Document_and_Entity_Informatio
Document and Entity Information Document | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | 2-May-14 |
Document Information [Abstract] | ' | ' |
Entity Registrant Name | 'FRANK'S INTERNATIONAL N.V. | ' |
Entity Central Index Key | '0001575828 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 153,524 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $427,898 | $404,947 |
Accounts receivables, net | 350,088 | 364,817 |
Inventories | 203,129 | 185,589 |
Other current assets | 15,670 | 15,843 |
Total current assets | 996,785 | 971,196 |
Property, plant and equipment, net | 531,497 | 511,199 |
Goodwill and intangible assets, net | 14,667 | 14,814 |
Other assets | 65,678 | 63,986 |
Total assets | 1,608,627 | 1,561,195 |
Current liabilities: | ' | ' |
Current portion of long-term debt | 358 | 376 |
Accounts payable | 22,402 | 22,254 |
Deferred revenue | 62,733 | 62,610 |
Accrued and other current liabilities | 87,946 | 90,484 |
Total current liabilities | 173,439 | 175,724 |
Deferred tax liabilities | 13,107 | 13,114 |
Other non-current liabilities | 39,416 | 38,325 |
Total liabilities | 225,962 | 227,163 |
Commitments and contingencies (Note 15) | ' | ' |
Series A preferred stock, €0.01 par value, 60,000,000 shares authorized; 52,976,000 shares issued and outstanding | 705 | 705 |
Stockholders' equity: | ' | ' |
Common stock, €0.01 par value, 180,000,000 shares authorized; 153,524,000 shares issued and outstanding | 2,019 | 2,019 |
Additional paid-in capital | 647,053 | 642,164 |
Retained earnings | 485,981 | 455,632 |
Accumulated other comprehensive loss | -2,702 | -2,383 |
Total stockholders' equity | 1,132,351 | 1,097,432 |
Noncontrolling interest | 249,609 | 235,895 |
Total equity | 1,381,960 | 1,333,327 |
Total liabilities and equity | $1,608,627 | $1,561,195 |
Consolidated_Balance_Sheet_Par
Consolidated Balance Sheet (Parenthetical) (EUR €) | Mar. 31, 2014 | Dec. 31, 2013 |
Preferred Stock, Par or Stated Value Per Share, in EUR per share | € 0.01 | ' |
Series A Preferred Stock | ' | ' |
Preferred Stock, Par or Stated Value Per Share, in EUR per share | € 0.01 | € 0.01 |
Preferred Stock, Shares Authorized | 60,000,000 | 60,000,000 |
Preferred Stock, Shares Issued | 52,976,000 | 52,976,000 |
Preferred Stock, Shares Outstanding | 52,976,000 | 52,976,000 |
Common Stock | ' | ' |
Common Stock, Par or Stated Value Per Share, in EUR per share | € 0.01 | € 0.01 |
Common Stock, Shares Authorized | 180,000,000 | 180,000,000 |
Common Stock, Shares, Issued | 153,524,000 | 119,024,000 |
Common Stock, Shares, Outstanding | 153,524,000 | 119,024,000 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Revenues: | ' | ' |
Equipment rentals and services | $220,813 | $205,864 |
Products | 43,679 | 26,709 |
Total revenue | 264,492 | 232,573 |
Cost of revenues, exclusive of depreciation and amortization | ' | ' |
Equipment rentals and services | 83,991 | 67,577 |
Products | 26,029 | 24,093 |
General and administrative expenses | 59,451 | 43,925 |
Depreciation and amortization | 21,193 | 17,693 |
(Gain) loss on sale of assets | -241 | 23 |
Operating income | 74,069 | 79,262 |
Other income (expense): | ' | ' |
Other income | 2,371 | 2,127 |
Interest expense, net | -44 | -202 |
Foreign currency loss | -65 | -3,587 |
Total other income (expense) | 2,262 | -1,662 |
Income from continuing operations before income tax expense | 76,331 | 77,600 |
Income tax expense | 15,969 | 6,303 |
Income from continuing operations | 60,362 | 71,297 |
Income from discontinued operations, net of tax | 0 | 1,748 |
Net income | 60,362 | 73,045 |
Net income attributable to noncontrolling interest | 18,499 | 18,845 |
Net income attributable to Frank's International N.V. | 41,863 | 54,200 |
Basic earnings per common share: | ' | ' |
Continuing Operations (in dollars per share) | $0.27 | $0.45 |
Discontinued operations (in dollars per share) | $0 | $0.01 |
Total (in dollars per share) | $0.27 | $0.46 |
Diluted earnings per common share: | ' | ' |
Continuing operations (in dollars per share) | $0.27 | $0.41 |
Discontinued operations (in dollars per share) | $0 | $0.01 |
Total (in dollars per share) | $0.27 | $0.42 |
Weighted average common shares outstanding: | ' | ' |
Basic weighted average common shares | 153,524 | 119,024 |
Diluted weighted average common shares | 207,202 | 172,000 |
Noncontrolling Interest | ' | ' |
Other income (expense): | ' | ' |
Net income attributable to noncontrolling interest | 18,499 | 18,845 |
Retained Earnings | ' | ' |
Other income (expense): | ' | ' |
Net income attributable to Frank's International N.V. | $41,863 | $54,200 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net income | $60,362 | $73,045 |
Other comprehensive income (loss): | ' | ' |
Foreign currency translation adjustments, net of tax | -57 | -4,276 |
Unrealized gain on marketable securities, net of tax | -372 | 193 |
Total other comprehensive loss | -429 | -4,083 |
Comprehensive income | 59,933 | 68,962 |
Less: Comprehensive income attributable to noncontrolling interest | 18,389 | 17,798 |
Comprehensive income attributable to Frank's International N.V. | $41,544 | $51,164 |
Consolidated_Statements_of_Sha
Consolidated Statements of Shareholders' Equity (USD $) | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interest |
In Thousands, unless otherwise specified | ||||||
Balance at beginning of period at Dec. 31, 2012 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Net income attributable to parent | $54,200 | ' | ' | $54,200 | ' | ' |
Net income attributable to noncontrolling interest | 18,845 | ' | ' | ' | ' | 18,845 |
Net income | 73,045 | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -4,276 | ' | ' | ' | -3,179 | -1,097 |
Unrealized loss on marketable securities | 193 | ' | ' | ' | 143 | 50 |
Distributions to stockholders | -22,299 | ' | ' | -16,579 | ' | -5,720 |
Distribution to noncontrolling interest | 0 | ' | ' | ' | ' | ' |
Balance at end of period (Shares) at Mar. 31, 2013 | ' | 119,024 | ' | ' | ' | ' |
Balance at beginning of period at Dec. 31, 2013 | 1,333,327 | 2,019 | 642,164 | 455,632 | -2,383 | 235,895 |
Balance at beginning of period (Shares) at Dec. 31, 2013 | ' | 153,524 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Net income attributable to parent | 41,863 | ' | ' | 41,863 | ' | ' |
Net income attributable to noncontrolling interest | 18,499 | ' | ' | ' | ' | 18,499 |
Net income | 60,362 | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -57 | ' | ' | ' | -42 | -15 |
Unrealized loss on marketable securities | -372 | ' | ' | ' | -277 | -95 |
Stock-based compensation expense | 4,889 | ' | 4,889 | ' | ' | ' |
Distribution to noncontrolling interest | -4,675 | ' | ' | ' | ' | -4,675 |
Common stock dividends ($0.075 per share) | ' | ' | ' | -11,514 | ' | ' |
Balance at end of period at Mar. 31, 2014 | $1,132,351 | ' | ' | ' | ' | ' |
Balance at end of period (Shares) at Mar. 31, 2014 | ' | 153,524 | ' | ' | ' | ' |
Consolidated_Statements_of_Sha1
Consolidated Statements of Shareholders' Equity (Parenthetical) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Statement of Stockholders' Equity [Abstract] | ' |
Common stock dividends, per share | $0.08 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Cash flows from operating activities [Abstract] | ' | ' |
Net income | $60,362 | $73,045 |
Adjustments to reconcile net income to cash provided by operating activities | ' | ' |
Depreciation and amortization | 21,193 | 17,783 |
Stock-based compensation expense | 4,889 | 0 |
Amortization of deferred financing costs | 96 | 0 |
Venezuelan currency devaluation charge | 0 | 1,755 |
Deferred tax provision | 1,526 | -167 |
Provision for bad debts | -245 | 1,343 |
(Gain) loss on sale of assets | -241 | 23 |
Changes in fair value of marketable securities | -316 | -1,314 |
Increase in value of life insurance policies | 0 | -847 |
Changes in operating assets and liabilities | ' | ' |
Accounts receivable | 13,718 | -19,715 |
Inventories | -24,685 | -26,421 |
Other current assets | 1,727 | 1,112 |
Other assets | -328 | 119 |
Accounts payable | 3,507 | -248 |
Deferred revenue | 123 | 14,693 |
Accrued expenses and other current liabilities | -4,607 | -12,922 |
Other noncurrent liabilities | 1,091 | 2,425 |
Net cash provided by operating activities | 77,810 | 50,664 |
Cash flows from investing activities | ' | ' |
Purchases of property, plant and equipment | -36,902 | -40,511 |
Proceeds from sale of assets and equipment | 390 | 49 |
Purchase of marketable securities | -1,539 | -330 |
Premiums on life insurance policies | 0 | -1,222 |
Net cash used in investing activities | -38,051 | -42,014 |
Cash flows from financing activities | ' | ' |
Repayments of borrowings | -18 | -21,936 |
Dividends paid on common stock | -11,514 | 0 |
Distribution to noncontrolling interest | -4,675 | 0 |
Distributions to stockholders | 0 | -22,299 |
Net cash used in financing activities | -16,207 | -44,235 |
Effect of exchange rate changes on cash due to Venezuelan devaluation | 0 | 575 |
Effect of exchange rate changes on cash | -601 | 5,457 |
Net increase (decrease) in cash | 22,951 | -29,553 |
Cash and cash equivalents at beginning of period | 404,947 | 152,945 |
Cash and cash equivalents at end of period | $427,898 | $123,392 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
Nature of Business | |
Frank’s International is a global provider of highly engineered tubular services to the oil and gas industry. Frank’s International provides services to leading exploration and production companies in both offshore and onshore environments with a focus on complex and technically demanding wells. | |
Basis of Presentation | |
The consolidated financial statements of Frank's International N.V. ("FINV"), a limited liability company organized under the laws of The Netherlands, for the three months ended March 31, 2014 and 2013 include the activities of Frank's International C.V. ("FICV") and its wholly owned subsidiaries (collectively, the "Company," "we," "us" or "our"). All intercompany accounts and transactions have been eliminated for purposes of preparing these consolidated financial statements. | |
Certain information and footnote disclosures required by generally accepted accounting principles in the United States of America ("GAAP") for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended December 31, 2013, which are included in our Annual Report on Form 10-K filed with the Securities Exchange Commission ("SEC") on March 4, 2014. In the opinion of management, these financial statements, which have been prepared pursuant to the rules of the SEC and GAAP for interim financial reporting, reflect all adjustments, which consisted only of normal recurring adjustments that were necessary for a fair statement of the interim periods presented. The results of operations for interim periods are not necessarily indicative of those for a full year. | |
The consolidated financial statements have been prepared on a historical cost basis using the United States dollar as the reporting currency. | |
Reclassifications | |
In reporting periods prior to the fourth quarter of 2013, certain costs of equipment rentals and services and product sales were misclassified between the two line items. There was no impact to previously reported operating income, income from continuing operations, net income, earnings per share or cash flow. Corrections have been made to the relevant period presented in the financial statements included herein. These corrections resulted in reductions of cost of equipment rentals and services with corresponding increases to cost of products of $7.7 million for the three months ended March 31, 2013. | |
We have evaluated and concluded that the identified amount was not material to our previously filed quarterly financial statements as the effect in the prior period was not material. | |
Recent Accounting Pronouncements | |
Changes to GAAP are established by the Financial Accounting Standards Board ("FASB") in the form of accounting standards updates ("ASUs") to the FASB’s Accounting Standards Codification. | |
We consider the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations. | |
In April 2014, the FASB issued amendments to guidance for reporting discontinued operations and disposals of components of an entity. The amended guidance requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. The amendments also expand the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The amendments are effective prospectively for fiscal years, and interim reporting periods within those years, beginning after December 15, 2014 (early adoption is permitted only for disposals that have not been previously reported). The implementation of the amended guidance is not expected to have a material impact on our consolidated financial statements. | |
In July 2013, the FASB issued amendments to guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The amendments require entities to present an unrecognized tax benefit netted against certain deferred tax assets when specific requirements are met. However, the amendments only affect gross versus net presentation and do not impact the calculation of the unrecognized tax benefit. We adopted this guidance on January 1, 2014 and the adoption did not have a material impact on our consolidated financial statements. |
Noncontrolling_Interest
Noncontrolling Interest | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Noncontrolling Interest [Abstract] | ' | |||||||
Noncontrolling Interest | ' | |||||||
Noncontrolling Interest | ||||||||
We hold an approximate 74.3% economic interest in FICV and are responsible for all operational, management and administrative decisions relating to FICV’s business. As a result, the financial results of FICV are consolidated with ours and we record a noncontrolling interest on our consolidated balance sheet with respect to the remaining approximately 25.7% economic interest in FICV held by Mosing Holdings, Inc. ("Mosing Holdings"). Net income attributable to noncontrolling interest on the statements of income represents the portion of earnings or loss attributable to the economic interest in FICV held by Mosing Holdings. The allocable domestic income from FICV to FINV is subject to U.S. taxation. | ||||||||
A reconciliation of net income attributable to noncontrolling interest is detailed as follows (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Net income | $ | 60,362 | $ | 73,045 | ||||
Add: Provision for U.S. income taxes of FINV (1) | 11,424 | — | ||||||
Less: Loss of FINV (2) | 335 | 424 | ||||||
Net income subject to noncontrolling interest | 72,121 | 73,469 | ||||||
Noncontrolling interest percentage | 25.70% | 25.70% | ||||||
Net income attributable to noncontrolling interest | $ | 18,499 | $ | 18,845 | ||||
-1 | Represents income tax expense attributable to U.S. operations of our 74.3% partnership interests in FICV. | |||||||
-2 | Represents results of operations for entities outside of FICV. |
Discontinued_Operations
Discontinued Operations | 3 Months Ended |
Mar. 31, 2014 | |
Discontinued Operations and Disposal Groups [Abstract] | ' |
Discontinued Operations | ' |
Discontinued Operations | |
On June 14, 2013, we sold a component of our Tubular Sales segment, which manufactured centralizers for sales to third parties. As a result, for the three months ended March 31, 2013, the operations from that component have been reported as discontinued operations on the consolidated statement of income. | |
Revenue and net income from the discontinued component were $4.2 million and $1.7 million, respectively, for the three months ended March 31, 2013. Net assets of $10.4 million as of June 14, 2013 were included in the disposition. | |
Cash flows from discontinued operations are included with cash flows from continuing operations in the consolidated statements of cash flows for the three months ended March 31, 2013. |
Accounts_Receivable_net
Accounts Receivable, net | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Receivables [Abstract] | ' | |||||||
Accounts Receivable, net | ' | |||||||
Accounts Receivable, net | ||||||||
Accounts receivable at March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Trade accounts receivable, net of allowance | ||||||||
of $13,331 and $13,614, respectively | $ | 260,433 | $ | 232,409 | ||||
Unbilled receivables | 72,675 | 105,824 | ||||||
Taxes receivable | 9,922 | 20,075 | ||||||
Affiliated (1) | 3,983 | 3,921 | ||||||
Other receivables | 3,075 | 2,588 | ||||||
Total accounts receivable | $ | 350,088 | $ | 364,817 | ||||
-1 | Amounts represent expenditures on behalf of non-consolidated affiliates and receivables for aircraft charter income. |
Inventories
Inventories | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories | ' | |||||||
Inventories | ||||||||
Inventories at March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Pipe and connectors | $ | 185,253 | $ | 168,639 | ||||
Finished goods | 6,655 | 4,114 | ||||||
Work in progress | 2,477 | 2,284 | ||||||
Raw materials, components and supplies | 8,744 | 10,552 | ||||||
Total inventories | $ | 203,129 | $ | 185,589 | ||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||
Property, Plant and Equipment | ' | ||||||||||
Property, Plant and Equipment | |||||||||||
The following is a summary of property, plant and equipment at March 31, 2014 and December 31, 2013 (in thousands): | |||||||||||
Estimated | March 31, | December 31, | |||||||||
Useful Lives | 2014 | 2013 | |||||||||
in Years | |||||||||||
Land and land improvements (1) | 15-Aug | $ | 22,989 | $ | 22,460 | ||||||
Buildings and improvements | 39 | 63,610 | 63,412 | ||||||||
Rental machinery and equipment | 7 | 686,961 | 669,729 | ||||||||
Machinery and equipment - other | 7 | 66,723 | 55,306 | ||||||||
Furniture, fixtures and computers | 5 | 18,152 | 18,265 | ||||||||
Automobiles and other vehicles | 5 | 35,370 | 35,649 | ||||||||
Aircraft | 7 | 14,868 | 14,868 | ||||||||
Leasehold improvements | 7 | 5,805 | 5,729 | ||||||||
Construction in progress - machinery | |||||||||||
and equipment and buildings | — | 96,842 | 88,801 | ||||||||
1,011,320 | 974,219 | ||||||||||
Less: Accumulated depreciation | (479,823 | ) | (463,020 | ) | |||||||
Total property, plant and equipment, net | $ | 531,497 | $ | 511,199 | |||||||
(1) The estimated useful life presented is only land improvements. Land does not have a depreciable life. |
Other_Assets
Other Assets | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Other Assets | ' | |||||||
Other Assets | ||||||||
Other assets at March 31, 2014 and December 31, 2013 consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Marketable securities held in Rabbi Trust (1) | $ | 44,039 | $ | 42,184 | ||||
Deferred tax asset | 7,382 | 7,391 | ||||||
Deposits | 3,587 | 3,132 | ||||||
Other | 10,670 | 11,279 | ||||||
Total other assets | $ | 65,678 | $ | 63,986 | ||||
-1 | See Note 10 – Fair Value Measurements |
Accrued_and_Other_Current_Liab
Accrued and Other Current Liabilities | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Accrued and Other Current Liabilities | ' | |||||||
Accrued and Other Current Liabilities | ||||||||
Accrued and other current liabilities at March 31, 2014 and December 31, 2013 consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Accrued compensation | $ | 23,883 | $ | 26,252 | ||||
Accrued property and other taxes | 24,145 | 23,018 | ||||||
Income taxes | 574 | 2,870 | ||||||
Accrued inventory | 4,270 | 5,419 | ||||||
Accrued capital expenditures | 6,024 | 4,188 | ||||||
Accrued medical claims | 2,676 | 2,779 | ||||||
Accrued purchase orders | 2,819 | 5,632 | ||||||
Other | 23,555 | 20,326 | ||||||
Total accrued and other current liabilities | $ | 87,946 | $ | 90,484 | ||||
Debt
Debt | 3 Months Ended |
Mar. 31, 2014 | |
Debt Disclosure [Abstract] | ' |
Debt | ' |
Debt | |
We have two revolving credit facilities with certain financial institutions: (i) a $100.0 million revolving credit facility, including up to $20.0 million for letters of credit and up to $10.0 million in swingline loans, which matures in August 2018 (the “Five Year Facility”); and (ii) a $100.0 million revolving credit facility which matures in August 2014 (the “One Year Facility” and, together with the Five Year Facility, the “Credit Facilities”). Subject to the terms of the credit agreements, we have the ability to increase the commitments under the Credit Facilities by $150.0 million. At March 31, 2014 and December 31, 2013, we did not have any outstanding indebtedness under the Credit Facilities; and we had $9.6 million in letters of credit outstanding as of March 31, 2014. | |
Borrowings under the Credit Facilities bear interest, at our option, at either a base rate or an adjusted Eurodollar rate. Base rate loans under the credit facilities bear interest at a rate equal to the higher of (a) the prime rate as published in the Wall Street Journal, (b) the Federal Funds Effective Rate plus 0.50% or (c) the adjusted Eurodollar rate plus 1.00%, plus an applicable margin ranging from 0.50% to 1.50%, subject to adjustment based on the leverage ratio. Interest is in each case payable quarterly for base-rate loans. Eurodollar loans under the Credit Facilities bear interest at an adjusted Eurodollar rate equal to the Eurodollar rate for such interest period multiplied by the statutory reserves, plus an applicable margin ranging from 1.50% to 2.50%. Interest is payable at the end of applicable interest periods for Eurodollar loans, except that if the interest period for a Eurodollar loan is longer than three months, interest is paid at the end of each three-month period. The unused portion of the Five Year Facility is subject to a commitment fee of up to 0.375%. | |
The credit agreements contain various covenants that, among other things, limit our ability to grant certain liens, make certain loans and investments, enter into mergers or acquisition, enter into hedging transactions, change our lines of business, prepay certain indebtedness, enter into certain affiliate transactions, incur additional indebtedness or engage in certain asset dispositions. | |
The credit agreements also contain financial covenants, which, among other things, require us, on a consolidated basis, to maintain: (i) a ratio of total consolidated funded debt to adjusted EBITDA (as defined in the credit agreements) of not more than 2.50 to 1.0; and (ii) a ratio of EBITDA to interest expense of not less than 3.0 to 1.0. As of March 31, 2014, we were in compliance with all financial covenants under the credit agreements. | |
In addition, the credit agreements contain customary events of default, including, among others, the failure to make required payments, the failure to comply with certain covenants or other agreements, breach of the representations and covenants contained in the agreements, default of certain other indebtedness, certain events of bankruptcy or insolvency and the occurrence of a change in control (as defined in the credit agreements). |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
We follow fair value measurement authoritative accounting guidance for measuring fair values of assets and liabilities in financial statements. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). We utilize market data or assumptions that market participants who are independent, knowledgeable, and willing and able to transact would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. We are able to classify fair value balances based on the observability of these inputs. The authoritative guidance for fair value measurements establishes three levels of the fair value hierarchy, defined as follows: | ||||||||||||||||
• | Level 1: Unadjusted, quoted prices for identical assets or liabilities in active markets. | |||||||||||||||
• | Level 2: Quoted prices in markets that are not considered to be active or financial instruments for which all significant inputs are observable, either directly or indirectly for substantially the full term of the asset or liability. | |||||||||||||||
• | Level 3: Significant, unobservable inputs for use when little or no market data exists, requiring a significant degree of judgment. | |||||||||||||||
The hierarchy gives the highest priority to Level 1 measurements and the lowest priority to Level 3 measurements. Depending on the particular asset or liability, input availability can vary depending on factors such as product type, longevity of a product in the market and other particular transaction conditions. In some cases, certain inputs used to measure fair value may be categorized into different levels of the fair value hierarchy. For disclosure purposes under the accounting guidance, the lowest level that contains significant inputs used in valuation should be chosen. | ||||||||||||||||
Financial Assets and Liabilities | ||||||||||||||||
A summary of financial assets and liabilities that are measured at fair value on a recurring basis, as of March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets | Observable | Inputs | ||||||||||||||
Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||
March 31, 2014 | ||||||||||||||||
Assets: | ||||||||||||||||
Investments available-for-sale: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | $ | — | $ | 44,039 | $ | — | $ | 44,039 | ||||||||
Marketable securities - other | 6,666 | — | — | 6,666 | ||||||||||||
Liabilities: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | — | 39,416 | — | 39,416 | ||||||||||||
December 31, 2013 | ||||||||||||||||
Assets: | ||||||||||||||||
Investments available-for-sale: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | $ | — | $ | 42,184 | $ | — | $ | 42,184 | ||||||||
Marketable securities - other | 7,038 | — | — | 7,038 | ||||||||||||
Liabilities: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | — | 37,980 | — | 37,980 | ||||||||||||
Our investments associated with our deferred compensation plan consist of marketable securities that are held in the form of investments in mutual funds and insurance contracts. Assets and liabilities measured using significant observable inputs are reported at fair value based on third-party broker statements which are derived from the fair value of the funds' underlying investments. Other marketable securities are included in other assets on the consolidated balance sheets. | ||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis | ||||||||||||||||
We apply the provisions of the fair value measurement standard to our non-recurring, non-financial measurements including business combinations as well as impairment related to goodwill and other long-lived assets. For business combinations, the purchase price is allocated to the assets acquired and liabilities assumed based on a discounted cash flow model for most intangibles as well as market assumptions for the valuation of equipment and other fixed assets. We utilize a discounted cash flow model in evaluating impairment considerations related to goodwill and long-lived assets. Given the unobservable nature of the inputs, the discounted cash flow models are deemed to use Level 3 inputs. There were no non-recurring measurements during the interim periods presented. | ||||||||||||||||
Other Fair Value Considerations | ||||||||||||||||
The carrying values on our consolidated balance sheet of our cash and cash equivalents, trade accounts receivable, other current assets, accounts payable, accrued and other current liabilities and lines of credit approximates fair values due to their short maturities. |
Preferred_Stock
Preferred Stock | 3 Months Ended |
Mar. 31, 2014 | |
Preferred Stock [Abstract] | ' |
Preferred Stock | ' |
Preferred Stock | |
At March 31, 2014, we had 52,976,000 shares of Preferred Stock issued and outstanding, which are held by Mosing Holdings. Each share of Preferred Stock has a liquidation preference equal to its par value of €0.01 per share and is entitled to an annual dividend equal to 0.25% of its par value. Additionally, each share of Preferred Stock entitles its holder to one vote. Preferred stockholders vote with the common stock as a single class on all matters presented to FINV's shareholders for their vote. | |
Mosing Holdings has the right to convert all or a portion of its Preferred Stock into shares of our common stock by delivery of an equivalent portion of its interest in FICV to us. Accordingly, the increase in our interest in FICV in connection with such conversion will decrease the noncontrolling interest in our financial statements that is attributable to Mosing Holdings' interest in FICV. As of March 31, 2014, there have been no redemptions of the Preferred Stock or conversions of the FICV limited partner interests. Exchanges are subject to customary conversion rate adjustments for stock splits, stock dividends and reclassifications. | |
The Preferred Stock is classified outside of permanent equity in our consolidated balance sheet at its redemption value of par plus accrued and unpaid dividends because the conversion provisions are not solely within our control. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
Related Party Transactions | |
We have engaged in certain transactions with other companies related to us by common ownership. We have entered into various operating leases to lease office space from an affiliated partnership. Rent expense related to these leases was $1.9 million and $0.9 million for the three months ended March 31, 2014 and 2013, respectively. | |
We are a party to certain agreements relating to the rental of aircraft to Western Airways ("WA"), an entity owned by the Mosing family. Prior to our initial public offering (the "IPO"), we had entered into agreements, whereby we leased the aircraft as needed for a rental fee per hour and reimbursed WA for a management fee and hangar rental. The rental fees exceeded the reimbursement costs and we recorded net charter income. Subsequent to the IPO, we entered into new agreements with WA for the aircraft that was retained by us whereby we are paid a flat monthly fee for dry lease rental and are charged block hours monthly. We recorded net charter expense of $0.3 million and net charter revenue of $0.1 million for the three months ended March 31, 2014 and 2013, respectively. |
Earnings_Per_Common_Share
Earnings Per Common Share | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
Earnings Per Common Share | ' | |||||||
Earnings Per Common Share | ||||||||
Basic earnings per common share is determined dividing net income, less preferred stock dividends, by the weighted average number of common shares outstanding during the period. Diluted earnings per share is determined by dividing net income attributable to common stockholders by the weighted average number of common shares outstanding, assuming all potentially dilutive shares were issued. | ||||||||
We apply the treasury stock method to determine the dilutive weighted average common shares represented by the unvested restricted stock units. The diluted earnings per share calculation assumes exchange of 100% of our outstanding Preferred Stock on an as if converted basis. Accordingly, the numerator is also adjusted to include the earnings allocated to the noncontrolling interest after taking into account the tax effect of such exchange. | ||||||||
The following table summarizes the basic and diluted earnings per share calculations (in thousands, except per share amounts): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Numerator - Basic | ||||||||
Income from continuing operations | $ | 60,362 | $ | 71,297 | ||||
Less: Net income attributable to noncontrolling interest | (18,499 | ) | (18,845 | ) | ||||
Less: Preferred stock dividends | — | — | ||||||
Discontinued operations attributable to noncontrolling interest | — | 448 | ||||||
Income from continuing operations attributable to common shareholders | 41,863 | 52,900 | ||||||
Income from discontinued operations attributable to FINV | — | 1,300 | ||||||
Net income available to common shareholders | $ | 41,863 | $ | 54,200 | ||||
Numerator - Diluted | ||||||||
Income from continuing operations attributable to common shareholders | $ | 41,863 | $ | 52,900 | ||||
Add: Net income attributable to noncontrolling interest (1) | 14,560 | 18,845 | ||||||
Add: Preferred stock dividends | — | — | ||||||
Diluted income from continuing operations attributable to common shareholders | 56,423 | 71,745 | ||||||
Income from discontinued operations attributable to FINV | — | 1,300 | ||||||
Dilutive net income available to common shareholders | $ | 56,423 | $ | 73,045 | ||||
Denominator | ||||||||
Basic weighted average common shares | 153,524 | 119,024 | ||||||
Exchange of noncontrolling interest for common stock (Note 11) | 52,976 | 52,976 | ||||||
Restricted stock units | 702 | — | ||||||
Diluted weighted average common shares | 207,202 | 172,000 | ||||||
Basic earnings per common share: | ||||||||
Continuing operations | $ | 0.27 | $ | 0.45 | ||||
Discontinued operations | — | 0.01 | ||||||
Total | $ | 0.27 | $ | 0.46 | ||||
Diluted earnings per common share: | ||||||||
Continuing operations | $ | 0.27 | $ | 0.41 | ||||
Discontinued operations | — | 0.01 | ||||||
Total | $ | 0.27 | $ | 0.42 | ||||
-1 | Adjusted for additional tax expense of $3.9 million for the three months ended March 31, 2014 upon the assumed conversion of the Preferred Stock. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
For interim financial reporting, we estimate the annual tax rate based on projected pre-tax income for the full year and record a quarterly income tax provision (benefit) in accordance with Accounting Standards Codification Topic 740-270, Income taxes—Interim Reporting. As the year progresses, we refine the estimate of the year's pre-tax income as new information becomes available. The continual estimation process often results in a change to the expected effective tax rate for the year. When this occurs, we adjust the income tax provision (benefit) during the quarter in which the change in estimate occurs so that the year to date provision reflects the expected annual tax rate. | |
Our effective tax rate on income from continuing operations before income taxes was 20.9% and 8.1% for the three months ended March 31, 2014 and 2013, respectively. The tax rate for the three months ended March 31, 2014 and 2013 is lower than the U.S. statutory income tax rate of 35% due to lower statutory tax rates in certain foreign jurisdictions where we operate; however, our 2014 effective tax rate is higher due to our U.S. operations becoming taxable subsequent to our restructuring concurrent with the IPO. | |
As of March 31, 2014, there were no significant changes to our unrecognized tax benefits as reported in our audited financial statements for the year ended December 31, 2013. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
We are the subject of lawsuits and claims arising in the ordinary course of business. Management cannot predict the ultimate outcome of such lawsuits and claims. While the lawsuits and claims are asserted for amounts that may be material should an unfavorable outcome be the result, management does not expect that the currently pending matters will have a material adverse effect on our financial position, results of operations or cash flows. |
Segment_Information
Segment Information | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
Segment Information | ' | |||||||||||||||||||
Segment Information | ||||||||||||||||||||
Reporting Segments | ||||||||||||||||||||
Operating segments are defined as components of an enterprise for which separate financial information is available that is regularly evaluated by the chief operating decision maker (“CODM”) in deciding how to allocate resources and assess performance. We are comprised of three reportable segments: International Services, U.S. Services and Tubular Sales. | ||||||||||||||||||||
The International Services segment provides tubular services in international offshore markets and in several onshore international regions. Our customers in these international markets are primarily large exploration and production companies, including integrated oil and gas companies and national oil and gas companies. | ||||||||||||||||||||
The U.S. Services segment provides tubular services in almost all of the active onshore oil and gas drilling regions in the U.S., including the Permian Basin, Bakken Shale, Barnett Shale, Eagleford Shale, Haynesville Shale, Marcellus Shale and Utica Shale, as well as in the U.S. Gulf of Mexico. | ||||||||||||||||||||
The Tubular Sales segment designs and manufactures certain products that we sell directly to external customers, including large outside diameter ("OD") pipe connectors and casing attachments. We also provide specialized fabrication and welding services in support of deep water projects in the U.S. Gulf of Mexico, including drilling and production risers, flowlines and pipeline end terminations, as well as long length tubulars (up to 300 feet in length) for use as caissons or pilings. In addition, we distribute large OD pipe manufactured by third parties that we have equipped with weld-on end connections. This segment also designs and manufactures proprietary equipment for use in our International and U.S. Services segments. | ||||||||||||||||||||
The operating results of the Tubular Sales component that was sold in June 2013 have been accounted for as discontinued operations and have been excluded from the segment results below. | ||||||||||||||||||||
Adjusted EBITDA | ||||||||||||||||||||
We define Adjusted EBITDA as income from continuing operations before net interest income or expense, depreciation and amortization, income tax benefit or expense, asset impairments, gain or loss on sale of assets, foreign currency gain or loss, stock-based compensation, other non-cash adjustments and unusual or non-recurring charges. Our CODM uses Adjusted EBITDA as the primary measure of segment reporting performance. | ||||||||||||||||||||
The following table presents a reconciliation of Segment Adjusted EBITDA to income from continuing operations (in thousands): | ||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Segment Adjusted EBITDA: | ||||||||||||||||||||
International Services | $ | 51,028 | $ | 49,959 | ||||||||||||||||
U.S. Services | 41,879 | 42,793 | ||||||||||||||||||
Tubular Sales | 9,374 | 6,501 | ||||||||||||||||||
Corporate and other | — | (148 | ) | |||||||||||||||||
Adjusted EBITDA Total | 102,281 | 99,105 | ||||||||||||||||||
Interest expense, net | (44 | ) | (202 | ) | ||||||||||||||||
Income tax expense | (15,969 | ) | (6,303 | ) | ||||||||||||||||
Depreciation and amortization | (21,193 | ) | (17,693 | ) | ||||||||||||||||
Gain (loss) on sale of assets | 241 | (23 | ) | |||||||||||||||||
Foreign currency loss | (65 | ) | (3,587 | ) | ||||||||||||||||
Stock-based compensation expense | (4,889 | ) | — | |||||||||||||||||
Income from continuing operations | $ | 60,362 | $ | 71,297 | ||||||||||||||||
The following tables set forth certain financial information with respect to our reportable segments. Included in “Corporate and Other” are intersegment eliminations and costs associated with activities of a general nature (in thousands): | ||||||||||||||||||||
International | U.S. | Tubular Sales | Corporate | Total | ||||||||||||||||
Services | Services | and Other | ||||||||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
Revenue from external customers | $ | 118,585 | $ | 103,755 | $ | 42,152 | $ | — | $ | 264,492 | ||||||||||
Inter-segment revenues | 141 | 5,100 | 16,096 | (21,337 | ) | — | ||||||||||||||
Adjusted EBITDA | 51,028 | 41,879 | 9,374 | — | 102,281 | |||||||||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
Revenue from external customers | $ | 110,489 | $ | 97,557 | $ | 24,527 | $ | — | $ | 232,573 | ||||||||||
Inter-segment revenues | 815 | 5,165 | 16,248 | (22,228 | ) | — | ||||||||||||||
Adjusted EBITDA | 49,959 | 42,793 | 6,501 | (148 | ) | 99,105 | ||||||||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The consolidated financial statements of Frank's International N.V. ("FINV"), a limited liability company organized under the laws of The Netherlands, for the three months ended March 31, 2014 and 2013 include the activities of Frank's International C.V. ("FICV") and its wholly owned subsidiaries (collectively, the "Company," "we," "us" or "our"). All intercompany accounts and transactions have been eliminated for purposes of preparing these consolidated financial statements. | |
Certain information and footnote disclosures required by generally accepted accounting principles in the United States of America ("GAAP") for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended December 31, 2013, which are included in our Annual Report on Form 10-K filed with the Securities Exchange Commission ("SEC") on March 4, 2014. In the opinion of management, these financial statements, which have been prepared pursuant to the rules of the SEC and GAAP for interim financial reporting, reflect all adjustments, which consisted only of normal recurring adjustments that were necessary for a fair statement of the interim periods presented. The results of operations for interim periods are not necessarily indicative of those for a full year. | |
The consolidated financial statements have been prepared on a historical cost basis using the United States dollar as the reporting currency. | |
Reclassifications | ' |
Reclassifications | |
In reporting periods prior to the fourth quarter of 2013, certain costs of equipment rentals and services and product sales were misclassified between the two line items. There was no impact to previously reported operating income, income from continuing operations, net income, earnings per share or cash flow. Corrections have been made to the relevant period presented in the financial statements included herein. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
Changes to GAAP are established by the Financial Accounting Standards Board ("FASB") in the form of accounting standards updates ("ASUs") to the FASB’s Accounting Standards Codification. | |
We consider the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations. | |
In April 2014, the FASB issued amendments to guidance for reporting discontinued operations and disposals of components of an entity. The amended guidance requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. The amendments also expand the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The amendments are effective prospectively for fiscal years, and interim reporting periods within those years, beginning after December 15, 2014 (early adoption is permitted only for disposals that have not been previously reported). The implementation of the amended guidance is not expected to have a material impact on our consolidated financial statements. | |
In July 2013, the FASB issued amendments to guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The amendments require entities to present an unrecognized tax benefit netted against certain deferred tax assets when specific requirements are met. However, the amendments only affect gross versus net presentation and do not impact the calculation of the unrecognized tax benefit. We adopted this guidance on January 1, 2014 and the adoption did not have a material impact on our consolidated financial statements. |
Noncontrolling_Interest_Tables
Noncontrolling Interest (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Noncontrolling Interest [Abstract] | ' | |||||||
Schedule of Net Income Attributable to Noncontrolling Interest [Table Text Block] | ' | |||||||
A reconciliation of net income attributable to noncontrolling interest is detailed as follows (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Net income | $ | 60,362 | $ | 73,045 | ||||
Add: Provision for U.S. income taxes of FINV (1) | 11,424 | — | ||||||
Less: Loss of FINV (2) | 335 | 424 | ||||||
Net income subject to noncontrolling interest | 72,121 | 73,469 | ||||||
Noncontrolling interest percentage | 25.70% | 25.70% | ||||||
Net income attributable to noncontrolling interest | $ | 18,499 | $ | 18,845 | ||||
-1 | Represents income tax expense attributable to U.S. operations of our 74.3% partnership interests in FICV. | |||||||
-2 | Represents results of operations for entities outside of FICV. |
Accounts_Receivable_net_Tables
Accounts Receivable, net (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Receivables [Abstract] | ' | |||||||
Schedule of Accounts, Notes, Loans and Financing Receivable | ' | |||||||
Accounts receivable at March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Trade accounts receivable, net of allowance | ||||||||
of $13,331 and $13,614, respectively | $ | 260,433 | $ | 232,409 | ||||
Unbilled receivables | 72,675 | 105,824 | ||||||
Taxes receivable | 9,922 | 20,075 | ||||||
Affiliated (1) | 3,983 | 3,921 | ||||||
Other receivables | 3,075 | 2,588 | ||||||
Total accounts receivable | $ | 350,088 | $ | 364,817 | ||||
-1 | Amounts represent expenditures on behalf of non-consolidated affiliates and receivables for aircraft charter income. |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of Inventory | ' | |||||||
Inventories at March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Pipe and connectors | $ | 185,253 | $ | 168,639 | ||||
Finished goods | 6,655 | 4,114 | ||||||
Work in progress | 2,477 | 2,284 | ||||||
Raw materials, components and supplies | 8,744 | 10,552 | ||||||
Total inventories | $ | 203,129 | $ | 185,589 | ||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||
Property, Plant and Equipment | ' | ||||||||||
The following is a summary of property, plant and equipment at March 31, 2014 and December 31, 2013 (in thousands): | |||||||||||
Estimated | March 31, | December 31, | |||||||||
Useful Lives | 2014 | 2013 | |||||||||
in Years | |||||||||||
Land and land improvements (1) | 15-Aug | $ | 22,989 | $ | 22,460 | ||||||
Buildings and improvements | 39 | 63,610 | 63,412 | ||||||||
Rental machinery and equipment | 7 | 686,961 | 669,729 | ||||||||
Machinery and equipment - other | 7 | 66,723 | 55,306 | ||||||||
Furniture, fixtures and computers | 5 | 18,152 | 18,265 | ||||||||
Automobiles and other vehicles | 5 | 35,370 | 35,649 | ||||||||
Aircraft | 7 | 14,868 | 14,868 | ||||||||
Leasehold improvements | 7 | 5,805 | 5,729 | ||||||||
Construction in progress - machinery | |||||||||||
and equipment and buildings | — | 96,842 | 88,801 | ||||||||
1,011,320 | 974,219 | ||||||||||
Less: Accumulated depreciation | (479,823 | ) | (463,020 | ) | |||||||
Total property, plant and equipment, net | $ | 531,497 | $ | 511,199 | |||||||
(1) The estimated useful life presented is only land improvements. Land does not have a depreciable life. |
Other_Assets_Tables
Other Assets (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Schedule of Other Assets | ' | |||||||
Other assets at March 31, 2014 and December 31, 2013 consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Marketable securities held in Rabbi Trust (1) | $ | 44,039 | $ | 42,184 | ||||
Deferred tax asset | 7,382 | 7,391 | ||||||
Deposits | 3,587 | 3,132 | ||||||
Other | 10,670 | 11,279 | ||||||
Total other assets | $ | 65,678 | $ | 63,986 | ||||
-1 | See Note 10 – Fair Value Measurements |
Accrued_and_Other_Current_Liab1
Accrued and Other Current Liabilities (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Schedule of Accrued Liabilities | ' | |||||||
Accrued and other current liabilities at March 31, 2014 and December 31, 2013 consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Accrued compensation | $ | 23,883 | $ | 26,252 | ||||
Accrued property and other taxes | 24,145 | 23,018 | ||||||
Income taxes | 574 | 2,870 | ||||||
Accrued inventory | 4,270 | 5,419 | ||||||
Accrued capital expenditures | 6,024 | 4,188 | ||||||
Accrued medical claims | 2,676 | 2,779 | ||||||
Accrued purchase orders | 2,819 | 5,632 | ||||||
Other | 23,555 | 20,326 | ||||||
Total accrued and other current liabilities | $ | 87,946 | $ | 90,484 | ||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | ' | |||||||||||||||
A summary of financial assets and liabilities that are measured at fair value on a recurring basis, as of March 31, 2014 and December 31, 2013 were as follows (in thousands): | ||||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets | Observable | Inputs | ||||||||||||||
Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||
March 31, 2014 | ||||||||||||||||
Assets: | ||||||||||||||||
Investments available-for-sale: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | $ | — | $ | 44,039 | $ | — | $ | 44,039 | ||||||||
Marketable securities - other | 6,666 | — | — | 6,666 | ||||||||||||
Liabilities: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | — | 39,416 | — | 39,416 | ||||||||||||
December 31, 2013 | ||||||||||||||||
Assets: | ||||||||||||||||
Investments available-for-sale: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | $ | — | $ | 42,184 | $ | — | $ | 42,184 | ||||||||
Marketable securities - other | 7,038 | — | — | 7,038 | ||||||||||||
Liabilities: | ||||||||||||||||
Marketable securities - deferred | ||||||||||||||||
compensation plan | — | 37,980 | — | 37,980 | ||||||||||||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
Schedule of Earnings Per Share, Basic and Diluted | ' | |||||||
The following table summarizes the basic and diluted earnings per share calculations (in thousands, except per share amounts): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Numerator - Basic | ||||||||
Income from continuing operations | $ | 60,362 | $ | 71,297 | ||||
Less: Net income attributable to noncontrolling interest | (18,499 | ) | (18,845 | ) | ||||
Less: Preferred stock dividends | — | — | ||||||
Discontinued operations attributable to noncontrolling interest | — | 448 | ||||||
Income from continuing operations attributable to common shareholders | 41,863 | 52,900 | ||||||
Income from discontinued operations attributable to FINV | — | 1,300 | ||||||
Net income available to common shareholders | $ | 41,863 | $ | 54,200 | ||||
Numerator - Diluted | ||||||||
Income from continuing operations attributable to common shareholders | $ | 41,863 | $ | 52,900 | ||||
Add: Net income attributable to noncontrolling interest (1) | 14,560 | 18,845 | ||||||
Add: Preferred stock dividends | — | — | ||||||
Diluted income from continuing operations attributable to common shareholders | 56,423 | 71,745 | ||||||
Income from discontinued operations attributable to FINV | — | 1,300 | ||||||
Dilutive net income available to common shareholders | $ | 56,423 | $ | 73,045 | ||||
Denominator | ||||||||
Basic weighted average common shares | 153,524 | 119,024 | ||||||
Exchange of noncontrolling interest for common stock (Note 11) | 52,976 | 52,976 | ||||||
Restricted stock units | 702 | — | ||||||
Diluted weighted average common shares | 207,202 | 172,000 | ||||||
Basic earnings per common share: | ||||||||
Continuing operations | $ | 0.27 | $ | 0.45 | ||||
Discontinued operations | — | 0.01 | ||||||
Total | $ | 0.27 | $ | 0.46 | ||||
Diluted earnings per common share: | ||||||||
Continuing operations | $ | 0.27 | $ | 0.41 | ||||
Discontinued operations | — | 0.01 | ||||||
Total | $ | 0.27 | $ | 0.42 | ||||
-1 | Adjusted for additional tax expense of $3.9 million for the three months ended March 31, 2014 upon the assumed conversion of the Preferred Stock. |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
Reconciliation of Adjusted Earnings before Interest, Taxes, Depreciation, and Amortization from Segments to Consolidated [Table Text Block] | ' | |||||||||||||||||||
The following table presents a reconciliation of Segment Adjusted EBITDA to income from continuing operations (in thousands): | ||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Segment Adjusted EBITDA: | ||||||||||||||||||||
International Services | $ | 51,028 | $ | 49,959 | ||||||||||||||||
U.S. Services | 41,879 | 42,793 | ||||||||||||||||||
Tubular Sales | 9,374 | 6,501 | ||||||||||||||||||
Corporate and other | — | (148 | ) | |||||||||||||||||
Adjusted EBITDA Total | 102,281 | 99,105 | ||||||||||||||||||
Interest expense, net | (44 | ) | (202 | ) | ||||||||||||||||
Income tax expense | (15,969 | ) | (6,303 | ) | ||||||||||||||||
Depreciation and amortization | (21,193 | ) | (17,693 | ) | ||||||||||||||||
Gain (loss) on sale of assets | 241 | (23 | ) | |||||||||||||||||
Foreign currency loss | (65 | ) | (3,587 | ) | ||||||||||||||||
Stock-based compensation expense | (4,889 | ) | — | |||||||||||||||||
Income from continuing operations | $ | 60,362 | $ | 71,297 | ||||||||||||||||
Schedule of Segment Reporting Information, by Segment | ' | |||||||||||||||||||
The following tables set forth certain financial information with respect to our reportable segments. Included in “Corporate and Other” are intersegment eliminations and costs associated with activities of a general nature (in thousands): | ||||||||||||||||||||
International | U.S. | Tubular Sales | Corporate | Total | ||||||||||||||||
Services | Services | and Other | ||||||||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
Revenue from external customers | $ | 118,585 | $ | 103,755 | $ | 42,152 | $ | — | $ | 264,492 | ||||||||||
Inter-segment revenues | 141 | 5,100 | 16,096 | (21,337 | ) | — | ||||||||||||||
Adjusted EBITDA | 51,028 | 41,879 | 9,374 | — | 102,281 | |||||||||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
Revenue from external customers | $ | 110,489 | $ | 97,557 | $ | 24,527 | $ | — | $ | 232,573 | ||||||||||
Inter-segment revenues | 815 | 5,165 | 16,248 | (22,228 | ) | — | ||||||||||||||
Adjusted EBITDA | 49,959 | 42,793 | 6,501 | (148 | ) | 99,105 | ||||||||||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) (Line Item Misclassification [Member], USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2013 |
Line Item Misclassification [Member] | ' |
Basis of Presentation and Accounting Policies [Line Items] | ' |
Prior Period Reclassification Adjustment | $7.70 |
Noncontrolling_Interest_Detail
Noncontrolling Interest (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Net Income (Loss) Attributable to Noncontrolling Interest [Abstract] | ' | ' | ||
Net income | $60,362 | $73,045 | ||
Income from continuing operations before income tax expense | 76,331 | 77,600 | ||
Net income attributable to noncontrolling interest | 18,499 | 18,845 | ||
Frank's International C.V. | ' | ' | ||
Noncontrolling Interest [Line Items] | ' | ' | ||
Noncontrolling Interest, Ownership Percentage by Parent | 74.30% | ' | ||
Noncontrolling interest percentage | 25.70% | 25.70% | ||
Net Income (Loss) Attributable to Noncontrolling Interest [Abstract] | ' | ' | ||
Add: Provision for U.S. income taxes of FINV | 11,424 | [1] | 0 | [1] |
Income from continuing operations before income tax expense | 72,121 | 73,469 | ||
Net income attributable to noncontrolling interest | 18,499 | 18,845 | ||
Frank's International N.V. | ' | ' | ||
Net Income (Loss) Attributable to Noncontrolling Interest [Abstract] | ' | ' | ||
Less: Loss of FINV | $335 | [2] | $424 | [2] |
[1] | Represents income tax expense attributable to U.S. operations of our 74.3% partnership interests in FICV. | |||
[2] | Represents results of operations for entities outside of FICV. |
Discontinued_Operations_Detail
Discontinued Operations (Details) (Tubular Sales Segment, USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 14, 2013 |
Tubular Sales Segment | ' | ' | ' |
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | ' | ' | ' |
Revenues | $4.20 | $1.70 | ' |
Net assets | ' | ' | $10.40 |
Accounts_Receivable_net_Detail
Accounts Receivable, net (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Accounts receivables, net | $350,088 | $364,817 | ||
Unbilled receivables | 72,675 | 105,824 | ||
Taxes receivable | 9,922 | 20,075 | ||
Affiliated | 3,983 | [1] | 3,921 | [1] |
Other receivables | 3,075 | 2,588 | ||
Trade accounts receivable | ' | ' | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Accounts receivables, net | 260,433 | 232,409 | ||
Allowance for doubtful accounts | $13,331 | $13,614 | ||
[1] | Amounts represent expenditures on behalf of non-consolidated affiliates and receivables for aircraft charter income. |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Pipe and connectors | $185,253 | $168,639 |
Finished goods | 6,655 | 4,114 |
Work in progress | 2,477 | 2,284 |
Raw materials, components and supplies | 8,744 | 10,552 |
Total inventories | $203,129 | $185,589 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property, plant and equipment, gross | $1,011,320 | $974,219 | ||
Less: Accumulated depreciation | -479,823 | -463,020 | ||
Total property, plant and equipment, net | 531,497 | 511,199 | ||
Land Improvements | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property, plant and equipment, gross | 22,989 | [1] | 22,460 | [1] |
Land Improvements | Minimum | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '8 years | [1] | ' | |
Land Improvements | Maximum | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '15 years | [1] | ' | |
Buildings and improvements | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '39 years | ' | ||
Property, plant and equipment, gross | 63,610 | 63,412 | ||
Rental machinery and equipment | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '7 years | ' | ||
Property, plant and equipment, gross | 686,961 | 669,729 | ||
Machinery and equipment - other | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '7 years | ' | ||
Property, plant and equipment, gross | 66,723 | 55,306 | ||
Furniture, fixtures and computers | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '5 years | ' | ||
Property, plant and equipment, gross | 18,152 | 18,265 | ||
Automobiles and other vehicles | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '5 years | ' | ||
Property, plant and equipment, gross | 35,370 | 35,649 | ||
Aircraft | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '7 years | ' | ||
Property, plant and equipment, gross | 14,868 | 14,868 | ||
Leasehold improvements | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Estimated Useful Lives in Years | '7 years | ' | ||
Property, plant and equipment, gross | 5,805 | 5,729 | ||
Construction in progress - machinery and equipment and buildings | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property, plant and equipment, gross | $96,842 | $88,801 | ||
[1] | The estimated useful life presented is only land improvements. Land does not have a depreciable life. |
Other_Assets_Details
Other Assets (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' | ||
Marketable securities held in Rabbi Trust | $44,039 | [1] | $42,184 | [1] |
Deferred Tax Assets, Net, Noncurrent | 7,382 | 7,391 | ||
Deposits | 3,587 | 3,132 | ||
Other | 10,670 | 11,279 | ||
Total other assets | $65,678 | $63,986 | ||
[1] | See Note 10 b Fair Value Measurements |
Accrued_and_Other_Current_Liab2
Accrued and Other Current Liabilities (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ' | ' |
Accrued compensation | $23,883 | $26,252 |
Accrued property and other taxes | 24,145 | 23,018 |
Income taxes | 574 | 2,870 |
Accrued inventory | 4,270 | 5,419 |
Accrued capital expenditures | 6,024 | 4,188 |
Accrued medical claims | 2,676 | 2,779 |
Accrued purchase orders | 2,819 | 5,632 |
Other | 23,555 | 20,326 |
Total accrued and other current liabilities | $87,946 | $90,484 |
Debt_Lines_of_Credit_Details_T
Debt - Lines of Credit (Details - Textual) (Lines of credit, USD $) | 3 Months Ended |
Mar. 31, 2014 | |
facility | |
Credit Facilities | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Number of Facilities | 2 |
Line of Credit Facility, Borrowing Capacity Increase Limit | $150,000,000 |
Letters of credit, amount outstanding | 9,600,000 |
Credit Facilities | Maximum | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.38% |
Revolving Credit Facility | Credit Facilities | ' |
Line of Credit Facility [Line Items] | ' |
Debt To Adjusted EBITDA Ratio, Maximum | 250.00% |
EBITDA To Interest Expense Ratio, Maximum | 300.00% |
Revolving Credit Facility | Credit Facilities | Federal Funds Effective Rate | ' |
Line of Credit Facility [Line Items] | ' |
Debt Instrument, Description of Variable Rate Basis | 'Federal Funds Effective Rate |
Basis spread on variable rate | 0.50% |
Revolving Credit Facility | Credit Facilities | Eurodollar | ' |
Line of Credit Facility [Line Items] | ' |
Debt Instrument, Description of Variable Rate Basis | 'Eurodollar rate |
Debt Instrument, Fixed Spread on Variable Rate | 1.00% |
Revolving Credit Facility | Credit Facilities | Eurodollar | Minimum | ' |
Line of Credit Facility [Line Items] | ' |
Debt Instrument, Variable Spread on Variable Rate | 0.50% |
Basis spread on variable rate | 1.50% |
Revolving Credit Facility | Credit Facilities | Eurodollar | Maximum | ' |
Line of Credit Facility [Line Items] | ' |
Debt Instrument, Variable Spread on Variable Rate | 1.50% |
Basis spread on variable rate | 2.50% |
Revolving Credit Facility | Revolving Credit Facility Maturing August 2018 | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Maximum Borrowing Capacity | 100,000,000 |
Revolving Credit Facility | Revolving Credit Facility Maturing August 2014 | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Maximum Borrowing Capacity | 100,000,000 |
Letter of Credit | Revolving Credit Facility Maturing August 2018 | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Maximum Borrowing Capacity | 20,000,000 |
Swing Line Loan | Revolving Credit Facility Maturing August 2018 | ' |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Maximum Borrowing Capacity | $10,000,000 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (Fair Value, Measurements, Recurring, USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Marketable securities - deferred compensation plan | Quoted Prices in Active Markets (Level 1) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $0 | $0 |
Financial Liabilities Fair Value Disclosure | 0 | 0 |
Marketable securities - deferred compensation plan | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 44,039 | 42,184 |
Financial Liabilities Fair Value Disclosure | 39,416 | 37,980 |
Marketable securities - deferred compensation plan | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 0 | 0 |
Financial Liabilities Fair Value Disclosure | 0 | 0 |
Marketable securities - deferred compensation plan | Fair Value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 44,039 | 42,184 |
Financial Liabilities Fair Value Disclosure | 39,416 | 37,980 |
Marketable securities - other | Quoted Prices in Active Markets (Level 1) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 6,666 | 7,038 |
Marketable securities - other | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 0 | 0 |
Marketable securities - other | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 0 | 0 |
Marketable securities - other | Fair Value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $6,666 | $7,038 |
Preferred_Stock_Details
Preferred Stock (Details) (EUR €) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 |
Preferred Stock [Abstract] | ' |
Shares outstanding | 52,976 |
Par value per share, in EUR per share | € 0.01 |
Preferred stock dividend rate | 0.25% |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Related Party Transaction [Line Items] | ' | ' |
Net charter income (expense) | $220,813,000 | $205,864,000 |
Affiliated Entity | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Rent expense | 1,900,000 | 900,000 |
Western Airlines | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Net charter income (expense) | ($300,000) | $100,000 |
Earnings_Per_Common_Share_Deta
Earnings Per Common Share (Details) (USD $) | 3 Months Ended | ||
Share data in Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | |
Earnings Per Share [Abstract] | ' | ' | |
Income from continuing operations | $60,362,000 | $71,297,000 | |
Less: Net income attributable to noncontrolling interest | -18,499,000 | -18,845,000 | |
Less: Preferred stock dividends | 0 | 0 | |
Discontinued operations attributable to noncontrolling interest | 0 | 448,000 | |
Income from continuing operations attributable to common shareholders | 41,863,000 | 52,900,000 | |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 0 | 1,300,000 | |
Net income attributable to Frank's International N.V. | 41,863,000 | 54,200,000 | |
Income from continuing operations applicable to common shares | 41,863,000 | 52,900,000 | |
Add: Net income attributable to noncontrolling interest | 14,560,000 | [1] | ' |
Net Income (Loss) from Continuing Operations Available to Common Stockholders, Diluted | 56,423,000 | 71,745,000 | |
Dilutive net income available to common stockholders | 56,423,000 | 73,045,000 | |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ' | ' | |
Basic weighted average common shares | 153,524 | 119,024 | |
Exchange of noncontrolling interest for common stock | 52,976 | 52,976 | |
Restricted stock units | 702 | 0 | |
Diluted weighted average common shares | 207,202 | 172,000 | |
Basic earnings per common share: | ' | ' | |
Continuing Operations (in dollars per share) | $0.27 | $0.45 | |
Discontinued operations (in dollars per share) | $0 | $0.01 | |
Total (in dollars per share) | $0.27 | $0.46 | |
Diluted earnings per common share: | ' | ' | |
Continuing operations (in dollars per share) | $0.27 | $0.41 | |
Discontinued operations (in dollars per share) | $0 | $0.01 | |
Total (in dollars per share) | $0.27 | $0.42 | |
Tax expense from conversion of Preferred Stock | $3,900,000 | ' | |
[1] | Adjusted for additional tax expense of $3.9 million for the three months ended March 31, 2014 upon the assumed conversion of the Preferred Stock. |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Stock-based compensation expense | $4,889 | $0 |
Income_Taxes_Details
Income Taxes (Details) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' |
Effective income tax rate | 20.90% | 8.10% |
U.S. statutory income tax rate | 35.00% | ' |
Segment_Information_EBITDA_Rec
Segment Information - EBITDA Reconciliation (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
segment | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' |
Number of Reportable Segments | 3 | ' |
Adjusted EBITDA | $102,281 | $99,105 |
Interest expense, net | -44 | -202 |
Income tax expense | -15,969 | -6,303 |
Depreciation and amortization | -21,193 | -17,693 |
Gain (loss) on sale of assets | 241 | -23 |
Foreign currency loss | -65 | -3,587 |
Stock-based compensation expense | -4,889 | 0 |
Income from continuing operations | 60,362 | 71,297 |
Operating segments | International Services | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' |
Adjusted EBITDA | 51,028 | 49,959 |
Operating segments | U.S. Services | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' |
Adjusted EBITDA | 41,879 | 42,793 |
Operating segments | Tubular Sales Segment | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' |
Adjusted EBITDA | $9,374 | $6,501 |
Segment_Information_Revenue_fr
Segment Information - Revenue from External Customers (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | $264,492 | $232,573 |
Adjusted EBITDA | 102,281 | 99,105 |
Corporate and other | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Adjusted EBITDA | 0 | -148 |
Operating segments | International Services | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 118,585 | 110,489 |
Adjusted EBITDA | 51,028 | 49,959 |
Operating segments | U.S. Services | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 103,755 | 97,557 |
Adjusted EBITDA | 41,879 | 42,793 |
Operating segments | Tubular Sales Segment | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 42,152 | 24,527 |
Adjusted EBITDA | 9,374 | 6,501 |
Inter-segment | International Services | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 141 | 815 |
Inter-segment | U.S. Services | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 5,100 | 5,165 |
Inter-segment | Tubular Sales Segment | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | 16,096 | 16,248 |
Inter-segment | Corporate and other | ' | ' |
Revenue from External Customer [Line Items] | ' | ' |
Revenues | ($21,337) | ($22,228) |