Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 21, 2022 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2022 | |
Entity File Number | 1-8726 | |
Entity Registrant Name | RPC, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 58-1550825 | |
Entity Address, Address Line One | 2801 Buford Highway, Suite 300 | |
Entity Address, City or Town | Atlanta | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30329 | |
City Area Code | 404 | |
Local Phone Number | 321-2140 | |
Title of 12(b) Security | Common stock, par value $0.10 | |
Trading Symbol | RES | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 216,631,140 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000742278 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
ASSETS | ||
Cash and cash equivalents | $ 35,885 | $ 82,433 |
Accounts receivable, net of allowance for credit losses of $6,555 in 2022 and $5,717 in 2021 | 470,000 | 258,635 |
Inventories | 93,346 | 78,983 |
Income taxes receivable | 45,466 | 58,504 |
Prepaid expenses | 6,866 | 9,773 |
Assets held for sale | 692 | 692 |
Other current assets | 2,867 | 2,990 |
Total current assets | 655,122 | 492,010 |
Property, plant and equipment, less accumulated depreciation of $776,163 in 2022 and $788,922 in 2021 | 312,596 | 254,408 |
Operating lease right-of-use assets | 21,768 | 24,572 |
Finance lease right-of-use assets | 20,327 | |
Goodwill | 32,150 | 32,150 |
Other assets | 33,947 | 40,898 |
Total assets | 1,055,583 | 864,365 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable | 146,569 | 74,404 |
Accrued payroll and related expenses | 26,046 | 15,350 |
Accrued insurance expenses | 4,427 | 10,129 |
Accrued state, local and other taxes | 6,214 | 1,905 |
Income taxes payable | 517 | 656 |
Pension liabilities | 6,429 | |
Current portion of operating lease liabilities | 6,299 | 6,387 |
Current portion of finance lease liabilities | 20,194 | |
Other accrued expenses | 1,743 | 1,824 |
Total current liabilities | 198,244 | 130,849 |
Long-term accrued insurance expenses | 8,008 | 11,770 |
Long-term pension and retirement plans liabilities | 22,128 | 35,376 |
Deferred income taxes | 31,223 | 17,749 |
Long-term operating lease liabilities | 16,832 | 19,719 |
Other long-term liabilities | 5,738 | 7,111 |
Total liabilities | 282,173 | 222,574 |
Commitments and contingencies (Note 9) | ||
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.10 par value, 1,000,000 shares authorized, none issued | ||
Common stock, $0.10 par value, 349,000,000 shares authorized, 216,631,140 and 215,628,716 shares issued and outstanding in 2022 and 2021, respectively | 21,663 | 21,563 |
Capital in excess of par value | 0 | 0 |
Retained earnings | 771,779 | 640,936 |
Accumulated other comprehensive loss | (20,032) | (20,708) |
Total stockholders' equity | 773,410 | 641,791 |
Total liabilities and stockholders' equity | $ 1,055,583 | $ 864,365 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
CONSOLIDATED BALANCE SHEETS | ||
Allowance for credit losses | $ 6,555 | $ 5,717 |
Accumulated depreciation | $ 790,032 | $ 763,304 |
Preferred stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 349,000,000 | 349,000,000 |
Common stock, shares issued (in shares) | 216,631,140 | 215,628,716 |
Common stock, shares outstanding (in shares) | 216,631,140 | 215,628,716 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||
Revenues | $ 459,601 | $ 225,310 | $ 1,119,732 | $ 596,677 |
Cost of revenues | 309,790 | 170,621 | 779,544 | 462,633 |
Selling, general and administrative expenses | 38,243 | 31,446 | 110,362 | 91,444 |
Depreciation and amortization | 20,941 | 18,106 | 60,501 | 53,775 |
Gain on disposition of assets, net | (1,543) | (2,837) | (6,295) | (7,408) |
Operating income (loss) | 92,170 | 7,974 | 175,620 | (3,767) |
Interest expense | (143) | (1,280) | (543) | (1,763) |
Interest income | 329 | 15 | 472 | 47 |
Other (expense) income, net | (67) | 448 | 516 | 1,571 |
Income (loss) before income taxes | 92,289 | 7,157 | 176,065 | (3,912) |
Income tax provision | 22,949 | 1,891 | 44,707 | 1,210 |
Net income (loss) | $ 69,340 | $ 5,266 | $ 131,358 | $ (5,122) |
Earnings (loss) per share | ||||
Basic (in dollars per share) | $ 0.32 | $ 0.02 | $ 0.61 | $ (0.02) |
Diluted (in dollars per share) | 0.32 | $ 0.02 | 0.61 | $ (0.02) |
Dividends paid per share (in dollars per share) | $ 0.02 | $ 0.02 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | ||||
Net income (loss) | $ 69,340 | $ 5,266 | $ 131,358 | $ (5,122) |
Other comprehensive income: | ||||
Pension adjustment and reclassification adjustment, net of taxes | 195 | 152 | 585 | 458 |
Foreign currency translation | (90) | (239) | 91 | (34) |
Comprehensive income (loss) | $ 69,445 | $ 5,179 | $ 132,034 | $ (4,698) |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Capital in Excess of Par Value | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Total |
Balance at Dec. 31, 2020 | $ 21,495 | $ 627,778 | $ (17,706) | $ 631,567 | |
Balance (in shares) at Dec. 31, 2020 | 214,951,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ 93 | $ 1,446 | 1,539 | ||
Stock issued for stock incentive plans, net (in shares) | 924,000 | ||||
Stock purchased and retired | $ (14) | (1,446) | 903 | (557) | |
Stock purchased and retired (in shares) | (140,000) | ||||
Net income (loss) | (9,662) | (9,662) | |||
Pension adjustment, net of taxes | 153 | 153 | |||
Foreign currency translation | 136 | 136 | |||
Balance at Mar. 31, 2021 | $ 21,574 | 619,019 | (17,417) | 623,176 | |
Balance (in shares) at Mar. 31, 2021 | 215,735,000 | ||||
Balance at Dec. 31, 2020 | $ 21,495 | 627,778 | (17,706) | 631,567 | |
Balance (in shares) at Dec. 31, 2020 | 214,951,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Net income (loss) | (5,122) | ||||
Foreign currency translation | (34) | ||||
Balance at Sep. 30, 2021 | $ 21,564 | 626,501 | (17,282) | 630,783 | |
Balance (in shares) at Sep. 30, 2021 | 215,643,000 | ||||
Balance at Mar. 31, 2021 | $ 21,574 | 619,019 | (17,417) | 623,176 | |
Balance (in shares) at Mar. 31, 2021 | 215,735,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ (1) | 1,472 | 1,471 | ||
Stock issued for stock incentive plans, net (in shares) | (9,000) | ||||
Stock purchased and retired | (1,472) | 1,463 | (9) | ||
Stock purchased and retired (in shares) | (1,000) | ||||
Net income (loss) | (726) | (726) | |||
Pension adjustment, net of taxes | 153 | 153 | |||
Foreign currency translation | 69 | 69 | |||
Balance at Jun. 30, 2021 | $ 21,573 | 619,756 | (17,195) | 624,134 | |
Balance (in shares) at Jun. 30, 2021 | 215,725,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ (9) | 1,480 | 1,471 | ||
Stock issued for stock incentive plans, net (in shares) | (82,000) | ||||
Stock purchased and retired | (1,480) | 1,479 | (1) | ||
Net income (loss) | 5,266 | 5,266 | |||
Pension adjustment, net of taxes | 152 | 152 | |||
Foreign currency translation | (239) | (239) | |||
Balance at Sep. 30, 2021 | $ 21,564 | 626,501 | (17,282) | 630,783 | |
Balance (in shares) at Sep. 30, 2021 | 215,643,000 | ||||
Balance at Dec. 31, 2021 | $ 21,563 | 640,936 | (20,708) | $ 641,791 | |
Balance (in shares) at Dec. 31, 2021 | 215,629,000 | 215,628,716 | |||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ 104 | 1,393 | $ 1,497 | ||
Stock issued for stock incentive plans, net (in shares) | 1,037,000 | ||||
Stock purchased and retired | $ (19) | (1,393) | 502 | (910) | |
Stock purchased and retired (in shares) | (190,000) | ||||
Net income (loss) | 15,079 | 15,079 | |||
Pension adjustment, net of taxes | 195 | 195 | |||
Foreign currency translation | 116 | 116 | |||
Balance at Mar. 31, 2022 | $ 21,648 | 656,517 | (20,397) | 657,768 | |
Balance (in shares) at Mar. 31, 2022 | 216,476,000 | ||||
Balance at Dec. 31, 2021 | $ 21,563 | 640,936 | (20,708) | $ 641,791 | |
Balance (in shares) at Dec. 31, 2021 | 215,629,000 | 215,628,716 | |||
Increase (Decrease) in Stockholders' Equity | |||||
Net income (loss) | $ 131,358 | ||||
Foreign currency translation | 91 | ||||
Balance at Sep. 30, 2022 | $ 21,663 | 771,779 | (20,032) | $ 773,410 | |
Balance (in shares) at Sep. 30, 2022 | 216,631,000 | 216,631,140 | |||
Balance at Mar. 31, 2022 | $ 21,648 | 656,517 | (20,397) | $ 657,768 | |
Balance (in shares) at Mar. 31, 2022 | 216,476,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ 18 | 1,677 | 1,695 | ||
Stock issued for stock incentive plans, net (in shares) | 186,000 | ||||
Stock purchased and retired | (1,677) | 1,677 | |||
Net income (loss) | 46,939 | 46,939 | |||
Pension adjustment, net of taxes | 195 | 195 | |||
Foreign currency translation | 65 | 65 | |||
Balance at Jun. 30, 2022 | $ 21,666 | 705,133 | (20,137) | 706,662 | |
Balance (in shares) at Jun. 30, 2022 | 216,662,000 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Stock issued for stock incentive plans, net | $ (3) | 1,575 | 1,572 | ||
Stock issued for stock incentive plans, net (in shares) | (31,000) | ||||
Stock purchased and retired | $ (1,575) | 1,573 | (2) | ||
Net income (loss) | 69,340 | 69,340 | |||
Pension adjustment, net of taxes | 195 | 195 | |||
Foreign currency translation | (90) | (90) | |||
Dividends declared | (4,267) | ||||
Balance at Sep. 30, 2022 | $ 21,663 | $ 771,779 | $ (20,032) | $ 773,410 | |
Balance (in shares) at Sep. 30, 2022 | 216,631,000 | 216,631,140 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
OPERATING ACTIVITIES | ||
Net income (loss) | $ 131,358 | $ (5,122) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, amortization and other non-cash charges | 61,352 | 53,754 |
Stock-based compensation expense | 4,764 | 4,481 |
Gain on disposition of assets, net | (6,295) | (7,408) |
Deferred income tax provision (benefit) | 13,284 | (4,385) |
(Increase) decrease in assets: | ||
Accounts receivable | (211,375) | (71,702) |
Income taxes receivable | 13,038 | 31,922 |
Inventories | (14,708) | 3,044 |
Prepaid expenses | 2,907 | 4,754 |
Other current assets | (83) | 140 |
Other non-current assets | 6,393 | (982) |
Increase (decrease) in liabilities: | ||
Accounts payable | 42,700 | 17,562 |
Income taxes payable | (139) | (426) |
Accrued payroll and related expenses | 10,759 | (1,282) |
Accrued insurance expenses | (5,702) | 1,066 |
Accrued state, local and other taxes | 4,309 | 1,815 |
Other accrued expenses | (2,804) | (2,575) |
Pension and retirement plans liabilities | (6,044) | (1,526) |
Long-term accrued insurance expenses | (3,762) | 1,830 |
Other long-term liabilities | 976 | 1,456 |
Net cash provided by operating activities | 40,928 | 26,416 |
INVESTING ACTIVITIES | ||
Capital expenditures | (90,227) | (44,925) |
Proceeds from sale of assets | 11,572 | 15,811 |
Net cash used for investing activities | (78,655) | (29,114) |
FINANCING ACTIVITIES | ||
Payment of dividends | (4,267) | |
Cash paid for common stock purchased and retired | (912) | (567) |
Cash paid for finance lease | (3,642) | (396) |
Net cash used for financing activities | (8,821) | (963) |
Net decrease in cash and cash equivalents | (46,548) | (3,661) |
Cash and cash equivalents at beginning of period | 82,433 | 84,496 |
Cash and cash equivalents at end of period | 35,885 | 80,835 |
Supplemental cash flows disclosure: | ||
Income taxes payment (refund), net | 18,615 | (25,435) |
Interest paid | 127 | 124 |
Supplemental disclosure of noncash investing activities: | ||
Capital expenditures included in accounts payable | $ 13,912 | $ 6,077 |
GENERAL
GENERAL | 9 Months Ended |
Sep. 30, 2022 | |
GENERAL | |
GENERAL | 1. GENERAL The accompanying unaudited consolidated financial statements include the accounts of RPC, Inc. and its wholly-owned subsidiaries (“RPC” or the “Company”) and have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. These consolidated financial statements have been prepared in accordance with the Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 810, “Consolidation” and Rule 3A-02(a) of Regulation S-X. In accordance with ASC Topic 810 and Rule 3A-02 (a) of Regulation S-X, the Company’s policy is to consolidate all subsidiaries and investees where it has voting control. In the opinion of management, all adjustments (all of which consisted of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022. The balance sheet at December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2021. A group that includes a member of the Company’s Board of Directors, Gary W. Rollins, controls in excess of fifty percent |
RECENT ACCOUNTING STANDARDS
RECENT ACCOUNTING STANDARDS | 9 Months Ended |
Sep. 30, 2022 | |
RECENT ACCOUNTING STANDARDS | |
RECENT ACCOUNTING STANDARDS | 2. RECENT ACCOUNTING STANDARDS Recently Adopted Accounting Standards: ● ASU No. 2020-04 — Reference Rate Reform (Topic 848): The amendments in this ASU provide optional guidance for a limited time to ease the impact of the reference rate reform on financial reporting. The amendments, which are elective, provide expedients to contract modifications, affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference London Interbank Offered Rate (LIBOR) or other reference rate that is expected to be discontinued due to reference rate reform. In the second quarter of 2022, the Company adopted these provisions as part of the Amendment No. 6 to its Credit Agreement (see note 11) wherein LIBOR was replaced with the Term Secured Overnight Financing Rate (SOFR). Adoption of these provisions did not have a material impact on the Company’s consolidated financial statements. Recently Issued Accounting Standards Not Yet Adopted: ● ASU No. 2021-08: Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers: The amendments in this ASU address diversity in practice related to the accounting for revenue contracts with customers acquired in a business combination, by adopting guidance requiring an acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606. At the acquisition date, an acquirer would recognize and measure the acquired contract assets and contract liabilities in the same manner that they were recognized and measured in the acquiree's financial statements before the acquisition. The Company plans to adopt these provisions prospectively to business combinations occurring after January 1, 2023 and does not expect adoption to have a material impact on its consolidated financial statements. |
REVENUES
REVENUES | 9 Months Ended |
Sep. 30, 2022 | |
REVENUES. | |
REVENUES | 3. REVENUES Accounting Policy: RPC’s contract revenues are generated principally from providing oilfield services. These services are based on mutually agreed upon pricing with the customer prior to the services being delivered and, given the nature of the services, do not include the right of return. Pricing for these services is a function of rates based on the nature of the specific job, with consideration for the extent of equipment, labor, and consumables needed for the job. RPC typically satisfies its performance obligations over time as the services are performed. RPC records revenues based on the transaction price agreed upon with its customers. Sales tax charged to customers is presented on a net basis within the accompanying Consolidated Statements of Operations and therefore excluded from revenues. Nature of services: RPC provides a broad range of specialized oilfield services to independent and major oil and gas companies engaged in the exploration, production and development of oil and gas properties throughout the United States and in selected international markets. RPC manages its business as either (1) services offered on the well site with equipment and personnel (Technical Services) or (2) services and tools offered off the well site (Support Services). For more detailed information about operating segments, see Note 6. RPC contracts with its customers to provide the following services by reportable segment: Technical Services ● Support Services ● ● Our contracts with customers are generally very short-term in nature and generally consist of a single performance obligation – the provision of oilfield services. Payment terms: RPC’s contracts with customers state the final terms of the sales, including the description, quantity, and price of each service to be delivered. The Company’s contracts are generally short-term in nature and in most situations, RPC provides services ahead of payment - i.e., RPC has fulfilled the performance obligation prior to submitting a customer invoice. RPC invoices the customer upon completion of the specified services and collection is generally expected between 30 to 60 days after invoicing. As the Company enters into contracts with its customers, it generally expects there to be no significant timing difference between the date the services are provided to the customer (satisfaction of the performance obligation) and the date cash consideration is received. Accordingly, there is no financing component to our arrangements with customers. Significant judgments: RPC believes the output method is a reasonable measure of progress for the satisfaction of our performance obligations, which are satisfied over time, as it provides a faithful depiction of (1) our performance toward complete satisfaction of the performance obligation under the contract and (2) the value transferred to the customer of the services performed under the contract. RPC has elected the right to invoice practical expedient for recognizing revenue related to its performance obligations. Disaggregation of revenues: See Note 6 for disaggregation of revenue by operating segment and services offered in each of them and by geographic regions. Contract balances: Contract assets representing the Company’s rights to consideration for work completed but not billed are included in accounts receivable, net in the accompanying Consolidated Balance Sheets are shown below: September 30, December 31, (in thousands) 2022 2021 Unbilled trade receivables $ 140,908 $ 50,370 Substantially all of the unbilled trade receivables disclosed were or are expected to be invoiced during the following quarter. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2022 | |
EARNINGS PER SHARE | |
EARNINGS PER SHARE | 4. EARNINGS PER SHARE Basic and diluted earnings per share are computed by dividing net income by the weighted average number of shares outstanding during the respective periods. In addition, the Company has periodically issued share-based payment awards that contain non-forfeitable rights to dividends and are therefore considered participating securities. The following table shows the restricted shares of common stock (participating securities) outstanding and a reconciliation of outstanding weighted average shares: Three months ended Nine months ended September 30 September 30 (in thousands) 2022 2021 2022 2021 Net income (loss) available for stockholders: $ 69,340 $ 5,266 $ 131,358 $ (5,122) Less: Adjustments for earnings attributable to participating securities (1,041) (65) (1,910) — Net income (loss) used in calculating earnings per share $ 68,299 $ 5,201 $ 129,448 $ (5,122) Weighted average shares outstanding (including participating securities) 216,647 215,677 216,485 215,648 Adjustment for participating securities (3,288) (2,649) (3,163) (2,665) Shares used in calculating basic and diluted earnings per share 213,359 213,028 213,322 212,983 |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 9 Months Ended |
Sep. 30, 2022 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 5. STOCK-BASED COMPENSATION In April 2014, the Company reserved 8,000,000 shares of common stock under the 2014 Stock Incentive Plan with a term of 10 years expiring in April 2024. This plan provides for the issuance of various forms of stock incentives, including, among others incentive and non-qualified stock options and restricted shares. As of September 30, 2022, there were 2,033,715 shares available for grant. Stock-based employee compensation expense was as follows for the periods indicated: Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Pre-tax expense $ 1,572 $ 1,471 $ 4,764 $ 4,481 After tax expense $ 1,145 $ 1,103 $ 3,554 $ 3,360 Restricted Stock The following is a summary of the changes in non-vested restricted shares for the nine months ended September 30, 2022: Weighted Average Shares Grant-Date Fair Value Non-vested shares at January 1, 2022 2,619,691 $ 7.89 Granted 1,254,276 6.72 Vested (507,918) 11.87 Forfeited (93,931) 6.31 Non-vested shares at September 30, 2022 3,272,118 $ 6.87 The total fair value of shares vested was $2.8 million during the nine months ended September 30, 2022 and $1.8 million during the nine months ended September 30, 2021. Excess tax benefits or deficits realized from tax compensation deductions in excess of, or lower than, compensation expense are recorded as either a beneficial or detrimental discrete income tax adjustment. This was a detrimental adjustment of $655,000 for the nine months ended September 30, 2022 and a detrimental adjustment of $1,164,000 for the nine months ended September 30, 2021. |
BUSINESS SEGMENT INFORMATION
BUSINESS SEGMENT INFORMATION | 9 Months Ended |
Sep. 30, 2022 | |
BUSINESS SEGMENT INFORMATION | |
BUSINESS SEGMENT INFORMATION | 6. BUSINESS SEGMENT INFORMATION RPC’s reportable segments are the same as its operating segments. RPC manages its business under Technical Services and Support Services. Technical Services is comprised of service lines that generate revenue based on equipment, personnel or materials at the well site and are closely aligned with completion and production activities of the customers. Support Services is comprised of service lines which generate revenue from services and tools offered off the well site and are more closely aligned with the customers’ drilling activities. Selected overhead including certain centralized support services and regulatory compliance are classified as Corporate. Technical Services consists primarily of pressure pumping, downhole tools, coiled tubing, snubbing, nitrogen, well control, wireline and fishing. The services offered under Technical Services are high capital and personnel intensive businesses. The Company considers all of these services to be closely integrated oil and gas well servicing businesses and makes resource allocation and performance assessment decisions based on this operating segment as a whole across these various services. Support Services consist primarily of drill pipe and related tools, pipe handling, pipe inspection and storage services, and oilfield training and consulting services. The demand for these services tends to be influenced primarily by customer drilling-related activity levels. The Company’s Chief Operating Decision Maker (“CODM”) assesses performance and makes resource allocation decisions regarding, among others, staffing, growth and maintenance capital expenditures and key initiatives based on the operating segments outlined above. Segment Revenues: RPC’s operating segment revenues by major service lines are shown in the following table: Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Technical Services: Pressure Pumping $ 257,933 $ 96,322 $ 572,472 $ 243,401 Downhole Tools 102,831 61,979 273,828 177,209 Coiled Tubing 37,407 26,733 100,572 61,900 Nitrogen 10,335 8,996 28,727 28,195 Snubbing 7,100 3,748 20,337 10,685 All other 20,169 14,064 62,291 39,212 Total Technical Services $ 435,775 $ 211,842 $ 1,058,227 $ 560,602 Support Services: Rental Tools $ 17,880 $ 8,545 $ 45,257 $ 23,126 All other 5,946 4,923 16,248 12,949 Total Support Services $ 23,826 $ 13,468 $ 61,505 $ 36,075 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 The following summarizes revenues for the United States and separately for all international locations combined for the three and nine months ended September 30, 2022 and 2021. The revenues are presented based on the location of the use of the equipment or services. Assets related to international operations are less than 10 percent of RPC’s consolidated assets, and therefore are not presented. Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 United States revenues $ 450,359 $ 217,711 $ 1,094,528 $ 572,170 International revenues 9,242 7,599 25,204 24,507 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 The accounting policies of the reportable segments are the same as those referenced in Note 1 to these consolidated financial statements. RPC evaluates the performance of its segments based on revenues, operating profits and return on invested capital. Gains or losses on disposition of assets are reviewed by the CODM on a consolidated basis, and accordingly the Company does not report gains or losses at the segment level. Inter-segment revenues are generally recorded in segment operating results at prices that management believes approximate prices for arm’s length transactions and are not material to operating results. Summarized financial information with respect RPC’s reportable segments for the three and nine months ended September 30, 2022 and 2021 are shown in the following table: Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Revenues: Technical Services $ 435,775 $ 211,842 $ 1,058,227 $ 560,602 Support Services 23,826 13,468 61,505 36,075 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 Operating income (loss): Technical Services $ 89,455 $ 8,272 $ 171,093 $ 3,938 Support Services 5,278 (55) 11,392 (5,353) Corporate expenses (4,106) (3,080) (13,160) (9,760) Gain on disposition of assets, net 1,543 2,837 6,295 7,408 Total operating income (loss) $ 92,170 $ 7,974 $ 175,620 $ (3,767) Interest expense (143) (1,280) (543) (1,763) Interest income 329 15 472 47 Other (expense) income, net (67) 448 516 1,571 Income (loss) before income taxes $ 92,289 $ 7,157 $ 176,065 $ (3,912) As of and for the nine months ended Technical Support September 30, 2022 Services Services Corporate Total (in thousands) Depreciation and amortization $ 53,002 $ 7,346 $ 153 $ 60,501 Capital expenditures 79,828 9,558 841 90,227 Identifiable assets 836,310 79,546 139,727 1,055,583 As of and for the nine months ended Technical Support September 30, 2021 Services Services Corporate Total (in thousands) Depreciation and amortization $ 46,341 $ 7,232 $ 202 $ 53,775 Capital expenditures 38,794 5,436 695 44,925 Identifiable assets 556,385 74,135 196,120 826,640 |
CURRENT EXPECTED CREDIT LOSSES
CURRENT EXPECTED CREDIT LOSSES | 9 Months Ended |
Sep. 30, 2022 | |
CURRENT EXPECTED CREDIT LOSSES | |
CURRENT EXPECTED CREDIT LOSSES | 7. CURRENT EXPECTED CREDIT LOSSES The Company utilizes an expected credit loss model for valuing its accounts receivable, a financial asset measured at amortized cost. The Company is exposed to credit losses primarily from providing oilfield services. The Company’s expected credit loss allowance for accounts receivable is based on historical collection experience, current and future economic and market conditions and a review of the current status of customers’ account receivable balances. Due to the short-term nature of such receivables, the estimated amount of accounts receivable that may not be collected is based on aging of the accounts receivable balances and the financial condition of customers. Additionally, specific allowance amounts are established to record the appropriate provision for customers that have a higher probability of default. The Company’s monitoring activities include timely account reconciliation, dispute resolution, payment confirmation, consideration of customers’ financial condition and macroeconomic conditions. Balances are written off when determined to be uncollectible and recoveries of amounts previously written off are recorded when collected. The following table provides a roll-forward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected: Nine months ended September 30, 2022 2021 (in thousands) Beginning balance $ 6,765 $ 4,815 Provision for current expected credit losses 1,484 3,848 Write-offs (1,708) (1,330) Recoveries collected (net of expenses) 14 9 Ending balance $ 6,555 $ 7,342 |
INVENTORIES
INVENTORIES | 9 Months Ended |
Sep. 30, 2022 | |
INVENTORIES | |
INVENTORIES | 8. INVENTORIES Inventories consist of (i) raw materials and supplies that are consumed providing services to the Company’s customers, (ii) spare parts for equipment used in providing these services and (iii) components and attachments for manufactured equipment used in providing services. In the table below, spare parts and components are included as part of raw materials and supplies; tools that are assembled using components are reported as finished goods. Inventories are recorded at the lower of cost or net realizable value. Cost is determined using first-in, first-out method or the weighted average cost method. September 30, December 31, (in thousands) 2022 2021 Raw materials and supplies $ 92,028 $ 77,709 Finished goods 1,318 1,274 Ending balance $ 93,346 $ 78,983 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2022 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | 9. COMMITMENTS AND CONTINGENCIES Sales and Use Taxes - The Company has ongoing sales and use tax audits in various jurisdictions and may be subjected to varying interpretations of statute that could result in unfavorable outcomes. In accordance with ASC 450-20, Loss Contingencies, any probable and reasonable estimate of assessment costs have been included in accrued state, local and other taxes. The Company has received a state tax notification of audit results related to sales and use tax and with its outside legal counsel has evaluated the perceived merits of this tax assessment. The Company believes the likelihood of a material loss related to this contingency is remote and cannot be reasonably estimated at this time. Therefore, no loss has been recorded and the Company currently does not believe the resolution of this claim will have a material impact on its consolidated financial position, results of operations or cash flows. |
PENSION AND RETIREMENT PLANS LI
PENSION AND RETIREMENT PLANS LIABILITIES | 9 Months Ended |
Sep. 30, 2022 | |
PENSION AND RETIREMENT PLANS LIABILITIES | |
PENSION AND RETIREMENT PLANS LIABILITIES | 10. PENSION AND RETIREMENT PLANS LIABILITIES The following represents the net periodic benefit cost and related components of the Company’s multiple employer Retirement Income Plan, a trusteed defined benefit pension plan: Three months ended September 30, Nine months ended September 30, (in thousands) 2022 2021 2022 2021 Interest cost $ 243 $ 247 $ 729 $ 741 Expected return on plan assets — (378) - (1,132) Amortization of net losses 253 202 758 606 Net periodic benefit cost $ 496 $ 71 $ 1,487 $ 215 During the fourth quarter of 2021, the Company initiated actions to terminate the defined benefit pension plan, which is expected to be completed in early 2023 and therefore the funded status of the plan is being reported as part of Pension liabilities in the accompanying Consolidated Balance Sheets. The Company currently expects to make a final cash contribution of approximately million in connection with the plan termination. As of the plan termination date, the Company will recognize a pre-tax, non-cash settlement charge representing the unamortized net loss in the plan which was approximately $22.7 million as of September 30, 2022. The final amount is subject to change based on the actual return on plan assets and the periodic actuarial updates of the net losses in the plan. For the year ending December 31, 2022, the Company is utilizing an expected return on plan assets of The Company did not make a cash contribution to this plan during the nine months ended September 30, 2022 or September 30, 2021. The Company permits selected highly compensated employees to defer a portion of their compensation into the non-qualified Supplemental Retirement Plan (“SERP”). The Company maintains certain securities primarily in mutual funds and company-owned life insurance (“COLI”) policies as a funding source to satisfy the obligation of the SERP that have been classified as trading, and are stated at fair value totaling $26.6 million as of September 30, 2022 and $31.7 million as of December 31, 2021. Trading losses related to the SERP assets totaled approximately $1.1 million during the three months ended September 30, 2022, compared to trading gains of approximately $407 thousand during the three months ended September 30, 2021. Trading losses related to the SERP assets totaled approximately $5.2 million during the nine months ended September 30, 2022, compared to trading gains of approximately $2.5 million during the nine months ended September 30, 2021. The SERP assets are reported in non-current Other assets in the accompanying Consolidated Balance Sheets and changes in the fair value of these assets are reported in the accompanying Consolidated Statements of Operations as compensation cost in Selling, general and administrative expenses. The SERP liabilities includes participant deferrals net of distributions and are stated at fair value of approximately $22.1 million as of September 30, 2022 and $29.7 million as of December 31, 2021. The SERP liabilities are reported in the accompanying Consolidated Balance Sheets in Long-term pension and retirement plans liabilities and any change in the fair value is recorded as compensation cost within Selling, general and administrative expenses in the accompanying Consolidated Statements of Operations. Changes in the fair value of the SERP liabilities represented unrealized losses of approximately $1.0 million during the three months ended September 30, 2022, compared to unrealized gains of approximately $502 thousand during the three months ended September 30, 2021. Changes in the fair value of the SERP liabilities represented unrealized losses of approximately $4.9 million during the nine months ended September 30, 2022, compared to unrealized gains of approximately $2.8 million during the nine months ended September 30, 2021. |
NOTES PAYABLE TO BANKS
NOTES PAYABLE TO BANKS | 9 Months Ended |
Sep. 30, 2022 | |
NOTES PAYABLE TO BANKS | |
NOTES PAYABLE TO BANKS | 11. NOTES PAYABLE TO BANKS The Company has a revolving Credit Agreement with Bank of America and four other lenders which provides for a line of credit of up to $100.0 million, including a $35.0 million letter of credit subfacility, and a $35.0 million swingline subfacility. The facility contains customary terms and conditions, including restrictions on indebtedness, dividend payments, business combinations and other related items. The revolving credit facility includes a full and unconditional guarantee by the Company's 100 percent owned domestic subsidiaries whose assets equal substantially all of the consolidated assets of the Company and its subsidiaries. During the second quarter of 2022, the Company entered into Amendment No. 6 to its Credit Agreement (the “Amendment”). This Amendment (1) extends the termination date for revolving loans from July 26, 2023 to June 22, 2027, (2) replaces LIBOR with the Term SOFR as an interest rate option in connection with revolving loan borrowings and reduces the applicable rate margins by approximately 25.0 basis points at each pricing level, (3) introduces a 1.00% per annum floor for Base Rate borrowings, and (4) permits the issuance of letters of credit in currencies other than U.S. dollars. The Credit Agreement has three financial covenants when RPC’s trailing four quarter EBITDA (as calculated under the Credit Agreement) is equal to or greater than $50.0 million: (i) the consolidated leverage ratio cannot exceed 2.50:1.00 and (ii) the debt service coverage ratio must be equal to or greater than 2.00:1.00; otherwise, the minimum tangible net worth must be greater than or equal to $400.0 million. As of September 30, 2022, the Company was in compliance with all covenants. Revolving loans under the amended revolving credit facility bear interest at one of the following two rates at the Company’s election: ● Term SOFR; plus, a margin ranging from 1.25% to 2.25% , based on a quarterly consolidated leverage ratio calculation, and an additional SOFR Adjustment ranging from 10 to 30 basis points depending upon maturity length; or ● the Base Rate, which is a fluctuating rate per annum equal to the highest of (a) the Federal Funds Rate plus 0.50% , (b) Bank of America’s publicly announced, “prime rate,” (c) the Term SOFR plus 1.00% , or (d) 1.00% ; in each case plus a margin that ranges from 0.25% to 1.25% based on a quarterly consolidated leverage ratio calculation. In addition, the Company pays an annual fee ranging from 0.20% to 0.30%, based on a quarterly consolidated leverage ratio calculation, on the unused portion of the credit facility. The Company has incurred total loan origination fees and other debt related costs associated with this revolving credit facility in the aggregate of approximately $3.7 million. These costs are being amortized to interest expense over the remaining term of the loan, and the remaining unamortized balance of $348 thousand at September 30, 2022 is classified as part of non-current Other assets. As of September 30, 2022, RPC had no outstanding borrowings under the revolving credit facility, and letters of credit outstanding relating to self-insurance programs and contract bids totaled $16.3 million; therefore, a total of $83.7 million of the facility was available. Interest incurred, which includes facility fees on the unused portion of the revolving credit facility and the amortization of loan costs, and interest paid on the credit facility were as follows for the periods indicated: Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Interest incurred $ 60 $ 86 $ 188 $ 192 Interest paid 4 42 127 124 |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2022 | |
INCOME TAXES | |
INCOME TAXES | 12. INCOME TAXES The Company generally determines its periodic income tax expense or benefit based upon the current period income or loss and the annual estimated tax rate for the Company adjusted for discrete items including changes to prior period estimates. In certain instances the Company uses the discrete method when it believes the actual year-to-date effective rate provides a more reliable estimate of its income tax rate for the period. The estimated tax rate is revised, if necessary, as of the end of each successive interim period during the fiscal year to the Company’s current annual estimated tax rate. For the three months ended September 30, 2022, the effective rate reflects a provision of 24.9 percent compared to a provision of 26.4 percent for the comparable period in the prior year. For the nine months ended September 30, 2022, the effective rate reflects a provision of 25.4 percent compared to a provision of 30.9 percent for the comparable period in the prior year. For the quarter ended September 30, 2022 the decrease in effective tax rate is primarily related to an increase in pretax income coupled with favorable changes in permanent differences and discrete items. |
FAIR VALUE DISCLOSURES
FAIR VALUE DISCLOSURES | 9 Months Ended |
Sep. 30, 2022 | |
FAIR VALUE DISCLOSURES | |
FAIR VALUE DISCLOSURES | 13. FAIR VALUE DISCLOSURES The various inputs used to measure assets at fair value establish a hierarchy that distinguishes between assumptions based on market data (observable inputs) and the Company’s assumptions (unobservable inputs). The hierarchy consists of three broad levels as follows: 1. 2. 3. The following table summarizes the valuation of financial instruments measured at fair value on a recurring basis in the balance sheets as of September 30, 2022 and December 31, 2021: Fair Value Measurements at September 30, 2022 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 224 $ 224 $ — $ — Investments measured at net asset value $ 26,551 Fair Value Measurements at December 31, 2021 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 197 $ 197 $ — $ — Investments measured at net asset value $ 31,738 The Company determines the fair value of equity securities that have a readily determinable fair value through quoted market prices. The total fair value is the final closing price, as defined by the exchange in which the asset is actively traded, on the last trading day of the period, multiplied by the number of units held without consideration of transaction costs. Marketable securities comprised of the SERP assets, are recorded primarily at their net cash surrender values, calculated using their net asset values, which approximates fair value, as provided by the issuing insurance or investment company. Significant observable inputs, in addition to quoted market prices, were used to value the equity securities. The Company’s policy is to recognize transfers between levels at the beginning of quarterly reporting periods. For the quarter ended September 30, 2022, there were no significant transfers in or out of levels 1, 2 or 3. Under the Company’s revolving credit facility, there was no balance outstanding at September 30, 2022 and December 31, 2021. Borrowings under our revolving credit facility are typically based on the quote from the lender (level 2 inputs), which approximates fair value, and bear variable interest rates as described in Note 11. The Company is subject to interest rate risk, to the extent there are outstanding borrowings on the variable component of the interest rate. The carrying amounts of other financial instruments reported in the balance sheet for current assets and current liabilities approximate their fair values because of the short maturity of these instruments. The Company currently does not use the fair value option to measure any of its existing financial instruments and has not determined whether it will elect this option for financial instruments acquired in the future. The Company’s real estate classified as Assets held for sale in the accompanying Consolidated Balance Sheets has been stated at fair value less costs. The fair value measurement was based on observable market data that includes estimated values per square foot involving comparable properties in similar locations. The non-recurring fair value measurement is reflected in the table below: Fair Value Measurements at September 30, 2022 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Assets held for sale $ 692 $ — $ 692 $ — Fair Value Measurements at December 31, 2021 Quoted prices Significant active other Significant for observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Assets held for sale $ 692 $ — $ 692 $ — |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 9 Months Ended |
Sep. 30, 2022 | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | 14. ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated other comprehensive (loss) income consists of the following (in thousands): Foreign Pension Currency Adjustment Translation Total Balance at December 31, 2021 $ (18,071) $ (2,637) $ (20,708) Change during the period: Before-tax amount — 91 91 Reclassification adjustment, net of taxes: Amortization of net loss (1) 585 — 585 Total activity for the period 585 91 676 Balance at September 30, 2022 $ (17,486) $ (2,546) $ (20,032) (1) Reported as part of Selling, general and administrative expenses. Foreign Pension Currency Adjustment Translation Total Balance at December 31, 2020 $ (15,181) $ (2,525) $ (17,706) Change during the period: Before-tax amount — (34) (34) Reclassification adjustment, net of taxes: Amortization of net loss (1) 458 — 458 Total activity for the period 458 (34) 424 Balance at September 30, 2021 $ (14,723) $ (2,559) $ (17,282) (1) Reported as part of Selling, general and administrative expenses. |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 9 Months Ended |
Sep. 30, 2022 | |
SUBSEQUENT EVENT | |
SUBSEQUENT EVENT | 15. SUBSEQUENT EVENT |
RECENT ACCOUNTING STANDARDS (Po
RECENT ACCOUNTING STANDARDS (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
RECENT ACCOUNTING STANDARDS | |
Recently Issued Accounting Standards Adopted and Not Yet Adopted | Recently Adopted Accounting Standards: ● ASU No. 2020-04 — Reference Rate Reform (Topic 848): The amendments in this ASU provide optional guidance for a limited time to ease the impact of the reference rate reform on financial reporting. The amendments, which are elective, provide expedients to contract modifications, affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference London Interbank Offered Rate (LIBOR) or other reference rate that is expected to be discontinued due to reference rate reform. In the second quarter of 2022, the Company adopted these provisions as part of the Amendment No. 6 to its Credit Agreement (see note 11) wherein LIBOR was replaced with the Term Secured Overnight Financing Rate (SOFR). Adoption of these provisions did not have a material impact on the Company’s consolidated financial statements. Recently Issued Accounting Standards Not Yet Adopted: ● ASU No. 2021-08: Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers: The amendments in this ASU address diversity in practice related to the accounting for revenue contracts with customers acquired in a business combination, by adopting guidance requiring an acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606. At the acquisition date, an acquirer would recognize and measure the acquired contract assets and contract liabilities in the same manner that they were recognized and measured in the acquiree's financial statements before the acquisition. The Company plans to adopt these provisions prospectively to business combinations occurring after January 1, 2023 and does not expect adoption to have a material impact on its consolidated financial statements. |
Revenues | RPC’s contract revenues are generated principally from providing oilfield services. These services are based on mutually agreed upon pricing with the customer prior to the services being delivered and, given the nature of the services, do not include the right of return. Pricing for these services is a function of rates based on the nature of the specific job, with consideration for the extent of equipment, labor, and consumables needed for the job. RPC typically satisfies its performance obligations over time as the services are performed. RPC records revenues based on the transaction price agreed upon with its customers. Sales tax charged to customers is presented on a net basis within the accompanying Consolidated Statements of Operations and therefore excluded from revenues. |
REVENUES (Tables)
REVENUES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
REVENUES. | |
Schedule of contract assets included in accounts receivable | September 30, December 31, (in thousands) 2022 2021 Unbilled trade receivables $ 140,908 $ 50,370 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
EARNINGS PER SHARE | |
Schedule of reconciliation of weighted average shares outstanding | Three months ended Nine months ended September 30 September 30 (in thousands) 2022 2021 2022 2021 Net income (loss) available for stockholders: $ 69,340 $ 5,266 $ 131,358 $ (5,122) Less: Adjustments for earnings attributable to participating securities (1,041) (65) (1,910) — Net income (loss) used in calculating earnings per share $ 68,299 $ 5,201 $ 129,448 $ (5,122) Weighted average shares outstanding (including participating securities) 216,647 215,677 216,485 215,648 Adjustment for participating securities (3,288) (2,649) (3,163) (2,665) Shares used in calculating basic and diluted earnings per share 213,359 213,028 213,322 212,983 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
STOCK-BASED COMPENSATION | |
Schedule of stock-based employee compensation expense | Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Pre-tax expense $ 1,572 $ 1,471 $ 4,764 $ 4,481 After tax expense $ 1,145 $ 1,103 $ 3,554 $ 3,360 |
Schedule of summary of the changes in non-vested restricted shares | The following is a summary of the changes in non-vested restricted shares for the nine months ended September 30, 2022: Weighted Average Shares Grant-Date Fair Value Non-vested shares at January 1, 2022 2,619,691 $ 7.89 Granted 1,254,276 6.72 Vested (507,918) 11.87 Forfeited (93,931) 6.31 Non-vested shares at September 30, 2022 3,272,118 $ 6.87 |
BUSINESS SEGMENT INFORMATION (T
BUSINESS SEGMENT INFORMATION (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
BUSINESS SEGMENT INFORMATION | |
Schedule of operating segment revenues by major service lines | Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Technical Services: Pressure Pumping $ 257,933 $ 96,322 $ 572,472 $ 243,401 Downhole Tools 102,831 61,979 273,828 177,209 Coiled Tubing 37,407 26,733 100,572 61,900 Nitrogen 10,335 8,996 28,727 28,195 Snubbing 7,100 3,748 20,337 10,685 All other 20,169 14,064 62,291 39,212 Total Technical Services $ 435,775 $ 211,842 $ 1,058,227 $ 560,602 Support Services: Rental Tools $ 17,880 $ 8,545 $ 45,257 $ 23,126 All other 5,946 4,923 16,248 12,949 Total Support Services $ 23,826 $ 13,468 $ 61,505 $ 36,075 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 |
Schedule of revenue by geographical location | Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 United States revenues $ 450,359 $ 217,711 $ 1,094,528 $ 572,170 International revenues 9,242 7,599 25,204 24,507 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 |
Schedule of segment reporting information by segment | Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Revenues: Technical Services $ 435,775 $ 211,842 $ 1,058,227 $ 560,602 Support Services 23,826 13,468 61,505 36,075 Total revenues $ 459,601 $ 225,310 $ 1,119,732 $ 596,677 Operating income (loss): Technical Services $ 89,455 $ 8,272 $ 171,093 $ 3,938 Support Services 5,278 (55) 11,392 (5,353) Corporate expenses (4,106) (3,080) (13,160) (9,760) Gain on disposition of assets, net 1,543 2,837 6,295 7,408 Total operating income (loss) $ 92,170 $ 7,974 $ 175,620 $ (3,767) Interest expense (143) (1,280) (543) (1,763) Interest income 329 15 472 47 Other (expense) income, net (67) 448 516 1,571 Income (loss) before income taxes $ 92,289 $ 7,157 $ 176,065 $ (3,912) As of and for the nine months ended Technical Support September 30, 2022 Services Services Corporate Total (in thousands) Depreciation and amortization $ 53,002 $ 7,346 $ 153 $ 60,501 Capital expenditures 79,828 9,558 841 90,227 Identifiable assets 836,310 79,546 139,727 1,055,583 As of and for the nine months ended Technical Support September 30, 2021 Services Services Corporate Total (in thousands) Depreciation and amortization $ 46,341 $ 7,232 $ 202 $ 53,775 Capital expenditures 38,794 5,436 695 44,925 Identifiable assets 556,385 74,135 196,120 826,640 |
CURRENT EXPECTED CREDIT LOSSES
CURRENT EXPECTED CREDIT LOSSES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
CURRENT EXPECTED CREDIT LOSSES | |
Schedule of roll-forward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected | Nine months ended September 30, 2022 2021 (in thousands) Beginning balance $ 6,765 $ 4,815 Provision for current expected credit losses 1,484 3,848 Write-offs (1,708) (1,330) Recoveries collected (net of expenses) 14 9 Ending balance $ 6,555 $ 7,342 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
INVENTORIES | |
Schedule of inventory | September 30, December 31, (in thousands) 2022 2021 Raw materials and supplies $ 92,028 $ 77,709 Finished goods 1,318 1,274 Ending balance $ 93,346 $ 78,983 |
PENSION AND RETIREMENT PLANS _2
PENSION AND RETIREMENT PLANS LIABILITIES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
PENSION AND RETIREMENT PLANS LIABILITIES | |
Schedule of net periodic benefit cost | Three months ended September 30, Nine months ended September 30, (in thousands) 2022 2021 2022 2021 Interest cost $ 243 $ 247 $ 729 $ 741 Expected return on plan assets — (378) - (1,132) Amortization of net losses 253 202 758 606 Net periodic benefit cost $ 496 $ 71 $ 1,487 $ 215 |
NOTES PAYABLE TO BANKS (Tables)
NOTES PAYABLE TO BANKS (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
NOTES PAYABLE TO BANKS | |
Schedule of interest incurred and paid on the credit facility, interest capitalized related to facilities and equipment under construction, and the related weighted average interest rates on long term debt | Three months ended Nine months ended September 30, September 30, (in thousands) 2022 2021 2022 2021 Interest incurred $ 60 $ 86 $ 188 $ 192 Interest paid 4 42 127 124 |
FAIR VALUE DISCLOSURES (Tables)
FAIR VALUE DISCLOSURES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
FAIR VALUE DISCLOSURES | |
Schedule of valuation of financial instruments measured at fair value on a recurring basis | Fair Value Measurements at September 30, 2022 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 224 $ 224 $ — $ — Investments measured at net asset value $ 26,551 Fair Value Measurements at December 31, 2021 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 197 $ 197 $ — $ — Investments measured at net asset value $ 31,738 |
Schedule of valuation of financial instruments measured at fair value on a non-recurring basis | Fair Value Measurements at September 30, 2022 with: Quoted prices in Significant active markets other Significant for identical observable unobservable (in thousands) Total assets inputs inputs (Level 1) (Level 2) (Level 3) Assets: Assets held for sale $ 692 $ — $ 692 $ — |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | |
Schedule of accumulated other comprehensive (loss) income | Accumulated other comprehensive (loss) income consists of the following (in thousands): Foreign Pension Currency Adjustment Translation Total Balance at December 31, 2021 $ (18,071) $ (2,637) $ (20,708) Change during the period: Before-tax amount — 91 91 Reclassification adjustment, net of taxes: Amortization of net loss (1) 585 — 585 Total activity for the period 585 91 676 Balance at September 30, 2022 $ (17,486) $ (2,546) $ (20,032) (1) Reported as part of Selling, general and administrative expenses. Foreign Pension Currency Adjustment Translation Total Balance at December 31, 2020 $ (15,181) $ (2,525) $ (17,706) Change during the period: Before-tax amount — (34) (34) Reclassification adjustment, net of taxes: Amortization of net loss (1) 458 — 458 Total activity for the period 458 (34) 424 Balance at September 30, 2021 $ (14,723) $ (2,559) $ (17,282) (1) Reported as part of Selling, general and administrative expenses. |
GENERAL - (Details)
GENERAL - (Details) | 9 Months Ended |
Sep. 30, 2022 | |
Chairman of the Board and Director | |
Ownership control | |
Voting power (in percent) | 50% |
REVENUES - Payment Terms (Detai
REVENUES - Payment Terms (Details) | 9 Months Ended |
Sep. 30, 2022 | |
Minimum | |
Revenue satisfaction period | 30 days |
Maximum | |
Revenue satisfaction period | 60 days |
REVENUES - Contract balances (D
REVENUES - Contract balances (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts receivable | ||
Disaggregation of revenue: | ||
Unbilled trade receivables | $ 140,908 | $ 50,370 |
EARNINGS PER SHARE - (Details)
EARNINGS PER SHARE - (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
EARNINGS PER SHARE | ||||||||
Net income (loss) available for stockholders: | $ 69,340 | $ 46,939 | $ 15,079 | $ 5,266 | $ (726) | $ (9,662) | $ 131,358 | $ (5,122) |
Less: Adjustments for earnings attributable to participating securities | (1,041) | (65) | (1,910) | 0 | ||||
Net income (loss) used in calculating earnings per share | $ 68,299 | $ 5,201 | $ 129,448 | $ (5,122) | ||||
Weighted average shares outstanding (including participating securities) | 216,647 | 215,677 | 216,485 | 215,648 | ||||
Adjustment for participating securities | (3,288) | (2,649) | (3,163) | (2,665) | ||||
Shares used in calculating basic earnings per share | 213,359 | 213,028 | 213,322 | 212,983 | ||||
Shares used in calculating diluted earnings per share | 213,359 | 213,009 | 213,313 | 212,970 |
STOCK-BASED COMPENSATION (Detai
STOCK-BASED COMPENSATION (Details) - shares | 1 Months Ended | |
Apr. 30, 2014 | Sep. 30, 2022 | |
STOCK-BASED COMPENSATION | ||
Stock authorized (in shares) | 8,000,000 | |
Term (in years) | 10 years | |
Available for grant (in shares) | 2,033,715 |
STOCK-BASED COMPENSATION - Comp
STOCK-BASED COMPENSATION - Compensation expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
STOCK-BASED COMPENSATION | ||||
Pre-tax expense | $ 1,572 | $ 1,471 | $ 4,764 | $ 4,481 |
After tax expense | $ 1,145 | $ 1,103 | $ 3,554 | $ 3,360 |
STOCK-BASED COMPENSATION - Non-
STOCK-BASED COMPENSATION - Non-vested RSU's (Details) - Restricted Shares | 9 Months Ended |
Sep. 30, 2022 $ / shares shares | |
Shares | |
Non-vested shares at Beginning | shares | 2,619,691 |
Granted | shares | 1,254,276 |
Vested | shares | (507,918) |
Forfeited | shares | (93,931) |
Non-vested shares at Ending | shares | 3,272,118 |
Weighted Average Grant-Date Fair Value | |
Non-vested shares at Beginning | $ / shares | $ 7.89 |
Granted | $ / shares | 6.72 |
Vested | $ / shares | 11.87 |
Forfeited | $ / shares | 6.31 |
Non-vested shares at Ending | $ / shares | $ 6.87 |
STOCK-BASED COMPENSATION - Othe
STOCK-BASED COMPENSATION - Other Information (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Stock-based compensation | ||
Tax (expense) benefits for compensation tax deductions in excess of compensation expense | $ (655,000) | $ (1,164,000) |
Restricted Shares | ||
Stock-based compensation | ||
Fair value, shares vested | $ 2,800,000 | $ 1,800,000 |
BUSINESS SEGMENT INFORMATION (D
BUSINESS SEGMENT INFORMATION (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment information: | ||||
Total revenues | $ 459,601 | $ 225,310 | $ 1,119,732 | $ 596,677 |
Technical Services | ||||
Segment information: | ||||
Total revenues | 435,775 | 211,842 | 1,058,227 | 560,602 |
Technical Services | Pressure Pumping | ||||
Segment information: | ||||
Total revenues | 257,933 | 96,322 | 572,472 | 243,401 |
Technical Services | Downhole Tools | ||||
Segment information: | ||||
Total revenues | 102,831 | 61,979 | 273,828 | 177,209 |
Technical Services | Coiled Tubing | ||||
Segment information: | ||||
Total revenues | 37,407 | 26,733 | 100,572 | 61,900 |
Technical Services | Nitrogen | ||||
Segment information: | ||||
Total revenues | 10,335 | 8,996 | 28,727 | 28,195 |
Technical Services | Snubbing | ||||
Segment information: | ||||
Total revenues | 7,100 | 3,748 | 20,337 | 10,685 |
Technical Services | All other | ||||
Segment information: | ||||
Total revenues | 20,169 | 14,064 | 62,291 | 39,212 |
Support Services | ||||
Segment information: | ||||
Total revenues | 23,826 | 13,468 | 61,505 | 36,075 |
Support Services | Rental Tools | ||||
Segment information: | ||||
Total revenues | 17,880 | 8,545 | 45,257 | 23,126 |
Support Services | All other | ||||
Segment information: | ||||
Total revenues | $ 5,946 | $ 4,923 | $ 16,248 | $ 12,949 |
BUSINESS SEGMENT INFORMATION -
BUSINESS SEGMENT INFORMATION - Geographic (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment information: | ||||
Total revenues | $ 459,601 | $ 225,310 | $ 1,119,732 | $ 596,677 |
United States | ||||
Segment information: | ||||
Total revenues | 450,359 | 217,711 | 1,094,528 | 572,170 |
International | ||||
Segment information: | ||||
Total revenues | $ 9,242 | $ 7,599 | $ 25,204 | $ 24,507 |
BUSINESS SEGMENT INFORMATION _2
BUSINESS SEGMENT INFORMATION - Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Revenues: | |||||
Revenues | $ 459,601 | $ 225,310 | $ 1,119,732 | $ 596,677 | |
Operating income (loss): | |||||
Operating income (loss) | 92,170 | 7,974 | 175,620 | (3,767) | |
Interest expense | (143) | (1,280) | (543) | (1,763) | |
Interest income | 329 | 15 | 472 | 47 | |
Other (expense) income, net | (67) | 448 | 516 | 1,571 | |
Income (loss) before income taxes | 92,289 | 7,157 | 176,065 | (3,912) | |
Depreciation and amortization | 20,941 | 18,106 | 60,501 | 53,775 | |
Capital expenditures | 90,227 | 44,925 | |||
Identifiable assets | 1,055,583 | 826,640 | 1,055,583 | 826,640 | $ 864,365 |
Technical Services | |||||
Revenues: | |||||
Revenues | 435,775 | 211,842 | 1,058,227 | 560,602 | |
Operating income (loss): | |||||
Operating income (loss) | 89,455 | 8,272 | 171,093 | 3,938 | |
Depreciation and amortization | 53,002 | 46,341 | |||
Capital expenditures | 79,828 | 38,794 | |||
Identifiable assets | 836,310 | 556,385 | 836,310 | 556,385 | |
Support Services | |||||
Revenues: | |||||
Revenues | 23,826 | 13,468 | 61,505 | 36,075 | |
Operating income (loss): | |||||
Operating income (loss) | 5,278 | (55) | 11,392 | (5,353) | |
Depreciation and amortization | 7,346 | 7,232 | |||
Capital expenditures | 9,558 | 5,436 | |||
Identifiable assets | 79,546 | 74,135 | 79,546 | 74,135 | |
Corporate | |||||
Operating income (loss): | |||||
Operating income (loss) | (4,106) | (3,080) | (13,160) | (9,760) | |
Depreciation and amortization | 153 | 202 | |||
Capital expenditures | 841 | 695 | |||
Identifiable assets | 139,727 | 196,120 | 139,727 | 196,120 | |
Gain on disposition of assets, net. | |||||
Operating income (loss): | |||||
Operating income (loss) | $ 1,543 | $ 2,837 | $ 6,295 | $ 7,408 |
CURRENT EXPECTED CREDIT LOSSE_2
CURRENT EXPECTED CREDIT LOSSES (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Allowance for doubtful accounts rollforward | ||
Beginning balance | $ 6,765 | $ 4,815 |
Provision for current expected credit losses | 1,484 | 3,848 |
Write-offs | (1,708) | (1,330) |
Recoveries collected (net of expenses) | 14 | 9 |
Ending balance | $ 6,555 | $ 7,342 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
INVENTORIES | ||
Raw materials and supplies | $ 92,028 | $ 77,709 |
Finished goods | 1,318 | 1,274 |
Ending balance | $ 93,346 | $ 78,983 |
PENSION AND RETIREMENT PLANS _3
PENSION AND RETIREMENT PLANS LIABILITIES - Components of net periodic benefit cost (Details) - Retirement Income Plan - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Interest cost | $ 243 | $ 247 | $ 729 | $ 741 | ||
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Amortization of Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | ||
Expected return on plan assets | $ (378) | $ (1,132) | ||||
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | ||||
Amortization of net losses | $ 253 | $ 202 | $ 758 | $ 606 | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | Selling, General and Administrative Expenses. | ||
Net periodic benefit cost | $ 496 | $ 71 | $ 1,487 | $ 215 |
PENSION AND RETIREMENT PLANS _4
PENSION AND RETIREMENT PLANS LIABILITIES - SERP (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Unamortized net loss | $ 22,700 | $ 22,700 | ||||
Expected return on plan assets | 0% | |||||
Unrealized gain/loss due to change in fair value of SERP liabilities | (195) | $ (152) | (585) | $ (458) | ||
Minimum | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Cash contribution | $ 8,000 | |||||
Maximum | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Cash contribution | 9,000 | |||||
Non-qualified Supplemental Retirement Plan ("SERP") | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Fair value of plan assets | 26,600 | 31,700 | 26,600 | |||
Trading gains (losses), net | (1,100) | 407 | (5,200) | 2,500 | ||
SERP Liabilities | 22,100 | $ 29,700 | 22,100 | |||
Unrealized gain/loss due to change in fair value of SERP liabilities | $ (1,000) | $ 502 | $ (4,900) | $ 2,800 |
NOTES PAYABLE TO BANKS - Intere
NOTES PAYABLE TO BANKS - Interest incurred (Details) - Revolving credit facility - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revolving credit facility | ||||
Interest incurred | $ 60 | $ 86 | $ 188 | $ 192 |
Interest paid | $ 4 | $ 42 | $ 127 | $ 124 |
NOTES PAYABLE TO BANKS - Credit
NOTES PAYABLE TO BANKS - Credit Facility (Details) $ in Thousands | 9 Months Ended | |||
Jul. 26, 2018 USD ($) item | Sep. 30, 2022 USD ($) Lender | Jun. 30, 2022 | Dec. 31, 2021 USD ($) | |
Revolving credit facility | ||||
Number of financial covenants. | item | 3 | |||
SOFR | ||||
Revolving credit facility | ||||
Margin rate | 25% | |||
SOFR | Minimum | ||||
Revolving credit facility | ||||
Additional increase (decrease) in basis points. | 10% | |||
SOFR | Maximum | ||||
Revolving credit facility | ||||
Additional increase (decrease) in basis points. | 30% | |||
Base Rate | ||||
Revolving credit facility | ||||
Floor interest rate | 1% | |||
Amendment | ||||
Revolving credit facility | ||||
Minimum EBITDA | $ 50,000 | |||
Maximum consolidated leverage ratio | 2.50% | |||
Minimum debt service coverage ratio | 2% | |||
Revolving credit facility | ||||
Revolving credit facility | ||||
Number of additional credit lenders | Lender | 4 | |||
Maximum borrowing capacity | $ 100,000 | |||
Origination and other costs | 3,700 | |||
Unamortized origination and other costs | 348 | |||
Outstanding debt | 0 | $ 0 | ||
Available credit facility | $ 83,700 | |||
Revolving credit facility | Minimum | ||||
Revolving credit facility | ||||
Annual fee (as a percent) | 0.20% | |||
Revolving credit facility | Maximum | ||||
Revolving credit facility | ||||
Annual fee (as a percent) | 0.30% | |||
Revolving credit facility | Amendment | Eurodollar Rate | SOFR | Minimum | ||||
Revolving credit facility | ||||
Basis points added | 1.25% | |||
Revolving credit facility | Amendment | Eurodollar Rate | SOFR | Maximum | ||||
Revolving credit facility | ||||
Basis points added | 2.25% | |||
Revolving credit facility | Amendment | Base Rate | Minimum | ||||
Revolving credit facility | ||||
Basis points added | 0.25% | |||
Revolving credit facility | Amendment | Base Rate | Maximum | ||||
Revolving credit facility | ||||
Basis points added | 1.25% | |||
Revolving credit facility | Amendment | Base Rate | Federal Funds Rate | ||||
Revolving credit facility | ||||
Basis points added | 0.50% | |||
Revolving credit facility | Amendment | Base Rate | SOFR | ||||
Revolving credit facility | ||||
Basis points added | 1% | |||
Revolving credit facility | Letter of credit | ||||
Revolving credit facility | ||||
Maximum borrowing capacity | $ 35,000 | |||
Outstanding debt | 16,300 | |||
Revolving credit facility | Letter of credit | Amendment | ||||
Revolving credit facility | ||||
Maximum borrowing capacity | $ 400,000 | |||
Revolving credit facility | Swingline | ||||
Revolving credit facility | ||||
Maximum borrowing capacity | $ 35,000 |
INCOME TAXES (Details)
INCOME TAXES (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
INCOME TAXES | ||||
Effective tax rate (as a percent) | 24.90% | 26.40% | 25.40% | 30.90% |
FAIR VALUE DISCLOSURES - Financ
FAIR VALUE DISCLOSURES - Financial instruments measured at fair value on recurring basis (Details) - Fair value on a recurring basis - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Equity securities | $ 224 | $ 197 |
Debt Securities, Trading, and Equity Securities, FV-NI | 26,551 | 31,738 |
Level 1 | ||
Assets: | ||
Equity securities | $ 224 | $ 197 |
FAIR VALUE DISCLOSURES (Details
FAIR VALUE DISCLOSURES (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Revolving credit facility | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Letters of credit outstanding amount | $ 0 | $ 0 |
FAIR VALUE DISCLOSURES - Fina_2
FAIR VALUE DISCLOSURES - Financial instruments measured at fair value on non-recurring basis (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Assets held for sale | $ 692 | $ 692 |
Fair value on a non-recurring basis | ||
Assets: | ||
Assets held for sale | 692 | 692 |
Fair value on a non-recurring basis | Level 2 | ||
Assets: | ||
Assets held for sale | $ 692 | $ 692 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
AOCI rollforward | ||
Balance | $ (20,708) | $ (17,706) |
Change during the period: | ||
Before-tax amount | 91 | (34) |
Reclassification adjustment, net of taxes: | ||
Amortization of net loss | 585 | 458 |
Total activity for the period | 676 | 424 |
Balance | (20,032) | (17,282) |
Pension Adjustment | ||
AOCI rollforward | ||
Balance | (18,071) | (15,181) |
Reclassification adjustment, net of taxes: | ||
Amortization of net loss | 585 | 458 |
Total activity for the period | 585 | 458 |
Balance | (17,486) | (14,723) |
Foreign Currency Translation | ||
AOCI rollforward | ||
Balance | (2,637) | (2,525) |
Change during the period: | ||
Before-tax amount | 91 | (34) |
Reclassification adjustment, net of taxes: | ||
Total activity for the period | 91 | (34) |
Balance | $ (2,546) | $ (2,559) |
SUBSEQUENT EVENT (Details)
SUBSEQUENT EVENT (Details) | Oct. 25, 2022 $ / shares |
Subsequent Event [Line Items] | |
Dividends payable, date to be payable | Dec. 09, 2022 |
Dividend payable, date declared | Nov. 10, 2022 |
Subsequent Event | |
Subsequent Event [Line Items] | |
Cash dividend payable (in dollars per share) | $ 0.02 |