Archrock (AROC) 10-Q 3 Nov 22 2022 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2022	Oct. 26, 2022
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
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		155,611,630
Entity Central Index Key	0001389050
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 2,042	$ 1,569
Accounts receivable, net of allowance of $1,487 and $2,152, respectively	127,334	104,931
Inventory	84,091	72,869
Other current assets	6,817	7,201
Total current assets	220,284	186,570
Property, plant and equipment, net	2,214,666	2,226,526
Operating lease right-of-use assets	16,089	17,491
Intangible assets, net	39,019	47,887
Contract costs, net	32,598	25,418
Deferred tax assets	37,001	47,879
Other assets	37,051	28,384
Assets of discontinued operations	8,893	9,811
Total assets	2,605,601	2,589,966
Current liabilities:
Accounts payable	89,602	38,920
Accrued liabilities	97,021	82,517
Deferred revenue	7,707	3,817
Total current liabilities	194,330	125,254
Long-term debt	1,498,895	1,530,825
Operating lease liabilities	14,286	15,940
Deferred tax liabilities	1,076	1,136
Other liabilities	19,330	17,505
Liabilities of discontinued operations	7,868	7,868
Total liabilities	1,735,785	1,698,528
Commitments and contingencies (Note 8)
Stockholders' 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, 163,412,780 and 161,482,852 shares issued, respectively	1,633	1,615
Additional paid-in capital	3,453,720	3,440,059
Accumulated deficit	(2,497,002)	(2,463,114)
Accumulated other comprehensive loss		(984)
Treasury stock, 7,801,150 and 7,417,401 common shares, at cost, respectively	(88,535)	(86,138)
Total stockholders' equity	869,816	891,438
Total liabilities and stockholders' equity	$ 2,605,601	$ 2,589,966

Unaudited Condensed Consolida_2

Unaudited Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Unaudited Condensed Consolidated Balance Sheets
Accounts receivable, allowance	$ 1,487	$ 2,152
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)	163,412,780	161,482,852
Treasury stock, common shares (in shares)	7,801,150	7,417,401

Unaudited Condensed Consolida_3

Unaudited Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Revenues	$ 213,668	$ 195,166	$ 626,697	$ 586,212
Total cost of sales (excluding depreciation and amortization)	107,527	91,932	310,731	267,957
Selling, general and administrative	30,500	28,839	85,964	80,000
Depreciation and amortization	39,953	45,280	124,348	135,185
Long-lived and other asset impairment	4,154	5,121	16,217	15,154
Restructuring charges		313		1,953
Interest expense	25,177	25,508	74,879	82,711
Gain on sale of assets, net	(12,695)	(15,393)	(33,755)	(29,549)
Other (income) expense, net	(585)	337	(52)	(1,634)
Income before income taxes	19,637	13,229	48,365	34,435
Provision for income taxes	4,266	3,925	14,527	12,210
Net income	$ 15,371	$ 9,304	$ 33,838	$ 22,225
Basic earnings per common share (in dollars per share)	$ 0.10	$ 0.06	$ 0.21	$ 0.14
Diluted earnings per common share(in dollars per share)	$ 0.10	$ 0.06	$ 0.21	$ 0.14
Weighted average common shares outstanding:
Basic (in shares)	153,550	152,158	153,168	151,615
Diluted (in shares)	153,687	152,297	153,297	151,769
Contract Operations
Revenues	$ 170,497	$ 158,911	$ 500,451	$ 488,810
Total cost of sales (excluding depreciation and amortization)	71,694	61,280	204,550	184,032
Aftermarket Services
Revenues	43,171	36,255	126,246	97,402
Total cost of sales (excluding depreciation and amortization)	$ 35,833	$ 30,652	$ 106,181	$ 83,925

Unaudited Condensed Consolida_4

Unaudited Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Unaudited Condensed Consolidated Statements of Comprehensive Income
Net income	$ 15,371	$ 9,304	$ 33,838	$ 22,225
Other comprehensive income, net of tax:
Interest rate swap gain, net of reclassifications to earnings		585	574	2,547
Amortization of dedesignated interest rate swap		431	410	431
Total other comprehensive income, net of tax		1,016	984	2,978
Comprehensive income	$ 15,371	$ 10,320	$ 34,822	$ 25,203

Unaudited Condensed Consolida_5

Unaudited Condensed Consolidated Statements of Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss	Treasury Stock, Common	Total
Beginning balance at Dec. 31, 2020	$ 1,600	$ 3,424,624	$ (2,401,988)	$ (5,006)	$ (83,673)	$ 935,557
Beginning balance (in shares) at Dec. 31, 2020	160,014,960
Treasury stock, common shares, Beginning balance (in shares) at Dec. 31, 2020					(7,052,769)
Increase (Decrease) in Stockholders' Equity
Treasury stock purchased					$ (2,409)	(2,409)
Treasury stock purchased (in shares)					(277,316)
Cash dividends			(66,992)			(66,992)
Shares issued under employee stock purchase plan ("ESPP")		546				546
Shares issued under employee stock purchase plan ("ESPP") (in shares)	66,541
Stock-based compensation, net of forfeitures	$ 10	8,731				8,741
Stock-based compensation, net of forfeitures (in shares)	1,020,756				(72,103)
Net proceeds from issuance of common stock	$ 4	3,397				3,401
Net proceeds from issuance of common stock (in shares)	357,148
Comprehensive income (loss)
Net income			22,225			22,225
Other comprehensive income				2,978		2,978
Ending balance at Sep. 30, 2021	$ 1,614	3,437,298	(2,446,755)	(2,028)	$ (86,082)	904,047
Ending balance (in shares) at Sep. 30, 2021	161,459,405
Treasury stock, common shares, Ending balance (in shares) at Sep. 30, 2021					(7,402,188)
Beginning balance at Jun. 30, 2021	$ 1,613	3,434,224	(2,433,553)	(3,044)	$ (85,419)	913,821
Beginning balance (in shares) at Jun. 30, 2021	161,339,554
Treasury stock, common shares, Beginning balance (in shares) at Jun. 30, 2021					(7,278,449)
Increase (Decrease) in Stockholders' Equity
Treasury stock purchased					$ (663)	(663)
Treasury stock purchased (in shares)					(92,540)
Cash dividends			(22,506)			(22,506)
Shares issued under employee stock purchase plan ("ESPP")		175				175
Shares issued under employee stock purchase plan ("ESPP") (in shares)	22,425
Stock-based compensation, net of forfeitures	$ 1	2,899				2,900
Stock-based compensation, net of forfeitures (in shares)	97,426				(31,199)
Comprehensive income (loss)
Net income			9,304			9,304
Other comprehensive income				1,016		1,016
Ending balance at Sep. 30, 2021	$ 1,614	3,437,298	(2,446,755)	(2,028)	$ (86,082)	904,047
Ending balance (in shares) at Sep. 30, 2021	161,459,405
Treasury stock, common shares, Ending balance (in shares) at Sep. 30, 2021					(7,402,188)
Beginning balance at Dec. 31, 2021	$ 1,615	3,440,059	(2,463,114)	(984)	$ (86,138)	$ 891,438
Beginning balance (in shares) at Dec. 31, 2021	161,482,852
Treasury stock, common shares, Beginning balance (in shares) at Dec. 31, 2021					(7,417,401)	(7,417,401)
Increase (Decrease) in Stockholders' Equity
Treasury stock purchased					$ (2,397)	$ (2,397)
Treasury stock purchased (in shares)					(276,342)
Cash dividends			(67,726)			(67,726)
Shares issued under employee stock purchase plan ("ESPP")		462				462
Shares issued under employee stock purchase plan ("ESPP") (in shares)	66,236
Stock-based compensation, net of forfeitures	$ 14	9,021				9,035
Stock-based compensation, net of forfeitures (in shares)	1,416,672				(107,407)
Net proceeds from issuance of common stock	$ 4	4,178				4,182
Net proceeds from issuance of common stock (in shares)	447,020
Comprehensive income (loss)
Net income			33,838			33,838
Other comprehensive income				$ 984		984
Ending balance at Sep. 30, 2022	$ 1,633	3,453,720	(2,497,002)		$ (88,535)	$ 869,816
Ending balance (in shares) at Sep. 30, 2022	163,412,780
Treasury stock, common shares, Ending balance (in shares) at Sep. 30, 2022					(7,801,150)	(7,801,150)
Beginning balance at Jun. 30, 2022	$ 1,633	3,450,603	(2,489,814)		$ (88,504)	$ 873,918
Beginning balance (in shares) at Jun. 30, 2022	163,385,390
Treasury stock, common shares, Beginning balance (in shares) at Jun. 30, 2022					(7,740,919)
Increase (Decrease) in Stockholders' Equity
Treasury stock purchased					$ (31)	(31)
Treasury stock purchased (in shares)					(3,636)
Cash dividends			(22,559)			(22,559)
Shares issued under employee stock purchase plan ("ESPP")		167				167
Shares issued under employee stock purchase plan ("ESPP") (in shares)	27,390
Stock-based compensation, net of forfeitures		2,998				2,998
Stock-based compensation, net of forfeitures (in shares)					(56,595)
Net proceeds from issuance of common stock		(48)				(48)
Comprehensive income (loss)
Net income			15,371			15,371
Ending balance at Sep. 30, 2022	$ 1,633	$ 3,453,720	$ (2,497,002)		$ (88,535)	$ 869,816
Ending balance (in shares) at Sep. 30, 2022	163,412,780
Treasury stock, common shares, Ending balance (in shares) at Sep. 30, 2022					(7,801,150)	(7,801,150)

Unaudited Condensed Consolida_6

Unaudited Condensed Consolidated Statements of Equity (Parenthetical) - $ / shares	3 Months Ended							9 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021
Unaudited Condensed Consolidated Statements of Equity
Dividend declared per common stock (in dollars per share)	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.435	$ 0.435

Unaudited Condensed Consolida_7

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Cash flows from operating activities:
Net income	$ 33,838	$ 22,225
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	124,348	135,185
Long-lived and other asset impairment	16,217	15,154
Inventory write-downs	1,040	621
Amortization of operating lease right-of-use assets	2,407	2,922
Amortization of debt issuance costs	3,864	8,839
Amortization of debt premium	(1,504)	(1,504)
Amortization of dedesignated interest rate swap	410	431
Interest rate swaps	631	2,866
Stock-based compensation expense	9,035	8,741
Provision for credit losses	(28)	151
Gain on sale of assets, net	(5,535)	(10,604)
Gain on sale of business	(28,220)	(18,945)
Deferred income tax provision	13,624	11,778
Amortization of contract costs	14,211	15,523
Deferred revenue recognized in earnings	(15,709)	(8,081)
Changes in operating assets and liabilities:
Accounts receivable, net	(29,130)	(2,133)
Inventory	(8,339)	(5,994)
Other assets	697	1,326
Contract costs	(22,486)	(11,481)
Accounts payable and other liabilities	37,251	33,626
Deferred revenue recognized in earnings	19,614	8,167
Other	96	(88)
Net cash provided by operating activities	166,332	208,725
Cash flows from investing activities:
Capital expenditures	(171,032)	(70,881)
Proceeds from sale of property, equipment and other assets	13,348	24,683
Proceeds from sale of business	99,785	83,075
Proceeds from insurance and other settlements	3,353	977
Investments in unconsolidated entities	(12,000)
Net cash (used in) provided by investing activities	(66,546)	37,854
Cash flows from financing activities:
Borrowings of long-term debt	579,483	522,751
Repayments of long-term debt	(611,983)	(695,751)
Payments of debt issuance costs		(2,451)
Payments for settlement of interest rate swaps that include financing elements	(1,334)	(3,283)
Dividends paid to stockholders	(67,726)	(66,992)
Net proceeds from issuance of common stock	4,182	3,401
Proceeds from stock issued under ESPP	462	546
Purchases of treasury stock	(2,397)	(2,409)
Net cash used in financing activities	(99,313)	(244,188)
Net increase in cash and cash equivalents	473	2,391
Cash and cash equivalents, beginning of period	1,569	1,097
Cash and cash equivalents, end of period	$ 2,042	$ 3,488

GENERAL

GENERAL	9 Months Ended
	Sep. 30, 2022
GENERAL
GENERAL	NOTE 1. GENERAL ​ Description of Business ​ Archrock, Inc. (individually and together with its wholly owned subsidiaries, “we,” “our” or us”) is an energy infrastructure company with a primary focus on midstream natural gas compression. We are the leading provider of natural gas compression services to customers in the energy industry throughout the United States (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. ​ Basis of Presentation ​ The accompanying unaudited condensed consolidated financial statements included herein have been prepared in accordance with U.S. Generally Accepted Accounting Policies (“GAAP”) and the rules and regulations of the SEC. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP are not required in these interim financial statements and have been condensed or omitted. Management believes that the information furnished reflects all normal recurring adjustments necessary to fairly present our consolidated financial position, results of operations and cash flows for the periods indicated. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements presented in our Form 10–K, which contains a more comprehensive summary of our accounting policies. The interim results reported herein are not necessarily indicative of results for a full year. ​ All intercompany accounts and transactions have been eliminated in consolidation. In the Notes to Unaudited Condensed Consolidated Financial Statements, all dollar and share amounts in tabulations are in thousands of dollars and shares, respectively, unless otherwise indicated. ​ ​

DISPOSITIONS

DISPOSITIONS	9 Months Ended
	Sep. 30, 2022
DISPOSITIONS
DISPOSITIONS	NOTE 2. DISPOSITIONS ​ In September 2022, we completed the sale of certain contract operations customer service agreements and approximately 390 compressors, comprising approximately 100,000 horsepower, used to provide compression services under those agreements, as well as other assets used to support the operations. We allocated customer–related and contract–based intangible assets based on a ratio of the horsepower sold relative to the total horsepower of the asset group. We received cash consideration of ​ In May 2022, we completed the sale of certain contract operations customer service agreements and approximately 380 compressors, comprising approximately 70,000 horsepower, used to provide compression services under those agreements, as well as other assets used to support the operations. We allocated customer–related and contract–based intangible assets based on a ratio of the horsepower sold relative to the total horsepower of the asset group. We received cash consideration of $55.5 million for the sale and recorded a gain on the sale of $16.7 million during the nine months ended September 30, 2022. ​

INVENTORY

INVENTORY	9 Months Ended
	Sep. 30, 2022
INVENTORY
INVENTORY	NOTE 3. INVENTORY ​ Inventory is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Parts and supplies ​ $ 67,459 ​ $ 63,628 Work in progress ​ 16,632 ​ 9,241 Inventory ​ $ 84,091 ​ $ 72,869 ​

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT	9 Months Ended
	Sep. 30, 2022
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT	NOTE 4. PROPERTY, PLANT AND EQUIPMENT ​ Property, plant and equipment is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Compression equipment, facilities and other fleet assets ​ $ 3,243,488 ​ $ 3,273,770 Land and buildings ​ 44,056 ​ 43,540 Transportation and shop equipment ​ 90,116 ​ 92,490 Computer hardware and software ​ 77,357 ​ 76,908 Other ​ 5,518 ​ 6,229 Property, plant and equipment ​ 3,460,535 ​ 3,492,937 Accumulated depreciation ​ (1,245,869) ​ (1,266,411) Property, plant and equipment, net ​ $ 2,214,666 ​ $ 2,226,526 ​

EQUITY INVESTMENTS

EQUITY INVESTMENTS	9 Months Ended
	Sep. 30, 2022
EQUITY INVESTMENTS
EQUITY INVESTMENTS	NOTE 5. EQUITY INVESTMENTS ​ 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 International Holdings, LLC. (“ECOTEC”), a company specializing in methane emissions detection, monitoring and management. We have elected the fair value option to account for this investment (see Note 16). As of September 30, 2022, our ownership interest in ECOTEC is ​ Changes in the fair value of this investment are recognized in Other (income) expense, net in our unaudited condensed consolidated statements of operations. ​ ​

HOSTING ARRANGEMENTS

HOSTING ARRANGEMENTS	9 Months Ended
	Sep. 30, 2022
HOSTING ARRANGEMENTS
Hosting Arrangements	NOTE 6. HOSTING ARRANGEMENTS ​ We have hosting arrangements that are service contracts related to the cloud migration of our Enterprise Resource Planning (“ERP”) system and cloud services for our mobile workforce, telematics and inventory management tools. ​ As of September 30, 2022 and December 31, 2021, we had $15.1 million and $12.7 million, respectively, of capitalized implementation costs related to these hosting arrangements included in Other assets in our unaudited condensed consolidated balance sheets. Accumulated amortization was $2.1 million and $0.7 million as of September 30, 2022 and December 31, 2021, respectively. ​ Included in Selling, general and administrative in our unaudited condensed consolidated statements of operations is amortization of $0.6 million and $0.1 million during the three months ended September 30, 2022 and 2021, respectively, and $1.5 million and $0.3 million during the nine months ended September 30, 2022 and 2021, respectively. ​

LONG-TERM DEBT

LONG-TERM DEBT	9 Months Ended
	Sep. 30, 2022
LONG-TERM DEBT
LONG-TERM DEBT	NOTE 7. LONG–TERM DEBT ​ Long–term debt is comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Credit Facility ​ $ 202,000 ​ $ 234,500 ​ ​ ​ ​ ​ ​ ​ 6.25% senior notes due April 2028 ​ ​ ​ ​ ​ ​ Principal outstanding ​ 800,000 ​ 800,000 Unamortized debt premium ​ ​ 11,031 ​ 12,536 Unamortized debt issuance costs ​ (9,158) ​ (10,406) ​ ​ 801,873 ​ 802,130 ​ ​ ​ ​ ​ ​ ​ 6.875% senior notes due April 2027 ​ ​ ​ ​ ​ ​ Principal outstanding ​ ​ 500,000 ​ 500,000 Unamortized debt issuance costs ​ ​ (4,978) ​ (5,805) ​ ​ ​ 495,022 ​ 494,195 ​ ​ ​ ​ ​ ​ ​ Long-term debt ​ $ 1,498,895 ​ $ 1,530,825 ​ Our $750.0 million asset–based revolving Credit Facility, as amended (the “Credit Facility”), matures in November 2024. As of September 30, 2022, there were . The weighted average annual interest rate on the outstanding balance under our Credit Facility, excluding the effect of interest rate swaps, was ​ As of September 30, 2022, we were in compliance with all covenants under our Credit Facility agreement. As a result of the Credit Facility’s financial ratio requirements, million of undrawn capacity was available for additional borrowings as of September 30, 2022. ​ In February 2021, we amended our Credit Facility to, among other things, reduce the aggregate revolving commitment from $1.25 billion to $750.0 million and adjust certain financial ratios. We wrote off $4.9 million of unamortized deferred financing costs as a result of the amendment, which was recorded to interest expense in our unaudited condensed consolidated statements of operations during the nine months ended September 30, 2021. ​

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2022
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 8 ​ 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. ​ In August 2021, Hurricane Ida caused operational disruptions, damage to compressors and a temporary shutdown of facilities in Louisiana that negatively impacted our financial performance. At December 31, 2021, we had an insurance recovery receivable of $2.8 million related to the facility and compressor damages, which we received in cash ​ 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 September 30, 2022 and December 31, 2021, we had 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. ​ In 2021, one of our sales and use tax audits advanced from the audit review phase to the contested hearing phase. As of both September 30, 2022 and December 31, 2021, we had ​ 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	9 Months Ended
	Sep. 30, 2022
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY	NOTE 9. STOCKHOLDERS’ EQUITY ​ Equity Distribution Agreement ​ During the nine months ended September 30, 2022, we sold 447,020 shares of common stock for net proceeds of $4.2 million pursuant to an Equity Distribution agreement, dated February 23, 2021, entered into with Wells Fargo Securities, LLC and BofA Securities, Inc., as sales agents, relating to the at–the–market offer and sale of shares of our common stock from time to time (the “Equity Distribution Agreement”). During the nine months ended September 30, 2021, we sold 357,148 shares of common stock under this program for net proceeds of $3.4 million. ​ Cash Dividends ​ The following table summarizes our dividends declared and paid in each of the quarterly periods of 2022 and 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ Dividends per ​ ​ Common Share Dividends Paid 2022 ​ ​ Q3 ​ $ 0.145 ​ $ 22,559 Q2 ​ ​ 0.145 ​ ​ 22,494 Q1 ​ ​ 0.145 ​ ​ 22,673 ​ ​ ​ ​ ​ ​ ​ 2021 ​ ​ Q4 ​ $ 0.145 ​ $ 22,351 Q3 ​ 0.145 ​ 22,506 Q2 ​ 0.145 ​ 22,331 Q1 ​ 0.145 ​ 22,155 ​ On October 27, 2022, our Board of Directors declared a quarterly dividend of $0.145 per share of common stock to be paid on November 15, 2022 to stockholders of record at the close of business on November 8, 2022. ​ Accumulated Other Comprehensive Loss ​ Components of comprehensive income (loss) are net income (loss) and all changes in equity during a period except those resulting from transactions with owners. Our accumulated other comprehensive loss consists of changes in the fair value of our interest rate swap derivative instruments, net of tax. See Note 15 for further details on our interest rate swap derivative instruments. ​ The following table presents the changes in accumulated other comprehensive loss, net of tax: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 2022 2021 ​ Beginning accumulated other comprehensive loss ​ $ — ​ $ (3,044) ​ $ (984) ​ $ (5,006) ​ Other comprehensive income, net of tax: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Loss recognized in other comprehensive ​ — ​ (458) ​ (405) ​ (529) ​ Loss reclassified from accumulated other ​ — ​ 1,474 ​ 1,389 ​ 3,507 ​ Total other comprehensive income ​ — ​ 1,016 ​ 984 ​ 2,978 ​ Ending accumulated other comprehensive loss ​ $ — ​ $ (2,028) ​ $ — ​ $ (2,028) ​ ​

REVENUE FROM CONTRACTS WITH CUS

REVENUE FROM CONTRACTS WITH CUSTOMERS	9 Months Ended
	Sep. 30, 2022
REVENUE FROM CONTRACTS WITH CUSTOMERS
REVENUE FROM CONTRACTS WITH CUSTOMERS	NOTE 10. REVENUE FROM CONTRACTS WITH CUSTOMERS ​ The following table presents our revenue from contracts with customers by segment (see Note 18) and disaggregated by revenue source: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Contract operations: ​ ​ ​ ​ ​ ​ ​ ​ 0 ― 1,000 horsepower per unit ​ $ 38,967 ​ $ 41,576 ​ $ 121,298 ​ $ 134,413 1,001 ― 1,500 horsepower per unit ​ 72,463 ​ 66,138 ​ 208,161 ​ 201,454 Over 1,500 horsepower per unit ​ 58,818 ​ 51,018 ​ 170,297 ​ 152,360 Other (1) ​ 249 ​ 179 ​ 695 ​ 583 Total contract operations revenue (2) ​ 170,497 ​ 158,911 ​ 500,451 ​ 488,810 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Aftermarket services: ​ ​ ​ ​ Services ​ 23,528 ​ 19,249 ​ 66,666 ​ 53,149 Over–the–counter (“OTC”) parts and components sales ​ 19,643 ​ 17,006 ​ 59,580 ​ 44,253 Total aftermarket services revenue (3) ​ 43,171 ​ 36,255 ​ 126,246 ​ 97,402 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total revenue ​ $ 213,668 ​ $ 195,166 ​ $ 626,697 ​ $ 586,212 (1) Primarily relates to fees associated with owned non-compression equipment. (2) Includes $0.7 million and $0.7 million for the three months ended September 30, 2022 and 2021, respectively, and $1.8 million and $3.1 million for the nine months ended September 30, 2022 and 2021, 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. ​ Performance Obligations ​ As of September 30, 2022, we had $282.3 million of remaining performance obligations related to our contract operations segment, which will be recognized through 2027 as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2023 2024 2025 2026 2027 Total Remaining performance obligations ​ $ 99,377 ​ $ 122,031 ​ $ 46,882 ​ $ 12,870 ​ $ 919 ​ $ 192 ​ $ 282,271 ​ 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 of September 30, 2022 and December 31, 2021, our receivables from contracts with customers, net of allowance for credit losses, were $118.9 million and $84.7 million, respectively. ​ Allowance for Credit Losses ​ Trade accounts receivable are due from companies of varying size engaged principally in oil and natural gas activities throughout the U.S. We review the financial condition of customers prior to extending credit and generally do not obtain collateral for trade receivables. Payment terms are on a short-term basis and in accordance with industry practice. We consider this credit risk to be limited due to these companies’ financial resources, the nature of the products and services we provide and the terms of our customer agreements. ​ Due to the short-term nature of our trade receivables, we consider the amortized cost to be the same as the carrying amount of the receivable, excluding the allowance for credit losses. We recognize an allowance for credit losses when a receivable is recorded, even when the risk of loss is remote. We utilize an aging schedule to determine our allowance for credit losses and measure expected credit losses on a collective (pool) basis when similar risk characteristics exist. We rely primarily on ratings assigned by external rating agencies and credit monitoring services to assess credit risk and aggregate customers first by low, medium or high risk asset pools, and then by delinquency status. We also consider the internal risk associated with geographic location and the services we provide to the customer when determining asset pools. If a customer does not share similar risk characteristics with other customers, we evaluate the customer’s outstanding trade receivables for expected credit losses on an individual basis. Trade receivables evaluated individually are not included in our collective assessment. Each reporting period, we reassess our customers’ risk profiles and determine the appropriate asset pool classification, or perform individual assessments of expected credit losses, based on the customers’ risk characteristics at the reporting date. ​ The contractual life of our trade receivables is primarily 30 days based on the payment terms specified in the contract. Contract operations services are generally billed monthly at the beginning of the month in which service is being provided. Aftermarket services billings typically occur when parts are delivered or service is completed. Loss rates are separately determined for each asset pool based on the length of time a trade receivable has been outstanding. We analyze two years of internal historical loss data, including the effects of prepayments, write-offs and subsequent recoveries, to determine our historical loss experience. Our historical loss information is a relevant data point for estimating credit losses, as the data closely aligns with trade receivables due from our customers. Ratings assigned by external rating agencies and credit monitoring services consider past performance and forecasts of future economic conditions in assessing credit risk. We routinely update our historical loss data to reflect our customers’ current risk profile, to ensure the historical data and loss rates are relevant to the pool of assets for which we are estimating expected credit losses. ​ Our allowance for credit losses balance changed as follows during the nine months ended September 30, 2022: ​ ​ ​ ​ ​ Balance at December 31, 2021 $ 2,152 Provision for credit losses ​ ​ (28) Write-offs charged against allowance ​ ​ (637) Balance at September 30, 2022 ​ $ 1,487 ​ 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 September 30, 2022 and December 31, 2021, our contract liabilities were $8.3 million and $4.4 million, respectively. ​ During the nine months ended September 30, 2022, we deferred revenue of $19.6 million and recognized deferred revenue of $15.7 million. The revenue recognized during the period primarily related to freight billings and milestone billings on aftermarket services.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2022
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	NOTE 11. STOCK–BASED COMPENSATION ​ We grant various forms of stock–based compensation to our employees and non–employee directors. These stock–based awards can consist of stock options, stock appreciation rights, restricted stock awards, restricted stock units (“RSUs”), performance–based RSUs, other stock–based awards and dividend equivalent rights. We recognize stock–based compensation expense related to restricted stock awards, RSUs, performance–based RSUs and shares issued under our ESPP. ​ The following table presents the stock–based compensation expense recognized in our unaudited condensed consolidated statements of operations: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Equity award expense ​ $ 2,998 ​ $ 2,900 ​ $ 9,035 ​ $ 8,741 Liability award expense ​ 24 ​ 127 ​ 904 ​ 1,121 Total stock-based compensation expense ​ $ 3,022 ​ $ 3,027 ​ $ 9,939 ​ $ 9,862 ​ The following table presents our restricted stock activity in the nine months ended September 30, 2022: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ Average ​ ​ ​ ​ Grant Date ​ ​ Shares ​ Fair Value ​ (in thousands) Per Share Non-vested restricted stock, December 31, 2021 2,578 ​ $ 10.35 Granted 1,861 ​ 9.03 Vested (1,152) ​ 10.25 Canceled (244) ​ 9.28 Non-vested restricted stock, September 30, 2022 (1) 3,043 ​ $ 9.67 (1) Comprised of 508 cash-settled units and 2,534 stock–settled awards and units. As of September 30, 2022, there was $17.1 million of unrecognized stock–based compensation expense which is expected to be recognized over a weighted average period of 1.9 years.

LONG-LIVED AND OTHER ASSET IMPA

LONG-LIVED AND OTHER ASSET IMPAIRMENT	9 Months Ended
	Sep. 30, 2022
LONG-LIVED AND OTHER ASSET IMPAIRMENT
Long-Lived and Other Asset Impairment	NOTE 12. 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. ​ 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 ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Idle compressors retired from the active fleet ​ 25 ​ 60 ​ 100 ​ 175 Horsepower of idle compressors retired from the active ​ 23,000 ​ 24,000 ​ 80,000 ​ 61,000 Impairment recorded on idle compressors retired from the active fleet ​ $ 4,149 ​ $ 5,120 ​ $ 16,205 ​ $ 14,964 ​ See Note 16 for additional information.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2022
INCOME TAXES
INCOME TAXES	NOTE 13. 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 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 nine months ended September 30, 2022 differed significantly from our statutory rate primarily due to unrecognized tax benefits and the limitation on executive compensation. ​ Unrecognized Tax Benefits ​ As of September 30, 2022, we believe it is reasonably possible that $2.7 million of our unrecognized tax benefits, including penalties, interest and discontinued operations, will be reduced prior to September 30, 2023 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. ​ Impact of New Legislation ​ On August 16, 2022, President Biden signed into law the Inflation Reduction Act (Public Law Number 117–169). This legislation is expected to have an immaterial impact to our unaudited condensed consolidated financial statements. ​

EARNINGS PER COMMON SHARE

EARNINGS PER COMMON SHARE	9 Months Ended
	Sep. 30, 2022
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE	NOTE ​ Basic net income (loss) per common share is computed using the two–class method, which is an earnings allocation formula that determines net income (loss) 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 net income (loss) per common share is determined by dividing net income (loss), 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 net income (loss) per common share is computed using the weighted average number of common shares outstanding adjusted for the incremental common stock equivalents attributed to outstanding options, performance–based RSUs 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 ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Net income ​ $ 15,371 ​ $ 9,304 ​ $ 33,838 ​ $ 22,225 Allocation of earnings to participating securities ​ (294) ​ (456) ​ (1,114) ​ (909) Net income attributable to common stockholders ​ $ 15,077 ​ $ 8,848 ​ $ 32,724 ​ $ 21,316 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding used in ​ ​ 153,550 ​ ​ 152,158 ​ ​ 153,168 ​ ​ 151,615 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted stock units ​ ​ 131 ​ ​ 138 ​ ​ 125 ​ ​ 152 ESPP shares ​ ​ 6 ​ ​ 1 ​ ​ 4 ​ ​ 2 Weighted average common shares outstanding used in ​ ​ 153,687 ​ ​ 152,297 ​ ​ 153,297 ​ ​ 151,769 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ On exercise of options where exercise price is greater than average market price for the period ​ ​ — ​ ​ 15 ​ ​ — ​ ​ 27 ​

DERIVATIVES AND HEDGING

DERIVATIVES AND HEDGING	9 Months Ended
	Sep. 30, 2022
DERIVATIVES AND HEDGING
DERIVATIVES AND HEDGING	NOTE 15. DERIVATIVES AND HEDGING ​ We are exposed to market risks associated with changes in the variable interest rate of our Credit Facility. We have used derivative instruments, in the form of interest rate swaps, to manage our exposure to fluctuations in this variable interest rate and thereby minimize the risks and costs associated with financial activities. We do not use derivative instruments for trading or other speculative purposes. ​ In March 2022, our $300.0 million notional value of interest rate swaps expired. We previously entered into these swaps to offset changes in expected cash flows due to fluctuations in the associated variable interest rates and designated them as cash flow hedges. There was no nonperformance by any counterparty during the terms of the interest rate swaps and no collateral was posted for the instruments. ​ Prior to expiration, during the third quarter of 2021, we dedesignated $125.0 million notional value of our interest rate swaps. The fair value of this interest rate swap immediately prior to dedesignation was a liability of $1.6 million. The associated amount in accumulated other comprehensive loss related to this interest rate swap was amortized into interest expense over the remaining term of the swap through March 2022. Changes in the fair value of the dedesignated interest rate swap after dedesignation and prior to expiration were recorded in interest expense. ​ The remaining $175.0 million notional value of our interest rate swaps were designated as (highly effective) cash flow hedging instruments until their expiration. Changes in the fair value of cash flow hedging instruments are recognized as a component of other comprehensive income (loss) until the hedged transaction affects earnings. At that time, amounts are reclassified into earnings to interest expense, the same statement of operations line item to which the earnings effect of the hedged item is recorded. Cash flows from derivatives designated as hedges are classified in our unaudited condensed consolidated statements of cash flows under the same category as the cash flows from the underlying assets, liabilities or anticipated transactions unless the derivative contract contains a significant financing element, in which case, the cash settlements for those derivatives are classified as cash flows from financing activities. ​ The following table presents the effect of our derivative instruments on our unaudited condensed consolidated statements of operations: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded ​ $ 25,177 ​ $ 25,508 ​ $ 74,879 ​ $ 82,711 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps designated as cash flow hedging instruments: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Pre-tax loss recognized in other comprehensive ​ $ — ​ $ (581) ​ $ (512) ​ $ (670) Pre-tax loss reclassified from accumulated other ​ — ​ (1,867) ​ (1,758) ​ (4,440) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps not designated as hedging instruments: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Gain recognized in interest expense ​ $ — ​ $ 532 ​ $ 523 ​ $ 532 ​ ​ ​ The following table presents the effect of our derivative instruments on our unaudited condensed consolidated balance sheets: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 ​ Interest rate swaps designated as cash flow hedging instruments ​ ​ ​ ​ ​ ​ ​ Accrued liabilities ​ $ — ​ $ 727 ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps not designated as hedging instruments ​ ​ ​ ​ ​ ​ ​ Accrued liabilities ​ ​ — ​ ​ 523 ​ ​ ​ ​ ​ ​ ​ ​ ​ Total derivative liabilities ​ $ — ​ $ 1,250 ​ ​ Please see Note 9 and Note 16 for additional details on our derivative instruments.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2022
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	16. FAIR VALUE MEASUREMENTS ​ Assets and Liabilities Measured at Fair Value on a Recurring Basis ​ Investment in ECOTEC ​ During the nine months ended September 30, 2022, we acquired a 19% equity interest in ECOTEC. We have elected the fair value option to account for this investment. The investment is valued at its transaction price, unless and until there is a significant change in the investment, such as an impairment or an additional investment. The investment’s fair value is reviewed periodically and is classified as a Level 3 measurement. As of September 30, 2022, the fair value of our investment in ECOTEC was as follows: ​ ​ ​ ​ ​ ​ September 30, 2022 Investment in ECOTEC ​ $ 12,000 ​ Interest Rate Swaps ​ Prior to their expiration in the first quarter of 2022, our interest rate swap derivative instruments were valued quarterly based on the income approach (discounted cash flows) using market observable inputs, including LIBOR forward curves. These fair value measurements were classified as Level 2. The following table presents our derivative position measured at fair value on a recurring basis, with pricing levels as of the date of valuation: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 ​ December 31, 2021 Derivative liabilities ​ $ — ​ $ 1,250 ​ ​ Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis ​ During the three months and nine months ended September 30, 2022, we recorded nonrecurring fair value measurements of $4.1 million and $16.2 million, respectively, related to our idle compressors (see Note 12). 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 years. The fair value of our compressors impaired in 2022 and 2021 was as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Impaired compressors ​ $ 1,548 ​ $ 4,380 ​ ​ These fair value measurements are classified as Level 3. 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 September 30, 2022 ​ $0 - $621 per horsepower ​ $44 per horsepower As of December 31, 2021 ​ $0 - $621 per horsepower ​ $35 per horsepower (1) Calculated based on an estimated discount for market liquidity of 56% and 64% as of September 30, 2022 and December 31, 2021, respectively. ​ 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: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Carrying amount of fixed rate debt (1) ​ $ 1,296,895 ​ $ 1,296,325 Fair value of fixed rate debt ​ 1,155,760 ​ 1,361,000 (1) Carrying amounts are shown net of unamortized premium and deferred financing costs. See Note 7. ​

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2022
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 17. RELATED PARTY TRANSACTIONS ​ Old Ocean Reserves, LP (“Old Ocean Reserves”), formerly JDH Capital Holdings, L.P., an affiliate of our customer Hilcorp Energy Company (“Hilcorp”), has the right to designate one director to serve on our board of directors as long as Old Ocean Reserves or its successors (together with its affiliates) owns at least 7.5% of our outstanding common stock. As of September 30, 2022, Old Ocean Reserves owned of our outstanding common stock. Jason C. Rebrook, Chief Executive Officer and Director of Harvest Midstream Company, a Hilcorp affiliate, has served as Old Ocean Reserves’ representative director since July 2020. ​ Revenue from Hilcorp was $9.2 million and $9.5 million during the three months ended September 30, 2022 and 2021, respectively, a nd $27.8 million and $28.6 million during the nine months ended September 30, 2022 and 2021, respectively ​

SEGMENT INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Sep. 30, 2022
SEGMENT INFORMATION
SEGMENT INFORMATION	NOTE 18. SEGMENT INFORMATION ​ We manage our business segments primarily based on the type of product or service provided. We have two segments: 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. All of our operations are located in the U.S. ​ 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 ​ ​ ​ Operations Services Total Three months ended September 30, 2022 ​ ​ ​ Revenue ​ $ 170,497 ​ $ 43,171 ​ $ 213,668 Gross margin ​ 98,803 ​ 7,338 ​ 106,141 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended September 30, 2021 ​ ​ ​ Revenue ​ $ 158,911 ​ $ 36,255 ​ $ 195,166 Gross margin ​ 97,631 ​ 5,603 ​ 103,234 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months ended September 30, 2022 ​ ​ ​ Revenue ​ $ 500,451 ​ $ 126,246 ​ $ 626,697 Gross margin ​ 295,901 ​ 20,065 ​ 315,966 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months ended September 30, 2021 ​ ​ ​ Revenue ​ $ 488,810 ​ $ 97,402 ​ $ 586,212 Gross margin ​ 304,778 ​ 13,477 ​ 318,255 ​ The following table reconciles total gross margin to income before income taxes: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Total gross margin ​ $ 106,141 ​ $ 103,234 ​ $ 315,966 ​ $ 318,255 Less: ​ ​ ​ ​ Selling, general and administrative ​ 30,500 ​ 28,839 ​ 85,964 ​ 80,000 Depreciation and amortization ​ 39,953 ​ 45,280 ​ 124,348 ​ 135,185 Long-lived and other asset impairment ​ 4,154 ​ 5,121 ​ 16,217 ​ 15,154 Restructuring charges ​ ​ — ​ ​ 313 ​ ​ — ​ ​ 1,953 Interest expense ​ 25,177 ​ 25,508 ​ 74,879 ​ 82,711 Gain on sale of assets, net ​ ​ (12,695) ​ ​ (15,393) ​ ​ (33,755) ​ ​ (29,549) Other (income) expense, net ​ (585) ​ 337 ​ (52) ​ (1,634) Income before income taxes ​ $ 19,637 ​ $ 13,229 ​ $ 48,365 ​ $ 34,435 ​

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2022
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 19. SUBSEQUENT EVENTS ​ On October 3, 2022, we acquired an additional equity interest in ECOTEC, which increased our total ownership interest to 23%. ​ ​ ​

GENERAL (Policies)

GENERAL (Policies)	9 Months Ended
	Sep. 30, 2022
GENERAL
Basis of Presentation	Basis of Presentation ​ The accompanying unaudited condensed consolidated financial statements included herein have been prepared in accordance with U.S. Generally Accepted Accounting Policies (“GAAP”) and the rules and regulations of the SEC. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP are not required in these interim financial statements and have been condensed or omitted. Management believes that the information furnished reflects all normal recurring adjustments necessary to fairly present our consolidated financial position, results of operations and cash flows for the periods indicated. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements presented in our Form 10–K, which contains a more comprehensive summary of our accounting policies. The interim results reported herein are not necessarily indicative of results for a full year. ​ All intercompany accounts and transactions have been eliminated in consolidation. In the Notes to Unaudited Condensed Consolidated Financial Statements, all dollar and share amounts in tabulations are in thousands of dollars and shares, respectively, unless otherwise indicated.

INVENTORY (Tables)

INVENTORY (Tables)	9 Months Ended
	Sep. 30, 2022
INVENTORY
Schedule of inventory, net of reserves	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Parts and supplies ​ $ 67,459 ​ $ 63,628 Work in progress ​ 16,632 ​ 9,241 Inventory ​ $ 84,091 ​ $ 72,869

PROPERTY, PLANT AND EQUIPMENT (

PROPERTY, PLANT AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2022
PROPERTY, PLANT AND EQUIPMENT
Schedule of property, plant and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Compression equipment, facilities and other fleet assets ​ $ 3,243,488 ​ $ 3,273,770 Land and buildings ​ 44,056 ​ 43,540 Transportation and shop equipment ​ 90,116 ​ 92,490 Computer hardware and software ​ 77,357 ​ 76,908 Other ​ 5,518 ​ 6,229 Property, plant and equipment ​ 3,460,535 ​ 3,492,937 Accumulated depreciation ​ (1,245,869) ​ (1,266,411) Property, plant and equipment, net ​ $ 2,214,666 ​ $ 2,226,526

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	9 Months Ended
	Sep. 30, 2022
LONG-TERM DEBT
Schedule of long-term debt	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Credit Facility ​ $ 202,000 ​ $ 234,500 ​ ​ ​ ​ ​ ​ ​ 6.25% senior notes due April 2028 ​ ​ ​ ​ ​ ​ Principal outstanding ​ 800,000 ​ 800,000 Unamortized debt premium ​ ​ 11,031 ​ 12,536 Unamortized debt issuance costs ​ (9,158) ​ (10,406) ​ ​ 801,873 ​ 802,130 ​ ​ ​ ​ ​ ​ ​ 6.875% senior notes due April 2027 ​ ​ ​ ​ ​ ​ Principal outstanding ​ ​ 500,000 ​ 500,000 Unamortized debt issuance costs ​ ​ (4,978) ​ (5,805) ​ ​ ​ 495,022 ​ 494,195 ​ ​ ​ ​ ​ ​ ​ Long-term debt ​ $ 1,498,895 ​ $ 1,530,825

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	9 Months Ended
	Sep. 30, 2022
STOCKHOLDERS' EQUITY
Summary of entity's dividends per common share	​ ​ ​ ​ ​ ​ ​ ​ ​ Dividends per ​ ​ Common Share Dividends Paid 2022 ​ ​ Q3 ​ $ 0.145 ​ $ 22,559 Q2 ​ ​ 0.145 ​ ​ 22,494 Q1 ​ ​ 0.145 ​ ​ 22,673 ​ ​ ​ ​ ​ ​ ​ 2021 ​ ​ Q4 ​ $ 0.145 ​ $ 22,351 Q3 ​ 0.145 ​ 22,506 Q2 ​ 0.145 ​ 22,331 Q1 ​ 0.145 ​ 22,155
Schedule of Accumulated Other Comprehensive Loss	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 2022 2021 ​ Beginning accumulated other comprehensive loss ​ $ — ​ $ (3,044) ​ $ (984) ​ $ (5,006) ​ Other comprehensive income, net of tax: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Loss recognized in other comprehensive ​ — ​ (458) ​ (405) ​ (529) ​ Loss reclassified from accumulated other ​ — ​ 1,474 ​ 1,389 ​ 3,507 ​ Total other comprehensive income ​ — ​ 1,016 ​ 984 ​ 2,978 ​ Ending accumulated other comprehensive loss ​ $ — ​ $ (2,028) ​ $ — ​ $ (2,028) ​

REVENUE FROM CONTRACTS WITH C_2

REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)	9 Months Ended
	Sep. 30, 2022
REVENUE FROM CONTRACTS WITH CUSTOMERS
Schedule of disaggregation of revenue	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Contract operations: ​ ​ ​ ​ ​ ​ ​ ​ 0 ― 1,000 horsepower per unit ​ $ 38,967 ​ $ 41,576 ​ $ 121,298 ​ $ 134,413 1,001 ― 1,500 horsepower per unit ​ 72,463 ​ 66,138 ​ 208,161 ​ 201,454 Over 1,500 horsepower per unit ​ 58,818 ​ 51,018 ​ 170,297 ​ 152,360 Other (1) ​ 249 ​ 179 ​ 695 ​ 583 Total contract operations revenue (2) ​ 170,497 ​ 158,911 ​ 500,451 ​ 488,810 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Aftermarket services: ​ ​ ​ ​ Services ​ 23,528 ​ 19,249 ​ 66,666 ​ 53,149 Over–the–counter (“OTC”) parts and components sales ​ 19,643 ​ 17,006 ​ 59,580 ​ 44,253 Total aftermarket services revenue (3) ​ 43,171 ​ 36,255 ​ 126,246 ​ 97,402 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total revenue ​ $ 213,668 ​ $ 195,166 ​ $ 626,697 ​ $ 586,212 (1) Primarily relates to fees associated with owned non-compression equipment. (2) Includes $0.7 million and $0.7 million for the three months ended September 30, 2022 and 2021, respectively, and $1.8 million and $3.1 million for the nine months ended September 30, 2022 and 2021, 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 Obligation	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2023 2024 2025 2026 2027 Total Remaining performance obligations ​ $ 99,377 ​ $ 122,031 ​ $ 46,882 ​ $ 12,870 ​ $ 919 ​ $ 192 ​ $ 282,271
Summary of changes in allowance for credit losses	​ ​ ​ ​ ​ Balance at December 31, 2021 $ 2,152 Provision for credit losses ​ ​ (28) Write-offs charged against allowance ​ ​ (637) Balance at September 30, 2022 ​ $ 1,487

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2022
STOCK-BASED COMPENSATION
Schedule of allocated stock-based compensation	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Equity award expense ​ $ 2,998 ​ $ 2,900 ​ $ 9,035 ​ $ 8,741 Liability award expense ​ 24 ​ 127 ​ 904 ​ 1,121 Total stock-based compensation expense ​ $ 3,022 ​ $ 3,027 ​ $ 9,939 ​ $ 9,862
Schedule of restricted stock activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ Average ​ ​ ​ ​ Grant Date ​ ​ Shares ​ Fair Value ​ (in thousands) Per Share Non-vested restricted stock, December 31, 2021 2,578 ​ $ 10.35 Granted 1,861 ​ 9.03 Vested (1,152) ​ 10.25 Canceled (244) ​ 9.28 Non-vested restricted stock, September 30, 2022 (1) 3,043 ​ $ 9.67

LONG-LIVED AND OTHER ASSET IM_2

LONG-LIVED AND OTHER ASSET IMPAIRMENT (Tables)	9 Months Ended
	Sep. 30, 2022
LONG-LIVED AND OTHER ASSET IMPAIRMENT
Schedule of impairment of long-lived assets	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Idle compressors retired from the active fleet ​ 25 ​ 60 ​ 100 ​ 175 Horsepower of idle compressors retired from the active ​ 23,000 ​ 24,000 ​ 80,000 ​ 61,000 Impairment recorded on idle compressors retired from the active fleet ​ $ 4,149 ​ $ 5,120 ​ $ 16,205 ​ $ 14,964

EARNINGS PER COMMON SHARE (Tabl

EARNINGS PER COMMON SHARE (Tables)	9 Months Ended
	Sep. 30, 2022
EARNINGS PER COMMON SHARE
Schedule of calculation of basic and diluted earnings per common share	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Net income ​ $ 15,371 ​ $ 9,304 ​ $ 33,838 ​ $ 22,225 Allocation of earnings to participating securities ​ (294) ​ (456) ​ (1,114) ​ (909) Net income attributable to common stockholders ​ $ 15,077 ​ $ 8,848 ​ $ 32,724 ​ $ 21,316 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding used in ​ ​ 153,550 ​ ​ 152,158 ​ ​ 153,168 ​ ​ 151,615 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted stock units ​ ​ 131 ​ ​ 138 ​ ​ 125 ​ ​ 152 ESPP shares ​ ​ 6 ​ ​ 1 ​ ​ 4 ​ ​ 2 Weighted average common shares outstanding used in ​ ​ 153,687 ​ ​ 152,297 ​ ​ 153,297 ​ ​ 151,769 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ On exercise of options where exercise price is greater than average market price for the period ​ ​ — ​ ​ 15 ​ ​ — ​ ​ 27

DERIVATIVES AND HEDGING (Tables

DERIVATIVES AND HEDGING (Tables)	9 Months Ended
	Sep. 30, 2022
DERIVATIVES AND HEDGING
Schedule of effect of derivative instruments on results of operations	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded ​ $ 25,177 ​ $ 25,508 ​ $ 74,879 ​ $ 82,711 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps designated as cash flow hedging instruments: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Pre-tax loss recognized in other comprehensive ​ $ — ​ $ (581) ​ $ (512) ​ $ (670) Pre-tax loss reclassified from accumulated other ​ — ​ (1,867) ​ (1,758) ​ (4,440) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps not designated as hedging instruments: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Gain recognized in interest expense ​ $ — ​ $ 532 ​ $ 523 ​ $ 532
Schedule of effect of derivative instruments on consolidated financial position	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 ​ Interest rate swaps designated as cash flow hedging instruments ​ ​ ​ ​ ​ ​ ​ Accrued liabilities ​ $ — ​ $ 727 ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest rate swaps not designated as hedging instruments ​ ​ ​ ​ ​ ​ ​ Accrued liabilities ​ ​ — ​ ​ 523 ​ ​ ​ ​ ​ ​ ​ ​ ​ Total derivative liabilities ​ $ — ​ $ 1,250 ​

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2022
Fair value
Schedule of fair value of equity interest	​ ​ ​ ​ ​ ​ September 30, 2022 Investment in ECOTEC ​ $ 12,000
Schedule of fair value of derivative liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 ​ December 31, 2021 Derivative liabilities ​ $ — ​ $ 1,250
Schedule of carrying value and estimated fair value of debt instruments	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Carrying amount of fixed rate debt (1) ​ $ 1,296,895 ​ $ 1,296,325 Fair value of fixed rate debt ​ 1,155,760 ​ 1,361,000 (1) Carrying amounts are shown net of unamortized premium and deferred financing costs. See Note 7.
Compressors
Fair value
Schedule of non-recurring fair value assets	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2022 December 31, 2021 Impaired compressors ​ $ 1,548 ​ $ 4,380
Schedule of significant unobservable inputs	​ ​ ​ ​ ​ ​ ​ Range Weighted Average (1) Estimated net sale proceeds: ​ ​ ​ ​ As of September 30, 2022 ​ $0 - $621 per horsepower ​ $44 per horsepower As of December 31, 2021 ​ $0 - $621 per horsepower ​ $35 per horsepower (1) Calculated based on an estimated discount for market liquidity of 56% and 64% as of September 30, 2022 and December 31, 2021, respectively.

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	9 Months Ended
	Sep. 30, 2022
SEGMENT INFORMATION
Summary of revenue and other financial information by reportable segment	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Contract Aftermarket ​ ​ ​ Operations Services Total Three months ended September 30, 2022 ​ ​ ​ Revenue ​ $ 170,497 ​ $ 43,171 ​ $ 213,668 Gross margin ​ 98,803 ​ 7,338 ​ 106,141 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended September 30, 2021 ​ ​ ​ Revenue ​ $ 158,911 ​ $ 36,255 ​ $ 195,166 Gross margin ​ 97,631 ​ 5,603 ​ 103,234 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months ended September 30, 2022 ​ ​ ​ Revenue ​ $ 500,451 ​ $ 126,246 ​ $ 626,697 Gross margin ​ 295,901 ​ 20,065 ​ 315,966 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months ended September 30, 2021 ​ ​ ​ Revenue ​ $ 488,810 ​ $ 97,402 ​ $ 586,212 Gross margin ​ 304,778 ​ 13,477 ​ 318,255
Reconciliation of total gross margin to income before taxes	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended Nine Months Ended ​ ​ September 30, ​ September 30, ​ 2022 2021 2022 2021 Total gross margin ​ $ 106,141 ​ $ 103,234 ​ $ 315,966 ​ $ 318,255 Less: ​ ​ ​ ​ Selling, general and administrative ​ 30,500 ​ 28,839 ​ 85,964 ​ 80,000 Depreciation and amortization ​ 39,953 ​ 45,280 ​ 124,348 ​ 135,185 Long-lived and other asset impairment ​ 4,154 ​ 5,121 ​ 16,217 ​ 15,154 Restructuring charges ​ ​ — ​ ​ 313 ​ ​ — ​ ​ 1,953 Interest expense ​ 25,177 ​ 25,508 ​ 74,879 ​ 82,711 Gain on sale of assets, net ​ ​ (12,695) ​ ​ (15,393) ​ ​ (33,755) ​ ​ (29,549) Other (income) expense, net ​ (585) ​ 337 ​ (52) ​ (1,634) Income before income taxes ​ $ 19,637 ​ $ 13,229 ​ $ 48,365 ​ $ 34,435

GENERAL (Details)

GENERAL (Details)	9 Months Ended
	Sep. 30, 2022 segment
GENERAL
Number of reportable segments	2

DISPOSITIONS (Details)

DISPOSITIONS (Details) hp in Thousands, $ in Thousands	1 Months Ended		3 Months Ended	9 Months Ended
	Sep. 30, 2022 USD ($) CompressorUnit hp	May 31, 2022 CompressorUnit hp	Sep. 30, 2022 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)
Transactions
Gain on disposition				$ 28,220	$ 18,945
Disposed of by Sale | May 2022 Disposition
Transactions
Number of compressors | CompressorUnit		380
Compressor horsepower | hp		70
Cash consideration	$ 55,500		$ 55,500	$ 55,500
Disposal Group, Not Discontinued Operation, Name of Segment		Contract Operations		Contract Operations
Gain on disposition				$ 16,700
Disposed of by Sale | September 2022 Disposition
Transactions
Number of compressors | CompressorUnit	390
Compressor horsepower | hp	100
Cash consideration	$ 44,300		$ 44,300	$ 44,300
Disposal Group, Not Discontinued Operation, Name of Segment	Contract Operations		Contract Operations	Contract Operations
Gain on disposition			$ 11,500	$ 11,500

INVENTORY (Details)

INVENTORY (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Composition of Inventory net of reserves
Parts and supplies	$ 67,459	$ 63,628
Work in progress	16,632	9,241
Inventory	$ 84,091	$ 72,869

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment
Property, plant and equipment, gross	$ 3,460,535	$ 3,492,937
Accumulated depreciation	(1,245,869)	(1,266,411)
Property, plant and equipment, net	2,214,666	2,226,526
Compression equipment, facilities and other fleet assets
Property, Plant and Equipment
Property, plant and equipment, gross	3,243,488	3,273,770
Land and buildings
Property, Plant and Equipment
Property, plant and equipment, gross	44,056	43,540
Transportation and shop equipment
Property, Plant and Equipment
Property, plant and equipment, gross	90,116	92,490
Computer hardware and software
Property, Plant and Equipment
Property, plant and equipment, gross	77,357	76,908
Other
Property, Plant and Equipment
Property, plant and equipment, gross	$ 5,518	$ 6,229

EQUITY INVESTMENTS (Details)

EQUITY INVESTMENTS (Details) - Ecotec	1 Months Ended
	Apr. 30, 2022	Sep. 30, 2022
Investments
Equity interest agreed to acquire (as a percent)	25%
Ownership interest (as a percent)		19%

HOSTING ARRANGEMENTS (Details)

HOSTING ARRANGEMENTS (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
HOSTING ARRANGEMENTS
Hosting arrangements, Capitalized costs	$ 15.1		$ 15.1		$ 12.7
Hosting arrangements, Accumulated amortization	2.1		2.1		$ 0.7
Hosting arrangements, Amortization	$ 0.6	$ 0.1	$ 1.5	$ 0.3

LONG-TERM DEBT - Schedule of Lo

LONG-TERM DEBT - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Debt Instruments
Long-term debt	$ 1,498,895	$ 1,530,825
Credit facility
Debt Instruments
Long-term debt	202,000	234,500
6.25% senior notes due April 2028
Debt Instruments
Principal outstanding	800,000	800,000
Unamortized debt premium	11,031	12,536
Unamortized debt issuance costs	(9,158)	(10,406)
Long-term debt	$ 801,873	$ 802,130
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	(4,978)	(5,805)
Long-term debt	$ 495,022	$ 494,195
Interest rate (as a percent)	6.875%	6.875%

LONG-TERM DEBT - Credit Facilit

LONG-TERM DEBT - Credit Facility (Details) - Credit facility - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Feb. 28, 2021	Dec. 31, 2020
Line of Credit Facility
Maximum borrowing capacity	$ 750		$ 750			$ 750	$ 1,250
Letter of credit outstanding	$ 5.8		$ 5.8
Debt instrument, variable rate (percentage)			2.40%
Debt instrument weighted average interest rate (percent)	5.50%		5.50%		2.60%
Commitment fee amount	$ 0.5	$ 0.5	$ 1.5	$ 1.5
Current borrowing capacity	486.4		486.4
Undrawn capacity	$ 542.2		$ 542.2
Debt issuance cost written off				$ 4.9

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Insurance Matters (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	9 Months Ended
	Sep. 30, 2022	Mar. 31, 2022	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Natural disaster
Proceeds from insurance and other settlements			$ 3,353	$ 977
Hurricane Ida
Natural disaster
Insurance recovery receivable					$ 2,800
Proceeds from insurance and other settlements	$ 400	$ 2,800

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - Tax Matters - Loss contingencies (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Non-income based tax audits
Loss Contingencies
Accrued liability for the outcomes of non-income based tax audits	$ 3.9	$ 5.8
Non-income based tax audits in contested hearing phase
Loss Contingencies
Accrued liability for the outcomes of non-income based tax audits	$ 0.6	$ 0.6

STOCKHOLDERS' EQUITY - Equity D

STOCKHOLDERS' EQUITY - Equity Distribution Agreement (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Equity offering
Net proceeds from issuance of common stock	$ 4,182	$ 3,401
Equity Distribution Agreement
Equity offering
Stock issued (in shares)	447,020	357,148
Net proceeds from issuance of common stock	$ 4,200	$ 3,400

STOCKHOLDERS' EQUITY - Cash Div

STOCKHOLDERS' EQUITY - Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended							9 Months Ended
	Oct. 27, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021
Distributions
Declared Dividends per Common Share (in dollars per share)		$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.145	$ 0.435	$ 0.435
Dividends Paid (in dollars)		$ 22,559	$ 22,494	$ 22,673	$ 22,351	$ 22,506	$ 22,331	$ 22,155	$ 67,726	$ 66,992
Subsequent Event.
Distributions
Declared Dividends per Common Share (in dollars per share)	$ 0.145

STOCKHOLDERS' EQUITY - Accumula

STOCKHOLDERS' EQUITY - Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Increase (Decrease) in Stockholders' Equity
Beginning balance	$ 913,821	$ 891,438	$ 935,557
Other comprehensive income, net of tax:
Total other comprehensive income, net of tax	1,016	984	2,978
Ending balance	904,047	869,816	904,047
Accumulated Other Comprehensive Loss
Increase (Decrease) in Stockholders' Equity
Beginning balance	(3,044)	(984)	(5,006)
Other comprehensive income, net of tax:
Loss recognized in other comprehensive income	(458)	(405)	(529)
Loss reclassified from accumulated other comprehensive loss to interest expense	1,474	1,389	3,507
Total other comprehensive income, net of tax	1,016	$ 984	2,978
Ending balance	$ (2,028)		$ (2,028)

REVENUE FROM CONTRACTS WITH C_3

REVENUE FROM CONTRACTS WITH CUSTOMERS - Disaggregate Revenue (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($) hp	Sep. 30, 2021 USD ($) hp	Sep. 30, 2022 USD ($) hp	Sep. 30, 2021 USD ($) hp
Disaggregation of Revenue
Revenue	$ 213,668	$ 195,166	$ 626,697	$ 586,212
Contract Operations
Disaggregation of Revenue
Revenue	170,497	158,911	500,451	488,810
Contract Operations | Transferred at Point in Time
Disaggregation of Revenue
Revenue	700	700	1,800	3,100
Contract Operations | 0 - 1,000 horsepower per unit
Disaggregation of Revenue
Revenue	$ 38,967	$ 41,576	$ 121,298	$ 134,413
Contract Operations | 0 - 1,000 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	0	0	0	0
Contract Operations | 0 - 1,000 horsepower per unit | Maximum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,000	1,000	1,000	1,000
Contract Operations | 1,001 - 1,500 horsepower per unit
Disaggregation of Revenue
Revenue	$ 72,463	$ 66,138	$ 208,161	$ 201,454
Contract Operations | 1,001 - 1,500 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,001	1,001	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	1,500	1,500
Contract Operations | Over 1,500 horsepower per unit
Disaggregation of Revenue
Revenue	$ 58,818	$ 51,018	$ 170,297	$ 152,360
Contract Operations | Over 1,500 horsepower per unit | Minimum
Disaggregation of Revenue
Compressor unit horsepower (horsepower) | hp	1,500	1,500	1,500	1,500
Contract Operations | Other
Disaggregation of Revenue
Revenue	$ 249	$ 179	$ 695	$ 583
Aftermarket Services
Disaggregation of Revenue
Revenue	43,171	36,255	126,246	97,402
Aftermarket Services | Services
Disaggregation of Revenue
Revenue	23,528	19,249	66,666	53,149
Aftermarket Services | Over-the-counter ("OTC") parts and components sales
Disaggregation of Revenue
Revenue	$ 19,643	$ 17,006	$ 59,580	$ 44,253

REVENUE FROM CONTRACTS WITH C_4

REVENUE FROM CONTRACTS WITH CUSTOMERS - Performance Obligations (Details) $ in Thousands	Sep. 30, 2022 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 282,271
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 99,377
Performance obligations expected to be satisfied, expected timing	3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 122,031
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction
Remaining performance obligations	$ 46,882
Performance obligations expected to be satisfied, expected timing	1 year
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	$ 12,870
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	$ 919
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	$ 192
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	Sep. 30, 2022	Dec. 31, 2021
Contract with Customers
Receivables
Accounts receivable, trade, net of allowance	$ 118.9	$ 84.7

REVENUE FROM CONTRACTS WITH C_6

REVENUE FROM CONTRACTS WITH CUSTOMERS - Credit Losses (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
REVENUE FROM CONTRACTS WITH CUSTOMERS
Contractual life of accounts receivable	30 days
Period for analyzing historical loss data to determine loss experience	2 years
Changes in the allowance for credit losses balance
Balance at beginning of period	$ 2,152
Provision for credit losses	(28)	$ 151
Write-offs charged against the allowance	(637)
Balance at end of period	$ 1,487

REVENUE FROM CONTRACTS WITH C_7

REVENUE FROM CONTRACTS WITH CUSTOMERS - Contract Liabilities (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
REVENUE FROM CONTRACTS WITH CUSTOMERS
Contract liability with customer	$ 8,300		$ 4,400
Deferred revenue recognized in earnings	19,614	$ 8,167
Deferred revenue recognized in earnings	$ 15,709	$ 8,081

STOCK-BASED COMPENSATION - Comp

STOCK-BASED COMPENSATION - Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost
Total stock-based compensation expense	$ 3,022	$ 3,027	$ 9,939	$ 9,862
Equity awards
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost
Total stock-based compensation expense	2,998	2,900	9,035	8,741
Liability awards
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost
Total stock-based compensation expense	$ 24	$ 127	$ 904	$ 1,121

STOCK-BASED COMPENSATION - Acti

STOCK-BASED COMPENSATION - Activity (Details) shares in Thousands	9 Months Ended
	Sep. 30, 2022 $ / shares shares
Restricted stock awards
Shares
Non-vested awards at beginning of period (in shares)	2,578
Granted (in shares)	1,861
Vested (in shares)	(1,152)
Canceled (in shares)	(244)
Non-vested awards at end of period (in shares)	3,043
Weighted Average Grant Date Fair Value Per Share
Non-vested awards at beginning of period (in dollars per share) | $ / shares	$ 10.35
Granted (in dollars per share) | $ / shares	9.03
Vested (in dollars per share) | $ / shares	10.25
Canceled (in dollars per share) | $ / shares	9.28
Non-vested awards at end of period (in dollars per share) | $ / shares	$ 9.67
Cash-settled units
Shares
Non-vested awards at end of period (in shares)	508
Stock-settled awards and units
Shares
Non-vested awards at end of period (in shares)	2,534

STOCK-BASED COMPENSATION - Unre

STOCK-BASED COMPENSATION - Unrecognized expense (Details) - Restricted stock and restricted stock units $ in Millions	9 Months Ended
	Sep. 30, 2022 USD ($)
Unrecognized compensation
Unrecognized stock-based compensation expenses (in dollars)	$ 17.1
Weighted-average period over which the expected unrecognized compensation cost is expected to be recognized	1 year 10 months 24 days

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		9 Months Ended
	Sep. 30, 2022 USD ($) CompressorUnit hp	Sep. 30, 2021 USD ($) CompressorUnit hp	Sep. 30, 2022 USD ($) CompressorUnit hp	Sep. 30, 2021 USD ($) CompressorUnit hp
Impaired Long-Lived Assets Held and Used
Idle compressors retired from the active fleet | CompressorUnit	25	60	100	175
Horsepower of idle compressors retired from the active fleet | hp	23	24	80	61
Impairment recorded on idle compressors retired from the active fleet | $	$ 4,149	$ 5,120	$ 16,205	$ 14,964
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	Long-lived and other asset impairment	Long-lived and other asset impairment

INCOME TAXES (Details)

INCOME TAXES (Details) $ in Millions	Sep. 30, 2022 USD ($)
INCOME TAXES
Potential decrease in unrecognized tax benefit in next twelve months	$ 2.7

EARNINGS PER COMMON SHARE (Deta

EARNINGS PER COMMON SHARE (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Earnings Per Common Share
Net income	$ 15,371	$ 9,304	$ 33,838	$ 22,225
Allocation of earnings to participating securities	(294)	(456)	(1,114)	(909)
Net income attributable to common stockholders, basic	15,077	8,848	32,724	21,316
Net income attributable to common stockholders, diluted	$ 15,077	$ 8,848	$ 32,724	$ 21,316
Weighted average common shares outstanding used in basic earnings per common share (in shares)	153,550	152,158	153,168	151,615
Effect of dilutive securities:
Restricted stock units (in shares)	131	138	125	152
ESPP shares (in shares)	6	1	4	2
Weighted average common shares outstanding used in diluted net income per common share (in shares)	153,687	152,297	153,297	151,769
On exercise of options where exercise price is greater than average market value for the period
Effect of dilutive securities:
Net dilutive potential common shares issuable (shares)		15		27

DERIVATIVES AND HEDGING - Inter

DERIVATIVES AND HEDGING - Interest Rate Swaps (Details) - Interest rate swap, March 2022 expiration - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021
Notional Disclosures
Notional value of interest rate swaps that expired	$ 300
Collateral posted prior to expiration	0
Notional value dedesignated		$ 125
Fair value of derivative prior to dedesignation			$ 1.6
Derivatives Designated as Hedging Instruments
Notional Disclosures
Notional value of interest rate swaps that expired	$ 175

DERIVATIVES AND HEDGING - Effec

DERIVATIVES AND HEDGING - Effect of Derivative Instruments on Statements of Operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Effect of derivative instruments on results of operations
Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded	$ 25,177	$ 25,508	$ 74,879	$ 82,711
Derivatives Designated as Hedging Instruments | Interest Rate Swaps
Effect of derivative instruments on results of operations
Pre-tax gain (loss) recognized in other comprehensive income (loss)		(581)	(512)	(670)
Derivatives Designated as Hedging Instruments | Interest Rate Swaps | Interest expense
Effect of derivative instruments on results of operations
Pre-tax gain (loss) reclassified from accumulated other comprehensive income (loss) into interest expense		(1,867)	(1,758)	(4,440)
Derivatives Not Designated as Hedging Instruments | Interest Rate Swaps
Effect of derivative instruments on results of operations
Gain recognized in interest expense		$ 532	$ 523	$ 532
Derivative, Gain (Loss), Statement of Income or Comprehensive Income	Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded	Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded	Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded	Total amount of interest expense in which the effects of cash flow hedges and undesignated interest rate swaps are recorded

DERIVATIVES AND HEDGING - Eff_2

DERIVATIVES AND HEDGING - Effect of Derivative Instruments on Balance Sheets (Details) - Interest Rate Swaps $ in Thousands	Dec. 31, 2021 USD ($)
Derivatives
Derivative liabilities	$ 1,250
Derivative Liability, Statement of Financial Position	Accrued liabilities
Derivatives Designated as Hedging Instruments
Derivatives
Derivative liabilities	$ 727
Derivative Liability, Statement of Financial Position	Accrued liabilities
Derivatives Not Designated as Hedging Instruments
Derivatives
Derivative liabilities	$ 523
Derivative Liability, Statement of Financial Position	Accrued liabilities

FAIR VALUE MEASUREMENTS - Measu

FAIR VALUE MEASUREMENTS - Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Ecotec
Fair value measurement of assets and liabilities
Ownership interest (as a percent)	19%
Recurring Basis
Fair value measurement of assets and liabilities
Investment in ECOTEC	$ 12,000
Equity Securities, FV-NI, Fair Value by Fair Value Hierarchy Level	Level 3
Derivative liabilities		$ 1,250
Derivative Liability, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel2Member	us-gaap:FairValueInputsLevel2Member

FAIR VALUE MEASUREMENTS - Mea_2

FAIR VALUE MEASUREMENTS - Measured on Nonrecurring Basis (Details) - Level 3 $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2022 USD ($) Y $ / hp	Sep. 30, 2022 USD ($) Y $ / hp	Dec. 31, 2021 USD ($) $ / hp
Impaired Long-Lived Assets | Compressors | Measurement Input, Weighted average disposal period
Fair value
Measurement input | Y	4	4
Impaired Long-Lived Assets | Compressors | Measurement Input, Sale proceeds | Minimum
Fair value
Measurement input	0	0	0
Impaired Long-Lived Assets | Compressors | Measurement Input, Sale proceeds | Maximum
Fair value
Measurement input	621	621	621
Impaired Long-Lived Assets | Compressors | Measurement Input, Sale proceeds | Weighted average
Fair value
Measurement input	44	44	35
Impaired Long-Lived Assets | Compressors | Measurement Input, Discount for market liquidity
Fair value
Measurement input	0.56	0.56	0.64
Nonrecurring Basis | Idle Compressor Units
Fair value
Impairment recorded on idle compressors retired from the active fleet | $	$ 4,100	$ 16,200
Nonrecurring Basis | Impaired Long-Lived Assets | Compressors
Fair value
Impaired assets | $	$ 1,548	$ 1,548	$ 4,380

FAIR VALUE MEASUREMENTS - Other

FAIR VALUE MEASUREMENTS - Other Financial Instruments (Details) - Fixed Rate Debt - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Long-term debt, fair value	$ 1,155,760	$ 1,361,000
Long-Term Debt, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel2Member	us-gaap:FairValueInputsLevel2Member
Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Long-term debt, fair value	$ 1,296,895	$ 1,296,325

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - Affiliated Entity $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) director	Sep. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Old Ocean Reserves | Archrock, Inc.
Related Party Transaction
Ownership interest (percent)	10.80%		10.80%
Old Ocean Reserves
Related Party Transaction
Number of directors shareholders have right to designate | director			1
Minimum ownership interest of outstanding shares required to elect a board of director (percent)	7.50%		7.50%
Hilcorp and affiliates
Related Party Transaction
Revenue from related party transactions	$ 9.2	$ 9.5	$ 27.8	$ 28.6
Due from related party	$ 3.2		$ 3.2		$ 3.7

SEGMENT INFORMATION - Number (D

SEGMENT INFORMATION - Number (Details)	9 Months Ended
	Sep. 30, 2022 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		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Revenue and other financial information by reportable segment
Revenue	$ 213,668	$ 195,166	$ 626,697	$ 586,212
Gross margin	106,141	103,234	315,966	318,255
Contract Operations
Revenue and other financial information by reportable segment
Revenue	170,497	158,911	500,451	488,810
Gross margin	98,803	97,631	295,901	304,778
Aftermarket Services
Revenue and other financial information by reportable segment
Revenue	43,171	36,255	126,246	97,402
Gross margin	$ 7,338	$ 5,603	$ 20,065	$ 13,477

SEGMENT INFORMATION - Reconcili

SEGMENT INFORMATION - Reconciliation of Net Income to Gross Margin (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Reconciliation Net Income (Loss) to Gross Margin
Total gross margin	$ 106,141	$ 103,234	$ 315,966	$ 318,255
Less:
Selling, general and administrative	30,500	28,839	85,964	80,000
Depreciation and amortization	39,953	45,280	124,348	135,185
Long-lived and other asset impairment	4,154	5,121	16,217	15,154
Restructuring charges		313		1,953
Interest expense	25,177	25,508	74,879	82,711
Gain on sale of assets, net	(12,695)	(15,393)	(33,755)	(29,549)
Other (income) expense, net	(585)	337	(52)	(1,634)
Income before income taxes	$ 19,637	$ 13,229	$ 48,365	$ 34,435

SUBSEQUENT EVENT (Details)

SUBSEQUENT EVENT (Details) - Ecotec	Oct. 03, 2022	Sep. 30, 2022
Subsequent Event
Ownership interest (as a percent)		19%
Subsequent Event.
Subsequent Event
Ownership interest (as a percent)	23%