 Impairment losses (a) — — — (3,203 ) (3,203 ) Balance as of December 31, 2018 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses — — — (3,203 ) (3,203 ) 3,828 86,043 2,684 8,690 101,245 Acquisitions — — — — — Impairment losses (a) (434 ) (23,423 ) (2,684 ) (7,123 ) (33,664 ) Balance as of December 31, 2019 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434 ) (23,423 ) (2,684 ) (10,326 ) (36,867 ) $ 3,394 $ 62,620 $ — $ 1,567 $ 67,581 a. See Note 7 for a description of impairment losses recognized. |
Schedule of Finite-Lived Intangible Assets | The Company had the following definite lived intangible assets recorded as of the dates presented below (in thousands): December 31, 2019 2018 Customer relationships $ 1,050 $ 2,255 Trade names 9,063 9,063 Less: accumulated amortization - customer relationships (467 ) (544 ) Less: accumulated amortization - trade names (3,858 ) (3,018 ) Intangible assets, net $ 5,788 $ 7,756 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands): Year ended December 31: Amount 2020 $ 1,015 2021 1,015 2022 1,015 2023 898 2024 771 Thereafter 1,074 $ 5,788 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | Accrued expense and other current liabilities included the following (in thousands): December 31, 2019 2018 State and local taxes payable $ 15,288 18,687 Deferred revenue 7,244 4,304 Financed insurance premiums 6,463 6,761 Accrued compensation, benefits and related taxes 5,938 20,898 Insurance reserves 2,906 4,678 Other 2,915 4,324 Total $ 40,754 $ 59,652 |
Selling, General and Administ_2
Selling, General and Administrative Expense (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Schedule Of Selling, General And Administrative Expense | Selling, general and administrative (“SG&A”) expense includes of the following (in thousands): Years Ended December 31, 2019 2018 2017 Cash expenses: Compensation and benefits $ 19,364 $ 42,950 $ 15,322 Professional services 17,128 11,854 7,765 Other (a) 10,300 10,718 7,503 Total cash SG&A expense 46,792 65,522 30,590 Non-cash expenses: Bad debt provision (b) 1,434 (14,578 ) 16,098 Equity based compensation (c) — 17,487 — Stock based compensation 3,326 4,666 3,198 Total non-cash SG&A expense 4,760 7,575 19,296 Total SG&A expense $ 51,552 $ 73,097 $ 49,886 a. Includes travel-related costs, IT expenses, rent, utilities and other general and administrative-related costs. b. During the year ended December 31, 2018 , the Company received payment for amounts previously reserved in 2017. As a result, during the year ended December 31, 2018 , the Company reversed bad debt expense of $16.0 million recognized in 2017. c. Represents compensation expense for non-employee awards, which were issued and are payable by certain affiliates of Wexford (the sponsor level). See Note 17 for additional detail. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The components of income tax expense (benefit) attributable to the Company for the year ended December 31, 2019 , 2018 and 2017 , respectively, are as follows (in thousands): Year Ended December 31, 2019 2018 2017 U.S. current income tax expense $ 386 $ 25,656 $ 804 U.S. deferred income tax (benefit) expense (21,761 ) 25,372 (27,764 ) Foreign current income tax expense 30,172 75,381 36,565 Foreign deferred income tax (benefit) expense (20,878 ) 26,854 (6,773 ) Total $ (12,081 ) $ 153,263 $ 2,832 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the statutory federal income tax amount to the recorded expense is as follows (in thousands): Year Ended December 31, 2019 2018 2017 (Loss) income before income taxes, as reported $ (91,125 ) $ 389,228 $ 61,796 Bargain purchase gain, net of tax — — (4,012 ) (Loss) income before income taxes, as taxed (91,125 ) 389,228 57,784 Statutory income tax rate 21 % 21 % 35 % Expected income tax (benefit) expense (19,136 ) 81,738 20,224 Change in tax rate — (103 ) (21,309 ) Tax reform - unrepatriated foreign earnings — — (9,727 ) Foreign income tax rate differential 9,387 39,080 6,286 Foreign earnings not in reported income 12,581 46,834 22,054 Foreign tax credits (26,141 ) (89,677 ) (29,551 ) Withholding taxes 3,635 13,930 — Goodwill impairment 6,506 675 — Other permanent differences 1,873 12,370 503 State tax expenses 2,364 5,394 39 Return to provision (15,156 ) 6,071 — Other — 680 (1,192 ) Change in valuation allowance 12,006 36,271 15,505 Total $ (12,081 ) $ 153,263 $ 2,832 |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax liabilities attributable to the Company consisted of the following (in thousands): Year Ended December 31, 2019 2018 Deferred tax assets: Allowance for doubtful accounts $ 1,189 $ 1,180 Lease asset 11,105 — Deferred compensation — 1,032 Accrued liabilities 950 3,428 Net operating loss carryover 4,180 467 Foreign tax credits 76,060 51,776 Other 1,633 1,627 Valuation allowance (63,783 ) (51,776 ) Deferred tax assets 31,334 7,734 Deferred tax liabilities: Property and equipment $ (55,180 ) $ (63,181 ) Intangible assets — (4,936 ) Withholding taxes — (17,419 ) Lease liability (11,151 ) — Other (1,876 ) (1,507 ) Deferred tax liabilities (68,207 ) (87,043 ) Net deferred tax liability $ (36,873 ) $ (79,309 ) Reflected in accompanying balance sheet as: Deferred income tax asset $ — $ — Deferred income tax liability (36,873 ) (79,309 ) Total $ (36,873 ) $ (79,309 ) |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Schedule of lease expense and other supplemental information | Other supplemental information related to leases for the year ended December 31, 2019 is as follows (in thousands): Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,375 Operating cash flows from finance leases 192 Financing cash flows from finance leases 1,503 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 5,548 Finance leases 3,721 December 31, 2019 Weighted-average remaining lease term: Operating leases 3.4 years Finance leases 4.1 years Weighted-average discount rate: Operating leases 4.4 % Finance leases 4.3 % Lease expense consisted of the following for the year ended December 31, 2019 (in thousands): Year Ended December 31, 2019 Operating lease expense $ 21,643 Short-term lease expense 682 Finance lease expense: Amortization of right-of-use assets 1,134 Interest on lease liabilities 192 Total lease expense $ 23,651 |
Schedule of lease assets and liabilities | Supplemental balance sheet information related to leases as of December 31, 2019 is as follows: December 31, 2019 Operating leases: Operating lease right-of-use assets $ 43,446 Current operating lease liability 16,432 Long-term operating lease liability 27,102 Finance leases: Property and equipment, net $ 5,111 Accrued expenses and other current liabilities 1,365 Other liabilities 3,856 |
Schedule of future minimum lease payments for capital leases | Maturities of lease liabilities as of December 31, 2019 are as follows (in thousands): Operating Leases Finance Leases 2020 $ 17,948 $ 1,563 2021 13,181 1,254 2022 8,747 1,221 2023 4,353 1,214 2024 1,721 441 Thereafter 881 — Total lease payments 46,831 5,693 Less: Present value discount 3,297 472 Present value of lease payments $ 43,534 $ 5,221 |
Schedule of future minimum rental payments for operating leases | Maturities of lease liabilities as of December 31, 2019 are as follows (in thousands): Operating Leases Finance Leases 2020 $ 17,948 $ 1,563 2021 13,181 1,254 2022 8,747 1,221 2023 4,353 1,214 2024 1,721 441 Thereafter 881 — Total lease payments 46,831 5,693 Less: Present value discount 3,297 472 Present value of lease payments $ 43,534 $ 5,221 |
Dividends and Earnings (Loss)_2
Dividends and Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Dividends Paid | The table below summarizes the dividends paid on the Company's common stock. Per Share Total (in thousands) 2019 Paid on February 14, 2019 $ 0.125 $ 5,609 Paid on May 17, 2019 0.125 5,610 Total cash dividends $ 0.25 $ 11,219 2018 Paid on August 14, 2018 $ 0.125 $ 5,595 Paid on November 15, 2018 0.125 5,606 Total cash dividends $ 0.25 $ 11,201 |
Schedule of Earnings Per Unit and Per Share | Year Ended December 31, 2019 2018 2017 (in thousands, except per share data) Basic (loss) earnings per share: Allocation of earnings: Net (loss) income $ (79,044 ) $ 235,965 $ 58,964 Weighted average common shares outstanding 45,011 44,750 41,548 Basic (loss) earnings per share $ (1.76 ) $ 5.27 $ 1.42 Diluted (loss) earnings per share: Allocation of earnings: Net (loss) income $ (79,044 ) $ 235,965 $ 58,964 Weighted average common shares, including dilutive effect (a) 45,011 45,021 41,639 Diluted (loss) earnings per share $ (1.76 ) $ 5.24 $ 1.42 a. No incremental shares of potentially dilutive restricted stock awards were included for the year ended December 31, 2019 as their effect was antidilutive under the treasury stock method. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | A summary of the status and changes of the unvested shares of restricted stock units under the 2016 Plan is presented below. Number of Unvested Restricted Stock Units Weighted Average Grant-Date Fair Value Unvested restricted stock units as of January 1, 2017 282,780 $ 14.98 Granted 460,185 $ 20.72 Vested (97,890 ) $ 15.07 Forfeited (4,443 ) $ 15.00 Unvested restricted stock units as of December 31, 2017 640,632 $ 19.44 Granted 103,556 $ 27.74 Vested (270,069 ) $ 19.26 Forfeited (40,000 ) $ 20.68 Unvested restricted stock units as of December 31, 2018 434,119 $ 22.78 Granted 101,181 $ 6.83 Vested (231,896 ) $ 22.45 Forfeited (82,163 ) $ 18.55 Unvested restricted stock units as of December 31, 2019 221,241 $ 22.43 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | Following is a summary of related party transactions (in thousands): REVENUES ACCOUNTS RECEIVABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Stingray Pressure Pumping and Gulfport (a) $ 90,357 $ 96,013 $ 144,473 $ 5,950 $ 8,175 Muskie and Gulfport (b) 27,689 25,050 42,956 1,141 1,193 SR Energy and Gulfport (c) 8,772 14,717 10,129 156 1,658 Aquahawk and Gulfport (d) 828 — — — — Panther and Gulfport (e) — 44 3,253 — — Cementing and Gulfport (f) — 5,853 7,410 — — Cobra Aviation/ARS/Leopard and Brim Equipment (g) 2,093 — — 235 — Panther and El Toro (h) 573 918 96 — 64 Other Relationships 1 638 703 41 74 $ 130,313 $ 143,233 $ 209,020 $ 7,523 $ 11,164 a. Stingray Pressure Pumping provides pressure pumping, stimulation and related completion services to Gulfport. b. Muskie has agreed to sell and deliver, and Gulfport has agreed to purchase, specified annual and monthly amounts of natural sand proppant, subject to certain exceptions specified in the agreement, and pay certain costs and expenses. c. SR Energy provides rental services for Gulfport. d. Aquahawk provides water transfer services for Gulfport pursuant to a master services agreement. e. Panther performs drilling services for Gulfport pursuant to a master service agreement. f. Cementing performs well cementing services for Gulfport. g. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. h. Panther provides directional drilling services for El Toro, an affiliate of Wexford, pursuant to a master service agreement. COST OF REVENUE ACCOUNTS PAYABLE Years Ended December 31, At December 31, 2019 2018 2017 2019 2018 Cobra Aviation/ARS/Leopard and Brim Equipment (a) 4,720 — — 433 — Cobra and T&E (b) — 4,042 610 — — Higher Power and T&E (b) — 1,603 25 — — Panther and DBDHT (c) — 240 196 240 The Company and 2017 Stingray Companies (d) — — 432 — — Other Relationships 50 — 145 — — $ 4,770 $ 5,885 $ 1,408 $ 433 $ 240 SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Wexford (e) 650 992 892 1 100 The Company and Caliber (f) 785 648 335 7 3 Cobra Aviation/ARS/Leopard and Brim Equipment (a) 233 — — — — Other Relationships 179 258 254 9 27 $ 1,847 $ 1,898 $ 1,481 $ 17 $ 130 CAPITAL EXPENDITURES Leopard and Brim Equipment (a) 420 — — 76 — Cobra and T&E (b) — 1,247 629 — — Higher Power and T&E (b) — 2,960 1,380 — — $ 420 $ 4,207 $ 2,009 $ 76 $ — $ 526 $ 370 a. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. b. Cobra and Higher Power purchased materials and services from T&E, an entity in which a member of management's family owned a minority interest. T&E ceased to be a related party as of September 30, 2018. c. Panther rents rotary steerable equipment in connection with its directional drilling services from DBDHT, an affiliate of Wexford. d. Prior to the 2017 Stingray Acquisition, the 2017 Stingray Companies provided certain services to the Company and, from time to time, the 2017 Stingray Companies paid for goods and services on behalf of the Company. e. Wexford provides certain administrative and analytical services to the Company and, from time to time, the Company pays for goods and services on behalf of Wexford. f. The Company leases office space from Caliber, an entity controlled by Wexford. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | Aggregate future minimum payments under these agreements at December 31, 2019 are as follows (in thousands): Year ended December 31: Capital Spend Commitments Minimum Purchase Commitments (a) 2020 $ 4,865 $ 24,416 2021 — 697 2022 — 124 2023 — 8 2024 — — Thereafter — — $ 4,865 $ 25,245 a. Included in these amounts are sand purchase commitments of $19.5 million . Pricing for certain sand purchase agreements is variable and, therefore, the total sand purchase commitments could be as much as $23.1 million . The minimum amount due in the form of shortfall fees under certain sand purchase agreements was $1.8 million as of December 31, 2019 . |
Schedule Of Letters Of Credit | The letters of credit are categorized below (in thousands): December 31, 2019 2018 Environmental remediation $ 4,182 $ 3,877 Insurance programs 4,105 4,105 Rail car commitments 455 455 Total letters of credit $ 8,742 $ 8,437 |
Reporting Segments and Geogra_2
Reporting Segments and Geographic Areas (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Segment Reporting Information, by Segment | The following tables set forth certain financial information with respect to the Company’s reportable segments (in thousands): Year Ended December 31, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 214,449 $ 241,972 $ 69,794 $ 31,728 $ 67,069 $ — $ 625,012 Intersegment revenues — 4,378 29,796 498 2,231 (36,903 ) — Total revenue 214,449 246,350 99,590 32,226 69,300 (36,903 ) 625,012 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 171,756 177,997 87,637 35,963 70,435 — 543,788 Intersegment cost of revenues — 31,727 2,542 846 1,848 (36,963 ) — Total cost of revenue 171,756 209,724 90,179 36,809 72,283 (36,963 ) 543,788 Selling, general and administrative 25,390 10,993 5,006 4,160 6,003 — 51,552 Depreciation, depletion, amortization and accretion 31,451 40,240 14,050 13,255 18,037 — 117,033 Impairment of goodwill 434 23,423 2,684 — 7,123 — 33,664 Impairment of other long-lived assets — — — 2,955 4,403 — 7,358 Operating income (loss) (14,582 ) (38,030 ) (12,329 ) (24,953 ) (38,549 ) 60 (128,383 ) Interest expense 1,689 1,283 193 907 886 — 4,958 Other expense (42,787 ) 580 67 (109 ) 33 — (42,216 ) Income (loss) before income taxes $ 26,516 $ (39,893 ) $ (12,589 ) $ (25,751 ) $ (39,468 ) $ 60 $ (91,125 ) Total expenditures for property, plant and equipment $ 5,643 $ 14,703 $ 2,877 $ 3,156 $ 9,382 $ — $ 35,761 As of December 31, 2019: Intangible assets, net $ 1,410 $ 3,371 $ — $ — $ 1,007 $ — $ 5,788 Total assets $ 420,285 $ 175,259 $ 190,382 $ 61,545 $ 142,731 $ (37,817 ) $ 952,385 Year Ended December 31, 2018 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 1,082,371 $ 362,491 $ 100,816 $ 66,237 $ 78,169 $ — $ 1,690,084 Intersegment revenue — 7,001 67,459 416 5,541 (80,417 ) — Total revenue 1,082,371 369,492 168,275 66,653 83,710 (80,417 ) 1,690,084 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 608,017 223,296 126,714 60,248 75,529 — 1,093,804 Intersegment cost of revenues 2,583 70,365 6,103 554 785 (80,390 ) — Total cost of revenue 610,600 293,661 132,817 60,802 76,314 (80,390 ) 1,093,804 Selling, general and administrative (a) 27,126 29,761 6,218 5,343 4,649 — 73,097 Depreciation and amortization 20,516 51,487 13,519 18,233 16,122 — 119,877 Impairment of goodwill — — — — 3,203 — 3,203 Impairment of other long-lived assets 308 143 — 3,966 1,235 — 5,652 Operating income (loss) 423,821 (5,560 ) 15,721 (21,691 ) (17,813 ) (27 ) 394,451 Interest expense 423 1,171 234 835 524 — 3,187 Other expense 573 434 525 461 43 — 2,036 Income (loss) before income taxes $ 422,825 $ (7,165 ) $ 14,962 $ (22,987 ) $ (18,380 ) $ (27 ) $ 389,228 Total expenditures for property, plant and equipment $ 100,701 $ 33,774 $ 17,935 $ 13,398 $ 26,135 $ — $ 191,943 As of December 31, 2018: Intangible assets, net $ 1,650 $ 4,059 $ — $ — $ 2,047 $ — $ 7,756 Total assets $ 366,457 $ 254,278 $ 177,870 $ 83,714 $ 132,309 $ 58,463 $ 1,073,091 a. Included in Pressure Pumping selling, general and administrative expense is non-cash equity based compensation of $17.5 million . Year Ended December 31, 2017 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 224,425 $ 277,326 $ 90,023 $ 50,075 $ 49,647 $ — $ 691,496 Intersegment revenues — 2,026 27,014 446 2,081 (31,567 ) — Total revenue 224,425 279,352 117,037 50,521 51,728 (31,567 ) 691,496 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 120,117 183,089 91,049 46,701 41,613 — 482,569 Intersegment cost of revenues 1,443 28,147 1,731 146 65 (31,532 ) — Total cost of revenue 121,560 211,236 92,780 46,847 41,678 (31,532 ) 482,569 Selling, general and administrative 21,606 9,501 8,190 5,510 5,079 — 49,886 Depreciation, depletion, amortization and accretion 3,185 45,413 9,394 19,635 14,497 — 92,124 Impairment of long-lived assets — — 324 3,822 — — 4,146 Operating loss 78,074 13,202 6,349 (25,293 ) (9,526 ) (35 ) 62,771 Interest expense 241 1,622 679 1,695 73 — 4,310 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense (income) 6 129 211 256 75 — 677 (Loss) income before income taxes $ 77,827 $ 11,451 $ 9,471 $ (27,244 ) $ (9,674 ) $ (35 ) $ 61,796 Total expenditures for property, plant and equipment 20,144 85,853 16,376 8,927 2,553 — 133,853 As of December 31, 2017: Intangible assets, net $ 1,770 $ 12,392 $ — $ — $ 1,977 $ — $ 16,139 Total assets $ 205,275 $ 297,140 $ 190,859 $ 88,527 $ 243,767 $ (158,325 ) $ 867,243 |
Revenue by Country | The following table presents consolidated revenues by country based on sales destination of the products or services (in thousands): Year Ended December 31, 2019 2018 2017 United States $ 516,276 $ 654,506 $ 471,745 Puerto Rico 96,630 1,022,558 203,087 Canada 11,946 13,020 16,664 Other 160 — — Total $ 625,012 $ 1,690,084 $ 691,496 |
Long-lived Assets by Country | The following table presents long-lived assets, excluding deferred income tax assets, by country (in thousands): Year Ended December 31, 2019 2018 2017 United States $ 526,584 $ 571,555 $ 515,904 Puerto Rico — 32,604 6,923 Canada 18,821 19,376 23,254 Total $ 545,405 $ 623,535 $ 546,081 |
Quarterly Financial Data (una_2
Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | Three Months Ended March 31, June 30, September 30, December 31, Total 2019 2019 2019 2019 (in thousands, except per share data) Revenue $ 262,138 $ 181,820 $ 113,417 $ 67,637 $ 625,012 Gross profit (loss) 73,068 13,805 2,283 (7,932 ) 81,224 Net income (loss) 28,333 (10,889 ) (35,709 ) (60,779 ) (79,044 ) Net income (loss) per share (basic) $ 0.63 $ (0.24 ) $ (0.79 ) $ (1.35 ) $ (1.76 ) Net income (loss) per share (diluted) $ 0.63 $ (0.24 ) $ (0.79 ) $ (1.35 ) $ (1.76 ) Three Months Ended March 31, June 30, September 30, December 31, Total 2018 2018 2018 2018 (in thousands, except per share data) Revenue $ 494,249 $ 533,594 $ 384,043 $ 278,198 $ 1,690,084 Gross profit 168,148 193,766 136,478 97,888 596,280 Net income 55,546 42,700 69,512 68,207 235,965 Net income per share (basic) $ 1.24 $ 0.95 $ 1.55 $ 1.52 $ 5.27 Net income per share (diluted) $ 1.24 $ 0.95 $ 1.54 $ 1.51 $ 5.24 |
Organization and Basis of Pre_3
Organization and Basis of Presentation - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | Jul. 30, 2018 | Jun. 29, 2018 | Jun. 05, 2017 | Oct. 19, 2016 | Nov. 24, 2014 |
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | 385,000 | ||||
Sale of stock, price per share (in USD per share) | $ 38.01 | ||||
Operating Entities | |||||
Business Acquisition [Line Items] | |||||
Shares issued in acquisition | 20,000,000 | ||||
Sturgeon LLC and Stingray Acquisition | |||||
Business Acquisition [Line Items] | |||||
Shares issued in acquisition | 7,000,000 | ||||
IPO | |||||
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | 7,750,000 | ||||
Sale of stock, price per share (in USD per share) | $ 15 | ||||
Proceeds from initial public offering | $ 103.1 | ||||
IPO | Mammoth Holdings, Gulfport and Rhino | |||||
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | 250,000 | ||||
Over-Allotment Option | |||||
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | 600,000 | 7,500,000 | |||
Secondary Public Offering | |||||
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | 4,000,000 |
Organization and Basis of Pre_4
Organization and Basis of Presentation - Ownership Information (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count | 45,108,545 | 44,876,649 |
% Ownership | 100.00% | 100.00% |
Wexford | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count | 22,045,273 | 21,988,473 |
% Ownership | 48.90% | 49.00% |
Gulfport | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count | 9,829,548 | 9,826,893 |
% Ownership | 21.80% | 21.90% |
Rhino | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count | 0 | 104,100 |
% Ownership | 0.00% | 0.20% |
Outstanding shares owned by related parties | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count | 31,874,821 | 31,919,466 |
% Ownership | 70.70% | 71.10% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Cash and Cash Equivalents (Details) $ in Millions | Dec. 31, 2019CAD ($) |
Accounting Policies [Abstract] | |
Cash | $ 3.5 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Accounts Receivable (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Business Acquisition [Line Items] | ||||
Other income | $ (42,216) | $ 2,036 | $ 677 | [1] |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 5,198 | 21,737 | 5,377 | |
Additions charged to expense | 1,434 | (14,578) | 16,206 | [2] |
Additions - other | 179 | |||
Deductions for uncollectible receivables written off | (1,478) | (1,950) | (25) | |
Additions charged to expense | 1,434 | (14,589) | ||
Ending balance | 5,154 | 5,198 | 21,737 | |
Puerto Rico Electric Power Authority (PREPA) | ||||
Business Acquisition [Line Items] | ||||
Other income | (42,040) | |||
Accounts receivable, related parties | 227,000 | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Additions - other | 16,000 | |||
Oil And Natural Gas Industry | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Additions charged to expense | $ 1,400 | $ 1,400 | $ 200 | |
[1] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||
[2] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Inventory (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] | |
Property, Plant and Equipment [Line Items] | ||||
Amortization of coil tubing strings | $ 1,641 | $ 2,193 | $ 2,855 | |
Coil Tubing Strings | ||||
Property, Plant and Equipment [Line Items] | ||||
Inventory useful life (no longer than) | 12 months | |||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Assets Retirement Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||
Balance as of beginning of period | $ 3,164 | $ 2,123 |
Additions | 952 | 989 |
Accretion expense | 120 | 60 |
Foreign currency translation adjustment | 5 | (8) |
Asset retirement obligation as of end of period | $ 4,241 | $ 3,164 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 363,053 | $ 337,460 |
Deferred revenue | 7,244 | 4,304 |
Unbilled Revenues | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | 42,100 | 56,200 |
Accounts receivable, related parties | $ 1,300 | $ 4,100 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accounting Policies [Abstract] | |||
Total effect of income tax reform | $ 31 | ||
Unrecognized tax benefits | $ 0 | $ 0 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Concentration of Credit Risk and Significant Customers (Details) - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Customer A | REVENUES | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 15.00% | 60.00% | 29.00% |
Customer A | ACCOUNTS RECEIVABLE | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 73.00% | 65.00% | |
Customer B | REVENUES | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 20.00% | 8.00% | 30.00% |
Customer B | ACCOUNTS RECEIVABLE | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 2.00% | 3.00% |
Revenues - Narrative (Details)
Revenues - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 | |
Disaggregation of Revenue [Line Items] | |||
Deferred revenue related to shortfall payments | $ 7,244,000 | $ 4,304,000 | $ 15,000,000 |
Recognized revenue | 4,827,000 | 15,000,000 | |
Contract assets | 0 | 0 | $ 0 |
Shortfall Payments | |||
Disaggregation of Revenue [Line Items] | |||
Deferred revenue related to shortfall payments | 7,200,000 | 4,200,000 | |
Recognized revenue | $ 2,800,000 | $ 1,500,000 |
Revenues - Schedule of Contract
Revenues - Schedule of Contract Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Contract with Customer, Liability [Roll Forward] | ||
Balance at beginning of period | $ 4,304 | |
Deduction for recognition of revenue | (4,827) | $ (15,000) |
Increase for deferral of shortfall payments | 8,442 | 4,246 |
Increase for deferral of customer prepayments | 675 | 58 |
Deduction of shortfall payments due to contract renegotiations | (1,350) | |
Balance at end of period | $ 7,244 | $ 4,304 |
Revenues - Performance Obligati
Revenues - Performance Obligations (Details) $ in Millions | Dec. 31, 2019USD ($) |
Revenue from Contract with Customer [Abstract] | |
Unsatisfied performance obligations | $ 92.1 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, timing of satisfaction period | 2 years |
Acquisitions - ARS and Brim Equ
Acquisitions - ARS and Brim Equipment Acquisition Narrative (Details) $ in Thousands | Dec. 21, 2018USD ($)helicopter | Jun. 05, 2017USD ($) | May 26, 2017USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | [1] |
Business Acquisition [Line Items] | |||||||
Cash paid to acquire a business | $ 0 | $ 20,824 | $ 42,008 | ||||
Total consideration transferred | $ 25,762 | $ 36,320 | |||||
Air Rescue Systems Corporation and Brim Equipment Assets | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition related costs | $ 300 | ||||||
Cobra Aviation Services LLC | |||||||
Business Acquisition [Line Items] | |||||||
Number of assets purchased | helicopter | 2 | ||||||
Cobra Aviation Services LLC | ARS | |||||||
Business Acquisition [Line Items] | |||||||
Cash paid to acquire a business | $ 2,700 | ||||||
Total consideration transferred | 4,200 | ||||||
Brim Acquisitions LLC | |||||||
Business Acquisition [Line Items] | |||||||
Initial capital of acquisition | $ 2,000 | ||||||
Brim Acquisitions LLC | Cobra Aviation Services LLC | |||||||
Business Acquisition [Line Items] | |||||||
Equity method investment, ownership percentage | 49.00% | ||||||
Brim Acquisitions LLC | Wexford Partners Investment Co. LLC | |||||||
Business Acquisition [Line Items] | |||||||
Equity method investment, ownership percentage | 51.00% | ||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Schedule of Asse
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed Air Rescue Systems and Brim Equipment Assets (Details) - USD ($) $ in Thousands | Dec. 21, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jun. 05, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | ||||||
Accounts receivable | $ 4,408 | |||||
Property, plant and equipment | 20,520 | $ 23,373 | ||||
Goodwill | $ 67,581 | $ 101,245 | $ 99,811 | 10,193 | ||
Other assets | 7 | |||||
Total assets acquired | $ 45,234 | |||||
Cobra Aviation Services LLC | ARS | ||||||
Business Acquisition [Line Items] | ||||||
Accounts receivable | $ 146 | |||||
Property, plant and equipment | 1,702 | |||||
Identifiable intangible assets | 120 | |||||
Goodwill | 694 | |||||
Other assets | 5 | |||||
Total assets acquired | $ 2,667 | |||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 20 years | |||||
Cobra Aviation Services LLC | Brim Equipment Assets | ||||||
Business Acquisition [Line Items] | ||||||
Accounts receivable | $ 0 | |||||
Property, plant and equipment | 1,990 | |||||
Identifiable intangible assets | 0 | |||||
Goodwill | 2,243 | |||||
Other assets | 0 | |||||
Total assets acquired | $ 4,233 |
Acquisitions - ARS and Brim E_2
Acquisitions - ARS and Brim Equipment Pro Forma Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
5 Star | |||
Business Acquisition [Line Items] | |||
Revenues | $ 55,205 | $ 143,302 | $ 25,216 |
Net loss | (17,281) | 4,149 | 4,191 |
Depreciation | 6,100 | 3,500 | 800 |
Revenues | 31,548 | ||
Net (loss) income | 3,910 | ||
WTL Oil LLC | |||
Business Acquisition [Line Items] | |||
Revenues | 8 | 7,511 | |
Net loss | (3) | (149) | |
Depreciation | 2,200 | 1,000 | |
Revenues | 10,270 | 4,229 | |
Net (loss) income | (64) | 165 | |
Cobra Aviation Services LLC | ARS | |||
Business Acquisition [Line Items] | |||
Revenues | 2,153 | 0 | |
Net loss | (546) | (25) | |
Depreciation | 300 | 20 | |
Revenues | 3,055 | 2,641 | |
Net (loss) income | 207 | (39) | |
Cobra Aviation Services LLC | Brim Equipment Assets | |||
Business Acquisition [Line Items] | |||
Revenues | 2,616 | 0 | |
Net loss | (1,056) | 0 | |
Depreciation | 400 | ||
Revenues | 4,478 | 1,448 | |
Net (loss) income | 2,410 | 459 | |
Eliminations | 5 Star | |||
Business Acquisition [Line Items] | |||
Revenues | $ 7,600 | $ 112,600 | $ 16,000 |
Acquisitions - WTL Oil Acquisit
Acquisitions - WTL Oil Acquisition Narrative (Details) - USD ($) $ in Thousands | May 31, 2018 | Jun. 05, 2017 | May 26, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] |
Business Acquisition [Line Items] | |||||||
Total purchase price | $ 25,762 | $ 36,320 | |||||
Cash paid to acquire a business | $ 0 | $ 20,824 | $ 42,008 | ||||
WTL Oil LLC | |||||||
Business Acquisition [Line Items] | |||||||
Total purchase price | $ 6,100 | ||||||
Acquisition related costs | $ 100 | ||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Schedule of As_2
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed WTL Oil (Details) - USD ($) $ in Thousands | May 31, 2018 | Jun. 05, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | ||||||
Property, plant and equipment | $ 20,520 | $ 23,373 | ||||
Goodwill | 10,193 | $ 67,581 | $ 101,245 | $ 99,811 | ||
Total assets acquired | $ 45,234 | |||||
WTL Oil LLC | ||||||
Business Acquisition [Line Items] | ||||||
Property, plant and equipment | $ 2,960 | |||||
Goodwill | 1,567 | |||||
Total assets acquired | $ 6,107 | |||||
Minimum | ||||||
Business Acquisition [Line Items] | ||||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 5 years | |||||
Minimum | WTL Oil LLC | ||||||
Business Acquisition [Line Items] | ||||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 10 years | |||||
Maximum | ||||||
Business Acquisition [Line Items] | ||||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 10 years | |||||
Maximum | WTL Oil LLC | ||||||
Business Acquisition [Line Items] | ||||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 20 years | |||||
Customer relationships | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 1,140 | |||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 3 years 4 months | |||||
Customer relationships | WTL Oil LLC | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 930 | |||||
Trade names | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 820 | |||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 8 years 3 months 3 days | |||||
Trade names | WTL Oil LLC | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 650 |
Acquisitions - Pro Forma Inform
Acquisitions - Pro Forma Information WTL Oil Acquisition (Details) - WTL Oil LLC - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 8 | $ 7,511 | |
Net loss | (3) | (149) | |
Revenues | 10,270 | $ 4,229 | |
Net (loss) income | (64) | $ 165 | |
Depreciation | $ 2,200 | $ 1,000 |
Acquisitions - RTS Energy Servi
Acquisitions - RTS Energy Services Acquisition Narrative (Details) - USD ($) | Dec. 31, 2019 | Jun. 15, 2018 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire a business | $ 0 | $ 20,824,000 | $ 42,008,000 | |||||
Impairment of goodwill | $ 30,500,000 | 33,664,000 | 3,203,000 | 0 | [2] | $ 0 | ||
Inventory obsolescence | $ 1,300,000 | 1,349,000 | 0 | $ 0 | ||||
RTS Energy Services LLC | ||||||||
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire a business | $ 8,100,000 | |||||||
Depreciation | 2,300,000 | $ 900,000 | ||||||
Acquisition related costs | $ 100,000 | |||||||
Impairment of goodwill | 100,000 | |||||||
Inventory obsolescence | $ 200,000 | |||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||||||
[2] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Schedule of As_3
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed, RTS (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jun. 15, 2018 | Dec. 31, 2017 | Jun. 05, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | ||||||
Inventories | $ 306 | |||||
Property, plant and equipment | 20,520 | $ 23,373 | ||||
Goodwill | $ 67,581 | $ 101,245 | $ 99,811 | 10,193 | ||
Total assets acquired | $ 45,234 | |||||
RTS Energy Services LLC | ||||||
Business Acquisition [Line Items] | ||||||
Inventories | $ 180 | |||||
Property, plant and equipment | 7,787 | |||||
Goodwill | 133 | |||||
Total assets acquired | $ 8,100 |
Acquisitions - Pro Forma Info_2
Acquisitions - Pro Forma Information, RTS (Details) - RTS Energy Services LLC - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 2,456 | $ 6,682 | |
Net loss | (6,458) | (3,210) | |
Depreciation | $ 2,300 | 900 | |
Revenues | 16,212 | $ 20,877 | |
Net (loss) income | $ (4,066) | $ 1,141 |
Acquisitions - Acquisition of 5
Acquisitions - Acquisition of 5 Star Narrative (Details) - USD ($) $ in Thousands | Jul. 01, 2017 | Jun. 05, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | ||||||
Cash paid to acquire a business | $ 0 | $ 20,824 | $ 42,008 | [1] | ||
5 Star | ||||||
Business Acquisition [Line Items] | ||||||
Cash paid to acquire a business | $ 2,400 | |||||
Acquisition related costs | $ 100 | |||||
Minimum | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 5 years | |||||
Maximum | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||||
Maximum | 5 Star | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Schedule Of As_4
Acquisitions - Schedule Of Assets Acquired and Liabilities Assumed 5 Star (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 01, 2017 | Jun. 05, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | ||||||
Accounts receivable | $ 4,408 | |||||
Property, plant and equipment | 20,520 | $ 23,373 | ||||
Goodwill | $ 67,581 | $ 101,245 | $ 99,811 | 10,193 | ||
Total assets acquired | 45,234 | |||||
Total liabilities assumed | 19,472 | $ 1,732 | ||||
Net assets acquired | 25,762 | |||||
5 Star | ||||||
Business Acquisition [Line Items] | ||||||
Accounts receivable | $ 2,440 | |||||
Property, plant and equipment | 1,863 | |||||
Goodwill | 248 | |||||
Total assets acquired | 4,851 | |||||
Long-term debt and other liabilities | 2,413 | |||||
Total liabilities assumed | 2,413 | |||||
Net assets acquired | 2,438 | |||||
Trade names | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 820 | |||||
Trade names | 5 Star | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 300 |
Acquisitions - Pro Forma, 5 Sta
Acquisitions - Pro Forma, 5 Star (Details) - 5 Star - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 55,205 | $ 143,302 | $ 25,216 |
Net income | (17,281) | 4,149 | 4,191 |
Revenues | 31,548 | ||
Net income (loss) | 3,910 | ||
Depreciation | 6,100 | 3,500 | 800 |
Intercompany elimination | |||
Business Acquisition [Line Items] | |||
Revenues | $ 7,600 | $ 112,600 | $ 16,000 |
Acquisitions - Acquisition of H
Acquisitions - Acquisition of Higher Power Narrative (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | May 26, 2017 | Apr. 21, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||||||
Total consideration transferred | $ 25,762 | $ 36,320 | |||||
Cash paid to acquire a business | $ 0 | $ 20,824 | $ 42,008 | [1] | |||
Higher Power | |||||||
Business Acquisition [Line Items] | |||||||
Total consideration transferred | $ 4,000 | ||||||
Transaction related costs expensed | $ 100 | ||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Schedule of As_5
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed. High Power Acquisition (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jun. 05, 2017 | May 26, 2017 | Apr. 21, 2017 |
Business Acquisition [Line Items] | ||||||
Property, plant and equipment | $ 20,520 | $ 23,373 | ||||
Goodwill | $ 67,581 | $ 101,245 | $ 99,811 | 10,193 | ||
Total assets acquired | 45,234 | |||||
Higher Power | ||||||
Business Acquisition [Line Items] | ||||||
Property, plant and equipment | $ 1,744 | |||||
Goodwill | 643 | |||||
Total assets acquired | 4,000 | |||||
Customer relationships | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 1,140 | |||||
Customer relationships | Higher Power | ||||||
Business Acquisition [Line Items] | ||||||
Identifiable intangible assets | $ 1,613 |
Acquisitions - Pro Forma Info_3
Acquisitions - Pro Forma Information High Power Acquisition (Details) - Higher Power - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 93,379 | $ 220,281 | $ 39,571 |
Net income | (33,195) | (5,868) | 5,127 |
Depreciation | 10,500 | 7,100 | 2,000 |
Revenues | 42,343 | ||
Net income (loss) | 5,004 | ||
Intercompany elimination | |||
Business Acquisition [Line Items] | |||
Revenues | $ 26,500 | $ 191,200 | $ 27,400 |
Acquisitions - Narrative Sturge
Acquisitions - Narrative Sturgeon Acquisitions (Details) - USD ($) | Jun. 05, 2017 | May 26, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | |||||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 | |||
Total consideration transferred | $ 25,762,000 | $ 36,320,000 | |||
Sturgeon Acquisitions LLC | |||||
Business Acquisition [Line Items] | |||||
Shares issued (in shares) | $ 5,607,452 | ||||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | ||||
Price per share (in usd per share) | $ 18.50 | ||||
Total consideration transferred | $ 103,700,000 | ||||
Transaction related costs expensed | $ 1,300,000 |
Acquisitions - Chieftain Acquis
Acquisitions - Chieftain Acquisition Narrative (Details) $ in Millions | Jan. 01, 2017USD ($) |
Chieftain Acquisition | |
Business Acquisition [Line Items] | |
Transaction related costs expensed | $ 0.8 |
Acquisitions - Schedule of As_6
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed Chieftrain Sand and Proppant LLC (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | May 26, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 01, 2017 | |
Business Acquisition [Line Items] | |||||||
Property, plant and equipment | $ 20,520 | $ 23,373 | |||||
Net assets acquired | 25,762 | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Asset Retirement Obligation | 1,732 | ||||||
Total liabilities assumed | 19,472 | 1,732 | |||||
Total allocation of purchase price | 42,551 | ||||||
Gain on bargain purchase | (6,231) | $ 0 | $ 0 | $ (4,012) | [1],[2] | ||
Total purchase price | $ 25,762 | 36,320 | |||||
Gain recognized, tax amount | $ 2,200 | ||||||
Chieftain Acquisition | |||||||
Business Acquisition [Line Items] | |||||||
Net assets acquired | $ 44,283 | ||||||
Sand | Chieftain Acquisition | |||||||
Business Acquisition [Line Items] | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 20,910 | ||||||
Intercompany elimination | |||||||
Business Acquisition [Line Items] | |||||||
Gain on bargain purchase | $ 0 | ||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||
[2] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Acquisitions - Pro Forma Info_4
Acquisitions - Pro Forma Information Chieftain Sand and Proppant LLC (Details) - Chieftain Acquisition - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 27,617 | $ 52,628 | $ 22,847 |
Net income | (3,513) | 8,379 | 5,520 |
Depreciation | 5,000 | 4,900 | 2,800 |
Revenues | 22,847 | ||
Net income | 5,655 | ||
Intercompany elimination | |||
Business Acquisition [Line Items] | |||
Revenues | $ 3,700 | $ 14,800 | $ 12,300 |
Acquisitions - Stingray Acquisi
Acquisitions - Stingray Acquisition Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 05, 2017 | May 26, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | |||||
Common stock outstanding (in shares) | 45,108,545 | 44,876,649 | |||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 | |||
Total consideration transferred | $ 25,762 | $ 36,320 | |||
Stingray Acquisitions | |||||
Business Acquisition [Line Items] | |||||
Common stock outstanding (in shares) | 1,392,548 | ||||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | ||||
Price per share (in usd per share) | $ 18.50 | ||||
Total consideration transferred | $ 25,800 | ||||
Transaction related costs expensed | $ 200 |
Acquisitions - Consideration Tr
Acquisitions - Consideration Transferred Stingray Acquisition (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | ||
Total consideration transferred | $ 25,762 | $ 36,320 |
Cementing | ||
Business Acquisition [Line Items] | ||
Total consideration transferred | 12,975 | |
SR Energy | ||
Business Acquisition [Line Items] | ||
Total consideration transferred | $ 12,787 |
Acquisitions - Schedule of As_7
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed, Stingray (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | May 26, 2017 |
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 2,671 | ||||
Accounts receivable, net | 4,408 | ||||
Receivables from related parties | 5,102 | ||||
Inventories | 306 | ||||
Prepaid expenses | 67 | ||||
Property, plant and equipment | 20,520 | $ 23,373 | |||
Goodwill | 10,193 | $ 67,581 | $ 101,245 | $ 99,811 | |
Other assets | 7 | ||||
Total assets acquired | 45,234 | ||||
Accounts payable and accrued liabilities | 7,953 | ||||
Long-term debt (d) | 7,074 | ||||
Deferred tax liability | 4,445 | ||||
Total liabilities assumed | 19,472 | $ 1,732 | |||
Net assets acquired | 25,762 | ||||
Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | 1,140 | ||||
Finite-lived intangible asset, useful life (in years) | 3 years 4 months | ||||
Trade names | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | 820 | ||||
Finite-lived intangible asset, useful life (in years) | 8 years 3 months 3 days | ||||
SR Energy | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | 1,611 | ||||
Accounts receivable, net | 3,913 | ||||
Receivables from related parties | 3,684 | ||||
Inventories | 0 | ||||
Prepaid expenses | 35 | ||||
Property, plant and equipment | 13,061 | ||||
Goodwill | 3,929 | ||||
Other assets | 7 | ||||
Total assets acquired | 26,790 | ||||
Accounts payable and accrued liabilities | 5,890 | ||||
Long-term debt (d) | 5,074 | ||||
Deferred tax liability | 3,039 | ||||
Total liabilities assumed | 14,003 | ||||
Net assets acquired | 12,787 | ||||
SR Energy | Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | 0 | ||||
SR Energy | Trade names | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | 550 | ||||
Cementing | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | 1,060 | ||||
Accounts receivable, net | 495 | ||||
Receivables from related parties | 1,418 | ||||
Inventories | 306 | ||||
Prepaid expenses | 32 | ||||
Property, plant and equipment | 7,459 | ||||
Goodwill | 6,264 | ||||
Other assets | 0 | ||||
Total assets acquired | 18,444 | ||||
Accounts payable and accrued liabilities | 2,063 | ||||
Long-term debt (d) | 2,000 | ||||
Deferred tax liability | 1,406 | ||||
Total liabilities assumed | 5,469 | ||||
Net assets acquired | 12,975 | ||||
Cementing | Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | 1,140 | ||||
Cementing | Trade names | |||||
Business Acquisition [Line Items] | |||||
Identifiable intangible assets | $ 270 | ||||
Minimum | |||||
Business Acquisition [Line Items] | |||||
Finite-lived intangible asset, useful life (in years) | 5 years | ||||
Maximum | |||||
Business Acquisition [Line Items] | |||||
Finite-lived intangible asset, useful life (in years) | 10 years |
Acquisitions - Pro Forma Stingr
Acquisitions - Pro Forma Stingray Acquisitions (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SR Energy | |||
Business Acquisition [Line Items] | |||
Revenues | $ 36,600 | $ 29,287,000 | $ 11,572,000 |
Net loss | (3,975) | (2,539,000) | (1,626,000) |
Asset impairment charges | 3,900,000 | ||
Cementing | |||
Business Acquisition [Line Items] | |||
Revenues | 618 | 6,426,000 | 7,500,000 |
Net loss | (2,449) | (5,869,000) | (1,963,000) |
Asset impairment charges | 3,100,000 | 4,400,000 | |
Stingray Acquisitions | |||
Business Acquisition [Line Items] | |||
Revenues | 35,142,000 | ||
Net (loss) income | (4,066,000) | ||
Intercompany elimination | SR Energy | |||
Business Acquisition [Line Items] | |||
Revenues | 2,300,000 | 3,000,000 | 600,000 |
Depreciation | 4,900,000 | 5,400,000 | 3,400,000 |
Intercompany elimination | Cementing | |||
Business Acquisition [Line Items] | |||
Revenues | 600,000 | 300,000 | |
Depreciation | $ 800,000 | $ 1,500,000 | $ 4,100,000 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] | |
Inventory Disclosure [Abstract] | |||||
Supplies | $ 9,598 | $ 12,571 | |||
Raw materials | 746 | 199 | |||
Work in process | 4,608 | 3,273 | |||
Finished goods | 2,531 | 5,259 | |||
Total inventory | 17,483 | 21,302 | |||
Inventory obsolescence | $ 1,300 | $ 1,349 | $ 0 | $ 0 | |
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 794,156 | $ 769,084 | ||
Deposits on equipment and equipment in process of assembly | 6,627 | 16,865 | ||
Property, plant and equipment, gross | 800,783 | 785,949 | ||
Less: accumulated depreciation, depletion, amortization and accretion | 448,011 | 349,250 | ||
Total property, plant and equipment, net | 352,772 | 436,699 | ||
Proceeds from disposal of property and equipment | 3,217 | 1,514 | $ 907 | [1] |
Gain (loss) on disposal of property and equipment | (55) | (947) | (69) | [1] |
Pressure pumping equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 216,627 | 208,968 | ||
Pressure pumping equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 3 years | |||
Pressure pumping equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 5 years | |||
Drilling rigs and related equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 117,783 | 122,198 | ||
Proceeds from disposal of property and equipment | 1,000 | 500 | ||
Gain (loss) on disposal of property and equipment | $ 900 | 300 | ||
Drilling rigs and related equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 3 years | |||
Drilling rigs and related equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 15 years | |||
Machinery and equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 190,221 | 173,867 | ||
Machinery and equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 7 years | |||
Machinery and equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 20 years | |||
Buildings | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 47,859 | 46,380 | ||
Costs related to assets under operating leases | $ 6,700 | |||
Buildings | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 15 years | |||
Buildings | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 39 years | |||
Vehicles, trucks and trailers | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 135,724 | 132,337 | ||
Vehicles, trucks and trailers | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 5 years | |||
Vehicles, trucks and trailers | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 10 years | |||
Coil tubing equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 29,438 | 29,128 | ||
Coil tubing equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 4 years | |||
Coil tubing equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 10 years | |||
Land | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 13,687 | 14,235 | ||
Land improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 10,135 | 9,614 | ||
Land improvements | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 15 years | |||
Rail improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 13,802 | 13,806 | ||
Rail improvements | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 10 years | |||
Rail improvements | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 20 years | |||
Other property and equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, gross, less deposits on equipment and equipment in process | $ 18,880 | 18,551 | ||
Costs related to assets under operating leases | $ 6,500 | |||
Other property and equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 3 years | |||
Other property and equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Useful Life | 12 years | |||
Assets under operating leases | ||||
Property, Plant and Equipment [Line Items] | ||||
Less: accumulated depreciation, depletion, amortization and accretion | $ 3,500 | |||
Comprehensive Income | ||||
Property, Plant and Equipment [Line Items] | ||||
Proceeds from disposal of property and equipment | 3,200 | 800 | 400 | |
Gain (loss) on disposal of property and equipment | $ (100) | $ (1,800) | $ (400) | |
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Depreciation, Amortization, Accretion, and Depletion (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense | $ 112,435 | $ 107,634 | $ 81,191 | |
Accretion and depletion expense (see Note 2) | 3,477 | 3,539 | 1,632 | |
Amortization expense (see Note 8) | 1,121 | 8,704 | 9,301 | |
Depreciation, depletion, amortization and accretion | $ 117,033 | $ 119,877 | $ 92,124 | [1] |
[1] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Impairments (Details)
Impairments (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | ||||||
Impairment of goodwill | $ 30,500,000 | $ 33,664,000 | $ 3,203,000 | $ 0 | [1],[2] | $ 0 |
Impairment of intangible | 846,000 | 1,379,000 | 0 | |||
Impairment of long-lived assets | 7,358,000 | 5,652,000 | 4,146,000 | [1],[2] | ||
Impairment of finite lived intangible assets | $ 0 | |||||
Drilling Rigs | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Asset impairment charges | 3,000,000 | 4,000,000 | 3,800,000 | |||
Other property, plant and equipment | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Asset impairment charges | 3,600,000 | $ 300,000 | $ 300,000 | |||
Customer relationships | Flowback equipment | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of goodwill | 100,000 | |||||
WTL Oil LLC | Customer relationships | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of finite lived intangible assets | 800,000 | |||||
Cementing | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of goodwill | 3,200,000 | |||||
Cementing | Customer relationships | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of intangible | 1,000,000 | |||||
Cementing | Trade names | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of intangible | 200,000 | |||||
Silverback Energy | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment of intangible | $ 200,000 | |||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||||
[2] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Schedule Of Changes in Goodwill (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 05, 2017 | |
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | $ 104,448,000 | $ 99,811,000 | |||||
Accumulated impairment losses | $ (36,867,000) | (36,867,000) | (3,203,000) | $ 0 | |||
Goodwill | 67,581,000 | 67,581,000 | 101,245,000 | 99,811,000 | $ 10,193,000 | ||
Acquisitions | 0 | 4,637,000 | |||||
Impairment losses | (30,500,000) | (33,664,000) | (3,203,000) | 0 | [1],[2] | $ 0 | |
Goodwill, gross period end | 104,448,000 | 104,448,000 | 104,448,000 | 99,811,000 | |||
Infrastructure | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 3,828,000 | 891,000 | |||||
Accumulated impairment losses | (434,000) | (434,000) | 0 | 0 | |||
Goodwill | 3,394,000 | 3,394,000 | 3,828,000 | 891,000 | |||
Acquisitions | 0 | 2,937,000 | |||||
Impairment losses | (434,000) | 0 | |||||
Goodwill, gross period end | 3,828,000 | 3,828,000 | 3,828,000 | 891,000 | |||
Pressure Pumping | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 86,043,000 | 86,043,000 | |||||
Accumulated impairment losses | (23,423,000) | (23,423,000) | 0 | 0 | |||
Goodwill | 62,620,000 | 62,620,000 | 86,043,000 | 86,043,000 | |||
Acquisitions | 0 | 0 | |||||
Impairment losses | (23,423,000) | 0 | |||||
Goodwill, gross period end | 86,043,000 | 86,043,000 | 86,043,000 | 86,043,000 | |||
Sand | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 2,684,000 | 2,684,000 | |||||
Accumulated impairment losses | (2,684,000) | (2,684,000) | 0 | 0 | |||
Goodwill | 0 | 0 | 2,684,000 | 2,684,000 | |||
Acquisitions | 0 | 0 | |||||
Impairment losses | (2,684,000) | 0 | |||||
Goodwill, gross period end | 2,684,000 | 2,684,000 | 2,684,000 | 2,684,000 | |||
Other | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 11,893,000 | 10,193,000 | |||||
Accumulated impairment losses | (10,326,000) | (10,326,000) | (3,203,000) | 0 | |||
Goodwill | 1,567,000 | 1,567,000 | 8,690,000 | 10,193,000 | |||
Acquisitions | 0 | 1,700,000 | |||||
Impairment losses | (7,123,000) | (3,203,000) | |||||
Goodwill, gross period end | $ 11,893,000 | $ 11,893,000 | $ 11,893,000 | $ 10,193,000 | |||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||
[2] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Definite Lived Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, net | $ 5,788 | $ 7,756 | $ 16,139 |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, gross | 1,050 | 2,255 | |
Less: accumulated amortization | (467) | (544) | |
Intangible assets, net | 583 | 1,711 | |
Trade names | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, gross | 9,063 | 9,063 | |
Less: accumulated amortization | (3,858) | (3,018) | |
Intangible assets, net | $ 5,205 | $ 6,045 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of intangible assets | $ 1,121 | $ 8,704 | $ 9,301 | |
Customer relationships | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 3 years 4 months | |||
Trade names | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 8 years 3 months 3 days | |||
Minimum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 5 years | |||
Minimum | Customer relationships | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 6 years | |||
Minimum | Trade names | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||
Maximum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired finite-lived intangible assets, weighted average useful life (in years) | 10 years | |||
Maximum | Trade names | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 20 years |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Aggregated Expected Amortization Expense (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
2020 | $ 1,015 | ||
2021 | 1,015 | ||
2022 | 1,015 | ||
2023 | 898 | ||
2024 | 771 | ||
Thereafter | 1,074 | ||
Intangible assets, net | $ 5,788 | $ 7,756 | $ 16,139 |
Equity Method Investment (Detai
Equity Method Investment (Details) - USD ($) $ in Thousands | Dec. 21, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] |
Schedule of Equity Method Investments [Line Items] | |||||
Cash paid to acquire a business | $ 0 | $ 20,824 | $ 42,008 | ||
Payments to acquire equity method investments | (680) | (702) | $ 0 | ||
Brim Acquisitions LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Initial capital of acquisition | $ 2,000 | ||||
Carrying value of equity method investment | 2,600 | 1,000 | |||
Other income (loss) | 1,000 | $ (20) | |||
Payments to acquire equity method investments | $ (700) | ||||
Cobra Aviation Services LLC | Brim Acquisitions LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Economic interest | 49.00% | ||||
Cobra Aviation Services LLC | Brim Equipment Assets | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Cash paid to acquire a business | $ 2,000 | ||||
Wexford Partners Investment Co. LLC | Brim Acquisitions LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Economic interest | 51.00% | ||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities - Summary of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Payables and Accruals [Abstract] | ||
State and local taxes payable | $ 15,288 | $ 18,687 |
Deferred revenue | 7,244 | 4,304 |
Financed insurance premiums | 6,463 | 6,761 |
Accrued compensation, benefits and related taxes | 5,938 | 20,898 |
Insurance reserves | 2,906 | 4,678 |
Other | 2,915 | 4,324 |
Total | $ 40,754 | $ 59,652 |
Accrued Expenses and Other Cu_4
Accrued Expenses and Other Current Liabilities - Narrative (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule of Other Operating Cost and Expense, by Component [Line Items] | ||
Financed insurance premium interest rate, percent | 3.45% | |
Minimum | ||
Schedule of Other Operating Cost and Expense, by Component [Line Items] | ||
Financed insurance premium interest rate, percent | 3.45% | |
Maximum | ||
Schedule of Other Operating Cost and Expense, by Component [Line Items] | ||
Financed insurance premium interest rate, percent | 3.75% |
Debt (Details)
Debt (Details) | Feb. 26, 2020USD ($) | Oct. 19, 2018 | Jun. 30, 2015USD ($) | Dec. 31, 2019USD ($) | Feb. 25, 2020USD ($) | Dec. 31, 2018USD ($) |
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | $ (80,000,000) | |||||
Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Remaining borrowing capacity | $ 96,100,000 | $ 175,800,000 | ||||
Maximum leverage ratio | 4 | |||||
Revolving Credit Facility | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest coverage ratio | 3 | |||||
Letter of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Remaining borrowing capacity | $ 8,700,000 | $ 8,400,000 | ||||
Sturgeon Acquisitions LLC | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 2.00% | |||||
Maximum borrowing capacity | $ 25,000,000 | |||||
Debt instrument, term | 3 years | |||||
Sturgeon Acquisitions LLC | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 3.00% | |||||
Line of Credit | Revolving Credit Facility | Domestic Rate | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 1.00% | |||||
Line of Credit | Revolving Credit Facility | Domestic Rate | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 1.50% | |||||
Line of Credit | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 2.00% | |||||
Line of Credit | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 2.50% | |||||
Subsequent Event | ||||||
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | $ (9,000,000) | |||||
Maximum borrowing capacity | $ 180,000,000 | $ 350,000,000 | ||||
Subsequent Event | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum leverage ratio | 2.5 | |||||
Debt covenant, minimum availability required | $ 130,000,000 | $ 185,000,000 | ||||
Subsequent Event | Revolving Credit Facility | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest coverage ratio | 1.1 | |||||
Subsequent Event | Line of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | $ (2,000,000) | |||||
Subsequent Event | Line of Credit | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | (87,400,000) | |||||
Remaining borrowing capacity | $ 21,000,000 | |||||
Subsequent Event | Line of Credit | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 3.00% | |||||
Subsequent Event | Line of Credit | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate, percent | 3.50% |
Variable Interest Entities (Det
Variable Interest Entities (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Apr. 06, 2018 | |
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | 100.00% | |
Dire Wolf Energy Services LLC | Cobra Aviation Services LLC | |||
Variable Interest Entity [Line Items] | |||
Interest transferred | 100.00% | ||
Predator Aviation LLC | Leopard Aviation LLC | |||
Variable Interest Entity [Line Items] | |||
Interest transferred | 100.00% | ||
ARS | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Brim Acquisitions LLC | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 49.00% |
Selling, General and Administ_3
Selling, General and Administrative Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Non-cash expenses: | ||||
Bad debt expense | $ 1,434 | $ (14,578) | $ 16,206 | [1] |
Equity based compensation | 0 | 17,487 | 0 | [1] |
Stock based compensation | 4,177 | 5,425 | 3,741 | [1] |
Total SG&A expense | 51,552 | 73,097 | 49,886 | |
Selling, General and Administrative Expenses | ||||
Cash expenses: | ||||
Compensation and benefits | 19,364 | 42,950 | 15,322 | |
Professional services | 17,128 | 11,854 | 7,765 | |
Other | 10,300 | 10,718 | 7,503 | |
Total cash SG&A expense | 46,792 | 65,522 | 30,590 | |
Non-cash expenses: | ||||
Bad debt expense | 1,434 | (14,578) | 16,098 | |
Equity based compensation | 0 | 17,487 | 0 | |
Stock based compensation | 3,326 | 4,666 | 3,198 | |
Total non-cash SG&A expense | 4,760 | 7,575 | 19,296 | |
Total SG&A expense | $ 51,552 | 73,097 | $ 49,886 | |
Reversed bad debt expense | $ 16,000 | |||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Income Tax Disclosure [Abstract] | ||||
U.S. current income tax expense | $ 386 | $ 25,656 | $ 804 | |
U.S. deferred income tax (benefit) expense | (21,761) | 25,372 | (27,764) | |
Foreign current income tax expense | 30,172 | 75,381 | 36,565 | |
Foreign deferred income tax (benefit) expense | (20,878) | 26,854 | (6,773) | |
Total | $ (12,081) | $ 153,263 | $ 2,832 | [1] |
[1] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Income Taxes - Income Tax Recon
Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Thousands | May 26, 2017 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||||
(Loss) income before income taxes, as reported | $ (91,125) | $ 389,228 | $ 61,796 | [1] | ||
Bargain purchase gain, net of tax | $ (6,231) | 0 | 0 | (4,012) | [2],[3] | |
(Loss) income before income taxes, as taxed | $ (91,125) | $ 389,228 | $ 57,784 | |||
Statutory income tax rate | 21.00% | 21.00% | 35.00% | |||
Expected income tax (benefit) expense | $ (19,136) | $ 81,738 | $ 20,224 | |||
Change in tax rate | 0 | (103) | (21,309) | |||
Tax reform - unrepatriated foreign earnings | 0 | 0 | (9,727) | |||
Foreign income tax rate differential | 9,387 | 39,080 | 6,286 | |||
Foreign earnings not in reported income | 12,581 | 46,834 | 22,054 | |||
Foreign tax credits | (26,141) | (89,677) | (29,551) | |||
Withholding taxes | 3,635 | 13,930 | 0 | |||
Goodwill impairment | 6,506 | 675 | 0 | |||
Other permanent differences | 1,873 | 12,370 | 503 | |||
State tax expenses | 2,364 | 5,394 | 39 | |||
Return to provision | (15,156) | 6,071 | 0 | |||
Other | 0 | 680 | (1,192) | |||
Change in valuation allowance | 12,006 | 36,271 | 15,505 | |||
Total | $ (12,081) | $ 153,263 | $ 2,832 | [3] | ||
Effective income tax rate | 13.30% | 39.40% | 4.90% | |||
Total effect of income tax reform | $ 31,000 | |||||
Remeasurement of deferred tax liabilities | $ 21,300 | |||||
Effect of income tax reform, unrepatriated foreign earnings | $ 9,700 | |||||
[1] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. | |||||
[2] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||||
[3] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Income Taxes - Deferred Income
Income Taxes - Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Deferred tax assets: | ||
Allowance for doubtful accounts | $ 1,189 | $ 1,180 |
Lease asset | 11,105 | |
Deferred compensation | 0 | 1,032 |
Accrued liabilities | 950 | 3,428 |
Net operating loss carryover | 4,180 | 467 |
Foreign tax credits | 76,060 | 51,776 |
Other | 1,633 | 1,627 |
Valuation allowance | 63,783 | 51,776 |
Deferred tax assets | 31,334 | 7,734 |
Deferred tax liabilities: | ||
Property and equipment | (55,180) | (63,181) |
Intangible assets | 0 | (4,936) |
Withholding taxes | 0 | (17,419) |
Lease liability | (11,151) | |
Other | (1,876) | (1,507) |
Deferred tax liabilities | (68,207) | (87,043) |
Net deferred tax liability | (36,873) | (79,309) |
Reflected in accompanying balance sheet as: | ||
Deferred income tax asset | 0 | 0 |
Deferred income tax liability | (36,873) | (79,309) |
Changes in valuation allowance | $ 12,000 | 36,300 |
Foreign Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforwards | 76,100 | |
Federal Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforwards | $ 17,800 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | |
Lessee, Lease, Description [Line Items] | |||
Operating lease right-of-use assets | $ 43,446 | ||
Total future minimum payments due | $ 66,200 | ||
Due in 2019 | 20,200 | ||
Due in 2020 | 16,600 | ||
Due in 2021 | 12,600 | ||
Due in 2022 | 9,300 | ||
Due in 2023 | 5,000 | ||
Due thereafter | $ 2,500 | ||
ASU 2016-02 | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease right-of-use assets | $ 60,000 | ||
Service | |||
Lessee, Lease, Description [Line Items] | |||
Lease Income | 600 | ||
Related parties | |||
Lessee, Lease, Description [Line Items] | |||
Lease Income | $ 1,800 |
Leases - Schedule of Lease Expe
Leases - Schedule of Lease Expense (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease expense | $ 21,643 |
Short-term lease expense | 682 |
Amortization of right-of-use assets | 1,134 |
Interest on lease liabilities | 192 |
Total lease expense | $ 23,651 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Operating leases: | |
Operating lease right-of-use assets | $ 43,446 |
Current operating lease liability | 16,432 |
Long-term operating lease liability | 27,102 |
Finance leases: | |
Property and equipment, net | 5,111 |
Accrued expenses and other current liabilities | 1,365 |
Other liabilities | $ 3,856 |
Leases - Other Supplemental Inf
Leases - Other Supplemental Information Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows from operating leases | $ 21,375 | ||
Operating cash flows from finance leases | 192 | ||
Financing cash flows from finance leases | 1,503 | ||
Right-of-use assets obtained in exchange for lease obligations: | |||
Operating leases | 5,548 | ||
Finance leases | $ 3,721 | $ 0 | $ 0 |
Weighted-average remaining lease term: | |||
Operating leases | 3 years 5 months | ||
Finance leases | 4 years 1 month | ||
Weighted-average discount rate: | |||
Operating leases | 4.43% | ||
Finance leases | 4.33% |
Leases - Schedule of Lease Liab
Leases - Schedule of Lease Liability Maturity (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Operating Leases | |
2020 | $ 17,948 |
2020 | 13,181 |
2021 | 8,747 |
2022 | 4,353 |
2023 | 1,721 |
Thereafter | 881 |
Total lease payments | 46,831 |
Less: Present value discount | 3,297 |
Present value of lease payments | 43,534 |
Finance Leases | |
2020 | 1,563 |
2020 | 1,254 |
2021 | 1,221 |
2022 | 1,214 |
2023 | 441 |
Thereafter | 0 |
Total lease payments | 5,693 |
Less: Present value discount | 472 |
Present value of lease payments | $ 5,221 |
Dividends and Earnings (Loss)_3
Dividends and Earnings (Loss) Per Share - Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | May 17, 2019 | Feb. 14, 2019 | Nov. 15, 2018 | Aug. 14, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Equity [Abstract] | ||||||
Cash dividends (in usd per share) | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.25 | $ 0.25 |
Cash dividends | $ 5,610 | $ 5,609 | $ 5,606 | $ 5,595 | $ 11,219 | $ 11,201 |
Dividends and Earnings (Loss)_4
Dividends and Earnings (Loss) Per Share - Basic and Diluted Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [2] | Dec. 31, 2016 | |
Basic (loss) earnings per share: | |||||||||||||
Net (loss) income | $ (60,779) | $ (35,709) | $ (10,889) | $ 28,333 | $ 68,207 | $ 69,512 | $ 42,700 | $ 55,546 | $ (79,044) | $ 235,965 | $ 58,964 | [1] | |
Weighted average number of shares outstanding (in shares) | 45,011,000 | 44,750,000 | 41,548,000 | ||||||||||
Basic earnings (loss) per share (in USD per share) | $ (1.35) | $ (0.79) | $ (0.24) | $ 0.63 | $ 1.52 | $ 1.55 | $ 0.95 | $ 1.24 | $ (1.76) | $ 5.27 | $ 1.42 | ||
Diluted (loss) earnings per share: | |||||||||||||
Net (loss) income | $ (60,779) | $ (35,709) | $ (10,889) | $ 28,333 | $ 68,207 | $ 69,512 | $ 42,700 | $ 55,546 | $ (79,044) | $ 235,965 | $ 58,964 | [1] | |
Weighted average common shares, including dilutive effect (in shares) | 45,011,000 | 45,021,000 | 41,639,000 | ||||||||||
Diluted earnings (loss) per share (in USD per share) | $ (1.35) | $ (0.79) | $ (0.24) | $ 0.63 | $ 1.51 | $ 1.54 | $ 0.95 | $ 1.24 | $ (1.76) | $ 5.24 | $ 1.42 | ||
Restricted Stock | |||||||||||||
Diluted (loss) earnings per share: | |||||||||||||
Incremental common shares attributable to dilutive effect of share-based payment arrangements | 0 | ||||||||||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||||||||
[2] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. |
Equity Based Compensation - Nar
Equity Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Jul. 30, 2018 | Jun. 29, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [1] |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares issued (in shares) | 385,000 | |||||
Sale of stock, price per share (in USD per share) | $ 38.01 | |||||
Equity based compensation | $ 0 | $ 17,487 | $ 0 | |||
Specified Member Awards | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Fair value of the award as of the modification dates or grant date | 5,600 | |||||
Payout Provision | Non-Employees Member | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Fair value of the award as of the modification dates or grant date | $ 18,900 | |||||
Secondary Public Offering | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares issued (in shares) | 4,000,000 | |||||
Secondary Public Offering | MEH Sub LLC | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares issued (in shares) | 266,026 | 2,764,400 | ||||
Sale of stock, price per share (in USD per share) | $ 38.01 | |||||
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation, number of shares authorized (in shares) | 4,500,000 | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation cost | $ 1.2 | ||
Weighted-average period of unrecognized compensation cost | 11 months | ||
Compensation expense | $ 4.2 | $ 5.4 | $ 3.7 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Unvested Shares of Restricted Stock Units (Details) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Unvested Restricted Stock Units | |||
Unvested restricted stock units, beginning of the period(in shares) | 434,119 | 640,632 | 282,780 |
Granted (in shares) | 101,181 | 103,556 | 460,185 |
Vested (in shares) | (231,896) | (270,069) | (97,890) |
Forfeited (in shares) | (82,163) | (40,000) | (4,443) |
Unvested restricted stock units, ending of the period (in shares) | 221,241 | 434,119 | 640,632 |
Weighted Average Grant-Date Fair Value | |||
Unvested restricted stock units, beginning of the period (in USD per share) | $ 22.78 | $ 19.44 | $ 14.98 |
Granted (in USD per share) | 6.83 | 27.74 | 20.72 |
Vested (in USD per share) | 22.45 | 19.26 | 15.07 |
Forfeited (in USD per share) | 18.55 | 20.68 | 15 |
Unvested restricted stock units, ending of the period (in USD per share) | $ 22.43 | $ 22.78 | $ 19.44 |
Related Party Transactions - Re
Related Party Transactions - Revenues and Accounts Receivable (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
REVENUES | $ 130,313 | $ 143,233 | $ 209,020 |
ACCOUNTS RECEIVABLE | 7,523 | 11,164 | |
Other Relationships | |||
Related Party Transaction [Line Items] | |||
REVENUES | 1 | 638 | 703 |
ACCOUNTS RECEIVABLE | 41 | 74 | |
Stingray Pressure Pumping and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 90,357 | 96,013 | 144,473 |
ACCOUNTS RECEIVABLE | 5,950 | 8,175 | |
Muskie and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 27,689 | 25,050 | 42,956 |
ACCOUNTS RECEIVABLE | 1,141 | 1,193 | |
SR Energy and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 8,772 | 14,717 | 10,129 |
ACCOUNTS RECEIVABLE | 156 | 1,658 | |
Aquahawk and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 828 | 0 | 0 |
ACCOUNTS RECEIVABLE | 0 | 0 | |
Panther and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 0 | 44 | 3,253 |
ACCOUNTS RECEIVABLE | 0 | 0 | |
Cementing and Gulfport | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 0 | 5,853 | 7,410 |
ACCOUNTS RECEIVABLE | 0 | 0 | |
Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 2,093 | 0 | 0 |
ACCOUNTS RECEIVABLE | 235 | 0 | |
Panther and El Toro | Related parties | |||
Related Party Transaction [Line Items] | |||
REVENUES | 573 | 918 | $ 96 |
ACCOUNTS RECEIVABLE | $ 0 | $ 64 |
Related Party Transactions - Co
Related Party Transactions - Cost of Revenues of Accounts Payable (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | $ 526 | $ 370 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 1,847 | 1,898 | $ 1,481 | [1] |
Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 4,770 | 5,885 | 1,408 | |
ACCOUNTS PAYABLE | 526 | 370 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 1,847 | 1,898 | 1,481 | |
CAPITAL EXPENDITURES | 420 | 4,207 | 2,009 | |
Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 4,720 | 0 | 0 | |
Cobra and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 0 | 4,042 | 610 | |
CAPITAL EXPENDITURES | 0 | 1,247 | 629 | |
Higher Power and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 0 | 1,603 | 25 | |
CAPITAL EXPENDITURES | 0 | 2,960 | 1,380 | |
Panther and DBDHT | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 0 | 240 | 196 | |
The Company and 2017 Stingray Companies | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 0 | 0 | 432 | |
Other Relationships | Related parties | ||||
Related Party Transaction [Line Items] | ||||
COST OF REVENUE | 50 | 0 | 145 | |
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 179 | 258 | 254 | |
The Company and Wexford | Related parties | ||||
Related Party Transaction [Line Items] | ||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 650 | 992 | 892 | |
The Company and Caliber | Related parties | ||||
Related Party Transaction [Line Items] | ||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 785 | 648 | 335 | |
Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 233 | 0 | 0 | |
Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
CAPITAL EXPENDITURES | 420 | 0 | $ 0 | |
ACCOUNTS PAYABLE | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 433 | 240 | ||
ACCOUNTS PAYABLE | Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 433 | 0 | ||
ACCOUNTS PAYABLE | Cobra and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
ACCOUNTS PAYABLE | Higher Power and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
ACCOUNTS PAYABLE | Panther and DBDHT | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 240 | |||
ACCOUNTS PAYABLE | The Company and 2017 Stingray Companies | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
ACCOUNTS PAYABLE | Other Relationships | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 17 | 130 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Other Relationships | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 9 | 27 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Wexford | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 1 | 100 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Caliber | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 7 | 3 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
CAPITAL EXPENDITURES | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 76 | 0 | ||
CAPITAL EXPENDITURES | Cobra and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
CAPITAL EXPENDITURES | Higher Power and T&E | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | 0 | 0 | ||
CAPITAL EXPENDITURES | Leopard and Brim Equipment | Related parties | ||||
Related Party Transaction [Line Items] | ||||
ACCOUNTS PAYABLE | $ 76 | $ 0 | ||
[1] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | Jul. 30, 2018 | Jun. 29, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 21, 2018 |
Related Party Transaction [Line Items] | |||||
Shares issued (in shares) | 385,000 | ||||
Sale of stock, price per share (in USD per share) | $ 38.01 | ||||
Ownership percentage | 100.00% | 100.00% | |||
Gulfport | |||||
Related Party Transaction [Line Items] | |||||
Shares issued (in shares) | 385,000 | 600,000 | |||
Sale of stock, price per share (in USD per share) | $ 38.01 | ||||
Stock issuance costs | $ 1 | ||||
Brim Acquisitions LLC | |||||
Related Party Transaction [Line Items] | |||||
Initial capital of acquisition | $ 2 | ||||
Brim Acquisitions LLC | Cobra Aviation Services LLC | |||||
Related Party Transaction [Line Items] | |||||
Equity method investment, ownership percentage | 49.00% | ||||
Brim Acquisitions LLC | Wexford Partners Investment Co. LLC | |||||
Related Party Transaction [Line Items] | |||||
Equity method investment, ownership percentage | 51.00% | ||||
Secondary Public Offering | |||||
Related Party Transaction [Line Items] | |||||
Shares issued (in shares) | 4,000,000 | ||||
Wexford | |||||
Related Party Transaction [Line Items] | |||||
Ownership percentage | 48.90% | 49.00% |
Commitments and Contingencies -
Commitments and Contingencies - Future minimum lease payments (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Minimum Purchase Commitments(a) | |
2020 | $ 24,416 |
2021 | 697 |
2022 | 124 |
2023 | 8 |
2024 | 0 |
Thereafter | 0 |
Total | 25,245 |
Capital Spend Commitments | |
Minimum Purchase Commitments(a) | |
2020 | 4,865 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 0 |
Total | 4,865 |
Sand | |
Minimum Purchase Commitments(a) | |
Total | 19,500 |
Maximum | Sand | |
Minimum Purchase Commitments(a) | |
Total | 23,100 |
Minimum | Sand | |
Minimum Purchase Commitments(a) | |
Total | $ 1,800 |
Commitments and Contingencies_2
Commitments and Contingencies - Narrative (Details) | Feb. 26, 2020Lawsuit | Jan. 21, 2020USD ($) | Oct. 31, 2019Lawsuit | Sep. 30, 2019Lawsuit | Jun. 30, 2019Lawsuit | Jun. 30, 2019Lawsuit | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Guarantor Obligations [Line Items] | |||||||||
Workers compensation, deductible | $ 300,000 | $ 100,000 | |||||||
Workers compensation insurance aggregate stop loss | 5,400,000 | 5,400,000 | |||||||
Accrued workers’ compensation and auto claims | 2,900,000 | 4,700,000 | |||||||
Directors and officers liability deductible per occurrence | 1,000,000 | 1,000,000 | |||||||
Directors and officers liability aggregate deductible limit | 10,000,000 | 10,000,000 | |||||||
Self insurance, aggregate stop loss per claim basis | 200,000 | ||||||||
Self insurance, aggregate stop loss per calendar year | 5,800,000 | ||||||||
Self insurance, claims accrued | 3,000,000 | 3,200,000 | |||||||
Warranty accrual | 0 | 0 | |||||||
Product warranty expense | 0 | 0 | $ 0 | ||||||
Outstanding bid bonds | |||||||||
Bid Bond | Performance Guarantee | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Estimated costs to complete projects secured by performance and payment bonds | 8,000,000 | ||||||||
Performance And Payment Bond | Performance Guarantee | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Guarantee | $ 40,400,000 | 22,300,000 | |||||||
Puerto Rico Municipalities, Failure To Pay Municipal License And Construction Excise Taxes | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Number of new claims filed | Lawsuit | 4 | ||||||||
Western District Of Oklahoma, Federal Securities Lawsuits | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Number of new claims filed | Lawsuit | 2 | 3 | |||||||
Number of claims dismissed | Lawsuit | 2 | ||||||||
September 2019 Derivative Lawsuits | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Number of new claims filed | Lawsuit | 4 | ||||||||
District of Delaware, Federal Securities Lawsuits | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Number of new claims filed | Lawsuit | 2 | ||||||||
Outstanding Bid Bond | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Outstanding bid bonds | $ 3,600,000 | ||||||||
Subsequent Event | Puerto Rico Municipalities, Failure To Pay Municipal License And Construction Excise Taxes | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Number of new claims filed | Lawsuit | 5 | ||||||||
Subsequent Event | Mastec Renewables Puerto Rico, LLC | |||||||||
Guarantor Obligations [Line Items] | |||||||||
Loss contingency, damages sought | $ 500,000,000 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Letters of Credit (Details) - Letter of Credit - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 8,742 | $ 8,437 |
Environmental remediation | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 4,182 | 3,877 |
Insurance programs | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 4,105 | 4,105 |
Rail car commitments | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 455 | $ 455 |
Commitments and Contingencies_4
Commitments and Contingencies - Defined Contribution Plan (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Defined contribution plan, maximum annual contributions per employee, percent | 92.00% | |
Defined benefit plan, employer matching contribution, percent of match (up to) | 3.00% | |
Defined benefit plan, contributions by employer | $ 3.3 | $ 5.6 |
Reporting Segments and Geogra_3
Reporting Segments and Geographic Areas (Details) | Dec. 31, 2019USD ($) | May 26, 2017USD ($) | Dec. 31, 2019USD ($)segment | Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Reporting Information [Line Items] | |||||||
Number of reportable segments | segment | 4 | 3 | |||||
Total Revenue | $ 625,012,000 | $ 1,690,084,000 | $ 691,496,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 543,788,000 | 1,093,804,000 | 482,569,000 | ||||
Intersegment cost of revenues | 0 | 0 | 0 | ||||
Total cost of revenue | 543,788,000 | 1,093,804,000 | 482,569,000 | ||||
Selling, general and administrative | 51,552,000 | 73,097,000 | 49,886,000 | ||||
Depreciation, depletion, amortization and accretion | 117,033,000 | 119,877,000 | 92,124,000 | [1] | |||
Impairment of goodwill | $ 30,500,000 | 33,664,000 | 3,203,000 | 0 | [1],[2] | $ 0 | |
Impairment of other long-lived assets | 7,358,000 | 5,652,000 | 4,146,000 | [1],[2] | |||
Operating income (loss) | (128,383,000) | 394,451,000 | 62,771,000 | [3] | |||
Interest expense | 4,958,000 | 3,187,000 | 4,310,000 | [1] | |||
Bargain purchase gain | $ (6,231,000) | 0 | 0 | (4,012,000) | [1],[2] | ||
Other expense | (42,216,000) | 2,036,000 | 677,000 | [1] | |||
Income (loss) before income taxes | (91,125,000) | 389,228,000 | 61,796,000 | [3] | |||
Total expenditures for property, plant and equipment | 35,761,000 | 191,943,000 | 133,853,000 | ||||
Intangible assets, net | 5,788,000 | 5,788,000 | 7,756,000 | 16,139,000 | |||
Total assets | 952,385,000 | 952,385,000 | 1,073,091,000 | 867,243,000 | |||
Long-lived assets | 545,405,000 | 545,405,000 | 623,535,000 | 546,081,000 | |||
Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 214,449,000 | 1,082,371,000 | 224,425,000 | ||||
Impairment of goodwill | 434,000 | 0 | |||||
Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 241,972,000 | 362,491,000 | 277,326,000 | ||||
Impairment of goodwill | 23,423,000 | 0 | |||||
Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 69,794,000 | 100,816,000 | 90,023,000 | ||||
Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 31,728,000 | 66,237,000 | 50,075,000 | ||||
All Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 67,069,000 | 78,169,000 | 49,647,000 | ||||
Impairment of goodwill | 7,123,000 | 3,203,000 | |||||
Operating Segments | Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 214,449,000 | 1,082,371,000 | 224,425,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 171,756,000 | 608,017,000 | 120,117,000 | ||||
Intersegment cost of revenues | 0 | 2,583,000 | 1,443,000 | ||||
Total cost of revenue | 171,756,000 | 610,600,000 | 121,560,000 | ||||
Selling, general and administrative | 25,390,000 | 27,126,000 | 21,606,000 | ||||
Depreciation, depletion, amortization and accretion | 31,451,000 | 20,516,000 | 3,185,000 | ||||
Impairment of goodwill | 434,000 | 0 | |||||
Impairment of other long-lived assets | 0 | 308,000 | 0 | ||||
Operating income (loss) | (14,582,000) | 423,821,000 | 78,074,000 | ||||
Interest expense | 1,689,000 | 423,000 | 241,000 | ||||
Bargain purchase gain | 0 | ||||||
Other expense | (42,787,000) | 573,000 | 6,000 | ||||
Income (loss) before income taxes | 26,516,000 | 422,825,000 | 77,827,000 | ||||
Total expenditures for property, plant and equipment | 5,643,000 | 100,701,000 | 20,144,000 | ||||
Intangible assets, net | 1,410,000 | 1,410,000 | 1,650,000 | 1,770,000 | |||
Total assets | 420,285,000 | 420,285,000 | 366,457,000 | 205,275,000 | |||
Operating Segments | Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 246,350,000 | 369,492,000 | 279,352,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 177,997,000 | 223,296,000 | 183,089,000 | ||||
Intersegment cost of revenues | 31,727,000 | 70,365,000 | 28,147,000 | ||||
Total cost of revenue | 209,724,000 | 293,661,000 | 211,236,000 | ||||
Selling, general and administrative | 10,993,000 | 29,761,000 | 9,501,000 | ||||
Depreciation, depletion, amortization and accretion | 40,240,000 | 51,487,000 | 45,413,000 | ||||
Impairment of goodwill | 23,423,000 | 0 | |||||
Impairment of other long-lived assets | 0 | 143,000 | 0 | ||||
Operating income (loss) | (38,030,000) | (5,560,000) | 13,202,000 | ||||
Interest expense | 1,283,000 | 1,171,000 | 1,622,000 | ||||
Bargain purchase gain | 0 | ||||||
Other expense | 580,000 | 434,000 | 129,000 | ||||
Income (loss) before income taxes | (39,893,000) | (7,165,000) | 11,451,000 | ||||
Total expenditures for property, plant and equipment | 14,703,000 | 33,774,000 | 85,853,000 | ||||
Intangible assets, net | 3,371,000 | 3,371,000 | 4,059,000 | 12,392,000 | |||
Total assets | 175,259,000 | 175,259,000 | 254,278,000 | 297,140,000 | |||
Non-cash equity based compensation | 17,500,000 | ||||||
Operating Segments | Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 99,590,000 | 168,275,000 | 117,037,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 87,637,000 | 126,714,000 | 91,049,000 | ||||
Intersegment cost of revenues | 2,542,000 | 6,103,000 | 1,731,000 | ||||
Total cost of revenue | 90,179,000 | 132,817,000 | 92,780,000 | ||||
Selling, general and administrative | 5,006,000 | 6,218,000 | 8,190,000 | ||||
Depreciation, depletion, amortization and accretion | 14,050,000 | 13,519,000 | 9,394,000 | ||||
Impairment of goodwill | 2,684,000 | 0 | |||||
Impairment of other long-lived assets | 0 | 0 | 324,000 | ||||
Operating income (loss) | (12,329,000) | 15,721,000 | 6,349,000 | ||||
Interest expense | 193,000 | 234,000 | 679,000 | ||||
Bargain purchase gain | (4,012,000) | ||||||
Other expense | 67,000 | 525,000 | 211,000 | ||||
Income (loss) before income taxes | (12,589,000) | 14,962,000 | 9,471,000 | ||||
Total expenditures for property, plant and equipment | 2,877,000 | 17,935,000 | 16,376,000 | ||||
Intangible assets, net | 0 | 0 | 0 | 0 | |||
Total assets | 190,382,000 | 190,382,000 | 177,870,000 | 190,859,000 | |||
Operating Segments | Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 32,226,000 | 66,653,000 | 50,521,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 35,963,000 | 60,248,000 | 46,701,000 | ||||
Intersegment cost of revenues | 846,000 | 554,000 | 146,000 | ||||
Total cost of revenue | 36,809,000 | 60,802,000 | 46,847,000 | ||||
Selling, general and administrative | 4,160,000 | 5,343,000 | 5,510,000 | ||||
Depreciation, depletion, amortization and accretion | 13,255,000 | 18,233,000 | 19,635,000 | ||||
Impairment of goodwill | 0 | 0 | |||||
Impairment of other long-lived assets | 2,955,000 | 3,966,000 | 3,822,000 | ||||
Operating income (loss) | (24,953,000) | (21,691,000) | (25,293,000) | ||||
Interest expense | 907,000 | 835,000 | 1,695,000 | ||||
Bargain purchase gain | 0 | ||||||
Other expense | (109,000) | 461,000 | 256,000 | ||||
Income (loss) before income taxes | (25,751,000) | (22,987,000) | (27,244,000) | ||||
Total expenditures for property, plant and equipment | 3,156,000 | 13,398,000 | 8,927,000 | ||||
Intangible assets, net | 0 | 0 | 0 | 0 | |||
Total assets | 61,545,000 | 61,545,000 | 83,714,000 | 88,527,000 | |||
Operating Segments | All Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 69,300,000 | 83,710,000 | 51,728,000 | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 70,435,000 | 75,529,000 | 41,613,000 | ||||
Intersegment cost of revenues | 1,848,000 | 785,000 | 65,000 | ||||
Total cost of revenue | 72,283,000 | 76,314,000 | 41,678,000 | ||||
Selling, general and administrative | 6,003,000 | 4,649,000 | 5,079,000 | ||||
Depreciation, depletion, amortization and accretion | 18,037,000 | 16,122,000 | 14,497,000 | ||||
Impairment of goodwill | 7,123,000 | 3,203,000 | |||||
Impairment of other long-lived assets | 4,403,000 | 1,235,000 | 0 | ||||
Operating income (loss) | (38,549,000) | (17,813,000) | (9,526,000) | ||||
Interest expense | 886,000 | 524,000 | 73,000 | ||||
Bargain purchase gain | 0 | ||||||
Other expense | 33,000 | 43,000 | 75,000 | ||||
Income (loss) before income taxes | (39,468,000) | (18,380,000) | (9,674,000) | ||||
Total expenditures for property, plant and equipment | 9,382,000 | 26,135,000 | 2,553,000 | ||||
Intangible assets, net | 1,007,000 | 1,007,000 | 2,047,000 | 1,977,000 | |||
Total assets | 142,731,000 | 142,731,000 | 132,309,000 | 243,767,000 | |||
Eliminations | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | (36,903,000) | (80,417,000) | (31,567,000) | ||||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 0 | 0 | 0 | ||||
Intersegment cost of revenues | (36,963,000) | (80,390,000) | (31,532,000) | ||||
Total cost of revenue | (36,963,000) | (80,390,000) | (31,532,000) | ||||
Selling, general and administrative | 0 | 0 | 0 | ||||
Depreciation, depletion, amortization and accretion | 0 | 0 | 0 | ||||
Impairment of goodwill | 0 | 0 | |||||
Impairment of other long-lived assets | 0 | 0 | 0 | ||||
Operating income (loss) | 60,000 | (27,000) | (35,000) | ||||
Interest expense | 0 | 0 | 0 | ||||
Bargain purchase gain | 0 | ||||||
Other expense | 0 | 0 | 0 | ||||
Income (loss) before income taxes | 60,000 | (27,000) | (35,000) | ||||
Total expenditures for property, plant and equipment | 0 | 0 | 0 | ||||
Intangible assets, net | 0 | 0 | 0 | 0 | |||
Total assets | (37,817,000) | (37,817,000) | 58,463,000 | (158,325,000) | |||
Eliminations | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 0 | 0 | 0 | ||||
Eliminations | Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 0 | 0 | 0 | ||||
Eliminations | Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 4,378,000 | 7,001,000 | 2,026,000 | ||||
Eliminations | Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 29,796,000 | 67,459,000 | 27,014,000 | ||||
Eliminations | Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 498,000 | 416,000 | 446,000 | ||||
Eliminations | All Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 2,231,000 | 5,541,000 | 2,081,000 | ||||
United States | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 516,276,000 | 654,506,000 | 471,745,000 | ||||
Long-lived assets | 526,584,000 | 526,584,000 | 571,555,000 | 515,904,000 | |||
Puerto Rico | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 96,630,000 | 1,022,558,000 | 203,087,000 | ||||
Long-lived assets | 0 | 0 | 32,604,000 | 6,923,000 | |||
Canada | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | 11,946,000 | 13,020,000 | 16,664,000 | ||||
Long-lived assets | $ 18,821,000 | 18,821,000 | 19,376,000 | 23,254,000 | |||
Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Total Revenue | $ 160,000 | $ 0 | $ 0 | ||||
[1] | Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||
[2] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | ||||||
[3] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. |
Quarterly Financial Data (una_3
Quarterly Financial Data (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | [2] | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||
Revenue | $ 67,637 | $ 113,417 | $ 181,820 | $ 262,138 | $ 278,198 | $ 384,043 | $ 533,594 | $ 494,249 | $ 625,012 | $ 1,690,084 | ||
Gross profit (loss) | (7,932) | 2,283 | 13,805 | 73,068 | 97,888 | 136,478 | 193,766 | 168,148 | 81,224 | 596,280 | ||
Net (loss) income | $ (60,779) | $ (35,709) | $ (10,889) | $ 28,333 | $ 68,207 | $ 69,512 | $ 42,700 | $ 55,546 | $ (79,044) | $ 235,965 | $ 58,964 | [1] |
Net (loss) income per share (basic) (in USD per share) | $ (1.35) | $ (0.79) | $ (0.24) | $ 0.63 | $ 1.52 | $ 1.55 | $ 0.95 | $ 1.24 | $ (1.76) | $ 5.27 | $ 1.42 | |
Net (loss) income per share (diluted) (in USD per share) | $ (1.35) | $ (0.79) | $ (0.24) | $ 0.63 | $ 1.51 | $ 1.54 | $ 0.95 | $ 1.24 | $ (1.76) | $ 5.24 | $ 1.42 | |
[1] | (a) Financial information includes the results attributable to Sturgeon for the entire period presented. See Note 4. | |||||||||||
[2] | Financial information has been recast to include results attributable to Sturgeon. See Note 4. |