Archrock (AROC) 10-Q 1 May 24 2024 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2024	Apr. 24, 2024
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2024
Document Transition Report	false
Commission File Number	001-33666
Entity Registrant Name	Archrock, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	74-3204509
Entity Street Address	9807 Katy Freeway
Entity Suite Number	Suite 100
Entity City	Houston
Entity State	TX
Entity Postal Zip Code	77024
City Area Code	281
Local Phone Number	836-8000
Title of each class	Common stock, $0.01 par value per share
Trading Symbol	AROC
Name of exchange on which registered	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		156,286,457
Entity Central Index Key	0001389050
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 1,155	$ 1,338
Accounts receivable, net of allowance of $496 and $587, respectively	105,295	124,069
Inventory	80,358	81,761
Other current assets	6,898	5,989
Total current assets	193,706	213,157
Property, plant and equipment, net	2,332,009	2,301,982
Operating lease right-of-use assets	14,343	14,097
Intangible assets, net	28,737	30,182
Contract costs, net	35,967	37,739
Deferred tax assets	2,847	3,192
Other assets	47,467	47,733
Non-current assets of discontinued operations	7,868	7,868
Total assets	2,662,944	2,655,950
Current liabilities:
Accounts payable, trade	48,717	61,026
Accrued liabilities	98,751	85,381
Deferred revenue	5,778	5,736
Total current liabilities	153,246	152,143
Long-term debt	1,566,566	1,584,869
Operating lease liabilities	12,364	12,271
Deferred tax liabilities	15,986	4,921
Other liabilities	24,834	22,857
Non-current liabilities of discontinued operations	7,868	7,868
Total liabilities	1,780,864	1,784,929
Commitments and contingencies (Note 7)
Equity:
Preferred stock: $0.01 par value per share, 50,000,000 shares authorized, zero issued
Common stock: $0.01 par value per share, 250,000,000 shares authorized, 165,775,863 and 164,984,401 shares issued, respectively	1,657	1,650
Additional paid-in capital	3,474,777	3,470,576
Accumulated deficit	(2,485,399)	(2,499,931)
Treasury stock: 9,489,406 and 9,020,454 common shares, at cost, respectively	(108,955)	(101,274)
Total equity	882,080	871,021
Total liabilities and equity	$ 2,662,944	$ 2,655,950

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Condensed Consolidated Balance Sheets
Accounts receivable, allowance	$ 496	$ 587
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	50,000,000	50,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	165,775,863	164,984,401
Treasury stock, common shares (in shares)	9,489,406	9,020,454

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue	$ 268,488	$ 229,834
Total cost of sales (excluding depreciation and amortization)	112,743	113,390
Selling, general and administrative	31,665	26,425
Depreciation and amortization	42,835	40,181
Long-lived and other asset impairment	2,568	2,569
Restructuring charges		1,047
Interest expense	27,334	26,581
Gain on sale of assets, net	(2,381)	(3,605)
Other (income) expense, net	139	603
Income before income taxes	53,585	22,643
Provision for income taxes	13,053	6,158
Net income	$ 40,532	$ 16,485
Basic earnings per common share (in dollars per share)	$ 0.26	$ 0.10
Diluted earnings per common share (in dollars per share)	$ 0.26	$ 0.10
Weighted average common shares outstanding:
Basic (in shares)	154,187	154,116
Diluted (in shares)	154,501	154,281
Contract operations
Revenue	$ 223,051	$ 187,745
Total cost of sales (excluding depreciation and amortization)	77,743	79,482
Aftermarket services
Revenue	45,437	42,089
Total cost of sales (excluding depreciation and amortization)	$ 35,000	$ 33,908

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Treasury Stock, Common	Total
Beginning balance at Dec. 31, 2022	$ 1,634	$ 3,456,777	$ (2,509,133)	$ (88,585)	$ 860,693
Beginning balance (in shares) at Dec. 31, 2022	163,439,013
Treasury stock, common shares, Beginning balance (in shares) at Dec. 31, 2022				7,810,548
Increase (Decrease) in Stockholders' Equity
Shares withheld related to net settlement of equity awards				$ (3,773)	(3,773)
Shares withheld related to net settlement of equity awards (in shares)				383,766
Cash dividends			(23,852)		(23,852)
Shares issued in ESPP	$ 1	169			170
Shares issued in ESPP (in shares)	20,251
Stock-based compensation, net of forfeitures	$ 14	3,313			3,327
Stock-based compensation, net of forfeitures (in shares)	1,444,636			13,076
Comprehensive income
Net income			16,485		16,485
Ending balance at Mar. 31, 2023	$ 1,649	3,460,259	(2,516,500)	$ (92,358)	853,050
Ending balance (in shares) at Mar. 31, 2023	164,903,900
Treasury stock, common shares, Ending balance (in shares) at Mar. 31, 2023				8,207,390
Beginning balance at Dec. 31, 2023	$ 1,650	3,470,576	(2,499,931)	$ (101,274)	$ 871,021
Beginning balance (in shares) at Dec. 31, 2023	164,984,401
Treasury stock, common shares, Beginning balance (in shares) at Dec. 31, 2023				9,020,454	9,020,454
Increase (Decrease) in Stockholders' Equity
Shares repurchased				$ (1,230)	$ (1,230)
Shares repurchased (in shares)				82,972
Shares withheld related to net settlement of equity awards				$ (6,451)	(6,451)
Shares withheld related to net settlement of equity awards (in shares)				385,980
Cash dividends			(26,000)		(26,000)
Shares issued in ESPP		244			244
Shares issued in ESPP (in shares)	17,800
Stock-based compensation, net of forfeitures	$ 7	3,957			3,964
Stock-based compensation, net of forfeitures (in shares)	773,662
Comprehensive income
Net income			40,532		40,532
Ending balance at Mar. 31, 2024	$ 1,657	$ 3,474,777	$ (2,485,399)	$ (108,955)	$ 882,080
Ending balance (in shares) at Mar. 31, 2024	165,775,863
Treasury stock, common shares, Ending balance (in shares) at Mar. 31, 2024				9,489,406	9,489,406

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Equity (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023
Condensed Consolidated Statements of Equity
Dividend declared per common stock (in dollars per share)	$ 0.165	$ 0.155	$ 0.155	$ 0.150	$ 0.150

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Jun. 30, 2023	Mar. 31, 2023
Cash flows from operating activities:
Net income	$ 40,532			$ 16,485
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	42,835			40,181
Long-lived and other asset impairment	2,568			2,569
Non-cash restructuring charges				927
Unrealized change in fair value of investment in unconsolidated affiliate				254
Inventory write-downs	199			216
Amortization of operating lease right-of-use assets	947			823
Amortization of deferred financing costs	1,193			1,288
Amortization of debt premium	(501)			(501)
Amortization of capitalized implementation costs	738			597
Stock-based compensation expense	3,964			3,327
Benefit from credit losses	(75)			(340)
Gain on sale of assets, net	(2,381)			(3,605)
Deferred income tax provision	12,460			5,881
Amortization of contract costs	5,768			5,090
Deferred revenue recognized in earnings	(2,859)			(4,476)
Changes in operating assets and liabilities:
Accounts receivable, net	19,819			7,632
Inventory	1,246			(4,131)
Other assets	(1,785)			609
Contract costs	(3,996)			(6,352)
Accounts payable and other liabilities	13,958			18,219
Deferred revenue	3,070			3,179
Other	2			(16)
Net cash provided by operating activities	137,702			87,856
Cash flows from investing activities:
Capital expenditures	(99,755)			(84,392)
Proceeds from sale of property, equipment and other assets	13,844			28,726
Proceeds from insurance and other settlements	45
Investments in unconsolidated entities	(57)			(2,000)
Net cash used in investing activities	(85,923)			(57,666)
Cash flows from financing activities:
Borrowings of long-term debt	244,525			158,850
Repayments of long-term debt	(263,050)			(160,100)
Dividends paid to stockholders	(26,000)	$ (24,190)	$ (23,504)	(23,852)
Repurchases of common stock	(1,230)
Taxes paid related to net share settlement of equity awards	(6,451)			(3,773)
Proceeds from stock issued under ESPP	244			170
Net cash used in financing activities	(51,962)			(28,705)
Net increase (decrease) in cash and cash equivalents	(183)			1,485
Cash and cash equivalents, beginning of period	1,338		$ 3,051	1,566
Cash and cash equivalents, end of period	$ 1,155	$ 1,338		$ 3,051

Description of Business and Bas

Description of Business and Basis of Presentation	3 Months Ended
	Mar. 31, 2024
Basis of Presentation and Significant Accounting Policies
Description of Business and Basis of Presentation	1. Description of Business and Basis of Presentation ​ We are an energy infrastructure company with a primary focus on midstream natural gas compression. We are a premier provider of natural gas compression services to customers in the energy industry throughout the U.S. and a leading supplier of aftermarket services to customers that own compression equipment in the U.S. We operate in two business segments: contract operations and aftermarket services. Our predominant segment, contract operations, primarily includes designing, sourcing, owning, installing, operating, servicing, repairing and maintaining our owned fleet of natural gas compression equipment to provide natural gas compression services to our customers. In our aftermarket services business, we sell parts and components and provide operations, maintenance, overhaul and reconfiguration services to customers who own compression equipment. The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all information and disclosures required by GAAP. Therefore, this information should be read in conjunction with our consolidated financial statements and notes contained in our 2023 Form 10-K. The information furnished herein reflects all adjustments that are, in the opinion of management, of a normal recurring nature and considered necessary for a fair statement of the results of the interim periods reported. All intercompany balances and transactions have been eliminated in consolidation. Operating results for the three months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. ​ ​

Recent Accounting Developments

Recent Accounting Developments	3 Months Ended
	Mar. 31, 2024
Recent Accounting Developments
Recent Accounting Developments	2. Recent Accounting Developments ​ Accounting Standards Updates Not Yet Implemented Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, ​ Segment Reporting In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, ​ ​ Business Combinations – Joint Venture Formations In August 2023, the FASB issued ASU 2023-05, to reduce diversity in practice and provide decision-useful information to a joint venture’s investors by requiring that a joint venture apply a new basis of accounting upon formation. By applying a new basis of accounting, a joint venture will recognize and initially measure its assets and liabilities at fair value, with exceptions to fair value measurement that are consistent with the business combinations guidance, on the date of formation. ASU 2023-05 is effective prospectively for all joint venture formations with a formation date on or after January 1, 2025. Additionally, a joint venture that was formed before January 1, 2025, may elect to apply the amendments retrospectively if it has sufficient information to do so. Early adoption is permitted in any interim or annual period in which financial statements have not been issued or been made available for issuance, either prospectively or retrospectively. We expect that the adoption of ASU 2023-05 will have no impact on our consolidated financial statements. ​

Inventory

Inventory	3 Months Ended
	Mar. 31, 2024
Inventory
Inventory	3. Inventory ​ Inventory is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, (in thousands) ​ 2024 ​ 2023 Parts and supplies ​ $ 68,176 ​ $ 70,759 Work in progress ​ 12,182 ​ 11,002 Inventory ​ $ 80,358 ​ $ 81,761 ​

Property, Plant and Equipment,

Property, Plant and Equipment, Net	3 Months Ended
	Mar. 31, 2024
Property, Plant and Equipment, Net
Property, Plant and Equipment, net	4. Property, Plant and Equipment, Net ​ Property, plant and equipment, net is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, December 31, (in thousands) ​ 2024 ​ 2023 Compression equipment, facilities and other fleet assets ​ $ 3,377,588 ​ $ 3,326,919 Land and buildings ​ 31,019 ​ 30,169 Transportation and shop equipment ​ 100,725 ​ 100,474 Computer hardware and software ​ 77,705 ​ 77,532 Other ​ 5,779 ​ 5,678 Property, plant and equipment ​ 3,592,816 ​ 3,540,772 Accumulated depreciation ​ (1,260,807) ​ (1,238,790) Property, plant and equipment, net ​ $ 2,332,009 ​ $ 2,301,982 ​

Investments in Unconsolidated A

Investments in Unconsolidated Affiliates	3 Months Ended
	Mar. 31, 2024
Investments in Unconsolidated Affiliates
Investment in Unconsolidated Affiliate	​ 5. Investments in Unconsolidated Affiliates ​ Investments in which we are deemed to exert significant influence, but not control, are accounted for using the equity method of accounting, except in cases where the fair value option is elected. For such investments where we have elected the fair value option, the election is irrevocable and is applied on an investment–by–investment basis at initial recognition. ​ In April 2022, we agreed to acquire for cash a 25% equity interest in ECOTEC, a company specializing in methane emissions detection, monitoring and management. We have elected the fair value option to account for this investment, and during the three months ended March 31, 2023, we recognized an unrealized loss of $0.3 million related to the change in fair value of our investment (see Note 14 (“Fair Value Measurements”)). Changes in the fair value of this investment are recognized in other (income) expense, net in our consolidated statements of operations. As of March 31, 2024, our ownership interest in ECOTEC is 25%, which is included in other assets in our consolidated balance sheets. ​ For ownership interests that are not accounted for under the equity method and that do not have readily determinable fair values, we have elected the fair value measurement alternative to record these investments at cost minus impairment, if any, including adjustments for observable price changes in orderly transactions for an identical or similar investment of the same issuer. Investments in equity securities measured using the fair value measurement alternative are reviewed for impairment or observable price changes in orderly transactions each reporting period. ​ In November 2023, we agreed to serve as the lead investor in a series A preferred financing round for Ionada, a global carbon capture technology company committed to reducing GHG emissions and creating a sustainable future. Ionada has developed a post-combustion carbon capture solution to reduce carbon dioxide emissions from various small to mid-sized industrial emitters in the energy, marine and e-fuels industries, among others. We have elected the fair value measurement alternative to account for this investment (see Note 14 (“Fair Value Measurements”)). Adjustments to the carrying value are recognized in other (income) expense, net in our condensed consolidated statements of operations. Our initial investment in Ionada was $3.8 million and as of March 31, 2024, our fully diluted ownership interest in Ionada is 10%, which is included in other assets in our consolidated balance sheets. Subject to certain conditions, our ownership interest will increase to 24% over the next two years. ​ ​

Long-Term Debt

Long-Term Debt	3 Months Ended
	Mar. 31, 2024
Long-Term Debt
Long-Term Debt	6. Long-Term Debt ​ Long–term debt is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ (in thousands) March 31, 2024 December 31, 2023 Credit Facility ​ $ 268,500 ​ $ 287,025 ​ ​ ​ ​ ​ ​ ​ 6.25% senior notes due April 2028: ​ ​ ​ ​ ​ ​ Principal outstanding ​ 800,000 ​ 800,000 Unamortized debt premium ​ ​ 8,023 ​ 8,524 Unamortized debt issuance costs ​ (6,647) ​ (7,081) ​ ​ 801,376 ​ 801,443 ​ ​ ​ ​ ​ ​ ​ 6.875% senior notes due April 2027: ​ ​ ​ ​ ​ ​ Principal outstanding ​ ​ 500,000 ​ 500,000 Unamortized debt issuance costs ​ ​ (3,310) ​ (3,599) ​ ​ ​ 496,690 ​ 496,401 ​ ​ ​ ​ ​ ​ ​ Long-term debt ​ $ 1,566,566 ​ $ 1,584,869 ​ As of March 31, 2024, there were $3.8 million letters of credit outstanding under the Credit Facility and the applicable margin on borrowings outstanding was 2.2%. The weighted average annual interest rate on the outstanding balance under the Credit Facility was 7.8% and 7.7% at March 31, 2024 and December 31, 2023, respectively. We incurred $0.4 million and $0.5 million of commitment fees on the daily unused amount of the Credit Facility during the three months ended March 31, 2024 and 2023, respectively. As of March 31, 2024, we were in compliance with all covenants under our Credit Facility agreement. Additionally, all undrawn capacity on our Credit Facility was available for borrowings as of March 31, 2024. ​ Amended and Restated Credit Agreement On May 16, 2023, we amended and restated our Credit Facility to, among other things: ● extend the maturity date of the Credit Facility from November 8, 2024 to May 16, 2028 (or December 2, 2026 or December 3, 2027 if any portion of 2027 Notes and 2028 Notes, respectively, remain outstanding at such date); ● change the referenced rate from LIBOR to SOFR so that borrowings under the Credit Facility bear interest at, based on our election, either a base rate or SOFR, plus an applicable margin; and ● increase the portion of the Credit Facility available for the issuance of swing line loans from $50.0 million to $75.0 million. ​ During the second quarter of 2023, we incurred $6.0 million in transaction costs related to the Amended and Restated Credit Agreement, which were included in other assets in our condensed consolidated balance sheets and are being amortized over the remaining term of the Credit Facility. In addition, during the second quarter of 2023, we wrote off $1.0 million of unamortized deferred financing costs as a result of the Amended and Restated Credit Agreement, which was recorded to interest expense in our condensed consolidated statements of operations.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2024
Commitments and Contingencies
Commitments and Contingencies	7. Commitments and Contingencies ​ Insurance Matters ​ Our business can be hazardous, involving unforeseen circumstances such as uncontrollable flows of natural gas or well fluids and fires or explosions. As is customary in our industry, we review our safety equipment and procedures and carry insurance against some, but not all, risks of our business. Our insurance coverage includes property damage, general liability and commercial automobile liability and other coverage we believe is appropriate. We believe that our insurance coverage is customary for the industry and adequate for our business, however, losses and liabilities not covered by insurance would increase our costs. ​ Additionally, we are substantially self–insured for workers’ compensation and employee group health claims in view of the relatively high per–incident deductibles we absorb under our insurance arrangements for these risks. Losses up to the deductible amounts are estimated and accrued based upon known facts, historical trends and industry averages. We are also self–insured for property damage to our offshore assets. ​ Tax Matters ​ We are subject to a number of state and local taxes that are not income–based. As many of these taxes are subject to audit by the taxing authorities, it is possible that an audit could result in additional taxes due. We accrue for such additional taxes when we determine that it is probable that we have incurred a liability and we can reasonably estimate the amount of the liability. As of March 31, 2024 and December 31, 2023, we had $4.1 million and $3.9 million, respectively, accrued for the outcomes of non–income–based tax audits. We do not expect that the ultimate resolutions of these audits will result in a material variance from the amounts accrued. We do not accrue for unasserted claims for tax audits unless we believe the assertion of a claim is probable, it is probable that it will be determined that the claim is owed and we can reasonably estimate the claim or range of the claim. We believe the likelihood is remote that the impact of potential unasserted claims from non–income–based tax audits could be material to our consolidated financial position, but it is possible that the resolution of future audits could be material to our consolidated results of operations or cash flows. During the years ended December 31, 2022 and 2021, certain of our sales and use tax audits advanced from the audit review phase to the contested hearing phase. As of March 31, 2024 and December 31, 2023, we accrued $0.6 million for these audits. Litigation and Claims ​ In the ordinary course of business, we are involved in various pending or threatened legal actions. While we are unable to predict the ultimate outcome of these actions, we believe that any ultimate liability arising from any of these actions will not have a material adverse effect on our consolidated financial position, results of operations or cash flows, including our ability to pay dividends. However, because of the inherent uncertainty of litigation and arbitration proceedings, we cannot provide assurance that the resolution of any particular claim or proceeding to which we are a party will not have a material adverse effect on our consolidated financial position, results of operations or cash flows, including our ability to pay dividends. ​

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2024
Stockholders' Equity
Stockholders' Equity	8. Stockholders’ Equity ​ Share Repurchase Program ​ On April 27, 2023, our Board of Directors authorized a share repurchase program that allowed us to repurchase up to $50.0 million of outstanding common stock. Under the Share Repurchase Program, shares of our common stock may be repurchased periodically, including in the open market, privately negotiated transactions, or otherwise in accordance with applicable federal securities laws, at any time. On April 25, 2024, our Board of Directors approved an extension of the Share Repurchase Program upon expiry of the current authorization on April 27, 2024, for an additional twenty-four-month period. Through March 31, 2024, the Company had repurchased 833,346 common shares at an average price of $12.11 per share for an aggregate of $10.1 million. In connection with the extension, the Board of Directors replenished the amount of shares authorized for repurchase under the Share Repurchase Program, resulting in available capacity of $50.0 million. The actual timing, manner, number, and value of shares repurchased under the program will be determined by us at our discretion. ​ The following table summarizes shares repurchased under the Share Repurchase Program: ​ ​ ​ ​ ​ ​ Three Months Ended (dollars in thousands, except per share amounts) ​ March 31, 2024 Total cost of shares repurchased ​ $ 1,230 Average price per share ​ $ 14.83 Total number of shares repurchased ​ 82,972 ​ Cash Dividends ​ The following table summarizes our dividends declared and paid in each of the quarterly periods of 2024 and 2023: ​ ​ ​ ​ ​ ​ ​ ​ ​ Dividends per ​ (dollars in thousands, except per share amounts) Common Share Dividends Paid 2024 ​ ​ Q1 ​ $ 0.165 ​ $ 26,000 ​ ​ ​ ​ ​ ​ ​ 2023 ​ ​ Q4 ​ $ 0.155 ​ $ 24,190 Q3 ​ 0.155 ​ 24,250 Q2 ​ 0.150 ​ 23,504 Q1 ​ 0.150 ​ 23,852 ​ On April 25, 2024, our Board of Directors declared a quarterly dividend of $0.165 per share of common stock to be paid

Revenue from Contracts with Cus

Revenue from Contracts with Customers	3 Months Ended
	Mar. 31, 2024
Revenue from Contracts with Customers
Revenue from Contracts with Customers	9. Revenue from Contracts with Customers ​ The following table presents our revenue from contracts with customers by segment and disaggregated by revenue source: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) 2024 2023 Contract operations: ​ ​ ​ ​ 0 ― 1,000 horsepower per unit ​ $ 45,327 ​ $ 39,954 1,001 ― 1,500 horsepower per unit ​ 95,670 ​ 81,807 Over 1,500 horsepower per unit ​ 81,865 ​ 65,714 Other (1) ​ 189 ​ 270 Total contract operations revenue (2) ​ 223,051 ​ 187,745 ​ ​ ​ ​ ​ ​ ​ Aftermarket services: ​ ​ Services ​ 25,438 ​ 21,249 OTC parts and components sales ​ 19,999 ​ 20,840 Total aftermarket services revenue (3) ​ 45,437 ​ 42,089 ​ ​ ​ ​ ​ ​ ​ Total revenue ​ $ 268,488 ​ $ 229,834 (1) Primarily relates to fees associated with owned non-compression equipment. (2) Includes $1.1 million and $0.8 million for the three months ended March 31, 2024 and 2023, respectively, related to billable maintenance on owned compressors that was recognized at a point in time. All other contract operations revenue is recognized over time. (3) Services revenue within aftermarket services is recognized over time. OTC parts and components sales revenue is recognized at a point in time. ​ See Note 16 (“Segment Information”) for further information on segments. Performance Obligations ​ As of March 31, 2024, we had $569.7 million of remaining performance obligations related to our contract operations segment, which will be recognized through 2029 as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (in thousands) ​ 2024 ​ 2025 ​ 2026 2027 2028 2029 Total Remaining performance obligations ​ ​ $ 263,793 ​ $ 184,333 ​ $ 98,640 ​ $ 15,076 ​ $ 7,526 ​ $ 342 ​ $ 569,710 ​ We do not disclose the aggregate transaction price for the remaining performance obligations for aftermarket services as there are no contracts with customers with an original contract term that is greater than one year. Contract Assets and Liabilities ​ Contract Assets ​ As March 31, 2024 and December 31, 2023, our receivables from contracts with customers, net of allowance for credit losses, were $95.9 million and $119.7 million, respectively. Allowance for Credit Losses ​ Our allowance for credit losses balance changed as follows during the three months ended March 31, 2024: ​ ​ ​ ​ ​ (in thousands) ​ ​ Balance at beginning of period $ 587 Benefit from credit losses ​ ​ (75) Write-offs charged against allowance ​ ​ (16) Balance at end of period ​ $ 496 ​ Contract Liabilities ​ Freight billings to customers for the transport of compression assets, customer–specified modifications of compression assets and milestone billings on aftermarket services often result in a contract liability. As of March 31, 2024 and December 31, 2023, our contract liabilities were $7.2 million and $7.0 million, respectively. During the three months ended March 31, 2024, we deferred revenue of $3.1 million and recognized $2.9 million as revenue.

Long-Lived and Other Asset Impa

Long-Lived and Other Asset Impairment	3 Months Ended
	Mar. 31, 2024
Long-Lived and Other Asset Impairment
Long-Lived and Other Asset Impairment	10. Long-Lived and Other Asset Impairment ​ We review long–lived assets, including property, plant and equipment and identifiable intangibles that are being amortized, for impairment whenever events or changes in circumstances, including the removal of compressors from our active fleet, indicate that the carrying amount of an asset may not be recoverable. Compression Fleet We periodically review the future deployment of our idle compression assets for units that are not of the type, configuration, condition, make or model that are cost efficient to maintain and operate. Based on these reviews, we determine that certain idle compressors should be retired from the active fleet. The retirement of these units from the active fleet triggers a review of these assets for impairment and as a result of our review, we may record an asset impairment to reduce the book value of each unit to its estimated fair value. The fair value of each unit is estimated based on the expected net sale proceeds compared to other fleet units we recently sold, a review of other units recently offered for sale by third parties or the estimated component value of the equipment we plan to use. In connection with our review of our idle compression assets, we evaluate for impairment idle units that were culled from our fleet in prior years and are available for sale. Based on that review, we may reduce the expected proceeds from disposition and record additional impairment to reduce the book value of each unit to its estimated fair value. The following table presents the results of our compression fleet impairment review as recorded in our contract operations segment: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (dollars in thousands) 2024 2023 Idle compressors retired from the active fleet ​ 25 ​ 30 Horsepower of idle compressors retired from the active fleet ​ 14,000 ​ 14,000 Impairment recorded on idle compressors retired from the active fleet ​ $ 2,568 ​ $ 2,569 ​ See Note 14 (“Fair Value Measurements”) for further details on fair value accounting.

Restructuring Charges

Restructuring Charges	3 Months Ended
	Mar. 31, 2024
Restructuring Charges
Restructuring Charges	11. Restructuring Charges ​ During the first quarter of 2023, a plan to further streamline our organization and more fully align our teams to improve our customer service and profitability was approved by management. While we did not incur restructuring charges during the three months ended March 31, 2024, we expect to incur additional restructuring charges of $0.1 million related to these restructuring activities. ​ The following table presents restructuring charges incurred by segment during the three months ended March 31, 2023: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Contract ​ Aftermarket ​ ​ ​ ​ ​ ​ (in thousands) ​ Operations ​ Services ​ Other (1) ​ Total Organizational restructuring ​ $ 203 ​ $ — ​ $ 844 ​ $ 1,047 Total restructuring charges ​ $ 203 ​ $ — ​ $ 844 ​ $ 1,047 (1) Represents expense incurred within our corporate function and not directly attributable to our segments. ​ The following table presents restructuring charges incurred by cost type: ​ ​ ​ ​ ​ ​ ​ Three Months Ended (in thousands) ​ March 31, 2024 Organizational Restructuring ​ ​ ​ Severance costs ​ $ 789 Consulting costs ​ ​ 258 Total restructuring costs ​ $ 1,047 ​

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2024
Income Taxes
Income Taxes	​ 12. Income Taxes ​ Valuation Allowance ​ The amount of our deferred tax assets considered realizable could be adjusted if projections of future taxable income are reduced or objective negative evidence in the form of a three–year cumulative loss is present or both. Should we no longer have a level of sustained profitability, excluding nonrecurring charges, we will have to rely more on our future projections of taxable income to determine if we have an adequate source of taxable income for the realization of our deferred tax assets, namely net operating loss, interest expense limitation and tax credit carryforwards. This may result in the need to record a valuation allowance against all or a portion of our deferred tax assets. Effective Tax Rate ​ The year-to-date effective tax rate for the three months ended March 31, 2024 differed significantly from our statutory rate primarily due to state taxes, unrecognized tax benefits and the limitation on executive compensation offset by the benefit from equity-settled long term incentive compensation. Unrecognized Tax Benefits ​ As of March 31, 2024, we believe it is reasonably possible that $3.3 million of our unrecognized tax benefits, including penalties, interest and discontinued operations, will be reduced prior to March 31, 2025 due to the settlement of audits or the expiration of statutes of limitations or both. However, due to the uncertain and complex application of the tax regulations, it is possible that the ultimate resolution of these matters may result in liabilities that could materially differ from this estimate.

Earnings per Common Share

Earnings per Common Share	3 Months Ended
	Mar. 31, 2024
Earnings per Common Share
Net Income (Loss) per Common Share	13. Earnings Per Common Share ​ Basic earnings per common share is computed using the two–class method, which is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. Under the two–class method, basic earnings per common share is determined by dividing net income, after deducting amounts allocated to participating securities, by the weighted average number of common shares outstanding for the period. Participating securities include unvested restricted stock and stock–settled restricted stock units that have nonforfeitable rights to receive dividends or dividend equivalents, whether paid or unpaid. During periods of net loss, only distributed earnings (dividends) are allocated to participating securities, as participating securities do not have a contractual obligation to participate in our undistributed losses. Diluted earnings per common share is computed using the weighted average number of common shares outstanding adjusted for the incremental common stock equivalents attributed to outstanding performance–based restricted stock units and stock to be issued pursuant to our ESPP unless their effect would have been anti–dilutive. The following table shows the calculation of net income attributable to common stockholders, which is used in the calculation of basic and diluted earnings per common share, potential shares of common stock that were included in computing diluted earnings per common share and the potential shares of common stock issuable that were excluded from computing diluted earnings per common share as their inclusion would have been anti–dilutive: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, (in thousands) 2024 2023 Net income ​ ​ $ 40,532 ​ $ 16,485 Less: Allocation of earnings to participating securities ​ ​ (748) ​ (735) Net income attributable to common stockholders ​ ​ $ 39,784 ​ $ 15,750 ​ ​ ​ ​ ​ ​ ​ ​ Less: Allocation of earnings to cash or share settled restricted stock units ​ ​ ​ (85) ​ ​ — Diluted net income attributable to common stockholders ​ ​ $ 39,699 ​ $ 15,750 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding used in basic earnings per common share ​ ​ ​ 154,187 ​ ​ 154,116 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ Performance-based restricted stock units ​ ​ ​ 310 ​ ​ 162 ESPP shares ​ ​ ​ 4 ​ ​ 3 Weighted average common shares outstanding used in diluted earnings per common share ​ ​ ​ 154,501 ​ ​ 154,281 ​

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2024
Fair Value Measurements
Fair Value Measurements	14. Fair Value Measurements ​ Assets and Liabilities Measured at Fair Value on a Recurring Basis ​ As of March 31, 2024, we owned a 25% equity interest in ECOTEC (see Note 5 (“Investments in Unconsolidated Affiliates”)). We have elected the fair value option to account for this investment. The fair value determination of this investment primarily consisted of unobservable inputs, which creates uncertainty in the measurement of fair value as of the reporting date. The significant unobservable inputs used in the fair value measurement, which was valued through an average of an income approach (discounted cash flow method) and a market approach (guideline public company method), are the WACC and the revenue multiples. Significant increases (decreases) in these inputs in isolation would result in a significantly higher (lower) fair value measurement. As of March 31, 2024, the fair value of our investment in ECOTEC was $14.9 million. ​ This fair value measurement is classified as Level 3. The significant unobservable inputs are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ Three Months Ended ​ Three Months Ended ​ ​ Unobservable ​ March 31, 2024 ​ March 31, 2023 ​ ​ Inputs ​ Range ​ Median ​ Range ​ Median Valuation technique: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Discounted cash flow ​ WACC ​ 0.4% - 20.0% ​ ​ 13.5% ​ 0.0% - 22.1% ​ ​ 11.3% Guideline public company ​ Revenue multiple ​ 1.5x - 7.2x ​ ​ 3.8x ​ 1.7x - 8.0x ​ ​ 3.9x ​ The reconciliation of changes in the fair value of our investment in ECOTEC is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, (in thousands) ​ ​ ​ 2024 ​ ​ 2023 Balance at beginning of period ​ $ 14,905 $ 12,803 Purchases of equity interests ​ ​ ​ — ​ ​ 2,000 Unrealized loss (1) ​ ​ ​ — ​ ​ (254) Balance at end of period ​ ​ $ 14,905 ​ $ 14,549 (1) Included in other expense (income), net in our unaudited condensed consolidated statement of operations. ​ See Note 5 (“Investments in Unconsolidated Affiliates”) for further details. ​ Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis ​ Investment in Ionada As of March 31, 2024, we had a fully diluted ownership equity interest in Ionada of 10% (see Note 5 (“Investments in Unconsolidated Affiliates”)). We have elected the fair value measurement alternative to account for this investment. As of March 31, 2024, the carrying value of our investment in Ionada was $4.3 million. The reconciliation of changes in the carrying value of our investment in Ionada is as follows: ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) ​ 2024 Balance at beginning of period $ 4,205 Purchases of equity interests ​ ​ — Transaction costs capitalized as investment activity ​ ​ 57 Cost basis ​ ​ 4,262 Adjustments ​ ​ — Carrying value ​ $ 4,262 ​ Subject to certain contractual conditions, we will invest, on the same terms and conditions as the initial investment, $1.2 million on November 1, 2024, $1.3 million on November 1, 2025, and $4.8 million prior to July 1, 2026, for a fully diluted ownership interest of 12%, 15% and 24%, respectively. Compressors During the three months ended March 31, 2024, we recorded nonrecurring fair value measurements related to our idle compressors. Our estimate of the compressors’ fair value was primarily based on the expected net sale proceeds compared with other fleet units we recently sold and/or a review of other units recently offered for sale by third parties, or the estimated component value of the equipment we plan to use. We discounted the expected proceeds, net of selling and other carrying costs, using a weighted average disposal period of four years. These fair value measurements are classified as Level 3. The fair value of our compressors impaired as of March 31, 2024 and December 31, 2023 was as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2024 ​ December 31, 2023 (in thousands) ​ ​ ​ ​ ​ ​ ​ ​ Impaired compressors ​ ​ ​ $ 263 ​ $ 1,423 ​ The significant unobservable inputs used to develop the above fair value measurements were weighted by the relative fair value of the compressors being measured. Additional quantitative information related to our significant unobservable inputs follows: ​ ​ ​ ​ ​ ​ ​ Range Weighted Average (1) Estimated net sale proceeds: ​ ​ ​ ​ As of March 31, 2024 ​ $0 - $211 per horsepower ​ $50 per horsepower As of December 31, 2023 ​ $0 - $294 per horsepower ​ $50 per horsepower (1) Calculated based on an estimated discount for market liquidity 30% and 33% as of March 31, 2024 and December 31, 2023, respectively. ​ See Note 10 (“Long-Lived and Other Asset Impairments”) for further details. ​ Other Financial Instruments ​ The carrying amounts of our cash, accounts receivable and accounts payable approximate fair value due to the short–term nature of these instruments. The carrying amount of borrowings outstanding under our Credit Facility approximates fair value due to the variable interest rate. The measurement of the fair value of these outstanding borrowings is a Level 3 measurement. The fair value of our fixed rate debt is estimated using yields observable in active markets, which are Level 2 inputs, and was as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2024 December 31, 2023 (in thousands) ​ ​ ​ ​ ​ ​ Carrying amount of fixed rate debt (1) ​ $ 1,298,066 ​ $ 1,297,844 Fair value of fixed rate debt ​ 1,294,000 ​ 1,289,000 (1) Carrying amounts are shown net of unamortized premium and deferred financing costs. See Note 6 (“Long-Term Debt”). ​

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2024
Related Party Transactions
Related Party Transactions	15. Related Party Transactions ​ From August 2019 to present, our Board of Directors has included a member affiliated with our customer Hilcorp or its subsidiaries or affiliates. ​

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2024
Segment Information
Segments	16. Segment Information We manage our business segments primarily based on the type of product or service provided. We have two segments that we operate within the U.S.: contract operations and aftermarket services. Our contract operations segment primarily provides natural gas compression services to meet specific customer requirements. Our aftermarket services segment provides a full range of services to support the compression needs of customers, from parts sales and normal maintenance services to full operation of a customer’s owned assets. ​ We evaluate the performance of our segments based on gross margin, defined as revenue less cost of sales (excluding depreciation and amortization) for each segment. Segment revenue includes only sales to external customers. Summarized financial information for our reporting segments is shown below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Contract Aftermarket ​ ​ (in thousands) Operations Services Total Three months ended March 31, 2024 ​ ​ ​ Revenue ​ $ 223,051 ​ $ 45,437 ​ $ 268,488 Gross margin ​ 145,308 ​ 10,437 ​ 155,745 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended March 31, 2023 ​ ​ ​ Revenue ​ $ 187,745 ​ $ 42,089 ​ $ 229,834 Gross margin ​ 108,263 ​ 8,181 ​ 116,444 ​ The following table reconciles total gross margin to income before income taxes: ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) 2024 2023 Total gross margin ​ $ 155,745 ​ $ 116,444 Less: ​ ​ Selling, general and administrative ​ 31,665 ​ 26,425 Depreciation and amortization ​ 42,835 ​ 40,181 Long-lived and other asset impairment ​ 2,568 ​ 2,569 Restructuring charges ​ ​ — ​ ​ 1,047 Interest expense ​ 27,334 ​ 26,581 Gain on sale of assets, net ​ ​ (2,381) ​ ​ (3,605) Other (income) expense, net ​ 139 ​ 603 Income before income taxes ​ $ 53,585 ​ $ 22,643 ​

Description of Business and B_2

Description of Business and Basis of Presentation (Policies)	3 Months Ended
	Mar. 31, 2024
Basis of Presentation and Significant Accounting Policies
Basis of Presentation	The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all information and disclosures required by GAAP. Therefore, this information should be read in conjunction with our consolidated financial statements and notes contained in our 2023 Form 10-K. The information furnished herein reflects all adjustments that are, in the opinion of management, of a normal recurring nature and considered necessary for a fair statement of the results of the interim periods reported. All intercompany balances and transactions have been eliminated in consolidation. Operating results for the three months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024.
Accounting Standards Updates Implemented and Accounting Standards Updates Not Yet Implemented	Accounting Standards Updates Not Yet Implemented Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, ​ Segment Reporting In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, ​ ​ Business Combinations – Joint Venture Formations In August 2023, the FASB issued ASU 2023-05, to reduce diversity in practice and provide decision-useful information to a joint venture’s investors by requiring that a joint venture apply a new basis of accounting upon formation. By applying a new basis of accounting, a joint venture will recognize and initially measure its assets and liabilities at fair value, with exceptions to fair value measurement that are consistent with the business combinations guidance, on the date of formation. ASU 2023-05 is effective prospectively for all joint venture formations with a formation date on or after January 1, 2025. Additionally, a joint venture that was formed before January 1, 2025, may elect to apply the amendments retrospectively if it has sufficient information to do so. Early adoption is permitted in any interim or annual period in which financial statements have not been issued or been made available for issuance, either prospectively or retrospectively. We expect that the adoption of ASU 2023-05 will have no impact on our consolidated financial statements. ​

Inventory (Tables)

Inventory (Tables)	3 Months Ended
	Mar. 31, 2024
Inventory
Schedule of inventory	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, (in thousands) ​ 2024 ​ 2023 Parts and supplies ​ $ 68,176 ​ $ 70,759 Work in progress ​ 12,182 ​ 11,002 Inventory ​ $ 80,358 ​ $ 81,761 ​

Property, Plant and Equipment_2

Property, Plant and Equipment, Net (Tables)	3 Months Ended
	Mar. 31, 2024
Property, Plant and Equipment, Net
Schedule of property, plant and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, December 31, (in thousands) ​ 2024 ​ 2023 Compression equipment, facilities and other fleet assets ​ $ 3,377,588 ​ $ 3,326,919 Land and buildings ​ 31,019 ​ 30,169 Transportation and shop equipment ​ 100,725 ​ 100,474 Computer hardware and software ​ 77,705 ​ 77,532 Other ​ 5,779 ​ 5,678 Property, plant and equipment ​ 3,592,816 ​ 3,540,772 Accumulated depreciation ​ (1,260,807) ​ (1,238,790) Property, plant and equipment, net ​ $ 2,332,009 ​ $ 2,301,982 ​

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
	Mar. 31, 2024
Long-Term Debt
Schedule of long-term debt	​ ​ ​ ​ ​ ​ ​ ​ (in thousands) March 31, 2024 December 31, 2023 Credit Facility ​ $ 268,500 ​ $ 287,025 ​ ​ ​ ​ ​ ​ ​ 6.25% senior notes due April 2028: ​ ​ ​ ​ ​ ​ Principal outstanding ​ 800,000 ​ 800,000 Unamortized debt premium ​ ​ 8,023 ​ 8,524 Unamortized debt issuance costs ​ (6,647) ​ (7,081) ​ ​ 801,376 ​ 801,443 ​ ​ ​ ​ ​ ​ ​ 6.875% senior notes due April 2027: ​ ​ ​ ​ ​ ​ Principal outstanding ​ ​ 500,000 ​ 500,000 Unamortized debt issuance costs ​ ​ (3,310) ​ (3,599) ​ ​ ​ 496,690 ​ 496,401 ​ ​ ​ ​ ​ ​ ​ Long-term debt ​ $ 1,566,566 ​ $ 1,584,869

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2024
Stockholders' Equity
Summary of shares repurchased	​ ​ ​ ​ ​ ​ Three Months Ended (dollars in thousands, except per share amounts) ​ March 31, 2024 Total cost of shares repurchased ​ $ 1,230 Average price per share ​ $ 14.83 Total number of shares repurchased ​ 82,972
Summary of dividends declared and paid	​ ​ ​ ​ ​ ​ ​ ​ ​ Dividends per ​ (dollars in thousands, except per share amounts) Common Share Dividends Paid 2024 ​ ​ Q1 ​ $ 0.165 ​ $ 26,000 ​ ​ ​ ​ ​ ​ ​ 2023 ​ ​ Q4 ​ $ 0.155 ​ $ 24,190 Q3 ​ 0.155 ​ 24,250 Q2 ​ 0.150 ​ 23,504 Q1 ​ 0.150 ​ 23,852

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	3 Months Ended
	Mar. 31, 2024
Revenue from Contracts with Customers
Schedule of revenue from contracts with customers by segment	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) 2024 2023 Contract operations: ​ ​ ​ ​ 0 ― 1,000 horsepower per unit ​ $ 45,327 ​ $ 39,954 1,001 ― 1,500 horsepower per unit ​ 95,670 ​ 81,807 Over 1,500 horsepower per unit ​ 81,865 ​ 65,714 Other (1) ​ 189 ​ 270 Total contract operations revenue (2) ​ 223,051 ​ 187,745 ​ ​ ​ ​ ​ ​ ​ Aftermarket services: ​ ​ Services ​ 25,438 ​ 21,249 OTC parts and components sales ​ 19,999 ​ 20,840 Total aftermarket services revenue (3) ​ 45,437 ​ 42,089 ​ ​ ​ ​ ​ ​ ​ Total revenue ​ $ 268,488 ​ $ 229,834 (1) Primarily relates to fees associated with owned non-compression equipment. (2) Includes $1.1 million and $0.8 million for the three months ended March 31, 2024 and 2023, respectively, related to billable maintenance on owned compressors that was recognized at a point in time. All other contract operations revenue is recognized over time. (3) Services revenue within aftermarket services is recognized over time. OTC parts and components sales revenue is recognized at a point in time.
Schedule of remaining performance obligations	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (in thousands) ​ 2024 ​ 2025 ​ 2026 2027 2028 2029 Total Remaining performance obligations ​ ​ $ 263,793 ​ $ 184,333 ​ $ 98,640 ​ $ 15,076 ​ $ 7,526 ​ $ 342 ​ $ 569,710
Summary of changes in allowance for credit losses	​ ​ ​ ​ ​ (in thousands) ​ ​ Balance at beginning of period $ 587 Benefit from credit losses ​ ​ (75) Write-offs charged against allowance ​ ​ (16) Balance at end of period ​ $ 496

Long-Lived and Other Asset Im_2

Long-Lived and Other Asset Impairment (Tables)	3 Months Ended
	Mar. 31, 2024
Long-Lived and Other Asset Impairment
Schedule of impairment of long-lived assets	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (dollars in thousands) 2024 2023 Idle compressors retired from the active fleet ​ 25 ​ 30 Horsepower of idle compressors retired from the active fleet ​ 14,000 ​ 14,000 Impairment recorded on idle compressors retired from the active fleet ​ $ 2,568 ​ $ 2,569

Restructuring Charges (Tables)

Restructuring Charges (Tables)	3 Months Ended
	Mar. 31, 2024
Restructuring Charges
Schedule of restructuring charges by segment	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Contract ​ Aftermarket ​ ​ ​ ​ ​ ​ (in thousands) ​ Operations ​ Services ​ Other (1) ​ Total Organizational restructuring ​ $ 203 ​ $ — ​ $ 844 ​ $ 1,047 Total restructuring charges ​ $ 203 ​ $ — ​ $ 844 ​ $ 1,047 (1) Represents expense incurred within our corporate function and not directly attributable to our segments.
Schedule of restructuring charges by type	​ ​ ​ ​ ​ ​ ​ Three Months Ended (in thousands) ​ March 31, 2024 Organizational Restructuring ​ ​ ​ Severance costs ​ $ 789 Consulting costs ​ ​ 258 Total restructuring costs ​ $ 1,047 ​

Earnings per Common Share (Tabl

Earnings per Common Share (Tables)	3 Months Ended
	Mar. 31, 2024
Earnings per Common Share
Schedule of calculation of basic and diluted net income per common share	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, (in thousands) 2024 2023 Net income ​ ​ $ 40,532 ​ $ 16,485 Less: Allocation of earnings to participating securities ​ ​ (748) ​ (735) Net income attributable to common stockholders ​ ​ $ 39,784 ​ $ 15,750 ​ ​ ​ ​ ​ ​ ​ ​ Less: Allocation of earnings to cash or share settled restricted stock units ​ ​ ​ (85) ​ ​ — Diluted net income attributable to common stockholders ​ ​ $ 39,699 ​ $ 15,750 ​ ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding used in basic earnings per common share ​ ​ ​ 154,187 ​ ​ 154,116 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ Performance-based restricted stock units ​ ​ ​ 310 ​ ​ 162 ESPP shares ​ ​ ​ 4 ​ ​ 3 Weighted average common shares outstanding used in diluted earnings per common share ​ ​ ​ 154,501 ​ ​ 154,281 ​

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2024
Fair value
Schedule of carrying value and estimated fair value of debt instruments	​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2024 December 31, 2023 (in thousands) ​ ​ ​ ​ ​ ​ Carrying amount of fixed rate debt (1) ​ $ 1,298,066 ​ $ 1,297,844 Fair value of fixed rate debt ​ 1,294,000 ​ 1,289,000 (1) Carrying amounts are shown net of unamortized premium and deferred financing costs. See Note 6 (“Long-Term Debt”).
Compressors
Fair value
Schedule of significant unobservable inputs	​ ​ ​ ​ ​ ​ ​ Range Weighted Average (1) Estimated net sale proceeds: ​ ​ ​ ​ As of March 31, 2024 ​ $0 - $211 per horsepower ​ $50 per horsepower As of December 31, 2023 ​ $0 - $294 per horsepower ​ $50 per horsepower (1) Calculated based on an estimated discount for market liquidity 30% and 33% as of March 31, 2024 and December 31, 2023, respectively.
Schedule of non-recurring fair value assets	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2024 ​ December 31, 2023 (in thousands) ​ ​ ​ ​ ​ ​ ​ ​ Impaired compressors ​ ​ ​ $ 263 ​ $ 1,423
Ionada | Equity investment
Fair value
Schedule of reconciliation of changes in the carrying value of investment measured at fair value on nonrecurring basis	​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) ​ 2024 Balance at beginning of period $ 4,205 Purchases of equity interests ​ ​ — Transaction costs capitalized as investment activity ​ ​ 57 Cost basis ​ ​ 4,262 Adjustments ​ ​ — Carrying value ​ $ 4,262
ECOTEC | Equity investment
Fair value
Schedule of significant unobservable inputs	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Significant ​ Three Months Ended ​ Three Months Ended ​ ​ Unobservable ​ March 31, 2024 ​ March 31, 2023 ​ ​ Inputs ​ Range ​ Median ​ Range ​ Median Valuation technique: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Discounted cash flow ​ WACC ​ 0.4% - 20.0% ​ ​ 13.5% ​ 0.0% - 22.1% ​ ​ 11.3% Guideline public company ​ Revenue multiple ​ 1.5x - 7.2x ​ ​ 3.8x ​ 1.7x - 8.0x ​ ​ 3.9x
Schedule of changes in assets measured at fair value on a recurring basis	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ March 31, (in thousands) ​ ​ ​ 2024 ​ ​ 2023 Balance at beginning of period ​ $ 14,905 $ 12,803 Purchases of equity interests ​ ​ ​ — ​ ​ 2,000 Unrealized loss (1) ​ ​ ​ — ​ ​ (254) Balance at end of period ​ ​ $ 14,905 ​ $ 14,549 (1) Included in other expense (income), net in our unaudited condensed consolidated statement of operations. ​

Segments (Tables)

Segments (Tables)	3 Months Ended
	Mar. 31, 2024
Segment Information
Summary of revenue and other financial information by reportable segment	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Contract Aftermarket ​ ​ (in thousands) Operations Services Total Three months ended March 31, 2024 ​ ​ ​ Revenue ​ $ 223,051 ​ $ 45,437 ​ $ 268,488 Gross margin ​ 145,308 ​ 10,437 ​ 155,745 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended March 31, 2023 ​ ​ ​ Revenue ​ $ 187,745 ​ $ 42,089 ​ $ 229,834 Gross margin ​ 108,263 ​ 8,181 ​ 116,444
Reconciliation of total gross margin to income before taxes	​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ March 31, (in thousands) 2024 2023 Total gross margin ​ $ 155,745 ​ $ 116,444 Less: ​ ​ Selling, general and administrative ​ 31,665 ​ 26,425 Depreciation and amortization ​ 42,835 ​ 40,181 Long-lived and other asset impairment ​ 2,568 ​ 2,569 Restructuring charges ​ ​ — ​ ​ 1,047 Interest expense ​ 27,334 ​ 26,581 Gain on sale of assets, net ​ ​ (2,381) ​ ​ (3,605) Other (income) expense, net ​ 139 ​ 603 Income before income taxes ​ $ 53,585 ​ $ 22,643 ​

Description of Business and B_3

Description of Business and Basis of Presentation (Details)	3 Months Ended
	Mar. 31, 2024 segment
Basis of Presentation and Significant Accounting Policies
Number of reportable segments	2

Inventory (Details)

Inventory (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Composition of Inventory net of reserves
Parts and supplies	$ 68,176	$ 70,759
Work in progress	12,182	11,002
Inventory	$ 80,358	$ 81,761

Property, Plant and Equipment_3

Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Property, Plant and Equipment, Net
Property, plant and equipment	$ 3,592,816	$ 3,540,772
Accumulated depreciation	(1,260,807)	(1,238,790)
Property, plant and equipment, net	2,332,009	2,301,982
Compression equipment, facilities and other fleet assets
Property, Plant and Equipment, Net
Property, plant and equipment	3,377,588	3,326,919
Land and buildings
Property, Plant and Equipment, Net
Property, plant and equipment	31,019	30,169
Transportation and shop equipment
Property, Plant and Equipment, Net
Property, plant and equipment	100,725	100,474
Computer hardware and software
Property, Plant and Equipment, Net
Property, plant and equipment	77,705	77,532
Other
Property, Plant and Equipment, Net
Property, plant and equipment	$ 5,779	$ 5,678

Investment in Unconsolidated Af

Investment in Unconsolidated Affiliate (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Nov. 30, 2023	Mar. 31, 2024	Mar. 31, 2023	Apr. 30, 2022
Investments
Cash paid to acquire equity interest		$ 57	$ 2,000
ECOTEC
Investments
Equity interest agreed to acquire (as a percent)				25%
Ownership interest (as a percent)		25%
Unrealized loss recognized due to change in fair value			$ 300
Ionada
Investments
Equity interest agreed to acquire (as a percent)		24%
Cash paid to acquire equity interest	$ 3,800
Ownership interest (as a percent)		10%
Period over which ownership interest will be acquired to reach agreed upon ownership percentage		2 years

Long-Term Debt - Schedule of Lo

Long-Term Debt - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Debt Instruments
Long-term debt	$ 1,566,566	$ 1,584,869
Credit Facility
Debt Instruments
Long-term debt	268,500	287,025
6.25% senior notes due April 2028
Debt Instruments
Principal outstanding	800,000	800,000
Unamortized debt premium	8,023	8,524
Unamortized debt issuance costs	(6,647)	(7,081)
Long-term debt	$ 801,376	$ 801,443
Interest rate (as a percent)	6.25%	6.25%
6.875% senior notes due April 2027
Debt Instruments
Principal outstanding	$ 500,000	$ 500,000
Unamortized debt issuance costs	(3,310)	(3,599)
Long-term debt	$ 496,690	$ 496,401
Interest rate (as a percent)	6.875%	6.875%

Long-Term Debt - Credit Facilit

Long-Term Debt - Credit Facility (Details) - USD ($) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2024	Jun. 30, 2023	Dec. 31, 2023	May 16, 2023	Mar. 31, 2023
Credit Facility
Line of Credit Facility
Letter of credit outstanding	$ 3.8
Debt instrument, variable rate (percentage)	2.20%
Debt instrument weighted average interest rate (percent)	7.80%		7.70%
Debt issuance cost written off		$ 1
Commitment fee amount	$ 0.4		$ 0.5
Swing Line Loans, Credit Facility
Line of Credit Facility
Maximum borrowing capacity				$ 75	$ 50
Credit Facility, Amendment 4
Line of Credit Facility
Transaction costs		$ 6

Commitments and Contingencies-

Commitments and Contingencies- Tax Matters - Loss contingencies (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Non-income based tax audits
Loss Contingencies
Accrued liability	$ 4.1	$ 3.9
Non-income based tax audits in contested hearing phase
Loss Contingencies
Accrued liability	$ 0.6	$ 0.6

Stockholders' Equity - Share Re

Stockholders' Equity - Share Repurchase Program (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended	11 Months Ended
	Apr. 27, 2024	Mar. 31, 2024	Mar. 31, 2024	Apr. 27, 2023
Treasury Stock
Total cost of shares repurchased (in dollars)		$ 1,230
Share Repurchase Program
Treasury Stock
Shares authorized to be repurchased (in dollars)				$ 50,000
Total cost of shares repurchased (in dollars)		$ 1,230	$ 10,100
Average price per share (in dollars per share)		$ 14.83	$ 12.11
Total number of shares repurchased (in shares)		82,972	833,346
Subsequent Event | Share Repurchase Program
Treasury Stock
Renewal period	24 months
Available capacity for repurchase (in dollars)	$ 50,000

Stockholders' Equity - Cash Div

Stockholders' Equity - Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended
	May 14, 2024	Apr. 25, 2024	Mar. 31, 2024	Dec. 31, 2023	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023
Distributions
Declared Dividends per Common Share (in dollars per share)			$ 0.165	$ 0.155	$ 0.155	$ 0.150	$ 0.150
Dividends Paid (in dollars)			$ 26,000	$ 24,190	$ 24,250	$ 23,504	$ 23,852
Forecasted
Distributions
Dividends Paid (in dollars per share)	$ 0.165
Subsequent Event
Distributions
Declared Dividends per Common Share (in dollars per share)		$ 0.165

Revenue from Contracts with C_3

Revenue from Contracts with Customers - Disaggregate Revenue (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($) hp	Mar. 31, 2023 USD ($) hp
Disaggregation of Revenue
Revenue	$ 268,488	$ 229,834
Contract operations
Disaggregation of Revenue
Revenue	223,051	187,745
Contract operations | Transferred at Point in Time
Disaggregation of Revenue
Revenue	1,100	800
Contract operations | 0 - 1,000 horsepower per unit
Disaggregation of Revenue
Revenue	$ 45,327	$ 39,954
Contract operations | 0 - 1,000 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	0	0
Contract operations | 0 - 1,000 horsepower per unit | Maximum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,000	1,000
Contract operations | 1,001 - 1,500 horsepower per unit
Disaggregation of Revenue
Revenue	$ 95,670	$ 81,807
Contract operations | 1,001 - 1,500 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,001	1,001
Contract operations | 1,001 - 1,500 horsepower per unit | Maximum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,500	1,500
Contract operations | Over 1,500 horsepower per unit
Disaggregation of Revenue
Revenue	$ 81,865	$ 65,714
Contract operations | Over 1,500 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,500	1,500
Contract operations | Other
Disaggregation of Revenue
Revenue	$ 189	$ 270
Aftermarket services
Disaggregation of Revenue
Revenue	45,437	42,089
Aftermarket services | Service
Disaggregation of Revenue
Revenue	25,438	21,249
Aftermarket services | OTC parts and components sales
Disaggregation of Revenue
Revenue	$ 19,999	$ 20,840

Revenue from Contracts with C_4

Revenue from Contracts with Customers - Performance Obligations (Details) $ in Thousands	Mar. 31, 2024 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 569,710
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 263,793
Performance obligations expected to be satisfied, expected timing	9 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 184,333
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 98,640
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 15,076
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 7,526
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2029-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 342
Performance obligations expected to be satisfied, expected timing	1 year

Revenue from Contracts with C_5

Revenue from Contracts with Customers - Contract Assets (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Revenue from Contracts with Customers
Accounts receivable, net of allowance - Customer related	$ 95.9	$ 119.7

Revenue from Contracts with C_6

Revenue from Contracts with Customers - Allowance for Credit Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Changes in the allowance for credit losses balance
Balance at beginning of period	$ 587
Benefit from credit losses	(75)	$ (340)
Write-offs charged against the allowance	(16)
Balance at end of period	$ 496

Revenue from Contracts with C_7

Revenue from Contracts with Customers - Contract Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Revenue from Contracts with Customers
Contract liability	$ 7,200		$ 7,000
Deferred revenue	3,070	$ 3,179
Deferred revenue recognized in earnings	$ 2,859	$ 4,476

Long-Lived and Other Asset Im_3

Long-Lived and Other Asset Impairment (Details) - Idle Compressor Units hp in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($) CompressorUnit hp	Mar. 31, 2023 USD ($) CompressorUnit hp
Impaired Long-Lived Assets Held and Used
Idle compressors retired from the active fleet | CompressorUnit	25	30
Horsepower of idle compressors retired from the active fleet | hp	14	14
Impairment recorded on idle compressors retired from the active fleet | $	$ 2,568	$ 2,569
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income	Long-lived and other asset impairment	Long-lived and other asset impairment

Restructuring Charges - By segm

Restructuring Charges - By segment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Restructuring charges
Restructuring charges		$ 1,047
Organizational Restructuring
Restructuring charges
Restructuring charges	$ 0	1,047
Expected additional restructuring charges	$ 100
Corporate
Restructuring charges
Restructuring charges		844
Corporate | Organizational Restructuring
Restructuring charges
Restructuring charges		844
Contract operations | Operating
Restructuring charges
Restructuring charges		203
Contract operations | Operating | Organizational Restructuring
Restructuring charges
Restructuring charges		$ 203

Restructuring Charges - By type

Restructuring Charges - By type (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Restructuring charges
Restructuring charges		$ 1,047
Organizational Restructuring
Restructuring charges
Restructuring charges	$ 0	1,047
Severance costs | Organizational Restructuring
Restructuring charges
Restructuring charges		789
Consulting costs | Organizational Restructuring
Restructuring charges
Restructuring charges		$ 258

Income Taxes (Details)

Income Taxes (Details) $ in Millions	Mar. 31, 2024 USD ($)
Income Taxes
Potential decrease in unrecognized tax benefit in next twelve months	$ 3.3

Earnings Per Common Share (Deta

Earnings Per Common Share (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Earnings per Common Share
Net income	$ 40,532	$ 16,485
Less: Allocation of earnings to participating securities	(748)	(735)
Net income attributable to common stockholders, basic	39,784	15,750
Less: Allocation of earnings to cash or share settled restricted stock units	(85)
Diluted net income attributable to common stockholders	$ 39,699	$ 15,750
Weighted average common shares outstanding used in basic earnings per common share (in shares)	154,187	154,116
Effect of dilutive securities:
Performance-based restricted stock units (in shares)	310	162
ESPP shares (in shares)	4	3
Weighted average common shares outstanding used in diluted earnings per common share (in shares)	154,501	154,281

Fair Value Measurements - Recur

Fair Value Measurements - Recurring Basis - Investment in ECOTEC - Unobservable inputs (Details) - ECOTEC $ in Millions	Mar. 31, 2024 USD ($)	Mar. 31, 2023
Fair value measurement of assets and liabilities
Ownership interest (as a percent)	25%
Investment	$ 14.9
Equity investment | Level 3 | Discounted cash flow | WACC | Minimum
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	0.004	0
Equity investment | Level 3 | Discounted cash flow | WACC | Maximum
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	0.200	0.221
Equity investment | Level 3 | Discounted cash flow | WACC | Median
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	0.135	0.113
Equity investment | Level 3 | Guideline public company | Revenue multiple | Minimum
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	1.5	1.7
Equity investment | Level 3 | Guideline public company | Revenue multiple | Maximum
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	7.2	8
Equity investment | Level 3 | Guideline public company | Revenue multiple | Median
Significant unobservable inputs
Equity Securities, FV-NI, Measurement Input	3.8	3.9

Fair Value Measurements - Rec_2

Fair Value Measurements - Recurring Basis - Investment in ECOTEC - Changes in FV (Details) - ECOTEC - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Reconciliation of changes in fair value
Unrealized loss		$ (300)
Equity investment
Reconciliation of changes in fair value
Balance, beginning of period	$ 14,905	12,803
Purchases of equity interests		2,000
Unrealized loss		(254)
Balance, end of period	$ 14,905	$ 14,549

Fair Value Measurements - Nonre

Fair Value Measurements - Nonrecurring Basis - Investment in Ionada (Details) - USD ($) $ in Thousands				1 Months Ended	3 Months Ended
	Jun. 30, 2026	Nov. 01, 2025	Nov. 01, 2024	Nov. 30, 2023	Mar. 31, 2024	Mar. 31, 2023
Reconciliation of changes in fair value
Cash paid to acquire equity interest					$ 57	$ 2,000
Ionada
Assets measured at fair value on a nonrecurring basis
Ownership interest (as a percent)					10%
Reconciliation of changes in fair value
Balance, beginning of period					$ 4,205
Transaction costs capitalized as investment activity					57
Cost basis					4,262
Carrying value					$ 4,262
Cash paid to acquire equity interest				$ 3,800
Ionada | Forecasted
Assets measured at fair value on a nonrecurring basis
Ownership interest (as a percent)	24%	15%	12%
Reconciliation of changes in fair value
Purchases of equity interests	$ 4,800	$ 1,300	$ 1,200

Fair Value Measurements - Non_2

Fair Value Measurements - Nonrecurring Basis - Compressors (Details) - Level 3 - Impaired Long-Lived Assets - Compressors $ in Thousands	Mar. 31, 2024 USD ($) $ / hp Y	Dec. 31, 2023 USD ($) $ / hp Y
Measurement Input, Weighted average disposal period
Assets measured on nonrecurring basis
Measurement input | Y	4	4
Measurement Input, Sale proceeds | Minimum
Assets measured on nonrecurring basis
Measurement input	0	0
Measurement Input, Sale proceeds | Maximum
Assets measured on nonrecurring basis
Measurement input	211	294
Measurement Input, Sale proceeds | Weighted average
Assets measured on nonrecurring basis
Measurement input	50	50
Measurement Input, Discount for market liquidity
Assets measured on nonrecurring basis
Measurement input	0.30	0.33
Nonrecurring Basis
Assets measured on nonrecurring basis
Impaired assets | $	$ 263	$ 1,423

Fair Value Measurements - Other

Fair Value Measurements - Other Financial Instruments (Details) - Fixed Rate Debt - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Long-term debt, fair value	$ 1,298,066	$ 1,297,844
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Long-term debt, fair value	$ 1,294,000	$ 1,289,000
Long-Term Debt, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel2Member	us-gaap:FairValueInputsLevel2Member

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Related Party Transaction
Revenue	$ 268,488	$ 229,834
Accounts receivable, net of allowance - Customer related	95,900		$ 119,700
Accounts receivable, net of allowance of $1,487 and $2,152, respectively	105,295		124,069
Affiliated Entity
Related Party Transaction
Revenue	10,500	$ 9,100
Accounts receivable, net of allowance - Customer related	$ 3,600		$ 3,800

Segment Information - Number (D

Segment Information - Number (Details)	3 Months Ended
	Mar. 31, 2024 segment
Segment Information
Number of reportable segments	2

Segment Information - Revenue a

Segment Information - Revenue and Gross Margin by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue and other financial information by reportable segment
Revenue	$ 268,488	$ 229,834
Gross margin	155,745	116,444
Capital expenditures	99,755	84,392
Contract operations
Revenue and other financial information by reportable segment
Revenue	223,051	187,745
Gross margin	145,308	108,263
Aftermarket services
Revenue and other financial information by reportable segment
Revenue	45,437	42,089
Gross margin	$ 10,437	$ 8,181

Segment Information - Reconcili

Segment Information - Reconciliation of gross margin to income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Reconciliation of total gross margin to income
Total gross margin	$ 155,745	$ 116,444
Less:
Selling, general and administrative	31,665	26,425
Depreciation and amortization	42,835	40,181
Long-lived and other asset impairment	2,568	2,569
Restructuring charges		1,047
Interest expense	27,334	26,581
Gain on sale of assets, net	(2,381)	(3,605)
Other (income) expense, net	139	603
Income before income taxes	$ 53,585	$ 22,643

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 40,532	$ 16,485

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Mar. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false