Nine Energy Service (NINE) 10-Q 12 Aug 19 2019 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Aug. 08, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Entity Registrant Name	Nine Energy Service, Inc.
Entity Central Index Key	0001532286
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Current Reporting Status	Yes
Entity Common Stock, Shares Outstanding		30,680,434

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets
Cash and cash equivalents	$ 16,886	$ 63,615
Accounts receivable, net	169,450	154,783
Inventories, net	87,935	91,435
Prepaid expenses and other current assets	16,482	15,717
Notes receivable from shareholders	0	7,626
Total current assets	290,753	333,176
Property and equipment, net	220,575	211,644
Definite-lived intangible assets, net	164,135	173,451
Goodwill	307,804	307,804
Indefinite-lived intangible assets	108,711	108,711
Other long-term assets	5,723	6,386
Total assets	1,097,701	1,141,172
Current liabilities
Accounts payable	38,993	46,132
Accrued expenses	30,820	61,434
Current portion of capital lease obligations	1,012	665
Income taxes payable	97	57
Total current liabilities	70,922	108,288
Long-term liabilities
Long-term debt	391,018	424,978
Deferred income taxes	2,896	5,915
Long-term capital lease obligations	2,864	2,330
Other long-term liabilities	5,692	4,838
Total liabilities	473,392	546,349
Commitments and contingencies
Stockholders’ equity
Common stock (120,000,000 shares authorized at $.01 par value; 30,683,009 and 30,163,408 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively)	307	302
Additional paid-in capital	752,072	746,428
Accumulated other comprehensive loss	(4,403)	(4,843)
Accumulated deficit	(123,667)	(147,064)
Total stockholders’ equity	624,309	594,823
Total liabilities and stockholders’ equity	$ 1,097,701	$ 1,141,172

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Common stock, shares authorized (in shares)	120,000,000	120,000,000
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares issued (in shares)	30,683,009	30,163,408
Common stock, shares outstanding (in shares)	30,683,009	30,163,408

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
Revenues	$ 237,517	$ 205,492	$ 467,222	$ 379,299
Cost and expenses
Cost of revenues (exclusive of depreciation and amortization shown separately below)	184,555	163,591	363,145	301,818
General and administrative expenses	21,818	15,463	41,757	29,828
(Gain) loss on revaluation of contingent liabilities	(975)	607	(14,930)	1,670
Depreciation	13,846	13,212	27,376	26,321
Amortization of intangibles	4,628	1,896	9,316	3,796
Loss on equity method investment	0	118	0	193
Gain on sale of property and equipment	(310)	(881)	(333)	(511)
Income from operations	13,955	11,486	40,891	16,184
Interest expense	10,603	1,815	19,769	4,745
Income before income taxes	3,352	9,671	21,122	11,439
Provision (benefit) for income taxes	(2,735)	652	(2,275)	745
Net income	$ 6,087	$ 9,019	$ 23,397	$ 10,694
Earnings per share
Basic (in usd per share)	$ 0.21	$ 0.38	$ 0.80	$ 0.47
Diluted (in usd per share)	$ 0.21	$ 0.37	$ 0.80	$ 0.46
Weighted average shares outstanding
Basic (in shares)	29,349,396	23,895,858	29,250,744	22,904,743
Diluted (in shares)	29,473,037	24,351,000	29,423,163	23,198,077
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments, net of $0 tax in each period	$ 192	$ (250)	$ 440	$ (644)
Total other comprehensive income (loss), net of tax	192	(250)	440	(644)
Total comprehensive income	$ 6,279	$ 8,769	$ 23,837	$ 10,050

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (LOSS) (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
Foreign currency translation adjustments, tax	$ 0	$ 0	$ 0	$ 0

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings (Accumulated Deficit)
Stockholders’ equity (in shares) at Dec. 31, 2017		15,810,540
Stockholders’ equity at Dec. 31, 2017	$ 287,358	$ 158	$ 384,965	$ (3,684)	$ (94,081)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock in IPO, net of offering costs (in shares)		8,050,000
Issuance of common stock in IPO, net of offering costs	168,261	$ 81	168,180
Issuance of common stock under stock compensation plan (in shares)		1,157,280
Issuance of common stock under stock compensation plan	0	$ 11	(11)
Stock-based compensation expense	6,211		6,211
Other issuances of common stock (in shares)		13,043
Other issuances of common stock	300		300
Other comprehensive income	(644)			(644)
Net income	10,694				10,694
Stockholders’ equity (in shares) at Jun. 30, 2018		25,030,863
Stockholders’ equity at Jun. 30, 2018	472,180	$ 250	559,645	(4,328)	(83,387)
Stockholders’ equity (in shares) at Mar. 31, 2018		24,278,857
Stockholders’ equity at Mar. 31, 2018	459,440	$ 243	555,681	(4,078)	(92,406)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under stock compensation plan (in shares)		752,006
Issuance of common stock under stock compensation plan	0	$ 7	(7)
Stock-based compensation expense	3,971		3,971
Exercise of stock options (in shares)		0
Exercise of stock options	0	$ 0	0
Vesting of restricted stock (in shares)		0
Vesting of restricted stock	0		0
Other comprehensive income	(250)			(250)
Net income	9,019				9,019
Stockholders’ equity (in shares) at Jun. 30, 2018		25,030,863
Stockholders’ equity at Jun. 30, 2018	472,180	$ 250	559,645	(4,328)	(83,387)
Stockholders’ equity (in shares) at Dec. 31, 2018		30,163,408
Stockholders’ equity at Dec. 31, 2018	594,823	$ 302	746,428	(4,843)	(147,064)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under stock compensation plan (in shares)		588,483
Issuance of common stock under stock compensation plan	0	$ 6	(6)
Stock-based compensation expense	7,267		7,267
Exercise of stock options (in shares)		674
Exercise of stock options	15	$ 0	15
Vesting of restricted stock (in shares)		(69,556)
Vesting of restricted stock	(1,633)	$ (1)	(1,632)
Other comprehensive income	440			440
Net income	23,397				23,397
Stockholders’ equity (in shares) at Jun. 30, 2019		30,683,009
Stockholders’ equity at Jun. 30, 2019	624,309	$ 307	752,072	(4,403)	(123,667)
Stockholders’ equity (in shares) at Mar. 31, 2019		30,782,600
Stockholders’ equity at Mar. 31, 2019	615,467	$ 308	749,508	(4,595)	(129,754)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under stock compensation plan (in shares)		(33,538)
Issuance of common stock under stock compensation plan	0	$ 0	0
Stock-based compensation expense	4,114		4,114
Exercise of stock options (in shares)		0
Exercise of stock options	0	$ 0	0
Vesting of restricted stock (in shares)		(66,053)
Vesting of restricted stock	(1,551)	$ (1)	(1,550)
Other comprehensive income	192			192
Net income	6,087				6,087
Stockholders’ equity (in shares) at Jun. 30, 2019		30,683,009
Stockholders’ equity at Jun. 30, 2019	$ 624,309	$ 307	$ 752,072	$ (4,403)	$ (123,667)

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities
Net income	$ 23,397	$ 10,694
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation	27,376	26,321
Amortization of intangibles	9,316	3,796
Amortization of deferred financing costs	1,492	1,022
Provision for (recovery of) doubtful accounts	(48)	(300)
(Benefit) provision for deferred income taxes	(3,019)	375
Provision for inventory obsolescence	2,080	228
Stock-based compensation expense	7,267	6,211
Gain on sale of property and equipment	(333)	(511)
(Gain) loss on revaluation of contingent liabilities	(14,930)	1,670
Loss on equity method investment	0	193
Changes in operating assets and liabilities, net of effects from acquisitions
Accounts receivable, net	(14,560)	(41,368)
Inventories, net	1,566	(1,216)
Prepaid expenses and other current assets	(1,952)	186
Accounts payable and accrued expenses	(20,061)	18,584
Income taxes receivable/payable	40	(691)
Other assets and liabilities	(319)	6
Net cash provided by operating activities	17,408	25,200
Cash flows from investing activities
Proceeds from sales of property and equipment	1,187	1,294
Proceeds from property and equipment casualty losses	1,480	1,743
Proceeds from notes receivable payments	7,626	0
Purchases of property and equipment	(37,363)	(18,065)
Net cash used in investing activities	(27,070)	(15,028)
Cash flows from financing activities
Proceeds from revolving credit facilities	10,000	0
Payments on revolving credit facilities	(45,000)	(96,182)
Proceeds from term loan	0	125,000
Payments on term loans	0	(155,701)
Payments on capital leases	(429)	0
Payments of contingent liability	(138)	0
Proceeds from issuance of common stock in IPO, net of offering costs	0	171,450
Proceeds from other issuances of common stock	0	300
Proceeds from exercise of stock options	15	0
Vesting of restricted stock	(1,633)	0
Cost of debt issuance	0	(1,385)
Net cash provided by (used in) financing activities	(37,185)	43,482
Impact of foreign currency exchange on cash	118	(307)
Net increase (decrease) in cash and cash equivalents	(46,729)	53,347
Cash and cash equivalents
Cash and cash equivalents beginning of year	63,615	17,513
Cash and cash equivalents end of period	16,886	70,860
Supplemental disclosures of cash flow information:
Cash paid for interest	19,386	2,688
Cash paid for income taxes	694	1,042
Capital expenditures in accounts payable and accrued expenses	3,079	2,410
Property and equipment obtained by capital lease	$ 1,310	$ 0

Company and Organization

Company and Organization	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Company and Organization	Company and Organization Nine Energy Service, Inc. (the “Company” or “Nine”), a Delaware corporation, is an oilfield services business that provides services integral to the completion of unconventional wells through a full range of tools and methodologies and provides a range of production enhancement and well workover services. The Company is headquartered in Houston, Texas.

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation Condensed Consolidated Financial Information The accompanying Condensed Consolidated Financial Statements have not been audited by the Company’s independent registered public accounting firm, except that the Condensed Consolidated Balance Sheet at December 31, 2018 and the Condensed Consolidated Statements of Stockholders’ Equity as of December 31, 2018 and 2017 are derived from audited Consolidated Financial Statements . In the opinion of management, all adjustments consisting of normal recurring adjustments necessary for the fair statement of the Company’s financial position have been included. These Condensed Consolidated Financial Statements include all accounts of the Company. These Condensed Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. Therefore, these Condensed Consolidated Financial Statements should be read in conjunction with the Company’s audited Consolidated Financial Statements and notes thereto for the year ended December 31, 2018 , which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC. The operating results for interim periods are not necessarily indicative of results that may be expected for any other interim period or for the full year. Principles of Consolidation The Condensed Consolidated Financial Statements include the accounts of Nine and its wholly owned subsidiaries. All inter-company accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. These estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future. Such estimates include fair value assumptions used in purchase accounting and in analyzing goodwill, definite and indefinite-lived intangible assets, and property and equipment for possible impairment, useful lives used in depreciation and amortization expense, stock-based compensation fair value, estimated realizable value on excess and obsolete inventories, deferred taxes and income tax contingencies, and losses on accounts receivable. It is at least reasonably possible that the estimates used will change within the next year. Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation. These reclassifications relate to the presentation of “(Gain) loss on revaluation of contingent liabilities” as a separate line item in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) .

New Accounting Standards

New Accounting Standards	6 Months Ended
	Jun. 30, 2019
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
New Accounting Standards	New Accounting Standards Accounting Standards Update 2014-09 Background In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the current revenue recognition guidance. The standard is based on the principle that revenue is recognized to depict the transfer of goods and services to customers in the amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and asset recognized from costs incurred to obtain or fulfill a contract. The FASB subsequently issued ASU No. 2016-08, ASU No. 2016-10, and ASU No. 2016-12 which provide additional guidance around Topic 606. These amendments are encompassed in the Company’s reference to ASU No. 2014-09 below. As an emerging growth company, the Company is permitted to, and will, apply ASU No. 2014-09 to annual reporting periods beginning after December 15, 2018 and interim reporting periods within annual reporting periods beginning after December 15, 2019. In the fourth quarter of 2019, the Company, as an emerging growth company, expects to adopt ASU No. 2014-09 for the annual period ending December 31, 2019 (effective January 1, 2019) utilizing the modified retrospective approach. The Company will continue to report revenues under current accounting standards until it formally adopts ASU No. 2014-09. Status of Management’s Implementation Efforts of ASU No. 2014-09 During 2018, in preparation for the adoption of ASU No. 2014-09, the Company reviewed the various types of customer contract arrangements for each of its businesses. These reviews included the following: • accumulating all customer contractual arrangements; • identifying the individual performance obligations pursuant to each arrangement; • quantifying the considerations under each arrangement; • allocating the consideration under each arrangement to the identified performance obligation; and • determining the timing of revenue recognition pursuant to each arrangement. The Company has completed these contract reviews and has determined there will be no material adjustment to retained earnings upon adoption of ASU No. 2014-09, effective January 1, 2019. The Company is currently updating and implementing revised accounting system processes in order to capture information required to be disclosed under ASU No. 2014-09. The Company is also in the process of updating its current accounting policies to align with revenue recognition practices under ASU No. 2014-09. In 2019, as part of its ongoing evaluation of contracts with customers, the Company is holding regular meetings with key stakeholders across the organization to determine any impact ASU No. 2014-09 may have on its current or new business processes. Additionally, the Company continues to evaluate its internal processes to address risks associated with incorporating ASU No. 2014-09. Upon adoption, the Company will also implement new internal controls associated with incorporating ASU No. 2014-09, which is not expected to result in a material change in its existing control environment. Disclosure Requirements for ASU No. 2014-09 The Company’s disclosures related to revenue recognition will be significantly expanded under ASU No. 2014-09, specifically around the quantitative and qualitative information associated with performance obligations, changes in contract assets and liabilities, and the disaggregation of revenue. The Company is currently in the process of evaluating the impact of these disclosure requirements. Other Accounting Standards In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The standard, which requires the use of a modified retrospective transition approach, includes a number of optional practical expedients that entities may elect to apply. In July 2018, the FASB issued a new, optional transition method that will give companies the option to use the effective date as the date of initial application on transition. Based on initial evaluation, the Company expects to include operating leases with durations greater than twelve months on its Condensed Consolidated Balance Sheets. The Company is currently in the process of accumulating and evaluating all the necessary information required to properly account for its lease portfolio under the new standard. The Company will provide additional information about the expected financial impact as it progresses through the evaluation and implementation of the standard. Although the standard is effective for public business entities for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years, the Company, as an emerging growth company, is permitted, and plans, to adopt the standard for the fiscal years beginning after December 15, 2019 and the interim periods within the fiscal years beginning after December 15, 2020. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . This new guidance addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice, including: debt prepayment or debt extinguishment costs, settlement of zero-coupon debt instruments or other debt instruments, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions, and separately identifiable cash flows and application of the predominance principle. ASU 2016-15 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. As an emerging growth company, the Company is permitted, and plans, to adopt the new standard for the fiscal years beginning after December 15, 2018 and the interim periods within fiscal years beginning after December 15, 2019. The Company will apply the guidance retrospectively and is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business , in an effort to clarify the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments in this standard provide a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the integrated set of assets and activities is not a business. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. Although the standard is generally effective for fiscal years beginning after December 15, 2017, the Company, as an emerging growth company, is permitted, and plans, to adopt the standard for the fiscal years beginning after December 15, 2018 and the interim periods within annual periods beginning after December 15, 2019. Entities are required to apply the guidance prospectively when adopted. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement , which eliminates, adds, and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. The ASU is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The ASU is required to be applied retrospectively, except the new Level 3 disclosure requirements are applied prospectively. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. In August 2018, the FASB issued ASU No. 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . ASU No. 2018-15 provides additional guidance on the accounting for costs of implementation activities performed in a cloud computing arrangement that is a service contract. The amendments in ASU No. 2018-15 align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). Costs for implementation activities in the application development stage are capitalized depending on the nature of the costs, while costs incurred during the preliminary project and post implementation stages are expensed as the activities are performed. ASU 2018-15 is effective for public businesses for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. As an emerging growth company, the Company is permitted, and plans, to adopt the new standard for the annual reporting periods beginning after December 15, 2020 and the interim periods within annual periods beginning after December 15, 2021. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements.

Business Acquisitions

Business Acquisitions	6 Months Ended
	Jun. 30, 2019
Business Combinations [Abstract]
Business Acquisitions	Business Acquisitions Magnum Acquisition On October 25, 2018 (the “Closing Date”), pursuant to the terms of a Securities Purchase Agreement, dated October 15, 2018 (as amended on June 7, 2019, the “Magnum Purchase Agreement”), the Company acquired all of the equity interests of Magnum Oil Tools International, LTD, Magnum Oil Tools GP, LLC, and Magnum Oil Tools Canada Ltd. (such entities collectively, “Magnum”) for approximately $ 334.5 million in upfront cash consideration, subject to customary adjustments, and 5.0 million shares of the Company’s common stock, which were issued to the sellers of Magnum in a private placement. The Magnum Purchase Agreement also includes the potential for additional future payments in cash of (i) up to 60% of net income (before interest, taxes, and certain gains or losses) for the “E-Set” tools business in 2019 through 2026 and (ii) up to $25.0 million based on sales of certain dissolvable plug products in 2019 (the “Magnum Earnout”). The Magnum Acquisition has been accounted for as a business combination using the acquisition method. Under the acquisition method of accounting, the fair value of the consideration transferred is allocated to the tangible and intangible assets acquired and the liabilities assumed based on their estimated fair values as of the acquisition date, with the remaining unallocated amount recorded as goodwill. The following table summarizes the fair value of purchase consideration transferred on the Closing Date: Fair Value (in thousands) Proceeds from newly issued Senior Notes and 2018 ABL Credit Facility (1) $ 296,622 Cash provided from operations 58,760 Total upfront cash consideration $ 355,382 Issuance of the Company’s common shares $ 177,350 Contingent consideration (2) 23,029 Total purchase consideration $ 555,761 (1) Senior Notes and 2018 ABL Credit Facility are defined in Note 8 – Debt Obligations . (2) The estimated fair value of the Magnum Earnout was based on a Monte Carlo simulation model with estimated outcomes ranging from $0 to $25.0 million . The estimated fair value of the Magnum Earnout is based upon available information and certain assumptions, known at the time of the Closing Date, which management believed were reasonable. Any difference in the actual Magnum Earnout from the estimated fair value of the Magnum Earnout will be recorded in operating income (loss) in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) . The final determination of the fair value of assets acquired and liabilities assumed at the Closing Date will be completed as soon as possible, but no later than one year from the Closing Date (the “Measurement Period”). The Company’s preliminary purchase price allocation is subject to revision as additional information about the fair value of assets and liabilities becomes available. Additional information that existed as of the Closing Date, but at the time was unknown to the Company, may become known to the Company during the remainder of the Measurement Period. The final determination of fair value may differ materially from these preliminary estimates. The following table summarizes the preliminary allocation of the purchase price of the Magnum Acquisition to the assets acquired and liabilities assumed based on the fair value as of the Closing Date, with the excess of the purchase price over the estimated fair value of the identifiable net assets acquired recorded as goodwill: Purchase Price Allocation (in thousands) Cash and cash equivalents $ 8,509 Accounts receivable, net 30,441 Income taxes receivable 272 Inventories, net 55,169 Prepaid expenses and other current assets 1,147 Property and equipment, net 3,729 Goodwill 225,839 Definite-lived intangible assets, net 148,000 Indefinite-lived intangible assets 96,000 Other long-term assets 1,055 Accounts payable (3,626 ) Accrued expenses (10,759 ) Other long-term liabilities (15 ) Total net assets acquired $ 555,761 All goodwill acquired is attributable to expected synergies gained through the Magnum Acquisition as well as the assembled workforce. In addition, all goodwill acquired is included in the Completion Solutions segment and is deductible for tax purposes. For additional information on goodwill, see Note 6 – Goodwill and Intangible Assets . Magnum’s results of operations are included in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) , as part of its Completion Solutions segment, for the three and six months ended June 30, 2019 . It is impractical to quantify the contribution of Magnum since the Closing Date, as the business was fully integrated into the Company’s existing operations in 2018. Frac Tech Acquisition On October 1, 2018, pursuant to the terms and conditions of a Securities Purchase Agreement (the “Frac Tech Purchase Agreement”), the Company acquired Frac Technology AS, a Norwegian private limited company (“Frac Tech”) focused on the development of downhole technology, including a casing flotation tool and a number of patented downhole completion tools. This acquisition was not material to the Company’s Condensed Consolidated Financial Statements.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories, consisting primarily of finished goods and raw materials, are stated at the lower of cost or net realizable value. Cost is determined on an average cost basis. The Company reviews its inventory balances and writes down its inventory for estimated obsolescence or excess inventory equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. The reserve for obsolescence was $3.2 million and $1.9 million at June 30, 2019 and December 31, 2018 , respectively. Inventories, net as of June 30, 2019 and December 31, 2018 were comprised of the following: June 30, December 31, (in thousands) Raw materials $ 51,219 $ 38,890 Work in progress 457 130 Finished goods 39,495 54,301 Inventories 91,171 93,321 Reserve for obsolescence (3,236 ) (1,886 ) Inventories, net $ 87,935 $ 91,435

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	Goodwill and Intangible Assets Goodwill The changes in the net carrying amount of the components of goodwill for the six months ended June 30, 2019 were as follows: Goodwill Gross Value Accumulated Net (in thousands) Balance as of December 31, 2018 $ 400,067 $ (92,263 ) $ 307,804 Impairment — — — Balance as of June 30, 2019 $ 400,067 $ (92,263 ) $ 307,804 At June 30, 2019, all remaining goodwill is attributable to Completion Solutions . Intangible Assets The changes in the net carrying value of the components of intangible assets for the six months ended June 30, 2019 were as follows: Intangible Assets Customer Relationships Non- Compete Agreements Technology Definite-Lived Intangible Asset Total Trade Names Other Intangible Assets Indefinite-Lived Intangible Asset Total (in thousands, except weighted average amortization period information) Balance as of December 31, 2018 $ 47,964 $ 2,850 $ 122,637 $ 173,451 $ 107,700 $ 1,011 $ 108,711 Additions — — — — — — — Amortization expense (4,174 ) (783 ) (4,359 ) (9,316 ) — — — Balance as of June 30, 2019 $ 43,790 $ 2,067 $ 118,278 $ 164,135 $ 107,700 $ 1,011 $ 108,711 Weighted average amortization period 6.9 3.7 14.1 Indefinite Indefinite Amortization of intangibles expense was $4.6 million and $9.3 million for the three and six months ended June 30, 2019 , respectively. Amortization of intangibles expense was $1.9 million and $3.8 million for the three and six months ended June 30, 2018 , respectively.

Accrued Expenses Accrued Expens

Accrued Expenses Accrued Expenses	6 Months Ended
	Jun. 30, 2019
Payables and Accruals [Abstract]
Accrued Expenses	Accrued Expenses Accrued expenses as of June 30, 2019 and December 31, 2018 consisted of the following: June 30, 2019 December 31, 2018 (in thousands) Accrued compensation and benefits $ 12,133 $ 11,930 Accrued bonus 1,039 13,250 Sales tax payable 1,216 1,185 Contingent liabilities 4,985 20,922 Interest payable 6,067 7,031 Other accrued expenses 5,380 7,116 Accrued expenses $ 30,820 $ 61,434

Debt Obligations

Debt Obligations	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Debt Obligations	Debt Obligations The Company’s debt obligations as of June 30, 2019 and December 31, 2018 were as follows: June 30, December 31, (in thousands) Senior Notes $ 400,000 $ 400,000 2018 ABL Credit Facility — 35,000 Total debt before deferred financing costs $ 400,000 $ 435,000 Deferred financing costs (8,982 ) (10,022 ) Total debt $ 391,018 $ 424,978 Less: Current portion of long-term debt — — Long-term debt $ 391,018 $ 424,978 Senior Notes On October 25, 2018, the Company issued $400.0 million principal amount of 8.750% Senior Notes due 2023 (the “Senior Notes”). The Senior Notes were issued under an indenture, dated as of October 25, 2018 (the “Indenture”), by and among the Company, certain subsidiaries of the Company and Wells Fargo, National Association, as Trustee. The Senior Notes bear interest at an annual rate of 8.750% payable on May 1 and November 1 of each year with the first interest payment being due on May 1, 2019. The Senior Notes are senior unsecured obligations of the Company and are fully and unconditionally guaranteed on a senior unsecured basis by each of the Company’s current domestic subsidiaries and by certain future subsidiaries. The Indenture contains covenants that limit the Company’s ability and the ability of its restricted subsidiaries to engage in certain activities. The Company was in compliance with the provisions of the Indenture at June 30, 2019 . Upon an event of default, the trustee or the holders of at least 25% in aggregate principal amount of then outstanding Senior Notes may declare the Senior Notes immediately due and payable, except that a default resulting from certain events of bankruptcy or insolvency with respect to the Company, any restricted subsidiary of the Company that is a significant subsidiary or any group of restricted subsidiaries that, taken together, would constitute a significant subsidiary, will automatically cause all outstanding Senior Notes to become due and payable. Unamortized deferred financing costs associated with the Senior Notes were $9.0 million and $10.0 million at June 30, 2019 and December 31, 2018 , respectively. These costs are direct deductions from the carrying amount of the Senior Notes and are being amortized through interest expense through the maturity date of the Senior Notes using the effective interest method. 2018 ABL Credit Facility On October 25, 2018, the Company entered into a credit agreement dated as of October 25, 2018 (the “2018 ABL Credit Agreement”), by and among the Company, Nine Energy Canada, Inc., JP Morgan Chase Bank, N.A. (“JP Morgan”) as administrative agent and as an issuing lender, and certain other financial institutions party thereto as lenders and issuing lenders. The 2018 ABL Credit Agreement permits aggregate borrowings of up to $200.0 million , subject to a borrowing base, including a Canadian tranche with a sub-limit of up to $25.0 million and a sub-limit of $50.0 million for letters of credit (the “2018 ABL Credit Facility”). The 2018 ABL Credit Facility will mature on October 25, 2023 or, if earlier, on the date that is 180 days before the scheduled maturity date of the Senior Notes if they have not been redeemed or repurchased by such date. Loans to the Company and its domestic related subsidiaries (the “U.S. Credit Parties”) under the 2018 ABL Credit Facility may be base rate loans or LIBOR loans; and loans to Nine Energy Canada Inc., a corporation organized under the laws of Alberta, Canada, and its restricted subsidiaries (the “Canadian Credit Parties”) under the Canadian tranche may be CDOR loans or Canadian prime rate loans. The applicable margin for base rate loans and Canadian prime rate loans vary from 0.75% to 1.25% , and the applicable margin for LIBOR loans or CDOR loans vary from 1.75% to 2.25% , in each case depending on the Company’s leverage ratio. In addition, a commitment fee of 0.50% per annum will be charged on the average daily unused portion of the revolving commitments. The weighted average interest rate was 4.70% during the first six months of 2019. The 2018 ABL Credit Agreement contains various affirmative and negative covenants, including financial reporting requirements and limitations on indebtedness, liens, mergers, consolidations, liquidations and dissolutions, sales of assets, dividends and other restricted payments, investments (including acquisitions), and transactions with affiliates. In addition, the 2018 ABL Credit Agreement contains a minimum fixed charge ratio covenant that is tested quarterly when the availability under the 2018 ABL Credit Facility drops below a certain threshold or a default has occurred until the availability exceeds such threshold for 30 consecutive days and such default is no longer outstanding. The Company was in compliance with all covenants under the 2018 ABL Credit Agreement at June 30, 2019 . All of the obligations under the 2018 ABL Credit Facility are secured by first priority perfected security interests (subject to permitted liens) in substantially all of the personal property of U.S. Credit Parties, excluding certain assets. The obligations under the Canadian tranche are further secured by first priority perfected security interests (subject to permitted liens) in substantially all of the personal property of Canadian Credit Parties, excluding certain assets. The 2018 ABL Credit Facility is guaranteed by the U.S. Credit Parties, and the Canadian tranche is further guaranteed by the Canadian Credit Parties and the U.S. Credit Parties. Concurrent with the effectiveness of the 2018 ABL Credit Facility, the Company borrowed approximately $35.0 million to fund a portion of the upfront cash purchase of the Magnum Acquisition. The Company is permitted to repay any amounts borrowed prior to the maturity date without any premium or penalty, subject to minimum amounts of prepayments and customary LIBOR breakage costs. During the first six months of 2019, the Company repaid its outstanding revolver borrowings in full. At June 30, 2019 , the Company’s availability under the 2018 ABL Credit Facility was approximately $161.1 million , net of an outstanding letter of credit of $0.5 million . Prior Credit Agreements On September 14, 2017, the Company entered into a credit agreement (as amended on November 20, 2017, the “2018 IPO Credit Agreement”) with JP Morgan as administrative agent and certain other financial institutions that became effective upon the consummation of the initial public offering (“IPO”) in January 2018 (the “Effective Date”). Pursuant to the terms of the 2018 IPO Credit Agreement, the Company and its domestic restricted subsidiaries were entitled to borrow $125.0 million of term loans (the “2018 IPO Term Loan Credit Facility”), which the Company drew in full on the Effective Date. In January 2018, the Company also made a mandatory prepayment of $9.7 million against the 2018 IPO Term Loan Credit Facility, which approximated 50.0% of the estimated net proceeds from the IPO in excess of $150.0 million , as prescribed under the 2018 IPO Credit Agreement. In addition, under the 2018 IPO Credit Agreement, the Company and its domestic restricted subsidiaries were entitled to borrow up to $50.0 million (including letters of credit) as revolving credit loans under the revolving commitments. Loans to the Company and its domestic restricted subsidiaries under the 2018 IPO Credit Agreement were either base rate loans or LIBOR loans. The applicable margin for base rate loans varied from 1.50% to 2.75% , and the applicable margin for LIBOR loans varied from 2.50% to 3.75% , in each case depending on the Company’s leverage ratio. In addition, a commitment fee of 0.50% per annum was charged on the average daily unused portion of the revolving commitments. On October 25, 2018, the Company fully repaid and terminated the 2018 IPO Credit Agreement. In 2014, the Company entered into the Amended and Restated Credit Agreement (as amended, the “Legacy Nine Credit Agreement”) with HSBC Bank USA, N.A., as U.S. administrative agent, HSBC Bank Canada, as Canadian agent, and certain other financial institutions. All loans and other obligations under the Legacy Nine Credit Agreement were scheduled to mature on May 31, 2018. In 2014, Beckman Production Services, Inc. entered into a credit agreement (as amended, the “Legacy Beckman Credit Agreement” and together with the Legacy Nine Credit Agreement, the “Legacy Credit Agreements”) with Wells Fargo Bank, National Association, as administrative agent, and certain other financial institutions. All loans and other obligations under the Legacy Beckman Credit Agreement were scheduled to mature on June 30, 2018. Concurrent with the effectiveness of the 2018 IPO Credit Agreement in January 2018, the Company repaid all indebtedness under the Legacy Credit Agreements, which approximated $242.2 million . Debt Extinguishment Costs During the first quarter of 2018, the Company recorded debt extinguishment costs of approximately $0.7 million in unamortized deferred financing costs associated with the termination of the Legacy Credit Agreements. These unamortized deferred financing costs were being amortized through the maturity dates of each agreement using the effective interest method. These debt extinguishment costs are included in “Interest expense” in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) for the six months ended June 30, 2018 . Fair Value of Debt Instruments The estimated fair value of the Company’s debt obligations as of June 30, 2019 and December 31, 2018 was as follows: June 30, 2019 December 31, 2018 (in thousands) Senior Notes $ 389,000 $ 376,000 2018 ABL Credit Facility $ — $ 35,000 The fair value of the Senior Notes is classified as Level 2 in the fair value hierarchy and is established based on observable inputs in less active markets. The 2018 ABL Credit Facility is also classified within Level 2 of the fair value hierarchy. The fair value of the 2018 ABL Credit Facility approximates its carrying value.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions As part of the acquisition of Crest Pumping Technologies, LLC (“Crest”) in 2014, the Company issued promissory notes totaling $9.4 million to former owners of Crest, including David Crombie, who is an executive officer of the Company. The principal was due on June 30, 2019 . The interest rate was based on the prime rate, the federal funds rate, or LIBOR, plus a margin to be determined in connection with the Company’s credit agreement and was due quarterly. Mr. Crombie paid $1.8 million during 2016 to pay his promissory note in full. At December 31, 2018 , the outstanding principal balance of the notes of the remaining individuals totaled $7.6 million , and unpaid interest, included in “Prepaid expenses and other current assets” in the Company’s Condensed Consolidated Balance Sheets , totaled $10,000 . During the second quarter of 2019, the Company received the full principal balance of the notes outstanding as well as any unpaid interest. The Company leases office space, yard facilities and equipment, and purchases building maintenance services from entities owned by Mr. Crombie. Total lease expense and building maintenance expense associated with these entities was $0.2 million and $0.4 million for the three and six months ended June 30, 2019 and $0.2 million and $0.4 million for the three and six months ended June 30, 2018 , respectively. The Company also purchased $0.5 million and $0.6 million of equipment during the three and six months ended June 30, 2019 , respectively, from an entity in which Mr. Crombie is a limited partner. The Company did not purchase any equipment from this entity during the three and six months ended June 30, 2018. There were outstanding payables due to this entity relating to equipment purchases of $0.3 million at June 30, 2019. In addition, the Company leases office space in Corpus Christi and Midland, Texas from an entity affiliated with Lynn Frazier, a beneficial owner of more than 5% of the Company’s stock. Total rental expense associated with this office space was $0.3 million and $0.7 million for the three and six months ended June 30, 2019 , respectively. There were no outstanding payables due to the entity at June 30, 2019 and December 31, 2018. At December 31, 2018 , the Company had an open receivable due from the sellers of Magnum primarily attributed to sales commissions paid to an intercompany entity that was not included in the Magnum Acquisition. The Company received payment in full in the first quarter of 2019. The Company provides services to Citation Oil & Gas Corp., an entity owned by Curtis F. Harrell, a director of the Company. The Company billed $0.1 million and $0.2 million for services provided to this entity during the three and six months ended June 30, 2019 , respectively, and billed $0.3 million and $0.5 million for the three and six months ended June 30, 2018 , respectively. There was an outstanding receivable due from this entity of $0.1 million at both June 30, 2019 and December 31, 2018 . The Company provides services in the ordinary course of business to EOG Resources, Inc. (“EOG”). Gary L. Thomas, a director of the Company, acted as the President of EOG until his retirement from EOG at December 31, 2018. The Company generated revenue from EOG of $11.9 million and $19.7 million for the three and six months ended June 30, 2018 , respectively. There was an outstanding receivable due from this entity of $7.0 million at December 31, 2018. On June 5, 2019, Ann G. Fox, President and Chief Executive Officer and a director of the Company, was elected as a director of Devon Energy Corporation (“Devon”). The Company generated revenue from Devon of $4.9 million and $10.4 million for the three and six months ended June 30, 2019, respectively. There was an outstanding receivable due from Devon of $3.6 million at June 30, 2019.

Commitment and Contingencies

Commitment and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitment and Contingencies	Commitments and Contingencies Litigation From time to time, the Company has various claims, lawsuits, and administrative proceedings that are pending or threatened with respect to personal injury, workers’ compensation, contractual matters, and other matters. Although no assurance can be given with respect to the outcome of these claims, lawsuits, or proceedings or the effect such outcomes may have, the Company believes any ultimate liability resulting from the outcome of such claims, lawsuits, or administrative proceedings, to the extent not otherwise provided for or covered by insurance, will not have a material adverse effect on its business, operating results, or financial condition. On August 31, 2017, an accident occurred while a five-employee crew of Big Lake Services, LLC, a subsidiary of Nine (“Big Lake Services”), was performing workover services at an oil and gas wellsite near Midland, Texas, operated by Pioneer Natural Resources USA, Inc. (“Pioneer Natural Resources”), resulting in the death of a Big Lake Services employee, Juan De La Rosa. On December 7, 2017 , a lawsuit was filed on behalf of Mr. De La Rosa’s minor children in the Midland County District Court against Pioneer Natural Resources, Big Lake Services, and Phillip Hamilton related to this accident. The petition alleged, among other things, that the defendants acted negligently, resulting in the death of Mr. De La Rosa. On March 14, 2018, a plea in intervention was filed on behalf of Mr. De La Rosa’s parents, alleging similar claims. The plaintiffs and intervenors sought money damages, including punitive damages. On December 17, 2018, a mediation was held, and the parties reached an agreement in principle to settle this matter. In May 2019, the parties entered into settlement agreements, which have been approved by the court, and the plaintiffs and intervenors have moved to dismiss the case. The Company has tendered this matter to its insurance company for defense and indemnification of Big Lake Services and the other defendants, and this settlement has been fully funded by its insurance company. Self-insurance The Company uses a combination of third-party insurance and self-insurance for health insurance clams. The self-insured liability represents an estimate of the undiscounted ultimate cost of uninsured claims incurred as of the balance sheet date. The estimate is based on an analysis of trailing months of incurred medical claims to project the amount of incurred but not reported claims liability. The estimated liability for self-insured medical claims was $1.8 million and $1.6 million at June 30, 2019 and December 31, 2018 , respectively, and is included under the caption “Accrued expenses” on the Condensed Consolidated Balance Sheets . Although the Company does not expect the amounts ultimately paid to differ significantly from the estimates, the self-insurance liability could be affected if future claims experience differs significantly from historical trends and actuarial assumptions. Contingent Liabilities The Company has recorded the following contingent liabilities at June 30, 2019 : Magnum Earnout The Magnum Purchase Agreement includes the potential for additional future payments in cash of (i) up to 60% of net income (before interest, taxes, and certain gains or losses) for the “E-Set” tools business in 2019 through 2026 and (ii) up to $25.0 million based on sales of certain dissolvable plug products in 2019. For additional information on the Magnum Acquisition, see Note 4 – Business Acquisitions . Frac Tech Earnout On October 1, 2018, pursuant to the terms and conditions of the Frac Tech Purchase Agreement, the Company acquired Frac Tech. The Frac Tech Purchase Agreement includes, among other things, the potential for additional future payments, based on certain Frac Tech sales volume metrics through December 31, 2023. The following is a reconciliation of the beginning and ending amounts of the contingent liabilities (Level 3) for the six months ended June 30, 2019 : Magnum Frac Tech Total (in thousands) Balance at December 31, 2018 $ 24,521 $ 1,008 $ 25,529 Payments — (138 ) (138 ) Revaluation adjustments (15,451 ) 521 (14,930 ) Balance at June 30, 2019 $ 9,070 $ 1,391 $ 10,461 The contingent consideration related to the contingent liabilities is reported at fair value, based on a Monte Carlo simulation model. Significant inputs used in the fair value measurement include estimated gross margin related to forecasted sales of the plugs, term of the agreement, and a risk adjusted discount factor. Contingent liabilities include $5.0 million and $20.9 million reported in “Accrued expenses” at June 30, 2019 and December 31, 2018 , respectively, and $5.5 million and $4.6 million reported in “Other long-term liabilities” at June 30, 2019 and December 31, 2018 , respectively, in the Company’s Condensed Consolidated Balance Sheets . The impact of the revaluation adjustments is included in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) .

Taxes

Taxes	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Taxes	Taxes The Company’s effective tax rate fluctuates based on, among other factors, changes in statutory tax rates, changes in pre-tax income and nondeductible items, and changes in valuation allowances. The Company’s effective tax rate for the three and six months ended June 30, 2019 was (81.6)% and (10.8)% , respectively, compared to 6.7% and 6.5% for the three and six months ended June 30, 2018 , respectively. The change in effective tax rate for the six months ended June 30, 2019 was primarily attributable to the current year impact of the Company's valuation allowance positions as well as state and non-U.S. income taxes.

Earnings (Loss) Per Share

Earnings (Loss) Per Share	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Earnings (Loss) Per Share	Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Diluted earnings (loss) per share is based on the weighted average number of shares outstanding during each period and the assumed exercise of potentially dilutive stock options, restricted stock, and restricted stock units. Basic and diluted earnings per common share was computed as follows: Three Months Ended June 30, 2019 Three Months Ended June 30, 2018 Net Income Average Shares Outstanding Earnings Per Share Net Income Average Shares Outstanding Earnings Per Share (in thousands, except share and per share amounts) Basic $ 6,087 29,349,396 $ 0.21 $ 9,019 23,895,858 $ 0.38 Assumed exercise of stock options — 12 — — 85,681 — Unvested restricted stock and stock units — 123,629 — — 369,461 — Diluted $ 6,087 29,473,037 $ 0.21 $ 9,019 24,351,000 $ 0.37 Six Months Ended June 30, 2019 Six Months Ended June 30, 2018 Net Income Average Shares Outstanding Earnings Per Share Net Income Average Shares Outstanding Earnings Per Share (in thousands, except share and per share amounts) Basic $ 23,397 29,250,744 $ 0.80 $ 10,694 22,904,743 $ 0.47 Assumed exercise of stock options — 71 — — 58,914 — Unvested restricted stock and stock units — 172,348 — — 234,420 — Diluted $ 23,397 29,423,163 $ 0.80 $ 10,694 23,198,077 $ 0.46

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Segment Information	Segment Information The Company reports its results of operations in the following two segments: Completion Solutions and Production Solutions . The Completion Solutions segment consists primarily of cementing, completion tools, wireline, and coiled tubing services, while the Production Solutions segment consists of rig-based well maintenance and workover services. The Company’s reportable segments are strategic units that offer distinct products and services. They are managed separately since each business segment requires different marketing strategies. Operating segments have not been aggregated as part of a reportable segment. The Company evaluates the performance of its reportable segments based on adjusted gross profit. This segmentation is representative of the manner in which the Chief Operating Decision Maker (“CODM”) and its Board of Directors view the business. The Company considers the CODM to be its Chief Executive Officer. Summary financial data by segment is as follows. The amounts labeled “Corporate” relate to assets not allocated to the reportable segments. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (in thousands) (in thousands) Revenues Completion Solutions $ 215,871 $ 185,111 $ 425,003 $ 339,755 Production Solutions 21,646 20,381 42,219 39,544 $ 237,517 $ 205,492 $ 467,222 $ 379,299 Cost of revenues (exclusive of depreciation and amortization shown separately below) Completion Solutions $ 166,022 $ 146,002 $ 327,461 $ 267,428 Production Solutions 18,533 17,589 35,684 34,390 $ 184,555 $ 163,591 $ 363,145 $ 301,818 Adjusted gross profit Completion Solutions $ 49,849 $ 39,109 $ 97,542 $ 72,327 Production Solutions 3,113 2,792 6,535 5,154 $ 52,962 $ 41,901 $ 104,077 $ 77,481 General and administrative expenses 21,818 15,463 41,757 29,828 (Gain) loss on revaluation of contingent liabilities (975 ) 607 (14,930 ) 1,670 Depreciation 13,846 13,212 27,376 26,321 Amortization of intangibles 4,628 1,896 9,316 3,796 Loss on equity method investment — 118 — 193 Gain on sale of property and equipment (310 ) (881 ) (333 ) (511 ) Income from operations $ 13,955 $ 11,486 $ 40,891 $ 16,184 Interest expense 10,603 1,815 19,769 4,745 Income before income taxes 3,352 9,671 21,122 11,439 Provision (benefit) for income taxes (2,735 ) 652 (2,275 ) 745 Net income $ 6,087 $ 9,019 $ 23,397 $ 10,694 Capital expenditures by segment for the three and six months ended June 30, 2019 and 2018 , were as follows: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (in thousands) (in thousands) Completion Solutions $ 12,719 $ 10,630 $ 35,197 $ 15,913 Production Solutions 1,072 955 1,986 1,647 Corporate 38 12 93 505 $ 13,829 $ 11,597 $ 37,276 $ 18,065 Total assets by segment as of June 30, 2019 and December 31, 2018 were as follows: June 30, 2019 December 31, 2018 (in thousands) Completion Solutions $ 1,032,759 $ 1,045,643 Production Solutions 36,616 35,086 Corporate 28,326 60,443 $ 1,097,701 $ 1,141,172

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Condensed Consolidated Financial Information	Condensed Consolidated Financial Information The accompanying Condensed Consolidated Financial Statements have not been audited by the Company’s independent registered public accounting firm, except that the Condensed Consolidated Balance Sheet at December 31, 2018 and the Condensed Consolidated Statements of Stockholders’ Equity as of December 31, 2018 and 2017 are derived from audited Consolidated Financial Statements . In the opinion of management, all adjustments consisting of normal recurring adjustments necessary for the fair statement of the Company’s financial position have been included. These Condensed Consolidated Financial Statements include all accounts of the Company. These Condensed Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. Therefore, these Condensed Consolidated Financial Statements should be read in conjunction with the Company’s audited Consolidated Financial Statements and notes thereto for the year ended December 31, 2018 , which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC. The operating results for interim periods are not necessarily indicative of results that may be expected for any other interim period or for the full year.
Principles of Consolidation	Principles of Consolidation The Condensed Consolidated Financial Statements include the accounts of Nine and its wholly owned subsidiaries. All inter-company accounts and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. These estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future. Such estimates include fair value assumptions used in purchase accounting and in analyzing goodwill, definite and indefinite-lived intangible assets, and property and equipment for possible impairment, useful lives used in depreciation and amortization expense, stock-based compensation fair value, estimated realizable value on excess and obsolete inventories, deferred taxes and income tax contingencies, and losses on accounts receivable. It is at least reasonably possible that the estimates used will change within the next year.
Reclassifications	Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation. These reclassifications relate to the presentation of “(Gain) loss on revaluation of contingent liabilities” as a separate line item in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) .
New Accounting Standards	New Accounting Standards Accounting Standards Update 2014-09 Background In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the current revenue recognition guidance. The standard is based on the principle that revenue is recognized to depict the transfer of goods and services to customers in the amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and asset recognized from costs incurred to obtain or fulfill a contract. The FASB subsequently issued ASU No. 2016-08, ASU No. 2016-10, and ASU No. 2016-12 which provide additional guidance around Topic 606. These amendments are encompassed in the Company’s reference to ASU No. 2014-09 below. As an emerging growth company, the Company is permitted to, and will, apply ASU No. 2014-09 to annual reporting periods beginning after December 15, 2018 and interim reporting periods within annual reporting periods beginning after December 15, 2019. In the fourth quarter of 2019, the Company, as an emerging growth company, expects to adopt ASU No. 2014-09 for the annual period ending December 31, 2019 (effective January 1, 2019) utilizing the modified retrospective approach. The Company will continue to report revenues under current accounting standards until it formally adopts ASU No. 2014-09. Status of Management’s Implementation Efforts of ASU No. 2014-09 During 2018, in preparation for the adoption of ASU No. 2014-09, the Company reviewed the various types of customer contract arrangements for each of its businesses. These reviews included the following: • accumulating all customer contractual arrangements; • identifying the individual performance obligations pursuant to each arrangement; • quantifying the considerations under each arrangement; • allocating the consideration under each arrangement to the identified performance obligation; and • determining the timing of revenue recognition pursuant to each arrangement. The Company has completed these contract reviews and has determined there will be no material adjustment to retained earnings upon adoption of ASU No. 2014-09, effective January 1, 2019. The Company is currently updating and implementing revised accounting system processes in order to capture information required to be disclosed under ASU No. 2014-09. The Company is also in the process of updating its current accounting policies to align with revenue recognition practices under ASU No. 2014-09. In 2019, as part of its ongoing evaluation of contracts with customers, the Company is holding regular meetings with key stakeholders across the organization to determine any impact ASU No. 2014-09 may have on its current or new business processes. Additionally, the Company continues to evaluate its internal processes to address risks associated with incorporating ASU No. 2014-09. Upon adoption, the Company will also implement new internal controls associated with incorporating ASU No. 2014-09, which is not expected to result in a material change in its existing control environment. Disclosure Requirements for ASU No. 2014-09 The Company’s disclosures related to revenue recognition will be significantly expanded under ASU No. 2014-09, specifically around the quantitative and qualitative information associated with performance obligations, changes in contract assets and liabilities, and the disaggregation of revenue. The Company is currently in the process of evaluating the impact of these disclosure requirements. Other Accounting Standards In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The standard, which requires the use of a modified retrospective transition approach, includes a number of optional practical expedients that entities may elect to apply. In July 2018, the FASB issued a new, optional transition method that will give companies the option to use the effective date as the date of initial application on transition. Based on initial evaluation, the Company expects to include operating leases with durations greater than twelve months on its Condensed Consolidated Balance Sheets. The Company is currently in the process of accumulating and evaluating all the necessary information required to properly account for its lease portfolio under the new standard. The Company will provide additional information about the expected financial impact as it progresses through the evaluation and implementation of the standard. Although the standard is effective for public business entities for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years, the Company, as an emerging growth company, is permitted, and plans, to adopt the standard for the fiscal years beginning after December 15, 2019 and the interim periods within the fiscal years beginning after December 15, 2020. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . This new guidance addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice, including: debt prepayment or debt extinguishment costs, settlement of zero-coupon debt instruments or other debt instruments, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions, and separately identifiable cash flows and application of the predominance principle. ASU 2016-15 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. As an emerging growth company, the Company is permitted, and plans, to adopt the new standard for the fiscal years beginning after December 15, 2018 and the interim periods within fiscal years beginning after December 15, 2019. The Company will apply the guidance retrospectively and is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business , in an effort to clarify the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments in this standard provide a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the integrated set of assets and activities is not a business. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. Although the standard is generally effective for fiscal years beginning after December 15, 2017, the Company, as an emerging growth company, is permitted, and plans, to adopt the standard for the fiscal years beginning after December 15, 2018 and the interim periods within annual periods beginning after December 15, 2019. Entities are required to apply the guidance prospectively when adopted. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement , which eliminates, adds, and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. The ASU is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The ASU is required to be applied retrospectively, except the new Level 3 disclosure requirements are applied prospectively. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements. In August 2018, the FASB issued ASU No. 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . ASU No. 2018-15 provides additional guidance on the accounting for costs of implementation activities performed in a cloud computing arrangement that is a service contract. The amendments in ASU No. 2018-15 align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). Costs for implementation activities in the application development stage are capitalized depending on the nature of the costs, while costs incurred during the preliminary project and post implementation stages are expensed as the activities are performed. ASU 2018-15 is effective for public businesses for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. As an emerging growth company, the Company is permitted, and plans, to adopt the new standard for the annual reporting periods beginning after December 15, 2020 and the interim periods within annual periods beginning after December 15, 2021. The Company is currently evaluating the impact of the standard on its Condensed Consolidated Financial Statements.

Business Acquisitions (Tables)

Business Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2019
Business Combinations [Abstract]
Schedule of Business Acquisition	The following table summarizes the fair value of purchase consideration transferred on the Closing Date: Fair Value (in thousands) Proceeds from newly issued Senior Notes and 2018 ABL Credit Facility (1) $ 296,622 Cash provided from operations 58,760 Total upfront cash consideration $ 355,382 Issuance of the Company’s common shares $ 177,350 Contingent consideration (2) 23,029 Total purchase consideration $ 555,761 (1) Senior Notes and 2018 ABL Credit Facility are defined in Note 8 – Debt Obligations . (2) The estimated fair value of the Magnum Earnout was based on a Monte Carlo simulation model with estimated outcomes ranging from $0 to $25.0 million . The estimated fair value of the Magnum Earnout is based upon available information and certain assumptions, known at the time of the Closing Date, which management believed were reasonable. Any difference in the actual Magnum Earnout from the estimated fair value of the Magnum Earnout will be recorded in operating income (loss) in the Company’s Condensed Consolidated Statements of Income and Comprehensive Income (Loss) .
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the preliminary allocation of the purchase price of the Magnum Acquisition to the assets acquired and liabilities assumed based on the fair value as of the Closing Date, with the excess of the purchase price over the estimated fair value of the identifiable net assets acquired recorded as goodwill: Purchase Price Allocation (in thousands) Cash and cash equivalents $ 8,509 Accounts receivable, net 30,441 Income taxes receivable 272 Inventories, net 55,169 Prepaid expenses and other current assets 1,147 Property and equipment, net 3,729 Goodwill 225,839 Definite-lived intangible assets, net 148,000 Indefinite-lived intangible assets 96,000 Other long-term assets 1,055 Accounts payable (3,626 ) Accrued expenses (10,759 ) Other long-term liabilities (15 ) Total net assets acquired $ 555,761

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Schedule of Inventories, Net	Inventories, net as of June 30, 2019 and December 31, 2018 were comprised of the following: June 30, December 31, (in thousands) Raw materials $ 51,219 $ 38,890 Work in progress 457 130 Finished goods 39,495 54,301 Inventories 91,171 93,321 Reserve for obsolescence (3,236 ) (1,886 ) Inventories, net $ 87,935 $ 91,435

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Changes in Net Carrying Amount of Components of Goodwill	The changes in the net carrying amount of the components of goodwill for the six months ended June 30, 2019 were as follows: Goodwill Gross Value Accumulated Net (in thousands) Balance as of December 31, 2018 $ 400,067 $ (92,263 ) $ 307,804 Impairment — — — Balance as of June 30, 2019 $ 400,067 $ (92,263 ) $ 307,804
Schedule of Changes in Net Carrying Amount of Components of Intangible Assets	The changes in the net carrying value of the components of intangible assets for the six months ended June 30, 2019 were as follows: Intangible Assets Customer Relationships Non- Compete Agreements Technology Definite-Lived Intangible Asset Total Trade Names Other Intangible Assets Indefinite-Lived Intangible Asset Total (in thousands, except weighted average amortization period information) Balance as of December 31, 2018 $ 47,964 $ 2,850 $ 122,637 $ 173,451 $ 107,700 $ 1,011 $ 108,711 Additions — — — — — — — Amortization expense (4,174 ) (783 ) (4,359 ) (9,316 ) — — — Balance as of June 30, 2019 $ 43,790 $ 2,067 $ 118,278 $ 164,135 $ 107,700 $ 1,011 $ 108,711 Weighted average amortization period 6.9 3.7 14.1 Indefinite Indefinite

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2019
Other Income and Expenses [Abstract]
Schedule of Accrued Expenses	Accrued expenses as of June 30, 2019 and December 31, 2018 consisted of the following: June 30, 2019 December 31, 2018 (in thousands) Accrued compensation and benefits $ 12,133 $ 11,930 Accrued bonus 1,039 13,250 Sales tax payable 1,216 1,185 Contingent liabilities 4,985 20,922 Interest payable 6,067 7,031 Other accrued expenses 5,380 7,116 Accrued expenses $ 30,820 $ 61,434

Debt Obligations (Tables)

Debt Obligations (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Summary of Debt Obligations	The Company’s debt obligations as of June 30, 2019 and December 31, 2018 were as follows: June 30, December 31, (in thousands) Senior Notes $ 400,000 $ 400,000 2018 ABL Credit Facility — 35,000 Total debt before deferred financing costs $ 400,000 $ 435,000 Deferred financing costs (8,982 ) (10,022 ) Total debt $ 391,018 $ 424,978 Less: Current portion of long-term debt — — Long-term debt $ 391,018 $ 424,978
Summary of Fair Value of Debt Obligations	The estimated fair value of the Company’s debt obligations as of June 30, 2019 and December 31, 2018 was as follows: June 30, 2019 December 31, 2018 (in thousands) Senior Notes $ 389,000 $ 376,000 2018 ABL Credit Facility $ — $ 35,000

Commitment and Contingencies (T

Commitment and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Schedule of Contingent Liabilities	The following is a reconciliation of the beginning and ending amounts of the contingent liabilities (Level 3) for the six months ended June 30, 2019 : Magnum Frac Tech Total (in thousands) Balance at December 31, 2018 $ 24,521 $ 1,008 $ 25,529 Payments — (138 ) (138 ) Revaluation adjustments (15,451 ) 521 (14,930 ) Balance at June 30, 2019 $ 9,070 $ 1,391 $ 10,461

Earnings (Loss) Per Share (Tabl

Earnings (Loss) Per Share (Table)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Summary of Basic and Diluted Income (Loss) per Common Share	Basic and diluted earnings per common share was computed as follows: Three Months Ended June 30, 2019 Three Months Ended June 30, 2018 Net Income Average Shares Outstanding Earnings Per Share Net Income Average Shares Outstanding Earnings Per Share (in thousands, except share and per share amounts) Basic $ 6,087 29,349,396 $ 0.21 $ 9,019 23,895,858 $ 0.38 Assumed exercise of stock options — 12 — — 85,681 — Unvested restricted stock and stock units — 123,629 — — 369,461 — Diluted $ 6,087 29,473,037 $ 0.21 $ 9,019 24,351,000 $ 0.37 Six Months Ended June 30, 2019 Six Months Ended June 30, 2018 Net Income Average Shares Outstanding Earnings Per Share Net Income Average Shares Outstanding Earnings Per Share (in thousands, except share and per share amounts) Basic $ 23,397 29,250,744 $ 0.80 $ 10,694 22,904,743 $ 0.47 Assumed exercise of stock options — 71 — — 58,914 — Unvested restricted stock and stock units — 172,348 — — 234,420 — Diluted $ 23,397 29,423,163 $ 0.80 $ 10,694 23,198,077 $ 0.46

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Summary of Financial Data by Segment	Summary financial data by segment is as follows. The amounts labeled “Corporate” relate to assets not allocated to the reportable segments. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (in thousands) (in thousands) Revenues Completion Solutions $ 215,871 $ 185,111 $ 425,003 $ 339,755 Production Solutions 21,646 20,381 42,219 39,544 $ 237,517 $ 205,492 $ 467,222 $ 379,299 Cost of revenues (exclusive of depreciation and amortization shown separately below) Completion Solutions $ 166,022 $ 146,002 $ 327,461 $ 267,428 Production Solutions 18,533 17,589 35,684 34,390 $ 184,555 $ 163,591 $ 363,145 $ 301,818 Adjusted gross profit Completion Solutions $ 49,849 $ 39,109 $ 97,542 $ 72,327 Production Solutions 3,113 2,792 6,535 5,154 $ 52,962 $ 41,901 $ 104,077 $ 77,481 General and administrative expenses 21,818 15,463 41,757 29,828 (Gain) loss on revaluation of contingent liabilities (975 ) 607 (14,930 ) 1,670 Depreciation 13,846 13,212 27,376 26,321 Amortization of intangibles 4,628 1,896 9,316 3,796 Loss on equity method investment — 118 — 193 Gain on sale of property and equipment (310 ) (881 ) (333 ) (511 ) Income from operations $ 13,955 $ 11,486 $ 40,891 $ 16,184 Interest expense 10,603 1,815 19,769 4,745 Income before income taxes 3,352 9,671 21,122 11,439 Provision (benefit) for income taxes (2,735 ) 652 (2,275 ) 745 Net income $ 6,087 $ 9,019 $ 23,397 $ 10,694 Capital expenditures by segment for the three and six months ended June 30, 2019 and 2018 , were as follows: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (in thousands) (in thousands) Completion Solutions $ 12,719 $ 10,630 $ 35,197 $ 15,913 Production Solutions 1,072 955 1,986 1,647 Corporate 38 12 93 505 $ 13,829 $ 11,597 $ 37,276 $ 18,065 Total assets by segment as of June 30, 2019 and December 31, 2018 were as follows: June 30, 2019 December 31, 2018 (in thousands) Completion Solutions $ 1,032,759 $ 1,045,643 Production Solutions 36,616 35,086 Corporate 28,326 60,443 $ 1,097,701 $ 1,141,172

Business Acquisitions - Additio

Business Acquisitions - Additional Information (Details) - Magnum shares in Millions	Oct. 25, 2018USD ($)shares
Business Acquisition [Line Items]
Upfront cash consideration	$ 334,500,000
Equity interest issued (in shares) | shares	5
Percentage of net income on potential future cash payments	60.00%
Value of potential future cash payments	$ 25,000,000
Minimum
Business Acquisition [Line Items]
Estimated fair value of earnout	0
Maximum
Business Acquisition [Line Items]
Estimated fair value of earnout	$ 25,000,000

Business Acquisitions - Total P

Business Acquisitions - Total Purchase Consideration (Details) - Magnum $ in Thousands	Oct. 25, 2018USD ($)
Business Acquisition [Line Items]
Proceeds from newly issued Senior Notes and 2018 ABL Credit Facility	$ 296,622
Cash provided from operations	58,760
Total upfront cash consideration	355,382
Issuance of the Company’s common shares	177,350
Contingent consideration	23,029
Total purchase consideration	$ 555,761

Business Acquisitions - Net Ass

Business Acquisitions - Net Assets Acquired (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018	Oct. 25, 2018
Business Acquisition [Line Items]
Goodwill	$ 307,804	$ 307,804
Magnum
Business Acquisition [Line Items]
Cash and cash equivalents			$ 8,509
Accounts receivable, net			30,441
Income taxes receivable			272
Inventories, net			55,169
Prepaid expenses and other current assets			1,147
Property and equipment, net			3,729
Goodwill			225,839
Definite-lived intangible assets, net			148,000
Indefinite-lived intangible assets			96,000
Other long-term assets			1,055
Accounts payable			(3,626)
Accrued expenses			(10,759)
Other long-term liabilities			(15)
Total net assets acquired			$ 555,761

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Raw materials	$ 51,219	$ 38,890
Work in progress	457	130
Finished goods	39,495	54,301
Inventories	91,171	93,321
Reserve for obsolescence	(3,236)	(1,886)
Inventories, net	$ 87,935	$ 91,435

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Components of Goodwill (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Gross Value, beginning balance	$ 400,067
Accumulated Impairment Loss, Impairment, beginning balance	(92,263)
Net, beginning balance	307,804
Goodwill, Net, Impairment	0
Gross Value, ending balance	400,067
Accumulated Impairment Loss, Impairment, ending balance	(92,263)
Net, ending balance	$ 307,804

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Components of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Beginning balance			$ 173,451
Indefinite-lived intangible assets, Beginning balance			108,711
Finite-lived intangible assets, Additions			0
Indefinite-lived intangible assets, Additions			0
Amortization of intangibles	$ (4,628)	$ (1,896)	(9,316)	$ (3,796)
Finite-lived intangible assets, Ending balance	164,135		164,135
Indefinite-lived intangible assets, Ending balance	108,711		108,711
Trade Names
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Beginning balance			107,700
Indefinite-lived intangible assets, Additions			0
Indefinite-lived intangible assets, Ending balance	107,700		107,700
Other Intangible Assets
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, Beginning balance			1,011
Indefinite-lived intangible assets, Additions			0
Indefinite-lived intangible assets, Ending balance	1,011		1,011
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Beginning balance			47,964
Finite-lived intangible assets, Additions			0
Amortization of intangibles			(4,174)
Finite-lived intangible assets, Ending balance	43,790		$ 43,790
Finite-lived intangible assets, weighted average amortization period			6 years 10 months 25 days
Non- Compete Agreements
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Beginning balance			$ 2,850
Finite-lived intangible assets, Additions			0
Amortization of intangibles			(783)
Finite-lived intangible assets, Ending balance	2,067		$ 2,067
Finite-lived intangible assets, weighted average amortization period			3 years 8 months 12 days
Technology
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Beginning balance			$ 122,637
Finite-lived intangible assets, Additions			0
Amortization of intangibles			(4,359)
Finite-lived intangible assets, Ending balance	$ 118,278		$ 118,278
Finite-lived intangible assets, weighted average amortization period			14 years 1 month 7 days

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangibles	$ 4,628	$ 1,896	$ 9,316	$ 3,796

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Other Income and Expenses [Abstract]
Accrued compensation and benefits	$ 12,133	$ 11,930
Accrued bonus	1,039	13,250
Sales tax payable	1,216	1,185
Contingent liabilities	4,985	20,922
Interest payable	6,067	7,031
Other accrued expenses	5,380	7,116
Accrued expenses	$ 30,820	$ 61,434

Debt Obligations - Summary of D

Debt Obligations - Summary of Debt Obligations (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Line of Credit Facility [Line Items]
Total debt before deferred financing costs	$ 400,000	$ 435,000
Deferred financing costs	(8,982)	(10,022)
Total debt	391,018	424,978
Less: Current portion of long-term debt	0	0
Long-term debt	391,018	424,978
Senior Notes
Line of Credit Facility [Line Items]
Total debt before deferred financing costs	400,000	400,000
2018 ABL Credit Facility | Line of Credit
Line of Credit Facility [Line Items]
Total debt before deferred financing costs	$ 0	$ 35,000

Debt Obligations - Additional I

Debt Obligations - Additional Information (Details) - USD ($)	Oct. 25, 2018	Sep. 14, 2017	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018	Jan. 31, 2018
Debt Instrument [Line Items]
Deferred financing costs			$ 8,982,000		$ 10,022,000
Proceeds from secured lines of credit	$ 35,000,000		10,000,000	$ 0
Proceeds from issuance of common stock, net			0	171,450,000
Debt extinguishment cost			$ 700,000
Senior Notes
Debt Instrument [Line Items]
Debt instrument, face amount	$ 400,000,000
Debt instrument, interest rate	8.75%
Default trigger percentage					25.00%
2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 200,000,000
Commitment fee percentage			0.50%
Interest rate			4.70%
Current borrowing capacity			$ 161,100,000
2018 IPO Term Loan Credit Facility | Line of Credit
Debt Instrument [Line Items]
Proceeds from issuance of common stock, net		$ 150,000,000
Legacy Term Loans And Revolving Credit Facilities
Debt Instrument [Line Items]
Repayments of debt				242,200,000
Canadian Tranche | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity	25,000,000
Letter of Credit | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 50,000,000
2018 IPO Term Loan Credit Facility
Debt Instrument [Line Items]
Debt instrument, face amount				$ 125,000,000
Maximum borrowing capacity		$ 50,000,000
Outstanding letter of credit			$ 500,000
Mandatory prepayment						$ 9,700,000
Percentage of net proceeds from IPO						50.00%
Commitment fee percentage			0.50%
Minimum | LIBOR | Canadian Tranche | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Applicable margin for base rate loans	0.75%
Minimum | LIBOR | Letter of Credit | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Applicable margin for base rate loans	1.75%
Minimum | LIBOR | 2018 IPO Term Loan Credit Facility
Debt Instrument [Line Items]
Applicable margin for base rate loans			2.50%
Minimum | Base Rate | 2018 IPO Term Loan Credit Facility
Debt Instrument [Line Items]
Applicable margin for base rate loans			1.50%
Maximum | LIBOR | Canadian Tranche | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Applicable margin for base rate loans	1.25%
Maximum | LIBOR | Letter of Credit | 2018 ABL Credit Facility | Line of Credit
Debt Instrument [Line Items]
Applicable margin for base rate loans	2.25%
Maximum | LIBOR | 2018 IPO Term Loan Credit Facility
Debt Instrument [Line Items]
Applicable margin for base rate loans			3.75%
Maximum | Base Rate | 2018 IPO Term Loan Credit Facility
Debt Instrument [Line Items]
Applicable margin for base rate loans			2.75%

Debt Obligations - Fair Value o

Debt Obligations - Fair Value of Debt Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Senior Notes
Debt Instrument [Line Items]
Debt instrument, fair value disclosure	$ 389,000	$ 376,000
Line of Credit | 2018 ABL Credit Facility
Debt Instrument [Line Items]
Debt instrument, fair value disclosure	$ 0	$ 35,000

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2016	Dec. 31, 2018
Lynn Frazier
Related Party Transaction [Line Items]
Payables due to entities		$ 0		$ 0			$ 0
Beneficial owners of entity stock, percentage owned				5.00%
Rent expense		300,000		$ 700,000
Curtis F. Harrell
Related Party Transaction [Line Items]
Cost of services		100,000	$ 300,000	200,000	$ 500,000
Receivable due from entity		100,000		100,000			100,000
EOG Resources, Inc.
Related Party Transaction [Line Items]
Receivable due from entity							7,000,000
Revenue from related parties			11,900,000		$ 19,700,000
Affiliated Entity
Related Party Transaction [Line Items]
Receivable due from entity		3,600,000		3,600,000
Revenue from related parties			4,900,000	10,400,000
Prepaid Expenses and Other
Related Party Transaction [Line Items]
Unpaid interest of notes payable							10,000
Mr. Crombie
Related Party Transaction [Line Items]
Outstanding notes							$ 7,600,000
Lease and building maintenance expense		200,000		400,000
Payments to acquire equipment		500,000	$ 0	600,000
Promissory Notes | Former owners of Crest and Mr.Crombie
Related Party Transaction [Line Items]
Notes issued	$ 9,400,000
Promissory Notes | Mr. Crombie
Related Party Transaction [Line Items]
Notes paid						$ 1,800,000
Equipment | Mr. Crombie
Related Party Transaction [Line Items]
Payables due to entities		$ 300,000		$ 300,000

Commitment and Contingencies -

Commitment and Contingencies - Contingent Consideration (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Loss Contingencies [Line Items]
Beginning balance	$ 25,529
Payments	(138)	$ 0
Revaluation adjustments	(14,930)
Ending balance	10,461
Magnum
Loss Contingencies [Line Items]
Beginning balance	24,521
Payments	0
Revaluation adjustments	(15,451)
Ending balance	9,070
Frac Tech
Loss Contingencies [Line Items]
Beginning balance	1,008
Payments	(138)
Revaluation adjustments	521
Ending balance	$ 1,391

Commitment and Contingencies _2

Commitment and Contingencies - Additional Information (Details) - USD ($)	Jun. 30, 2019	Dec. 31, 2018	Oct. 25, 2018
Loss Contingencies [Line Items]
Contingent liabilities	$ 10,461,000	$ 25,529,000
Accrued Expenses
Loss Contingencies [Line Items]
Contingent liabilities	5,000,000	20,900,000
Other Noncurrent Liabilities
Loss Contingencies [Line Items]
Contingent liabilities	5,500,000	4,600,000
Scorpion | Accrued Expenses
Loss Contingencies [Line Items]
Estimated liability for self-insured medical claims	1,800,000	1,600,000
Magnum
Loss Contingencies [Line Items]
Percentage of net income on potential future cash payments			60.00%
Value of potential future cash payments			$ 25,000,000
Contingent liabilities	$ 9,070,000	$ 24,521,000

Taxes (Details)

Taxes (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Effective tax rate	(81.60%)	6.70%	(10.80%)	6.50%

Earnings (Loss) Per Share (Deta

Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Earnings Per Share [Abstract]
Net Income	$ 6,087	$ 9,019	$ 23,397	$ 10,694
Average Shares Outstanding, Basic (in shares)	29,349,396	23,895,858	29,250,744	22,904,743
Earnings Per Share, Basic (in usd per share)	$ 0.21	$ 0.38	$ 0.80	$ 0.47
Assumed exercise of stock options (in shares)	12	85,681	71	58,914
Unvested restricted stock (in shares)	123,629	369,461	172,348	234,420
Average Shares Outstanding, Diluted (in shares)	29,473,037	24,351,000	29,423,163	23,198,077
Earnings Per Share, Diluted (in usd per share)	$ 0.21	$ 0.37	$ 0.80	$ 0.46

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)segment	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)
Segment Reporting [Abstract]
Number of reportable segments (in segments) | segment			2
Segment Reporting Information [Line Items]
Revenues	$ 237,517	$ 205,492	$ 467,222	$ 379,299
Cost of revenue	184,555	163,591	363,145	301,818
Adjusted gross profit	52,962	41,901	104,077	77,481
General and administrative expenses	21,818	15,463	41,757	29,828
(Gain) loss on revaluation of contingent liabilities	(975)	607	(14,930)	1,670
Depreciation	13,846	13,212	27,376	26,321
Amortization of intangibles	4,628	1,896	9,316	3,796
Loss on equity method investment	0	118	0	193
Gain on sale of property and equipment	(310)	(881)	(333)	(511)
Income from operations	13,955	11,486	40,891	16,184
Interest expense	10,603	1,815	19,769	4,745
Income before income taxes	3,352	9,671	21,122	11,439
Provision (benefit) for income taxes	(2,735)	652	(2,275)	745
Net income	6,087	9,019	23,397	10,694
Capital expenditures			37,363	18,065
Payments to Acquire Other Productive Assets	13,829	11,597	37,276	18,065
Total Assets	1,097,701		1,097,701		$ 1,141,172
Corporate
Segment Reporting Information [Line Items]
Capital expenditures	38	12	93	505
Total Assets	28,326		28,326		60,443
Completion Solutions
Segment Reporting Information [Line Items]
Revenues	215,871	185,111	425,003	339,755
Cost of revenue	166,022	146,002	327,461	267,428
Adjusted gross profit	49,849	39,109	97,542	72,327
Completion Solutions | Operating Segments
Segment Reporting Information [Line Items]
Capital expenditures	12,719	10,630	35,197	15,913
Total Assets	1,032,759		1,032,759		1,045,643
Production Solutions
Segment Reporting Information [Line Items]
Revenues	21,646	20,381	42,219	39,544
Cost of revenue	18,533	17,589	35,684	34,390
Adjusted gross profit	3,113	2,792	6,535	5,154
Production Solutions | Operating Segments
Segment Reporting Information [Line Items]
Capital expenditures	1,072	$ 955	1,986	$ 1,647
Total Assets	$ 36,616		$ 36,616		$ 35,086