Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 03, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Mammoth Energy Services, Inc. | |
Entity Central Index Key | 1,679,268 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 44,755,678 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 10,702 | $ 5,637 |
Accounts receivable, net | 312,850 | 243,746 |
Receivables from related parties | 30,674 | 33,788 |
Inventories | 12,717 | 17,814 |
Prepaid expenses | 13,811 | 12,552 |
Other current assets | 816 | 886 |
Total current assets | 381,570 | 314,423 |
Property, plant and equipment, net | 423,315 | 351,017 |
Sand reserves | 73,759 | 74,769 |
Intangible assets, net | 12,930 | 16,139 |
Goodwill | 101,511 | 99,811 |
Deferred income tax asset | 31,892 | 6,739 |
Other non-current assets | 4,146 | 4,345 |
Total assets | 1,029,123 | 867,243 |
CURRENT LIABILITIES | ||
Accounts payable | 177,353 | 141,306 |
Payables to related parties | 1,916 | 1,378 |
Accrued expenses and other current liabilities | 54,701 | 40,895 |
Income taxes payable | 131,210 | 36,409 |
Total current liabilities | 365,180 | 219,988 |
Long-term debt | 0 | 99,900 |
Deferred income tax liabilities | 31,036 | 34,147 |
Asset retirement obligation | 3,138 | 2,123 |
Other liabilities | 4,100 | 3,289 |
Total liabilities | 403,454 | 359,447 |
COMMITMENTS AND CONTINGENCIES (Note 18) | ||
EQUITY | ||
Common stock, $0.01 par value, 200,000,000 shares authorized, 44,752,765 and 44,589,306 issued and outstanding at June 30, 2018 and December 31, 2017, respectively | 448 | 446 |
Additional paid in capital | 528,421 | 508,010 |
Retained earnings | 100,247 | 2,001 |
Accumulated other comprehensive loss | (3,447) | (2,661) |
Total equity | 625,669 | 507,796 |
Total liabilities and equity | 1,029,123 | 867,243 |
Trade names | ||
CURRENT ASSETS | ||
Intangible assets, net | 6,726 | 6,516 |
Customer relationships | ||
CURRENT ASSETS | ||
Intangible assets, net | $ 6,204 | $ 9,623 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares | Jun. 30, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares, issued (in shares) | 44,752,765 | 44,589,306 |
Common stock, shares, outstanding (in shares) | 44,752,765 | 44,589,306 |
CONDENSED CONSOLDIATED STATEMEN
CONDENSED CONSOLDIATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
REVENUE | ||||
Revenue | $ 533,594 | $ 98,262 | $ 1,027,843 | $ 173,228 |
COST AND EXPENSES | ||||
Selling, general and administrative (Note 12) | 64,595 | 7,393 | 102,677 | 13,806 |
Selling, general and administrative - related parties | 532 | 307 | 961 | 631 |
Depreciation, depletion, amortization and accretion | 30,795 | 19,893 | 57,703 | 37,130 |
Impairment of long-lived assets | 187 | 0 | 187 | 0 |
Total cost and expenses | 435,937 | 104,933 | 827,457 | 187,405 |
Operating income (loss) | 97,657 | (6,671) | 200,386 | (14,177) |
OTHER (EXPENSE) INCOME | ||||
Interest expense, net | (959) | (1,112) | (2,196) | (1,509) |
Bargain purchase gain, net of tax | 0 | 4,012 | 0 | 4,012 |
Other, net | (486) | (203) | (514) | (387) |
Total other (expense) income | (1,445) | 2,697 | (2,710) | 2,116 |
Income (loss) before income taxes | 96,212 | (3,974) | 197,676 | (12,061) |
Provision (benefit) for income taxes | 53,512 | (2,804) | 99,430 | (5,910) |
Net income (loss) | 42,700 | (1,170) | 98,246 | (6,151) |
OTHER COMPREHENSIVE INCOME (LOSS) | ||||
Foreign currency translation adjustment, net of tax of $86, $272, $434 and $454, respectively, for the three and six months ended June 30, 2018 and three and six months ended June 30, 2017 | (325) | 181 | (786) | 409 |
Comprehensive income (loss) | $ 42,375 | $ (989) | $ 97,460 | $ (5,742) |
Net income (loss) per share (basic) (Note 14) (in USD per share) | $ 0.95 | $ (0.03) | $ 2.20 | $ (0.16) |
Net income (loss) per share (diluted) (Note 14) (In USD per share) | $ 0.95 | $ (0.03) | $ 2.18 | $ (0.16) |
Weighted average number of shares outstanding (basic) (Note 14) (in shares) | 44,737 | 39,500 | 44,700 | 38,506 |
Weighted average number of shares outstanding (diluted) (Note 14) (in shares) | 45,059 | 39,500 | 44,977 | 38,506 |
Services | ||||
REVENUE | ||||
Revenue | $ 455,545 | $ 29,659 | $ 864,204 | $ 56,751 |
COST AND EXPENSES | ||||
Cost of revenue | 302,283 | 57,104 | 593,262 | 102,565 |
Products | ||||
REVENUE | ||||
Revenue | 27,708 | 10,395 | 52,748 | 13,767 |
COST AND EXPENSES | ||||
Cost of revenue | 35,117 | 19,974 | 68,447 | 32,581 |
Related parties | ||||
COST AND EXPENSES | ||||
Selling, general and administrative - related parties | 532 | 307 | 961 | 631 |
Related parties | Services | ||||
REVENUE | ||||
Revenue | 40,611 | 44,603 | 89,699 | 77,565 |
COST AND EXPENSES | ||||
Cost of revenue | 2,428 | 262 | 4,220 | 692 |
Related parties | Products | ||||
REVENUE | ||||
Revenue | $ 9,730 | $ 13,605 | $ 21,192 | $ 25,145 |
CONDENSED CONSOLDIATED STATEME5
CONDENSED CONSOLDIATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (unaudited) (Parenthetical) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Foreign currency translation adjustment, tax | $ 86,000 | $ 434,000 | $ 272,000 | $ 454,000 |
Services | ||||
Cost of revenue, depreciation, depletion, amortization and accretion | 26,898,000 | 17,651,000 | 51,473,000 | 33,489,000 |
Products | ||||
Cost of revenue, depreciation, depletion, amortization and accretion | 3,879,000 | 2,204,000 | 6,193,000 | 3,566,000 |
Related parties | Services | ||||
Cost of revenue, depreciation, depletion, amortization and accretion | $ 0 | $ 0 | $ 0 | $ 0 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (unaudited) - USD ($) $ in Thousands | Total | Members' Equity | Common Stock | Retailed Earnings (Deficit) | Additional Paid-in Capital | AOCL | Stingray Entities | Stingray EntitiesCommon Stock | Stingray EntitiesAdditional Paid-in Capital | Sturgeon Acquisitions LLC | Sturgeon Acquisitions LLCMembers' Equity | Sturgeon Acquisitions LLCCommon Stock | Sturgeon Acquisitions LLCAdditional Paid-in Capital |
Beginning balance (in shares) at Dec. 31, 2016 | 37,500,000 | ||||||||||||
Beginning balance at Dec. 31, 2016 | $ 422,781 | $ 375 | $ (56,323) | $ 400,206 | $ (3,216) | ||||||||
Members' Equity at Dec. 31, 2016 | $ 81,739 | ||||||||||||
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||||||||||
Net income of Sturgeon prior to acquisition | 640 | 640 | |||||||||||
Acquisition of company (in shares) | 1,393,000 | 5,607,000 | |||||||||||
Acquisition of company | $ 25,762 | $ 14 | $ 25,748 | $ (4,010) | $ (82,379) | $ 56 | $ 78,313 | ||||||
Stock based compensation (in shares) | 89,000 | ||||||||||||
Stock based compensation | 3,744 | $ 1 | 3,743 | ||||||||||
Net income | 58,324 | 58,324 | |||||||||||
Other comprehensive income (loss) | $ 555 | 555 | |||||||||||
Ending balance (in shares) at Dec. 31, 2017 | 44,589,306 | 44,589,000 | |||||||||||
Ending balance at Dec. 31, 2017 | $ 507,796 | $ 446 | 2,001 | 508,010 | (2,661) | ||||||||
Members' Equity at Dec. 31, 2017 | 0 | ||||||||||||
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||||||||||
Equity based compensation (Note 15) | 17,487 | 17,487 | |||||||||||
Stock based compensation (in shares) | 164,000 | ||||||||||||
Stock based compensation | 2,926 | $ 2 | 2,924 | ||||||||||
Net income | 98,246 | 98,246 | |||||||||||
Other comprehensive income (loss) | $ (786) | (786) | |||||||||||
Ending balance (in shares) at Jun. 30, 2018 | 44,752,765 | 44,753,000 | |||||||||||
Ending balance at Jun. 30, 2018 | $ 625,669 | $ 448 | $ 100,247 | $ 528,421 | $ (3,447) | ||||||||
Members' Equity at Jun. 30, 2018 | $ 0 |
CONDENSED CONSOLIDATED STATEME7
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 98,246 | $ (6,151) |
Adjustments to reconcile net income (loss) to cash provided by operating activities: | ||
Equity based compensation (Note 15) | 17,487 | 0 |
Stock based compensation | 2,916 | 1,620 |
Depreciation, depletion, accretion and amortization | 57,703 | 37,130 |
Amortization of coil tubing strings | 1,120 | 1,046 |
Amortization of debt origination costs | 199 | 199 |
Bad debt expense | 53,790 | 19 |
(Gain) loss on disposal of property and equipment | (128) | 127 |
Gain on bargain purchase | 0 | (4,012) |
Impairment of long-lived assets | 187 | 0 |
Deferred income taxes | (27,906) | (6,529) |
Changes in assets and liabilities, net of acquisitions of businesses: | ||
Accounts receivable, net | (122,908) | (4,793) |
Receivables from related parties | 3,114 | (12,995) |
Inventories | 4,156 | (4,932) |
Prepaid expenses and other assets | (1,195) | 1,528 |
Accounts payable | 34,186 | 20,557 |
Payables to related parties | 538 | (83) |
Accrued expenses and other liabilities | 10,193 | 1,301 |
Income taxes payable | 94,753 | (28) |
Net cash provided by operating activities | 226,451 | 24,004 |
Cash flows from investing activities: | ||
Purchases of property and equipment | (105,349) | (66,575) |
Purchases of property and equipment from related parties | (3,436) | 0 |
Business acquisitions | (13,356) | (39,570) |
Proceeds from disposal of property and equipment | 898 | 781 |
Business combination cash acquired (Note 4) | 0 | 2,671 |
Net cash used in investing activities | (121,243) | (102,693) |
Cash flows from financing activities: | ||
Borrowings from lines of credit | 52,000 | 79,150 |
Repayments of lines of credit | (151,900) | (14,150) |
Repayments of equipment financing note | (145) | 0 |
Repayment of Stingray acquisition long-term debt | 0 | (7,074) |
Net cash (used in) provided by financing activities | (100,045) | 57,926 |
Effect of foreign exchange rate on cash | (98) | 73 |
Net change in cash and cash equivalents | 5,065 | (20,690) |
Cash and cash equivalents at beginning of period | 5,637 | 29,239 |
Cash and cash equivalents at end of period | 10,702 | 8,549 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 2,543 | 1,086 |
Cash paid for income taxes | 32,584 | 912 |
Supplemental disclosure of non-cash transactions: | ||
Purchases of property and equipment included in accounts payable and accrued expenses | 20,897 | 7,836 |
Acquisition of Sturgeon, Stingray Cementing LLC and Stingray Energy Services LLC (Note 4) | $ 0 | $ 23,091 |
Organization and Nature of Busi
Organization and Nature of Business | 6 Months Ended |
Jun. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | Organization and Nature of Business Mammoth Energy Services, Inc. (the “Company,” “Mammoth Inc.” or “Mammoth”), together with its subsidiaries, is an integrated, growth-oriented company serving both the oil and gas and the electric utility industries in North America and U.S. territories. Mammoth's subsidiaries provide a diversified set of drilling and completion services to the exploration and production industry and its infrastructure division provides transmission, distribution and logistics services to various public and privately owned utilities throughout the U.S. and Puerto Rico. The Company was incorporated in Delaware in June 2016 as a wholly-owned subsidiary of Mammoth Energy Partners LP, a Delaware limited partnership (the “Partnership” or the “Predecessor”). The Partnership was originally formed by Wexford Capital LP (“Wexford”) in February 2014 as a holding company under the name Redback Inc. and was converted to a Delaware limited partnership in August 2014. On November 24, 2014, Mammoth Energy Holdings LLC (“Mammoth Holdings,” an entity controlled by Wexford), Gulfport Energy Corporation (“Gulfport”) and Rhino Resource Partners LP (“Rhino”) (collectively known as the “Predecessor Interest”) contributed their interest in certain of the entities presented below to the Partnership in exchange for 20 million limited partner units. Mammoth Energy Partners GP, LLC (the “General Partner”) held a non-economic general partner interest. On October 12, 2016, the Partnership was converted into a Delaware limited liability company named Mammoth Energy Partners LLC (“Mammoth LLC”), and then Mammoth Holdings, Gulfport and Rhino, as all the members of Mammoth LLC, contributed their member interests in Mammoth LLC to Mammoth Inc. Prior to the conversion and the contribution, Mammoth Inc. was a wholly-owned subsidiary of the Partnership. Following the conversion and the contribution, Mammoth LLC (as the converted successor to the Partnership) was a wholly-owned subsidiary of Mammoth Inc. Mammoth Inc. did not conduct any material business operations until Mammoth LLC was contributed to it. On October 19, 2016, Mammoth Inc. closed its initial public offering of 7,750,000 shares of common stock (the “IPO”), which included an aggregate of 250,000 shares that were offered by Mammoth Holdings, Gulfport and Rhino, at a price to the public of $15.00 per share. On June 29, 2018, Gulfport and MEH Sub LLC ("MEH Sub"), an entity controlled by Wexford, (collectively, the "Selling Stockholders") completed an underwritten secondary public offering of 4,000,000 shares of the Company’s common stock at a purchase price to the Selling Stockholders of $38.01 per share. The Selling Stockholders granted the underwriters an option to purchase up to an aggregate of 600,000 additional shares of the Company's common stock at the same purchase price. This option was exercised, in part, and on July 30, 2018, the underwriters purchased an additional 385,000 shares of common stock from the Selling Stockholders at the same price per share. The Selling Stockholders received all proceeds from this offering. At June 30, 2018 and December 31, 2017 , Wexford, Gulfport and Rhino beneficially owned the following shares of outstanding common stock of Mammoth Inc.: At June 30, 2018 At December 31, 2017 Share Count % Ownership Share Count % Ownership Wexford 22,252,277 49.7 % 25,009,319 56.1 % Gulfport 9,943,645 22.2 % 11,171,887 25.1 % Rhino 104,100 0.2 % 568,794 1.3 % Outstanding shares owned by related parties 32,300,022 72.1 % 36,750,000 82.5 % Total outstanding 44,752,765 100.0 % 44,589,306 100.0 % Operations The Company's infrastructure services include electric utility contracting services focused on the repair, upgrade, maintenance and construction of transmission and distribution networks. The Company’s infrastructure services also provide storm repair and restoration services in response to natural disasters including hurricanes, ice or other storm-related damage. The Company's pressure pumping services include equipment and personnel used in connection with the completion and early production of oil and natural gas wells. The Company's natural sand proppant services include the distribution and production of natural sand proppant that is used primarily for hydraulic fracturing in the oil and gas industry. The Company's contract land and directional drilling services provides drilling rigs and directional tools for both vertical and horizontal drilling of oil and natural gas wells and salt water disposal wells. The Company also provides other services, including coil tubing units used to enhance the flow of oil and natural gas, flowback, cementing, aciziding, equipment rentals, crude oil hauling and remote accommodations. All of the Company’s operations are in North America and in the Caribbean. The Company operates its oil and natural gas businesses in the Permian Basin, the Utica Shale, the Eagle Ford Shale, the Marcellus Shale, the Granite Wash, the SCOOP, the STACK, the Cana-Woodford Shale, the Cleveland Sand and the oil sands located in Northern Alberta, Canada. The Company operates its energy infrastructure services in the northeast, southwest and midwest portions of the United States and Puerto Rico. The Company's oil and natural gas business depends in large part on the conditions in the oil and natural gas industry and, specifically, on the amount of capital spending by its customers. Any prolonged increase or decrease in oil and natural gas prices affects the levels of exploration, development and production activity, as well as the entire health of the oil and natural gas industry. Changes in the commodity prices for oil and natural gas could have a material effect on the Company’s results of operations and financial condition. The Company’s business also depends on infrastructure spending on maintenance, upgrade, expansion and repair and restoration. Any prolonged decrease in spending by electric utility companies or delays or reductions in government appropriations could have a material adverse effect on the Company’s results of operations and financial condition. |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | Basis of Presentation and Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated interim financial statements include the accounts of the Company and its subsidiaries and the variable interest entity ("VIE") for which the Company is the primary beneficiary. All material intercompany accounts and transactions have been eliminated. This report has been prepared in accordance with the rules and regulations of the Securities and Exchange Commission, and reflects all adjustments, which in the opinion of management are necessary for the fair presentation of the results for the interim periods, on a basis consistent with the annual audited consolidated financial statements. Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) have been omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the summary of significant accounting policies and notes thereto included in the Company’s most recent annual report on Form 10-K. On June 5, 2017, the Company acquired Sturgeon Acquisitions LLC ("Sturgeon") and Sturgeon's wholly owned subsidiaries Taylor Frac, LLC, Taylor Real Estate Investments, LLC and South River Road, LLC. Prior to its acquisition of Sturgeon, the Company and Sturgeon were under common control and it is required under GAAP to account for this common control acquisition in a manner similar to the pooling of interest method of accounting. Therefore, the Company's historical financial information for all periods included in the accompanying financial statements has been recast to combine Sturgeon with the Company as if the acquisition had been effective since the date Sturgeon commenced operations. Refer to Note 4 - Acquisitions for additional disclosure regarding the acquisition of Sturgeon. Accounts Receivable Accounts receivable include amounts due from customers for services performed and are recorded as the work progresses. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Most areas in which the Company operates provide for a mechanic’s lien against the property on which the service is performed if the lien is filed within the statutorily specified time frame. Customer balances are generally considered delinquent if unpaid by the 30th day following the invoice date and credit privileges may be revoked if balances remain unpaid. The Company regularly reviews receivables and provides for estimated losses through an allowance for doubtful accounts. In evaluating the level of established reserves, the Company makes judgments regarding its customers’ ability to make required payments, economic events and other factors. As the financial condition of customers changes, circumstances develop, or additional information becomes available, adjustments to the allowance for doubtful accounts may be required. In the event the Company was to determine that a customer may not be able to make required payments, the Company would increase the allowance through a charge to income in the period in which that determination is made. Uncollectible accounts receivable are periodically charged against the allowance for doubtful accounts once a final determination is made regarding their uncollectability. Following is a roll forward of the allowance for doubtful accounts for the year ended December 31, 2017 and the six months ended June 30, 2018 (in thousands): Balance, January 1, 2017 $ 5,377 Additions charged to expense 16,206 Additions other 179 Deductions for uncollectible receivables written off (25 ) Balance, December 31, 2017 21,737 Additions charged to expense 53,790 Deductions for uncollectible receivables written off (1,758 ) Balance, June 30, 2018 $ 73,769 In October 2017, Cobra Acquisitions LLC ("Cobra"), one of the Company's subsidiaries, entered into a contract with the Puerto Rico Electric Power Authority ("PREPA") to perform repairs to PREPA’s electrical grid as a result of Hurricane Maria. At June 30, 2018 and December 31, 2017 , the Company reviewed receivables due from PREPA and made specific reserves consistent with Company policy which resulted in additions to the allowance for doubtful accounts totaling $53.6 million and $16.0 million , respectively, for the six months ended June 30, 2018 and year ended December 31, 2017 . Additionally, the Company has made specific reserves consistent with Company policy which resulted in additions to allowance for doubtful accounts totaling $0.2 million and $0.2 million , respectively, for the six months ended June 30, 2018 and year ended December 31, 2017 . The Company will continue to pursue collection until such time as final determination is made consistent with Company policy. Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents in excess of federally insured limits and trade receivables. Following is a summary of our significant customers based on percentages of total accounts receivable balances at June 30, 2018 and December 31, 2017 and percentages of total revenues derived for the three and six months ended June 30, 2018 and 2017 : REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 Customer A (a) 65 % — % 65 % — % 59 % 56 % Customer B (b) 9 % 59 % 11 % 59 % 9 % 12 % a. Customer A is a third-party customer. Revenues and the related accounts receivable balances earned from Customer A were derived from the Company's infrastructure services segment. b. Customer B is a related party customer. Revenues and the related accounts receivable balances earned from Customer B were derived from the Company's pressure pumping services segment, natural sand proppant services segment, contract land and directional drilling services segment and other businesses. Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, trade receivables, trade payables, amounts receivable or payable to related parties, and long-term debt. The carrying amount of cash and cash equivalents, trade receivables, receivables from related parties and trade payables approximates fair value because of the short-term nature of the instruments. The fair value of long-term debt approximates its carrying value because the cost of borrowing fluctuates based upon market conditions. New Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-2 “Leases” amending the current accounting for leases. Under the new provisions, all lessees will report a right-of-use asset and a liability for the obligation to make payments for all leases with the exception of those leases with a term of 12 months or less. All other leases will fall into one of two categories: (i) a financing lease or (ii) an operating lease. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. For sale leaseback transactions, a sale will only be recognized if the criteria in the new revenue recognition standard are met. ASU 2016-2 is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company plans to adopt this ASU effective January 1, 2019 utilizing the modified retrospective method of adoption. This new leasing guidance will impact the Company in situations where it is the lessee, and in certain circumstances it will have a right-of-use asset and lease liability on its consolidated financial statements. The Company is currently evaluating the effect the new guidance may have on the Company's consolidated financial statements and results of operations. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Improvements to Non-employee Share-Based Accounting,” which simplifies the accounting for share-based payments granted to non-employees by aligning the accounting with requirements for employee share-based compensation. Upon transition, this ASU requires non-employee awards to be measured at fair value as of the adoption date. This ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. Early adoption is permitted. Currently, the Company has not elected to early adopt this ASU and is evaluating the impact it will have on the Company's consolidated financial statements. |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | Revenues Adoption of ASC 606 "Revenues from Contracts with Customers" In May 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers ,” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition , and most industry-specific guidance. The new guidance requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, the Company adopted ASU 2014-09 and its related amendments (collectively, "ASC 606") using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. While ASC 606 requires additional disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, its adoption has not had a material impact on the measurement or recognition of the Company's revenues. The adoption of ASC 606 represents a change in accounting principle. After evaluation of all contracts not completed as of January 1, 2018, the Company determined the cumulative effect of adopting ASC 606 was immaterial, and as such, has not recorded an adjustment to the opening balance of retained earnings on January 1, 2018. Revenue Recognition The following table presents revenues disaggregated by service line (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Revenue: Pressure pumping services $ 101,406 $ 50,196 $ 202,544 $ 90,836 Infrastructure services 360,250 1,709 685,709 1,709 Natural sand proppant services 52,845 24,762 103,860 40,359 Contract land and directional drilling services 17,210 12,472 32,440 23,223 Other services 20,167 10,242 43,062 19,092 Eliminations (18,284 ) (1,119 ) (39,772 ) (1,991 ) Total revenue $ 533,594 $ 98,262 $ 1,027,843 $ 173,228 Pressure Pumping Services Pressure pumping services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Generally, the Company accounts for pressure pumping services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies proppant that is utilized for pressure pumping as part of the agreement with the customer. The Company accounts for these pressure pumping agreements as multiple performance obligations satisfied over time. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Generally, revenue is recognized over time upon the completion of each segment of work based upon a completed field ticket, which includes the charges for the services performed, mobilization of the equipment to the location and personnel. Pursuant to a contract with one of its customers, the Company has agreed to provide that customer with use of two pressure pumping fleets for the period covered by the contract. Under this agreement, performance obligations are satisfied as services are rendered based on the passage of time rather than the completion of each segment of work. The Company has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to the Company for services performed during the contractual period is fixed and the right to receive it is unconditional. Additional revenue is generated through labor charges and the sale of consumable supplies that are incidental to the service being performed. Such amounts are recognized ratably over the period during which the corresponding goods and services are consumed. Infrastructure Services Infrastructure services are typically provided pursuant to master service agreements, repair and maintenance contracts or fixed price and non-fixed price installation contracts. Pricing under these contracts may be unit priced, cost-plus/hourly (or time and materials basis) or fixed price (or lump sum basis). The Company accounts for infrastructure services as a single performance obligation satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Natural Sand Proppant Services The Company sells natural sand proppant through sand supply agreements with its customers. Under these agreements, sand is typically sold at a flat rate per ton or a flat rate per ton with an index-based adjustment. The Company recognizes revenue at the point in time when the customer obtains legal title to the product, which may occur at the production facility, rail origin or at the destination terminal. Certain of the Company's sand supply agreements contain a minimum volume commitment related to sand purchases whereby the Company charges a shortfall payment if the customer fails to meet the required minimum volume commitment. These agreements may also contain make-up provisions whereby shortfall payments can be applied in future periods against purchased volumes exceeding the minimum volume commitment. If a make-up right exists, the Company has future performance obligations to deliver excess volumes of product in subsequent months. In accordance with ASC 606, if the customer fails to meet the minimum volume commitment, the Company will assess whether it expects the customer to fulfill its unmet commitment during the contractually specified make-up period based on discussions with the customer and management's knowledge of the business. If the Company expects the customer will make-up deficient volumes in future periods, revenue related to shortfall payments will be deferred and recognized on the earlier of the date on which the customer utilizes make-up volumes or the likelihood that the customer will exercise its right to make-up deficient volumes becomes remote. If the Company does not expect the customer will make-up deficient volumes in future periods, the breakage model will be applied and revenue related to shortfall payments will be recognized when the model indicates the customer's inability to take delivery of excess volumes. During the three and six months ended June 30, 2018 , the Company recognized $0.3 million in revenue related to shortfall payments. In certain of the Company's sand supply agreements, the customer obtains control of the product when it is loaded into rail cars and the customer reimburses the Company for all freight charges incurred. The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the sand. If revenue is recognized for the related product before the shipping and handling activities occur, the Company accrues the related costs of those shipping and handling activities. Contract Land and Directional Drilling Services Contract drilling services are provided under daywork contracts. Directional drilling services, including motor rentals, are provided on a day rate or hourly basis, and revenue is recognized as work progresses. Performance obligations are satisfied over time as the work progresses based on the measure of output. Mobilization revenue and costs are recognized over the days of actual drilling. Other Services The Company also provides coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, crude oil hauling and remote accommodations services, which are reported under other services. These services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Performance obligations for these services are satisfied over time and revenue is recognized as the work progresses based on the measure of output. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Practical Expedients The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts in which variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied distinct good or service that forms part of a single performance obligation. Performance Obligations and Contract Balances As of June 30, 2018 and January 1, 2018, the Company had contract liabilities totaling $15.0 million , which are included in accrued expenses and other current liabilities in the unaudited condensed consolidated balance sheets, and did no t have any contract assets. Revenue recognized in the current period from performance obligations satisfied in previous periods was a nominal amount for the three and six months ended June 30, 2018 . As of June 30, 2018 , the Company had unsatisfied performance obligations totaling $68.5 million , which will be recognized over the next 2.5 years . |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions (a) Acquisition of WTL Oil On May 31, 2018, the Company completed its acquisition of WTL Oil LLC ("WTL") for total consideration of $5.5 million in cash to the sellers plus $0.6 million in consideration to be paid upon completion of certain contractual obligations. As of June 30, 2018 , the $0.6 million of contingent consideration is reflected in accrued expenses and other current liabilities on the unaudited condensed consolidated balance sheet. The seller completed these obligations and the Company paid the additional $0.6 million to the seller in July 2018. The Company used cash on hand and borrowings under its credit facility to fund the acquisition. The acquisition of WTL expanded the Company's service offerings into the crude oil hauling business. The following table summarizes the fair value of WTL as of May 31, 2018 (in thousands): WTL Property, plant and equipment $ 2,960 Identifiable intangible assets - customer relationships (a) 930 Identifiable intangible assets - trade name (a) 650 Goodwill (b) 1,567 Total assets acquired $ 6,107 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Non-contractual customer relationships were valued using a "Multi-period excess earnings" method. Identifiable intangible assets will be amortized over 10 - 20 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through June 30, 2018 , WTL provided the following activity (in thousands): 2018 Revenues $ 595 Net income (a) 5 a. Includes depreciation and amortization expense of $0.1 million . The following table presents unaudited pro forma information as if the acquisition of WTL had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2018 June 30, 2017 Revenues $ 3,354 $ 1,553 Net income 90 62 The Company recognized $0.1 million of transaction related costs during the three months ended June 30, 2018 related to this acquisition. (b) Acquisition of RTS Energy Services On June 15, 2018, the Company completed its acquisition of RTS Energy Services LLC ("RTS") for total consideration of $7.6 million in cash to the sellers plus $0.5 million to be paid 90 days after closing subject to contractual conditions. As of June 30, 2018 , the $0.5 million of contingent consideration is reflected in accrued expenses and other current liabilities on the unaudited condensed consolidated balance sheet. The Company used cash on hand and borrowings under its credit facility to fund the acquisition. The acquisition of RTS expanded Mammoth's cementing services into the Permian Basin and added acidizing to the Company's service offerings. The following table summarizes the fair value of RTS as of June 15, 2018 (in thousands): RTS Inventory $ 180 Property, plant and equipment 7,787 Goodwill (a) 133 Total assets acquired $ 8,100 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through June 30, 2018 , RTS provided the following activity (in thousands): 2018 Revenues $ 630 Net income (a) 7 a. Includes depreciation expense of $0.1 million . The following table presents unaudited pro forma information as if the acquisition of RTS had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2018 June 30, 2017 Revenues $ 10,160 $ 8,326 Net income (loss) (848 ) 653 The Company recognized a nominal amount of transaction related costs during the three months ended June 30, 2018 related to this acquisition. (c) Acquisition of 5 Star On July 1, 2017, the Company completed its acquisition of 5 Star for total consideration of $2.4 million in cash to the sellers. Mammoth funded the purchase price for 5 Star with cash on hand and borrowings under its credit facility. The acquisition of 5 Star added to the infrastructure component of the Company's business. The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. The following table summarizes the fair value of 5 Star as of July 1, 2017 (in thousands): 5 Star Accounts receivable $ 2,440 Property, plant and equipment 1,863 Identifiable intangible assets - trade names (a) 300 Goodwill (b) 248 Total assets acquired $ 4,851 Long-term debt and other liabilities $ 2,413 Total liabilities assumed $ 2,413 Net assets acquired $ 2,438 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Identifiable intangible assets will be amortized over 10 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through June 30, 2018 , 5 Star provided the following activity (in thousands): 2018 2017 Revenues (a) $ 86,720 $ 25,216 Net income (b) 12,903 4,191 a. Includes intercompany revenues of $77.5 million and $16.0 million , respectively, for 2018 and 2017. b. Includes depreciation and amortization expense of $1.0 million and $0.8 million , respectively, for 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of 5 Star had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 6,332 Net loss (282 ) (d) Acquisition of Higher Power On April 21, 2017, the Company completed its acquisition of Higher Power for total consideration of $3.3 million in cash to the sellers plus up to $0.8 million in contingent consideration to be paid in equal annual installments over the next three years subject to contractual conditions. As of June 30, 2018 , $0.3 million and $0.3 million , respectively, of the contingent consideration are reflected in accrued expenses and other current liabilities and other liabilities on the unaudited condensed consolidated balance sheet. Mammoth funded the purchase price for Higher Power with cash on hand and borrowings under its credit facility. The acquisition of Higher Power added an energy infrastructure component to the Company's business, helping to diversify its service offerings. The Company recognized $0.1 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. The following table summarizes the fair value of Higher Power as of April 21, 2017 (in thousands): Higher Power Property, plant and equipment $ 1,744 Identifiable intangible assets - customer relationships 1,613 Goodwill (a) 643 Total assets acquired $ 4,000 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. From the acquisition date through June 30, 2018 , Higher Power provided the following activity (in thousands): 2018 2017 Revenues (a) $ 122,734 $ 39,571 Net income (b) 16,205 5,127 a. Includes intercompany revenues of $111.4 million and $27.4 million , respectively for 2018 and 2017. b. Includes depreciation and amortization expense of $2.3 million and $2.0 million , respectively, for 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of Higher Power had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 4,481 Net loss (411 ) (e) Acquisition of Sturgeon On March 20, 2017, and as amended on May 12, 2017, the Company entered into a definitive contribution agreement with MEH Sub, Wexford Offshore Sturgeon Corp., Gulfport, Rhino and Mammoth Energy Partners LLC (the “Sturgeon Contribution Agreement”). Under the Sturgeon Contribution Agreement, the Company agreed to acquire, through its wholly-owned subsidiary Mammoth LLC, all outstanding membership interests in Sturgeon, which owns all of the membership interests in Taylor Frac, Taylor RE and South River (collectively, the "Sturgeon subsidiaries"). The acquisition added sand reserves, increased our production capacity and provided access to the Canadian National Railway, which affords access to the Appalachian basin in support of the Company’s pressure pumping services as well as to western Canada. The acquisition of Sturgeon closed on June 5, 2017. Pursuant to the Sturgeon Contribution Agreement, Mammoth issued 5,607,452 shares of its common stock for all outstanding equity interests in Sturgeon. Based upon a closing price of Mammoth's common stock of $18.50 per share on June 5, 2017, the total purchase price was $103.7 million . As a result of this transaction, the Company's historical financial information has been recast to combine the unaudited condensed consolidated statements of operations and the unaudited condensed consolidated balance sheets of the Company for all periods included in the accompanying financial statements with those of Sturgeon as if the combination had been in effect since Sturgeon commenced operations on September 13, 2014. Any material transactions between the Company and Sturgeon were eliminated. Sturgeon's financial results were incorporated into the Company's natural sand proppant services division. For the year ended December 31, 2017, $1.3 million of transaction related costs were expensed. (f) Acquisition of Chieftain On March 27, 2017, as amended as of May 24, 2017, the Company entered into a Purchase Agreement with Chieftain Sand and Proppant, LLC and Chieftain Sand and Proppant Barron, LLC, unrelated third party sellers (the "Chieftain Sellers"), following the Company's successful bid in a bankruptcy court auction for substantially all of the assets of the Chieftain Sellers (the "Chieftain Assets"). This transaction (the "Chieftain Acquisition") closed on May 26, 2017. Mammoth funded the purchase price for the Chieftain Assets with cash on hand and borrowings under its revolving credit facility. The Chieftain Assets are held by the Company's wholly owned subsidiary Piranha and are included in the Company's sand segment. The Chieftain Acquisition added sand reserves, increased our production capacity and provided access to the Union Pacific railroad, which affords access to both the Mid-Continent and Permian basins in support of the Company’s pressure pumping services. The following table summarizes the fair value of the Chieftain Acquisition as of May 26, 2017 (in thousands): Total Property, plant and equipment (a) $ 23,373 Sand reserves (b) 20,910 Total assets acquired $ 44,283 Asset retirement obligation 1,732 Total liabilities assumed $ 1,732 Total allocation of purchase price $ 42,551 Bargain purchase price (c,d) (6,231 ) Total purchase price $ 36,320 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. The fair value of the sand reserves was determined based on the excess cash flow method, a form of the income approach. The method provides a value based on the estimated remaining life of sand reserves, projected financial information and industry projections. c. Amount reflected in unaudited condensed consolidated statements of comprehensive income (loss) reflected net of income taxes of $2.2 million . d. The fair value of the business was determined based on the excess cash flow method, a form of the income approach. From the acquisition date through June 30, 2018 , the Chieftain Assets provided the following activity (in thousands): 2018 2017 Revenues (a) $ 35,128 $ 22,847 Net income (b) 10,694 5,520 a. Includes intercompany revenues of $9.6 million and $12.3 million , respectively, for 2018 and 2017 b. Includes depreciation, depletion, amortization and accretion of $2.3 million and $2.8 million , respectively, for 2018 and 2017 The following table presents unaudited pro forma information as if the acquisition of the Chieftain Assets had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 1,312 Net loss (72 ) The Company's historical financial information was adjusted to give pro forma effect to the events that were directly attributable to the Chieftain Acquisition. The Company recognized $0.8 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. (g) Acquisition of Stingray On March 20, 2017, and as amended on May 12, 2017, the Company entered into two definitive contribution agreements, one such agreement with MEH Sub, Wexford Offshore Stingray Energy Corp., Gulfport and Mammoth LLC and the other with MEH Sub, Wexford Offshore Stingray Pressure Pumping Corp., Gulfport and Mammoth LLC (collectively, the “Stingray Contribution Agreements”). Under the Stingray Contribution Agreements, the Company agreed to acquire, through its wholly-owned subsidiary Mammoth LLC, all outstanding membership interests in Stingray Cementing LLC ("Cementing") and Stingray Energy Services LLC ("SR Energy") (the “2017 Stingray Acquisition”). The addition of their water transfer, equipment rentals and cementing services further expanded and vertically integrated Mammoth’s service offerings. The 2017 Stingray Acquisition closed on June 5, 2017. Pursuant to the Stingray Contribution Agreements, Mammoth issued 1,392,548 shares of its common stock for all outstanding equity interests in SR Energy and Cementing. Based upon a closing price of Mammoth's common stock of $18.50 per share on June 5, 2017, the total purchase price was $25.8 million . The following tables summarize the fair values of Cementing and SR Energy as of June 5, 2017 (in thousands): Consideration attributable to Cementing (a) $ 12,975 Consideration attributable to SR Energy (a) 12,787 Total consideration transferred $ 25,762 a. See Summary of acquired assets and liabilities below SR Energy Cementing Total (in thousands) Cash and cash equivalents $ 1,611 $ 1,060 $ 2,671 Accounts receivable, net 3,913 495 4,408 Receivables from related parties 3,684 1,418 5,102 Inventories — 306 306 Prepaid expenses 35 32 67 Property, plant and equipment (a) 13,061 7,459 20,520 Identifiable intangible assets - customer relationships (b) — 1,140 1,140 Identifiable intangible assets - trade names (b) 550 270 820 Goodwill (c) 3,929 6,264 10,193 Other assets 7 — 7 Total assets acquired $ 26,790 $ 18,444 $ 45,234 Accounts payable and accrued liabilities $ 5,890 $ 2,063 $ 7,953 Long-term debt (d) 5,074 2,000 7,074 Deferred tax liability 3,039 1,406 4,445 Total liabilities assumed $ 14,003 $ 5,469 $ 19,472 Net assets acquired $ 12,787 $ 12,975 $ 25,762 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Non-contractual customer relationships were valued using a "Multi-period excess earnings" method. Identifiable intangible assets will be amortized over 5 - 10 years. c. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforces and future profitability expected to arise from the acquired entities. d. Long-term debt assumed was paid off subsequent to the acquisitions. From the acquisition date through June 30, 2018 , SR Energy and Cementing provided the following activity (in thousands): 2018 2017 SR Energy Cementing SR Energy Cementing Revenues (a) $ 16,034 $ 5,131 $ 11,572 $ 7,500 Net loss (b) (1,586 ) (806 ) (1,626 ) (1,963 ) a. Includes intercompany revenues of $1.6 million and $0.6 million for SR Energy in 2018 and 2017. b. Includes depreciation and amortization expense of $2.8 million and $1.0 million , respectively, for SR Energy and Cementing in 2018 and $3.4 million and $4.1 million , respectively, for SR Energy and Cementing in 2017 . The following table presents unaudited pro forma information as if the acquisition of SR Energy and Cementing had occurred on January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 18,333 Net loss (1,612 ) The historical financial information was adjusted to give effect to the pro forma events that were directly attributable to the 2017 Stingray Acquisition. The unaudited pro forma consolidated results are not necessarily indicative of what the consolidated results of operations actually would have been had the 2017 Stingray Acquisition been completed on January 1, 2017. In addition, the unaudited pro forma consolidated results do not purport to project the future results of operations of the Company. The Company recognized $0.2 million of transaction related costs during the year ended December 31, 2017 related to this acquisition. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventory consists of raw sand and processed sand available for sale, chemicals and other products sold as a bi-product of completion and production operations and supplies used in performing services. Inventory is stated at the lower of cost or market (net realizable value) on an average cost basis. The Company assesses the valuation of its inventories based upon specific usage and future utility. A summary of the Company's inventories is shown below (in thousands): June 30, December 31, 2018 2017 Supplies $ 7,264 $ 9,437 Raw materials 321 219 Work in process 1,326 2,370 Finished goods 3,806 5,788 Total inventory $ 12,717 $ 17,814 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment include the following (in thousands): June 30, December 31, Useful Life 2018 2017 Pressure pumping equipment 3-5 years $ 199,333 $ 190,211 Drilling rigs and related equipment 3-15 years 137,075 132,260 Machinery and equipment (a) 7-20 years 140,308 97,569 Buildings 15-39 years 47,593 45,992 Vehicles, trucks and trailers (b) 5-10 years 91,680 54,055 Coil tubing equipment 4-10 years 28,068 28,053 Land N/A 14,183 11,317 Land improvements 15 years or life of lease 9,614 9,614 Rail improvements 10-20 years 13,101 5,540 Other property and equipment 3-12 years 15,006 12,687 695,961 587,298 Deposits on equipment and equipment in process of assembly 33,349 20,348 729,310 607,646 Less: accumulated depreciation (c) 305,995 256,629 Property, plant and equipment, net $ 423,315 $ 351,017 a. Included in machinery and equipment are assets under capital leases totaling $1.8 million and $1.8 million , respectively, at June 30, 2018 and December 31, 2017 . b. Included in vehicles, trucks and trailers are assets under capital leases totaling $3.8 million and $1.0 million , respectively, at June 30, 2018 and December 31, 2017 . c. Accumulated depreciation for assets under capital leases totaled $0.9 million and $0.8 million , respectively, at June 30, 2018 and December 31, 2017 . Proceeds from customers for horizontal and directional drilling services equipment damaged or lost down-hole are reflected in revenue with the carrying value of the related equipment charged to cost of service revenues and are reported as cash inflows from investing activities in the statement of cash flows. For the six months ended June 30, 2018 and 2017 , proceeds from the sale of equipment damaged or lost down-hole were $0.6 million and $0.3 million , respectively, and gains on sales of equipment damaged or lost down-hole were $0.5 million and $0.2 million , respectively. A summary of depreciation, depletion, amortization and accretion expense is below (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Depreciation expense (a) $ 27,058 $ 17,229 $ 51,456 $ 32,196 Depletion expense 1,340 382 1,427 384 Amortization expense 2,382 2,268 4,790 4,536 Accretion expense 15 14 30 14 Depreciation, depletion, amortization and accretion $ 30,795 $ 19,893 $ 57,703 $ 37,130 a. Includes depreciation expense for assets under capital leases totaling $0.4 million and $0.2 million , respectively, for the six months ended June 30, 2018 and 2017 . Deposits on equipment and equipment in process of assembly represents deposits placed with vendors for equipment that is in the process of assembly and purchased equipment that is being outfitted for its intended use. The equipment is not yet placed in service. |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | Intangible Assets and Goodwill The Company had the following definite lived intangible assets recorded (in thousands): June 30, December 31, 2018 2017 Customer relationships $ 36,725 $ 35,795 Trade names 9,443 8,793 Less: accumulated amortization - customer relationships (30,521 ) (26,172 ) Less: accumulated amortization - trade names (2,717 ) (2,277 ) Intangible assets, net $ 12,930 $ 16,139 Amortization expense for intangible assets was $4.8 million and $4.5 million , respectively, for the six months ended June 30, 2018 and 2017 . The original life of customer relationships ranges from 4 to 10 years with a remaining average useful life of 3.9 years. The original life of trade names ranges from 10 to 20 years with a remaining average useful life of 9.1 years. Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands): Amount Remainder of 2018 $ 3,969 2019 1,293 2020 1,293 2021 1,288 2022 1,266 Thereafter 3,821 $ 12,930 Goodwill was $101.5 million and $99.8 million , respectively, at June 30, 2018 and December 31, 2017 . Changes in the goodwill for the year ended December 31, 2017 and the six months ended June 30, 2018 are set forth below (in thousands): Balance, January 1, 2017 $ 88,727 Additions - 2017 Stingray Acquisition (Note 4) 10,193 Additions - Higher Power Acquisition (Note 4) 643 Additions - 5 Star Acquisition (Note 4) 248 Balance, December 31, 2017 99,811 Additions - WTL Acquisition (Note 4) 1,567 Additions - RTS Acquisition (Note 4) 133 Balance, June 30, 2018 $ 101,511 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 6 Months Ended |
Jun. 30, 2018 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expense and other current liabilities included the following (in thousands): June 30, December 31, 2018 2017 Deferred revenue 15,100 15,210 Accrued compensation, benefits and related taxes 19,917 11,552 Financed insurance premiums 1,638 4,876 Insurance reserves 4,183 2,942 State and local taxes payable 8,205 2,126 Other 5,658 4,189 Total $ 54,701 $ 40,895 Financed insurance premiums are due in monthly installments, are unsecured and mature within the twelve month period following the close of the year. As of June 30, 2018 and December 31, 2017 , the applicable interest rate associated with financed insurance premiums was 2.75% . |
Debt
Debt | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Debt | Debt Mammoth Credit Facility On November 25, 2014, Mammoth entered into a revolving credit and security agreement with a syndicate of banks that provides for maximum borrowings of $170 million . The facility, as amended, matures on November 25, 2019. Borrowings under this facility are secured by the assets of Mammoth, inclusive of the subsidiary companies. The maximum availability of the facility is subject to a borrowing base calculation prepared monthly. Concurrent with the execution of the facility, the initial advance was used to repay all the debt of the Company then outstanding. Interest is payable monthly at a base rate set by the lead institution’s commercial lending group plus an applicable margin. Additionally, at the Company's request, outstanding balances are permitted to be converted to LIBOR rate plus applicable margin tranches at set increments of $0.5 million . The LIBOR rate option allows the Company to select interest periods from one, two, three or six months. The applicable margin for either the base rate or the LIBOR rate option can vary from 1.5% to 3.0% , based upon a calculation of the excess availability of the line as a percentage of the maximum credit limit. The deferred loan costs associated with this facility are classified in other non-current assets. At June 30, 2018 , there were no outstanding borrowings under the credit facility and $162.7 million of available borrowing capacity, after giving effect to $6.5 million of outstanding letters of credit. At December 31, 2017 , there were outstanding borrowings under the credit facility of $99.9 million , leaving an aggregate of $62.8 million of borrowing capacity under the facility, after giving effect to $6.5 million of outstanding letters of credit. The Mammoth facility also contains various customary affirmative and restrictive covenants. Among the various covenants are specifically identified financial covenants placing requirements of a minimum interest coverage ratio ( 3.0 to 1.0), maximum leverage ratio ( 4.0 to 1.0), and minimum availability ( $10 million ). As of June 30, 2018 and December 31, 2017 , the Company was in compliance with the financial covenants under the facility. Sturgeon Credit Facility On June 30, 2015, Sturgeon entered in to a three -year $25.0 million revolving line of credit secured by substantially all of the assets of Sturgeon (“the Sturgeon revolver”). Advances under the Sturgeon revolver bore interest at 2% plus the greater of (a) the Base Rate as set by the lender's commercial lending group, (b) the sum of the Federal Funds Open Rate plus one half of one percent and (c) the sum of the Daily LIBOR rate. Additionally, at Sturgeon’s request, advances could be obtained at LIBOR plus 3% . The LIBOR rate option allowed Sturgeon to select interest periods from one, two, three or six month LIBOR futures spot rates. The Sturgeon revolver was terminated on June 6, 2017. |
Other Liabilities
Other Liabilities | 6 Months Ended |
Jun. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | Other Liabilities Other liabilities included the following (in thousands): June 30, December 31, 2018 2017 Capital lease obligations $ 4,253 $ 2,015 Equipment financing arrangement 1,436 1,605 Other 250 500 Total 5,939 4,120 Less: Current portion of capital lease and equipment financing obligations included in accrued expenses and other current liabilities (1,839 ) (831 ) Total Other Liabilities $ 4,100 $ 3,289 The Company leases vehicles and other equipment under capital leases with varying terms and expiration dates through 2020. The weighted average implied interest rate under our capital leases as of June 30, 2018 and December 31, 2017 was 14.2% and 19.1% , respectively. Additionally, the Company entered into a five -year equipment financing arrangement maturing in 2022 that bears interest at 4.6% as of June 30, 2018 . Principal and interest on capital leases and the equipment financing arrangement are paid monthly. Aggregate future payments under the Company's non-cancelable capital leases and equipment financing arrangement as of June 30, 2018 are as follows (in thousands): 2018 $ 890 2019 2,593 2020 1,696 2021 664 2022 360 Total future minimum payments 6,203 Less interest payments (514 ) Present value of future minimum payments $ 5,689 |
Variable Interest Entity
Variable Interest Entity | 6 Months Ended |
Jun. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entity | Variable Interest Entity On April 6, 2018, Dire Wolf Energy Services LLC ("Dire Wolf"), a wholly owned subsidiary of the Company, entered into a Voting Trust Agreement with TVPX Aircraft Solutions Inc. (the "Voting Trustee"). Under the Voting Trust Agreement, Dire Wolf transferred 100% of its membership interest in Cobra Aviation Services LLC ("Cobra Aviation") to the Voting Trustee in exchange for Voting Trust Certificates. Dire Wolf retained the obligation to absorb all expected returns or losses of Cobra Aviation. Prior to the transfer of membership interest to the Voting Trustee, Cobra Aviation was a wholly owned subsidiary of Dire Wolf. Cobra Aviation owns and operates a helicopter primarily for services provided to Cobra Acquisitions, a wholly owned subsidiary of the Company. Dire Wolf entered into the Voting Trust Agreement in order to meet certain registration requirements. Dire Wolf's voting rights are not proportional to its obligation to absorb expected returns or losses of Cobra Aviation and all of Cobra Aviation's activities are conducted on behalf of Dire Wolf, which has disproportionately fewer voting rights; therefore, Cobra Aviation meets the criteria of a VIE. Cobra Aviation's operational activities are directed by Dire Wolf's officers and Dire Wolf has the option to terminate the Voting Trust Agreement at any time. Therefore, the Company, through Dire Wolf, is considered the primary beneficiary of the VIE and consolidates Cobra Aviation at June 30, 2018. |
Selling, General And Administra
Selling, General And Administrative Expense | 6 Months Ended |
Jun. 30, 2018 | |
Other Income and Expenses [Abstract] | |
Selling, General and Administrative Expense | Selling, General and Administrative Expense Selling, general and administrative ("SG&A") expense includes of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Cash expenses: Compensation and benefits $ 10,978 $ 2,966 $ 18,677 $ 5,381 Professional services 2,981 1,652 5,568 3,581 Other (a) 3,935 2,015 5,542 3,880 Total cash SG&A expense 17,894 6,633 29,787 12,842 Non-cash expenses: Bad debt provision 28,263 17 53,790 (25 ) Equity based compensation (b) 17,487 — 17,487 — Stock based compensation 1,483 1,050 2,574 1,620 Total non-cash SG&A expense 47,233 1,067 73,851 1,595 Total SG&A expense $ 65,127 $ 7,700 $ 103,638 $ 14,437 a. Includes travel-related costs, IT expenses, rent, utilities and other general and administrative-related costs. b. Represents compensation expense for non-employee awards, which were issued and are payable by certain affiliates of Wexford (the sponsor level). See Note 15 for additional detail. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of income tax expense (benefit) attributable to the Company for the three and six months ended June 30, 2018 and 2017 , are as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Foreign current income tax expense $ 67,665 $ 21 $ 125,712 $ 606 Foreign deferred income tax benefit (15,266 ) (14 ) (25,386 ) (20 ) U.S. current income tax expense 1,636 — 1,624 — U.S. deferred income tax benefit (523 ) (2,811 ) (2,520 ) (6,496 ) Total $ 53,512 $ (2,804 ) $ 99,430 $ (5,910 ) The Company's effective tax rate was 50% and 37% , respectively, for the six months ended June 30, 2018 and 2017 . The increase in the effective tax rate is primarily due to the equity based compensation expense recognized during the six months ended June 30, 2018 as well as a higher tax rate in Puerto Rico, where most of our income was generated during the six months ended June 30, 2018 , compared to the United States tax rate. No income was generated in Puerto Rico during the six months ended June 30, 2017 . Additionally, the Company's effective tax rate can fluctuate as a result of, among other things, discrete items, state income taxes, permanent differences and changes in pre-tax income. A valuation allowance for deferred tax assets is recognized when it is more likely than not that the benefit of deferred tax assets will not be realized. To assess that likelihood, the Company uses estimates and judgments regarding future taxable income, as well as the jurisdiction in which such taxable income is generated, to determine whether a valuation allowance is required. During the six months ended June 30, 2018 , the Company recorded a change in valuation allowance of $9.2 million related to foreign tax credits that are not expected to be utilized. On December 22, 2017, the United States enacted the Tax Cuts and Jobs Act (the “Tax Act”). As a result, the Company recorded a provisional amount for effects of the Tax Act totaling $31.0 million during the fourth quarter of 2017. The Company continues to evaluate the impact of the Tax Act and no revisions were recorded to the provisional amount during the six months ended June 30, 2018 . The Company expects to complete its detailed analysis of the effects of the Tax Act no later than the fourth quarter of 2018. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Reconciliations of the components of basic and diluted net income (loss) per common share are presented in the table below (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Basic earnings (loss) per share: Allocation of earnings: Net income (loss) $ 42,700 $ (1,170 ) $ 98,246 $ (6,151 ) Weighted average common shares outstanding 44,737 39,500 44,700 38,506 Basic earnings (loss) per share $ 0.95 $ (0.03 ) $ 2.20 $ (0.16 ) Diluted earnings (loss) per share: Allocation of earnings (loss): Net income (loss) $ 42,700 $ (1,170 ) $ 98,246 $ (6,151 ) Weighted average common shares, including dilutive effect (a) 45,059 39,500 44,977 38,506 Diluted earnings (loss) per share $ 0.95 $ (0.03 ) $ 2.18 $ (0.16 ) a. No incremental shares of potentially dilutive restricted stock awards were included for the three and six months ended June 30, 2017 as their effect was antidulitive under the treasury stock method. |
Equity Based Compensation
Equity Based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Equity Based Compensation | Equity Based Compensation Upon formation of certain operating entities by Wexford, Gulfport and Rhino, specified members of management (the “Specified Members”) and certain non-employee members (the “Non-Employee Members”) were granted the right to receive distributions from the operating entities after the contribution member’s unreturned capital balance was recovered (referred to as “Payout” provision). On November 24, 2014, the awards were modified in conjunction with the contribution of the operating entities to Mammoth. These awards were not granted in limited or general partner units. The awards are for interests in the distributable earnings of the members of MEH Sub, Mammoth’s majority equity holder. On the IPO closing date, the unreturned capital balance of Mammoth's majority equity holder was not fully recovered from its sale of common stock in the IPO. As a result, Payout did not occur and no compensation cost was recorded. On June 29, 2018, as part of an underwritten secondary public offering, MEH Sub sold 2,764,400 shares of the Company’s common stock at a purchase price to MEH Sub of $38.01 per share. MEH Sub received the proceeds from this offering. As a result, a portion of the Non-Employee Member awards reached Payout. During the three months ended June 30, 2018, the Company recognized equity compensation expense totaling $17.5 million related to these non-employee awards. These awards are at the sponsor level and this transaction had no dilutive impact or cash impact to the Company. Payout for the remaining awards is expected to occur following additional sales by MEH Sub of its shares of the Company's common stock, which is considered not probable until the event occurs. For the Specified Member awards, the unrecognized amount, which represents the fair value of the award as of the modification dates or grant date, was $5.6 million . For the Non-Employee Member awards, the unrecognized amount, which represents the fair value of the awards as of June 30, 2018 was $43.1 million . |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Based Compensation | Stock Based Compensation The 2016 Plan authorizes the Company's Board of Directors or the compensation committee of the Company's Board of Directors to grant restricted stock, restricted stock units, stock appreciation rights, stock options and performance awards. There are 4.5 million shares of common stock reserved for issuance under the 2016 Plan. Restricted Stock Units The fair value of restricted stock unit awards was determined based on the fair market value of the Company's common stock on the date of the grant. This value is amortized over the vesting period. A summary of the status and changes of the unvested shares of restricted stock under the 2016 Plan is presented below. Number of Unvested Restricted Shares Weighted Average Grant-Date Fair Value Unvested shares as of January 1, 2018 640,632 $ 19.44 Granted 93,556 26.83 Vested (149,098 ) 21.29 Forfeited — — Unvested shares as of June 30, 2018 585,090 $ 21.07 As of June 30, 2018 , there was $9.2 million of total unrecognized compensation cost related to the unvested restricted stock. The cost is expected to be recognized over a weighted average period of approximately 1.8 years . Included in cost of revenue and selling, general and administrative expenses is stock based compensation expense of $1.7 million and $1.1 million , respectively, for the three months ended June 30, 2018 and 2017 and $2.9 million and $1.6 million , respectively, for the six months ended June 30, 2018 and 2017 . |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Transactions between the subsidiaries of the Company and the following companies are included in Related Party Transactions: Gulfport; Grizzly Oil Sands ULC (“Grizzly”); El Toro Resources LLC (“El Toro”); Cementing and SR Energy (collectively, prior to the 2017 Stingray Acquisition, the “2017 Stingray Companies”); Everest Operations Management LLC (“Everest”); Elk City Yard LLC (“Elk City Yard”); Double Barrel Downhole Technologies LLC (“DBDHT”); Caliber Investment Group LLC (“Caliber”); Dunvegan North Oilfield Services ULC (“Dunvegan”); Predator Drilling LLC (“Predator”); and T&E Flow Services LLC (“T&E”). Following is a summary of related party transactions (in thousands): REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 Pressure Pumping and Gulfport (a) $ 33,831 $ 41,100 $ 72,377 $ 72,845 $ 20,127 $ 25,054 Muskie and Gulfport (b) 9,730 13,605 21,192 25,145 4,428 1,947 Panther Drilling and Gulfport (c) — 952 56 1,994 12 872 Cementing and Gulfport (d) 2,048 903 4,876 903 1,739 2,255 SR Energy and Gulfport (e) 4,626 1,565 11,579 1,565 4,292 3,348 Panther Drilling and El Toro (f) — — 345 — — — Redback Energy and El Toro (g) 92 34 92 158 — — Coil Tubing and El Toro (h) — — 360 — (2 ) — Bison Drilling and Predator (i) — — — — — 234 Other Relationships 14 49 14 100 78 78 $ 50,341 $ 58,208 $ 110,891 $ 102,710 $ 30,674 $ 33,788 a. Pressure Pumping provides pressure pumping, stimulation and related completion services to Gulfport. b. Muskie has agreed to sell and deliver, and Gulfport has agreed to purchase, specified annual and monthly amounts of natural sand proppant, subject to certain exceptions specified in the agreement, and pay certain costs and expenses. c. Panther Drilling performs drilling services for Gulfport pursuant to a master service agreement. d. Cementing performs well cementing services for Gulfport. e. SR Energy performs rental services for Gulfport. f. Panther provides services for El Toro, an entity controlled by Wexford, pursuant to a master service agreement. g. Redback Energy performs completion and production services for El Toro pursuant to a master service agreement. h. Coil Tubing provides to El Toro services in connection with completion and drilling activities. i. Bison Drilling provides equipment rentals to Predator, an entity in which Wexford owns a minority interest. Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 COST OF REVENUE COST OF REVENUE ACCOUNTS PAYABLE Cobra and T&E (a) $ 1,486 $ — $ 2,762 $ — $ 289 $ 457 Higher Power and T&E (a) 950 — 1,458 — 576 3 Panther and DBDHT (b) — — — 128 — 77 The Company and 2017 Stingray Companies (c) — 207 — 444 — — Other (8 ) 55 — 120 — 218 $ 2,428 $ 262 $ 4,220 $ 692 $ 865 $ 755 SELLING, GENERAL AND ADMINISTRATIVE COSTS SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Everest (d) $ 55 $ 50 $ 86 $ 108 $ 6 $ 19 The Company and Wexford (e) 290 165 473 398 78 150 The Company and Caliber (f) 145 72 346 72 47 1 Other 42 20 56 53 — 2 $ 532 $ 307 $ 961 $ 631 $ 131 $ 172 CAPITAL EXPENDITURES CAPITAL EXPENDITURES Cobra and T&E (a) $ 757 $ — $ 1,131 $ — $ 170 $ 66 Higher Power and T&E (a) 1,575 — 2,773 — 750 385 $ 2,332 $ — $ 3,904 $ — $ 920 $ 451 $ 1,916 $ 1,378 a. Cobra and Higher Power purchase materials and services from T&E, an entity in which a member of management's family owns a minority interest. b. Panther rents rotary steerable equipment in connection with its directional drilling services from DBDHT. c. Prior to the 2017 Stingray Acquisition, the 2017 Stingray Companies provided certain services to the Company and, from time to time, the 2017 Stingray Companies paid for goods and services on behalf of the Company. d. Everest has historically provided office space and certain technical, administrative and payroll services to the Company and the Company has reimbursed Everest in amounts determined by Everest based on estimates of the amount of office space provided and the amount of employees’ time spent performing services for the Company. e. Wexford provides certain administrative and analytical services to the Company and, from time to time, the Company pays for goods and services on behalf of Wexford. f. Caliber leases office space to Mammoth. On June 29, 2018, Gulfport and certain entities controlled by Wexford (the "Selling Stockholders") completed an underwritten secondary public offering of 4,000,000 shares of the Company’s common stock at a purchase price to the Selling Stockholders of $38.01 per share. The Selling Stockholders received all proceeds from this offering. The Company incurred costs of approximately $0.7 million related to the secondary public offering during the three months ended June 30, 2018 . |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Lease Obligations The Company leases real estate, rail cars and other equipment under long-term operating leases with varying terms and expiration dates through 2062. Minimum Purchase Commitments The Company has entered into agreements with suppliers that contain minimum purchase obligations. Failure to purchase the minimum amounts may require the Company to pay shortfall fees. However, the minimum quantities set forth in the agreements are not in excess of currently expected future requirements. Capital Spend Commitments The Company has entered into agreements with suppliers to acquire capital equipment. Aggregate future minimum payments under these obligations in effect at June 30, 2018 are as follows (in thousands): Year ended December 31: Operating Leases Capital Spend Commitments Minimum Purchase Commitments Remainder of 2018 $ 12,148 $ 16,393 $ 19,254 2019 18,091 — 12,125 2020 15,622 — 400 2021 12,029 — 165 2022 8,995 — — Thereafter 6,057 — — $ 72,942 $ 16,393 $ 31,944 For the six months ended June 30, 2018 and 2017 , the Company recognized rent expense of $10.2 million and $4.2 million , respectively. The Company has various letters of credit that were issued under the Company's revolving credit agreement which is collateralized by substantially all of the assets of the Company. The letters of credit are categorized below (in thousands): June 30, December 31, 2018 2017 Environmental remediation $ 3,582 $ 3,582 Insurance programs 2,486 2,486 Rail car commitments 455 455 Total letters of credit $ 6,523 $ 6,523 The Company has insurance coverage for physical partial loss to its assets, employer’s liability, automobile liability, commercial general liability, workers’ compensation and insurance for other specific risks. The Company has also elected in some cases to accept a greater amount of risk through increased deductibles on certain insurance policies. As of June 30, 2018 and December 31, 2017 , the policies require a deductible per occurrence of up to $0.3 million . The Company establishes liabilities for the unpaid deductible portion of claims incurred relating to physical loss to its assets, employer's liability, automobile liability, commercial general liability and workers’ compensation based on estimates. As of June 30, 2018 and December 31, 2017 , the policies contained an aggregate stop loss of $2.0 million . The Company also self-insures its employee health insurance. The Company has coverage on its self-insurance program in the form of a stop loss of $0.2 million per participant and an aggregate stop-loss of $5.8 million for the calendar year ending December 31, 2018. These estimates may change in the near term as actual claims continue to develop. As of June 30, 2018 and December 31, 2017 , accrued insurance claims were $4.2 million and $2.9 million , respectively. Pursuant to certain customer contracts in our infrastructure services segment, the Company warrants equipment and labor performed under the contracts for a specified period following substantial completion of the work. Generally, the warranty is for one year or less. No liabilities were accrued as of June 30, 2018 and December 31, 2017 and no expense was recognized during the six months ended June 30, 2018 or 2017 related to warranty claims. However, if warranty claims occur, the Company could be required to repair or replace warrantied items, which in most cases are covered by warranties extended from the manufacturer of the equipment. In the event the manufacturer of equipment failed to perform on a warranty obligation or denied a warranty claim made by the Company, the Company could be required to pay for the cost of the repair or replacement. In the ordinary course of business, the Company is required to provide bid bonds to certain customers in the infrastructure services segment as part of the bidding process. These bonds provide a guarantee to the customer that the Company, if awarded the project, will perform under the terms of the contract. Bid bonds are typically provided for a percentage of the total contract value. Additionally, the Company may be required to provide performance and payment bonds for contractual commitments related to projects in process. These bonds provide a guarantee to the customer that the Company will perform under the terms of a contract and that the Company will pay subcontractors and vendors. If the Company fails to perform under a contract or to pay subcontractors and vendors, the customer may demand that the surety make payments or provide services under the bond. The Company must reimburse the surety for expenses or outlays it incurs. As of June 30, 2018, outstanding bid bonds and performance and payment bonds totaled $1.1 million and $1.6 million , respectively. The estimated the cost to complete projects secured by the performance and payment bonds totaled $0.6 million as of June 30, 2018. As of December 31, 2017, the Company did no t have any outstanding bid bonds or performance and payment bonds. The Company is routinely involved in state and local tax audits. During 2015, the State of Ohio assessed taxes on the purchase of equipment the Company believes is exempt under state law. The Company appealed the assessment and a hearing was held in 2017. As a result of the hearing, the Company received a decision from the State of Ohio. The Company is appealing the decision and while it is not able to predict the outcome of the appeal, this matter is not expected to have a material adverse effect on the Company's financial position, results of operations or cash flows. On August 1, 2016, a putative class and collective action lawsuit alleging that Redback Energy failed to pay a class of workers overtime in compliance with the Fair Labor Standards Act and Texas law was filed titled Michael Caffey, individually and on behalf of all others similarly situated v. Redback Energy Services LLC in the U.S. District Court for the Western District of Texas. The parties reached a settlement of this matter in April 2017. The settlement was paid and did not have a material impact on the Company's financial position, results of operations or cash flows. On January 26, 2017, a collective action lawsuit alleging that Stingray Pressure Pumping LLC ("Pressure Pumping") failed to pay a class of workers in compliance with the Fair Labor Standards Act was filed titled Ryan Crosby vs. Stingray Pressure Pumping LLC, in the United Stated District Court for the Southern District of Ohio Eastern Division. The Company is evaluating the background facts at this time and is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s financial position, results of operations or cash flows. On June 27, 2017, a complaint alleging negligence, as a result of a motor vehicle accident, was filed titled Donnelle Banks, individually and as parent and next Friend for Leila Ann Hollis, a minor, vs. Redback Coil Tubing LLC and Mammoth Energy Services, Inc. in the District Court of Gregg County, Texas. This matter is covered by insurance and did not have a material impact on the Company’s financial position, results of operations or cash flows. On June 27, 2018, the Company's registered agent notified the Company that it had been served with a putative class action lawsuit titled Wendco of Puerto Rico Inc.; Multisystem Restaurant Inc.; Restaurant Operators Inc.; Apple Caribe, Inc.; on their own behalf and in representation of all businesses that conduct business in the Commonwealth of Puerto Rico vs. Mammoth Energy Services Inc.; Cobra Acquisitions, LLC; D. Grimm Puerto Rico, LLC; Aseguradoras A, B & C; John Doe; Richard Doe, in the Commonwealth of Puerto Rico Superior Court of San Juan. The plaintiffs allege negligent acts by the defendants caused an electrical failure in Puerto Rico resulting in damages of at least $300 million . The Company believes this claim is without merit and will vigorously defend the action. However, the Company continues to evaluate the background facts and at this time is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company's financial position, results of operations or cash flows. The Company is involved in various other legal proceedings in the ordinary course of business. Although the Company cannot predict the outcome of these proceedings, legal matters are subject to inherent uncertainties and there exists the possibility that the ultimate resolution of these matters could have a material adverse effect on the Company's business, financial condition, results of operations or cash flows. Defined contribution plan The Company sponsors a 401(k) defined contribution plan for the benefit of substantially all employees at their date of hire. The plan allows eligible employees to contribute up to 92% of their annual compensation, not to exceed annual limits established by the federal government. The Company makes discretionary matching contributions of up to 3% of an employee’s compensation and may make additional discretionary contributions for eligible employees. For the three and six months ended June 30, 2018 , the Company paid $1.8 million and $3.4 million , respectively, in contributions to the plan. The Company did not make contributions to the plan during the three and six months ended June 30, 2017. |
Reporting Segments
Reporting Segments | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Reporting Segments | Reporting Segments As of June 30, 2018 , our revenues, income before income taxes and identifiable assets are primarily attributable to four reportable segments. The Company principally provides energy services in connection with on-shore drilling of oil and natural gas wells for small to large domestic independent oil and natural gas producers and electric infrastructure services to government-funded utilities, private utilities, public investor-owned utilities and co-operative utilities. The Company's Chief Executive Officer and Chief Financial Officer comprise the Company's Chief Operating Decision Maker function ("CODM"). Segment information is prepared on the same basis that the CODM manages the segments, evaluates the segment financial statements and makes key operating and resource utilization decisions. Segment evaluation is determined on a quantitative basis based on a function of operating income (loss), as well as a qualitative basis, such as nature of the product and service offerings and types of customers. As of June 30, 2018 , the Company’s four reportable segments include pressure pumping services ("Pressure Pumping"), infrastructure services ("Infrastructure"), natural sand proppant services ("Sand") and contract land and directional drilling services ("Drilling"). The pressure pumping services segment provides hydraulic fracturing services primarily in the Utica Shale of Eastern Ohio, Marcellus Shale in Pennsylvania, Permian Basin in Texas and the mid-continent region in Oklahoma. The infrastructure services segment provides electric utility infrastructure services to government-funded utilities, private utilities, public investor-owned utilities and co-operative utilities in Puerto Rico and the northeast, southwest and midwest portions of the United States. The sand segment mines, processes and sells sand for use in hydraulic fracturing. The sand segment primarily services the Utica Shale, Permian Basin, SCOOP, STACK and Montney Shale in British Columbia and Alberta, Canada. The contract land and directional drilling services segment provides vertical, horizontal and directional drilling services primarily in the Permian Basin in West Texas. The Company also provides coil tubing services, pressure control services, flowback services, cementing services, equipment rental services, crude oil hauling services and remote accommodation services. The businesses that provide these services are distinct operating segments, which the CODM reviews independently when making key operating and resource utilization decisions. None of these operating segments meet the quantitative thresholds of a reporting segment and do not meet the aggregation criteria set forth in ASC 280 Segment Reporting. Therefore, results for these operating segments are included in the column labeled "All Other" in the tables below. Additionally, assets for corporate activities, which primarily include cash and cash equivalents, inter-segment accounts receivable, prepaid insurance and certain property and equipment, are included in the All Other column. Although Mammoth LLC, which holds these corporate assets, meets one of the quantitative thresholds of a reporting segment, it does not engage in business activities from which it may earn revenues and its results are not regularly reviewed by the Company's CODM when making key operating and resource utilization decisions. Therefore, the Company does not include it as a reportable segment. Sales from one segment to another are generally priced at estimated equivalent commercial selling prices. Total revenue and Total cost of revenue amounts included in the Eliminations column in the following tables include inter-segment transactions conducted between segments. Receivables due for sales from one segment to another and for corporate allocations to each segment are included in the Eliminations column for Total assets in the following tables. All transactions conducted between segments are eliminated in consolidation. Transactions conducted by companies within the same reporting segment are eliminated within each reporting segment. The following tables set forth certain financial information with respect to the Company’s reportable segments (in thousands): Three months ended June 30, 2018 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 100,333 $ 360,250 $ 37,439 $ 17,126 $ 18,446 $ — $ 533,594 Intersegment revenues 1,073 — 15,406 84 1,721 (18,284 ) — Total revenue 101,406 360,250 52,845 17,210 20,167 (18,284 ) 533,594 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 61,593 210,189 35,117 15,280 17,649 — 339,828 Intersegment cost of revenues 16,174 754 1,019 (40 ) 129 (18,036 ) — Total cost of revenue 77,767 210,943 36,136 15,240 17,778 (18,036 ) 339,828 Selling, general and administrative 20,822 39,786 1,787 1,591 1,141 — 65,127 Depreciation, depletion, amortization and accretion 13,829 4,094 3,881 5,349 3,642 — 30,795 Impairment of long-lived assets — — — 187 — — 187 Operating income (loss) (11,012 ) 105,427 11,041 (5,157 ) (2,394 ) (248 ) 97,657 Interest expense, net 341 106 76 265 171 — 959 Other expense 80 330 36 32 8 — 486 Income (loss) before income taxes $ (11,433 ) $ 104,991 $ 10,929 $ (5,454 ) $ (2,573 ) $ (248 ) $ 96,212 Three months ended June 30, 2017 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 49,924 $ 1,709 $ 24,000 $ 12,472 $ 10,157 $ — $ 98,262 Intersegment revenues 272 — 762 — 85 (1,119 ) — Total revenue 50,196 1,709 24,762 12,472 10,242 (1,119 ) 98,262 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 35,826 1,626 19,974 12,033 7,881 — 77,340 Intersegment cost of revenues 847 — 267 — 5 (1,119 ) — Total cost of revenue 36,673 1,626 20,241 12,033 7,886 (1,119 ) 77,340 Selling, general and administrative 2,403 307 2,416 1,435 1,139 — 7,700 Depreciation, depletion, amortization and accretion 9,626 340 2,206 4,974 2,747 — 19,893 Operating income (loss) 1,494 (564 ) (101 ) (5,970 ) (1,530 ) — (6,671 ) Interest expense, net 303 4 353 440 12 — 1,112 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense 4 — 140 60 (1 ) — 203 Income (loss) before income taxes $ 1,187 $ (568 ) $ 3,418 $ (6,470 ) $ (1,541 ) $ — $ (3,974 ) Six months ended June 30, 2018 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 196,912 $ 685,709 $ 73,942 $ 32,354 $ 38,926 $ — $ 1,027,843 Intersegment revenues 5,632 — 29,918 86 4,136 (39,772 ) — Total revenue 202,544 685,709 103,860 32,440 43,062 (39,772 ) 1,027,843 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 128,205 404,265 68,447 29,755 35,257 — 665,929 Intersegment cost of revenues 31,576 2,545 5,305 122 234 (39,782 ) — Total cost of revenue 159,781 406,810 73,752 29,877 35,491 (39,782 ) 665,929 Selling, general and administrative 23,485 71,637 3,431 2,844 2,241 — 103,638 Depreciation, depletion, amortization and accretion 27,815 6,501 6,197 9,704 7,486 — 57,703 Impairment of long-lived assets — — — 187 — — 187 Operating income (loss) (8,537 ) 200,761 20,480 (10,172 ) (2,156 ) 10 200,386 Interest expense, net 845 182 156 660 353 — 2,196 Other expense 92 332 23 72 (5 ) — 514 Income (loss) before income taxes $ (9,474 ) $ 200,247 $ 20,301 $ (10,904 ) $ (2,504 ) $ 10 $ 197,676 Six months ended June 30, 2017 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 90,377 $ 1,709 $ 38,912 $ 23,223 $ 19,007 $ — $ 173,228 Intersegment revenues 459 — 1,447 — 85 (1,991 ) — Total revenue 90,836 1,709 40,359 23,223 19,092 (1,991 ) 173,228 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 64,533 1,712 32,582 22,986 14,025 — 135,838 Intersegment cost of revenues 1,532 — 454 — 5 (1,991 ) — Total cost of revenue 66,065 1,712 33,036 22,986 14,030 (1,991 ) 135,838 Selling, general and administrative 4,180 355 4,474 2,728 2,700 — 14,437 Depreciation, depletion, amortization and accretion 18,784 340 3,569 9,942 4,495 — 37,130 Operating income (loss) 1,807 (698 ) (720 ) (12,433 ) (2,133 ) — (14,177 ) Interest expense, net 431 4 486 657 (69 ) — 1,509 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense 7 — 154 224 2 — 387 Income (loss) before income taxes $ 1,369 $ (702 ) $ 2,652 $ (13,314 ) $ (2,066 ) $ — $ (12,061 ) Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total As of June 30, 2018: Total assets (a) $ 277,895 $ 341,171 $ 199,421 $ 92,578 $ 150,579 $ (32,521 ) $ 1,029,123 Goodwill $ 86,043 $ 891 $ 2,684 $ — $ 11,893 $ — $ 101,511 As of December 31, 2017: Total assets (a) $ 297,140 $ 205,275 $ 190,859 $ 88,527 $ 243,767 $ (158,325 ) $ 867,243 Goodwill $ 86,043 $ 891 $ 2,684 $ — $ 10,193 $ — $ 99,811 a. Total assets included in the All Other column include Mammoth LLC corporate assets totaling $34.3 million and $148.8 million , respectively, as of June 30, 2018 and December 31, 2017, of which $16.9 million and $137.4 million are inter-segment accounts receivable which are eliminated in consolidation. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On July 9, 2018, the Company and certain of its direct and indirect subsidiaries entered into a third amendment to Mammoth's revolving credit facility with the lenders party thereto and PNC Bank, National Association, as a lender and agent for the lenders (the "Third Amendment"). Among other things, the Third Amendment permits (i) the declaration of quarterly cash distributions on the shares representing equity of Mammoth if, among other things, after giving effect to the payment of such dividend or distributions contemplated by the declaration, pro forma excess availability would be no less than 22.5% of the maximum available credit and no default or event of default exists, (ii) the payment of the declared dividends or distributions if (x) such dividends or distributions are made within sixty ( 60 ) days after the declaration thereof and (y) on the date such dividends or distributions are made, (1) after giving effect to the payment of such dividend or distribution, pro forma excess availability would be no less than 22.5% of the maximum available credit and (2) no material default or material event of default shall have occurred, or would result therefrom, and (iii) the issuance of third-party surety bonds in favor of Mammoth and its subsidiaries in relation with their bonded contracts, in each case subject to the additional limitations described in the Third Amendment. On July 10, 2018, the Company's wholly owned subsidiary, Pressure Pumping and Gulfport entered into Amendment No. 2 to that certain Amended & Restated Master Services Agreement for Pressure Pumping Services, effective as of October 1, 2014, as amended effective January 1, 2016 (the “Existing Pressure Pumping Agreement”). Under the Existing Pressure Pumping Agreement, Pressure Pumping provides hydraulic fracturing, stimulation and related completion and rework services to Gulfport with two dedicated frac spreads and related equipment. The amendment extended the term of the existing pressure pumping agreement until December 31, 2021, unless it is terminated earlier in accordance with its terms, and expanded the service area to include both Ohio and Oklahoma. The amendment also provides that Gulfport has the right to suspend pressure pumping services for up to one crew by upon a minimum of 90 days prior written notice to Pressure Pumping, with no further payment or other obligation to Pressure Pumping for such suspended crew. Pressure Pumping will be obligated to resume any such suspended pressure pumping services upon 90 days prior written notice by Gulfport, unless such notice is waived by Pressure Pumping. The amendment also provides for the initial suspension of pressure pumping services to Gulfport for a period July 1, 2018 through September 30, 2018, during which period Pressure Pumping may use the dedicated frac spreads for other customers. If during the initial suspension period Pressure Pumping’s use of the dedicated frac spreads for other customers does not reach a certain level, then Gulfport will pay agreed costs to Pressure Pumping and Pressure Pumping will perform services for Gulfport with respect to such amount. In addition, if during such initial suspension period Pressure Pumping is unable to utilize the dedicated frac spreads for other customers, Gulfport will pay agreed recoupment costs to Pressure Pumping during the period of October 1, 2018 to December 31, 2018. On August 6, 2018, the Company's wholly owned subsidiary, Muskie Proppant LLC ("Muskie Proppant") and Gulfport entered into a Second Amendment to the Sand Supply Agreement, effective as of October 1, 2014, as amended effective November 15, 2015. The amendment extends the term of the agreement until December 31, 2021. The Company's unsatisfied performance obligations increased approximately $88.8 million as a result of the amendments to the pressure pumping and sand supply agreements with Gulfport. On July 16, 2018, the Company's Board of Directors initiated a quarterly dividend policy and declared the Company's first quarterly cash dividend of $0.125 per share of common stock, to be paid on August 14, 2018 to stockholders of record as of the close of business on August 7, 2018. Based on the number of shares outstanding at June 30, 2018, the total dividend payable to stockholders on August 14, 2018 will be approximately $5.6 million . Subsequent to June 30, 2018 , the Company entered into rail car and property lease agreements with aggregate commitments of $2.4 million . Subsequent to June 30, 2018 , the Company ordered additional capital equipment with aggregate commitments of $9.6 million . Subsequent to June 30, 2018 , subsidiaries in the Company's infrastructure segment entered into an air chart agreement, barge chartering agreement and other service agreements with aggregate commitments of $2.5 million , $2.1 million and $0.6 million , respectively. |
Basis of Presentation and Sig28
Basis of Presentation and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated interim financial statements include the accounts of the Company and its subsidiaries and the variable interest entity ("VIE") for which the Company is the primary beneficiary. All material intercompany accounts and transactions have been eliminated. This report has been prepared in accordance with the rules and regulations of the Securities and Exchange Commission, and reflects all adjustments, which in the opinion of management are necessary for the fair presentation of the results for the interim periods, on a basis consistent with the annual audited consolidated financial statements. Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) have been omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the summary of significant accounting policies and notes thereto included in the Company’s most recent annual report on Form 10-K. On June 5, 2017, the Company acquired Sturgeon Acquisitions LLC ("Sturgeon") and Sturgeon's wholly owned subsidiaries Taylor Frac, LLC, Taylor Real Estate Investments, LLC and South River Road, LLC. Prior to its acquisition of Sturgeon, the Company and Sturgeon were under common control and it is required under GAAP to account for this common control acquisition in a manner similar to the pooling of interest method of accounting. Therefore, the Company's historical financial information for all periods included in the accompanying financial statements has been recast to combine Sturgeon with the Company as if the acquisition had been effective since the date Sturgeon commenced operations. |
Accounts Receivable | Accounts Receivable Accounts receivable include amounts due from customers for services performed and are recorded as the work progresses. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Most areas in which the Company operates provide for a mechanic’s lien against the property on which the service is performed if the lien is filed within the statutorily specified time frame. Customer balances are generally considered delinquent if unpaid by the 30th day following the invoice date and credit privileges may be revoked if balances remain unpaid. The Company regularly reviews receivables and provides for estimated losses through an allowance for doubtful accounts. In evaluating the level of established reserves, the Company makes judgments regarding its customers’ ability to make required payments, economic events and other factors. As the financial condition of customers changes, circumstances develop, or additional information becomes available, adjustments to the allowance for doubtful accounts may be required. In the event the Company was to determine that a customer may not be able to make required payments, the Company would increase the allowance through a charge to income in the period in which that determination is made. Uncollectible accounts receivable are periodically charged against the allowance for doubtful accounts once a final determination is made regarding their uncollectability. |
Concentrations of Credit Risk and Significant Customers | Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents in excess of federally insured limits and trade receivables. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, trade receivables, trade payables, amounts receivable or payable to related parties, and long-term debt. The carrying amount of cash and cash equivalents, trade receivables, receivables from related parties and trade payables approximates fair value because of the short-term nature of the instruments. The fair value of long-term debt approximates its carrying value because the cost of borrowing fluctuates based upon market conditions. |
New Accounting Pronouncements | New Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-2 “Leases” amending the current accounting for leases. Under the new provisions, all lessees will report a right-of-use asset and a liability for the obligation to make payments for all leases with the exception of those leases with a term of 12 months or less. All other leases will fall into one of two categories: (i) a financing lease or (ii) an operating lease. Lessor accounting remains substantially unchanged with the exception that no leases entered into after the effective date will be classified as leveraged leases. For sale leaseback transactions, a sale will only be recognized if the criteria in the new revenue recognition standard are met. ASU 2016-2 is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. The Company plans to adopt this ASU effective January 1, 2019 utilizing the modified retrospective method of adoption. This new leasing guidance will impact the Company in situations where it is the lessee, and in certain circumstances it will have a right-of-use asset and lease liability on its consolidated financial statements. The Company is currently evaluating the effect the new guidance may have on the Company's consolidated financial statements and results of operations. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Improvements to Non-employee Share-Based Accounting,” which simplifies the accounting for share-based payments granted to non-employees by aligning the accounting with requirements for employee share-based compensation. Upon transition, this ASU requires non-employee awards to be measured at fair value as of the adoption date. This ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within that fiscal year. Early adoption is permitted. Currently, the Company has not elected to early adopt this ASU and is evaluating the impact it will have on the Company's consolidated financial statements. |
Revenues | Adoption of ASC 606 "Revenues from Contracts with Customers" In May 2014, the FASB issued ASU 2014-09, “ Revenue from Contracts with Customers ,” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition , and most industry-specific guidance. The new guidance requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, the Company adopted ASU 2014-09 and its related amendments (collectively, "ASC 606") using the modified retrospective method applied to contracts which were not completed as of January 1, 2018. Revenues for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts continue to be reported under previous revenue recognition guidance. While ASC 606 requires additional disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, its adoption has not had a material impact on the measurement or recognition of the Company's revenues. The adoption of ASC 606 represents a change in accounting principle. After evaluation of all contracts not completed as of January 1, 2018, the Company determined the cumulative effect of adopting ASC 606 was immaterial, and as such, has not recorded an adjustment to the opening balance of retained earnings on January 1, 2018. Pressure Pumping Services Pressure pumping services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Generally, the Company accounts for pressure pumping services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies proppant that is utilized for pressure pumping as part of the agreement with the customer. The Company accounts for these pressure pumping agreements as multiple performance obligations satisfied over time. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Generally, revenue is recognized over time upon the completion of each segment of work based upon a completed field ticket, which includes the charges for the services performed, mobilization of the equipment to the location and personnel. Pursuant to a contract with one of its customers, the Company has agreed to provide that customer with use of two pressure pumping fleets for the period covered by the contract. Under this agreement, performance obligations are satisfied as services are rendered based on the passage of time rather than the completion of each segment of work. The Company has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to the Company for services performed during the contractual period is fixed and the right to receive it is unconditional. Additional revenue is generated through labor charges and the sale of consumable supplies that are incidental to the service being performed. Such amounts are recognized ratably over the period during which the corresponding goods and services are consumed. Infrastructure Services Infrastructure services are typically provided pursuant to master service agreements, repair and maintenance contracts or fixed price and non-fixed price installation contracts. Pricing under these contracts may be unit priced, cost-plus/hourly (or time and materials basis) or fixed price (or lump sum basis). The Company accounts for infrastructure services as a single performance obligation satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Natural Sand Proppant Services The Company sells natural sand proppant through sand supply agreements with its customers. Under these agreements, sand is typically sold at a flat rate per ton or a flat rate per ton with an index-based adjustment. The Company recognizes revenue at the point in time when the customer obtains legal title to the product, which may occur at the production facility, rail origin or at the destination terminal. Certain of the Company's sand supply agreements contain a minimum volume commitment related to sand purchases whereby the Company charges a shortfall payment if the customer fails to meet the required minimum volume commitment. These agreements may also contain make-up provisions whereby shortfall payments can be applied in future periods against purchased volumes exceeding the minimum volume commitment. If a make-up right exists, the Company has future performance obligations to deliver excess volumes of product in subsequent months. In accordance with ASC 606, if the customer fails to meet the minimum volume commitment, the Company will assess whether it expects the customer to fulfill its unmet commitment during the contractually specified make-up period based on discussions with the customer and management's knowledge of the business. If the Company expects the customer will make-up deficient volumes in future periods, revenue related to shortfall payments will be deferred and recognized on the earlier of the date on which the customer utilizes make-up volumes or the likelihood that the customer will exercise its right to make-up deficient volumes becomes remote. If the Company does not expect the customer will make-up deficient volumes in future periods, the breakage model will be applied and revenue related to shortfall payments will be recognized when the model indicates the customer's inability to take delivery of excess volumes. During the three and six months ended June 30, 2018 , the Company recognized $0.3 million in revenue related to shortfall payments. In certain of the Company's sand supply agreements, the customer obtains control of the product when it is loaded into rail cars and the customer reimburses the Company for all freight charges incurred. The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the sand. If revenue is recognized for the related product before the shipping and handling activities occur, the Company accrues the related costs of those shipping and handling activities. Contract Land and Directional Drilling Services Contract drilling services are provided under daywork contracts. Directional drilling services, including motor rentals, are provided on a day rate or hourly basis, and revenue is recognized as work progresses. Performance obligations are satisfied over time as the work progresses based on the measure of output. Mobilization revenue and costs are recognized over the days of actual drilling. Other Services The Company also provides coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, crude oil hauling and remote accommodations services, which are reported under other services. These services are typically provided based upon a purchase order, contract or on a spot market basis. Services are provided on a day rate, contracted or hourly basis. Performance obligations for these services are satisfied over time and revenue is recognized as the work progresses based on the measure of output. Jobs for these services are typically short-term in nature and range from a few hours to multiple days. Practical Expedients The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts in which variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied distinct good or service that forms part of a single performance obligation. |
Inventories | Inventories Inventory consists of raw sand and processed sand available for sale, chemicals and other products sold as a bi-product of completion and production operations and supplies used in performing services. Inventory is stated at the lower of cost or market (net realizable value) on an average cost basis. |
Organization and Nature of Bu29
Organization and Nature of Business (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of ownership of the company by major stakeholders | At June 30, 2018 and December 31, 2017 , Wexford, Gulfport and Rhino beneficially owned the following shares of outstanding common stock of Mammoth Inc.: At June 30, 2018 At December 31, 2017 Share Count % Ownership Share Count % Ownership Wexford 22,252,277 49.7 % 25,009,319 56.1 % Gulfport 9,943,645 22.2 % 11,171,887 25.1 % Rhino 104,100 0.2 % 568,794 1.3 % Outstanding shares owned by related parties 32,300,022 72.1 % 36,750,000 82.5 % Total outstanding 44,752,765 100.0 % 44,589,306 100.0 % |
Basis of Presentation and Sig30
Basis of Presentation and Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Schedule of allowance for doubtful accounts receivable | Following is a roll forward of the allowance for doubtful accounts for the year ended December 31, 2017 and the six months ended June 30, 2018 (in thousands): Balance, January 1, 2017 $ 5,377 Additions charged to expense 16,206 Additions other 179 Deductions for uncollectible receivables written off (25 ) Balance, December 31, 2017 21,737 Additions charged to expense 53,790 Deductions for uncollectible receivables written off (1,758 ) Balance, June 30, 2018 $ 73,769 |
Schedules of concentration of risk | Following is a summary of our significant customers based on percentages of total accounts receivable balances at June 30, 2018 and December 31, 2017 and percentages of total revenues derived for the three and six months ended June 30, 2018 and 2017 : REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 Customer A (a) 65 % — % 65 % — % 59 % 56 % Customer B (b) 9 % 59 % 11 % 59 % 9 % 12 % a. Customer A is a third-party customer. Revenues and the related accounts receivable balances earned from Customer A were derived from the Company's infrastructure services segment. b. Customer B is a related party customer. Revenues and the related accounts receivable balances earned from Customer B were derived from the Company's pressure pumping services segment, natural sand proppant services segment, contract land and directional drilling services segment and other businesses. |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of revenues by service or product line | The following table presents revenues disaggregated by service line (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Revenue: Pressure pumping services $ 101,406 $ 50,196 $ 202,544 $ 90,836 Infrastructure services 360,250 1,709 685,709 1,709 Natural sand proppant services 52,845 24,762 103,860 40,359 Contract land and directional drilling services 17,210 12,472 32,440 23,223 Other services 20,167 10,242 43,062 19,092 Eliminations (18,284 ) (1,119 ) (39,772 ) (1,991 ) Total revenue $ 533,594 $ 98,262 $ 1,027,843 $ 173,228 |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Business Combinations [Abstract] | |
Schedule of recognized identified assets acquired and liabilities assumed | The following table summarizes the fair value of WTL as of May 31, 2018 (in thousands): WTL Property, plant and equipment $ 2,960 Identifiable intangible assets - customer relationships (a) 930 Identifiable intangible assets - trade name (a) 650 Goodwill (b) 1,567 Total assets acquired $ 6,107 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Non-contractual customer relationships were valued using a "Multi-period excess earnings" method. Identifiable intangible assets will be amortized over 10 - 20 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of Higher Power as of April 21, 2017 (in thousands): Higher Power Property, plant and equipment $ 1,744 Identifiable intangible assets - customer relationships 1,613 Goodwill (a) 643 Total assets acquired $ 4,000 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of the Chieftain Acquisition as of May 26, 2017 (in thousands): Total Property, plant and equipment (a) $ 23,373 Sand reserves (b) 20,910 Total assets acquired $ 44,283 Asset retirement obligation 1,732 Total liabilities assumed $ 1,732 Total allocation of purchase price $ 42,551 Bargain purchase price (c,d) (6,231 ) Total purchase price $ 36,320 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. The fair value of the sand reserves was determined based on the excess cash flow method, a form of the income approach. The method provides a value based on the estimated remaining life of sand reserves, projected financial information and industry projections. c. Amount reflected in unaudited condensed consolidated statements of comprehensive income (loss) reflected net of income taxes of $2.2 million . d. The fair value of the business was determined based on the excess cash flow method, a form of the income approach. See Summary of acquired assets and liabilities below SR Energy Cementing Total (in thousands) Cash and cash equivalents $ 1,611 $ 1,060 $ 2,671 Accounts receivable, net 3,913 495 4,408 Receivables from related parties 3,684 1,418 5,102 Inventories — 306 306 Prepaid expenses 35 32 67 Property, plant and equipment (a) 13,061 7,459 20,520 Identifiable intangible assets - customer relationships (b) — 1,140 1,140 Identifiable intangible assets - trade names (b) 550 270 820 Goodwill (c) 3,929 6,264 10,193 Other assets 7 — 7 Total assets acquired $ 26,790 $ 18,444 $ 45,234 Accounts payable and accrued liabilities $ 5,890 $ 2,063 $ 7,953 Long-term debt (d) 5,074 2,000 7,074 Deferred tax liability 3,039 1,406 4,445 Total liabilities assumed $ 14,003 $ 5,469 $ 19,472 Net assets acquired $ 12,787 $ 12,975 $ 25,762 a. Property, plant and equipment fair value measurements were prepared by utilizing a combined fair market value and cost approach. The market approach relies on comparability of assets using market data information. The cost approach places emphasis on the physical components and characteristics of the asset. It places reliance on estimated replacement cost, depreciation and economic obsolescence. b. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Non-contractual customer relationships were valued using a "Multi-period excess earnings" method. Identifiable intangible assets will be amortized over 5 - 10 years. c. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforces and future profitability expected to arise from the acquired entities. d. Long-term debt assumed was paid off subsequent to the acquisitions. The following table summarizes the fair value of 5 Star as of July 1, 2017 (in thousands): 5 Star Accounts receivable $ 2,440 Property, plant and equipment 1,863 Identifiable intangible assets - trade names (a) 300 Goodwill (b) 248 Total assets acquired $ 4,851 Long-term debt and other liabilities $ 2,413 Total liabilities assumed $ 2,413 Net assets acquired $ 2,438 a. Identifiable intangible assets were measured using a combination of income approaches. Trade names were valued using a "Relief-from-Royalty" method. Identifiable intangible assets will be amortized over 10 years. b. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. The following table summarizes the fair value of RTS as of June 15, 2018 (in thousands): RTS Inventory $ 180 Property, plant and equipment 7,787 Goodwill (a) 133 Total assets acquired $ 8,100 a. Goodwill was the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill recorded in connection with the acquisition is attributable to the assembled workforce and future profitability expected to arise from the acquired entity. |
Business acquisition, pro forma information | From the acquisition date through June 30, 2018 , RTS provided the following activity (in thousands): 2018 Revenues $ 630 Net income (a) 7 a. Includes depreciation expense of $0.1 million . The following table presents unaudited pro forma information as if the acquisition of RTS had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2018 June 30, 2017 Revenues $ 10,160 $ 8,326 Net income (loss) (848 ) 653 From the acquisition date through June 30, 2018 , WTL provided the following activity (in thousands): 2018 Revenues $ 595 Net income (a) 5 a. Includes depreciation and amortization expense of $0.1 million . The following table presents unaudited pro forma information as if the acquisition of WTL had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2018 June 30, 2017 Revenues $ 3,354 $ 1,553 Net income 90 62 From the acquisition date through June 30, 2018 , the Chieftain Assets provided the following activity (in thousands): 2018 2017 Revenues (a) $ 35,128 $ 22,847 Net income (b) 10,694 5,520 a. Includes intercompany revenues of $9.6 million and $12.3 million , respectively, for 2018 and 2017 b. Includes depreciation, depletion, amortization and accretion of $2.3 million and $2.8 million , respectively, for 2018 and 2017 The following table presents unaudited pro forma information as if the acquisition of the Chieftain Assets had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 1,312 Net loss (72 ) From the acquisition date through June 30, 2018 , Higher Power provided the following activity (in thousands): 2018 2017 Revenues (a) $ 122,734 $ 39,571 Net income (b) 16,205 5,127 a. Includes intercompany revenues of $111.4 million and $27.4 million , respectively for 2018 and 2017. b. Includes depreciation and amortization expense of $2.3 million and $2.0 million , respectively, for 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of Higher Power had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 4,481 Net loss (411 ) From the acquisition date through June 30, 2018 , 5 Star provided the following activity (in thousands): 2018 2017 Revenues (a) $ 86,720 $ 25,216 Net income (b) 12,903 4,191 a. Includes intercompany revenues of $77.5 million and $16.0 million , respectively, for 2018 and 2017. b. Includes depreciation and amortization expense of $1.0 million and $0.8 million , respectively, for 2018 and 2017. The following table presents unaudited pro forma information as if the acquisition of 5 Star had occurred as of January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 6,332 Net loss (282 ) From the acquisition date through June 30, 2018 , SR Energy and Cementing provided the following activity (in thousands): 2018 2017 SR Energy Cementing SR Energy Cementing Revenues (a) $ 16,034 $ 5,131 $ 11,572 $ 7,500 Net loss (b) (1,586 ) (806 ) (1,626 ) (1,963 ) a. Includes intercompany revenues of $1.6 million and $0.6 million for SR Energy in 2018 and 2017. b. Includes depreciation and amortization expense of $2.8 million and $1.0 million , respectively, for SR Energy and Cementing in 2018 and $3.4 million and $4.1 million , respectively, for SR Energy and Cementing in 2017 . The following table presents unaudited pro forma information as if the acquisition of SR Energy and Cementing had occurred on January 1, 2017 (in thousands): Six Months Ended June 30, 2017 Revenues $ 18,333 Net loss (1,612 ) |
Schedule of business acquisitions by acquisition, consideration transferred | The following tables summarize the fair values of Cementing and SR Energy as of June 5, 2017 (in thousands): Consideration attributable to Cementing (a) $ 12,975 Consideration attributable to SR Energy (a) 12,787 Total consideration transferred $ 25,762 a. See Summary of acquired assets and liabilities below |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | A summary of the Company's inventories is shown below (in thousands): June 30, December 31, 2018 2017 Supplies $ 7,264 $ 9,437 Raw materials 321 219 Work in process 1,326 2,370 Finished goods 3,806 5,788 Total inventory $ 12,717 $ 17,814 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment | Property, plant and equipment include the following (in thousands): June 30, December 31, Useful Life 2018 2017 Pressure pumping equipment 3-5 years $ 199,333 $ 190,211 Drilling rigs and related equipment 3-15 years 137,075 132,260 Machinery and equipment (a) 7-20 years 140,308 97,569 Buildings 15-39 years 47,593 45,992 Vehicles, trucks and trailers (b) 5-10 years 91,680 54,055 Coil tubing equipment 4-10 years 28,068 28,053 Land N/A 14,183 11,317 Land improvements 15 years or life of lease 9,614 9,614 Rail improvements 10-20 years 13,101 5,540 Other property and equipment 3-12 years 15,006 12,687 695,961 587,298 Deposits on equipment and equipment in process of assembly 33,349 20,348 729,310 607,646 Less: accumulated depreciation (c) 305,995 256,629 Property, plant and equipment, net $ 423,315 $ 351,017 a. Included in machinery and equipment are assets under capital leases totaling $1.8 million and $1.8 million , respectively, at June 30, 2018 and December 31, 2017 . b. Included in vehicles, trucks and trailers are assets under capital leases totaling $3.8 million and $1.0 million , respectively, at June 30, 2018 and December 31, 2017 . c. Accumulated depreciation for assets under capital leases totaled $0.9 million and $0.8 million , respectively, at June 30, 2018 and December 31, 2017 . |
Schedule of depreciation, depletion, accretion and amortization expense | A summary of depreciation, depletion, amortization and accretion expense is below (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Depreciation expense (a) $ 27,058 $ 17,229 $ 51,456 $ 32,196 Depletion expense 1,340 382 1,427 384 Amortization expense 2,382 2,268 4,790 4,536 Accretion expense 15 14 30 14 Depreciation, depletion, amortization and accretion $ 30,795 $ 19,893 $ 57,703 $ 37,130 a. Includes depreciation expense for assets under capital leases totaling $0.4 million and $0.2 million , respectively, for the six months ended June 30, 2018 and 2017 . |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of finite-lived intangible assets | The Company had the following definite lived intangible assets recorded (in thousands): June 30, December 31, 2018 2017 Customer relationships $ 36,725 $ 35,795 Trade names 9,443 8,793 Less: accumulated amortization - customer relationships (30,521 ) (26,172 ) Less: accumulated amortization - trade names (2,717 ) (2,277 ) Intangible assets, net $ 12,930 $ 16,139 |
Schedule of finite-lived intangible assets, future amortization expense | Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands): Amount Remainder of 2018 $ 3,969 2019 1,293 2020 1,293 2021 1,288 2022 1,266 Thereafter 3,821 $ 12,930 |
Schedule of goodwill | Changes in the goodwill for the year ended December 31, 2017 and the six months ended June 30, 2018 are set forth below (in thousands): Balance, January 1, 2017 $ 88,727 Additions - 2017 Stingray Acquisition (Note 4) 10,193 Additions - Higher Power Acquisition (Note 4) 643 Additions - 5 Star Acquisition (Note 4) 248 Balance, December 31, 2017 99,811 Additions - WTL Acquisition (Note 4) 1,567 Additions - RTS Acquisition (Note 4) 133 Balance, June 30, 2018 $ 101,511 |
Accrued Expenses and Other Cu36
Accrued Expenses and Other Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Payables and Accruals [Abstract] | |
Schedule of accounts payable and accrued liabilities | Accrued expense and other current liabilities included the following (in thousands): June 30, December 31, 2018 2017 Deferred revenue 15,100 15,210 Accrued compensation, benefits and related taxes 19,917 11,552 Financed insurance premiums 1,638 4,876 Insurance reserves 4,183 2,942 State and local taxes payable 8,205 2,126 Other 5,658 4,189 Total $ 54,701 $ 40,895 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of other liabilities | Other liabilities included the following (in thousands): June 30, December 31, 2018 2017 Capital lease obligations $ 4,253 $ 2,015 Equipment financing arrangement 1,436 1,605 Other 250 500 Total 5,939 4,120 Less: Current portion of capital lease and equipment financing obligations included in accrued expenses and other current liabilities (1,839 ) (831 ) Total Other Liabilities $ 4,100 $ 3,289 |
Schedule of future minimum lease payments for capital leases | Aggregate future payments under the Company's non-cancelable capital leases and equipment financing arrangement as of June 30, 2018 are as follows (in thousands): 2018 $ 890 2019 2,593 2020 1,696 2021 664 2022 360 Total future minimum payments 6,203 Less interest payments (514 ) Present value of future minimum payments $ 5,689 |
Selling, General And Administ38
Selling, General And Administrative Expense (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Other Income and Expenses [Abstract] | |
Schedule of selling, general and administrative expense | Selling, general and administrative ("SG&A") expense includes of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Cash expenses: Compensation and benefits $ 10,978 $ 2,966 $ 18,677 $ 5,381 Professional services 2,981 1,652 5,568 3,581 Other (a) 3,935 2,015 5,542 3,880 Total cash SG&A expense 17,894 6,633 29,787 12,842 Non-cash expenses: Bad debt provision 28,263 17 53,790 (25 ) Equity based compensation (b) 17,487 — 17,487 — Stock based compensation 1,483 1,050 2,574 1,620 Total non-cash SG&A expense 47,233 1,067 73,851 1,595 Total SG&A expense $ 65,127 $ 7,700 $ 103,638 $ 14,437 a. Includes travel-related costs, IT expenses, rent, utilities and other general and administrative-related costs. b. Represents compensation expense for non-employee awards, which were issued and are payable by certain affiliates of Wexford (the sponsor level). See Note 15 for additional detail. |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of income tax expense (benefit) | The components of income tax expense (benefit) attributable to the Company for the three and six months ended June 30, 2018 and 2017 , are as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Foreign current income tax expense $ 67,665 $ 21 $ 125,712 $ 606 Foreign deferred income tax benefit (15,266 ) (14 ) (25,386 ) (20 ) U.S. current income tax expense 1,636 — 1,624 — U.S. deferred income tax benefit (523 ) (2,811 ) (2,520 ) (6,496 ) Total $ 53,512 $ (2,804 ) $ 99,430 $ (5,910 ) |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per unit | Reconciliations of the components of basic and diluted net income (loss) per common share are presented in the table below (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Basic earnings (loss) per share: Allocation of earnings: Net income (loss) $ 42,700 $ (1,170 ) $ 98,246 $ (6,151 ) Weighted average common shares outstanding 44,737 39,500 44,700 38,506 Basic earnings (loss) per share $ 0.95 $ (0.03 ) $ 2.20 $ (0.16 ) Diluted earnings (loss) per share: Allocation of earnings (loss): Net income (loss) $ 42,700 $ (1,170 ) $ 98,246 $ (6,151 ) Weighted average common shares, including dilutive effect (a) 45,059 39,500 44,977 38,506 Diluted earnings (loss) per share $ 0.95 $ (0.03 ) $ 2.18 $ (0.16 ) a. No incremental shares of potentially dilutive restricted stock awards were included for the three and six months ended June 30, 2017 as their effect was antidulitive under the treasury stock method. |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of share-based compensation, restricted stock and restricted stock units activity | A summary of the status and changes of the unvested shares of restricted stock under the 2016 Plan is presented below. Number of Unvested Restricted Shares Weighted Average Grant-Date Fair Value Unvested shares as of January 1, 2018 640,632 $ 19.44 Granted 93,556 26.83 Vested (149,098 ) 21.29 Forfeited — — Unvested shares as of June 30, 2018 585,090 $ 21.07 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | Following is a summary of related party transactions (in thousands): REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 Pressure Pumping and Gulfport (a) $ 33,831 $ 41,100 $ 72,377 $ 72,845 $ 20,127 $ 25,054 Muskie and Gulfport (b) 9,730 13,605 21,192 25,145 4,428 1,947 Panther Drilling and Gulfport (c) — 952 56 1,994 12 872 Cementing and Gulfport (d) 2,048 903 4,876 903 1,739 2,255 SR Energy and Gulfport (e) 4,626 1,565 11,579 1,565 4,292 3,348 Panther Drilling and El Toro (f) — — 345 — — — Redback Energy and El Toro (g) 92 34 92 158 — — Coil Tubing and El Toro (h) — — 360 — (2 ) — Bison Drilling and Predator (i) — — — — — 234 Other Relationships 14 49 14 100 78 78 $ 50,341 $ 58,208 $ 110,891 $ 102,710 $ 30,674 $ 33,788 a. Pressure Pumping provides pressure pumping, stimulation and related completion services to Gulfport. b. Muskie has agreed to sell and deliver, and Gulfport has agreed to purchase, specified annual and monthly amounts of natural sand proppant, subject to certain exceptions specified in the agreement, and pay certain costs and expenses. c. Panther Drilling performs drilling services for Gulfport pursuant to a master service agreement. d. Cementing performs well cementing services for Gulfport. e. SR Energy performs rental services for Gulfport. f. Panther provides services for El Toro, an entity controlled by Wexford, pursuant to a master service agreement. g. Redback Energy performs completion and production services for El Toro pursuant to a master service agreement. h. Coil Tubing provides to El Toro services in connection with completion and drilling activities. i. Bison Drilling provides equipment rentals to Predator, an entity in which Wexford owns a minority interest. Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2018 2017 2018 2017 2018 2017 COST OF REVENUE COST OF REVENUE ACCOUNTS PAYABLE Cobra and T&E (a) $ 1,486 $ — $ 2,762 $ — $ 289 $ 457 Higher Power and T&E (a) 950 — 1,458 — 576 3 Panther and DBDHT (b) — — — 128 — 77 The Company and 2017 Stingray Companies (c) — 207 — 444 — — Other (8 ) 55 — 120 — 218 $ 2,428 $ 262 $ 4,220 $ 692 $ 865 $ 755 SELLING, GENERAL AND ADMINISTRATIVE COSTS SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Everest (d) $ 55 $ 50 $ 86 $ 108 $ 6 $ 19 The Company and Wexford (e) 290 165 473 398 78 150 The Company and Caliber (f) 145 72 346 72 47 1 Other 42 20 56 53 — 2 $ 532 $ 307 $ 961 $ 631 $ 131 $ 172 CAPITAL EXPENDITURES CAPITAL EXPENDITURES Cobra and T&E (a) $ 757 $ — $ 1,131 $ — $ 170 $ 66 Higher Power and T&E (a) 1,575 — 2,773 — 750 385 $ 2,332 $ — $ 3,904 $ — $ 920 $ 451 $ 1,916 $ 1,378 a. Cobra and Higher Power purchase materials and services from T&E, an entity in which a member of management's family owns a minority interest. b. Panther rents rotary steerable equipment in connection with its directional drilling services from DBDHT. c. Prior to the 2017 Stingray Acquisition, the 2017 Stingray Companies provided certain services to the Company and, from time to time, the 2017 Stingray Companies paid for goods and services on behalf of the Company. d. Everest has historically provided office space and certain technical, administrative and payroll services to the Company and the Company has reimbursed Everest in amounts determined by Everest based on estimates of the amount of office space provided and the amount of employees’ time spent performing services for the Company. e. Wexford provides certain administrative and analytical services to the Company and, from time to time, the Company pays for goods and services on behalf of Wexford. f. Caliber leases office space to Mammoth. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum rental payments for operating leases | Aggregate future minimum payments under these obligations in effect at June 30, 2018 are as follows (in thousands): Year ended December 31: Operating Leases Capital Spend Commitments Minimum Purchase Commitments Remainder of 2018 $ 12,148 $ 16,393 $ 19,254 2019 18,091 — 12,125 2020 15,622 — 400 2021 12,029 — 165 2022 8,995 — — Thereafter 6,057 — — $ 72,942 $ 16,393 $ 31,944 |
Schedule of letters of credit | The letters of credit are categorized below (in thousands): June 30, December 31, 2018 2017 Environmental remediation $ 3,582 $ 3,582 Insurance programs 2,486 2,486 Rail car commitments 455 455 Total letters of credit $ 6,523 $ 6,523 |
Reporting Segments (Tables)
Reporting Segments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting information, by segment | The following tables set forth certain financial information with respect to the Company’s reportable segments (in thousands): Three months ended June 30, 2018 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 100,333 $ 360,250 $ 37,439 $ 17,126 $ 18,446 $ — $ 533,594 Intersegment revenues 1,073 — 15,406 84 1,721 (18,284 ) — Total revenue 101,406 360,250 52,845 17,210 20,167 (18,284 ) 533,594 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 61,593 210,189 35,117 15,280 17,649 — 339,828 Intersegment cost of revenues 16,174 754 1,019 (40 ) 129 (18,036 ) — Total cost of revenue 77,767 210,943 36,136 15,240 17,778 (18,036 ) 339,828 Selling, general and administrative 20,822 39,786 1,787 1,591 1,141 — 65,127 Depreciation, depletion, amortization and accretion 13,829 4,094 3,881 5,349 3,642 — 30,795 Impairment of long-lived assets — — — 187 — — 187 Operating income (loss) (11,012 ) 105,427 11,041 (5,157 ) (2,394 ) (248 ) 97,657 Interest expense, net 341 106 76 265 171 — 959 Other expense 80 330 36 32 8 — 486 Income (loss) before income taxes $ (11,433 ) $ 104,991 $ 10,929 $ (5,454 ) $ (2,573 ) $ (248 ) $ 96,212 Three months ended June 30, 2017 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 49,924 $ 1,709 $ 24,000 $ 12,472 $ 10,157 $ — $ 98,262 Intersegment revenues 272 — 762 — 85 (1,119 ) — Total revenue 50,196 1,709 24,762 12,472 10,242 (1,119 ) 98,262 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 35,826 1,626 19,974 12,033 7,881 — 77,340 Intersegment cost of revenues 847 — 267 — 5 (1,119 ) — Total cost of revenue 36,673 1,626 20,241 12,033 7,886 (1,119 ) 77,340 Selling, general and administrative 2,403 307 2,416 1,435 1,139 — 7,700 Depreciation, depletion, amortization and accretion 9,626 340 2,206 4,974 2,747 — 19,893 Operating income (loss) 1,494 (564 ) (101 ) (5,970 ) (1,530 ) — (6,671 ) Interest expense, net 303 4 353 440 12 — 1,112 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense 4 — 140 60 (1 ) — 203 Income (loss) before income taxes $ 1,187 $ (568 ) $ 3,418 $ (6,470 ) $ (1,541 ) $ — $ (3,974 ) Six months ended June 30, 2018 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 196,912 $ 685,709 $ 73,942 $ 32,354 $ 38,926 $ — $ 1,027,843 Intersegment revenues 5,632 — 29,918 86 4,136 (39,772 ) — Total revenue 202,544 685,709 103,860 32,440 43,062 (39,772 ) 1,027,843 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 128,205 404,265 68,447 29,755 35,257 — 665,929 Intersegment cost of revenues 31,576 2,545 5,305 122 234 (39,782 ) — Total cost of revenue 159,781 406,810 73,752 29,877 35,491 (39,782 ) 665,929 Selling, general and administrative 23,485 71,637 3,431 2,844 2,241 — 103,638 Depreciation, depletion, amortization and accretion 27,815 6,501 6,197 9,704 7,486 — 57,703 Impairment of long-lived assets — — — 187 — — 187 Operating income (loss) (8,537 ) 200,761 20,480 (10,172 ) (2,156 ) 10 200,386 Interest expense, net 845 182 156 660 353 — 2,196 Other expense 92 332 23 72 (5 ) — 514 Income (loss) before income taxes $ (9,474 ) $ 200,247 $ 20,301 $ (10,904 ) $ (2,504 ) $ 10 $ 197,676 Six months ended June 30, 2017 Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total Revenue from external customers $ 90,377 $ 1,709 $ 38,912 $ 23,223 $ 19,007 $ — $ 173,228 Intersegment revenues 459 — 1,447 — 85 (1,991 ) — Total revenue 90,836 1,709 40,359 23,223 19,092 (1,991 ) 173,228 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 64,533 1,712 32,582 22,986 14,025 — 135,838 Intersegment cost of revenues 1,532 — 454 — 5 (1,991 ) — Total cost of revenue 66,065 1,712 33,036 22,986 14,030 (1,991 ) 135,838 Selling, general and administrative 4,180 355 4,474 2,728 2,700 — 14,437 Depreciation, depletion, amortization and accretion 18,784 340 3,569 9,942 4,495 — 37,130 Operating income (loss) 1,807 (698 ) (720 ) (12,433 ) (2,133 ) — (14,177 ) Interest expense, net 431 4 486 657 (69 ) — 1,509 Bargain purchase gain — — (4,012 ) — — — (4,012 ) Other expense 7 — 154 224 2 — 387 Income (loss) before income taxes $ 1,369 $ (702 ) $ 2,652 $ (13,314 ) $ (2,066 ) $ — $ (12,061 ) Pressure Pumping Infrastructure Sand Drilling All Other Eliminations Total As of June 30, 2018: Total assets (a) $ 277,895 $ 341,171 $ 199,421 $ 92,578 $ 150,579 $ (32,521 ) $ 1,029,123 Goodwill $ 86,043 $ 891 $ 2,684 $ — $ 11,893 $ — $ 101,511 As of December 31, 2017: Total assets (a) $ 297,140 $ 205,275 $ 190,859 $ 88,527 $ 243,767 $ (158,325 ) $ 867,243 Goodwill $ 86,043 $ 891 $ 2,684 $ — $ 10,193 $ — $ 99,811 a. Total assets included in the All Other column include Mammoth LLC corporate assets totaling $34.3 million and $148.8 million , respectively, as of June 30, 2018 and December 31, 2017, of which $16.9 million and $137.4 million are inter-segment accounts receivable which are eliminated in consolidation. |
Organization and Nature of Bu45
Organization and Nature of Business (Details) - $ / shares | Jun. 30, 2018 | Jun. 29, 2018 | Oct. 19, 2016 | Nov. 24, 2014 |
Operating Entities | ||||
Business Acquisition [Line Items] | ||||
Shares issued in acquisition (in shares) | 20,000,000 | |||
IPO | ||||
Business Acquisition [Line Items] | ||||
Shares issued (in shares) | 7,750,000 | |||
Sale of stock, price per share (in USD per share) | $ 15 | |||
IPO | Mammoth Holdings, Gulfport and Rhino | ||||
Business Acquisition [Line Items] | ||||
Shares issued (in shares) | 250,000 | |||
Secondary Public Offering | Gulfport | ||||
Business Acquisition [Line Items] | ||||
Shares issued (in shares) | 4,000,000 | |||
Sale of stock, price per share (in USD per share) | $ 38.01 | |||
Underwrites option | Gulfport | ||||
Business Acquisition [Line Items] | ||||
Shares issued (in shares) | 600,000 | |||
shares issued (in shares) | 385,000 |
Organization and Nature of Bu46
Organization and Nature of Business - Schedule of Ownership (Details) - shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count (in shares) | 44,752,765 | 44,589,306 |
% Ownership | 100.00% | 100.00% |
Wexford | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count (in shares) | 22,252,277 | 25,009,319 |
% Ownership | 49.70% | 56.10% |
Gulfport | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count (in shares) | 9,943,645 | 11,171,887 |
% Ownership | 22.20% | 25.10% |
Rhino | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count (in shares) | 104,100 | 568,794 |
% Ownership | 0.20% | 1.30% |
Outstanding shares owned by related parties | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Share Count (in shares) | 32,300,022 | 36,750,000 |
% Ownership | 72.10% | 82.50% |
Basis of Presentation and Sig47
Basis of Presentation and Significant Accounting Policies - Accounts Receivable (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||
Balance, Period Start | $ 21,737 | $ 5,377 |
Additions charged to expense | 53,790 | 16,206 |
Additions other | 179 | |
Deductions for uncollectible receivables written off | (1,758) | (25) |
Balance, Period End | $ 73,769 | $ 21,737 |
Basis of Presentation and Sig48
Basis of Presentation and Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | ||
Bad debt expense | $ 53,790 | $ 16,206 |
Oil And Natural Gas Industry | ||
Related Party Transaction [Line Items] | ||
Bad debt expense | 200 | 200 |
Puerto Rico Electric Power Authority (PREPA) | ||
Related Party Transaction [Line Items] | ||
Bad debt expense | $ 53,600 | $ 16,000 |
Basis of Presentation and Sig49
Basis of Presentation and Significant Accounting Policies - Concentration of Credit Risk and Significant Customers (Details) - Customer Concentration Risk | Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 |
Customer A | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 65.00% | 0.00% | 65.00% | 0.00% | ||
Customer A | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 59.00% | 56.00% | ||||
Customer B | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 9.00% | 59.00% | 11.00% | 59.00% | ||
Customer B | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 9.00% | 12.00% |
Revenues - Narrative (Details)
Revenues - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Revenue | $ 533,594 | $ 98,262 | $ 1,027,843 | $ 173,228 |
Shortfall Payments | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Revenue | $ 300 | $ 300 | ||
Practical expedients | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Contract term (greater than) | 1 year | 1 year |
Revenues (Details)
Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 533,594 | $ 98,262 | $ 1,027,843 | $ 173,228 |
Pressure pumping services | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 101,406 | 50,196 | 202,544 | 90,836 |
Infrastructure services | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 360,250 | 1,709 | 685,709 | 1,709 |
Natural sand proppant services | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 52,845 | 24,762 | 103,860 | 40,359 |
Contract land and directional drilling services | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 17,210 | 12,472 | 32,440 | 23,223 |
Other services | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 20,167 | 10,242 | 43,062 | 19,092 |
Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ (18,284) | $ (1,119) | $ (39,772) | $ (1,991) |
Revenues - Performance Obligati
Revenues - Performance Obligations and Contract Balances (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Revenue from Contract with Customer [Abstract] | ||
Contract liabilities | $ 15,000,000 | $ 15,000,000 |
Contract assets | 0 | $ 0 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2018-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 68,500,000 | |
Contract term (greater than) | 2 years 6 months |
Acquisitions - WTL Oil Acquisit
Acquisitions - WTL Oil Acquisition (Narrative) (Details) - USD ($) $ in Thousands | May 31, 2018 | Jul. 31, 2018 | Jun. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2017 |
Business Acquisition [Line Items] | |||||
Cash paid to acquire a business | $ 13,356 | $ 39,570 | |||
WTL Oil LLC | |||||
Business Acquisition [Line Items] | |||||
Purchase price | $ 5,500 | ||||
Consideration receivable | $ 600 | ||||
Acquisition related costs | $ 100 | ||||
Subsequent Event | WTL Oil LLC | |||||
Business Acquisition [Line Items] | |||||
Cash paid to acquire a business | $ 600 |
Acquisitions - Schedule of Asse
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed WTL Oil (Details) - USD ($) $ in Thousands | May 31, 2018 | Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 101,511 | $ 99,811 | $ 88,727 | |
WTL Oil LLC | ||||
Business Acquisition [Line Items] | ||||
Property, plant and equipment | $ 2,960 | |||
Goodwill | 1,567 | |||
Total assets acquired | 6,107 | |||
Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 3 years 11 months | |||
Customer relationships | WTL Oil LLC | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 930 | |||
Trade names | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 9 years 1 month | |||
Trade names | WTL Oil LLC | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | $ 650 | |||
Minimum | WTL Oil LLC | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||
Maximum | WTL Oil LLC | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 20 years |
Acquisitions - Pro Forma Inform
Acquisitions - Pro Forma Information WTL Oil Acquisition (Details) - WTL Oil LLC - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Business Acquisition [Line Items] | ||
Revenues | $ 595 | |
Net income | 5 | |
Depreciation | 100 | |
Revenues | 3,354 | $ 1,553 |
Net income | $ 90 | $ 62 |
Acquisitions - RTS Energy Servi
Acquisitions - RTS Energy Services Acquisition (Narrative) (Details) - USD ($) $ in Thousands | Jun. 15, 2018 | Jun. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2017 |
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 13,356 | $ 39,570 | ||
RTS Energy Services LLC | ||||
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 7,600 | |||
Consideration receivable | $ 500 | |||
Acquisition related costs | $ 0 |
Acquisitions - Schedule of As57
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed, RTS (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Jun. 15, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 101,511 | $ 99,811 | $ 88,727 | |
RTS Energy Services LLC | ||||
Business Acquisition [Line Items] | ||||
Inventories | $ 180 | |||
Property, plant and equipment | 7,787 | |||
Goodwill | 133 | |||
Total assets acquired | $ 8,100 |
Acquisitions - Pro Forma RTS Ac
Acquisitions - Pro Forma RTS Acquisition (Details) - RTS Energy Services LLC - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Business Acquisition [Line Items] | ||
Revenues | $ 630 | |
Net income | 7 | |
Depreciation | 100 | |
Revenues | 10,160 | $ 8,326 |
Net income (loss) | $ (848) | $ 653 |
Acquisitions - Acquisition of 5
Acquisitions - Acquisition of 5 Star Narrative (Details) - USD ($) $ in Thousands | Jul. 01, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 |
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 13,356 | $ 39,570 | ||
5 Star | ||||
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 2,400 | |||
Acquisition related costs | $ 100 |
Acquisitions - Schedule Of As60
Acquisitions - Schedule Of Assets Acquired and Liabilities Assumed 5 Star (Details) - USD ($) $ in Thousands | Jul. 01, 2017 | Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 101,511 | $ 99,811 | $ 88,727 | |
5 Star | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | $ 2,440 | |||
Property, plant and equipment | 1,863 | |||
Goodwill | 248 | |||
Total assets acquired | 4,851 | |||
Long-term debt and other liabilities | 2,413 | |||
Total liabilities assumed | 2,413 | |||
Net assets acquired | $ 2,438 | |||
Finite-lived intangible asset, useful life (in years) | 10 years | |||
Trade names | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 9 years 1 month | |||
Trade names | 5 Star | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets - customer relationships | $ 300 |
Acquisitions - Pro Forma, 5 Sta
Acquisitions - Pro Forma, 5 Star (Details) - 5 Star - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 86,720 | $ 25,216 | |
Net income | 12,903 | 4,191 | |
Depreciation | 1,000 | 800 | |
Revenues | $ 6,332 | ||
Net loss | $ (282) | ||
Eliminations | |||
Business Acquisition [Line Items] | |||
Revenues | $ 77,500 | $ 16,000 |
Acquisitions - Acquisition of H
Acquisitions - Acquisition of Higher Power Narrative (Details) - USD ($) $ in Thousands | Apr. 21, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 |
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 13,356 | $ 39,570 | ||
Higher Power | ||||
Business Acquisition [Line Items] | ||||
Cash paid to acquire a business | $ 3,300 | |||
Business combination, contingent consideration, liability | $ 800 | |||
Business combination, contingent consideration, payment term | 3 years | |||
Transaction related costs expensed | $ 100 | |||
Accrued Liabilities | Higher Power | ||||
Business Acquisition [Line Items] | ||||
Business combination, contingent consideration, liability | 300 | |||
Other Liabilities | Higher Power | ||||
Business Acquisition [Line Items] | ||||
Business combination, contingent consideration, liability | $ 300 |
Acquisitions - Schedule of As63
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed. High Power Acquisition (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 | Apr. 21, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 101,511 | $ 99,811 | $ 88,727 | |
Higher Power | ||||
Business Acquisition [Line Items] | ||||
Property, plant and equipment | $ 1,744 | |||
Goodwill | 643 | |||
Total assets acquired | 4,000 | |||
Customer relationships | Higher Power | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets - customer relationships | $ 1,613 |
Acquisitions - Pro Forma Info64
Acquisitions - Pro Forma Information High Power Acquisition (Details) - Higher Power - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 122,734 | $ 39,571 | |
Net income | 16,205 | 5,127 | |
Depreciation | 2,300 | 2,000 | |
Revenues | $ 4,481 | ||
Net loss | $ (411) | ||
Eliminations | |||
Business Acquisition [Line Items] | |||
Revenues | $ 111,400 | $ 27,400 |
Acquisitions - Narrative Sturge
Acquisitions - Narrative Sturgeon Acquisitions (Details) - Sturgeon Acquisitions LLC - USD ($) $ / shares in Units, $ in Millions | Jun. 05, 2017 | Dec. 31, 2017 |
Business Acquisition [Line Items] | ||
Shares issued in acquisition (in shares) | 5,607,452 | |
Business acquisition, share price (in dollars per share) | $ 18.50 | |
Purchase price | $ 103.7 | |
Transaction related costs expensed | $ 1.3 |
Acquisitions - Chieftain Acquis
Acquisitions - Chieftain Acquisition Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Cash paid to acquire a business | $ 13,356 | $ 39,570 | |
Chieftain Acquisition | |||
Business Acquisition [Line Items] | |||
Transaction related costs expensed | $ 800 |
Acquisitions - Schedule of As67
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed Chieftrain Sand and Proppant LLC (Details) - USD ($) $ in Thousands | May 24, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 |
Business Acquisition [Line Items] | |||||
Bargain purchase gain, net of tax | $ 0 | $ (4,012) | $ 0 | $ (4,012) | |
Chieftain Acquisition | |||||
Business Acquisition [Line Items] | |||||
Property, plant and equipment | $ 23,373 | ||||
Sand reserves | 20,910 | ||||
Total assets acquired | 44,283 | ||||
Asset retirement obligation | 1,732 | ||||
Total liabilities assumed | 1,732 | ||||
Net assets acquired | 42,551 | ||||
Bargain purchase gain, net of tax | (6,231) | ||||
Total purchase price | 36,320 | ||||
Bargain purchase, gain recognized, tax amount | $ 2,200 |
Acquisitions - Pro Forma Info68
Acquisitions - Pro Forma Information Chieftain Sand and Proppant LLC (Details) - Chieftain Acquisition - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Jun. 30, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Revenues | $ 35,128 | $ 22,847 | |
Net income | 10,694 | 5,520 | |
Depreciation | 2,300 | 2,800 | |
Revenues | $ 1,312 | ||
Net loss | $ (72) | ||
Eliminations | |||
Business Acquisition [Line Items] | |||
Revenues | $ 9,600 | $ 12,300 |
Acquisitions - Stingray Acquisi
Acquisitions - Stingray Acquisition Narrative (Details) - Stingray Acquisitions $ / shares in Units, $ in Thousands | Jun. 05, 2017USD ($)$ / sharesshares | Dec. 31, 2017USD ($) | May 12, 2017agreement |
Business Acquisition [Line Items] | |||
Number of contribution agreements entered into | agreement | 2 | ||
Shares issued in acquisition (in shares) | shares | 1,392,548 | ||
Business acquisition, share price (in dollars per share) | $ / shares | $ 18.50 | ||
Purchase price | $ 25,762 | ||
Transaction related costs expensed | $ 200 |
Acquisitions - Consideration Tr
Acquisitions - Consideration Transferred Stingray Acquisition (Details) $ in Thousands | Jun. 05, 2017USD ($) |
Cementing | |
Business Acquisition [Line Items] | |
Purchase price | $ 12,975 |
SR Energy | |
Business Acquisition [Line Items] | |
Purchase price | 12,787 |
Stingray Acquisitions | |
Business Acquisition [Line Items] | |
Purchase price | $ 25,762 |
Acquisitions - Schedule of As71
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed, Stingray (Details) - USD ($) $ in Thousands | Jun. 05, 2017 | Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 101,511 | $ 99,811 | $ 88,727 | |
Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 3 years 11 months | |||
Trade names | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 9 years 1 month | |||
SR Energy | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | $ 1,611 | |||
Accounts receivable, net | 3,913 | |||
Receivables from related parties | 3,684 | |||
Inventories | 0 | |||
Prepaid expenses | 35 | |||
Property, plant and equipment | 13,061 | |||
Goodwill | 3,929 | |||
Other assets | 7 | |||
Total assets acquired | 26,790 | |||
Accounts payable and accrued liabilities | 5,890 | |||
Long-term debt | 5,074 | |||
Deferred tax liability | 3,039 | |||
Total liabilities assumed | 14,003 | |||
Net assets acquired | 12,787 | |||
SR Energy | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 0 | |||
SR Energy | Trade names | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 550 | |||
Cementing | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | 1,060 | |||
Accounts receivable, net | 495 | |||
Receivables from related parties | 1,418 | |||
Inventories | 306 | |||
Prepaid expenses | 32 | |||
Property, plant and equipment | 7,459 | |||
Goodwill | 6,264 | |||
Other assets | 0 | |||
Total assets acquired | 18,444 | |||
Accounts payable and accrued liabilities | 2,063 | |||
Long-term debt | 2,000 | |||
Deferred tax liability | 1,406 | |||
Total liabilities assumed | 5,469 | |||
Net assets acquired | 12,975 | |||
Cementing | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 1,140 | |||
Cementing | Trade names | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 270 | |||
Stingray Acquisitions | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | 2,671 | |||
Accounts receivable, net | 4,408 | |||
Receivables from related parties | 5,102 | |||
Inventories | 306 | |||
Prepaid expenses | 67 | |||
Property, plant and equipment | 20,520 | |||
Goodwill | 10,193 | |||
Other assets | 7 | |||
Total assets acquired | 45,234 | |||
Accounts payable and accrued liabilities | 7,953 | |||
Long-term debt | 7,074 | |||
Deferred tax liability | 4,445 | |||
Total liabilities assumed | 19,472 | |||
Net assets acquired | 25,762 | |||
Stingray Acquisitions | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | 1,140 | |||
Stingray Acquisitions | Trade names | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets | $ 820 | |||
Minimum | Stingray Acquisitions | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 5 years | |||
Maximum | Stingray Acquisitions | ||||
Business Acquisition [Line Items] | ||||
Finite-lived intangible asset, useful life (in years) | 10 years |
Acquisitions - Pro Forma Stingr
Acquisitions - Pro Forma Stingray Acquisitions (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
SR Energy | |||
Business Acquisition [Line Items] | |||
Revenues | $ 16,034 | $ 11,572 | |
Net loss | (1,586) | (1,626) | |
Depreciation | 2,800 | 3,400 | |
Cementing | |||
Business Acquisition [Line Items] | |||
Revenues | 5,131 | 7,500 | |
Net loss | (806) | (1,963) | |
Depreciation | 1,000 | 4,100 | |
Stingray Acquisitions | |||
Business Acquisition [Line Items] | |||
Revenues | $ 18,333 | ||
Net loss | $ (1,612) | ||
Eliminations | SR Energy | |||
Business Acquisition [Line Items] | |||
Revenues | $ 1,600 | $ 600 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Supplies | $ 7,264 | $ 9,437 |
Raw materials | 321 | 219 |
Work in process | 1,326 | 2,370 |
Finished goods | 3,806 | 5,788 |
Total inventory | $ 12,717 | $ 17,814 |
Property, Plant and Equipment74
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 695,961 | $ 587,298 | |
Deposits on equipment and equipment in process of assembly | 33,349 | 20,348 | |
Property, plant and equipment, gross | 729,310 | 607,646 | |
Less: accumulated depreciation | 305,995 | 256,629 | |
Property, plant and equipment, net | 423,315 | 351,017 | |
Accumulated depreciation for assets under capital leases | 900 | 800 | |
Proceeds from disposal of property and equipment | 898 | $ 781 | |
Gain (loss) on disposal of property and equipment | 128 | (127) | |
Pressure pumping equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 199,333 | 190,211 | |
Pressure pumping equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 3 years | ||
Pressure pumping equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 5 years | ||
Drilling rigs and related equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 137,075 | 132,260 | |
Proceeds from disposal of property and equipment | 600 | 300 | |
Gain (loss) on disposal of property and equipment | $ 500 | $ 200 | |
Drilling rigs and related equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 3 years | ||
Drilling rigs and related equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 15 years | ||
Machinery and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 140,308 | 97,569 | |
Assets under capital lease | $ 1,800 | 1,800 | |
Machinery and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 7 years | ||
Machinery and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 20 years | ||
Buildings | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 47,593 | 45,992 | |
Buildings | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 15 years | ||
Buildings | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 39 years | ||
Vehicles, trucks and trailers | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 91,680 | 54,055 | |
Assets under capital lease | $ 3,800 | 1,000 | |
Vehicles, trucks and trailers | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 5 years | ||
Vehicles, trucks and trailers | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 10 years | ||
Coil tubing equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 28,068 | 28,053 | |
Coil tubing equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 4 years | ||
Coil tubing equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 10 years | ||
Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 14,183 | 11,317 | |
Land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 15 years | ||
Property, plant, and equipment | $ 9,614 | 9,614 | |
Rail improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 13,101 | 5,540 | |
Rail improvements | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 10 years | ||
Rail improvements | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 20 years | ||
Other property and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 15,006 | $ 12,687 | |
Other property and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 3 years | ||
Other property and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 12 years |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Depreciation, Amortization, Accretion, and Depletion (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 27,058 | $ 17,229 | $ 51,456 | $ 32,196 |
Depletion expense | 1,340 | 382 | 1,427 | 384 |
Amortization expense | 2,382 | 2,268 | 4,790 | 4,536 |
Accretion expense | 15 | 14 | 30 | 14 |
Depreciation, depletion, amortization and accretion | $ 30,795 | $ 19,893 | 57,703 | 37,130 |
Depreciation expense for assets under capital leases | $ 400 | $ 200 |
Intangible Assets and Goodwil76
Intangible Assets and Goodwill - Definite Lived Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, net | $ 12,930 | $ 16,139 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 36,725 | 35,795 |
Less: accumulated amortization | (30,521) | (26,172) |
Intangible assets, net | 6,204 | 9,623 |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 9,443 | 8,793 |
Less: accumulated amortization | $ (2,717) | $ (2,277) |
Intangible Assets and Goodwil77
Intangible Assets and Goodwill - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | ||||||
Amortization of intangible assets | $ 2,382 | $ 2,268 | $ 4,790 | $ 4,536 | ||
Goodwill | $ 101,511 | $ 101,511 | $ 99,811 | $ 88,727 | ||
Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 3 years 11 months | |||||
Trade names | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 9 years 1 month | |||||
Minimum | Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 4 years | |||||
Minimum | Trade names | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||||
Maximum | Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 10 years | |||||
Maximum | Trade names | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 20 years |
Intangible Assets and Goodwil78
Intangible Assets and Goodwill - Aggregated Expected Amortization Expense (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2018 | $ 3,969 | |
2,019 | 1,293 | |
2,020 | 1,293 | |
2,021 | 1,288 | |
2,022 | 1,266 | |
Thereafter | 3,821 | |
Intangible assets, net | $ 12,930 | $ 16,139 |
Intangible Assets and Goodwil79
Intangible Assets and Goodwill - Schedule Of Changes in Goodwill (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Goodwill [Roll Forward] | ||
Goodwill, Period Start | $ 99,811 | $ 88,727 |
Goodwill, Period End | 101,511 | 99,811 |
Stingray Acquisitions | ||
Goodwill [Roll Forward] | ||
Additions | 10,193 | |
Higher Power | ||
Goodwill [Roll Forward] | ||
Additions | 643 | |
5 Star | ||
Goodwill [Roll Forward] | ||
Additions | $ 248 | |
RTS Energy Services LLC | ||
Goodwill [Roll Forward] | ||
Additions | 133 | |
WTL Oil LLC | ||
Goodwill [Roll Forward] | ||
Additions | $ 1,567 |
Accrued Expenses and Other Cu80
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Payables and Accruals [Abstract] | ||
Deferred revenue | $ 15,100 | $ 15,210 |
Accrued compensation, benefits and related taxes | 19,917 | 11,552 |
Financed insurance premiums | 1,638 | 4,876 |
Insurance reserves | 4,183 | 2,942 |
State and local taxes payable | 8,205 | 2,126 |
Other | 5,658 | 4,189 |
Total | $ 54,701 | $ 40,895 |
Accrued Expenses and Other Cu81
Accrued Expenses and Other Current Liabilities - Narrative (Details) | Jun. 30, 2018 | Dec. 31, 2017 |
Payables and Accruals [Abstract] | ||
Financed insurance premium interest rate | 2.75% | 2.75% |
Debt (Details)
Debt (Details) | Jun. 30, 2015USD ($) | Nov. 25, 2014USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) |
Line of Credit Facility [Line Items] | ||||
Outstanding borrowing under the credit facility | $ 0 | $ 99,900,000 | ||
Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 170,000,000 | |||
Remaining borrowing capacity | $ 162,700,000 | 62,800,000 | ||
Maximum leverage ratio | 4 | |||
Debt covenant, minimum availability required | $ 10,000,000 | |||
Letter of Credit | ||||
Line of Credit Facility [Line Items] | ||||
Remaining borrowing capacity | $ 6,500,000 | $ 6,500,000 | ||
London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Increments of debt that can be converted | $ 500,000 | |||
Minimum | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Interest coverage rate | 3 | |||
Minimum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 1.50% | |||
Maximum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 3.00% | |||
Sturgeon Acquisitions LLC | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 25,000,000 | |||
Basis spread on variable rate | 2.00% | |||
Debt instrument, term | 3 years | |||
Sturgeon Acquisitions LLC | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 3.00% | |||
Sturgeon Acquisitions LLC | Federal Fund Open Rate | Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 0.50% |
Other Liabilities - Schedule o
Other Liabilities - Schedule of Other Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Other Liabilities Disclosure [Abstract] | ||
Capital lease obligations | $ 4,253 | $ 2,015 |
Equipment financing arrangement | 1,436 | 1,605 |
Other | 250 | 500 |
Total | 5,939 | 4,120 |
Less: Current portion of capital lease and equipment financing obligations included in accrued expenses and other current liabilities | (1,839) | (831) |
Total Other Liabilities | $ 4,100 | $ 3,289 |
Other Liabilities (Details)
Other Liabilities (Details) | 6 Months Ended | |
Jun. 30, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||
Financing arrangement, term | 5 years | |
Financing arrangement, stated interest rate | 4.60% | |
Capital Lease Obligations | ||
Debt Instrument [Line Items] | ||
Capital lease, weighted average implied interest rate | 14.20% | 19.10% |
Other Liabilities - Schedule85
Other Liabilities - Schedule of Future Payments Under Capital Lease (Details) $ in Thousands | Jun. 30, 2018USD ($) |
Other Liabilities Disclosure [Abstract] | |
2,018 | $ 890 |
2,019 | 2,593 |
2,020 | 1,696 |
2,021 | 664 |
2,022 | 360 |
Total future minimum payments | 6,203 |
Less interest payments | (514) |
Present value of future minimum payments | $ 5,689 |
Variable Interest Entity (Detai
Variable Interest Entity (Details) | Apr. 06, 2018 |
Dire Wolf Energy Services LLC | Cobra Aviation Services LLC | |
Variable Interest Entity [Line Items] | |
Interest transferred | 100.00% |
Selling, General And Administ87
Selling, General And Administrative Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Non-cash expenses: | |||||
Bad debt provision | $ 53,790 | $ 16,206 | |||
Equity based compensation | $ 17,500 | 17,487 | $ 0 | ||
Stock based compensation | 2,916 | 1,620 | |||
Total SG&A expense | 65,127 | $ 7,700 | 103,638 | 14,437 | |
Selling, General and Administrative Expenses | |||||
Cash expenses: | |||||
Compensation and benefits | 10,978 | 2,966 | 18,677 | 5,381 | |
Professional services | 2,981 | 1,652 | 5,568 | 3,581 | |
Other(a) | 3,935 | 2,015 | 5,542 | 3,880 | |
Total cash SG&A expense | 17,894 | 6,633 | 29,787 | 12,842 | |
Non-cash expenses: | |||||
Bad debt provision | 28,263 | 17 | 53,790 | (25) | |
Equity based compensation | 17,487 | 0 | 17,487 | 0 | |
Stock based compensation | 1,483 | 1,050 | 2,574 | 1,620 | |
Total non-cash SG&A expense | 47,233 | 1,067 | 73,851 | 1,595 | |
Total SG&A expense | $ 65,127 | $ 7,700 | $ 103,638 | $ 14,437 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Foreign current income tax expense | $ 67,665 | $ 21 | $ 125,712 | $ 606 |
Foreign deferred income tax benefit | (15,266) | (14) | (25,386) | (20) |
U.S. current income tax expense | 1,636 | 0 | 1,624 | 0 |
U.S. deferred income tax benefit | (523) | (2,811) | (2,520) | (6,496) |
Total | $ 53,512 | $ (2,804) | $ 99,430 | $ (5,910) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Dec. 31, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Contingency [Line Items] | |||
Federal income tax rate | 50.00% | 37.00% | |
Tax cuts and jobs act of 2017, income tax expense (benefit) | $ (31) | ||
Foreign Tax Credit | |||
Income Tax Contingency [Line Items] | |||
Change in deferred tax assets valuation allowance | $ 9.2 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) | $ 42,700 | $ (1,170) | $ 98,246 | $ (6,151) |
Basic earnings (loss) per share: | ||||
Weighted average common shares outstanding (in shares) | 44,737,000 | 39,500,000 | 44,700,000 | 38,506,000 |
Basic earnings (loss) per share (in USD per share) | $ 0.95 | $ (0.03) | $ 2.20 | $ (0.16) |
Diluted earnings (loss) per share: | ||||
Weighted average common shares, including dilutive effect (in shares) | 45,059,000 | 39,500,000 | 44,977,000 | 38,506,000 |
Diluted earnings (loss) per share (in USD per share) | $ 0.95 | $ (0.03) | $ 2.18 | $ (0.16) |
Restricted Stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Incremental common shares attributable to dilutive effect of share-based payment arrangements (in shares) | 0 | 0 |
Equity Based Compensation (Deta
Equity Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 29, 2018 | Jun. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity based compensation (Note 15) | $ 17,500 | $ 17,487 | $ 0 | |
Specified Member Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of the award as of the modification dates or grant date | 5,600 | 5,600 | ||
Non-Employees Member | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of the award as of the modification dates or grant date | $ 43,100 | $ 43,100 | ||
MEh Sub LLC | Secondary Public Offering | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued (in shares) | 2,764,400 | |||
Sale of stock, price per share (in USD per share) | $ 38.01 |
Stock Based Compensation (Detai
Stock Based Compensation (Details) - Restricted Stock | 6 Months Ended |
Jun. 30, 2018$ / sharesshares | |
Number of Unvested Restricted Shares | |
Unvested shares as of January 1, 2018 (in shares) | shares | 640,632 |
Granted (in shares) | shares | 93,556 |
Vested (in shares) | shares | (149,098) |
Forfeited (in shares) | shares | 0 |
Unvested shares as of June 30, 2018 (in shares) | shares | 585,090 |
Weighted Average Grant-Date Fair Value | |
Unvested shares as of January 1, 2018 (in dollars per share) | $ / shares | $ 19.44 |
Granted (in dollars per share) | $ / shares | 26.83 |
Vested (in dollars per share) | $ / shares | 21.29 |
Forfeited (in dollars per share) | $ / shares | 0 |
Unvested shares as of June 30, 2018 (in dollars per share) | $ / shares | $ 21.07 |
Stock Based Compensation - Nar
Stock Based Compensation - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized (in shares) | 4,500,000 | 4,500,000 | ||
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of the award as of the modification dates or grant date | $ 9.2 | $ 9.2 | ||
Unrecognized compensation cost | 22 months | |||
Compensation expense | $ 1.7 | $ 1.1 | $ 2.9 | $ 1.6 |
Related Party Transactions - Re
Related Party Transactions - Revenues and Accounts Receivable (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||||
REVENUES | $ 50,341 | $ 58,208 | $ 110,891 | $ 102,710 | |
ACCOUNTS RECEIVABLE | 30,674 | 30,674 | $ 33,788 | ||
Pressure Pumping and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 33,831 | 41,100 | 72,377 | 72,845 | |
ACCOUNTS RECEIVABLE | 20,127 | 20,127 | 25,054 | ||
Muskie and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 9,730 | 13,605 | 21,192 | 25,145 | |
ACCOUNTS RECEIVABLE | 4,428 | 4,428 | 1,947 | ||
Panther Drilling and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 0 | 952 | 56 | 1,994 | |
ACCOUNTS RECEIVABLE | 12 | 12 | 872 | ||
Cementing and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 2,048 | 903 | 4,876 | 903 | |
ACCOUNTS RECEIVABLE | 1,739 | 1,739 | 2,255 | ||
SR Energy and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 4,626 | 1,565 | 11,579 | 1,565 | |
ACCOUNTS RECEIVABLE | 4,292 | 4,292 | 3,348 | ||
Panther Drilling and El Toro | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 0 | 0 | 345 | 0 | |
ACCOUNTS RECEIVABLE | 0 | 0 | 0 | ||
Redback Energy and El Toro | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 92 | 34 | 92 | 158 | |
ACCOUNTS RECEIVABLE | 0 | 0 | 0 | ||
Coil Tubing and El Toro | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 0 | 0 | 360 | 0 | |
ACCOUNTS RECEIVABLE | (2) | (2) | 0 | ||
Bison Drilling and Predator | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 0 | 0 | 0 | 0 | |
ACCOUNTS RECEIVABLE | 0 | 0 | 234 | ||
Other Relationships | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 14 | $ 49 | 14 | $ 100 | |
ACCOUNTS RECEIVABLE | $ 78 | $ 78 | $ 78 |
Related Party Transactions - Co
Related Party Transactions - Cost of Revenues of Accounts Payable (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | $ 1,916 | $ 1,916 | $ 1,378 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 532 | $ 307 | 961 | $ 631 | |
Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 2,428 | 262 | 4,220 | 692 | |
ACCOUNTS PAYABLE | 1,916 | 1,916 | 1,378 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 532 | 307 | 961 | 631 | |
CAPITAL EXPENDITURES | 2,332 | 0 | 3,904 | 0 | |
Cobra and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 1,486 | 0 | 2,762 | 0 | |
CAPITAL EXPENDITURES | 757 | 0 | 1,131 | 0 | |
Higher Power and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 950 | 0 | 1,458 | 0 | |
CAPITAL EXPENDITURES | 1,575 | 0 | 2,773 | 0 | |
Panther and DBDHT | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 0 | 0 | 0 | 128 | |
The Company and 2017 Stingray Companies | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 0 | 207 | 0 | 444 | |
Other Relationships | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | (8) | 55 | 0 | 120 | |
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 42 | 20 | 56 | 53 | |
The Company and Everest | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 55 | 50 | 86 | 108 | |
The Company and Wexford | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 290 | 165 | 473 | 398 | |
The Company and Caliber | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 145 | $ 72 | 346 | $ 72 | |
ACCOUNTS PAYABLE | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 865 | 865 | 755 | ||
ACCOUNTS PAYABLE | Cobra and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 289 | 289 | 457 | ||
ACCOUNTS PAYABLE | Higher Power and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 576 | 576 | 3 | ||
ACCOUNTS PAYABLE | Panther and DBDHT | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 77 | ||
ACCOUNTS PAYABLE | The Company and 2017 Stingray Companies | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 0 | ||
ACCOUNTS PAYABLE | Other Relationships | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 218 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 131 | 131 | 172 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Other Relationships | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 2 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Everest | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 6 | 6 | 19 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Wexford | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 78 | 78 | 150 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Caliber | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 47 | 47 | 1 | ||
CAPITAL EXPENDITURES | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 920 | 920 | 451 | ||
CAPITAL EXPENDITURES | Cobra and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 170 | 170 | 66 | ||
CAPITAL EXPENDITURES | Higher Power and T&E | Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | $ 750 | $ 750 | $ 385 |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) - Gulfport - Secondary Public Offering $ / shares in Units, $ in Millions | Jun. 29, 2018USD ($)$ / sharesshares |
Related Party Transaction [Line Items] | |
Shares issued (in shares) | shares | 4,000,000 |
Sale of stock, price per share (in USD per share) | $ / shares | $ 38.01 |
Stock issuance costs | $ | $ 0.7 |
Commitments and Contingencies -
Commitments and Contingencies - Future minimum lease payments (Details) $ in Thousands | Jun. 30, 2018USD ($) |
Operating Leases | |
Remainder of 2018 | $ 12,148 |
2,019 | 18,091 |
2,020 | 15,622 |
2,021 | 12,029 |
2,022 | 8,995 |
Thereafter | 6,057 |
Total | 72,942 |
Minimum Purchase Commitments | |
Remainder of 2018 | 19,254 |
2,019 | 12,125 |
2,020 | 400 |
2,021 | 165 |
2,022 | 0 |
Thereafter | 0 |
Minimum Purchase Commitments | 31,944 |
Capital Spend Commitments | |
Minimum Purchase Commitments | |
Remainder of 2018 | 16,393 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
2,022 | 0 |
Thereafter | 0 |
Minimum Purchase Commitments | $ 16,393 |
Commitments and Contingencies98
Commitments and Contingencies - Narrative (Details) - USD ($) | Jun. 27, 2018 | Jun. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 |
Other Commitments [Line Items] | |||||
Operating leases, rent expense | $ 10,200,000 | $ 4,200,000 | |||
Insurance deductible | $ 300,000 | 300,000 | $ 300,000 | ||
Insurance aggregate stop loss | 2,000,000 | 2,000,000 | 2,000,000 | ||
Workers compensation and auto claims insurance, aggregate stop loss per claim basis | 200,000 | 200,000 | |||
Workers compensation and auto claims insurance, aggregate stop loss per calendar year | 5,800,000 | 5,800,000 | |||
Insurance reserves | 4,183,000 | 4,183,000 | 2,942,000 | ||
Warranty accrual | 0 | 0 | 0 | ||
Product warranty expense | 0 | $ 0 | |||
Commitments and contingencies | |||||
Maximum annual contributions per employee, percent | 92.00% | ||||
Employer matching contribution, percent of match | 3.00% | ||||
Employer discretionary contribution amount | 1,800,000 | $ 3,400,000 | |||
Outstanding Bid Bond | |||||
Other Commitments [Line Items] | |||||
Commitments and contingencies | 1,100,000 | 1,100,000 | |||
Performance And Payment Bond | |||||
Other Commitments [Line Items] | |||||
Commitments and contingencies | 1,600,000 | 1,600,000 | |||
Estimated cost to complete the project | $ 600,000 | $ 600,000 | |||
Wendco Of Puerto Rico Inc, Multisystem Restaurant Inc, Restaurant Operators Inc, Apple Caribe, Inc | |||||
Other Commitments [Line Items] | |||||
Loss contingency, damages sought | $ 300,000,000 |
Commitments and Contingencies99
Commitments and Contingencies - Schedule of Letters of Credit (Details) - Letter of Credit - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 6,523 | $ 6,523 |
Environmental remediation | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 3,582 | 3,582 |
Insurance programs | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 2,486 | 2,486 |
Rail car commitments | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 455 | $ 455 |
Reporting Segments (Details)
Reporting Segments (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($)segment | Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Reporting Information [Line Items] | ||||||
Number of reportable segments | segment | 4 | |||||
Revenue | $ 533,594 | $ 98,262 | $ 1,027,843 | $ 173,228 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 339,828 | 77,340 | 665,929 | 135,838 | ||
Intersegment cost of revenues | 0 | 0 | 0 | 0 | ||
Total cost of revenue | 339,828 | 77,340 | 665,929 | 135,838 | ||
Selling, general and administrative | 65,127 | 7,700 | 103,638 | 14,437 | ||
Depreciation, depletion, amortization and accretion | 30,795 | 19,893 | 57,703 | 37,130 | ||
Impairment of long-lived assets | 187 | 0 | 187 | 0 | ||
Operating income (loss) | 97,657 | (6,671) | 200,386 | (14,177) | ||
Interest expense, net | 959 | 1,112 | 2,196 | 1,509 | ||
Bargain purchase gain | 0 | (4,012) | 0 | (4,012) | ||
Other expense | 486 | 203 | 514 | 387 | ||
Income (loss) before income taxes | 96,212 | (3,974) | 197,676 | (12,061) | ||
Total assets | 1,029,123 | 1,029,123 | $ 867,243 | |||
Accounts receivable, net | 312,850 | 312,850 | 243,746 | |||
Goodwill | 101,511 | 101,511 | 99,811 | $ 88,727 | ||
Pressure Pumping | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 100,333 | 49,924 | 196,912 | 90,377 | ||
Infrastructure services | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 360,250 | 1,709 | 685,709 | 1,709 | ||
Sand | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 37,439 | 24,000 | 73,942 | 38,912 | ||
Drilling | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 17,126 | 12,472 | 32,354 | 23,223 | ||
All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 18,446 | 10,157 | 38,926 | 19,007 | ||
Intersegment revenues | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 0 | 0 | 0 | 0 | ||
Intersegment revenues | Pressure Pumping | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 1,073 | 272 | 5,632 | 459 | ||
Intersegment revenues | Infrastructure services | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 0 | 0 | 0 | 0 | ||
Intersegment revenues | Sand | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 15,406 | 762 | 29,918 | 1,447 | ||
Intersegment revenues | Drilling | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 84 | 0 | 86 | 0 | ||
Intersegment revenues | All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 1,721 | 85 | 4,136 | 85 | ||
Eliminations | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | (18,284) | (1,119) | (39,772) | (1,991) | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 0 | 0 | 0 | 0 | ||
Intersegment cost of revenues | (18,036) | (1,119) | (39,782) | (1,991) | ||
Total cost of revenue | (18,036) | (1,119) | (39,782) | (1,991) | ||
Selling, general and administrative | 0 | 0 | 0 | 0 | ||
Depreciation, depletion, amortization and accretion | 0 | 0 | 0 | 0 | ||
Impairment of long-lived assets | 0 | 0 | ||||
Operating income (loss) | (248) | 0 | 10 | 0 | ||
Interest expense, net | 0 | 0 | 0 | 0 | ||
Bargain purchase gain | 0 | 0 | ||||
Other expense | 0 | 0 | 0 | 0 | ||
Income (loss) before income taxes | (248) | 0 | 10 | 0 | ||
Total assets | (32,521) | (32,521) | (158,325) | |||
Goodwill | 0 | 0 | 0 | |||
Eliminations | All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Accounts receivable, net | 16,900 | 16,900 | 137,400 | |||
Operating Segments | Pressure Pumping | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 101,406 | 50,196 | 202,544 | 90,836 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 61,593 | 35,826 | 128,205 | 64,533 | ||
Intersegment cost of revenues | 16,174 | 847 | 31,576 | 1,532 | ||
Total cost of revenue | 77,767 | 36,673 | 159,781 | 66,065 | ||
Selling, general and administrative | 20,822 | 2,403 | 23,485 | 4,180 | ||
Depreciation, depletion, amortization and accretion | 13,829 | 9,626 | 27,815 | 18,784 | ||
Impairment of long-lived assets | 0 | 0 | ||||
Operating income (loss) | (11,012) | 1,494 | (8,537) | 1,807 | ||
Interest expense, net | 341 | 303 | 845 | 431 | ||
Bargain purchase gain | 0 | 0 | ||||
Other expense | 80 | 4 | 92 | 7 | ||
Income (loss) before income taxes | (11,433) | 1,187 | (9,474) | 1,369 | ||
Total assets | 277,895 | 277,895 | 297,140 | |||
Goodwill | 86,043 | 86,043 | 86,043 | |||
Operating Segments | Infrastructure services | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 360,250 | 1,709 | 685,709 | 1,709 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 210,189 | 1,626 | 404,265 | 1,712 | ||
Intersegment cost of revenues | 754 | 0 | 2,545 | 0 | ||
Total cost of revenue | 210,943 | 1,626 | 406,810 | 1,712 | ||
Selling, general and administrative | 39,786 | 307 | 71,637 | 355 | ||
Depreciation, depletion, amortization and accretion | 4,094 | 340 | 6,501 | 340 | ||
Impairment of long-lived assets | 0 | 0 | ||||
Operating income (loss) | 105,427 | (564) | 200,761 | (698) | ||
Interest expense, net | 106 | 4 | 182 | 4 | ||
Bargain purchase gain | 0 | 0 | ||||
Other expense | 330 | 0 | 332 | 0 | ||
Income (loss) before income taxes | 104,991 | (568) | 200,247 | (702) | ||
Total assets | 341,171 | 341,171 | 205,275 | |||
Goodwill | 891 | 891 | 891 | |||
Operating Segments | Sand | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 52,845 | 24,762 | 103,860 | 40,359 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 35,117 | 19,974 | 68,447 | 32,582 | ||
Intersegment cost of revenues | 1,019 | 267 | 5,305 | 454 | ||
Total cost of revenue | 36,136 | 20,241 | 73,752 | 33,036 | ||
Selling, general and administrative | 1,787 | 2,416 | 3,431 | 4,474 | ||
Depreciation, depletion, amortization and accretion | 3,881 | 2,206 | 6,197 | 3,569 | ||
Impairment of long-lived assets | 0 | 0 | ||||
Operating income (loss) | 11,041 | (101) | 20,480 | (720) | ||
Interest expense, net | 76 | 353 | 156 | 486 | ||
Bargain purchase gain | (4,012) | (4,012) | ||||
Other expense | 36 | 140 | 23 | 154 | ||
Income (loss) before income taxes | 10,929 | 3,418 | 20,301 | 2,652 | ||
Total assets | 199,421 | 199,421 | 190,859 | |||
Goodwill | 2,684 | 2,684 | 2,684 | |||
Operating Segments | Drilling | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 17,210 | 12,472 | 32,440 | 23,223 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 15,280 | 12,033 | 29,755 | 22,986 | ||
Intersegment cost of revenues | (40) | 0 | 122 | 0 | ||
Total cost of revenue | 15,240 | 12,033 | 29,877 | 22,986 | ||
Selling, general and administrative | 1,591 | 1,435 | 2,844 | 2,728 | ||
Depreciation, depletion, amortization and accretion | 5,349 | 4,974 | 9,704 | 9,942 | ||
Impairment of long-lived assets | 187 | 187 | ||||
Operating income (loss) | (5,157) | (5,970) | (10,172) | (12,433) | ||
Interest expense, net | 265 | 440 | 660 | 657 | ||
Bargain purchase gain | 0 | 0 | ||||
Other expense | 32 | 60 | 72 | 224 | ||
Income (loss) before income taxes | (5,454) | (6,470) | (10,904) | (13,314) | ||
Total assets | 92,578 | 92,578 | 88,527 | |||
Goodwill | 0 | 0 | 0 | |||
Operating Segments | All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 20,167 | 10,242 | 43,062 | 19,092 | ||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 17,649 | 7,881 | 35,257 | 14,025 | ||
Intersegment cost of revenues | 129 | 5 | 234 | 5 | ||
Total cost of revenue | 17,778 | 7,886 | 35,491 | 14,030 | ||
Selling, general and administrative | 1,141 | 1,139 | 2,241 | 2,700 | ||
Depreciation, depletion, amortization and accretion | 3,642 | 2,747 | 7,486 | 4,495 | ||
Impairment of long-lived assets | 0 | 0 | ||||
Operating income (loss) | (2,394) | (1,530) | (2,156) | (2,133) | ||
Interest expense, net | 171 | 12 | 353 | (69) | ||
Bargain purchase gain | 0 | 0 | ||||
Other expense | 8 | (1) | (5) | 2 | ||
Income (loss) before income taxes | (2,573) | $ (1,541) | (2,504) | $ (2,066) | ||
Total assets | 150,579 | 150,579 | 243,767 | |||
Goodwill | 11,893 | 11,893 | 10,193 | |||
Corporate | All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Total assets | $ 34,300 | $ 34,300 | $ 148,800 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Jul. 16, 2018 | Jul. 10, 2018 | Jul. 09, 2018 | Aug. 14, 2018 | Aug. 07, 2018 | Jun. 30, 2018 |
Subsequent Event [Line Items] | ||||||
Lease aggregate commitments | $ 72,942,000 | |||||
Purchase obligation | $ 31,944,000 | |||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Unsatisfied performance obligation increase | $ 88,800,000 | |||||
Dividends declared (in dollars per share) | $ 0.125 | |||||
Lease aggregate commitments | $ 2,400,000 | |||||
Subsequent Event | Equipment | ||||||
Subsequent Event [Line Items] | ||||||
Purchase obligation | 9,600,000 | |||||
Air Charter Agreement | Infrastructure services | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Purchase obligation | 2,500,000 | |||||
Barge Chartering | Infrastructure services | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Purchase obligation | 2,100,000 | |||||
Housing Service Agreement | Infrastructure services | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Purchase obligation | $ 600,000 | |||||
Revolving Credit Facility | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Dividend pro forma excess availability, maximum, percent | 22.50% | |||||
Dividend payment after declaration term, maximum | 60 days | |||||
Scenario, Forecast | ||||||
Subsequent Event [Line Items] | ||||||
Dividends payable | $ 5,600,000 |