Document and Entity Information
Document and Entity Information Document - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 20, 2023 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity Registrant Name | OCEANEERING INTERNATIONAL INC | |
City Area Code | 713 | |
Local Phone Number | 329-4500 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0000073756 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 100,725,457 | |
Entity Addresses [Line Items] | ||
Entity Address, Postal Zip Code | 77086 | |
Entity Address, City or Town | Houston, | |
Entity Address, State or Province | TX | |
Entity Address, Address Line One | 5875 North Sam Houston Parkway West, Suite 400 | |
Entity Listings [Line Items] | ||
Entity Common Stock, Shares Outstanding | 100,725,457 | |
Trading Symbol | OII | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Common stock, par value $0.25 per share | |
Entity Information [Line Items] | ||
Entity Incorporation, State or Country Code | DE | |
Entity File Number | 1-10945 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Tax Identification Number | 95-2628227 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 556,427 | $ 568,745 |
Accounts receivable, net | 391,745 | 296,554 |
Contract assets, net | 224,894 | 184,847 |
Inventory, net | 208,200 | 184,375 |
Other current assets | 77,324 | 62,539 |
Total Current Assets | 1,458,590 | 1,297,060 |
Property and equipment, at cost | 2,409,723 | 2,435,840 |
Property and equipment, at cost | 1,987,903 | 1,997,391 |
Net property and equipment | 421,820 | 438,449 |
Assets, Noncurrent, Other than Noncurrent Investments and Property, Plant and Equipment | 432,039 | 296,174 |
Goodwill | 34,020 | 34,339 |
Other Assets, Noncurrent | 100,991 | 122,224 |
Right-of-use operating lease assets | 297,028 | 139,611 |
Total Assets | 2,312,449 | 2,031,683 |
Current Liabilities: | ||
Accounts payable | 154,797 | 148,018 |
Accrued liabilities | 374,773 | 307,446 |
Long-Term Debt, Current Maturities | 131,630 | 0 |
Contract liabilities | 139,274 | 112,950 |
Total current liabilities | 800,474 | 568,414 |
Long-term debt | 568,471 | 700,973 |
Long-term operating lease liabilities | 270,565 | 151,842 |
Other long-term liabilities | 100,604 | 84,650 |
Commitments and contingencies | ||
Common Stock, Shares, Outstanding | 110,834,088 | 110,834,088 |
Common Stock, shares authorized (in shares) | 360,000,000 | 360,000,000 |
Common Stock, par value (in dollars per share) | $ 0.25 | $ 0.25 |
Equity: | ||
Additional paid-in capital | $ 129,808 | $ 155,858 |
Retained earnings | 1,380,728 | 1,327,854 |
Accumulated other comprehensive loss | (396,573) | (386,127) |
Oceaneering shareholders' equity | 566,272 | 519,741 |
Noncontrolling interest | 6,063 | 6,063 |
Total equity | 572,335 | 525,804 |
Total Liabilities and Equity | 2,312,449 | 2,031,683 |
Common Stock, Value, Issued | 27,709 | 27,709 |
Treasury Stock, Common, Value | $ 575,400 | $ 605,553 |
Treasury stock, shares (in shares) | 10,048,022 | 10,574,563 |
Inventory, net | $ 208,200 | $ 184,375 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common Stock, par value (in dollars per share) | $ 0.25 | $ 0.25 |
Common Stock, shares authorized (in shares) | 360,000,000 | 360,000,000 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Document Period End Date | Sep. 30, 2023 | |||
Revenue | $ 635,180 | $ 559,671 | $ 1,770,077 | $ 1,529,861 |
Cost of services and products | 520,483 | 463,917 | 1,476,735 | 1,312,586 |
Gross margin | 114,697 | 95,754 | 293,342 | 217,275 |
Selling, general and administrative expense | 56,768 | 48,879 | 159,464 | 148,589 |
Income (loss) from operations | 57,929 | 46,875 | 133,878 | 68,686 |
Interest income | 3,724 | 1,396 | 12,344 | 2,959 |
Interest expense | (9,802) | (9,552) | (28,602) | (28,614) |
Equity in income (losses) of unconsolidated affiliates | 498 | 496 | 1,616 | 1,108 |
Other income (expense), net | 968 | (1,222) | (4,800) | (195) |
Income (loss) before income taxes | 53,317 | 37,993 | 114,436 | 43,944 |
Provision (benefit) for income taxes | 23,505 | 19,690 | 61,562 | 41,131 |
Net Income (Loss) | $ 29,812 | $ 18,303 | $ 52,874 | $ 2,813 |
Weighted-average shares outstanding | ||||
Basic (in shares) | 100,780 | 100,259 | 100,667 | 100,160 |
Diluted (in shares) | 102,206 | 101,310 | 102,086 | 101,372 |
Earnings (loss) per share | ||||
Basic (in dollars per share) | $ 0.30 | $ 0.18 | $ 0.53 | $ 0.03 |
Diluted (in dollars per share) | $ 0.29 | $ 0.18 | $ 0.52 | $ 0.03 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss), before Reclassification and Tax | $ (11,483) | $ (20,889) | $ (10,306) | $ (42,044) |
OCI, Debt Securities, Available-for-Sale, Gain (Loss), before Adjustment, after Tax | (105) | 595 | $ (140) | (46) |
Document Period End Date | Sep. 30, 2023 | |||
Net income (loss) | 29,812 | 18,303 | $ 52,874 | 2,813 |
Other Comprehensive Income (Loss): | ||||
Total other comprehensive income (loss) | (11,588) | (20,294) | (10,446) | (42,090) |
Comprehensive income (loss) | 18,224 | (1,991) | $ 42,428 | $ (39,277) |
Currency Translation Adjustments [Member] | ||||
Other Comprehensive Income (Loss): | ||||
Total other comprehensive income (loss) | (11,588) | (20,294) | ||
Retained Earnings [Member] | ||||
Net income (loss) | $ 29,812 | $ 18,303 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash Flows from Operating Activities: | ||
Net income (loss) | $ 52,874 | $ 2,813 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 79,463 | 93,128 |
Deferred income tax provision (benefit) | (1,130) | 603 |
Net loss (gain) on sales of property and equipment | 65 | (2,401) |
Noncash compensation | 9,239 | 7,413 |
Other Noncash Income (Expense) | 942 | (64) |
Increase (Decrease) in Accounts Receivable | (135,237) | (130,023) |
Excluding the effects of acquisitions, increase (decrease) in cash from: | ||
Inventory | (23,825) | (14,079) |
Proceeds from Sale of Debt Securities, Available-for-sale | 6,229 | 0 |
Other operating assets | (2,841) | 4,522 |
Currency translation effect on working capital, excluding cash | (1,225) | (4,690) |
Current liabilities | 61,015 | 14,562 |
Increase (Decrease) in Other Noncurrent Liabilities | 17,800 | (10,367) |
Total adjustments to net income (loss) | 4,266 | (41,396) |
Net Cash Provided by (Used in) Operating Activities | 57,140 | (38,583) |
Cash Flows from Investing Activities: | ||
Proceeds from Sale of Debt Securities, Available-for-sale | 6,229 | 0 |
Purchases of property and equipment | (66,681) | (55,094) |
Distributions of capital from unconsolidated affiliates | 2,520 | 540 |
Dispositions of property and equipment | 13 | 6,422 |
Payments for (Proceeds from) Other Investing Activities | 1,346 | (3,000) |
Net Cash Provided by (Used in) Investing Activities | (56,573) | (51,132) |
Cash Flows from Financing Activities: | ||
Other financing activities | (5,136) | (1,862) |
Net Cash Provided by (Used in) Financing Activities | (5,136) | (1,862) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (7,749) | (19,030) |
Net Increase (Decrease) in Cash and Cash Equivalents | (12,318) | (110,607) |
Cash and Cash Equivalents—Beginning of Period | 568,745 | 538,114 |
Cash and Cash Equivalents—End of Period | $ 556,427 | $ 427,507 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Restricted Stock Units (RSUs) [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] Restricted Stock [Member] | Additional Paid-in Capital [Member] Restricted Stock Units (RSUs) [Member] | Currency Translation Adjustments [Member] | Oceaneering Shareholders' Equity [Member] | Oceaneering Shareholders' Equity [Member] Restricted Stock Units (RSUs) [Member] | Retained Earnings [Member] | Common Stock [Member] | Noncontrolling Interest [Member] | Treasury Stock, Common | Treasury Stock, Common Restricted Stock [Member] | Treasury Stock, Common Restricted Stock Units (RSUs) [Member] |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 511,024 | $ 173,608 | $ (366,458) | $ 504,961 | $ 1,301,913 | $ 27,709 | $ 6,063 | $ (631,811) | ||||||
Net income (loss) | (19,210) | (19,210) | (19,210) | |||||||||||
Other Comprehensive Income (Loss), Net of Tax | 9,871 | 9,871 | 9,871 | |||||||||||
Restricted Stock or Unit Expense | 370 | 370 | ||||||||||||
Restricted stock and restricted stock unit activity | $ (19,082) | $ 19,452 | ||||||||||||
Net income (loss) | 2,813 | |||||||||||||
Other Comprehensive Income (Loss), Net of Tax | (42,090) | |||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 502,055 | 148,060 | (356,587) | 495,992 | 1,282,703 | 27,709 | 6,063 | (605,893) | ||||||
Net income (loss) | 3,720 | |||||||||||||
Other Comprehensive Income (Loss), Net of Tax | (31,667) | |||||||||||||
Restricted stock and restricted stock unit activity | $ 2,620 | 2,479 | $ 2,620 | 141 | ||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 476,728 | 150,539 | (388,254) | 470,665 | 1,286,423 | 27,709 | 6,063 | (605,752) | ||||||
Net income (loss) | 18,303 | 18,303 | ||||||||||||
Other Comprehensive Income (Loss), Net of Tax | (20,294) | (20,294) | ||||||||||||
Restricted stock and restricted stock unit activity | 2,561 | $ (6,466) | 2,362 | 2,561 | $ 6,466 | 199 | ||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 477,298 | 152,901 | (408,548) | 471,235 | 1,304,726 | 27,709 | 6,063 | (605,553) | ||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 525,804 | 155,858 | (386,127) | 519,741 | 27,709 | 6,063 | (605,553) | |||||||
Net income (loss) | 4,060 | 4,060 | 4,060 | |||||||||||
Other Comprehensive Income (Loss), Net of Tax | (1,946) | (1,946) | ||||||||||||
Restricted stock and restricted stock unit activity | (3,884) | (26,963) | (1,612) | 3,884 | 25,351 | |||||||||
Net income (loss) | 52,874 | |||||||||||||
Other Comprehensive Income (Loss), Net of Tax | (10,446) | |||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 526,306 | 125,011 | (388,073) | 520,243 | 1,331,914 | 27,709 | 6,063 | (576,318) | ||||||
Net income (loss) | 19,002 | |||||||||||||
Other Comprehensive Income (Loss), Net of Tax | 3,088 | 3,088 | ||||||||||||
Restricted stock and restricted stock unit activity | $ (266) | 2,807 | 3,086 | $ 266 | 279 | |||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 551,482 | 127,552 | (384,985) | 545,419 | 1,350,916 | 27,709 | 6,063 | (575,773) | ||||||
Net income (loss) | 29,812 | 29,812 | ||||||||||||
Other Comprehensive Income (Loss), Net of Tax | (11,588) | (11,588) | ||||||||||||
Restricted stock and restricted stock unit activity | $ 2,629 | $ 2,256 | $ 2,629 | $ 373 | ||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 572,335 | $ 129,808 | $ (396,573) | $ 566,272 | $ 1,380,728 | $ 27,709 | $ 6,063 | $ (575,400) |
Allowance for Credit Loss State
Allowance for Credit Loss Statement - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||||
Financing Receivable, Allowance for Credit Loss, Writeoff | $ 1,800 | $ 1,500 | $ 4,700 | $ 4,000 | ||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 572,335 | $ 477,298 | 572,335 | $ 477,298 | $ 551,482 | $ 526,306 | $ 525,804 | $ 476,728 | $ 502,055 | $ 511,024 |
Financing Receivable, Allowance for Credit Loss | 600 | 600 | 300 | |||||||
Financing Receivable, Allowance for Credit Loss | $ 600 | $ 600 | $ 300 |
Accounting Policies
Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Allowance for Credit Losses [Text Block] | Allowances for Credit Loss—Financial Assets Measured at Amortized Costs. We identify our allowance for credit losses based on future expected losses when accounts receivable, contract assets or held-to-maturity loan receivables are created rather than when losses are probable. We use the loss-rate method in developing the allowance for credit losses, which involves identifying pools of assets with similar risk characteristics, reviewing historical losses within the last three years and consideration of reasonable supportable forecasts of economic indicators. Changes in estimates, developing trends and other new information could have material effects on future evaluations. We monitor the credit quality of our accounts receivable and other financing receivable amounts by frequent customer interaction, following economic and industry trends and reviewing specific customer data. Our other receivable amounts include contract assets and held-to-maturity loans receivable, which we consider to have a low risk of loss. We consider macroeconomic conditions when assessing our credit risk exposure, including any impacts from the conflicts in Russia and Ukraine and in the Middle East and volatility in the financial services industry and the oil and natural gas markets, and the effects thereof on our customers and various counterparties. We have determined the impacts to our credit loss expenses are de minimis for the three- and nine-month periods ended September 30, 2023 and 2022. As of September 30, 2023, our allowance for credit losses was $2.1 million for accounts receivable and $0.6 million for other receivables. As of December 31, 2022, our allowance for credit losses was $2.0 million for accounts receivable and $0.3 million for other receivables. Our allowance for credit losses increased in the nine months ended September 30, 2023, as compared to the same period in the prior year, primarily due to corresponding increases in revenue and accounts receivable. Financial assets are written off when deemed uncollectible and there is no reasonable expectation of recovering the contractual cash flows. During the three- and nine-month periods ended September 30, 2023, we did not write off any financial assets. In the three months ended September 30, 2023, we received cash proceeds of $1.8 million as partial recovery of a previously written off financial asset. Accounts receivable are considered to be past due after the end of the contractual terms agreed to with the customer. There were no material past due amounts that we consider uncollectible for our financial assets as of September 30, 2023. We generally do not require collateral from our customers. |
Summary Of Major Accounting Pol
Summary Of Major Accounting Policies | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Accounting Policies [Abstract] | ||
Allowance for Credit Losses [Text Block] | Allowances for Credit Loss—Financial Assets Measured at Amortized Costs. We identify our allowance for credit losses based on future expected losses when accounts receivable, contract assets or held-to-maturity loan receivables are created rather than when losses are probable. We use the loss-rate method in developing the allowance for credit losses, which involves identifying pools of assets with similar risk characteristics, reviewing historical losses within the last three years and consideration of reasonable supportable forecasts of economic indicators. Changes in estimates, developing trends and other new information could have material effects on future evaluations. We monitor the credit quality of our accounts receivable and other financing receivable amounts by frequent customer interaction, following economic and industry trends and reviewing specific customer data. Our other receivable amounts include contract assets and held-to-maturity loans receivable, which we consider to have a low risk of loss. We consider macroeconomic conditions when assessing our credit risk exposure, including any impacts from the conflicts in Russia and Ukraine and in the Middle East and volatility in the financial services industry and the oil and natural gas markets, and the effects thereof on our customers and various counterparties. We have determined the impacts to our credit loss expenses are de minimis for the three- and nine-month periods ended September 30, 2023 and 2022. As of September 30, 2023, our allowance for credit losses was $2.1 million for accounts receivable and $0.6 million for other receivables. As of December 31, 2022, our allowance for credit losses was $2.0 million for accounts receivable and $0.3 million for other receivables. Our allowance for credit losses increased in the nine months ended September 30, 2023, as compared to the same period in the prior year, primarily due to corresponding increases in revenue and accounts receivable. Financial assets are written off when deemed uncollectible and there is no reasonable expectation of recovering the contractual cash flows. During the three- and nine-month periods ended September 30, 2023, we did not write off any financial assets. In the three months ended September 30, 2023, we received cash proceeds of $1.8 million as partial recovery of a previously written off financial asset. Accounts receivable are considered to be past due after the end of the contractual terms agreed to with the customer. There were no material past due amounts that we consider uncollectible for our financial assets as of September 30, 2023. We generally do not require collateral from our customers. | |
Property, Plant, and Equipment and Intangible Assets | Property and Equipment, Long-Lived Intangible Assets and Right-of-Use Operating Lease Assets. We provide for depreciation of property and equipment on the straight-line method over estimated useful lives. We charge the costs of repair and maintenance of property and equipment to operations as incurred, and we capitalize the costs of improvements that extend asset lives or functionality. Upon the disposition of property and equipment, the related cost and accumulated depreciation accounts are relieved, and any resulting gain or loss is recognized as income. We capitalize interest on assets where the construction period is anticipated to be more than three months. We did not capitalize interest in the three- and nine-month periods ended September 30, 2023 and 2022. We do not allocate general administrative costs to capital projects. Long-lived intangible assets, primarily acquired in connection with business combinations, include trade names, intellectual property and customer relationships and are being amortized over their respective estimated useful lives. Our management periodically, and upon the occurrence of a triggering event, reviews the realizability of our property and equipment, long-lived intangible assets and right-of-use operating lease assets to determine whether any events or changes in circumstances indicate that the carrying amounts of the assets may not be recoverable. For long-lived assets to be held and used, we base our evaluation on impairment indicators such as the nature of the assets, the future economic benefits of the assets, any historical or future profitability measurements and other external market conditions or factors that may be present. If such impairment indicators are present or other factors exist that indicate that the carrying amount of an asset may not be recoverable, we determine whether an impairment has occurred through the use of an undiscounted cash flows analysis of the asset at the lowest level for which identifiable cash flows exist. If an impairment has occurred, we recognize a loss for the difference between the carrying amount and the fair value of the asset. We did not identify indicators of impairment for property and equipment, long-lived intangible assets or right-of-use operating lease assets for the three- and nine-month periods ended September 30, 2023 and 2022. For assets held for sale or disposal, the fair value of the asset is measured using fair market value less estimated costs to sell. Assets are classified as held for sale when we have a plan for disposal of certain assets and those assets meet the held for sale criteria. For additional information regarding right-of-use operating lease assets, see “ Leases ” below. | |
Revenue | REVENUE Revenue by Category The following tables present revenue disaggregated by business segment, geographical region, and timing of transfer of goods or services. Three Months Ended Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Sep 30, 2023 Sep 30, 2022 Business Segment: Energy Subsea Robotics $ 197,343 $ 169,422 $ 553,016 $ 454,534 Manufactured Products 122,877 94,039 360,698 282,187 Offshore Projects Group 150,273 152,987 385,127 366,841 Integrity Management & Digital Solutions 66,056 58,465 189,305 174,473 Total Energy 536,549 474,913 1,488,146 1,278,035 Aerospace and Defense Technologies 98,631 84,758 281,931 251,826 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Geographic Operating Areas: Foreign: Africa $ 84,908 $ 78,955 $ 246,883 $ 210,274 Asia and Australia 65,887 62,097 176,471 161,202 United Kingdom 55,375 45,234 150,008 130,122 Brazil 55,740 36,638 144,348 104,940 Norway 45,410 41,784 138,858 134,972 Other 62,588 25,085 131,609 69,253 Total Foreign 369,908 289,793 988,177 810,763 United States 265,272 269,878 781,900 719,098 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Timing of Transfer of Goods or Services: Revenue recognized over time $ 600,419 $ 525,967 $ 1,653,871 $ 1,427,692 Revenue recognized at a point in time 34,761 33,704 116,206 102,169 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Contract Balances Our contracts with milestone payments have, in the aggregate, a significant impact on the contract asset and the contract liability balances. Milestones are contractually agreed with customers and relate to significant events across the contract lives. Some milestones are achieved before revenue is recognized, resulting in a contract liability, while other milestones are achieved after revenue is recognized, resulting in a contract asset. The following table provides information about contract assets and contract liabilities from contracts with customers. Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Total contract assets, beginning of period $ 184,847 $ 164,847 Revenue accrued 1,689,019 1,456,244 Amounts billed (1,648,972) (1,448,147) Total contract assets, end of period $ 224,894 $ 172,944 Total contract liabilities, beginning of period $ 112,950 $ 88,175 Deferrals of milestone payments 107,240 65,075 Recognition of revenue for goods and services (80,916) (73,066) Total contract liabilities, end of period $ 139,274 $ 80,184 Performance Obligations As of September 30, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations that were unsatisfied (or partially unsatisfied) was $449 million. In arriving at this value, we have used two expedients available to us and are not disclosing amounts in relation to performance obligations: (1) that are part of contracts with an original expected duration of one year or less; or (2) on contracts where we recognize revenue in line with the billing. Of this amount, we expect to recognize revenue of $324 million over the next 12 months, $124 million within the next 24 months and we expect to recognize substantially all of the remaining balance of $2.2 million within the next 36 months. In our Manufactured Products and ADTech segments, we have long-term contracts that extend beyond one year, and these make up the majority of the performance obligations balance reported as of September 30, 2023. We also have shorter-term product contracts with an expected original duration of one year or less that have been excluded. Where appropriate, we have made estimates within the transaction price of elements of variable consideration within the contracts and constrained those amounts to a level where we consider it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The amount of revenue recognized in the three- and nine-month periods ended September 30, 2023 and 2022, that was associated with performance obligations completed or partially completed in prior periods was not significant. As of September 30, 2023, there were no significant outstanding liability balances for refunds or returns due to the nature of our contracts and the services and products we provide. Our warranties are limited to assurance warranties that are of a standard length and are not considered to be material rights . The majority of our contracts consist of a single performance obligation. When there are multiple obligations, we look for observable evidence of stand-alone selling prices on which to base the allocation. This involves judgment as to the appropriateness of the observable evidence relating to the facts and circumstances of the contract. If we do not have observable evidence, we estimate stand-alone selling prices by taking a cost-plus-margin approach, using typical margins from the type of product or service, customer and regional geography involved. Costs to Obtain or Fulfill a Contract In line with the available practical expedient, we capitalize incremental costs to obtain a contract that would not have been incurred if the contract had not been obtained when those amounts are significant and the contract is expected at inception to exceed one year in duration. Our costs to obtain a contract primarily consist of bid and proposal costs, which are generally expensed in the period when incurred. There were no balances or amortization of costs to obtain a contract in the current reporting periods. Costs to fulfill a contract primarily consist of certain mobilization costs incurred to provide services or products to our customers. These costs are deferred and amortized over the period of contract performance. The closing balance of costs to fulfill a contract was $8.1 million and $10 million as of September 30, 2023 and December 31, 2022, respectively. For the three- and nine-month periods ended September 30, 2023, we recorded amortization expense | Revenue Recognition. All our revenue is realized through contracts with customers. We recognize our revenue according to the contract type. On a daily basis, we recognize service revenue over time for contracts that provide for specific time, material and equipment charges, which we bill periodically, ranging from weekly to monthly. We use the input method to recognize revenue, because each day of service provided represents value to the customer. The performance obligations in these contracts are satisfied, and revenue is recognized, as the work is performed. When appropriate, we apply the practical expedient to recognize revenue for the amount invoiced when the invoice corresponds directly to the value of our performance to date. We account for significant fixed-price contracts, mainly relating to our Manufactured Products segment, and to a lesser extent in our Offshore Projects Group (“OPG”) and Aerospace and Defense Technologies (“ADTech”) segments, by recognizing revenue over time using the cost-to-cost input method. A performance obligation is satisfied as we create a product on behalf of the customer over the life of the contract. The remainder of our revenue is recognized at the point in time when control transfers to the customer, thus satisfying the performance obligation. We have elected to recognize the cost for freight and shipping as an expense when incurred. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, and that are collected by us from customers, are excluded from revenue. In our service-based business lines, we principally charge on a dayrate basis for services provided. In our product-based business lines, predominantly in our Manufactured Products segment, we recognize revenue and profit using the percentage-of-completion method and exclude uninstalled materials and significant inefficiencies from the measure of progress. We apply judgment in the determination and allocation of transaction price to performance obligations, and the subsequent recognition of revenue, based on the facts and circumstances of each contract. We routinely review estimates related to our contracts and, when required, reflect revisions to profitability in earnings immediately. If an element of variable consideration has the potential for a significant future reversal of revenue, we will constrain that variable consideration to a level intended to remove the potential future reversal. If a current estimate of total contract cost indicates an ultimate loss on a contract, we recognize the projected loss in full when we determine it. During the three- and nine-month periods ended September 30, 2023, we recognized projected losses of $1.8 million and $4.7 million, respectively, for entertainment business contracts in our Manufactured Products segment. During the three- and nine-month periods ended September 30, 2022, we recognized projected losses of $1.5 million and $4.0 million, respectively, for contracts in our Manufactured Products segment. There could be significant adjustments to overall contract costs in the future, due to changes in facts and circumstances. In general, our payment terms consist of those services billed regularly as provided and those products delivered at a point in time, which are invoiced after the performance obligation is satisfied. Our product and service contracts with milestone payments due at agreed progress points during the contract are invoiced when those milestones are reached, which may differ from the timing of revenue recognition. Our payment terms generally do not provide financing of contracts to customers, nor do we receive financing from customers as a result of these terms. See Note 3—“Revenue” for more information on our revenue from contracts with customers. |
Revenue
Revenue | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | ||
Revenue | REVENUE Revenue by Category The following tables present revenue disaggregated by business segment, geographical region, and timing of transfer of goods or services. Three Months Ended Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Sep 30, 2023 Sep 30, 2022 Business Segment: Energy Subsea Robotics $ 197,343 $ 169,422 $ 553,016 $ 454,534 Manufactured Products 122,877 94,039 360,698 282,187 Offshore Projects Group 150,273 152,987 385,127 366,841 Integrity Management & Digital Solutions 66,056 58,465 189,305 174,473 Total Energy 536,549 474,913 1,488,146 1,278,035 Aerospace and Defense Technologies 98,631 84,758 281,931 251,826 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Geographic Operating Areas: Foreign: Africa $ 84,908 $ 78,955 $ 246,883 $ 210,274 Asia and Australia 65,887 62,097 176,471 161,202 United Kingdom 55,375 45,234 150,008 130,122 Brazil 55,740 36,638 144,348 104,940 Norway 45,410 41,784 138,858 134,972 Other 62,588 25,085 131,609 69,253 Total Foreign 369,908 289,793 988,177 810,763 United States 265,272 269,878 781,900 719,098 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Timing of Transfer of Goods or Services: Revenue recognized over time $ 600,419 $ 525,967 $ 1,653,871 $ 1,427,692 Revenue recognized at a point in time 34,761 33,704 116,206 102,169 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Contract Balances Our contracts with milestone payments have, in the aggregate, a significant impact on the contract asset and the contract liability balances. Milestones are contractually agreed with customers and relate to significant events across the contract lives. Some milestones are achieved before revenue is recognized, resulting in a contract liability, while other milestones are achieved after revenue is recognized, resulting in a contract asset. The following table provides information about contract assets and contract liabilities from contracts with customers. Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Total contract assets, beginning of period $ 184,847 $ 164,847 Revenue accrued 1,689,019 1,456,244 Amounts billed (1,648,972) (1,448,147) Total contract assets, end of period $ 224,894 $ 172,944 Total contract liabilities, beginning of period $ 112,950 $ 88,175 Deferrals of milestone payments 107,240 65,075 Recognition of revenue for goods and services (80,916) (73,066) Total contract liabilities, end of period $ 139,274 $ 80,184 Performance Obligations As of September 30, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations that were unsatisfied (or partially unsatisfied) was $449 million. In arriving at this value, we have used two expedients available to us and are not disclosing amounts in relation to performance obligations: (1) that are part of contracts with an original expected duration of one year or less; or (2) on contracts where we recognize revenue in line with the billing. Of this amount, we expect to recognize revenue of $324 million over the next 12 months, $124 million within the next 24 months and we expect to recognize substantially all of the remaining balance of $2.2 million within the next 36 months. In our Manufactured Products and ADTech segments, we have long-term contracts that extend beyond one year, and these make up the majority of the performance obligations balance reported as of September 30, 2023. We also have shorter-term product contracts with an expected original duration of one year or less that have been excluded. Where appropriate, we have made estimates within the transaction price of elements of variable consideration within the contracts and constrained those amounts to a level where we consider it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The amount of revenue recognized in the three- and nine-month periods ended September 30, 2023 and 2022, that was associated with performance obligations completed or partially completed in prior periods was not significant. As of September 30, 2023, there were no significant outstanding liability balances for refunds or returns due to the nature of our contracts and the services and products we provide. Our warranties are limited to assurance warranties that are of a standard length and are not considered to be material rights . The majority of our contracts consist of a single performance obligation. When there are multiple obligations, we look for observable evidence of stand-alone selling prices on which to base the allocation. This involves judgment as to the appropriateness of the observable evidence relating to the facts and circumstances of the contract. If we do not have observable evidence, we estimate stand-alone selling prices by taking a cost-plus-margin approach, using typical margins from the type of product or service, customer and regional geography involved. Costs to Obtain or Fulfill a Contract In line with the available practical expedient, we capitalize incremental costs to obtain a contract that would not have been incurred if the contract had not been obtained when those amounts are significant and the contract is expected at inception to exceed one year in duration. Our costs to obtain a contract primarily consist of bid and proposal costs, which are generally expensed in the period when incurred. There were no balances or amortization of costs to obtain a contract in the current reporting periods. Costs to fulfill a contract primarily consist of certain mobilization costs incurred to provide services or products to our customers. These costs are deferred and amortized over the period of contract performance. The closing balance of costs to fulfill a contract was $8.1 million and $10 million as of September 30, 2023 and December 31, 2022, respectively. For the three- and nine-month periods ended September 30, 2023, we recorded amortization expense | Revenue Recognition. All our revenue is realized through contracts with customers. We recognize our revenue according to the contract type. On a daily basis, we recognize service revenue over time for contracts that provide for specific time, material and equipment charges, which we bill periodically, ranging from weekly to monthly. We use the input method to recognize revenue, because each day of service provided represents value to the customer. The performance obligations in these contracts are satisfied, and revenue is recognized, as the work is performed. When appropriate, we apply the practical expedient to recognize revenue for the amount invoiced when the invoice corresponds directly to the value of our performance to date. We account for significant fixed-price contracts, mainly relating to our Manufactured Products segment, and to a lesser extent in our Offshore Projects Group (“OPG”) and Aerospace and Defense Technologies (“ADTech”) segments, by recognizing revenue over time using the cost-to-cost input method. A performance obligation is satisfied as we create a product on behalf of the customer over the life of the contract. The remainder of our revenue is recognized at the point in time when control transfers to the customer, thus satisfying the performance obligation. We have elected to recognize the cost for freight and shipping as an expense when incurred. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, and that are collected by us from customers, are excluded from revenue. In our service-based business lines, we principally charge on a dayrate basis for services provided. In our product-based business lines, predominantly in our Manufactured Products segment, we recognize revenue and profit using the percentage-of-completion method and exclude uninstalled materials and significant inefficiencies from the measure of progress. We apply judgment in the determination and allocation of transaction price to performance obligations, and the subsequent recognition of revenue, based on the facts and circumstances of each contract. We routinely review estimates related to our contracts and, when required, reflect revisions to profitability in earnings immediately. If an element of variable consideration has the potential for a significant future reversal of revenue, we will constrain that variable consideration to a level intended to remove the potential future reversal. If a current estimate of total contract cost indicates an ultimate loss on a contract, we recognize the projected loss in full when we determine it. During the three- and nine-month periods ended September 30, 2023, we recognized projected losses of $1.8 million and $4.7 million, respectively, for entertainment business contracts in our Manufactured Products segment. During the three- and nine-month periods ended September 30, 2022, we recognized projected losses of $1.5 million and $4.0 million, respectively, for contracts in our Manufactured Products segment. There could be significant adjustments to overall contract costs in the future, due to changes in facts and circumstances. In general, our payment terms consist of those services billed regularly as provided and those products delivered at a point in time, which are invoiced after the performance obligation is satisfied. Our product and service contracts with milestone payments due at agreed progress points during the contract are invoiced when those milestones are reached, which may differ from the timing of revenue recognition. Our payment terms generally do not provide financing of contracts to customers, nor do we receive financing from customers as a result of these terms. See Note 3—“Revenue” for more information on our revenue from contracts with customers. |
Selected Balance Sheet Informat
Selected Balance Sheet Information | 9 Months Ended |
Sep. 30, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Selected Balance Sheet Information | SELECTED BALANCE SHEET INFORMATION The following is information regarding selected balance sheet accounts: (in thousands) Sep 30, 2023 Dec 31, 2022 Inventory: Manufactured Products $ 97,422 $ 91,896 Subsea Robotics 94,323 81,701 Other inventory 16,455 10,778 Total $ 208,200 $ 184,375 Other current assets: Prepaid expenses $ 77,324 $ 56,170 Angolan bonds — 6,369 Total $ 77,324 $ 62,539 Accrued liabilities: Payroll and related costs $ 151,391 $ 122,380 Accrued job costs 59,220 57,310 Income taxes payable 43,072 44,966 Current operating lease liability 58,995 19,580 Accrued interest 10,122 10,180 Other 51,973 53,030 Total $ 374,773 $ 307,446 |
Debt
Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt Disclosure | DEBT Long-term debt consisted of the following: (in thousands) Sep 30, 2023 Dec 31, 2022 4.650% Senior Notes due 2024 $ 400,000 $ 400,000 6.000% Senior Notes due 2028 300,000 300,000 Interest rate swap settlements 2,668 4,371 Unamortized debt issuance costs (2,567) (3,398) Total debt 700,101 700,973 Less current portion of long-term debt 131,630 — Total long-term debt $ 568,471 $ 700,973 In November 2014, we completed the public offering of $500 million aggregate principal amount of 4.650% Senior Notes due 2024 (the “2024 Senior Notes”). We pay interest on the 2024 Senior Notes on May 15 and November 15 of each year. The 2024 Senior Notes are scheduled to mature on November 15, 2024. In the year ended December 31, 2021, we repurchased $100 million in aggregate principal amount of the 2024 Senior Notes in open-market transactions. On October 2, 2023, we repurchased $312 million principal amount of the 2024 Senior Notes at par plus accrued and unpaid interest of $5.5 million for approximately $318 million in the Tender Offer (as defined herein). On October 2, 2023, we delivered a notice to the holders of the 2024 Senior Notes that we have elected to redeem all of the remaining $88 million principal amount outstanding of the 2024 Senior Notes on November 2, 2023 (the “Redemption Date”), pursuant to our optional redemption right under the indenture governing the 2024 Senior Notes. The redemption price will be equal to 100% of the principal amount of the 2024 Senior Notes plus accrued and unpaid interest up to but not including the Redemption Date plus a “make-whole premium.” See Note 10—“Subsequent Events” for additional information on the Tender Offer (as defined herein) and the redemption of the 2024 Senior Notes. In February 2018, we completed the public offering of $300 million aggregate principal amount of 6.000% Senior Notes due 2028 (the “Existing 2028 Senior Notes”). We pay interest on the Existing 2028 Senior Notes on February 1 and August 1 of each year. The Existing 2028 Senior Notes are scheduled to mature on February 1, 2028. We used the net proceeds from the Existing 2028 Senior Notes to repay indebtedness. We may redeem some or all of the Existing 2028 Senior Notes at specified redemption prices. In the three- and nine-month periods ended September 30, 2023 and 2022, we did not repurchase any of the 2024 Senior Notes or the Existing 2028 Senior Notes. On October 2, 2023, we completed a private placement of $200 million aggregate principal amount of additional 2028 Senior Notes (the “New 2028 Senior Notes” and, together with the Existing 2028 Senior Notes, the “2028 Senior Notes”) to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to non-U.S. persons outside the United States pursuant to Regulation S under the Securities Act. The New 2028 Senior Notes constitute an additional issuance of the Existing 2028 Senior Notes and form a single series with such notes. We will pay interest on the New 2028 Senior Notes on February 1 and August 1 of each year, commencing on February 1, 2024. The New 2028 Senior Notes are scheduled to mature on February 1, 2028. We may redeem some or all of the New 2028 Senior Notes at specified redemption prices. We received proceeds from the offering of the New 2028 Senior Notes of approximately $180 million, after initial purchasers’ discounts. We used the net proceeds from the New 2028 Senior Notes, together with cash on hand, to fund the Tender Offer (as defined herein). As a result of these transactions, we reclassified approximately $132 million from long-term debt to the current portion of long-term debt as of September 30, 2023. The current portion of long-term debt represents the amount of the 2024 Senior Notes repurchased subsequent to period end utilizing cash on hand as of September 30, 2023, with the remainder repurchased using proceeds from the subsequent issuance of the New 2028 Senior Notes. On April 8, 2022, we entered into a senior secured revolving credit agreement with a group of banks (as amended by an Agreement and Amendment No. 1 to Credit Agreement, dated September 20, 2023, the “Revolving Credit Agreement”). The commitments under the Revolving Credit Agreement are scheduled to mature on April 8, 2027, or 91 days prior to the maturity date of the 2024 Senior Notes if either we have not prepaid such notes by such date or our Liquidity (as defined in the Revolving Credit Agreement) is less than $175 million on such date. The Revolving Credit Agreement includes a $215 million revolving credit facility (the “Revolving Credit Facility”) with a $100 million sublimit for the issuance of letters of credit. Our obligations under the Revolving Credit Agreement are guaranteed by certain of our wholly owned subsidiaries and are secured by first priority liens on certain of our assets and those of the guarantors, including, among other things, intellectual property, inventory, accounts receivable, equipment and equity interests in subsidiaries. As of September 30, 2023, we had no borrowings outstanding under the Revolving Credit Facility and no letters of credit outstanding under the Revolving Credit Agreement. We may borrow under the Revolving Credit Facility at either (1) a base rate, determined as the greatest of (A) the prime rate of Wells Fargo Bank, National Association, (B) the federal funds effective rate plus 1 ⁄ 2 of 1% and (C) Adjusted Term SOFR (as defined in the Revolving Credit Agreement) for a one-month tenor plus 1%, in each case plus the applicable margin, which varies from 1.25% to 2.25% depending on our Consolidated Net Leverage Ratio (as defined in the Revolving Credit Agreement), or (2) Adjusted Term SOFR plus the applicable margin, which varies from 2.25% to 3.25% depending on our Consolidated Net Leverage Ratio. We will also pay a facility fee based on the amount of the underlying commitment that is being utilized, which fee varies from 0.300% to 0.375%, with the higher rate owed when we use the Revolving Credit Facility less. The Revolving Credit Agreement includes financial covenants that are tested on a quarterly basis, based on the rolling four-quarter period that ends on the last day of each fiscal quarter. The maximum permitted Consolidated Net Leverage Ratio is initially 4.00 to 1.00 and will decrease to 3.25 to 1.00 during the term of the Revolving Credit Facility. As of September 30, 2023, the maximum permitted Consolidated Net Leverage Ratio was 3.50 to 1.00. The minimum Consolidated Interest Coverage Ratio (as defined in the Revolving Credit Agreement) is 3.00 to 1.00 throughout the term of the Revolving Credit Facility. Availability under the Revolving Credit Facility may be limited by these financial covenants and the requirement that any borrowing under the Revolving Credit Facility not require the granting of any liens to secure any senior notes issued by us (“Senior Notes”). The indentures governing the 2024 Senior Notes and the 2028 Senior Notes generally limit our ability to incur secured debt for borrowed money (such as borrowings under the Revolving Credit Facility) to 15% of our Consolidated Net Tangible Assets (as defined in such indentures). As of September 30, 2023, the full $215 million was available to borrow under the Revolving Credit Facility. In addition, the Revolving Credit Agreement contains various covenants that we believe are customary for agreements of this nature, including, but not limited to, restrictions on our ability and the ability of each of our subsidiaries to incur debt, grant liens, make certain investments, make distributions, merge or consolidate, sell assets and enter into certain restrictive agreements. As of September 30, 2023, we were in compliance with all the covenants set forth in the Revolving Credit Agreement. We had two interest rate swaps in place relating to a total of $200 million of the 2024 Senior Notes for the period to November 2024. The agreements swapped the fixed interest rate of 4.65% on $100 million of the 2024 Senior Notes to the floating rate of one-month London Interbank Offered Rate (“LIBOR”) plus 2.426% and on another $100 million to one-month LIBOR plus 2.823%. In March 2020, we settled both interest rate swaps with the counterparty for cash proceeds of $13 million. The settlement resulted in a $13 million increase to our long-term debt balance that is being amortized to interest expense through the maturity date for the 2024 Senior Notes using the effective interest method. As a result, we amortized $0.6 million and $1.7 million to interest expense for the three- and nine-month periods ended September 30, 2023, respectively and $0.5 million and $1.6 million to interest expense for the three- and nine-month periods ended September 30, 2022, respectively. We incurred $6.9 million and $4.2 million of issuance costs related to the 2024 Senior Notes and the Existing 2028 Senior Notes, respectively, and $4.0 million of loan costs related to the Revolving Credit Agreement. These costs, net of accumulated amortization, are included as a reduction of long-term debt on our Consolidated Balance Sheets, as they pertain to the Senior Notes, and in other noncurrent assets, as they pertain to the Revolving Credit Agreement. We are amortizing these costs to interest expense through the respective maturity dates for the Senior Notes and the Revolving Credit Agreement using the straight-line method, which approximates the effective interest rate method. As a result, we amortized $0.5 million and $1.6 million to interest expense for the three- and nine-month periods ended September 30, 2023, respectively, and $0.6 million and $1.6 million to interest expense for the three- and nine-month periods ended September 30, 2022, respectively. |
Commitments And Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies Disclosure | COMMITMENTS AND CONTINGENCIES Litigation. In the ordinary course of business, we are, from time to time, involved in litigation or subject to disputes, governmental investigations or claims related to our business activities, including, among other things: • performance- or warranty-related matters under our customer and supplier contracts and other business arrangements; and • workers’ compensation claims, Jones Act claims, occupational hazard claims, premises liability claims and other claims. Although we cannot predict the ultimate outcome of these matters, we believe that our ultimate liability, if any, that may result from these other actions and claims will not have a material adverse effect on our consolidated financial condition, results of operations or cash flows. However, because of the inherent uncertainty of litigation and other dispute resolution proceedings and, in some cases, the availability and amount of potentially available insurance, we can provide no assurance that the resolution of any particular claim or proceeding to which we are a party will not have a material effect on our consolidated financial condition, results of operations or cash flows for the fiscal period in which that resolution occurs. Financial Instruments and Risk Concentration. In the normal course of business, we manage risks associated with foreign exchange rates and interest rates through a variety of strategies, including the use of hedging transactions. As a matter of policy, we do not use derivative instruments unless we have an underlying exposure. Other financial instruments that potentially subject us to concentrations of credit risk are principally cash and cash equivalents and accounts receivable. The carrying values of cash and cash equivalents approximate their fair values due to the short-term maturity of the underlying instruments. Accounts receivable are generated from a broad group of customers, primarily from the energy industry and the U.S. government, which are major sources of our revenue. Due to their short-term nature, carrying values of our accounts receivable and accounts payable approximate fair market values. We estimated the aggregate fair market value of the Senior Notes to be $678 million as of September 30, 2023, based on quoted prices. Since the market for the Senior Notes is not an active market, the fair value of the Senior Notes is classified within Level 2 in the fair value hierarchy under U.S. GAAP (inputs other than quoted prices in active markets for similar assets and liabilities that are observable or can be corroborated by observable market data for substantially the full terms for the assets or liabilities). Foreign currency gains (losses) related to the Angolan kwanza of $0.8 million and $(5.2) million in the three- and nine-month periods ended September 30, 2023, respectively, and $(1.4) million and $0.7 million in the three- and nine-month periods ended September 30, 2022, respectively, were primarily related to increasing (declining) exchange rates for the Angolan kwanza relative to the U.S. dollar. We recorded foreign currency transaction gains (losses) related to the Angolan kwanza as a component of other income (expense), net in our Consolidated Statements of Operations. Any conversion of cash balances from kwanza to U.S. dollars is controlled by the central bank in Angola. As of September 30, 2023 and December 31, 2022, we had the equivalent of approximately $13 million and $5.6 million, respectively, of kwanza cash balances in Angola reflected on our Consolidated Balance Sheets. To mitigate our currency exposure risk in Angola, we used kwanza to purchase equivalent Angolan central bank (Banco Nacional de Angola) bonds. The bonds were denominated as U.S. dollar equivalents, so that, upon payment of semi-annual interest and principal upon maturity, payment was made in kwanza, equivalent to the respective U.S. dollars at the then-current exchange rate. Our remaining Angolan bonds matured on September 1, 2023, and we received cash proceeds of $6.2 million. As of December 31, 2022, we had $6.2 million of U.S. dollar equivalent Angolan bonds. These bonds were classified as available-for-sale securities; accordingly, they were recorded at fair market value in other current assets in our Consolidated Balance Sheets as of December 31, 2022. We did not sell any of our Angolan bonds in the three- and nine-month periods ended September 30, 2022. We estimated the fair market value of the Angolan bonds to be $6.4 million as of December 31, 2022, using quoted market prices. Since the market for the Angolan bonds was not an active market, the fair value of the Angolan bonds was classified within Level 2 in the fair value hierarchy under U.S. GAAP. As of December 31, 2022, we had $0.1 million in unrealized loss, net of tax, related to these bonds as a component of accumulated other comprehensive loss in our Consolidated Balance Sheets. In the three-month period ended June 30, 2021, we were notified by a customer in our Manufactured Products segment that it was suspending a contract that was substantially complete. Specific to this contract, we billed and received $19 million of accounts receivable during the first nine months of 2023. As of September 30, 2023, we had outstanding contract assets of approximately $20 million for the contract and $3.6 million in contract liabilities. As of December 31, 2022, we had outstanding contract assets of approximately $19 million for the contract and contract liabilities of $0.6 million prepaid for storage of components. We are in discussions with the customer concerning the timing of remaining payments. We continue to believe that we will realize these contract assets at their book values, although we can provide no assurance as to the timing of receipt of the remaining payments. |
Earnings (Loss) Per Share, Stoc
Earnings (Loss) Per Share, Stock-Based Compensation and Share Repurchase Plan | 9 Months Ended |
Sep. 30, 2023 | |
Shareholders' Equity, Earnings Per Share And Stock-Based Compensation [Abstract] | |
Shareholders' Equity and Share-based Payments | EARNINGS (LOSS) PER SHARE, SHARE-BASED COMPENSATION AND SHARE REPURCHASE PLAN Earnings (Loss) per Share. For each period presented, the only difference between our calculated weighted-average basic and diluted number of shares outstanding is the effect of outstanding restricted stock units. In periods where we have a net loss, the effect of our outstanding restricted stock units is anti-dilutive, and therefore does not increase our diluted shares outstanding. For each period presented, our net income (loss) allocable to both common shareholders and diluted common shareholders is the same as our net income (loss) in our consolidated statements of operations. Share-Based Compensation. Annually, the Compensation Committee grants restricted units of our common stock to certain of our key executives and employees and restricted common stock to our nonemployee directors. The restricted stock units granted to our key executives and key employees generally vest in full on the third anniversary of the award date, conditional on continued employment through such vesting date. The restricted stock unit grants can vest pro rata over three years, provided the individual meets certain age and years-of-service requirements. The grants of restricted stock to our nonemployee directors generally vest in full on the first anniversary of the award date, conditional upon continued service as a director, except for the 2023 grant to one director who retired from our board of directors as of the date of our annual meeting of shareholders in May 2023, which restricted stock grant vested on that date. Each grantee of shares of restricted stock is deemed to be the record owner of those shares during the restriction period, with the right to vote and receive any dividends on those shares. The restricted stock units outstanding have no voting or dividend rights. For each of the restricted stock units granted in 2021 through September 30, 2023, at the earlier of three years after grant or at termination of employment or service, the grantee will be issued one share of our common stock for each unit vested. As of September 30, 2023 and December 31, 2022, respective totals of 2,327,970 and 2,535,807 shares of restricted stock and restricted stock units were outstanding. We estimate that share-based compensation cost not yet recognized related to shares of restricted stock or restricted stock units, based on their grant-date fair values, was $13 million as of September 30, 2023. This expense is being recognized on a graded-vesting basis over three years for awards attributable to individuals meeting certain age and years-of-service requirements, and on a straight-line basis over the applicable vesting period of one or three years for the other awards. Share Repurchase Plan. In December 2014, our Board of Directors approved a share repurchase program under which we may repurchase up to 10 million shares of our common stock on a discretionary basis. Under the program, which has no expiration date, we had repurchased 2.0 million shares for $100 million through December 31, 2015. We have not repurchased any shares under this plan since 2015 and are not obligated to make any future repurchases. We account for the shares we hold in treasury under the cost method, at average cost. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Our tax provision is based on (1) our earnings for the period and other factors affecting the tax provision and (2) the operations of foreign branches and subsidiaries that are subject to local income and withholding taxes. Factors that affect our tax rate include our profitability levels in general and the geographical mix of our results. The effective tax rate for the three- and nine-month periods ended September 30, 2023 and 2022, was different than the U.S. federal statutory rate of 21%, primarily due to the geographical mix of revenue and earnings, changes in valuation allowances and uncertain tax positions, and other discrete items. We do not believe a comparison of the effective tax rate for the three- and nine-month periods ended September 30, 2023 and 2022, is meaningful. We continue to make an assertion to indefinitely reinvest the unrepatriated earnings of any foreign subsidiary that would incur material tax consequences upon the distribution of such earnings. During the nine-month period ended September 30, 2023, we received refunds of $23 million, including interest of $1.7 million, which was recorded as a tax benefit under the U.S. Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The outstanding refund of $20 million was classified as other noncurrent assets on our consolidated balance sheet as of December 31, 2022. We conduct our international operations in jurisdictions that have varying laws and regulations regarding income and other taxes, some of which are subject to different interpretations. We recognize benefit for an uncertain tax position if it is more likely than not to be sustainable upon audit by the applicable taxing authority. If this threshold is met, the uncertain tax position is then measured and recognized at the largest amount that we believe is greater than 50% likely of being realized upon ultimate settlement. We have accrued a net total of $29 million and $11 million in other long-term liabilities on our consolidated balance sheet for worldwide unrecognized tax liabilities as of September 30, 2023 and December 31, 2022, respectively. We account for any applicable interest and penalties related to uncertain tax positions as a component of our provision for income taxes in our consolidated financial statements. Changes in our management's judgment related to those liabilities would affect our effective income tax rate in the periods of change. Our tax returns are subject to audit by taxing authorities in multiple jurisdictions. These audits often take years to complete and settle. The following table lists the earliest tax years open to examination by tax authorities where we have significant operations: Jurisdiction Periods United States 2014 United Kingdom 2020 Norway 2018 Angola 2015 Brazil 2018 Australia 2018 We have ongoing tax audits and judicial tax appeals in various jurisdictions. The outcome of these audits and judicial tax appeals may have an impact on uncertain tax positions for income tax returns subsequently filed in those jurisdictions. |
Business Segment Information
Business Segment Information | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Business Segment Information | USINESS SEGMENT INFORMATION We are a global technology company delivering engineered services and products and robotic solutions to the offshore energy, defense, aerospace, manufacturing and entertainment industries. Our Energy business leverages our asset base and capabilities for providing services and products for offshore energy operations, inclusive of the offshore renewable energy market. Our Energy segments are: • Subsea Robotics — Our Subsea Robotics segment provides the following: ◦ Remotely Operated Vehicles (“ROVs”) for drill support and vessel-based services, including subsea hardware installation, construction, pipeline inspection, survey and facilities inspection, maintenance and repair; ◦ ROV tooling; and ◦ survey services, including hydrographic survey and positioning services and autonomous underwater vehicles for geoscience. • Manufactured Products — Our Manufactured Products segment provides the following: ◦ distribution and connection systems including production control umbilicals and field development hardware and pipeline connection and repair systems to the energy industry; and ◦ autonomous mobile robotic technology and entertainment systems to a variety of industries. • Offshore Projects Group — Our OPG segment provides the following: ◦ subsea installation and intervention, including riserless light well intervention services, inspection, maintenance and repair (“IMR”) services, principally in the U.S. Gulf of Mexico and offshore Angola, utilizing owned and chartered vessels; ◦ installation and workover control systems and ROV workover control systems; ◦ diving services; ◦ project management and engineering; and ◦ drill pipe riser services and systems and wellhead load relief solutions. • Integrity Management & Digital Solutions — Our Integrity Management & Digital Solutions segment provides the following: ◦ asset integrity management services; ◦ software and analytical solutions for the bulk cargo maritime industry; and ◦ software, digital and connectivity solutions for the energy industry. Our Aerospace and Defense Technologies segment provides services and products, including engineering and related manufacturing in defense and space exploration activities, principally to U.S. Government agencies and their prime contractors. Unallocated Expenses are those not associated with a specific business segment. These consist of expenses related to our incentive and deferred compensation plans, including restricted stock and bonuses, as well as other general expenses, including corporate administrative expenses. There are no differences in the basis of segmentation or in the basis of measurement of segment profit or loss from those used in our consolidated financial statements for the year ended December 31, 2022. The following table presents revenue, income (loss) from operations and depreciation and amortization expense, by business segment: Three Months Ended Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Jun 30, 2023 Sep 30, 2023 Sep 30, 2022 Revenue Energy Subsea Robotics $ 197,343 $ 169,422 $ 186,512 $ 553,016 $ 454,534 Manufactured Products 122,877 94,039 124,882 360,698 282,187 Offshore Projects Group 150,273 152,987 130,547 385,127 366,841 Integrity Management & Digital Solutions 66,056 58,465 63,166 189,305 174,473 Total Energy 536,549 474,913 505,107 1,488,146 1,278,035 Aerospace and Defense Technologies 98,631 84,758 92,803 281,931 251,826 Total $ 635,180 $ 559,671 $ 597,910 $ 1,770,077 $ 1,529,861 Income (Loss) from Operations Energy Subsea Robotics $ 47,818 $ 37,069 $ 42,227 $ 123,699 $ 74,559 Manufactured Products 8,229 4,282 10,607 30,116 5,560 Offshore Projects Group 26,745 20,310 17,132 49,391 38,511 Integrity Management & Digital Solutions 3,242 3,091 3,844 10,168 10,035 Total Energy 86,034 64,752 73,810 213,374 128,665 Aerospace and Defense Technologies 14,140 13,043 11,357 33,993 33,848 Unallocated Expenses (42,245) (30,920) (35,968) (113,489) (93,827) Total $ 57,929 $ 46,875 $ 49,199 $ 133,878 $ 68,686 Depreciation and Amortization Energy Subsea Robotics $ 12,805 $ 16,013 $ 13,356 $ 41,101 $ 52,545 Manufactured Products 3,067 2,939 3,013 9,124 9,031 Offshore Projects Group 6,931 7,132 6,976 21,035 21,536 Integrity Management & Digital Solutions 909 1,695 939 2,706 3,759 Total Energy 23,712 27,779 24,284 73,966 86,871 Aerospace and Defense Technologies 600 671 632 1,885 2,148 Unallocated Expenses 1,284 1,799 1,130 3,612 4,109 Total $ 25,596 $ 30,249 $ 26,046 $ 79,463 $ 93,128 We determine Income (Loss) from Operations for each business segment before interest income or expense, other income (expense) and provision for income taxes. We do not consider an allocation of these items to be practical. Depreciation and Amortization Depreciation expense on property and equipment, reflected in Depreciation and Amortization, was $24 million, $28 million and $24 million in the three-month periods ended September 30, 2023 and 2022 and June 30, 2023, respectively, and $74 million and $87 million in the nine-month periods ended September 30, 2023 and 2022, respectively. Amortization expense on long-lived intangible assets, reflected in Depreciation and Amortization, was $1.6 million, $2.3 million and $1.8 million in the three-month periods ended September 30, 2023 and 2022 and June 30, 2023, respectively, and $5.1 million and $5.8 million in the nine-month periods ended September 30, 2023 and 2022, respectively. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS On October 2, 2023, we completed a private placement of $200 million aggregate principal amount of the New 2028 Senior Notes to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act and to non-U.S. persons outside the United States pursuant to Regulation S under the Securities Act. The New 2028 Senior Notes constitute an additional issuance of the Existing 2028 Senior Notes, which we issued in February 2018, in an aggregate principal amount of $300 million, and form a single series with such notes. We will pay interest on the New 2028 Senior Notes on February 1 and August 1 of each year, commencing on February 1, 2024. The New 2028 Senior Notes are scheduled to mature on February 1, 2028. We may redeem some or all of the New 2028 Senior Notes at specified redemption prices. We received net proceeds from the offering of the New 2028 Senior Notes of approximately $180 million after deducting the initial purchasers’ discounts. On October 2, 2023, we used the net proceeds from the offering discussed above, together with cash on hand, to fund our offer to purchase (the “Tender Offer”) for cash any and all of the $400 million principal amount outstanding of the 2024 Senior Notes. We repurchased $312 million principal amount of the 2024 Senior Notes at par plus accrued and unpaid interest of $5.5 million for approximately $318 million. The consummation of the Tender Offer was contingent upon the completion of the offering discussed above, which was satisfied on October 2, 2023. On October 2, 2023, we delivered a notice to the holders of the 2024 Senior Notes that we have elected to redeem all of the remaining $88 million principal amount outstanding of the 2024 Senior Notes on the Redemption Date pursuant to our optional redemption right under the indenture governing the 2024 Senior Notes. The redemption price will be equal to 100% of the principal amount of the 2024 Senior Notes plus accrued and unpaid interest up to but not including the Redemption Date plus a “make-whole premium.” We intend to finance the redemption of the 2024 Senior Notes with cash on hand. Upon retirement of the 2024 Senior Notes, we will write off the related unamortized interest rate swaps and debt issuance cost balances. |
Summary Of Major Accounting P_2
Summary Of Major Accounting Policies (Policy) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation . Oceaneering International, Inc. (“Oceaneering,” “we” “our” or “us”) has prepared these unaudited consolidated financial statements pursuant to instructions for quarterly reports on Form 10-Q, which we are required to file with the United States Securities and Exchange Commission (the “SEC”). These financial statements do not include all information and footnotes normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). These financial statements reflect all adjustments that we believe are necessary to present fairly our financial position as of September 30, 2023, and our results of operations and cash flows for the periods presented. Except as otherwise disclosed herein, all such adjustments are of a normal and recurring nature. These financial statements should be read in conjunction with the consolidated financial statements and related notes included in our annual report on Form 10-K for the year ended December 31, 2022. The results for interim periods are not necessarily indicative of annual results. |
Principles of Consolidation | Principles of Consolidation. The consolidated financial statements include the accounts of Oceaneering and our 50% or more owned and controlled subsidiaries. We also consolidate entities that are determined to be variable interest entities if we determine that we are the primary beneficiary; otherwise, we account for those entities using the equity method of accounting. We use the equity method to account for our investments in unconsolidated affiliated companies of which we own an equity interest of between 20% and 50% and as to which we have significant influence, but not control, over operations. We use the cost method for all other long-term investments. Investments in entities that we do not consolidate are reflected on our balance sheet in other noncurrent assets. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use Of Estimates | Use of Estimates. The preparation of financial statements in conformity with U.S. GAAP requires that our management make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents. Cash and cash equivalents include demand deposits and highly liquid investments with original maturities of three months or less from the date of investment. |
Inventory | Inventory . Inventory is valued at the lower of cost or net realizable value. We determine cost using the weighted-average method. We periodically review the value of items in inventory and record write-downs or write-offs of inventory based on our assessment of market conditions. Write-downs and write-offs are charged to cost of services and products. We did not record any write-downs or write-offs of inventory in the three- and nine-month periods ended September 30, 2023 and 2022. |
Property and Equipment | Goodwill. Our goodwill is evaluated for impairment annually and whenever we identify certain triggering events or circumstances that would more likely than not reduce the fair value of a reporting unit below its carrying amount. In our annual evaluation of goodwill, we perform a qualitative or quantitative impairment test. Under the qualitative approach, if we determine that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we are required to perform the quantitative analysis to determine the fair value for the reporting unit. We then compare the fair value of the reporting unit with its carrying amount and recognize an impairment loss for the amount by which the carrying amount exceeds the fair value of the reporting unit. The loss recognized should not exceed the total amount of goodwill allocated to the reporting unit. We also consider income tax effects from any |
Foreign Currency Translations | Foreign Currency Translation. The functional currency for most of our foreign subsidiaries is the applicable local currency. Results of operations for foreign subsidiaries with functional currencies other than the U.S. dollar are translated into U.S. dollars using average exchange rates during the period. Assets and liabilities of these foreign subsidiaries are translated into U.S. dollars using the exchange rates in effect as of the balance sheet date, and the resulting translation adjustments are recognized, net of tax, in accumulated other comprehensive income (loss) as a component of shareholders' equity. All foreign currency transaction gains and losses are recognized currently in the Consolidated Statements of Operations. We recorded $0.9 million and $(3.6) million of foreign currency transaction gains (losses) in the three- and nine-month periods ended September 30, 2023, respectively. We recorded $(1.1) million and $0.2 million of foreign currency transaction gains (losses) in the three- and nine-month periods ended September 30, 2022, respectively. Those amounts are included as a component of other income (expense), net in our Consolidated Statement of Operations. |
Leases | Leases. We determine whether a contract is or contains a lease at inception, whether as a lessee or a lessor. We take into consideration the elements of an identified asset, right to control and the receipt of economic benefit in making those determinations. As a lessor, we lease certain types of equipment along with the provision of services and utilize the expedient allowing us to combine the lease and non-lease components into a combined component that is accounted for (1) under “ Leases” (“ ASC 842”), when the lease component is predominant, and (2) under the accounting standard “ Revenue from Contracts with Customers” (“ASC 606”), when the service component is predominant. In general, when we have a service component, it is typically the predominant element and leads to accounting under ASC 606. As a lessor, we lease certain types of equipment, often providing services at the same time. These leases can be priced on a dayrate or lump-sum basis for periods ranging from a few days to multi-year contracts. These leases are negotiated on commercial terms at market rates and many carry standard options to extend or terminate at our customer's discretion. These leases generally do not contain options to purchase, material restrictions or covenants that impact our accounting for leases. As a lessee, we lease land, buildings, vessels and equipment for the operation of our business and to support some of our service line revenue streams. These generally carry lease terms that range from days for operational and support equipment to 15 years for land and buildings. These leases are negotiated on commercial terms at market rates and many carry standard options to extend or terminate at our discretion. When the exercise of those options is reasonably certain, we include them in the lease assessment. Our leases do not contain material restrictions or covenants that impact our accounting for them, nor do we provide residual value guarantees. As a lessee, we utilize the practical expedients to not recognize leases with an initial lease term of 12 months or less on the balance sheet and to combine lease and non-lease components together and account for the combined component as a lease for all asset classes, except real estate. Right-of-use operating lease assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement or modification date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate, based on the information available at commencement or modification date in determining the present value of future payments. In determining the incremental borrowing rate, we considered our external credit ratings, bond yields for us and our identified peers, the risk-free rate in geographic regions where we operate, and the impact associated with providing collateral over a similar term as the lease for an amount equal to the future lease payments. Our right-of-use operating lease assets also include any lease prepayments made and exclude lease incentives and initial direct costs incurred. Our lease terms may include options to extend or terminate the lease. These options are included in the lease term when it is reasonably certain that we will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. |
New Accounting Pronouncements, Policy | ACCOUNTING STANDARDS UPDATEThere are no new accounting standards issued in the nine months ended September 30, 2023, that would have a material impact on our consolidated financial statements. |
Reclassification, Comparability Adjustment | Reclassifications. Certain amounts from prior periods have been reclassified to conform with the current period presentation. |
Allowance for Credit Losses Not
Allowance for Credit Losses Notes (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies Credit Losses [Abstract] | |
Allowance for Credit Losses [Text Block] | Allowances for Credit Loss—Financial Assets Measured at Amortized Costs. We identify our allowance for credit losses based on future expected losses when accounts receivable, contract assets or held-to-maturity loan receivables are created rather than when losses are probable. We use the loss-rate method in developing the allowance for credit losses, which involves identifying pools of assets with similar risk characteristics, reviewing historical losses within the last three years and consideration of reasonable supportable forecasts of economic indicators. Changes in estimates, developing trends and other new information could have material effects on future evaluations. We monitor the credit quality of our accounts receivable and other financing receivable amounts by frequent customer interaction, following economic and industry trends and reviewing specific customer data. Our other receivable amounts include contract assets and held-to-maturity loans receivable, which we consider to have a low risk of loss. We consider macroeconomic conditions when assessing our credit risk exposure, including any impacts from the conflicts in Russia and Ukraine and in the Middle East and volatility in the financial services industry and the oil and natural gas markets, and the effects thereof on our customers and various counterparties. We have determined the impacts to our credit loss expenses are de minimis for the three- and nine-month periods ended September 30, 2023 and 2022. As of September 30, 2023, our allowance for credit losses was $2.1 million for accounts receivable and $0.6 million for other receivables. As of December 31, 2022, our allowance for credit losses was $2.0 million for accounts receivable and $0.3 million for other receivables. Our allowance for credit losses increased in the nine months ended September 30, 2023, as compared to the same period in the prior year, primarily due to corresponding increases in revenue and accounts receivable. Financial assets are written off when deemed uncollectible and there is no reasonable expectation of recovering the contractual cash flows. During the three- and nine-month periods ended September 30, 2023, we did not write off any financial assets. In the three months ended September 30, 2023, we received cash proceeds of $1.8 million as partial recovery of a previously written off financial asset. Accounts receivable are considered to be past due after the end of the contractual terms agreed to with the customer. There were no material past due amounts that we consider uncollectible for our financial assets as of September 30, 2023. We generally do not require collateral from our customers. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from External Customers by Products and Services | Three Months Ended Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Sep 30, 2023 Sep 30, 2022 Business Segment: Energy Subsea Robotics $ 197,343 $ 169,422 $ 553,016 $ 454,534 Manufactured Products 122,877 94,039 360,698 282,187 Offshore Projects Group 150,273 152,987 385,127 366,841 Integrity Management & Digital Solutions 66,056 58,465 189,305 174,473 Total Energy 536,549 474,913 1,488,146 1,278,035 Aerospace and Defense Technologies 98,631 84,758 281,931 251,826 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Geographic Operating Areas: Foreign: Africa $ 84,908 $ 78,955 $ 246,883 $ 210,274 Asia and Australia 65,887 62,097 176,471 161,202 United Kingdom 55,375 45,234 150,008 130,122 Brazil 55,740 36,638 144,348 104,940 Norway 45,410 41,784 138,858 134,972 Other 62,588 25,085 131,609 69,253 Total Foreign 369,908 289,793 988,177 810,763 United States 265,272 269,878 781,900 719,098 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 Timing of Transfer of Goods or Services: Revenue recognized over time $ 600,419 $ 525,967 $ 1,653,871 $ 1,427,692 Revenue recognized at a point in time 34,761 33,704 116,206 102,169 Total $ 635,180 $ 559,671 $ 1,770,077 $ 1,529,861 |
Contract with Customer, Asset and Liability [Table Text Block] | The following table provides information about contract assets and contract liabilities from contracts with customers. Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Total contract assets, beginning of period $ 184,847 $ 164,847 Revenue accrued 1,689,019 1,456,244 Amounts billed (1,648,972) (1,448,147) Total contract assets, end of period $ 224,894 $ 172,944 Total contract liabilities, beginning of period $ 112,950 $ 88,175 Deferrals of milestone payments 107,240 65,075 Recognition of revenue for goods and services (80,916) (73,066) Total contract liabilities, end of period $ 139,274 $ 80,184 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Long-term debt consisted of the following: (in thousands) Sep 30, 2023 Dec 31, 2022 4.650% Senior Notes due 2024 $ 400,000 $ 400,000 6.000% Senior Notes due 2028 300,000 300,000 Interest rate swap settlements 2,668 4,371 Unamortized debt issuance costs (2,567) (3,398) Total debt 700,101 700,973 Less current portion of long-term debt 131,630 — Total long-term debt $ 568,471 $ 700,973 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Examinations | The following table lists the earliest tax years open to examination by tax authorities where we have significant operations: Jurisdiction Periods United States 2014 United Kingdom 2020 Norway 2018 Angola 2015 Brazil 2018 Australia 2018 |
Business Segment Information (T
Business Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Financial Data By Business Segment | The following table presents revenue, income (loss) from operations and depreciation and amortization expense, by business segment: Three Months Ended Nine Months Ended (in thousands) Sep 30, 2023 Sep 30, 2022 Jun 30, 2023 Sep 30, 2023 Sep 30, 2022 Revenue Energy Subsea Robotics $ 197,343 $ 169,422 $ 186,512 $ 553,016 $ 454,534 Manufactured Products 122,877 94,039 124,882 360,698 282,187 Offshore Projects Group 150,273 152,987 130,547 385,127 366,841 Integrity Management & Digital Solutions 66,056 58,465 63,166 189,305 174,473 Total Energy 536,549 474,913 505,107 1,488,146 1,278,035 Aerospace and Defense Technologies 98,631 84,758 92,803 281,931 251,826 Total $ 635,180 $ 559,671 $ 597,910 $ 1,770,077 $ 1,529,861 Income (Loss) from Operations Energy Subsea Robotics $ 47,818 $ 37,069 $ 42,227 $ 123,699 $ 74,559 Manufactured Products 8,229 4,282 10,607 30,116 5,560 Offshore Projects Group 26,745 20,310 17,132 49,391 38,511 Integrity Management & Digital Solutions 3,242 3,091 3,844 10,168 10,035 Total Energy 86,034 64,752 73,810 213,374 128,665 Aerospace and Defense Technologies 14,140 13,043 11,357 33,993 33,848 Unallocated Expenses (42,245) (30,920) (35,968) (113,489) (93,827) Total $ 57,929 $ 46,875 $ 49,199 $ 133,878 $ 68,686 Depreciation and Amortization Energy Subsea Robotics $ 12,805 $ 16,013 $ 13,356 $ 41,101 $ 52,545 Manufactured Products 3,067 2,939 3,013 9,124 9,031 Offshore Projects Group 6,931 7,132 6,976 21,035 21,536 Integrity Management & Digital Solutions 909 1,695 939 2,706 3,759 Total Energy 23,712 27,779 24,284 73,966 86,871 Aerospace and Defense Technologies 600 671 632 1,885 2,148 Unallocated Expenses 1,284 1,799 1,130 3,612 4,109 Total $ 25,596 $ 30,249 $ 26,046 $ 79,463 $ 93,128 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies Credit Losses [Abstract] | |
Allowance for Credit Losses [Text Block] | Allowances for Credit Loss—Financial Assets Measured at Amortized Costs. We identify our allowance for credit losses based on future expected losses when accounts receivable, contract assets or held-to-maturity loan receivables are created rather than when losses are probable. We use the loss-rate method in developing the allowance for credit losses, which involves identifying pools of assets with similar risk characteristics, reviewing historical losses within the last three years and consideration of reasonable supportable forecasts of economic indicators. Changes in estimates, developing trends and other new information could have material effects on future evaluations. We monitor the credit quality of our accounts receivable and other financing receivable amounts by frequent customer interaction, following economic and industry trends and reviewing specific customer data. Our other receivable amounts include contract assets and held-to-maturity loans receivable, which we consider to have a low risk of loss. We consider macroeconomic conditions when assessing our credit risk exposure, including any impacts from the conflicts in Russia and Ukraine and in the Middle East and volatility in the financial services industry and the oil and natural gas markets, and the effects thereof on our customers and various counterparties. We have determined the impacts to our credit loss expenses are de minimis for the three- and nine-month periods ended September 30, 2023 and 2022. As of September 30, 2023, our allowance for credit losses was $2.1 million for accounts receivable and $0.6 million for other receivables. As of December 31, 2022, our allowance for credit losses was $2.0 million for accounts receivable and $0.3 million for other receivables. Our allowance for credit losses increased in the nine months ended September 30, 2023, as compared to the same period in the prior year, primarily due to corresponding increases in revenue and accounts receivable. Financial assets are written off when deemed uncollectible and there is no reasonable expectation of recovering the contractual cash flows. During the three- and nine-month periods ended September 30, 2023, we did not write off any financial assets. In the three months ended September 30, 2023, we received cash proceeds of $1.8 million as partial recovery of a previously written off financial asset. Accounts receivable are considered to be past due after the end of the contractual terms agreed to with the customer. There were no material past due amounts that we consider uncollectible for our financial assets as of September 30, 2023. We generally do not require collateral from our customers. |
Accounting Policies (Details)
Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Accounting Policies [Abstract] | ||||||||||
Financing Receivable, Allowance for Credit Loss | $ 600 | $ 600 | $ 300 | |||||||
Financing Receivable, Allowance for Credit Loss, Writeoff | 1,800 | $ 1,500 | 4,700 | $ 4,000 | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 572,335 | 477,298 | 572,335 | 477,298 | $ 551,482 | $ 526,306 | 525,804 | $ 476,728 | $ 502,055 | $ 511,024 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 1,800 | 1,500 | 4,700 | 4,000 | ||||||
Financing Receivable, Allowance for Credit Loss | 600 | 600 | 300 | |||||||
Accounts and Financing Receivable, Allowance for Credit Loss | 2,100 | 2,100 | $ 2,000 | |||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ 900 | $ (1,100) | $ (3,600) | $ 200 |
Summary Of Major Accounting P_3
Summary Of Major Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Property, Plant and Equipment [Line Items] | |||||
Right-of-use operating lease assets | $ 297,028 | $ 297,028 | $ 139,611 | ||
Financing Receivable, Allowance for Credit Loss, Writeoff | 1,800 | $ 1,500 | 4,700 | $ 4,000 | |
Financing Receivable, Allowance for Credit Loss | 600 | 600 | $ 300 | ||
Financing Receivable, Allowance for Credit Loss, Writeoff | $ 1,800 | $ 1,500 | $ 4,700 | $ 4,000 | |
Maximum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Operating Leases, Operating Lease Term | 15 years | ||||
ownership percentage equity method investment | 50% | 50% | |||
Minimum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Threshold for consolidation, percentage | 50% | 50% | |||
ownership percentage equity method investment | 20% | 20% |
Summary Of Major Accounting P_4
Summary Of Major Accounting Policies Allowance for credit losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||||
Financing Receivable, Allowance for Credit Loss, Writeoff | $ 1,800 | $ 1,500 | $ 4,700 | $ 4,000 | ||||||
Financing Receivable, Allowance for Credit Loss | 600 | 600 | $ 300 | |||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 572,335 | $ 477,298 | $ 572,335 | $ 477,298 | $ 551,482 | $ 526,306 | 525,804 | $ 476,728 | $ 502,055 | $ 511,024 |
Financing Receivable Allowance for Credit Losses Evaluation Period | 3 years | |||||||||
Proceeds, Accounts Receivable, Previously Written off, Recovery | 1,800 | |||||||||
Accounts and Financing Receivable, Allowance for Credit Loss | $ 2,100 | $ 2,100 | $ 2,000 |
Summary Of Major Accounting P_5
Summary Of Major Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Accounting Policies [Abstract] | |||||
Foreign Currency Transaction Gain (Loss), before Tax | $ 900 | $ (1,100) | $ (3,600) | $ 200 | |
Right-of-use operating lease assets | $ 297,028 | $ 297,028 | $ 139,611 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting Information [Line Items] | |||||
Revenues | $ 635,180 | $ 597,910 | $ 559,671 | $ 1,770,077 | $ 1,529,861 |
Energy Services and Products Member | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 536,549 | $ 505,107 | $ 474,913 | $ 1,488,146 | $ 1,278,035 |
Revenue - Revenue by Geographic
Revenue - Revenue by Geographic Area (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenue by Geographic Area [Line Items] | |||||
Revenues | $ 635,180 | $ 597,910 | $ 559,671 | $ 1,770,077 | $ 1,529,861 |
Africa [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 84,908 | 78,955 | 246,883 | 210,274 | |
United Kingdom [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 55,375 | 45,234 | 150,008 | 130,122 | |
Norway [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 45,410 | 41,784 | 138,858 | 134,972 | |
Asia Pacific [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 65,887 | 62,097 | 176,471 | 161,202 | |
Brazil [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 55,740 | 36,638 | 144,348 | 104,940 | |
Other Geographical [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 62,588 | 25,085 | 131,609 | 69,253 | |
Non-US [Member] | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | 369,908 | 289,793 | 988,177 | 810,763 | |
UNITED STATES | |||||
Revenue by Geographic Area [Line Items] | |||||
Revenues | $ 265,272 | $ 269,878 | $ 781,900 | $ 719,098 |
Revenue - Revenue by Timing of
Revenue - Revenue by Timing of Transfer of Goods or Services (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | $ 635,180 | $ 597,910 | $ 559,671 | $ 1,770,077 | $ 1,529,861 |
Non-US [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 369,908 | 289,793 | 988,177 | 810,763 | |
Africa [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 84,908 | 78,955 | 246,883 | 210,274 | |
Asia Pacific [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 65,887 | 62,097 | 176,471 | 161,202 | |
Norway [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 45,410 | 41,784 | 138,858 | 134,972 | |
United Kingdom [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 55,375 | 45,234 | 150,008 | 130,122 | |
Brazil [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 55,740 | 36,638 | 144,348 | 104,940 | |
Other Geographical [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 62,588 | 25,085 | 131,609 | 69,253 | |
UNITED STATES | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 265,272 | 269,878 | 781,900 | 719,098 | |
Energy Services and Products Member | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 536,549 | $ 505,107 | 474,913 | 1,488,146 | 1,278,035 |
Transferred at Point in Time [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | 34,761 | 33,704 | 116,206 | 102,169 | |
Transferred over Time [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenues | $ 600,419 | $ 525,967 | $ 1,653,871 | $ 1,427,692 |
Revenue - Contract balances (De
Revenue - Contract balances (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||||||
Contract assets, net | $ 224,894 | $ 172,944 | $ 224,894 | $ 172,944 | $ 184,847 | $ 164,847 |
Deferred Revenue, Revenue Recognized | 1,689,019 | 1,456,244 | ||||
Billings - Contract Assets | (1,648,972) | (1,448,147) | ||||
Revenue recognized | (80,916) | (73,066) | ||||
Deferrals of customer payments | 107,240 | 65,075 | ||||
Capitalized Contract Cost, Amortization | (1,200) | (1,200) | (4,000) | (4,200) | ||
Contract liabilities | $ 139,274 | $ 80,184 | $ 139,274 | $ 80,184 | $ 112,950 | $ 88,175 |
Revenue - Performance obligatio
Revenue - Performance obligation (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Revenue from Contract with Customer [Abstract] | |
Price allocated to remaining performance obligations | $ 449,000 |
Revenue recognition for remaining performance obligations | 324,000 |
Revenue Recognition for Remaining Performance Obligations in next 24 months | 124,000 |
Revenue Recognition for Remaining Performance Obligations in next 36 months | $ 2,200 |
Revenue - Costs to obtain or fu
Revenue - Costs to obtain or fulfill a contract (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |||||
Capitalized Contract Cost, Net | $ 8.1 | $ 8.1 | $ 10 | ||
Capitalized Contract Cost, Amortization | $ (1.2) | $ (1.2) | $ (4) | $ (4.2) |
Selected Balance Sheet Inform_2
Selected Balance Sheet Information (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Inventory: | ||
Total | $ 208,200 | $ 184,375 |
Other current assets: | ||
Prepaid Expense, Current | 77,324 | 56,170 |
Angolan bonds | 0 | 6,369 |
Total | 77,324 | 62,539 |
Other Assets, Noncurrent | 100,991 | 122,224 |
Accrued liabilities: | ||
Payroll and related costs | 151,391 | 122,380 |
Accounts Payable, Other, Current | 59,220 | 57,310 |
Income taxes payable | 43,072 | 44,966 |
Current operating lease liability | 58,995 | 19,580 |
Interest Payable, Current | 10,122 | 10,180 |
Other | 51,973 | 53,030 |
Total | 374,773 | 307,446 |
Manufactured Products Member | ||
Inventory [Line Items] | ||
Other inventory | 97,422 | 91,896 |
Inventory: | ||
Other inventory | 97,422 | 91,896 |
Subsea Robotics Member | ||
Inventory [Line Items] | ||
Other inventory | 94,323 | 81,701 |
Inventory: | ||
Other inventory | 94,323 | 81,701 |
Other Segments | ||
Inventory [Line Items] | ||
Manufactured Products | 16,455 | 10,778 |
Inventory: | ||
Manufactured Products | $ 16,455 | $ 10,778 |
Debt - Schedule of Long-Term De
Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Deferred (Gain) Loss on Discontinuation of Fair Value Hedge | $ 2,668 | $ 4,371 |
Debt Instrument, Unamortized Discount (Premium) and Debt Issuance Costs, Net | (2,567) | (3,398) |
Long-Term Debt | 700,101 | 700,973 |
Long-term Debt | 568,471 | 700,973 |
Long-Term Debt, Current Maturities | 131,630 | 0 |
Senior Notes due 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Senior Notes, Noncurrent | 400,000 | 400,000 |
Long-Term Debt, Current Maturities | 132,000 | |
Senior Notes due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Senior Notes, Noncurrent | $ 300,000 | $ 300,000 |
Debt - Additional Information (
Debt - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||||||||||||
Oct. 02, 2023 USD ($) | Sep. 30, 2023 USD ($) Rate | Sep. 30, 2022 USD ($) | Jun. 30, 2022 | Mar. 31, 2022 USD ($) | Mar. 31, 2020 USD ($) | Mar. 31, 2018 USD ($) | Dec. 31, 2014 USD ($) | Sep. 30, 2023 USD ($) Rate | Sep. 30, 2022 USD ($) | Nov. 02, 2023 USD ($) | Dec. 31, 2022 USD ($) | Feb. 28, 2018 USD ($) | Nov. 30, 2014 USD ($) | |
Line of Credit Facility [Line Items] | ||||||||||||||
Maximum borrowing capacity | $ 215,000,000 | $ 215,000,000 | ||||||||||||
Interest rate swap principal | $ 200,000,000 | |||||||||||||
Derivative Liability, Notional Amount | $ 100,000,000 | |||||||||||||
Derivative, Variable Interest Rate | 242.60% | |||||||||||||
Deferred Finance Costs, Own-share Lending Arrangement, Issuance Costs, Adjustment | $ 13,000,000 | |||||||||||||
Deferred Finance Costs, Own-share Lending Arrangement, Issuance Costs, Accumulated Amortization | 600,000 | $ 500,000 | $ 1,700,000 | $ 1,600,000 | ||||||||||
Debt Instrument, Interest Rate, Increase (Decrease) | Rate | 100% | |||||||||||||
Long-Term Debt, Current Maturities | 131,630,000 | $ 131,630,000 | $ 0 | |||||||||||
Senior Notes due 2024 [Member] | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Long-Term Debt, Current Maturities | 132,000,000 | 132,000,000 | ||||||||||||
Senior Notes due 2024 [Member] | Subsequent Event | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Increase, Accrued Interest | $ 5,500,000 | |||||||||||||
Sublimit | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Maximum borrowing capacity | 100 | 100 | ||||||||||||
Senior Notes due 2028 [Member] | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Senior notes | $ 300,000,000 | |||||||||||||
Interest rate, stated percentage | 6% | |||||||||||||
Payments of debt issuance costs | $ 4,200,000 | |||||||||||||
Senior Notes due 2024 [Member] | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Senior notes | $ 500,000,000 | |||||||||||||
Interest rate, stated percentage | 465% | 4.65% | ||||||||||||
Payments of debt issuance costs | $ 6,900,000 | |||||||||||||
Senior Notes due 2024 [Member] | Subsequent Event | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Repurchased Face Amount | 312,000,000 | $ 88,000,000 | ||||||||||||
Debt Instrument, Repurchase Amount | 318,000,000 | |||||||||||||
Revolving Credit Facility | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Payments of debt issuance costs | $ 4,000,000 | |||||||||||||
Senior Notes | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Deferred Finance Costs, Own-share Lending Arrangement, Issuance Costs, Accumulated Amortization | $ 500,000 | $ 600,000 | $ 1,600,000 | $ 1,600,000 | ||||||||||
New 2028 Senior Note | Subsequent Event | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Senior notes | 200 | |||||||||||||
Proceeds from Issuance of Debt | $ 180,000,000 | |||||||||||||
Minimum [Member] | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Line of Credit Facility, Commitment Fee Percentage | 30% | |||||||||||||
Maximum Permitted Leverage Ratio | 400% | 100% | ||||||||||||
Future Maximum Leverage Ratio | 100% | |||||||||||||
Banking Regulation, Tier One Leverage Capital Ratio, Capital Adequacy, Minimum | Rate | 3% | 3% | ||||||||||||
liquidity in revolving credit facility criteria | $ 175 | $ 175 | ||||||||||||
Minimum [Member] | Base Rate | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 125% | |||||||||||||
Minimum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 225% | |||||||||||||
Maximum [Member] | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Line of Credit Facility, Commitment Fee Percentage | 37.50% | |||||||||||||
Maximum Permitted Leverage Ratio | 100% | 350% | ||||||||||||
Future Maximum Leverage Ratio | 325% | |||||||||||||
Banking Regulation, Tier One Leverage Capital Ratio, Capital Adequacy, Minimum | 1 | 1 | ||||||||||||
Maximum [Member] | Base Rate | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 225% | |||||||||||||
Maximum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 325% |
Commitments And Contingencies -
Commitments And Contingencies - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Mar. 31, 2020 | Nov. 30, 2014 | |
Loss Contingencies [Line Items] | |||||||
Notes payable, fair value disclosure | $ 678,000 | $ 678,000 | |||||
Interest rate swap principal | $ 200,000 | ||||||
Derivative, Variable Interest Rate | 242.60% | ||||||
Derivative Liability, Notional Amount | $ 100,000 | ||||||
Foreign Currency Transaction Gain (Loss), before Tax | 900 | $ (1,100) | (3,600) | $ 200 | |||
Proceeds from Sale of Debt Securities, Available-for-sale | 6,200 | 6,229 | 0 | ||||
Debt Securities, Available-for-sale | $ 6,200 | ||||||
Debt Securities, Available-for-sale, Unrealized Gain | 100 | ||||||
Angolan bonds | 0 | 0 | 6,369 | ||||
Loss Contingency Accrual, Period Increase (Decrease) | 19,000 | ||||||
Debt Securities, Available-for-Sale and Held-to-Maturity, Fair Value | 6,400 | ||||||
Manufactured Products Member | |||||||
Loss Contingencies [Line Items] | |||||||
Loss Contingency, Estimate of Possible Loss | 20,000 | 20,000 | 19,000 | ||||
Loss Contingency Accrual | (3,600) | (3,600) | (600) | ||||
Angola, Kwanza [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Foreign Currency Transaction Gain (Loss), before Tax | (800) | $ 1,400 | (5,200) | $ 700 | |||
Cash and cash equivalents | $ 13,000 | $ 13,000 | $ 5,600 |
Earnings (Loss) Per Share, St_2
Earnings (Loss) Per Share, Stock-Based Compensation and Share Repurchase Plan (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Dec. 31, 2015 | Dec. 31, 2022 | Dec. 31, 2014 | |
Shareholders' Equity, Earnings Per Share And Stock-Based Compensation [Line Items] | ||||
Number outstanding (in shares) | 2,327,970 | 2,535,807 | ||
Compensation cost not yet recognized | $ 13,000,000 | |||
Number of shares authorized to be repurchased (in shares) | 10,000,000 | |||
Total number of shares repurchased to date (in shares) | 2,000,000 | |||
Treasury Stock, Value, Acquired, Cost Method | $ 100 | |||
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ||||
Shareholders' Equity, Earnings Per Share And Stock-Based Compensation [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | three years | |||
Award vesting period | 3 years |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Income Tax Contingency [Line Items] | ||
Unrecognized Tax Benefits/Expense, Probability Threshold of Realizing for Tax Benefits/Expense Recognition, Minimum Percentage | 50% | |
Proceeds from Income Tax Refunds | $ 23 | |
Liability for Uncertainty in Income Taxes, Noncurrent | $ 29,000,000 | $ 11,000,000 |
Income Taxes Receivable | $ 20 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21% | |
Interest Income | ||
Income Tax Contingency [Line Items] | ||
Proceeds from Income Tax Refunds | $ 1.7 |
Income Taxes - Summary Of Earli
Income Taxes - Summary Of Earliest Tax Years Open To Examination (Details) | 9 Months Ended |
Sep. 30, 2023 | |
United States [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2014 |
United Kingdom [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2020 |
Norway [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2018 |
Angola [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2015 |
Brazil [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2018 |
AUSTRALIA | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2018 |
Business Segment Information -
Business Segment Information - Financial Data By Business Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Segment Reporting Information [Line Items] | ||||||
Goodwill | $ 34,020 | $ 34,020 | $ 34,339 | |||
Depreciation | 24,000 | $ 24,000 | $ 28,000 | 74,000 | $ 87,000 | |
Revenue | 635,180 | 597,910 | 559,671 | 1,770,077 | 1,529,861 | |
Income (Loss) from Operations | 57,929 | 49,199 | 46,875 | 133,878 | 68,686 | |
Depreciation and amortization | 79,463 | 93,128 | ||||
Amortization of Intangible Assets | 1,600 | 1,800 | 2,300 | 5,100 | 5,800 | |
Cost, Depreciation and Amortization | 25,596 | 26,046 | 30,249 | 79,463 | 93,128 | |
Subsea Robotics Member | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 197,343 | 186,512 | 169,422 | 553,016 | 454,534 | |
Income (Loss) from Operations | 47,818 | 42,227 | 37,069 | 123,699 | 74,559 | |
Cost, Depreciation and Amortization | 12,805 | 13,356 | 16,013 | 41,101 | 52,545 | |
Manufactured Products Member | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 122,877 | 124,882 | 94,039 | 360,698 | 282,187 | |
Income (Loss) from Operations | 8,229 | 10,607 | 4,282 | 30,116 | 5,560 | |
Cost, Depreciation and Amortization | 3,067 | 3,013 | 2,939 | 9,124 | 9,031 | |
Offshore Projects Group | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 150,273 | 130,547 | 152,987 | 385,127 | 366,841 | |
Income (Loss) from Operations | 26,745 | 17,132 | 20,310 | 49,391 | 38,511 | |
Cost, Depreciation and Amortization | 6,931 | 6,976 | 7,132 | 21,035 | 21,536 | |
Integrity Managements & Digital Solutions Member | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 66,056 | 63,166 | 58,465 | 189,305 | 174,473 | |
Income (Loss) from Operations | 3,242 | 3,844 | 3,091 | 10,168 | 10,035 | |
Cost, Depreciation and Amortization | 909 | 939 | 1,695 | 2,706 | 3,759 | |
Aerospace and Defense Technologies Member | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 98,631 | 92,803 | 84,758 | 281,931 | 251,826 | |
Income (Loss) from Operations | 14,140 | 11,357 | 13,043 | 33,993 | 33,848 | |
Cost, Depreciation and Amortization | 600 | 632 | 671 | 1,885 | 2,148 | |
Unallocated Expenses [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Income (Loss) from Operations | (42,245) | (35,968) | (30,920) | (113,489) | (93,827) | |
Cost, Depreciation and Amortization | 1,284 | 1,130 | 1,799 | 3,612 | 4,109 | |
Energy Services and Products Member | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 536,549 | 505,107 | 474,913 | 1,488,146 | 1,278,035 | |
Income (Loss) from Operations | 86,034 | 73,810 | 64,752 | 213,374 | 128,665 | |
Cost, Depreciation and Amortization | $ 23,712 | $ 24,284 | $ 27,779 | $ 73,966 | $ 86,871 |
Allowance for Credit Losses (De
Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Financing Receivable, Allowance for Credit Loss | $ 600 | $ 600 | $ 300 | ||
Financing Receivable, Allowance for Credit Loss | 600 | 600 | $ 300 | ||
Financing Receivable, Allowance for Credit Loss, Writeoff | $ 1,800 | $ 1,500 | $ 4,700 | $ 4,000 |
Subsequent Events (Details)
Subsequent Events (Details) | 3 Months Ended | 9 Months Ended | |||||
Oct. 02, 2023 USD ($) | Sep. 30, 2023 USD ($) Rate | Jun. 30, 2022 | Sep. 30, 2023 USD ($) Rate | Nov. 02, 2023 USD ($) | Dec. 31, 2022 USD ($) | Nov. 30, 2014 USD ($) | |
Subsequent Events [Abstract] | |||||||
Maximum borrowing capacity | $ 215,000,000 | $ 215,000,000 | |||||
Subsequent Event [Line Items] | |||||||
Maximum borrowing capacity | 215,000,000 | $ 215,000,000 | |||||
percentage of federal funds rate | 50% | ||||||
Senior Notes due 2024 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Senior notes | $ 500,000,000 | ||||||
Senior Notes due 2028 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Senior Notes, Noncurrent | 300,000,000 | $ 300,000,000 | $ 300,000,000 | ||||
Senior Notes due 2024 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Senior Notes, Noncurrent | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | ||||
Subsequent Event | New 2028 Senior Note | |||||||
Subsequent Event [Line Items] | |||||||
Proceeds from Issuance of Debt | $ 180,000,000 | ||||||
Senior notes | 200 | ||||||
Subsequent Event | Senior Notes due 2024 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Repurchased Face Amount | 312,000,000 | $ 88,000,000 | |||||
Debt Instrument, Repurchase Amount | 318,000,000 | ||||||
Subsequent Event | New 2028 Senior Note | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Issued, Principal | 300 | ||||||
Subsequent Event | Senior Notes due 2024 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Increase, Accrued Interest | $ 5,500,000 | ||||||
Minimum [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Line of Credit Facility, Commitment Fee Percentage | 30% | ||||||
Banking Regulation, Tier One Leverage Capital Ratio, Capital Adequacy, Minimum | Rate | 3% | 3% | |||||
Maximum Permitted Leverage Ratio | 400% | 100% | |||||
Future Maximum Leverage Ratio | 100% | ||||||
Minimum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 225% | ||||||
Minimum [Member] | Base Rate | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 125% | ||||||
Maximum [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Line of Credit Facility, Commitment Fee Percentage | 37.50% | ||||||
Banking Regulation, Tier One Leverage Capital Ratio, Capital Adequacy, Minimum | 1 | 1 | |||||
Maximum Permitted Leverage Ratio | 100% | 350% | |||||
Future Maximum Leverage Ratio | 325% | ||||||
Maximum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 325% | ||||||
Maximum [Member] | Base Rate | |||||||
Subsequent Event [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 225% |