Natural Gas Services (NGS) 10-Q 5 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 01, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	NATURAL GAS SERVICES GROUP INC
Entity Central Index Key	1,084,991
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		12,937,363

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current Assets:
Cash and cash equivalents	$ 74,370	$ 64,094
Trade accounts receivable, net of allowance for doubtful accounts of $646 and $597, respectively	4,681	7,378
Inventory, net	23,900	25,833
Prepaid income taxes	123	1,482
Prepaid expenses and other	401	972
Total current assets	103,475	99,759
Rental equipment, net of accumulated depreciation of $130,990 and $126,096, respectively	169,500	174,060
Property and equipment, net of accumulated depreciation of $11,248 and $11,267 respectively	7,432	7,753
Goodwill	10,039	10,039
Intangibles, net of accumulated amortization of $1,539 and $1,508, respectively	1,620	1,651
Other assets	375	262
Total assets	292,441	293,524
Current Liabilities:
Line of credit	417	417
Accounts payable	496	971
Accrued liabilities	3,430	2,887
Deferred income	484	2,225
Total current liabilities	4,827	6,500
Rental equipment, net of accumulated depreciation of $130,990 and $126,096, respectively	52,479	53,745
Other long-term liabilities	372	325
Total liabilities	57,678	60,570
Commitments and contingencies (Note 9)
Stockholders’ Equity:
Preferred stock, 5,000 shares authorized, no shares issued or outstanding	0	0
Common stock, 30,000 shares authorized, par value $0.01; 12,818 and 12,764 shares issued and outstanding, respectively	128	128
Additional paid-in capital	102,369	100,812
Retained earnings	132,266	132,014
Total stockholders' equity	234,763	232,954
Total liabilities and stockholders' equity	$ 292,441	$ 293,524

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current Assets:
Allowance for doubtful accounts	$ 646	$ 597
Noncurrent Assets:
Accumulated depreciation, rental equipment	130,990	126,096
Accumulated depreciation, property and equipment	11,248	11,267
Accumulated amortization, intangibles	$ 1,539	$ 508
Stockholders’ Equity:
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	30,000,000	30,000,000
Common stock, par value (in USD per share)	$ 0.01	$ 0.01
Common stock, shares issued	12,818,000	12,764,000
Common stock, shares outstanding	12,818,000	12,764,000

Condensed Consolidated Income S

Condensed Consolidated Income Statements - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Revenue:
Rental income	$ 11,922	$ 16,408
Sales	6,637	4,910
Service and maintenance income	343	258
Total revenue	18,902	21,576
Operating costs and expenses:
Cost of rentals, exclusive of depreciation stated separately below	4,668	5,694
Cost of sales, exclusive of depreciation stated separately below	5,423	3,932
Cost of service and maintenance	94	111
Selling, general and administrative expense	3,046	2,569
Depreciation and amortization	5,328	5,503
Total operating costs and expenses	18,559	17,809
Operating income	343	3,767
Other income (expense):
Interest expense	(2)	(2)
Other income	3	19
Total other income, net	1	17
Income before provision for income taxes	344	3,784
Provision for income taxes	92	1,243
Net income	$ 252	$ 2,541
Earnings per share:
Basic (in USD per share)	$ 0.02	$ 0.20
Diluted (in USD per share)	$ 0.02	$ 0.20
Weighted average shares outstanding:
Basic (in shares)	12,804	12,648
Diluted (in shares)	13,056	12,838

Condensed Consolidated Statemen

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 252	$ 2,541
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	5,328	5,503
Deferred income taxes	(1,266)	135
Stock-based compensation	1,532	648
Bad debt allowance	60	29
Gain on sale of assets	(27)	(25)
Gain on company owned life insurance	(12)	(3)
Changes in operating assets and liabilities:
Trade accounts receivables	2,637	(1,769)
Inventory	1,981	2,791
Prepaid expenses	1,930	165
Accounts payable and accrued liabilities	68	68
Deferred income	(1,741)	(86)
Other	43	51
Tax benefit from equity compensation	0	(15)
NET CASH PROVIDED BY OPERATING ACTIVITIES	10,785	10,033
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(464)	(1,942)
Purchase of company owned life insurance	(93)	(48)
Proceeds from sale of property and equipment	27	25
NET CASH USED IN INVESTING ACTIVITIES	(530)	(1,965)
CASH FLOWS FROM FINANCING ACTIVITIES:
Payments from other long-term liabilities, net	(4)	(3)
Proceeds from exercise of stock options	517	352
Taxes paid related to net share settlement of equity awards	(492)	(909)
Tax benefit from equity compensation	0	15
NET CASH PROVIDED BY/(USED IN) FINANCING ACTIVITIES	21	(545)
NET CHANGE IN CASH AND CASH EQUIVALENTS	10,276	7,523
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	64,094	35,532
CASH AND CASH EQUIVALENTS AT END OF PERIOD	74,370	43,055
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid	2	2
Income taxes paid	0	1,550
NON-CASH TRANSACTIONS
Transfer of rental equipment components to inventory	$ 48	$ 164

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	Basis of Presentation and Summary of Significant Accounting Policies These notes apply to the unaudited condensed consolidated financial statements of Natural Gas Services Group, Inc. a Colorado corporation (the "Company", “NGSG”, "Natural Gas Services Group", "we" or "our"). The accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, which are necessary to make our financial position at March 31, 2017 and the results of our operations for the three months ended March 31, 2017 and 2016 not misleading. As permitted by the rules and regulations of the Securities and Exchange Commission (SEC), the accompanying condensed consolidated financial statements do not include all disclosures normally required by generally accepted accounting principles in the United States of America (GAAP). These financial statements should be read in conjunction with the financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2016 on file with the SEC. In our opinion, the condensed consolidated financial statements are a fair presentation of the financial position, results of operations and cash flows for the periods presented. The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the results of operations to be expected for the full fiscal year ending December 31, 2017 . Revenue Recognition Revenue from the sales of custom and fabricated compressors, and flare systems is recognized when title passes to the customer, the customer assumes risks and rewards of ownership, collectability is reasonably assured and delivery occurs as directed by our customer. From time to time, we have customers that request units and flares to be built under a bill and hold arrangement. In order to recognize revenue under a bill and hold arrangement the following criteria must be met: risk of ownership was passed to the customer, customer made a fixed commitment to purchase the goods, the customer requested the bill and hold, there was a fixed schedule for delivery, we no longer had any specific performance obligations, the purchase was segregated at our facility and the equipment was complete and ready to ship. For the three months ended March 31, 2017 , we recognized revenue of $837,000 under these bill and hold arrangements. Exchange and rebuilt compressor revenue is recognized when the replacement compressor has been delivered and the rebuild assessment has been completed. Revenue from compressor service and retrofitting services is recognized upon providing services to the customer. Maintenance agreement revenue is recognized as services are rendered. Rental revenue is recognized over the terms of the respective rental agreements. Deferred income represents payments received before a product is shipped. Revenue from the sale of rental units is included in sales revenue when equipment is shipped or title is transferred to the customer. Fair Value of Financial Instruments Our financial instruments consist principally of cash and cash equivalents, accounts receivable, accounts payable, deferred compensation plan (cash portion) and our line of credit. Pursuant to ASC 820 (Accounting Standards Codification), the fair value of our cash equivalents is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our other financial instruments approximate their fair values because of their nature and relatively short maturity dates or durations. Recently Issued Accounting Pronouncements On January 1, 2017, we adopted Accounting Standards Update (“ASU”) No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU simplifies several aspects of accounting for share-based payment transactions, including the income tax impact, classification of awards as equity or liabilities, classifications on the statement of cash flows and forfeitures. The section of the update that will have the most impact on our financial statements will be how the excess tax benefits and tax deficiencies on stock-based compensation awards are recorded. These items are now included in our tax provision within our condensed consolidated statement of operations as discrete items in the reporting period in which they occur, rather than in previous accounting of being recorded in additional paid-in capital on our condensed consolidated balance sheets. We have also elected to continue our current policy of estimating forfeitures of stock-based compensation awards at the time of grant and revising in subsequent periods to reflect actual forfeitures. We applied the update prospectively beginning January 1, 2017, and the adoption did not have a material impact on our condensed consolidated financial statements. On February 25, 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-02, Leases (Topic 842). Under the new guidance, a lessee will be required to recognize assets and liabilities for capital and operating leases with lease terms of more than 12 months. Additionally, this ASU will require disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases, including qualitative and quantitative requirements. For public business entities, the amendments are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The new standard will be effective during our first quarter ending March 31, 2019. We are currently determining the impacts of the new standard on our condensed consolidated financial statements and the additional applicable disclosure requirements. On May 28, 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). This update provides a five-step analysis on how an entity should recognize revenue 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. This guidance also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. In August 2015, the FASB issued an accounting standards update for a one-year deferral of the revenue recognition standard’s effective date for all entities, which changed the effectiveness to interim and annual reporting periods beginning after December 15, 2017. As a result, we expect to adopt this guidance on January 1, 2018. This standard is required to be applied either retrospectively to each prior reporting period presented or retrospectively with the cumulative effect of initially applying it recognized at the date of initial application. We have not yet selected the transition method. We are currently determining the impacts of the new standard on our consolidated financial statements. Our approach includes performing a detailed review of key contracts representative of our revenue units and comparing historical accounting policies and practices to the new standard. A majority of our revenue transactions are short-term in nature, and our assessment at this stage is that we do not expect the new revenue recognition standard will have a material impact on our financial position or results of operations upon adoption.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	Stock-Based Compensation Stock Options: A summary of option activity under our 1998 Stock Option Plan as of December 31, 2016 , and changes during the three months ended March 31, 2017 is presented below. Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) Aggregate Intrinsic Value (in thousands) Outstanding, December 31, 2016 350,186 $ 19.45 4.25 $ 4,453 Granted 32,750 28.15 Exercised (25,580 ) 20.19 271 Canceled/Forfeited — — Outstanding, March 31, 2017 357,356 $ 20.19 4.68 $ 2,399 Exercisable, March 31, 2017 305,441 $ 19.11 3.92 $ 2,345 The following table summarizes information about our stock options outstanding at March 31, 2017 : Range of Exercise Prices Options Outstanding Options Exercisable Shares Weighted Average Remaining Contractual Life (years) Weighted Average Exercise Price Shares Weighted Average Exercise Price $0.01-15.70 65,852 2.31 $ 9.82 65,852 $ 9.82 $15.71-17.81 72,750 2.54 17.53 72,750 17.53 $17.82-20.48 86,836 3.09 19.60 86,836 19.60 $20.49-33.36 131,918 8.09 27.23 80,003 27.67 357,356 4.68 $ 20.19 305,441 $ 19.11 The summary of the status of our unvested stock options as of December 31, 2016 and changes during the three months ended March 31, 2017 is presented below. Unvested stock options: Shares Weighted Average Grant Date Fair Value Per Share Unvested at December 31, 2016 50,833 $ 12.67 Granted 32,750 11.93 Vested (31,668 ) 13.56 Canceled/Forfeited — — Unvested at March 31, 2017 51,915 $ 11.66 As of March 31, 2017 , there was $491,128 of unrecognized compensation cost related to unvested options. Such cost is expected to be recognized over a weighted-average period of three years. Total compensation expense for stock options was $124,331 and $166,523 for the three months ended March 31, 2017 and 2016 , respectively. Restricted Stock: In accordance with the Company's employment agreement with Stephen Taylor, the Company's Chief Executive Officer, the Compensation Committee reviewed his performance in determining the issuance of restricted common stock. Based on this review which included consideration of the Company's 2016 performance, Mr. Taylor, was awarded 70,464 restricted shares on February 14, 2017 , which vest over three years , in equal installments, beginning February 14, 2018. On March 23, 2017 , the Compensation Committee awarded 20,000 shares of restricted common stock to each of G. Larry Lawrence, our CFO, and James Hazlett, our Vice President of Technical Services. The restricted shares to Messrs. Hazlett and Lawrence vest over three years , in equal installments, beginning March 23, 2018. We also awarded and issued 15,968 shares of restricted common stock to our Board of Directors as partial payment for 2017 directors' fees. The restricted stock issued to our directors vests over one year, in quarterly installments, beginning March 31, 2018. Total compensation expense related to restricted stock awards was $1,408,265 and $481,753 for the three months ended March 31, 2017 and 2016 , respectively. As of March 31, 2017 , there was a total of $3,649,957 of unrecognized compensation expense related to these shares which is expected to be recognized over the next two years.

Inventory

Inventory	3 Months Ended
	Mar. 31, 2017
Inventory Disclosure [Abstract]
Inventory	Inventory Our inventory, net of allowance for obsolescence of $ 16,458 and $15,000 at March 31, 2017 and December 31, 2016 , respectively, consisted of the following amounts: March 31, 2017 December 31, 2016 (in thousands) Raw materials $ 18,183 $ 18,365 Finished Goods 1,008 2,558 Work in process 4,709 4,910 $ 23,900 $ 25,833 During the three months ended March 31, 2017 and 2016, there were no write-offs of obsolete inventory against the allowance for obsolescence.

Retirement of Long-Lived Assets

Retirement of Long-Lived Assets	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Retirement of Long-Lived Assets	Retirement of Long-Lived Assets During the annual review of our rental compressor units, management looks for any units that are not of the type, configuration, make or model that our customers are demanding or that were not cost efficient to refurbish, maintain and/or operate. From our review in 2016, we determined 63 units should be retired from our rental fleet with key components from those units being re-utilized in future unit builds and/or repairs. We performed an optimization review and recorded a $545,000 loss on retirement of rental equipment to reduce the book value of each unit to the estimated fair value of approximately $242,000 for key components being kept. This retirement was recorded in the 2016 consolidated income statement under loss on retirement of rental equipment. No retirements have been made in 2017.

Deferred Compensation Plans

Deferred Compensation Plans	3 Months Ended
	Mar. 31, 2017
Postemployment Benefits [Abstract]
Deferred Compensation Plans	Deferred Compensation Plans Effective January 1, 2016, the Company established a non-qualified deferred compensation plan for executive officers, directors and certain eligible employees. The assets of the deferred compensation plan are held in a rabbi trust and are subject to additional risk of loss in the event of bankruptcy or insolvency of the Company. The plan allows for deferral of up to 90% of a participant’s base salary, bonus, commissions, director fees and restricted stock awards. A Company owned life insurance policy held in a rabbi trust is utilized as a source of funding for the plan. The cash surrender value of the life insurance policy is $ 312,000 and $51,000 as of March 31, 2017 and 2016, respectively, with a gain related to the policy of approximately $12,000 and $3,000 reported in other income in the condensed consolidated income statement for the three months ending March 31, 2017 and 2016, respectively. For deferrals of base salary, bonus, commissions and director fees, settlement payments are made to participants in cash, either in a lump sum or in periodic installments. The obligation to pay the deferred compensation and the deferred director fees is adjusted to reflect the positive or negative performance of investment measurement options selected by each participant and was $261,000 and $51,000 as of March 31, 2017 and 2016, respectively. The deferred obligation is included in other long-term liabilities in the condensed consolidated balance sheet. For deferrals of restricted stock, the plan does not allow for diversification, therefore, distributions are paid in shares of common stock and the obligation is carried at grant value. As of March 31, 2017 , 97,011 unvested shares have been deferred.

Credit Facility

Credit Facility	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Credit Facility	Credit Facility We have a senior secured revolving credit agreement the "Amended Credit Agreement" with JP Morgan Chase Bank, N.A (the "Lender") with an aggregate commitment of $30 million , subject to collateral availability. We also have a right to request from the Lender, on an uncommitted basis, an increase of up to $20 million on the aggregate commitment (which could potentially increase the commitment amount to $50 million ). Borrowing Base . At any time before the maturity of the Amended Credit Agreement, we may draw, repay and re-borrow amounts available under the borrowing base up to the maximum aggregate availability discussed above. Generally, the borrowing base equals the sum of (a) 80% of our eligible accounts receivable plus (b) 50% of the book value of our eligible general inventory (not to exceed 50% of the commitment amount at the time) plus (c) 75% of the book value of our eligible equipment inventory. The Lender may adjust the borrowing base components if material deviations in the collateral are discovered in future audits of the collateral. We had $ 29.5 million borrowing base availability at March 31, 2017 under the terms of our Amended Credit Agreement. Interest and Fees . Under the terms of the Amended Credit Agreement, we have the option of selecting the applicable variable rate for each revolving loan, or portion thereof, of either (a) LIBOR multiplied by the Statutory Reserve Rate (as defined in the Amended Credit Agreement), with respect to this rate, for Eurocurrency funding, plus the Applicable Margin (“LIBOR-based”), or (b) CB Floating Rate, which is the Lender's Prime Rate less the Applicable Margin; provided, however, that no more than three LIBOR-based borrowings under the agreement may be outstanding at any one time. For purposes of the LIBOR-based interest rate, the Applicable Margin is 1.50% . For purposes of the CB Floating Rate, the Applicable Margin is 1.50% . For the three month period ended March 31, 2017 , our weighted average interest rate was 2.24% . Accrued interest is payable monthly on outstanding principal amounts, provided that accrued interest on LIBOR-based loans is payable at the end of each interest period, but in no event less frequently than quarterly. In addition, fees and expenses are payable in connection with our requests for letters of credit (generally equal to the Applicable Margin for LIBOR-related borrowings multiplied by the face amount of the requested letter of credit) and administrative and legal costs. Maturity . The maturity date of the Amended Credit Agreement is December 31, 2017 , at which time all amounts borrowed under the agreement will be due and outstanding letters of credit must be cash collateralized. The agreement may be terminated early upon our request or the occurrence of an event of default. Security . The obligations under the Amended Credit Agreement are secured by a first priority lien on all of our inventory and accounts and leases receivables, along with a first priority lien on a variable number of our leased compressor equipment the book value of which must be maintained at a minimum of 2.00 to 1.00 commitment coverage ratio (such ratio being equal to (i) the amount of the borrowing base as of such date to (ii) the amount of the commitment as of such date.) Covenants. The Amended Credit Agreement contains customary representations and warranties, as well as covenants which, among other things, limit our ability to incur additional indebtedness and liens; enter into transactions with affiliates; make acquisitions in excess of certain amounts; pay dividends; redeem or repurchase capital stock or senior notes; make investments or loans; make negative pledges; consolidate, merge or effect asset sales; or change the nature of our business. In addition, we also have certain financial covenants that require us to maintain on a consolidated basis a leverage ratio less than or equal to 2.50 to 1.00 as of the last day of each fiscal quarter. Events of Default and Acceleration. The Amended Credit Agreement contains customary events of default for credit facilities of this size and type, and includes, without limitation, payment defaults; defaults in performance of covenants or other agreements contained in the loan documents; inaccuracies in representations and warranties; certain defaults, termination events or similar events; certain defaults with respect to any other Company indebtedness in excess of $50,000 ; certain bankruptcy or insolvency events; the rendering of certain judgments in excess of $150,000 ; certain ERISA events; certain change in control events and the defectiveness of any liens under the secured revolving credit facility. Obligations under the Amended Credit Agreement may be accelerated upon the occurrence of an event of default. As of March 31, 2017 , we were in compliance with all covenants in our Amended Credit Agreement. A default under our Credit Agreement could trigger the acceleration of our bank debt so that it is immediately due and payable. Such default would likely limit our ability to access other credit. At March 31, 2017 and December 31, 2016 our outstanding balance on the line of credit was $417,000 .

Earnings per Share

Earnings per Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Earnings per Share	Earnings per Share The following table reconciles the numerators and denominators of the basic and diluted earnings per share computation (in thousands, except per share data) . Three months ended March 31, 2017 2016 Numerator: Net income $ 252 $ 2,541 Denominator for basic net income per common share: Weighted average common shares outstanding 12,804 12,648 Denominator for diluted net income per share: Weighted average common shares outstanding 12,804 12,648 Dilutive effect of stock options and restricted stock 252 190 Diluted weighted average shares 13,056 12,838 Earnings per common share: Basic $ 0.02 $ 0.20 Diluted $ 0.02 $ 0.20 In the three months ended March 31, 2017 , options to purchase 83,917 shares of common stock with exercise prices ranging from $28.15 to $33.36 were not included in the computation of dilutive income per share, due to their antidilutive effect. In the three months ended March 31, 2016, options to purchase 187,500 shares of common stock with exercise prices ranging from $19.61 to $33.46 were not included in the computation of dilutive income per share, due to their antidilutive effect.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Segment Information	Segment Information ASC 280-10-50, “Operating Segments", defines the characteristics of an operating segment as a) being engaged in business activity from which it may earn revenue and incur expenses, b) being reviewed by the Company's chief operating decision maker (CODM) for decisions about resources to be allocated and assess its performance and c) having discrete financial information. Although we look at our products to analyze the nature of our revenue, other financial information, such as certain costs and expenses, net income and EBITDA are not captured or analyzed by these categories. Our CODM does not make resource allocation decisions or access the performance of the business based on these categories, but rather in the aggregate. Based on this, management believes that it operates in one business segment. In their analysis of product lines as potential operating segments, management also considered ASC 280-10-50-11, “Aggregation Criteria”, which allows for the aggregation of operating segments if the segments have similar economic characteristics and if the segments are similar in each of the following areas: • The nature of the products and services; • The nature of the production processes; • The type or class of customer for their products and services; • The methods used to distribute their products or provide their services; and • The nature of the regulatory environment, if applicable. We are engaged in the business of designing and manufacturing compressors and flares. Our compressors and flares are sold and rented to our customers. In addition, we provide service and maintenance on compressors in our fleet and to third parties. These business activities are similar in all geographic areas. Our manufacturing process is essentially the same for the entire Company and is performed in-house at our facilities in Midland, Texas and Tulsa, Oklahoma. Our customers primarily consist of entities in the business of producing natural gas and crude oil. The maintenance and service of our products is consistent across the entire Company and is performed via an internal fleet of vehicles. The regulatory environment is similar in every jurisdiction in that the most impacting regulations and practices are the result of federal energy policy. In addition, the economic characteristics of each customer arrangement are similar in that we maintain policies at the corporate level. For the three months ended March 31, 2017 (in thousands): Rental Sales Service & Maintenance Corporate Total Revenue $ 11,922 $ 6,637 $ 343 $ — $ 18,902 Operating costs and corporate expenses 4,668 5,423 94 8,374 18,559 Total other expense, net — — 1 1 Income before provision for income taxes $ 7,254 $ 1,214 $ 249 $ (8,373 ) $ 344 For the three months ended March 31, 2016 (in thousands): Rental Sales Service & Maintenance Corporate Total Revenue $ 16,408 $ 4,910 $ 258 $ — $ 21,576 Operating costs and corporate expenses 5,694 3,932 111 8,072 17,809 Total other income, net — — 17 17 Income before provision for income taxes $ 10,714 $ 978 $ 147 $ (8,055 ) $ 3,784

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies From time to time, we are a party to various legal proceedings in the ordinary course of our business. While management is unable to predict the ultimate outcome of these actions, it believes that any ultimate liability arising from these actions will not have a material adverse effect on our financial position, results of operations or cash flow. We are not currently a party to any material legal proceedings, and we are not aware of any threatened material litigation.

Basis of Presentation and Sum15

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Basis of Accounting	These notes apply to the unaudited condensed consolidated financial statements of Natural Gas Services Group, Inc. a Colorado corporation (the "Company", “NGSG”, "Natural Gas Services Group", "we" or "our"). The accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, which are necessary to make our financial position at March 31, 2017 and the results of our operations for the three months ended March 31, 2017 and 2016 not misleading. As permitted by the rules and regulations of the Securities and Exchange Commission (SEC), the accompanying condensed consolidated financial statements do not include all disclosures normally required by generally accepted accounting principles in the United States of America (GAAP). These financial statements should be read in conjunction with the financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2016 on file with the SEC. In our opinion, the condensed consolidated financial statements are a fair presentation of the financial position, results of operations and cash flows for the periods presented. The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the results of operations to be expected for the full fiscal year ending December 31, 2017 .
Revenue Recognition	Revenue Recognition Revenue from the sales of custom and fabricated compressors, and flare systems is recognized when title passes to the customer, the customer assumes risks and rewards of ownership, collectability is reasonably assured and delivery occurs as directed by our customer. From time to time, we have customers that request units and flares to be built under a bill and hold arrangement. In order to recognize revenue under a bill and hold arrangement the following criteria must be met: risk of ownership was passed to the customer, customer made a fixed commitment to purchase the goods, the customer requested the bill and hold, there was a fixed schedule for delivery, we no longer had any specific performance obligations, the purchase was segregated at our facility and the equipment was complete and ready to ship. For the three months ended March 31, 2017 , we recognized revenue of $837,000 under these bill and hold arrangements. Exchange and rebuilt compressor revenue is recognized when the replacement compressor has been delivered and the rebuild assessment has been completed. Revenue from compressor service and retrofitting services is recognized upon providing services to the customer. Maintenance agreement revenue is recognized as services are rendered. Rental revenue is recognized over the terms of the respective rental agreements. Deferred income represents payments received before a product is shipped. Revenue from the sale of rental units is included in sales revenue when equipment is shipped or title is transferred to the customer.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Our financial instruments consist principally of cash and cash equivalents, accounts receivable, accounts payable, deferred compensation plan (cash portion) and our line of credit. Pursuant to ASC 820 (Accounting Standards Codification), the fair value of our cash equivalents is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our other financial instruments approximate their fair values because of their nature and relatively short maturity dates or durations.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements On January 1, 2017, we adopted Accounting Standards Update (“ASU”) No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU simplifies several aspects of accounting for share-based payment transactions, including the income tax impact, classification of awards as equity or liabilities, classifications on the statement of cash flows and forfeitures. The section of the update that will have the most impact on our financial statements will be how the excess tax benefits and tax deficiencies on stock-based compensation awards are recorded. These items are now included in our tax provision within our condensed consolidated statement of operations as discrete items in the reporting period in which they occur, rather than in previous accounting of being recorded in additional paid-in capital on our condensed consolidated balance sheets. We have also elected to continue our current policy of estimating forfeitures of stock-based compensation awards at the time of grant and revising in subsequent periods to reflect actual forfeitures. We applied the update prospectively beginning January 1, 2017, and the adoption did not have a material impact on our condensed consolidated financial statements. On February 25, 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-02, Leases (Topic 842). Under the new guidance, a lessee will be required to recognize assets and liabilities for capital and operating leases with lease terms of more than 12 months. Additionally, this ASU will require disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases, including qualitative and quantitative requirements. For public business entities, the amendments are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The new standard will be effective during our first quarter ending March 31, 2019. We are currently determining the impacts of the new standard on our condensed consolidated financial statements and the additional applicable disclosure requirements. On May 28, 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). This update provides a five-step analysis on how an entity should recognize revenue 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. This guidance also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. In August 2015, the FASB issued an accounting standards update for a one-year deferral of the revenue recognition standard’s effective date for all entities, which changed the effectiveness to interim and annual reporting periods beginning after December 15, 2017. As a result, we expect to adopt this guidance on January 1, 2018. This standard is required to be applied either retrospectively to each prior reporting period presented or retrospectively with the cumulative effect of initially applying it recognized at the date of initial application. We have not yet selected the transition method. We are currently determining the impacts of the new standard on our consolidated financial statements. Our approach includes performing a detailed review of key contracts representative of our revenue units and comparing historical accounting policies and practices to the new standard. A majority of our revenue transactions are short-term in nature, and our assessment at this stage is that we do not expect the new revenue recognition standard will have a material impact on our financial position or results of operations upon adoption.
Segment Information	ASC 280-10-50, “Operating Segments", defines the characteristics of an operating segment as a) being engaged in business activity from which it may earn revenue and incur expenses, b) being reviewed by the Company's chief operating decision maker (CODM) for decisions about resources to be allocated and assess its performance and c) having discrete financial information. Although we look at our products to analyze the nature of our revenue, other financial information, such as certain costs and expenses, net income and EBITDA are not captured or analyzed by these categories. Our CODM does not make resource allocation decisions or access the performance of the business based on these categories, but rather in the aggregate. Based on this, management believes that it operates in one business segment. In their analysis of product lines as potential operating segments, management also considered ASC 280-10-50-11, “Aggregation Criteria”, which allows for the aggregation of operating segments if the segments have similar economic characteristics and if the segments are similar in each of the following areas: • The nature of the products and services; • The nature of the production processes; • The type or class of customer for their products and services; • The methods used to distribute their products or provide their services; and • The nature of the regulatory environment, if applicable. We are engaged in the business of designing and manufacturing compressors and flares. Our compressors and flares are sold and rented to our customers. In addition, we provide service and maintenance on compressors in our fleet and to third parties. These business activities are similar in all geographic areas. Our manufacturing process is essentially the same for the entire Company and is performed in-house at our facilities in Midland, Texas and Tulsa, Oklahoma. Our customers primarily consist of entities in the business of producing natural gas and crude oil. The maintenance and service of our products is consistent across the entire Company and is performed via an internal fleet of vehicles. The regulatory environment is similar in every jurisdiction in that the most impacting regulations and practices are the result of federal energy policy. In addition, the economic characteristics of each customer arrangement are similar in that we maintain policies at the corporate level.

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Option Activity	A summary of option activity under our 1998 Stock Option Plan as of December 31, 2016 , and changes during the three months ended March 31, 2017 is presented below. Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) Aggregate Intrinsic Value (in thousands) Outstanding, December 31, 2016 350,186 $ 19.45 4.25 $ 4,453 Granted 32,750 28.15 Exercised (25,580 ) 20.19 271 Canceled/Forfeited — — Outstanding, March 31, 2017 357,356 $ 20.19 4.68 $ 2,399 Exercisable, March 31, 2017 305,441 $ 19.11 3.92 $ 2,345
Summary of Stock Options Outstanding	The following table summarizes information about our stock options outstanding at March 31, 2017 : Range of Exercise Prices Options Outstanding Options Exercisable Shares Weighted Average Remaining Contractual Life (years) Weighted Average Exercise Price Shares Weighted Average Exercise Price $0.01-15.70 65,852 2.31 $ 9.82 65,852 $ 9.82 $15.71-17.81 72,750 2.54 17.53 72,750 17.53 $17.82-20.48 86,836 3.09 19.60 86,836 19.60 $20.49-33.36 131,918 8.09 27.23 80,003 27.67 357,356 4.68 $ 20.19 305,441 $ 19.11
Status of Unvested Stock Options	The summary of the status of our unvested stock options as of December 31, 2016 and changes during the three months ended March 31, 2017 is presented below. Unvested stock options: Shares Weighted Average Grant Date Fair Value Per Share Unvested at December 31, 2016 50,833 $ 12.67 Granted 32,750 11.93 Vested (31,668 ) 13.56 Canceled/Forfeited — — Unvested at March 31, 2017 51,915 $ 11.66

Inventory (Tables)

Inventory (Tables)	3 Months Ended
	Mar. 31, 2017
Inventory Disclosure [Abstract]
Schedule of Inventory	Our inventory, net of allowance for obsolescence of $ 16,458 and $15,000 at March 31, 2017 and December 31, 2016 , respectively, consisted of the following amounts: March 31, 2017 December 31, 2016 (in thousands) Raw materials $ 18,183 $ 18,365 Finished Goods 1,008 2,558 Work in process 4,709 4,910 $ 23,900 $ 25,833

Earnings per Share (Tables)

Earnings per Share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table reconciles the numerators and denominators of the basic and diluted earnings per share computation (in thousands, except per share data) . Three months ended March 31, 2017 2016 Numerator: Net income $ 252 $ 2,541 Denominator for basic net income per common share: Weighted average common shares outstanding 12,804 12,648 Denominator for diluted net income per share: Weighted average common shares outstanding 12,804 12,648 Dilutive effect of stock options and restricted stock 252 190 Diluted weighted average shares 13,056 12,838 Earnings per common share: Basic $ 0.02 $ 0.20 Diluted $ 0.02 $ 0.20

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Schedule of Segment Reporting Information	For the three months ended March 31, 2017 (in thousands): Rental Sales Service & Maintenance Corporate Total Revenue $ 11,922 $ 6,637 $ 343 $ — $ 18,902 Operating costs and corporate expenses 4,668 5,423 94 8,374 18,559 Total other expense, net — — 1 1 Income before provision for income taxes $ 7,254 $ 1,214 $ 249 $ (8,373 ) $ 344 For the three months ended March 31, 2016 (in thousands): Rental Sales Service & Maintenance Corporate Total Revenue $ 16,408 $ 4,910 $ 258 $ — $ 21,576 Operating costs and corporate expenses 5,694 3,932 111 8,072 17,809 Total other income, net — — 17 17 Income before provision for income taxes $ 10,714 $ 978 $ 147 $ (8,055 ) $ 3,784

Basis of Presentation and Sum20

Basis of Presentation and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Revenue from External Customer [Line Items]
Revenue recognized	$ 18,902	$ 21,576
Bill and Hold Arrangement
Revenue from External Customer [Line Items]
Revenue recognized	$ 837

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Number of Stock Options
Outstanding, beginning of period (in shares)	350,186
Granted (in shares)	32,750
Exercised (in shares)	(25,580)
Canceled/Forfeited (in shares)	0
Outstanding, end of period (in shares)	357,356	350,186
Exercisable (in shares)	305,441
Weighted Average Exercise Price
Outstanding, beginning of period (in USD per share)	$ 19.45
Granted (in USD per share)	28.15
Exercised (in USD per share)	20.19
Canceled/Forfeited (in USD per share)	0
Outstanding, end of period (in USD per share)	20.19	$ 19.45
Exercisable (in USD per share)	$ 19.11
Weighted Average Remaining Contractual Life (years)
Outstanding	4 years 6 months 66 days	4 years 2 months 29 days
Exercisable	3 years 9 months 63 days
Aggregate Intrinsic Value
Outstanding, beginning of period	$ 4,453
Exercised	271
Outstanding, end of period	2,399	$ 4,453
Exercisable	$ 2,345

Stock-Based Compensation - St22

Stock-Based Compensation - Stock Options Outstanding (Details)	3 Months Ended
	Mar. 31, 2017$ / sharesshares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options outstanding, shares | shares	357,356
Options outstanding, weighted average remaining contractual life (years)	4 years 6 months 66 days
Options outstanding, weighted average exercise price (in USD per share)	$ 20.19
Options exercisable, shares | shares	305,441
Options exercisable, weighted average exercise price (in USD per share)	$ 19.11
$0.01-15.70
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of exercise prices, lower limit (in USD per share)	0.01
Range of exercise prices, upper limit (in USD per share)	$ 15.70
Options outstanding, shares | shares	65,852
Options outstanding, weighted average remaining contractual life (years)	2 years 3 months 23 days
Options outstanding, weighted average exercise price (in USD per share)	$ 9.82
Options exercisable, shares | shares	65,852
Options exercisable, weighted average exercise price (in USD per share)	$ 9.82
$15.71-17.81
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of exercise prices, lower limit (in USD per share)	15.71
Range of exercise prices, upper limit (in USD per share)	$ 17.81
Options outstanding, shares | shares	72,750
Options outstanding, weighted average remaining contractual life (years)	2 years 5 months 45 days
Options outstanding, weighted average exercise price (in USD per share)	$ 17.53
Options exercisable, shares | shares	72,750
Options exercisable, weighted average exercise price (in USD per share)	$ 17.53
$17.82-20.48
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of exercise prices, lower limit (in USD per share)	17.82
Range of exercise prices, upper limit (in USD per share)	$ 20.48
Options outstanding, shares | shares	86,836
Options outstanding, weighted average remaining contractual life (years)	3 years 33 days
Options outstanding, weighted average exercise price (in USD per share)	$ 19.60
Options exercisable, shares | shares	86,836
Options exercisable, weighted average exercise price (in USD per share)	$ 19.60
$20.49-33.36
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of exercise prices, lower limit (in USD per share)	20.49
Range of exercise prices, upper limit (in USD per share)	$ 33.36
Options outstanding, shares | shares	131,918
Options outstanding, weighted average remaining contractual life (years)	8 years 32 days
Options outstanding, weighted average exercise price (in USD per share)	$ 27.23
Options exercisable, shares | shares	80,003
Options exercisable, weighted average exercise price (in USD per share)	$ 27.67

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Unvested Stock Options (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Shares
Unvested, beginning of period (in shares)	50,833
Granted (in shares)	32,750
Vested (in shares)	(31,668)
Canceled/Forfeited (in shares)	0
Unvested, end of period (in shares)	51,915
Weighted Average Grant Date Fair Value Per Share
Unvested, weighted average grant date fair value, beginning of period (in USD per share)	$ 12.67
Granted (in USD per share)	11.93
Vested, weighted average grant date fair value (in USD per share)	13.56
Canceled/Forfeited, weighted average grant date fair value per share (in USD per share)	0
Unvested, weighted average grant date fair value, end of period (in USD per share)	$ 11.66
Stock Options
Weighted Average Grant Date Fair Value Per Share
Unrecognized compensation cost related to unvested options	$ 491,128
Unrecognized compensation cost related to awards, weighted average period for recognition	3 years
Share-based compensation expense	$ 124,331	$ 166,523

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock (Details) - Restricted Stock - USD ($)	Mar. 23, 2017	Feb. 14, 2017	Mar. 31, 2017	Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense			$ 1,408,265	$ 481,753
Total unrecognized compensation expense			$ 3,649,957
Unrecognized compensation cost related to awards, vesting period			2 years
Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period		70,464
Award vesting period		3 years
Chief Financial Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period	20,000
Award vesting period	3 years
Vice President of Technical Services
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period	20,000
Award vesting period	3 years
Directors
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period			15,968
Award vesting period			1 year

Inventory (Details)

Inventory (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Inventory Disclosure [Abstract]
Allowance for inventory obsolescence	$ 16,458		$ 15,000
Raw materials	18,183,000		18,365,000
Finished Goods	1,008,000		2,558,000
Work in process	4,709,000		4,910,000
Inventory, net	23,900,000		$ 25,833,000
Write-offs of obsolete inventory against allowance	$ 0	$ 0

Retirement of Long-Lived Asse26

Retirement of Long-Lived Assets (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)compressor
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Loss on retirement of rental equipment	$ 0
Rental Compressor Unit
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Number of rental compressors to be retired | compressor		63
Estimated fair value of long-lived assets		$ 242,000
Rental Compressor Unit | Loss on Retirement of Rental Equipment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Loss on retirement of rental equipment		$ 545,000

Deferred Compensation Plans (De

Deferred Compensation Plans (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)	Mar. 31, 2016USD ($)
Postemployment Benefits [Abstract]
Participant's maximum compensation deferral percentage	90.00%
Company owned life insurance	$ 312	$ 51
Gain on company owned life insurance	12	3
Deferred compensation obligation	$ 261	$ 51
Deferred restricted stock shares	97,011

Credit Facility (Details)

Credit Facility (Details) - Revolving Credit Facility	3 Months Ended
	Mar. 31, 2017USD ($)loan	Dec. 31, 2016USD ($)
Line of Credit Facility [Line Items]
Aggregate credit agreement commitment	$ 30,000,000
Potential increase in borrowing capacity	20,000,000
Potential maximum borrowing capacity	$ 50,000,000
Borrowing base, component, % of eligible accounts receivable	80.00%
Borrowing base, component, % of eligible inventory	50.00%
Borrowing base, allowable share of total commitment amount attributable to inventory component	50.00%
Borrowing base, component, % of eligible equipment inventory	75.00%
Borrowing base amount available	$ 29,500,000
Weighted average interest rate	2.24%
Default trigger, certain defaults of other company indebtedness, amount	$ 50,000
Default trigger, rendering of certain judgments, amount	150,000
Line of credit balance	$ 417,000	$ 417,000
LIBOR Rate
Line of Credit Facility [Line Items]
Reference rate, number of allowable LIBOR-based borrowings outstanding | loan	3
Variable rate, applicable margin	1.50%
CB Floating Rate
Line of Credit Facility [Line Items]
Variable rate, applicable margin	1.50%
Minimum
Line of Credit Facility [Line Items]
Minimum commitment coverage ratio allowed	2
Maximum
Line of Credit Facility [Line Items]
Maximum leverage ratio allowed	2.50

Earnings per Share - Basic and

Earnings per Share - Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Numerator:
Net income	$ 252	$ 2,541
Denominator for basic net income per common share:
Weighted average common shares outstanding (in shares)	12,804,000	12,648,000
Denominator for diluted net income per share:
Weighted average common shares outstanding (in shares)	12,804,000	12,648,000
Dilutive effect of stock options and restricted stock (in shares)	252,000	190,000
Diluted weighted average shares (in shares)	13,056,000	12,838,000
Earnings per common share:
Basic (in USD per share)	$ 0.02	$ 0.20
Diluted (in USD per share)	$ 0.02	$ 0.20
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Number of shares not included in the computation of dilutive income per share (in shares)	83,917	187,500
Antidilutive Effect
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Exercise price of shares not included in the computation of dilutive income per share, lower limit (in USD per share)	$ 28.15	$ 19.61
Exercise price of shares not included in the computation of dilutive income per share, upper limit (in USD per share)	$ 33.36	$ 33.46

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)segment	Mar. 31, 2016USD ($)
Segment Reporting Information [Line Items]
Number of operating segments | segment	1
Revenue	$ 18,902	$ 21,576
Operating costs and corporate expenses	18,559	17,809
Total other income (expense), net	1	17
Income before provision for income taxes	344	3,784
Corporate
Segment Reporting Information [Line Items]
Revenue	0	0
Operating costs and corporate expenses	8,374	8,072
Total other income (expense), net	1	17
Income before provision for income taxes	(8,373)	(8,055)
Rental
Segment Reporting Information [Line Items]
Revenue	11,922	16,408
Operating costs and corporate expenses	4,668	5,694
Total other income (expense), net	0	0
Income before provision for income taxes	7,254	10,714
Sales
Segment Reporting Information [Line Items]
Revenue	6,637	4,910
Operating costs and corporate expenses	5,423	3,932
Total other income (expense), net	0	0
Income before provision for income taxes	1,214	978
Service & Maintenance
Segment Reporting Information [Line Items]
Revenue	343	258
Operating costs and corporate expenses	94	111
Total other income (expense), net
Income before provision for income taxes	$ 249	$ 147