Geospace Technologies (GEOS) 10-Q 6 Feb 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Dec. 31, 2018	Jan. 31, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2,019
Document Fiscal Period Focus	Q1
Trading Symbol	GEOS
Entity Registrant Name	GEOSPACE TECHNOLOGIES CORP
Entity Central Index Key	1,001,115
Current Fiscal Year End Date	--09-30
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		13,632,791

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Current assets:
Cash and cash equivalents	$ 17,111	$ 11,934
Short-term investments	9,495	25,471
Trade accounts receivable, net	12,399	14,323
Financing receivables	3,843	4,258
Inventories	17,565	18,812
Prepaid expenses and other current assets	3,336	1,856
Total current assets	63,749	76,654
Rental equipment, net	52,394	39,545
Property, plant and equipment, net	33,302	33,624
Non-current inventories	31,003	31,655
Goodwill	5,980	4,343
Other intangible assets, net	12,163	8,006
Deferred income tax assets, net	264	246
Non-current financing receivables, net	3,793	4,740
Prepaid income taxes	57	54
Other assets	225	213
Total assets	202,930	199,080
Current liabilities:
Accounts payable trade	8,338	4,106
Accrued expenses and other current liabilities	6,391	6,826
Deferred revenue	4,620	3,752
Income tax payable	96	51
Total current liabilities	19,445	14,735
Contingent earn-out liabilities	12,055	7,713
Deferred income tax liabilities	33	45
Total liabilities	31,533	22,493
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, 1,000,000 shares authorized, no shares issued and outstanding
Common stock, $.01 par value, 20,000,000 shares authorized, 13,632,791 and 13,600,541 shares issued and outstanding	136	136
Additional paid-in capital	86,933	86,116
Retained earnings	100,101	105,954
Accumulated other comprehensive loss	(15,773)	(15,619)
Total stockholders’ equity	171,397	176,587
Total liabilities and stockholders’ equity	$ 202,930	$ 199,080

CONSOLIDATED BALANCE SHEETS (_2

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Dec. 31, 2018	Sep. 30, 2018
Statement Of Financial Position [Abstract]
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	20,000,000	20,000,000
Common stock, shares issued	13,632,791	13,632,791
Common stock, shares outstanding	13,600,541	13,600,541

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Revenue:
Products	$ 10,459	$ 13,274
Type of Revenue [Extensible List]	us-gaap:ProductMember	us-gaap:ProductMember
Rental	$ 7,416	$ 1,370
Total revenue	17,875	14,644
Cost of revenue:
Products	$ 11,220	$ 13,096
Type of Revenue [Extensible List]	us-gaap:ProductMember	us-gaap:ProductMember
Rental	$ 3,565	$ 2,516
Total cost of revenue	14,785	15,612
Gross profit (loss)	3,090	(968)
Operating expenses:
Selling, general and administrative	6,085	5,129
Research and development	3,171	3,158
Bad debt expense (recovery)	(103)	350
Total operating expenses	9,153	8,637
Loss from operations	(6,063)	(9,605)
Other income (expense):
Interest expense	(34)	(64)
Interest income	272	263
Foreign exchange gains (losses), net	67	(43)
Other, net	(88)	(25)
Total other income, net	217	131
Loss before income taxes	(5,846)	(9,474)
Income tax expense	7	6
Net loss	$ (5,853)	$ (9,480)
Loss per common share:
Basic	$ (0.44)	$ (0.72)
Diluted	$ (0.44)	$ (0.72)
Weighted average common shares outstanding:
Basic	13,339,408	13,202,384
Diluted	13,339,408	13,202,384

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (5,853)	$ (9,480)
Other comprehensive income (loss):
Change in unrealized gains (losses) on available-for-sale securities, net of tax	64	(51)
Foreign currency translation adjustments	(218)	(205)
Total other comprehensive loss	(154)	(256)
Total comprehensive loss	$ (6,007)	$ (9,736)

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss
Beginning Balance at Sep. 30, 2017	$ 194,803	$ 134	$ 83,733	$ 125,166	$ (14,230)
Beginning Balance, Shares at Sep. 30, 2017		13,438,616
Net loss	(9,480)			(9,480)
Other comprehensive loss	(256)				(256)
Issuance of restricted stock		$ 2	(2)
Issuance of restricted stock, Shares		138,650
Forfeiture of restricted stock, Shares		(16,675)
Stock-based compensation	826		826
Ending Balance at Dec. 31, 2017	185,893	$ 136	84,557	115,686	(14,486)
Ending Balance, Shares at Dec. 31, 2017		13,560,591
Beginning Balance at Sep. 30, 2018	$ 176,587	$ 136	86,116	105,954	(15,619)
Beginning Balance, Shares at Sep. 30, 2018	13,600,541	13,600,541
Net loss	$ (5,853)			(5,853)
Other comprehensive loss	(154)				(154)
Issuance of restricted stock, Shares		8,000
Forfeiture of restricted stock, Shares		(250)
Issuance of common stock pursuant to the exercise of stock options	215		215
Issuance of common stock pursuant to the exercise of stock options, Shares		24,500
Stock-based compensation	602		602
Ending Balance at Dec. 31, 2018	$ 171,397	$ 136	$ 86,933	$ 100,101	$ (15,773)
Ending Balance, Shares at Dec. 31, 2018	13,600,541	13,632,791

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Cash flows from operating activities:
Net loss	$ (5,853,000)	$ (9,480,000)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Deferred income tax benefit	(61,000)	(55,000)
Rental equipment depreciation	2,711,000	2,247,000
Property, plant and equipment depreciation	919,000	1,095,000
Amortization of intangible assets	362,000	0
Accretion of discounts on short-term investments	(7,000)	13,000
Stock-based compensation expense	602,000	826,000
Bad debt expense (recovery)	(103,000)	350,000
Inventory obsolescence expense	1,428,000	1,434,000
Gross profit from sale of used rental equipment		(2,566,000)
Realized loss on short-term investments	59,000
Effects of changes in operating assets and liabilities:
Trade accounts receivable	1,824,000	2,562,000
Income tax receivable		10,000
Inventories	(6,302,000)	(2,865,000)
Prepaid expenses and other current assets	(1,472,000)	(329,000)
Prepaid income taxes	(12,000)	41,000
Accounts payable trade	4,240,000	723,000
Accrued expenses and other	2,008,000	267,000
Deferred revenue	879,000	(65,000)
Income tax payable	50,000
Net cash provided by (used in) operating activities	1,272,000	(5,792,000)
Cash flows from investing activities:
Purchase of property, plant and equipment	(717,000)	(218,000)
Investment in rental equipment	(10,164,000)
Proceeds from the sale of used rental equipment	728,000	997,000
Purchases of short-term investments		(1,905,000)
Proceeds from the sale of short-term investments	16,081,000	5,898,000
Business acquisition	(1,819,000)
Payments for damages related to insurance claim	(118,000)
Proceeds from insurance claim	78,000
Net cash provided by investing activities	4,069,000	4,772,000
Cash flows from financing activities:
Proceeds from the exercise of stock options	215,000
Net cash provided by financing activities	215,000
Effect of exchange rate changes on cash	(379,000)	(149,000)
Increase (decrease) in cash and cash equivalents	5,177,000	(1,169,000)
Cash and cash equivalents, beginning of fiscal year	11,934,000	15,092,000
Cash and cash equivalents, end of fiscal period	$ 17,111,000	$ 13,923,000

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Significant Accounting Policies	1. Significant Accounting Policies Basis of Presentation The consolidated balance sheet of Geospace Technologies Corporation and its subsidiaries (the “Company”) at September 30, 2018 was derived from the Company’s audited consolidated financial statements at that date. The consolidated balance sheet at December 31, 2018 and the consolidated statements of operations, comprehensive loss, stockholders’ equity and the consolidated statements of cash flows for the three months ended December 31, 2018 and 2017 were prepared by the Company without audit. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary to present fairly the consolidated financial position, results of operations and cash flows were made. The results of operations for the three months ended December 31, 2018 are not necessarily indicative of the operating results for a full year or of future operations. Certain information and footnote disclosures normally included in financial statements presented in accordance with accounting principles generally accepted in the United States of America were omitted pursuant to the rules of the Securities and Exchange Commission. The accompanying consolidated financial statements should be read in conjunction with the financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the Company’s fiscal year ended September 30, 2018. Reclassifications Certain amounts previously presented in the consolidated financial statements have been reclassified to conform to the current year presentation. Such reclassifications had no effect on previously reported net loss, stockholders equity or cash flows. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires the use of estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company considers many factors in selecting appropriate operational and financial accounting policies and controls, and in developing the estimates and assumptions that are used in the preparation of these consolidated financial statements. The Company continually evaluates its estimates, including those related to bad debt reserves, inventory obsolescence reserves, self-insurance reserves, product warranty reserves, impairment of long-lived assets and deferred income tax assets. The Company bases its estimates on historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates under different conditions or assumptions. Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original or remaining maturity at the time of purchase of three months or less to be cash equivalents. At December 31, 2018, cash and cash equivalents included $7.6 million held by the Company’s foreign subsidiaries and branch offices. If the Company were to repatriate the cash held by its foreign subsidiaries, it would be required to accrue and pay taxes on any amount repatriated under rates enacted by The Tax Cuts and Jobs Act (“2017 Tax Act”). Recently Adopted Accounting Pronouncements In November 2016, the Financial Accounting Standards Board (“FASB”) issued guidance which requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance was adopted by the Company in its first quarter of fiscal year 2019. The adoption had no effect on the Company’s consolidated financial statements as it holds no restricted cash balances. In May 2014, the FASB issued guidance requiring entities to recognize revenue from contracts with customers by applying a five-step model in accordance with the core principle to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this guidance specifies the accounting for some costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. In August 2015, the FASB issued guidance deferring the effective date of this guidance to annual periods beginning after December 15, 2017, including interim reporting periods therein. This new standard supersedes existing revenue guidance and affected the Company's revenue recognition process and the presentations or disclosures of the Company's consolidated financial statements and footnotes. The Company adopted this standard on October 1, 2018 using the modified retrospective method. The adoption of this standard did not (i) result in a cumulative adjustment as of October 1, 2018 or (ii) have any impact on the Company’s consolidated financial statements. Recently Issued Accounting Pronouncements In August 2018, the FASB issued guidance requiring certain existing disclosure requirements in ASC Topic 820, Fair Value Measurements and Disclosures In January 2017, the FASB issued guidance simplifying the current two-step goodwill impairment test by eliminating Step 2 of the test. The guidance requires a one-step impairment test in which an entity compares the fair value of a reporting unit with its carrying amount and recognizes an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, if any. This guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, and should be applied on a prospective basis. Early adoption is permitted for the interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. In June 2016, the FASB issued guidance surrounding credit losses for financial instruments that replaces the incurred loss impairment methodology in generally accepted accounting principles (“GAAP”). The new impairment model requires immediate recognition of estimated credit losses expected to occur for most financial assets and certain other financial instruments. For available-for-sale debt securities with unrealized losses, credit losses will be recognized as allowances rather than reductions in the amortized cost of the securities. The standard is effective for annual reporting periods beginning after December 15, 2019 and interim periods within those annual periods. Early adoption for a fiscal year beginning after December 15, 2018 is permitted. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first effective reporting period. The Company expects to adopt this standard during the first quarter of its fiscal year ending September 30, 2021 and is currently evaluating the impact of this new guidance on its consolidated financial statements. In February 2016, the FASB issued guidance requiring a lessee to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement and presentation of expense and cash flows arising from a lease by a lessee primarily will depend on its classification of the lease as a finance or operating lease. However, unlike current GAAP, which requires only capital leases to be recognized on the balance sheet, the new guidance will also require operating leases of the lessee to be recognized on the balance sheet if the operating lease term is more than 12 months. The guidance also requires disclosures to help investors and other financial statement users to better understand the amount, timing and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements, providing additional information about the amounts recorded in the financial statements. The guidance is effective for fiscal years, and interim reporting periods therein, beginning after December 15, 2018 and is to be applied using the modified retrospective approach. The Company expects to adopt this standard in its first quarter of its fiscal year ending September 30, 2020. The Company currently is not a lessee under any lease agreements with a term longer than one year. The Company is routinely a lessor in its rental contracts with customers. The term of these rental contracts is generally short-term in nature, and the Company believes these rentals would be treated as operating leases under the new guidance; however, the Company has not completed a detailed review of its various lease and rental arrangements, and these conclusions are subject to change.

Revenue Recognition

Revenue Recognition	3 Months Ended
	Dec. 31, 2018
Revenue From Contract With Customer [Abstract]
Revenue Recognition	2. Revenue Recognition On October 1, 2018, the Company adopted ASC Topic 606, Revenue from Contracts with Customers. Under the new standard, the Company recognizes revenue when performance of contractual obligations are satisfied, generally when control of the promised goods or services is transferred to its customers, in an amount that reflects the consideration it expects to be entitled to in exchange for those goods or services. The Company primarily derives product revenue from the sale of its manufactured products and from the sale of its manufactured rental equipment. Revenue from these product sales, including the sale of used rental equipment, is recognized when all of the following have occurred: (i) title passes to the customer, (ii) the customer assumes the risks and rewards of ownership, (iii) the product sales price has been determined, (iv) collectability of the sales price is reasonably assured, and (v) product delivery occurs as directed by the customer. The Company’s products are generally sold without any customer acceptance provisions, and the Company’s standard terms of sale do not allow customers to return products for credit. Revenue from engineering services is recognized as services are rendered over the duration of a project, or as billed on a per hour basis. Field service revenue is recognized when services are rendered and is generally priced on a per day rate. The Company also generates revenue from short-term rentals under operating leases of its manufactured products. Rental revenue is recognized as earned over the rental period. Rentals of the Company’s equipment generally range from daily rentals to rental periods of up to six months or longer. The Company has determined that the new standard does not apply to rental contracts, which are within the scope of other revenue recognition accounting standards. The cumulative effect of the changes made to the Company’s consolidated balance sheet as of October 1, 2018 resulting from the adoption of the new standard was not material and did not impact opening retained earnings. The impact on the timing of sales and services for the three months ended December 31, 2018 resulting from the application of the new standard was not material. As permissible under the new standard, sales and transaction-based taxes are excluded from revenue. Also, the Company does not disclose the value of unsatisfied performance obligations for contracts with an original expected duration of one year or less. Additionally, the Company expenses costs incurred to obtain contracts when incurred because the amortization period would have been one year or less. These costs are recorded in selling, general and administrative expenses. As of December 31, 2018 and September 30, 2018 the Company had deferred contract liabilities of $0.1 million and $0.2 million included in deferred revenue and deferred contract assets of $36,000 and $27,000 included in prepaid expenses and other current assets on its consolidated balance sheets. During the three months ended December 31, 2018, the Company recognized revenue of $0.1 million included in its deferred contract liability balance and $8,000 included in its prepaid expenses and other current asset balance at the beginning of the period. For each of the Company’s operating segments, the following table presents revenue from the sale of products and services under contracts with customers. The table excludes all revenue earned from rental contracts (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Oil and Gas Markets Traditional exploration product revenue $ 2,726 $ 3,599 Wireless exploration product revenue 144 2,623 Reservoir product revenue 888 618 Total revenue 3,758 6,840 Adjacent Markets Industrial product revenue 3,562 3,676 Imaging product revenue 3,051 2,758 Total revenue 6,613 6,434 Emerging Markets Revenue 88 — Total $ 10,459 $ 13,274 See note 13 for more information on the Company’s operating segments. For each of the geographic areas where the Company operates, the following table presents revenue from the sale of products and services under contracts with customers. The table excludes all revenue earned from rental contracts (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Asia $ 1,558 $ 1,006 Canada 288 365 Europe 915 3,419 United States 6,610 8,023 Other 1,088 461 Total $ 10,459 $ 13,274 Revenue is attributable to countries based on the ultimate destination of the product sold, if known. If the ultimate destination is not known, revenue is attributable to countries based on the geographic location of the initial shipment.

Business Acquisition

Business Acquisition	3 Months Ended
	Dec. 31, 2018
Business Combinations [Abstract]
Business Acquisition	3. Business Acquisition On November 13, 2018, the Company acquired all of the intellectual property and related assets of the OptoSeis ® In connection with the acquisition the Company recorded goodwill and other intangible assets of $6.1 million and established an initial contingent earn-out liability of $4.3 million. No current assets and liabilities were acquired in the transaction. The contingent earn-out payments will be derived from certain eligible revenue generated during the five-and-a-half year earn-out period. Acquisition related legal costs of $0.2 million are included in selling, general and administrative expenses in the Company’s consolidated financial statements. Due to the limited amount of time since the acquisition transaction, the valuation of the OptoSeis assets and liabilities and the determination of the fair value of the contingent consideration are considered by the Company as preliminary and subject to change.

Short-term Investments

Short-term Investments	3 Months Ended
	Dec. 31, 2018
Investments Debt And Equity Securities [Abstract]
Short-term Investments	4. Short-term Investments As of December 31, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate bonds $ 6,289 $ — $ (25 ) $ 6,264 Government bonds 3,224 7 — 3,231 Total $ 9,513 $ 7 $ (25 ) $ 9,495 As of September 30, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate bonds $ 17,851 $ — $ (60 ) $ 17,791 Government bonds 7,702 — (22 ) 7,680 Total $ 25,553 $ — $ (82 ) $ 25,471 The Company’s short-term investments have contractual maturities ranging from February 2019 to November 2020.

Derivative Financial Instrument

Derivative Financial Instruments	3 Months Ended
	Dec. 31, 2018
Derivative Instruments And Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	5. Derivative Financial Instruments At December 31, 2018 and September 30, 2018, the Company’s Canadian subsidiary had CAN$19.6 million and CAD$20.4 million, respectively, of Canadian dollar denominated intercompany accounts payable owed to one of the Company’s U.S subsidiaries. In order to mitigate its exposure to movements in foreign currency rates between the U.S. dollar and Canadian dollar, the Company routinely enters into foreign currency forward contracts to hedge a portion of its exposure to changes in the value of the Canadian dollar. On December 28, 2018, the Company entered into a CAD$15.0 million 90-day hedge contract with a United States bank to reduce the impact on cash flows from movements in the Canadian dollar/U.S. dollar currency exchange rate, but has not been designated as a hedge for accounting purposes. The following table summarizes the gross fair value of all derivative instruments, which are not designated as hedging instruments and their location in the consolidated balance sheets (in thousands). Derivative Instrument Location December 31, 2018 September 30, 2018 Foreign Currency Forward Contracts Prepaid Expenses and Other Assets $ 2 $ — Foreign Currency Forward Contracts Accrued Expenses and Other Current Liabilities — 270 The following table summarizes the Company’s realized gains on derivative instruments included in the consolidated statements of operations for the three months ended December 31, 2018 and 2017 (in thousands): Three Months Ended Derivative Instrument Location December 31, 2018 December 31, 2017 Foreign Currency Forward Contracts Other Income (Expense) $ 856 $ 158

Trade Accounts and Financing Re

Trade Accounts and Financing Receivables	3 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Trade Accounts and Financing Receivables	6. Trade Accounts and Financing Receivables Trade accounts receivable, net are reflected in the following table (in thousands): December 31, 2018 September 30, 2018 Trade accounts receivable $ 13,385 $ 15,776 Allowance for doubtful accounts (986 ) (1,453 ) $ 12,399 $ 14,323 The allowance for doubtful accounts represents the Company’s best estimate of probable credit losses. The Company determines the allowance based upon historical experience and a current review of its accounts receivable balances. Accounts receivable balances are charged off against the allowance whenever it is probable that the receivable balance will not be recoverable. Trade accounts receivable at December 31, 2018 includes $6.8 million due from a single customer. Financing receivables are reflected in the following table (in thousands): December 31, 2018 September 30, 2018 Promissory notes $ 5,170 $ 5,646 Sales-type lease 4,590 5,533 Total financing receivables 9,760 11,179 Unearned income: Promissory notes (95 ) (95 ) Sales-type lease (180 ) (237 ) Total unearned income (275 ) (332 ) Total financing receivables, net of unearned income 9,485 10,847 Allowance for doubtful promissory notes (1,849 ) (1,849 ) Less current portion (3,843 ) (4,258 ) Non-current financing receivables $ 3,793 $ 4,740

Inventories

Inventories	3 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventories	7. Inventories Inventories consist of the following (in thousands): December 31, 2018 September 30, 2018 Finished goods $ 14,712 $ 18,802 Work in process 7,405 7,926 Raw material 57,099 54,290 Obsolescence reserve (30,648 ) (30,551 ) 48,568 50,467 Less current portion 17,565 18,812 Non-current portion $ 31,003 $ 31,655 During the three months ended December 31, 2018 and 2017, the Company made non-cash inventory transfers of $7.4 million and $2.0 million, respectively, to rental equipment. Raw materials include semi-finished goods and component parts totaled approximately $26.7 million and $29.0 million at December 31, 2018 and September 30, 2018, respectively.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	3 Months Ended
	Dec. 31, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	8. Goodwill and Other Intangible Assets In connection with the acquisition of all of the intellectual property and related assets of the OptoSeis fiber optic sensing technology business from PGS Americas, Inc. in November 2018, the Company recorded goodwill of $1.6 million and other intangible assets of $4.5 million. As a result of this acquisition and the acquisition of Quantum Technology Sciences (“Quantum”) in July 2018, the Company’s consolidated intangible assets consisted of the following (in thousands): Weighted- Average Remaining Useful Lives (in years) December 31, 2018 September 30, 2018 Goodwill $ 5,980 $ 4,343 Other intangible assets: Developed technology 17.7 6,419 4,200 Customer relationships 3.7 4,200 2,500 Trade names 4.7 1,930 1,400 Non-compete agreements 3.7 170 100 Total other intangible assets 10.9 12,719 8,200 Accumulated amortization (556 ) (194 ) $ 12,163 $ 8,006 Intangible assets amortization expense was $0.4 million for the three months ended December 31, 2018. The Company had no intangible asset amortization expense for the three months ended December 31, 2017. As of December 31, 2018, future estimated amortization expense of other intangible assets is as follows (in thousands): For fiscal years ending September 30, 2019 $ 1,376 2020 1,835 2021 1,835 2022 1,727 2023 751 Thereafter 4,639 $ 12,163

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	3 Months Ended
	Dec. 31, 2018
Stockholders Equity Note [Abstract]
Accumulated Other Comprehensive Loss	9. Accumulated Other Comprehensive Loss Accumulated other comprehensive loss consisted of the following (in thousands): Unrealized Losses on Available-for-Sale Securities Foreign Currency Translation Adjustments Totals Balance at October 1, 2018 $ (82 ) $ (15,537 ) $ (15,619 ) Changes in unrealized gain on available-for-sale securities, net of tax 64 — 64 Foreign currency translation adjustments — (218 ) (218 ) Balance at December 31, 2018 $ (18 ) $ (15,755 ) $ (15,773 )

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Dec. 31, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	10. Stock-Based Compensation During the three months ended December 31, 2018, the Company issued 8,000 shares of restricted stock awards (“RSAs”) under its 2014 Long Term Incentive Plan, as amended (the “Plan”). The weighted average grant date fair value of each RSA was $14.59 per share. The total grant date fair value of all RSAs issued was $0.1 million, which will be charged to expense over the next four years as the RSA vesting restrictions lapse. Compensation expense for the RSAs was determined based on the closing market price of the Company’s stock on the date of grant applied to the total number of shares that are anticipated to fully vest. Recipients of RSAs are entitled to vote such shares and are entitled to any dividends paid. As of December 31, 2018, the Company had unrecognized compensation expense of $3.7 million relating to RSAs that is expected to be recognized over a weighted average period of 2.5 years. During the three months ended December 31, 2018, the Company issued 147,800 restricted stock units (“RSUs”) under the Plan. The RSUs issued include both time-based and performance-based vesting provisions. The weighted average grant date fair value of each RSU was $15.17 per unit. The grant date fair value of the RSUs was $2.2 million, which will be charged to expense over the next four years as the restrictions lapse. Compensation expense for the RSUs was determined based on the closing market price of the Company’s stock on the date of grant applied to the total number of units that are anticipated to fully vest. Each RSU represents a contingent right to receive one share of the Company’s common stock upon vesting. As of December 31, 2018, the Company had unrecognized compensation expense of $2.2 million relating to RSUs that is expected to be recognized over a weighted average period of 3.9 years. The Company had $0.1 million of unrecognized compensation expense related to nonqualified stock option awards that is expected to be recognized over a weighted average period of 0.8 years. As of December 31, 2018, 236,562 RSAs, 147,800 RSUs and 165,600 nonqualified stock options were unvested and outstanding.

Loss Per Common Share

Loss Per Common Share	3 Months Ended
	Dec. 31, 2018
Earnings Per Share [Abstract]
Loss Per Common Share	11. Loss Per Common Share The Company applies the two-class method in calculating per share data. The following table summarizes the calculation of net loss and weighted average common shares and common equivalent shares outstanding for purposes of the computation of loss per share (in thousands, except share and per share data): Three Months Ended December 31, 2018 December 31, 2017 Net loss $ (5,853 ) $ (9,480 ) Less: Loss allocable to unvested restricted stock — — Loss available to common shareholders (5,853 ) (9,480 ) Reallocation of participating earnings — — Loss attributable to common shareholders for diluted earnings per share $ (5,853 ) $ (9,480 ) Weighted average number of common share equivalents: Common shares used in basic loss per share 13,339,408 13,202,384 Common share equivalents outstanding related to stock options and RSUs — — Total weighted average common shares and common share equivalents used in diluted loss per share 13,339,408 13,202,384 Loss per share: Basic $ (0.44 ) $ (0.72 ) Diluted $ (0.44 ) $ (0.72 ) For the calculation of diluted loss per share for the three months ended December 31, 2018 and 2017, 165,600 and 201,800 stock options and 147,800 and zero non-vested RSUs, respectively, were excluded in the calculation of weighted average shares outstanding since their impact on diluted loss per share was antidilutive.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Dec. 31, 2018
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	12. Commitments and Contingencies Contingent Earn-out Liabilities The Company established an initial earn-out liability of $7.7 million in connection with its July 2018 acquisition of Quantum. The contingent earn-out payments, if any, which at the Company’s option may be paid in the form of cash or Company stock, will be derived from eligible revenue that may be generated by Quantum during a four-year earn-out period. The maximum amount of contingent payments is $23.5 million over the earn-out period. The fair value of the contingent earn-out liability has not significantly changed since September 30, 2018. For the recent acquisition of the intellectual property and related assets of the OptoSeis fiber optic sensing technology in November 2018, the Company established an initial earn-out liability of $4.3 million. The contingent earn-out payments, if any, will be derived from eligible revenue generated during a five-and-a-half year earn-out period. The maximum amount of contingent payments is $23.2 million over the earn-out period. The Company reviews and accesses the fair value of its contingent earn-out liabilities on a quarterly basis. The fair value of its contingent earn-out liabilities has not changed Legal Proceedings The Company is involved in various pending legal actions in the ordinary course of its business. Management is unable to predict the ultimate outcome of these actions, because of the inherent uncertainty such actions. However, management believes that the most probable, ultimate resolution of these pending matters will not have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

Segment Information

Segment Information	3 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Segment Information	13. Segment Information The Company reports and evaluates financial information for three operating segments: Oil and Gas Markets, Adjacent Markets and Emerging Markets. The Oil and Gas Markets segment products include wireless seismic data acquisition systems, reservoir characterization products and services, and traditional seismic exploration products such as geophones, hydrophones, leader wire, connectors, cables, marine streamer retrieval and steering devices and various other seismic products. The Adjacent Markets segment products include graphic imaging equipment, water meter products, offshore cables, and seismic sensors used for vibration monitoring and geotechnical applications such as mine safety applications and earthquake detection. The Emerging Markets segment was added in conjunction with the Company’s acquisition of Quantum, which designs and markets seismic products targeted at the border and perimeter security markets. The following table summarizes the Company’s segment information (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Revenue: Oil and Gas Markets $ 11,004 $ 8,039 Adjacent Markets 6,635 6,454 Emerging Markets 88 — Corporate 148 151 Total $ 17,875 $ 14,644 Income (loss) from operations: Oil and Gas Markets $ (2,601 ) $ (7,673 ) Adjacent Markets 982 1,029 Emerging Markets (1,192 ) — Corporate (3,252 ) (2,961 ) Total $ (6,063 ) $ (9,605 )

Income Taxes

Income Taxes	3 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	14. Income Taxes The 2017 Tax Act was enacted in December 2017. The 2017 Tax Act, among other things, reduces the U.S. federal corporate tax rate from 35% to 21%, effective January 1, 2018, creates new taxes on certain foreign earnings and may require companies to pay a one-time transition tax on undistributed earnings of certain foreign subsidiaries that were previously tax deferred. The Company is not required to pay a one-time transition tax on earnings of our foreign subsidiaries since the Company had no accumulated foreign losses on a consolidated basis. As a result of the 2017 Tax Act, during the three months ended December 31, 2017, the Company revalued its U.S. deferred tax assets based on the new U.S. federal tax rate of 21%, which resulted in a reduction to its deferred tax assets of approximately $8.1 million. The reduction in deferred tax assets was completely offset by a like reduction to the valuation allowance. The Company’s effective tax rates for the three months ended December 31, 2018 and 2017 were (0.1)% and (0.1)%, respectively. The United States statutory rate for the three months ended December 31, 2018 and 2017 was 21% and 24.5% (blended), respectively. Compared to the United States statutory tax rate, the lower effective tax rates resulted primarily from the provision of a valuation allowance against the Company’s U.S. and Canadian deferred tax assets, due to the uncertainty surrounding the Company’s ability to utilize such deferred tax assets in the future to offset taxable income.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	3 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The consolidated balance sheet of Geospace Technologies Corporation and its subsidiaries (the “Company”) at September 30, 2018 was derived from the Company’s audited consolidated financial statements at that date. The consolidated balance sheet at December 31, 2018 and the consolidated statements of operations, comprehensive loss, stockholders’ equity and the consolidated statements of cash flows for the three months ended December 31, 2018 and 2017 were prepared by the Company without audit. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary to present fairly the consolidated financial position, results of operations and cash flows were made. The results of operations for the three months ended December 31, 2018 are not necessarily indicative of the operating results for a full year or of future operations. Certain information and footnote disclosures normally included in financial statements presented in accordance with accounting principles generally accepted in the United States of America were omitted pursuant to the rules of the Securities and Exchange Commission. The accompanying consolidated financial statements should be read in conjunction with the financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the Company’s fiscal year ended September 30, 2018.
Reclassifications	Reclassifications Certain amounts previously presented in the consolidated financial statements have been reclassified to conform to the current year presentation. Such reclassifications had no effect on previously reported net loss, stockholders equity or cash flows.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires the use of estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company considers many factors in selecting appropriate operational and financial accounting policies and controls, and in developing the estimates and assumptions that are used in the preparation of these consolidated financial statements. The Company continually evaluates its estimates, including those related to bad debt reserves, inventory obsolescence reserves, self-insurance reserves, product warranty reserves, impairment of long-lived assets and deferred income tax assets. The Company bases its estimates on historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates under different conditions or assumptions.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original or remaining maturity at the time of purchase of three months or less to be cash equivalents. At December 31, 2018, cash and cash equivalents included $7.6 million held by the Company’s foreign subsidiaries and branch offices. If the Company were to repatriate the cash held by its foreign subsidiaries, it would be required to accrue and pay taxes on any amount repatriated under rates enacted by The Tax Cuts and Jobs Act (“2017 Tax Act”).
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In November 2016, the Financial Accounting Standards Board (“FASB”) issued guidance which requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance was adopted by the Company in its first quarter of fiscal year 2019. The adoption had no effect on the Company’s consolidated financial statements as it holds no restricted cash balances. In May 2014, the FASB issued guidance requiring entities to recognize revenue from contracts with customers by applying a five-step model in accordance with the core principle to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this guidance specifies the accounting for some costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. In August 2015, the FASB issued guidance deferring the effective date of this guidance to annual periods beginning after December 15, 2017, including interim reporting periods therein. This new standard supersedes existing revenue guidance and affected the Company's revenue recognition process and the presentations or disclosures of the Company's consolidated financial statements and footnotes. The Company adopted this standard on October 1, 2018 using the modified retrospective method. The adoption of this standard did not (i) result in a cumulative adjustment as of October 1, 2018 or (ii) have any impact on the Company’s consolidated financial statements.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In August 2018, the FASB issued guidance requiring certain existing disclosure requirements in ASC Topic 820, Fair Value Measurements and Disclosures In January 2017, the FASB issued guidance simplifying the current two-step goodwill impairment test by eliminating Step 2 of the test. The guidance requires a one-step impairment test in which an entity compares the fair value of a reporting unit with its carrying amount and recognizes an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, if any. This guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, and should be applied on a prospective basis. Early adoption is permitted for the interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. In June 2016, the FASB issued guidance surrounding credit losses for financial instruments that replaces the incurred loss impairment methodology in generally accepted accounting principles (“GAAP”). The new impairment model requires immediate recognition of estimated credit losses expected to occur for most financial assets and certain other financial instruments. For available-for-sale debt securities with unrealized losses, credit losses will be recognized as allowances rather than reductions in the amortized cost of the securities. The standard is effective for annual reporting periods beginning after December 15, 2019 and interim periods within those annual periods. Early adoption for a fiscal year beginning after December 15, 2018 is permitted. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first effective reporting period. The Company expects to adopt this standard during the first quarter of its fiscal year ending September 30, 2021 and is currently evaluating the impact of this new guidance on its consolidated financial statements. In February 2016, the FASB issued guidance requiring a lessee to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement and presentation of expense and cash flows arising from a lease by a lessee primarily will depend on its classification of the lease as a finance or operating lease. However, unlike current GAAP, which requires only capital leases to be recognized on the balance sheet, the new guidance will also require operating leases of the lessee to be recognized on the balance sheet if the operating lease term is more than 12 months. The guidance also requires disclosures to help investors and other financial statement users to better understand the amount, timing and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements, providing additional information about the amounts recorded in the financial statements. The guidance is effective for fiscal years, and interim reporting periods therein, beginning after December 15, 2018 and is to be applied using the modified retrospective approach. The Company expects to adopt this standard in its first quarter of its fiscal year ending September 30, 2020. The Company currently is not a lessee under any lease agreements with a term longer than one year. The Company is routinely a lessor in its rental contracts with customers. The term of these rental contracts is generally short-term in nature, and the Company believes these rentals would be treated as operating leases under the new guidance; however, the Company has not completed a detailed review of its various lease and rental arrangements, and these conclusions are subject to change.

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
	Dec. 31, 2018
Revenue From Contract With Customer [Abstract]
Summary of Revenue from the Sale of Products and Services Under Contracts with Customers Excludes All Revenue Earned from Rental Contracts by Operating Segments	For each of the Company’s operating segments, the following table presents revenue from the sale of products and services under contracts with customers. The table excludes all revenue earned from rental contracts (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Oil and Gas Markets Traditional exploration product revenue $ 2,726 $ 3,599 Wireless exploration product revenue 144 2,623 Reservoir product revenue 888 618 Total revenue 3,758 6,840 Adjacent Markets Industrial product revenue 3,562 3,676 Imaging product revenue 3,051 2,758 Total revenue 6,613 6,434 Emerging Markets Revenue 88 — Total $ 10,459 $ 13,274
Summary of Revenue from the Sale of Products and Services Under Contracts with Customers Excludes All Revenue Earned from Rental Contracts by Geographic Areas	For each of the geographic areas where the Company operates, the following table presents revenue from the sale of products and services under contracts with customers. The table excludes all revenue earned from rental contracts (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Asia $ 1,558 $ 1,006 Canada 288 365 Europe 915 3,419 United States 6,610 8,023 Other 1,088 461 Total $ 10,459 $ 13,274

Short-term Investments (Tables)

Short-term Investments (Tables)	3 Months Ended
	Dec. 31, 2018
Investments Debt And Equity Securities [Abstract]
Short-term Investments	As of December 31, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate bonds $ 6,289 $ — $ (25 ) $ 6,264 Government bonds 3,224 7 — 3,231 Total $ 9,513 $ 7 $ (25 ) $ 9,495 As of September 30, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate bonds $ 17,851 $ — $ (60 ) $ 17,791 Government bonds 7,702 — (22 ) 7,680 Total $ 25,553 $ — $ (82 ) $ 25,471

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	3 Months Ended
	Dec. 31, 2018
Derivative Instruments And Hedging Activities Disclosure [Abstract]
Gross Fair Value of all Derivative Instruments	The following table summarizes the gross fair value of all derivative instruments, which are not designated as hedging instruments and their location in the consolidated balance sheets (in thousands). Derivative Instrument Location December 31, 2018 September 30, 2018 Foreign Currency Forward Contracts Prepaid Expenses and Other Assets $ 2 $ — Foreign Currency Forward Contracts Accrued Expenses and Other Current Liabilities — 270
Company's Derivatives on Consolidated Financial Statements of Operations	The following table summarizes the Company’s realized gains on derivative instruments included in the consolidated statements of operations for the three months ended December 31, 2018 and 2017 (in thousands): Three Months Ended Derivative Instrument Location December 31, 2018 December 31, 2017 Foreign Currency Forward Contracts Other Income (Expense) $ 856 $ 158

Trade Accounts and Financing _2

Trade Accounts and Financing Receivables (Tables)	3 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Trade Accounts Receivable, Net	Trade accounts receivable, net are reflected in the following table (in thousands): December 31, 2018 September 30, 2018 Trade accounts receivable $ 13,385 $ 15,776 Allowance for doubtful accounts (986 ) (1,453 ) $ 12,399 $ 14,323
Financing Receivables	Financing receivables are reflected in the following table (in thousands): December 31, 2018 September 30, 2018 Promissory notes $ 5,170 $ 5,646 Sales-type lease 4,590 5,533 Total financing receivables 9,760 11,179 Unearned income: Promissory notes (95 ) (95 ) Sales-type lease (180 ) (237 ) Total unearned income (275 ) (332 ) Total financing receivables, net of unearned income 9,485 10,847 Allowance for doubtful promissory notes (1,849 ) (1,849 ) Less current portion (3,843 ) (4,258 ) Non-current financing receivables $ 3,793 $ 4,740

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventories	Inventories consist of the following (in thousands): December 31, 2018 September 30, 2018 Finished goods $ 14,712 $ 18,802 Work in process 7,405 7,926 Raw material 57,099 54,290 Obsolescence reserve (30,648 ) (30,551 ) 48,568 50,467 Less current portion 17,565 18,812 Non-current portion $ 31,003 $ 31,655

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	3 Months Ended
	Dec. 31, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
Schedule of Goodwill and Other Intangible Assets	As a result of this acquisition and the acquisition of Quantum Technology Sciences (“Quantum”) in July 2018, the Company’s consolidated intangible assets consisted of the following (in thousands): Weighted- Average Remaining Useful Lives (in years) December 31, 2018 September 30, 2018 Goodwill $ 5,980 $ 4,343 Other intangible assets: Developed technology 17.7 6,419 4,200 Customer relationships 3.7 4,200 2,500 Trade names 4.7 1,930 1,400 Non-compete agreements 3.7 170 100 Total other intangible assets 10.9 12,719 8,200 Accumulated amortization (556 ) (194 ) $ 12,163 $ 8,006
Future Estimated Amortization Expense of Other intangible Assets	As of December 31, 2018, future estimated amortization expense of other intangible assets is as follows (in thousands): For fiscal years ending September 30, 2019 $ 1,376 2020 1,835 2021 1,835 2022 1,727 2023 751 Thereafter 4,639 $ 12,163

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Dec. 31, 2018
Stockholders Equity Note [Abstract]
Accumulated Other Comprehensive Loss	Accumulated other comprehensive loss consisted of the following (in thousands): Unrealized Losses on Available-for-Sale Securities Foreign Currency Translation Adjustments Totals Balance at October 1, 2018 $ (82 ) $ (15,537 ) $ (15,619 ) Changes in unrealized gain on available-for-sale securities, net of tax 64 — 64 Foreign currency translation adjustments — (218 ) (218 ) Balance at December 31, 2018 $ (18 ) $ (15,755 ) $ (15,773 )

Loss Per Common Share (Tables)

Loss Per Common Share (Tables)	3 Months Ended
	Dec. 31, 2018
Earnings Per Share [Abstract]
Calculation of Net Loss and Weighted Average Common Shares and Common Equivalent Shares Outstanding for Computation of Loss Per Share	The following table summarizes the calculation of net loss and weighted average common shares and common equivalent shares outstanding for purposes of the computation of loss per share (in thousands, except share and per share data): Three Months Ended December 31, 2018 December 31, 2017 Net loss $ (5,853 ) $ (9,480 ) Less: Loss allocable to unvested restricted stock — — Loss available to common shareholders (5,853 ) (9,480 ) Reallocation of participating earnings — — Loss attributable to common shareholders for diluted earnings per share $ (5,853 ) $ (9,480 ) Weighted average number of common share equivalents: Common shares used in basic loss per share 13,339,408 13,202,384 Common share equivalents outstanding related to stock options and RSUs — — Total weighted average common shares and common share equivalents used in diluted loss per share 13,339,408 13,202,384 Loss per share: Basic $ (0.44 ) $ (0.72 ) Diluted $ (0.44 ) $ (0.72 )

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Summary of Company's Segment Information	The following table summarizes the Company’s segment information (in thousands): Three Months Ended December 31, 2018 December 31, 2017 Revenue: Oil and Gas Markets $ 11,004 $ 8,039 Adjacent Markets 6,635 6,454 Emerging Markets 88 — Corporate 148 151 Total $ 17,875 $ 14,644 Income (loss) from operations: Oil and Gas Markets $ (2,601 ) $ (7,673 ) Adjacent Markets 982 1,029 Emerging Markets (1,192 ) — Corporate (3,252 ) (2,961 ) Total $ (6,063 ) $ (9,605 )

Significant Accounting Polici_3

Significant Accounting Policies - Additional Information (Details)	Dec. 31, 2018USD ($)
Accounting Policies [Abstract]
Cash and cash equivalents held by foreign subsidiaries and branch offices	$ 7,600,000
Restricted cash	$ 0

Revenue Recognition - Additiona

Revenue Recognition - Additional Information (Details) - USD ($)	3 Months Ended
	Dec. 31, 2018	Sep. 30, 2018
Disaggregation Of Revenue [Line Items]
Deferred contract liability revenue recognized	$ 100,000
Prepaid expenses and other current asset revenue recognized	8,000
Deferred Revenue
Disaggregation Of Revenue [Line Items]
Deferred contract liabilities	100,000	$ 200,000
Prepaid Expenses and Other Current Assets
Disaggregation Of Revenue [Line Items]
Deferred contract assets	$ 36,000	$ 27,000

Summary of Revenue from the Sal

Summary of Revenue from the Sale of Products and Services Under Contracts with Customers Excludes All Revenue Earned from Rental Contracts by Operating Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Disaggregation Of Revenue [Line Items]
Total revenue	$ 10,459	$ 13,274
Operating Segments
Disaggregation Of Revenue [Line Items]
Total revenue	10,459	13,274
Operating Segments | Oil and Gas Markets
Disaggregation Of Revenue [Line Items]
Total revenue	3,758	6,840
Operating Segments | Oil and Gas Markets | Traditional Exploration Product Revenue
Disaggregation Of Revenue [Line Items]
Total revenue	2,726	3,599
Operating Segments | Oil and Gas Markets | Wireless Exploration Product Revenue
Disaggregation Of Revenue [Line Items]
Total revenue	144	2,623
Operating Segments | Oil and Gas Markets | Reservoir Product Revenue
Disaggregation Of Revenue [Line Items]
Total revenue	888	618
Operating Segments | Adjacent Markets
Disaggregation Of Revenue [Line Items]
Total revenue	6,613	6,434
Operating Segments | Adjacent Markets | Industrial Product Revenue
Disaggregation Of Revenue [Line Items]
Total revenue	3,562	3,676
Operating Segments | Adjacent Markets | Imaging Product Revenue
Disaggregation Of Revenue [Line Items]
Total revenue	3,051	$ 2,758
Operating Segments | Emerging Markets
Disaggregation Of Revenue [Line Items]
Total revenue	$ 88

Summary of Revenue from the S_2

Summary of Revenue from the Sale of Products and Services Under Contracts with Customers Excludes All Revenue Earned from Rental Contracts by Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Disaggregation Of Revenue [Line Items]
Total revenue	$ 10,459	$ 13,274
Operating Segments
Disaggregation Of Revenue [Line Items]
Total revenue	10,459	13,274
Operating Segments | Asia
Disaggregation Of Revenue [Line Items]
Total revenue	1,558	1,006
Operating Segments | Canada
Disaggregation Of Revenue [Line Items]
Total revenue	288	365
Operating Segments | Europe
Disaggregation Of Revenue [Line Items]
Total revenue	915	3,419
Operating Segments | United States
Disaggregation Of Revenue [Line Items]
Total revenue	6,610	8,023
Operating Segments | Other
Disaggregation Of Revenue [Line Items]
Total revenue	$ 1,088	$ 461

Business Acquisition - Addition

Business Acquisition - Additional Information (Details) - USD ($)	Nov. 13, 2018	Dec. 31, 2018	Sep. 30, 2018
Business Acquisition [Line Items]
Acquisition purchase price		$ 1,819,000
Contingent earn-out liability		$ 12,055,000	$ 7,713,000
Optoseis Technology
Business Acquisition [Line Items]
Business acquisition date	Nov. 13, 2018
Acquisition purchase price	$ 1,800,000
Contingent payments maximum earn-out amount	$ 23,200,000
Contingent payments earn-out period	5 years 6 months
Goodwill and other intangible assets	$ 6,100,000
Contingent earn-out liability	4,300,000
Current assets acquired	0
Current liabilities acquired	0
Acquisition related legal costs	$ 200,000

Short-term Investments (Details

Short-term Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Schedule Of Available For Sale Securities [Line Items]
Short-term Investments, Amortized Cost	$ 9,513	$ 25,553
Short-term Investments, Unrealized Gains	7
Short-term Investments, Unrealized Losses	(25)	(82)
Short-term Investments, Estimated Fair Value	9,495	25,471
Corporate bonds
Schedule Of Available For Sale Securities [Line Items]
Short-term Investments, Amortized Cost	6,289	17,851
Short-term Investments, Unrealized Losses	(25)	(60)
Short-term Investments, Estimated Fair Value	6,264	17,791
Government bonds
Schedule Of Available For Sale Securities [Line Items]
Short-term Investments, Amortized Cost	3,224	7,702
Short-term Investments, Unrealized Gains	7
Short-term Investments, Unrealized Losses		(22)
Short-term Investments, Estimated Fair Value	$ 3,231	$ 7,680

Short-term Investments - Additi

Short-term Investments - Additional Information (Details)	3 Months Ended
	Dec. 31, 2018
Short Term Investments [Abstract]
Short-term investments, contractual maturity period range start	2019-02
Short-term investments, contractual maturity period range end	2020-11

Derivative Financial Instrume_3

Derivative Financial Instruments - Additional Information (Details) - CAD ($) $ in Millions	Dec. 28, 2018	Dec. 31, 2018	Sep. 30, 2018
Canadian Dollar Forward Contract
Derivative [Line Items]
Foreign currency forward contract to hedge	$ 15
Foreign currency forward contract term	90 days
Canadian Subsidiary
Derivative [Line Items]
Denominated intercompany accounts payable		$ 19.6	$ 20.4

Gross Fair Value of all Derivat

Gross Fair Value of all Derivative Instruments (Details) - Foreign Currency Forward Contracts - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Prepaid Expenses and Other Assets
Derivatives Fair Value [Line Items]
Derivatives Liabilities	$ 2
Accrued Expenses and Other Current Liabilities
Derivatives Fair Value [Line Items]
Derivatives Liabilities		$ 270

Company's Derivatives on Consol

Company's Derivatives on Consolidated Financial Statements of Operations (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Foreign Currency Forward Contracts | Other Income (Expense)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Amount of (Loss) Gain Recognized in Income	$ 856	$ 158

Trade Accounts Receivable, Net

Trade Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Current trade accounts receivable
Trade accounts receivable	$ 13,385	$ 15,776
Allowance for doubtful accounts	(986)	(1,453)
Total current trade accounts receivable	$ 12,399	$ 14,323

Trade Accounts and Financing _3

Trade Accounts and Financing Receivables - Additional Information (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Accounts Notes And Loans Receivable [Line Items]
Trade accounts receivable	$ 13,385	$ 15,776
Single Customer
Accounts Notes And Loans Receivable [Line Items]
Trade accounts receivable	$ 6,800

Financing Receivables (Details)

Financing Receivables (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Accounts Notes And Loans Receivable [Line Items]
Total financing receivables	$ 9,760	$ 11,179
Total unearned income	(275)	(332)
Total financing receivables, net of unearned income	9,485	10,847
Allowance for doubtful promissory notes	(1,849)	(1,849)
Less current portion	(3,843)	(4,258)
Non-current financing receivables	3,793	4,740
Promissory Notes
Accounts Notes And Loans Receivable [Line Items]
Total financing receivables	5,170	5,646
Total unearned income	(95)	(95)
Sales Type Lease
Accounts Notes And Loans Receivable [Line Items]
Total financing receivables	4,590	5,533
Total unearned income	$ (180)	$ (237)

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Inventory Disclosure [Abstract]
Finished goods	$ 14,712	$ 18,802
Work in process	7,405	7,926
Raw material	57,099	54,290
Obsolescence reserve	(30,648)	(30,551)
Total	48,568	50,467
Less current portion	17,565	18,812
Non-current portion	$ 31,003	$ 31,655

Inventories - Additional Inform

Inventories - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Sep. 30, 2018
Inventory Disclosure [Abstract]
Inventories transferred to rental equipment	$ 7.4	$ 2
Raw materials include semi-finished goods and component parts	$ 26.7		$ 29

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Additional Information (Details) - USD ($)	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Nov. 30, 2018	Sep. 30, 2018
Goodwill And Other Intangible Assets [Line Items]
Goodwill	$ 5,980,000			$ 4,343,000
Amortization expense	362,000	$ 0
Optoseis Technology
Goodwill And Other Intangible Assets [Line Items]
Goodwill	5,980,000		$ 1,600,000	4,343,000
Other intangible assets	$ 12,719,000		$ 4,500,000	$ 8,200,000

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Schedule of Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Nov. 30, 2018	Sep. 30, 2018
Goodwill And Other Intangible Assets [Line Items]
Goodwill	$ 5,980		$ 4,343
Other intangible assets, net	12,163		8,006
Optoseis Technology
Goodwill And Other Intangible Assets [Line Items]
Goodwill	5,980	$ 1,600	4,343
Total other intangible assets	12,719	$ 4,500	8,200
Accumulated amortization	(556)		(194)
Other intangible assets, net	$ 12,163		8,006
Weighted-Average Remaining Useful Lives (in years)	10 years 10 months 24 days
Optoseis Technology | Developed Technology
Goodwill And Other Intangible Assets [Line Items]
Total other intangible assets	$ 6,419		4,200
Weighted-Average Remaining Useful Lives (in years)	17 years 8 months 12 days
Optoseis Technology | Customer Relationships
Goodwill And Other Intangible Assets [Line Items]
Total other intangible assets	$ 4,200		2,500
Weighted-Average Remaining Useful Lives (in years)	3 years 8 months 12 days
Optoseis Technology | Trade Names
Goodwill And Other Intangible Assets [Line Items]
Total other intangible assets	$ 1,930		1,400
Weighted-Average Remaining Useful Lives (in years)	4 years 8 months 12 days
Optoseis Technology | Non-compete Agreements
Goodwill And Other Intangible Assets [Line Items]
Total other intangible assets	$ 170		$ 100
Weighted-Average Remaining Useful Lives (in years)	3 years 8 months 12 days

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Future Estimated Amortization Expense Of Other intangible Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
2,019	$ 1,376
2,020	1,835
2,021	1,835
2,022	1,727
2,023	751
Thereafter	4,639
Other intangible assets, net	$ 12,163	$ 8,006

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Beginning Balance	$ 176,587	$ 194,803
Changes in unrealized gain on available-for-sale securities, net of tax	64	(51)
Foreign currency translation adjustments	(218)	(205)
Ending Balance	171,397	185,893
Unrealized Losses on Available-for-Sale Securities
Beginning Balance	(82)
Changes in unrealized gain on available-for-sale securities, net of tax	64
Ending Balance	(18)
Foreign Currency Translation Adjustments
Beginning Balance	(15,537)
Foreign currency translation adjustments	(218)
Ending Balance	(15,755)
Accumulated Other Comprehensive Loss
Beginning Balance	(15,619)	(14,230)
Ending Balance	$ (15,773)	$ (14,486)

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended	12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation expense	$ 0.1
Expected period for recognition of unrecognized compensation expense	9 months 18 days
Nonqualified stock options unvested and outstanding	165,600
Restricted Stock Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share unvested and outstanding	236,562
Restricted Stock Awards | 2014 Long Term Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares issued	8,000
Weighted average grant date fair value of the restricted stock	$ 14.59
Grant date fair value of restricted stock issued	$ 0.1
Restricted stock restriction period	4 years
Unrecognized compensation expense	$ 3.7
Expected period for recognition of unrecognized compensation expense	2 years 6 months
Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share unvested and outstanding	147,800
Restricted Stock Units (RSUs) | 2014 Long Term Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares issued	147,800
Weighted average grant date fair value of the restricted stock	$ 15.17
Restricted stock restriction period	4 years
Unrecognized compensation expense		$ 2.2
Expected period for recognition of unrecognized compensation expense		3 years 10 months 24 days
Grant date fair value of restricted stock	$ 2.2
Restricted stock units vesting rights	Each RSU represents a contingent right to receive one share of the Company’s common stock upon vesting.

Loss Per Common Share - Additio

Loss Per Common Share - Additional Information (Details)	3 Months Ended		9 Months Ended
	Dec. 31, 2018shares	Dec. 31, 2017shares	Jun. 30, 2018
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Split of common stock ratio			2
Stock Options
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Number of stock excluded from calcuation of weighted average shares outstandiing	165,600	201,800
Non-Vested RSUs
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Number of stock excluded from calcuation of weighted average shares outstandiing	147,800	0

Calculation of Net Loss and Wei

Calculation of Net Loss and Weighted Average Common Shares and Common Equivalent Shares Outstanding for Computation of Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Earnings Per Share [Abstract]
Net loss	$ (5,853)	$ (9,480)
Loss available to common shareholders	(5,853)	(9,480)
Loss attributable to common shareholders for diluted earnings per share	$ (5,853)	$ (9,480)
Weighted average number of common share equivalents:
Common shares used in basic loss per share	13,339,408	13,202,384
Total weighted average common shares and common share equivalents used in diluted loss per share	13,339,408	13,202,384
Loss per share:
Basic	$ (0.44)	$ (0.72)
Diluted	$ (0.44)	$ (0.72)

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details) - USD ($)	Nov. 13, 2018	Jul. 27, 2018	Dec. 31, 2018	Sep. 30, 2018
Commitments And Contingencies [Line Items]
Contingent earn-out liability			$ 12,055,000	$ 7,713,000
Quantum
Commitments And Contingencies [Line Items]
Contingent earn-out liability		$ 7,700,000
Contingent payments earn-out period		4 years
Contingent payments maximum earn-out amount		$ 23,500,000
Optoseis Technology
Commitments And Contingencies [Line Items]
Contingent earn-out liability	$ 4,300,000
Contingent payments earn-out period	5 years 6 months
Contingent payments maximum earn-out amount	$ 23,200,000

Segment Information - Additiona

Segment Information - Additional Information (Details)	3 Months Ended
	Dec. 31, 2018Segment
Segment Reporting [Abstract]
Number of operating segments	3

Summary of Company's Segment In

Summary of Company's Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Revenue	$ 17,875	$ 14,644
Income (loss) from operations	(6,063)	(9,605)
Operating Segments | Oil and Gas Markets
Segment Reporting Information [Line Items]
Revenue	11,004	8,039
Income (loss) from operations	(2,601)	(7,673)
Operating Segments | Adjacent Markets
Segment Reporting Information [Line Items]
Revenue	6,635	6,454
Income (loss) from operations	982	1,029
Operating Segments | Emerging Markets
Segment Reporting Information [Line Items]
Revenue	88
Income (loss) from operations	(1,192)
Corporate
Segment Reporting Information [Line Items]
Revenue	148	151
Income (loss) from operations	$ (3,252)	$ (2,961)

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2018	Dec. 31, 2017
Income Tax Disclosure [Abstract]
United States statutory tax rate	21.00%	24.50%	21.00%	35.00%
Decrease in deferred tax asset due to Tax Act		$ 8.1
Company's effective tax rates	(0.10%)	(0.10%)