Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 29, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-37917 | |
Entity Registrant Name | Mammoth Energy Services, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 32-0498321 | |
Entity Address, Address Line One | 14201 Caliber Drive, | |
Entity Address, Address Line Two | Suite 300 | |
Entity Address, City or Town | Oklahoma City, | |
Entity Address, State or Province | OK | |
City Area Code | (405) | |
Local Phone Number | 608-6007 | |
Entity Address, Postal Zip Code | 73134 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | TUSK | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 45,762,200 | |
Entity Central Index Key | 0001679268 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 18,025 | $ 5,872 |
Accounts receivable, net | 353,912 | 363,053 |
Receivables from related parties | 27,316 | 7,523 |
Inventories | 12,473 | 17,483 |
Prepaid expenses | 6,236 | 12,354 |
Other current assets | 740 | 695 |
Total current assets | 418,702 | 406,980 |
Property, plant and equipment, net | 293,150 | 352,772 |
Sand reserves | 68,257 | 68,351 |
Operating lease right-of-use assets | 33,210 | 43,446 |
Intangible assets, net | 5,282 | 5,788 |
Goodwill | 12,608 | 67,581 |
Other non-current assets | 7,261 | 7,467 |
Total assets | 838,470 | 952,385 |
CURRENT LIABILITIES | ||
Accounts payable | 31,866 | 39,220 |
Payables to related parties | 14 | 526 |
Accrued expenses and other current liabilities | 36,741 | 40,754 |
Current operating lease liability | 13,387 | 16,432 |
Income taxes payable | 29,729 | 33,465 |
Total current liabilities | 111,737 | 130,397 |
Long-term debt | 89,250 | 80,000 |
Deferred income tax liabilities | 37,593 | 36,873 |
Long-term operating lease liability | 19,802 | 27,102 |
Asset retirement obligations | 4,640 | 4,241 |
Other liabilities | 5,383 | 5,031 |
Total liabilities | 268,405 | 283,644 |
COMMITMENTS AND CONTINGENCIES (Note 18) | ||
EQUITY | ||
Common stock, $0.01 par value, 200,000,000 shares authorized, 45,762,200 and 45,108,545 issued and outstanding at June 30, 2020 and December 31, 2019 | 458 | 451 |
Additional paid in capital | 536,333 | 535,094 |
Retained earnings | 37,326 | 136,502 |
Accumulated other comprehensive loss | (4,052) | (3,306) |
Total equity | 570,065 | 668,741 |
Total liabilities and equity | 838,470 | 952,385 |
Customer relationships | ||
CURRENT ASSETS | ||
Intangible assets, net | 496 | 583 |
Trade names | ||
CURRENT ASSETS | ||
Intangible assets, net | $ 4,786 | $ 5,205 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares | Jun. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share (in USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares, issued (in shares) | 45,762,200 | 45,108,545 |
Common stock, shares, outstanding (in shares) | 45,762,200 | 45,108,545 |
CONDENSED CONSOLDIATED STATEMEN
CONDENSED CONSOLDIATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenues [Abstract] | ||||
Revenue | $ 60,109 | $ 181,820 | $ 157,492 | $ 443,958 |
COST AND EXPENSES | ||||
Selling, general and administrative (Note 11) | 13,528 | 8,796 | 24,084 | 25,698 |
Selling, general and administrative - related parties (Note 11) | 198 | 659 | 413 | 1,093 |
Depreciation, depletion, amortization and accretion | 24,116 | 30,145 | 49,998 | 58,721 |
Impairment of goodwill | 0 | 0 | 54,973 | 0 |
Impairment of other long-lived assets | 0 | 0 | 12,897 | 0 |
Total cost and expenses | 86,595 | 207,615 | 273,024 | 442,597 |
Operating (loss) income | (26,486) | (25,795) | (115,532) | 1,361 |
OTHER INCOME (EXPENSE) | ||||
Interest expense, net | (1,471) | (1,551) | (3,109) | (2,074) |
Other, net | 8,137 | 4,019 | 15,546 | 28,576 |
Other, net - related parties | 1,133 | 0 | 1,133 | 0 |
Total other income | 7,799 | 2,468 | 13,570 | 26,502 |
(Loss) income before income taxes | (18,687) | (23,327) | (101,962) | 27,863 |
(Benefit) provision for income taxes | (3,482) | (12,438) | (2,786) | 10,419 |
Net (loss) income | (15,205) | (10,889) | (99,176) | 17,444 |
OTHER COMPREHENSIVE (LOSS) INCOME | ||||
Foreign currency translation adjustment, net of tax of ($150), $211, $92 and $182, respectively, for the three and six months ended June 30, 2020 and three and six months ended June 30, 2019 | 668 | 350 | (746) | 706 |
Comprehensive (loss) income | $ (14,537) | $ (10,539) | $ (99,922) | $ 18,150 |
Net (loss) income per share (basic) (Note 15) (in USD per share) | $ (0.33) | $ (0.24) | $ (2.18) | $ 0.39 |
Net (loss) income per share (diluted) (Note 15) (In USD per share) | $ (0.33) | $ (0.24) | $ (2.18) | $ 0.39 |
Weighted average number of shares outstanding (basic) (Note 15) (in shares) | 45,727 | 45,003 | 45,521 | 44,966 |
Weighted average number of shares outstanding (diluted) (Note 15) (in shares) | 45,727 | 45,003 | 45,521 | 45,060 |
Dividends declared per share (in USD per share) | $ 0 | $ 0.125 | $ 0 | $ 0.25 |
Services | ||||
Revenues [Abstract] | ||||
Revenue | $ 44,878 | $ 115,760 | $ 113,723 | $ 308,861 |
COST AND EXPENSES | ||||
Cost of revenue | 42,255 | 132,688 | 112,952 | 290,794 |
Products | ||||
Revenues [Abstract] | ||||
Revenue | 4,706 | 18,362 | 13,356 | 30,671 |
COST AND EXPENSES | ||||
Cost of revenue | 6,401 | 32,677 | 17,509 | 62,928 |
Related parties | ||||
COST AND EXPENSES | ||||
Selling, general and administrative - related parties (Note 11) | 198 | 659 | 413 | 1,093 |
Related parties | Services | ||||
Revenues [Abstract] | ||||
Revenue | 8,650 | 36,837 | 26,663 | 80,910 |
COST AND EXPENSES | ||||
Cost of revenue | 97 | 2,650 | 198 | 3,363 |
Related parties | Products | ||||
Revenues [Abstract] | ||||
Revenue | $ 1,875 | $ 10,861 | $ 3,750 | $ 23,516 |
CONDENSED CONSOLDIATED STATEM_2
CONDENSED CONSOLDIATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (unaudited) (Parenthetical) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Foreign currency translation adjustment, tax | $ (150,000) | $ 92,000 | $ 211,000 | $ 182,000 |
Services | ||||
Cost of revenue, depreciation, depletion, amortization and accretion | 21,750,000 | 25,597,000 | 45,305,000 | 51,280,000 |
Products | ||||
Cost of revenue, depreciation, depletion, amortization and accretion | 2,346,000 | 4,525,000 | 4,654,000 | 7,395,000 |
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 | Common Stock | Retailed Earnings | Additional Paid-in Capital | Accumulated Other Comprehensive Loss |
Beginning balance (in shares) at Dec. 31, 2018 | 44,877,000 | ||||
Beginning balance at Dec. 31, 2018 | $ 754,052 | $ 449 | $ 226,765 | $ 530,919 | $ (4,081) |
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||
Stock based compensation (in shares) | 128,000 | ||||
Stock based compensation | 2,233 | $ 1 | 2,232 | ||
Net income | 17,444 | 17,444 | |||
Cash dividends paid | (11,219) | (11,219) | |||
Other comprehensive income (loss) | 706 | 706 | |||
Ending balance (in shares) at Jun. 30, 2019 | 45,005,000 | ||||
Ending balance at Jun. 30, 2019 | 763,216 | $ 450 | 232,990 | 533,151 | (3,375) |
Beginning balance (in shares) at Mar. 31, 2019 | 44,877,000 | ||||
Beginning balance at Mar. 31, 2019 | 778,420 | $ 449 | 249,488 | 532,208 | (3,725) |
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||
Stock based compensation (in shares) | 128,000 | ||||
Stock based compensation | 944 | $ 1 | 943 | ||
Net income | (10,889) | (10,889) | |||
Cash dividends paid | (5,609) | (5,609) | |||
Other comprehensive income (loss) | 350 | 350 | |||
Ending balance (in shares) at Jun. 30, 2019 | 45,005,000 | ||||
Ending balance at Jun. 30, 2019 | $ 763,216 | $ 450 | 232,990 | 533,151 | (3,375) |
Beginning balance (in shares) at Dec. 31, 2019 | 45,108,545 | 45,109,000 | |||
Beginning balance at Dec. 31, 2019 | $ 668,741 | $ 451 | 136,502 | 535,094 | (3,306) |
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||
Stock based compensation (in shares) | 653,000 | ||||
Stock based compensation | 1,246 | $ 7 | 1,239 | ||
Net income | (99,176) | (99,176) | |||
Other comprehensive income (loss) | $ (746) | (746) | |||
Ending balance (in shares) at Jun. 30, 2020 | 45,762,200 | 45,762,000 | |||
Ending balance at Jun. 30, 2020 | $ 570,065 | $ 458 | 37,326 | 536,333 | (4,052) |
Beginning balance (in shares) at Mar. 31, 2020 | 45,714,000 | ||||
Beginning balance at Mar. 31, 2020 | 584,408 | $ 457 | 52,531 | 536,140 | (4,720) |
Increase (Decrease) in Shareholders' Equity [Roll Forward] | |||||
Stock based compensation (in shares) | 48,000 | ||||
Stock based compensation | 194 | $ 1 | 193 | ||
Net income | (15,205) | (15,205) | |||
Other comprehensive income (loss) | $ 668 | 668 | |||
Ending balance (in shares) at Jun. 30, 2020 | 45,762,200 | 45,762,000 | |||
Ending balance at Jun. 30, 2020 | $ 570,065 | $ 458 | $ 37,326 | $ 536,333 | $ (4,052) |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends paid (in USD per share) | $ 0.125 | $ 0.25 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Cash flows from operating activities: | ||||||
Net (loss) income | $ (15,205) | $ (10,889) | $ (99,176) | $ 17,444 | ||
Adjustments to reconcile net (loss) income to cash provided by (used in) operating activities: | ||||||
Stock based compensation | 1,246 | 2,233 | ||||
Depreciation, depletion, accretion and amortization | 49,998 | 58,721 | ||||
Amortization of coil tubing strings | 359 | 1,003 | ||||
Amortization of debt origination costs | 577 | 163 | ||||
Bad debt expense | 1,679 | 266 | ||||
(Gain) loss on disposal of property and equipment | (1,451) | 176 | ||||
Impairment of goodwill | 0 | $ 55,000 | 0 | 54,973 | 0 | $ 33,664 |
Impairment of other long-lived assets | 12,897 | 0 | ||||
Deferred income taxes | 931 | (22,911) | ||||
Other | 623 | (199) | ||||
Changes in assets and liabilities: | ||||||
Accounts receivable, net | 7,782 | (48,530) | ||||
Receivables from related parties | (19,793) | (26,236) | ||||
Inventories | 4,651 | (1,815) | ||||
Prepaid expenses and other assets | 6,079 | 1,115 | ||||
Accounts payable | (7,514) | 7,366 | ||||
Payables to related parties | (512) | 650 | ||||
Accrued expenses and other liabilities | (2,818) | (17,129) | ||||
Income taxes payable | (3,697) | (74,172) | ||||
Net cash provided by (used in) operating activities | 6,834 | (101,855) | ||||
Cash flows from investing activities: | ||||||
Purchases of property and equipment | (4,348) | (30,085) | ||||
Purchases of property and equipment from related parties | (76) | (135) | ||||
Contributions to equity investee | 0 | (680) | ||||
Proceeds from disposal of property and equipment | 2,544 | 2,465 | ||||
Net cash used in investing activities | (1,880) | (28,435) | ||||
Cash flows from financing activities: | ||||||
Borrowings from lines of credit | 22,800 | 108,000 | ||||
Repayments of lines of credit | (13,550) | (25,964) | ||||
Principal payments on financing leases and equipment financing notes | (914) | (992) | ||||
Dividends paid | 0 | (11,219) | ||||
Debt issuance costs | (1,000) | 0 | ||||
Net cash provided by financing activities | 7,336 | 69,825 | ||||
Effect of foreign exchange rate on cash | (137) | 85 | ||||
Net change in cash and cash equivalents | 12,153 | (60,380) | ||||
Cash and cash equivalents at beginning of period | $ 5,872 | 5,872 | 67,625 | 67,625 | ||
Cash and cash equivalents at end of period | $ 18,025 | $ 7,245 | 18,025 | 7,245 | $ 5,872 | |
Supplemental disclosure of cash flow information: | ||||||
Cash paid for interest | 2,683 | 1,830 | ||||
Cash (received) paid for income taxes | (6) | 116,442 | ||||
Supplemental disclosure of non-cash transactions: | ||||||
Purchases of property and equipment included in accounts payable and accrued expenses | $ 2,780 | $ 2,339 |
Organization and Nature of Busi
Organization and Nature of Business | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | Organization and Nature of Business Mammoth Energy Services, Inc. (“Mammoth Inc.” or the “Company”), 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 US territories. Mammoth Inc.'s infrastructure division provides construction, upgrade, maintenance and repair services to various public and private owned utilities. Its oilfield services division provides a diversified set of services to the exploration and production industry including pressure pumping, natural sand and proppant services and drilling services. Additionally, the Company provides coil tubing services, equipment rentals, full service transportation, crude oil hauling, remote accommodation services, oilfield equipment manufacturing and infrastructure engineering and design services. 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 Energy Services 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”) contributed their interest in certain of the entities presented below to the Partnership in exchange for an aggregate of 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. At June 30, 2020 and December 31, 2019, Wexford and Gulfport beneficially owned the following shares of outstanding common stock of Mammoth Inc.: At June 30, 2020 At December 31, 2019 Share Count % Ownership Share Count % Ownership Wexford 22,055,766 48.2 % 22,045,273 48.9 % Gulfport 9,829,548 21.5 % 9,829,548 21.8 % Outstanding shares owned by related parties 31,885,314 69.7 % 31,874,821 70.7 % Total outstanding 45,762,200 100.0 % 45,108,545 100.0 % Operations The Company's infrastructure services include construction, upgrade, maintenance and repair services to the electrical infrastructure industry as well as repair and restoration services in response to storms and other disasters. 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 drilling services provide drilling rigs and directional tools for both vertical and horizontal drilling of oil and natural gas wells. The Company also provides other services, including coil tubing, equipment rentals, crude oil hauling, full service transportation, remote accommodations, oilfield equipment manufacturing and infrastructure engineering and design services. All of the Company’s operations are in North America. During certain of the periods presented in this report, the Company provided its infrastructure services primarily in the northeast, southwest and midwest portions of the United States and in Puerto Rico. The Company’s infrastructure business depends on infrastructure spending on maintenance, upgrade, expansion and repair and restoration. Any prolonged decrease in spending by electric utility companies, delays |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2020 | |
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 entities (“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. All such adjustments are of a normal, recurring nature. 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. Accounts Receivable Accounts receivable include amounts due from customers for services performed or goods sold. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Prior to granting credit to customers, the Company analyzes the potential customer's risk profile by utilizing a credit report, analyzing macroeconomic factors and using its knowledge of the industry, among other factors. Most areas in the continental United States 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. Interest on delinquent accounts receivable is recognized in other income when chargeable and collectability is reasonably assured. During certain of the periods presented, the Company provided infrastructure services in Puerto Rico under master services agreements entered into by Cobra Acquisitions LLC (“Cobra”), one of the Company's subsidiaries, with the Puerto Rico Electric Power Authority (“PREPA”) to perform repairs to PREPA’s electrical grid as a result of Hurricane Maria. During the three and six months ended June 30, 2020 and three and six months ended June 30, 2019, the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreements with PREPA totaling $7.9 million and $15.6 million, respectively, and $3.2 million and $29.0 million, respectively. These amounts are included in “other, net” on the unaudited condensed consolidated statement of comprehensive (loss) income. Included in “accounts receivable, net” on the unaudited condensed consolidated balance sheets as of June 30, 2020 and December 31, 2019 were interest charges of $57.7 million and $42.0 million, respectively. Pursuant to its contract with Gulfport, Stingray Pressure Pumping LLC (“Stingray Pressure Pumping”), one of the Company's subsidiaries, has agreed to provide Gulfport with use of up to two pressure pumping fleets for the period covered by the contract. Gulfport has filed a legal action in Delaware state court seeking the termination of this contract and monetary damages. During the six months ended June 30, 2020, the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreement with Gulfport totaling $1.1 million. These amounts are included in “other, net - related parties” on the unaudited condensed consolidated statement of comprehensive (loss) income. As of June 30, 2020, $26.6 million related to this contract was included in “receivables from related parties” on the unaudited condensed consolidated balance sheets, which was inclusive of interest charges of $1.1 million. The Company regularly reviews receivables and provides for expected 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 expects 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. If it is determined that previously reserved amounts are collectible, the Company would decrease the allowance through a credit 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, 2019 and the six months ended June 30, 2020 (in thousands): Balance, January 1, 2019 $ 5,198 Additions charged to bad debt expense 1,771 Recoveries of receivables previously charged to bad debt expense (337) Deductions for uncollectible receivables written off (1,478) Balance, December 31, 2019 5,154 Additions charged to bad debt expense 2,285 Additions charged to other expense 1,918 Recoveries of receivables previously charged to bad debt expense (606) Deductions for uncollectible receivables written off (722) Balance, June 30, 2020 $ 8,029 For the six months ended June 30, 2020 and year ended December 31, 2019, the Company recorded additions to allowance for doubtful accounts totaling $2.3 million and $1.8 million, respectively, related to trade accounts receivable. These additions were charged to bad debt expense based on the factors described above. Additionally, during the six months ended June 30, 2020, the Company recorded additions to allowance for doubtful accounts of $1.9 million related to insurance claim receivables for its directors and officers liability policy. The Company will continue to pursue collection until such time as final determination is made consistent with Company policy. As of June 30, 2020, PREPA owed Cobra approximately $227.0 million for services performed, excluding $57.7 million of interest charged on these delinquent balances as of June 30, 2020. The Company believes these receivables are collectible. PREPA, however, is currently subject to bankruptcy proceedings, which were filed in July 2017 and are currently pending in the U.S. District Court for the District of Puerto Rico. As a result, PREPA's ability to meet its payment obligations is largely dependent upon funding from the Federal Emergency Management Agency or other sources. On September 30, 2019, Cobra filed a motion with the U.S. District Court for the District of Puerto Rico seeking recovery of the amounts owed to Cobra by PREPA, which motion was stayed by the court. On March 25, 2020, Cobra filed an urgent motion to modify the stay order and allow the recovery of approximately $61.7 million in claims related to a tax gross-up provision contained in the emergency master service agreement, as amended, that was entered into with PREPA on October 19, 2017. This emergency motion was denied on June 3, 2020 and the court extended the stay of Cobra's motion until an omnibus hearing to be held in December 2020. In the event PREPA (i) does not have or does not obtain the funds necessary to satisfy its obligations to Cobra under the contracts, (ii) obtains the necessary funds but refuses to pay the amounts owed to the Company or (iii) otherwise does not pay amounts owed to the Company for services performed, the receivable may not be collectible. 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, 2020 and December 31, 2019 and percentages of total revenues derived for the three and six months ended June 30, 2020 and 2019: REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2020 2019 2020 2019 2020 2019 Customer A (a) — % 6 % — % 22 % 75 % 73 % Customer B (b) 17 % 26 % 19 % 23 % 7 % 2 % Customer C (c) 11 % 13 % 9 % 6 % — % 2 % Customer D (d) 6 % 4 % 11 % 4 % 3 % 3 % Customer E (e) — % 5 % — % 10 % — % — % 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. Accounts receivable for Customer A also includes receivables due for interest charged on delinquent accounts receivable. 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 and other businesses. Accounts receivable for Customer B also includes receivables due for interest charged on delinquent accounts receivable. c. Customer C is a third-party customer. Revenues and the related accounts receivable balances earned from Customer C were derived from the Company's pressure pumping services segment and equipment rental business. d. Customer D is a third-party customer. Revenues and the related accounts receivable balances earned from Customer D were derived from the Company's infrastructure services segment. e. Customer E is a third-party customer. Revenues and the related accounts receivable balances earned from Customer C were derived from the Company's pressure pumping services segment and equipment rental business. 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 June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which amends current guidance on reporting credit losses on financial instruments. This ASU requires entities to reflect its current estimate of all expected credit losses. The guidance affects most financial assets, including trade accounts receivable. This ASU is effective for fiscal years beginning after December 31, 2019, with early adoption permitted. The Company adopted this standard effective January 1, 2020. It did not have a material impact on the Company's condensed consolidated financial statements. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Company's primary revenue streams include infrastructure services, pressure pumping services, natural sand proppant services, drilling services and other services, which includes coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, full service transportation, crude oil hauling, remote accommodations, oilfield equipment manufacturing and infrastructure engineering and design services. See Note 19 for the Company's revenue disaggregated by type. 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). Generally, the Company accounts for infrastructure services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies materials that are utilized during the jobs as part of the agreement with the customer. The Company accounts for these infrastructure agreements as multiple performance obligations satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Under certain customer contracts in our infrastructure services segment, the Company warranties equipment and labor performed for a specified period following substantial completion of the work. 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, consumable supplies and personnel. Pursuant to a contract with Gulfport, Stingray Pressure Pumping, one of the Company's subsidiaries, has agreed to provide Gulfport with use of up to 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. Stingray Pressure Pumping has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to Stingray Pressure Pumping for services performed during the contractual period is fixed and the right to receive it is unconditional. Gulfport has filed a legal action in Delaware state court seeking the termination of this contract and monetary damages. During the six months ended June 30, 2020, Stingray Pressure Pumping generated $26.3 million in revenues under this contract with Gulfport. Gulfport made payments of $6.8 million to the Company during the six months ended June 30, 2020 related to revenue recognized for services in 2019 prior to the alleged termination date, and owed the Company $26.6 million as of June 30, 2020 under the contract, which includes $1.1 million in interest on delinquent accounts receivable. The revenue recognized and related accounts receivable balance owed to the Company are reflected in “services revenue—related parties” and “receivables from related parties” on the accompanying unaudited condensed consolidated statement of comprehensive (loss) income and unaudited condensed consolidated balance sheets. See Note 18 below. 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. 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. As of June 30, 2020, the Company had deferred revenue totaling $9.5 million related to shortfall payments. This amount is included in “accrued expenses and other current liabilities” on the unaudited condensed consolidated balance sheet. 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. The Company recognized revenue totaling $4.9 million and $9.8 million during the three and six months ended June 30, 2020, respectively, and $1.0 million during the six months ended June 30, 2019, related to shortfall payments. The Company did not recognize any shortfall revenue during the three months ended June 30, 2019. 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. Drilling Services Contract drilling services were 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 were recognized over the days of actual drilling. As a result of market conditions, the Company has temporarily shut down its contract land drilling operations beginning in December 2019 and rig hauling operations beginning in April 2020. Other Services During the periods presented, the Company also provided coil tubing, pressure control, flowback, cementing, equipment rentals, full service transportation, crude oil hauling, remote accommodations, oilfield equipment manufacturing and infrastructure engineering and design services, which are reported under other services. As a result of market conditions, the Company has temporarily shut down its cementing and acidizing operations as well as its flowback operations beginning in July 2019 and its coil tubing and full service transportation operations beginning in July 2020. The Company's other 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. Contract Balances Following is a rollforward of the Company's contract liabilities (in thousands): Balance, December 31, 2018 $ 4,304 Deduction for recognition of revenue (4,827) Increase for deferral of shortfall payments 8,442 Increase for deferral of customer prepayments 675 Deduction of shortfall payments due to contract renegotiations (1,350) Balance, December 31, 2019 7,244 Deduction for recognition of revenue (9,897) Increase for deferral of shortfall payments 12,036 Increase for deferral of customer prepayments 212 Balance, June 30, 2020 $ 9,595 The Company did not have any contract assets as of June 30, 2020, December 31, 2019 or December 31, 2018. Performance Obligations |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | InventoriesInventories consist 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, future utility, obsolescence and other factors. A summary of the Company's inventories is shown below (in thousands): June 30, December 31, 2020 2019 Supplies $ 7,030 $ 9,598 Raw materials 887 746 Work in process 2,926 4,608 Finished goods 1,630 2,531 Total inventories $ 12,473 $ 17,483 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2020 | |
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 2020 2019 Pressure pumping equipment 3-5 years $ 218,204 $ 216,627 Drilling rigs and related equipment 3-15 years 113,943 117,783 Machinery and equipment 7-20 years 171,809 190,221 Buildings (a) 15-39 years 46,456 47,859 Vehicles, trucks and trailers 5-10 years 116,017 135,724 Coil tubing equipment 4-10 years 8,653 29,438 Land N/A 13,687 13,687 Land improvements 15 years or life of lease 10,135 10,135 Rail improvements 10-20 years 13,802 13,802 Other property and equipment (b) 3-12 years 19,112 18,880 731,818 794,156 Deposits on equipment and equipment in process of assembly (c) 3,985 6,627 735,803 800,783 Less: accumulated depreciation (d) 442,653 448,011 Total property, plant and equipment, net $ 293,150 $ 352,772 a. Included in Buildings at June 30, 2020 and December 31, 2019 are costs of $7.6 million and $6.7 million, respectively, related to assets under operating leases. b. Included in Other property and equipment at each of June 30, 2020 and December 31, 2019 are costs of $6.5 million related to assets under operating leases. c. 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. d. Includes accumulated depreciation of $4.6 million and $3.5 million at June 30, 2020 and December 31, 2019, respectively, related to assets under operating leases. Impairment Oil prices declined significantly in March 2020 as a result of geopolitical events that increased the supply of oil in the market as well as effects of the COVID-19 pandemic. As a result, the Company determined that it was more likely than not that the fair value of certain of its oilfield services assets were less than their carrying value. Therefore, the Company performed an interim impairment test. As a result of the test, the Company recorded the following impairments to its fixed assets during the first quarter of 2020 (in thousands): Water transfer equipment $ 4,203 Crude oil hauling equipment 3,275 Coil tubing equipment 2,160 Flowback equipment 1,514 Rental equipment 1,308 Other equipment 437 Total impairment of other long-lived assets $ 12,897 The Company measured the fair values of these assets using significant unobservable inputs (Level 3) based on an income approach. The Company did not record any impairment of other long-lived assets during the three months ended June 30, 2020 and three or six months ended June 30, 2019. Disposals 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 unaudited condensed consolidated statement of cash flows. For the six months ended June 30, 2020 and 2019, proceeds from the sale of equipment damaged or lost down-hole were $0.7 million and a nominal amount, respectively, and gains on sales of equipment damaged or lost down-hole were $0.7 million and a nominal amount, respectively. Proceeds from assets sold or disposed of as well as the carrying value of the related equipment are reflected in “other, net” on the unaudited condensed consolidated statement of comprehensive (loss) income. For the six months ended June 30, 2020 and 2019, proceeds from the sale of equipment were $2.2 million and $2.4 million, respectively, and gains (losses) from the sale or disposal of equipment were $0.8 million and ($0.2) million, respectively. Depreciation, depletion, amortization and accretion A summary of depreciation, depletion, amortization and accretion expense is below (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Depreciation expense $ 23,740 $ 28,099 $ 49,340 $ 56,165 Depletion expense 93 1,734 93 1,946 Amortization expense 254 284 507 568 Accretion expense 29 28 58 42 Depreciation, depletion, amortization and accretion $ 24,116 $ 30,145 $ 49,998 $ 58,721 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill Changes in the net carrying amount of goodwill by reporting segment (see Note 19) for the six months ended June 30, 2020 and year ended December 31, 2019 are presented below (in thousands): Infrastructure Pressure Pumping Sand Other Total Balance as of January 1, 2019 Goodwill $ 3,828 $ 86,043 $ 2,684 $ 11,893 $ 104,448 Accumulated impairment losses — — — (3,203) (3,203) 3,828 86,043 2,684 8,690 101,245 Acquisitions — — — — — Impairment losses (434) (23,423) (2,684) (7,123) (33,664) Balance as of December 31, 2019 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434) (23,423) (2,684) (10,326) (36,867) 3,394 62,620 — 1,567 67,581 Acquisitions — — — — — Impairment losses — (53,406) — (1,567) (54,973) Balance as of June 30, 2020 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434) (76,829) (2,684) (11,893) (91,840) $ 3,394 $ 9,214 $ — $ — $ 12,608 Oil prices declined significantly in March 2020 as a result of geopolitical events that increased the supply of oil in the market as well as effects of the COVID-19 pandemic. As a result, the Company determined that it was more likely than not that the fair value of certain of its reporting units were less than their carrying value. Therefore, the Company performed an interim goodwill impairment test. The Company impaired goodwill associated with Stingray Pressure Pumping, Silverback Energy and WTL Oil LLC, resulting in a $55.0 million impairment charge during the first quarter of 2020. To determine fair value, the Company used a combination of the income and market approaches. The income approach estimates the fair value based on anticipated cash flows that are discounted using a weighted average cost of capital. The market approach estimates the fair value using comparative multiples, which involves significant judgment in the selection of the appropriate peer group companies and valuation multiples. The Company did not record any goodwill impairment charges during the six months ended June 30, 2019. Intangible Assets The Company had the following definite lived intangible assets recorded (in thousands): June 30, December 31, 2020 2019 Customer relationships $ 1,050 $ 1,050 Trade names 9,063 9,063 Less: accumulated amortization - customer relationships (554) (467) Less: accumulated amortization - trade names (4,277) (3,858) Intangible assets, net $ 5,282 $ 5,788 Amortization expense for intangible assets was $0.5 million and $0.6 million for the six months ended June 30, 2020 and 2019, respectively. The original life of customer relationships is 6 years as of June 30, 2020 with a remaining average useful life of 2.8 years. The original life of trade names ranges from 10 to 20 years as of June 30, 2020 with a remaining average useful life of 7.9 years. Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands): Remainder of 2020 $ 507 2021 1,015 2022 1,015 2023 898 2024 771 Thereafter 1,076 $ 5,282 |
Equity Method Investment
Equity Method Investment | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investment | Equity Method Investment On December 21, 2018, Cobra Aviation Services LLC (“Cobra Aviation”) and Wexford Partners Investment Co. LLC (“Wexford Investment”), a related party, formed a joint venture under the name of Brim Acquisitions LLC (“Brim Acquisitions”) to acquire all outstanding equity interest in Brim Equipment Leasing, Inc. (“Brim Equipment”) for a total purchase price of approximately $2.0 million. Cobra Aviation owns a 49% economic interest and Wexford Investment owns a 51% economic interest in Brim Acquisitions, and each member contributed its pro rata portion of Brim Acquisitions' initial capital of $2.0 million. Brim Acquisitions, through Brim Equipment, owns one commercial helicopter and leases five commercial helicopters for operations, which it uses to provide a variety of services, including short haul, aerial ignition, hoist operations, aerial photography, fire suppression, construction services, animal/capture/survey, search and rescue, airborne law enforcement, power line construction, precision long line operations, pipeline construction and survey, mineral and seismic exploration, and aerial seeding and fertilization. The Company uses the equity method of accounting to account for its investment in Brim Acquisitions, which had a carrying value of approximately $2.0 million and $2.6 million at June 30, 2020 and December 31, 2019, respectively. The investment is included in “other non-current assets” on the unaudited condensed consolidated balance sheets. The Company recorded equity method adjustments to its investment of ($0.6) million and $0.2 million for its share of Brim Acquisitions' (loss) income for the six months ended June 30, 2020 and 2019, respectively, which is included in “other, net” on the unaudited condensed consolidated statements of comprehensive (loss) income. The Company made additional investments totaling $0.7 million during the six months ended June 30, 2019. The Company did not make any additional investments during the six months ended June 30, 2020. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 6 Months Ended |
Jun. 30, 2020 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities included the following (in thousands): June 30, December 31, 2020 2019 State and local taxes payable $ 15,238 $ 15,288 Deferred revenue 9,595 7,244 Accrued compensation, benefits and related taxes 3,482 5,938 Financed insurance premiums 2,479 6,463 Insurance reserves 2,590 2,906 Other 3,357 2,915 Total $ 36,741 $ 40,754 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, 2020 and December 31, 2019, the applicable interest rate associated with financed insurance premiums ranged from 3.45% to 3.75%. |
Debt
Debt | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Debt On October 19, 2018, Mammoth Inc. and certain of its direct and indirect subsidiaries, as borrowers, entered into an amended and restated revolving credit and security agreement with the lenders party thereto and PNC Bank, National Association, as a lender and as administrative agent for the lenders, as amended and restated (the “revolving credit facility”). The revolving credit facility matures on October 19, 2023. Borrowings under the revolving credit facility are secured by the assets of Mammoth Inc., inclusive of the subsidiary companies, and are subject to a borrowing base calculation prepared monthly. On November 5, 2019, the Company entered into a first amendment to the revolving credit facility to amend the interest coverage ratio definition to give accrual treatment to certain cash taxes included in the ratio calculation. As a result, certain cash tax payments that were made in 2019 were now treated as if they were made in 2018, the year in which the income related to such tax payments was actually received. As of December 31, 2019, the revolving credit facility contained various customary affirmative and restrictive covenants. Among the covenants are two financial covenants, including a minimum interest coverage ratio (3.0 to 1.0), and a maximum leverage ratio (4.0 to 1.0). On February 26, 2020, the Company entered into a second amendment to the revolving credit facility to, among other things, (i) amend its financial covenants, as outlined below, (ii) decrease the maximum revolving advance amount from $185 million to $130 million, (iii) decrease the amount that the maximum revolving advance can be increased to (the accordion) from $350 million to $180 million, (iv) increase the applicable margin ranges from 2.00% to 2.50% per annum in the case of the alternate base rate and from 3.00% to 3.50% per annum in the case of LIBOR, (v) increase the aggregate amount of permitted asset dispositions, and (vi) permit certain sale-leaseback transactions. The financial covenants under the revolving credit facility were amended as follows: • the minimum interest coverage ratio of 3.0 to 1.0 was eliminated; • the maximum leverage coverage ratio of 4.0 to 1.0 was eliminated for the first two fiscal quarters of 2020 and, beginning with the fiscal quarter ended September 30, 2020, changed to 2.5 to 1.0; • beginning with the fiscal quarter ended September 30, 2020, a minimum fixed charge coverage ratio of at least 1.1 to 1.0 was added; and • from the effective date of February 26, 2020 through September 30, 2020, a minimum excess availability covenant of 10% of the maximum revolving advance amount was added. As of June 30, 2020 and December 31, 2019, the Company was in compliance with its covenants under the revolving credit facility. At June 30, 2020, there were outstanding borrowings under the revolving credit facility of $89.3 million and $18.5 million of available borrowing capacity. This available borrowing capacity reflects (i) a minimum excess availability covenant of 10% of the maximum revolving advance amount and (ii) $9.0 million of outstanding letters of credit. At December 31, 2019, there were outstanding borrowings under the revolving credit facility of $80.0 million and $96.1 million of borrowing capacity under the facility, after giving effect to $8.7 million of outstanding letters of credit. As of July 29, 2020, the Company had $88.2 million in borrowings outstanding under its revolving credit facility, leaving an aggregate of $19.5 million of available borrowing capacity under this facility. This available borrowing capacity reflects (i) a minimum excess availability covenant of 10% of the maximum revolving advance amount and (ii) $9.0 million of outstanding letters of credit. If an event of default occurs under the revolving credit facility and remains uncured, it could have a material adverse effect on the Company's business, financial condition, results of operations and cash flows. The lenders (i) would not be required to lend any additional amounts to the Company, (ii) could elect to increase the interest rate by 200 basis points, (iii) could elect to declare all outstanding borrowings, together with accrued and unpaid interest and fees, to be due and payable, (iv) may have the ability to require the Company to apply all of its available cash to repay outstanding borrowings, and (v) may foreclose on substantially all of the Company's assets. |
Variable Interest Entities
Variable Interest Entities | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | Variable Interest Entities Dire Wolf Energy Services LLC (“Dire Wolf”) and Predator Aviation LLC (“Predator Aviation”), wholly owned subsidiaries of the Company, are party to Voting Trust Agreements with TVPX Aircraft Solutions Inc. (the “Voting Trustee”). Under the Voting Trust Agreements, Dire Wolf transferred 100% of its membership interest in Cobra Aviation and Predator Aviation transferred 100% of its membership interest in Leopard Aviation LLC (“Leopard”) to the respective Voting Trustees in exchange for Voting Trust Certificates. Dire Wolf and Predator Aviation retained the |
Selling, General and Administra
Selling, General and Administrative Expense | 6 Months Ended |
Jun. 30, 2020 | |
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, 2020 2019 2020 2019 Cash expenses: Compensation and benefits $ 3,720 $ 2,154 $ 7,690 $ 11,384 Professional services 6,147 2,934 9,684 6,723 Other (a) 2,100 3,381 4,409 6,626 Total cash SG&A expense 11,967 8,469 21,783 24,733 Non-cash expenses: Bad debt provision 1,624 262 1,679 266 Stock based compensation 135 724 1,035 1,792 Total non-cash SG&A expense 1,759 986 2,714 2,058 Total SG&A expense $ 13,726 $ 9,455 $ 24,497 $ 26,791 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recorded income tax benefit of $2.8 million for the six months ended June 30, 2020 compared to income tax expense of $10.4 million for the six months ended June 30, 2019. The Company's effective tax rate was 3% and 37% for the six months ended June 30, 2020 and 2019, respectively. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted and signed into U.S. law in response to the COVID-19 pandemic, and among other things, permits the carryback of certain net operating losses. As a result of the enacted legislation, the Company recognized a $5.2 million net tax expense during the six months ended June 30, 2020, which consists of a $12.3 million deferred tax expense and a $7.2 million current tax benefit. This impact, along with the rate impact from non-deductible goodwill impairment, was the primary driver for the difference between the statutory rate of 21% and the effective tax rate for the six months ended June 30, 2020. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | Leases Lessee Accounting The Company recognized a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for all leases with a term in excess of 12 months. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term, while finance leases include both an operating expense and an interest expense component. For all leases with a term of 12 months or less, the Company has elected the practical expedient to not recognize lease assets and liabilities and recognizes lease expense for these short-term leases on a straight-line basis over the lease term. The Company's operating leases are primarily for rail cars, real estate, equipment and vehicles and its finance leases are primarily for machinery and equipment. Generally, the Company does not include renewal or termination options in its assessment of the leases unless extension or termination for certain assets is deemed to be reasonably certain. The accounting for some of the Company's leases may require significant judgment, which includes determining whether a contract contains a lease, determining the incremental borrowing rates to utilize in the net present value calculation of lease payments for lease agreements which do not provide an implicit rate and assessing the likelihood of renewal or termination options. Lease agreements that contain a lease and non-lease component are generally accounted for as a single lease component. The rate implicit in the Company's leases is not readily determinable. Therefore, the Company uses its incremental borrowing rate based on information available at the commencement date of its leases in determining the present value of lease payments. The Company's incremental borrowing rate reflects the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Lease expense consisted of the following for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 4,363 $ 5,405 $ 9,165 $ 11,420 Short-term lease expense 118 148 287 362 Finance lease expense: Amortization of right-of-use assets 317 288 634 486 Interest on lease liabilities 51 41 105 80 Total lease expense $ 4,849 $ 5,882 $ 10,191 $ 12,348 Supplemental balance sheet information related to leases as of June 30, 2020 and December 31, 2019 is as follows (in thousands): June 30, December 31, 2020 2019 Operating leases: Operating lease right-of-use assets $ 33,210 $ 43,446 Current operating lease liability 13,387 16,432 Long-term operating lease liability 19,802 27,102 Finance leases: Property, plant and equipment, net $ 4,451 $ 5,111 Accrued expenses and other current liabilities 1,317 1,365 Other liabilities 3,278 3,856 Other supplemental information related to leases for the three and six months ended June 30, 2020 and 2019 and as of June 30, 2020 and December 31, 2019 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4,193 $ 5,285 $ 8,930 $ 11,246 Operating cash flows from finance leases 51 394 105 80 Financing cash flows from finance leases 300 45 596 723 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ (1,700) $ 981 $ (2,009) $ 1,936 Finance leases (27) 1,592 (27) 1,592 June 30, December 31, 2020 2019 Weighted-average remaining lease term: Operating leases 3.2 years 3.4 years Finance leases 3.7 years 4.1 years Weighted-average discount rate: Operating leases 4.3 % 4.4 % Finance leases 4.3 % 4.3 % Maturities of lease liabilities as of June 30, 2020 are as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 7,565 $ 854 2021 12,614 1,238 2022 8,470 1,214 2023 4,280 1,214 2024 1,727 440 Thereafter 881 — Total lease payments 35,537 4,960 Less: Present value discount 2,348 365 Present value of lease payments $ 33,189 $ 4,595 Lessor Accounting Certain of the Company's agreements with its customers for contract land drilling services, aviation services and remote accommodation services contain an operating lease component under ASC 842 because (i) there are identified assets, (ii) the customer obtains substantially all of the economic benefits of the identified assets throughout the period of use and (iii) the customer directs the use of the identified assets throughout the period of use. The Company has elected to apply the practical expedient provided to lessors to combine the lease and non-lease components of a contract where the revenue recognition pattern is the same and where the lease component, when accounted for separately, would be considered an operating lease. The practical expedient also allows a lessor to account for the combined lease and non-lease components under ASC 606, Revenue from Contracts with Customers, when the non-lease component is the predominant element of the combined component. The Company's agreements for its contract land drilling services contain a service component in addition to a lease component. The Company has determined the service component is greater than the lease component and, therefore, reports revenue for its contract land drilling services under ASC 606. |
Leases | Leases Lessee Accounting The Company recognized a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for all leases with a term in excess of 12 months. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term, while finance leases include both an operating expense and an interest expense component. For all leases with a term of 12 months or less, the Company has elected the practical expedient to not recognize lease assets and liabilities and recognizes lease expense for these short-term leases on a straight-line basis over the lease term. The Company's operating leases are primarily for rail cars, real estate, equipment and vehicles and its finance leases are primarily for machinery and equipment. Generally, the Company does not include renewal or termination options in its assessment of the leases unless extension or termination for certain assets is deemed to be reasonably certain. The accounting for some of the Company's leases may require significant judgment, which includes determining whether a contract contains a lease, determining the incremental borrowing rates to utilize in the net present value calculation of lease payments for lease agreements which do not provide an implicit rate and assessing the likelihood of renewal or termination options. Lease agreements that contain a lease and non-lease component are generally accounted for as a single lease component. The rate implicit in the Company's leases is not readily determinable. Therefore, the Company uses its incremental borrowing rate based on information available at the commencement date of its leases in determining the present value of lease payments. The Company's incremental borrowing rate reflects the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Lease expense consisted of the following for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 4,363 $ 5,405 $ 9,165 $ 11,420 Short-term lease expense 118 148 287 362 Finance lease expense: Amortization of right-of-use assets 317 288 634 486 Interest on lease liabilities 51 41 105 80 Total lease expense $ 4,849 $ 5,882 $ 10,191 $ 12,348 Supplemental balance sheet information related to leases as of June 30, 2020 and December 31, 2019 is as follows (in thousands): June 30, December 31, 2020 2019 Operating leases: Operating lease right-of-use assets $ 33,210 $ 43,446 Current operating lease liability 13,387 16,432 Long-term operating lease liability 19,802 27,102 Finance leases: Property, plant and equipment, net $ 4,451 $ 5,111 Accrued expenses and other current liabilities 1,317 1,365 Other liabilities 3,278 3,856 Other supplemental information related to leases for the three and six months ended June 30, 2020 and 2019 and as of June 30, 2020 and December 31, 2019 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4,193 $ 5,285 $ 8,930 $ 11,246 Operating cash flows from finance leases 51 394 105 80 Financing cash flows from finance leases 300 45 596 723 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ (1,700) $ 981 $ (2,009) $ 1,936 Finance leases (27) 1,592 (27) 1,592 June 30, December 31, 2020 2019 Weighted-average remaining lease term: Operating leases 3.2 years 3.4 years Finance leases 3.7 years 4.1 years Weighted-average discount rate: Operating leases 4.3 % 4.4 % Finance leases 4.3 % 4.3 % Maturities of lease liabilities as of June 30, 2020 are as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 7,565 $ 854 2021 12,614 1,238 2022 8,470 1,214 2023 4,280 1,214 2024 1,727 440 Thereafter 881 — Total lease payments 35,537 4,960 Less: Present value discount 2,348 365 Present value of lease payments $ 33,189 $ 4,595 Lessor Accounting Certain of the Company's agreements with its customers for contract land drilling services, aviation services and remote accommodation services contain an operating lease component under ASC 842 because (i) there are identified assets, (ii) the customer obtains substantially all of the economic benefits of the identified assets throughout the period of use and (iii) the customer directs the use of the identified assets throughout the period of use. The Company has elected to apply the practical expedient provided to lessors to combine the lease and non-lease components of a contract where the revenue recognition pattern is the same and where the lease component, when accounted for separately, would be considered an operating lease. The practical expedient also allows a lessor to account for the combined lease and non-lease components under ASC 606, Revenue from Contracts with Customers, when the non-lease component is the predominant element of the combined component. The Company's agreements for its contract land drilling services contain a service component in addition to a lease component. The Company has determined the service component is greater than the lease component and, therefore, reports revenue for its contract land drilling services under ASC 606. |
Leases | Leases Lessee Accounting The Company recognized a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for all leases with a term in excess of 12 months. For operating leases, lease expense for lease payments is recognized on a straight-line basis over the lease term, while finance leases include both an operating expense and an interest expense component. For all leases with a term of 12 months or less, the Company has elected the practical expedient to not recognize lease assets and liabilities and recognizes lease expense for these short-term leases on a straight-line basis over the lease term. The Company's operating leases are primarily for rail cars, real estate, equipment and vehicles and its finance leases are primarily for machinery and equipment. Generally, the Company does not include renewal or termination options in its assessment of the leases unless extension or termination for certain assets is deemed to be reasonably certain. The accounting for some of the Company's leases may require significant judgment, which includes determining whether a contract contains a lease, determining the incremental borrowing rates to utilize in the net present value calculation of lease payments for lease agreements which do not provide an implicit rate and assessing the likelihood of renewal or termination options. Lease agreements that contain a lease and non-lease component are generally accounted for as a single lease component. The rate implicit in the Company's leases is not readily determinable. Therefore, the Company uses its incremental borrowing rate based on information available at the commencement date of its leases in determining the present value of lease payments. The Company's incremental borrowing rate reflects the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Lease expense consisted of the following for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 4,363 $ 5,405 $ 9,165 $ 11,420 Short-term lease expense 118 148 287 362 Finance lease expense: Amortization of right-of-use assets 317 288 634 486 Interest on lease liabilities 51 41 105 80 Total lease expense $ 4,849 $ 5,882 $ 10,191 $ 12,348 Supplemental balance sheet information related to leases as of June 30, 2020 and December 31, 2019 is as follows (in thousands): June 30, December 31, 2020 2019 Operating leases: Operating lease right-of-use assets $ 33,210 $ 43,446 Current operating lease liability 13,387 16,432 Long-term operating lease liability 19,802 27,102 Finance leases: Property, plant and equipment, net $ 4,451 $ 5,111 Accrued expenses and other current liabilities 1,317 1,365 Other liabilities 3,278 3,856 Other supplemental information related to leases for the three and six months ended June 30, 2020 and 2019 and as of June 30, 2020 and December 31, 2019 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4,193 $ 5,285 $ 8,930 $ 11,246 Operating cash flows from finance leases 51 394 105 80 Financing cash flows from finance leases 300 45 596 723 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ (1,700) $ 981 $ (2,009) $ 1,936 Finance leases (27) 1,592 (27) 1,592 June 30, December 31, 2020 2019 Weighted-average remaining lease term: Operating leases 3.2 years 3.4 years Finance leases 3.7 years 4.1 years Weighted-average discount rate: Operating leases 4.3 % 4.4 % Finance leases 4.3 % 4.3 % Maturities of lease liabilities as of June 30, 2020 are as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 7,565 $ 854 2021 12,614 1,238 2022 8,470 1,214 2023 4,280 1,214 2024 1,727 440 Thereafter 881 — Total lease payments 35,537 4,960 Less: Present value discount 2,348 365 Present value of lease payments $ 33,189 $ 4,595 Lessor Accounting Certain of the Company's agreements with its customers for contract land drilling services, aviation services and remote accommodation services contain an operating lease component under ASC 842 because (i) there are identified assets, (ii) the customer obtains substantially all of the economic benefits of the identified assets throughout the period of use and (iii) the customer directs the use of the identified assets throughout the period of use. The Company has elected to apply the practical expedient provided to lessors to combine the lease and non-lease components of a contract where the revenue recognition pattern is the same and where the lease component, when accounted for separately, would be considered an operating lease. The practical expedient also allows a lessor to account for the combined lease and non-lease components under ASC 606, Revenue from Contracts with Customers, when the non-lease component is the predominant element of the combined component. The Company's agreements for its contract land drilling services contain a service component in addition to a lease component. The Company has determined the service component is greater than the lease component and, therefore, reports revenue for its contract land drilling services under ASC 606. |
(Loss) Earnings Per Share
(Loss) Earnings Per Share | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
(Loss) Earnings Per Share | (Loss) Earnings Per Share Reconciliations of the components of basic and diluted net (loss) income 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, 2020 2019 2020 2019 Basic (loss) earnings per share: Allocation of (loss) earnings: Net (loss) income $ (15,205) $ (10,889) $ (99,176) $ 17,444 Weighted average common shares outstanding 45,727 45,003 45,521 44,966 Basic (loss) earnings per share $ (0.33) $ (0.24) $ (2.18) $ 0.39 Diluted (loss) earnings per share: Allocation of (loss) earnings: Net (loss) income $ (15,205) $ (10,889) $ (99,176) $ 17,444 Weighted average common shares, including dilutive effect (a) 45,727 45,003 45,521 45,060 Diluted (loss) earnings per share $ (0.33) $ (0.24) $ (2.18) $ 0.39 |
Equity Based Compensation
Equity Based Compensation | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [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. Payout for the remaining awards is expected to occur as the contribution member's unreturned capital balance is recovered from additional sales by MEH Sub of its shares of the Company's common stock or from dividend distributions, which is not considered 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. The Company adopted ASU 2018-07 as of January 1, 2019. This ASU aligns the accounting for non-employee share-based compensation with the requirements for employee share-based compensation. The standard required non-employee awards to be measured at fair value as of the date of adoption. For the Company's Non-Employee Member awards, the |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [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, 2019 434,119 $ 22.78 Granted 101,181 6.83 Vested (231,896) 22.45 Forfeited (82,163) 18.55 Unvested shares as of December 31, 2019 221,241 22.43 Granted 2,000,000 0.93 Vested (653,655) 5.11 Forfeited (47,167) 3.28 Unvested shares as of June 30, 2020 1,520,419 $ 1.32 As of June 30, 2020, there was $1.7 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 2.3 years. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Transactions between the subsidiaries of the Company, including Stingray Pressure Pumping, Muskie Proppant LLC (“Muskie”), Stingray Energy Services LLC (“SR Energy”), Aquahawk Energy LLC (“Aquahawk”), Panther Drilling Systems LLC (“Panther Drilling”), Anaconda Manufacturing LLC (“Anaconda”), Cobra Aviation, ARS and Leopard and the following companies are included in Related Party Transactions: Gulfport, Wexford, Grizzly Oil Sands ULC (“Grizzly”), El Toro Resources LLC (“El Toro”), Everest Operations Management LLC (“Everest”); Elk City Yard LLC (“Elk City Yard”), Double Barrel Downhole Technologies LLC (“DBDHT”), Caliber Investment Group LLC (“Caliber”), Predator Drilling LLC (“Predator”) and Brim Equipment. 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, 2020 2019 2020 2019 2020 2019 Pressure Pumping and Gulfport (a) $ 8,499 $ 33,419 $ 26,322 $ 70,829 $ 26,605 $ 5,950 Muskie and Gulfport (b) 1,875 10,861 3,750 23,516 516 1,141 SR Energy and Gulfport (c) 5 2,733 113 8,040 36 156 Aquahawk and Gulfport (d) — 98 — 822 — — Panther Drilling and El Toro (e) 38 124 38 493 38 — Cobra Aviation/ARS/Leopard and Brim Equipment (f) 103 448 185 711 104 235 Other 5 15 5 15 17 41 $ 10,525 $ 47,698 $ 30,413 $ 104,426 $ 27,316 $ 7,523 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. SR Energy provides rental services to Gulfport. d. Aquahawk provides water transfer services for Gulfport pursuant to a master service agreement. e. Panther provides directional drilling services for El Toro, an entity controlled by Wexford, pursuant to a master service agreement. f. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2020 2019 2020 2019 2020 2019 COST OF REVENUE COST OF REVENUE ACCOUNTS PAYABLE Cobra Aviation/ ARS/Leopard and Brim Equipment (a) $ 8 $ 2,650 $ 21 $ 3,363 $ — $ 433 Anaconda and Caliber (b) 62 — 124 — — — Other 27 — 53 — — — $ 97 $ 2,650 $ 198 $ 3,363 $ — $ 433 SELLING, GENERAL AND ADMINISTRATIVE COSTS SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Wexford (c) $ — $ 206 $ — $ 442 $ — $ 1 The Company and Caliber (b) 191 258 383 388 — 7 Cobra Aviation/ ARS/Leopard and Brim Equipment (a) — 149 — 166 — — Other 7 46 30 97 14 9 $ 198 $ 659 $ 413 $ 1,093 $ 14 $ 17 CAPITAL EXPENDITURES CAPITAL EXPENDITURES Leopard and Brim Equipment (a) $ — $ 217 $ — $ 217 $ — $ 76 $ — $ 217 $ — $ 217 $ — $ 76 $ 14 $ 526 a. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. b. Caliber leases office space to Anaconda and Mammoth. c. 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. On December 21, 2018, Cobra Aviation acquired all outstanding equity interest in ARS and purchased two commercial helicopters, spare parts, support equipment and aircraft documents from Brim Equipment. Following these transactions, |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies 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 purchase capital equipment. Aggregate future minimum payments under these obligations in effect at June 30, 2020 are as follows (in thousands): Year ended December 31: Capital Spend Commitments Minimum Purchase Commitments (a) Remainder of 2020 $ 3,214 $ 8,671 2021 — 700 2022 — 130 2023 — 9 2024 — — Thereafter — — $ 3,214 $ 9,510 a. Included in these amounts are sand purchase commitments of $8.0 million. Pricing for certain sand purchase agreements is variable and, therefore, the total sand purchase commitments could be as much as $9.4 million. Letters of Credit 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, 2020 2019 Environmental remediation $ 4,477 $ 4,182 Insurance programs 4,105 4,105 Rail car commitments 455 455 Total letters of credit $ 9,037 $ 8,742 Insurance 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, 2020 and December 31, 2019, the workers' compensation and automobile liability policies require a deductible per occurrence of up to $0.3 million and $0.1 million, respectively. The Company establishes liabilities for the unpaid deductible portion of claims incurred based on estimates. As of June 30, 2020 and December 31, 2019, the workers' compensation and auto liability policies contained an aggregate stop loss of $5.4 million. As of June 30, 2020 and December 31, 2019, accrued claims were $2.6 million and $2.9 million, respectively. The Company also has insurance coverage for directors and officers liability. As of June 30, 2020 and December 31, 2019, the directors and officers liability policy had a deductible per occurrence of $1.0 million and an aggregate deductible of $10.0 million. As of June 30, 2020 and December 31, 2019, the Company did not have any accrued claims for directors and officers liability. 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, 2019. As of June 30, 2020 and December 31, 2019, accrued claims were $1.8 million and $3.0 million, respectively. These estimates may change in the near term as actual claims continue to develop. Warranty Guarantees 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, 2020 and December 31, 2019 and no expense was recognized during the three and six months ended June 30, 2020 or 2019 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. Bonds 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, 2020, outstanding bid bonds totaled $1.3 million. The Company did not have any outstanding bid bonds as of December 31, 2019. As of June 30, 2020 and December 31, 2019, outstanding performance and payment bonds totaled $37.4 million and $40.4 million, respectively. The estimated cost to complete projects secured by the performance and payment bonds totaled $5.5 million as of June 30, 2020. Litigation 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 June 19, 2018, Wendco of Puerto Rico Inc. filed a putative class action lawsuit in the Commonwealth of Puerto Rico styled 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, et al. The plaintiffs allege that the defendants caused power outages in Puerto Rico while performing restoration work on Puerto Rico’s electrical network following Hurricanes Irma and Maria in 2017, thereby interrupting commercial activities and causing economic loss. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. Cobra has been served with ten lawsuits from municipalities in Puerto Rico alleging failure to pay construction excise and volume of business taxes. The Government of Puerto Rico's Central Recovery and Reconstruction Office (“COR3”) has noted the unique nature of work executed by entities such as Cobra in Puerto Rico and that taxes, such as those in these matters, may be eligible for reimbursement by the government. Further, COR3 indicated that it is working to develop a solution that will result in payment of taxes owed to the municipalities without placing an undue burden on entities such as Cobra. The Company continues to work with COR3 to resolve these matters. However, at this time, the Company is not able to predict the outcome of these matters or whether they will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On March 20, 2019, EJ LeJeune, a former employee of ESPADA Logistics and Security Group, LLC and ESPADA Caribbean LLC (together, “ESPADA”) filed a putative collective and class action complaint in LeJeune v. Mammoth Energy Services, Inc. d/b/a Cobra Energy & ESPADA Logistics and Security Group, LLC, Case No. 5:19-cv-00286-JKP-ESC, in the U.S. District Court for the Western District of Texas. On August 5, 2019, the court granted the plaintiff’s motion for leave to amend his complaint, dismissing Mammoth Energy Services, Inc. as a defendant, adding Cobra Acquisitions LLC (“Cobra”) as a defendant, and adding ESPADA Caribbean LLC and two officers of ESPADA—James Jorrie and Jennifer Gay Jorrie—as defendants. The amended complaint alleges that the defendants jointly employed the plaintiff and all similarly situated workers and failed to pay them overtime as required by the Fair Labor Standards Act and Puerto Rico law. The complaint also alleges the following violations of Puerto Rico law: illegal deductions from workers’ wages, failure to timely pay all wages owed, failure to pay a required severance when terminating workers without just cause, failure to pay for all hours worked, failure to provide required meal periods, and failure to pay a statutorily required bonus to eligible workers. Mr. LeJeune seeks to represent a class of workers allegedly employed by one or more defendants and paid a flat amount for each day worked regardless of how many hours were worked. The complaint seeks back wages, including overtime wages owed, liquidated damages equal to the overtime wages owed, attorneys’ fees, costs, and pre- and post-judgment interest. On June 16, 2020, Cobra answered Mr. LeJeune’s amended complaint, denying that it employed Mr. LeJeune and the putative class members and denying that they are entitled to relief from Cobra. All other defendants have also answered the amended complaint. On July 17, 2020, Mr. LeJeune moved for conditional certification of a collective action and, on July 29, 2020, Cobra filed its response. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On April 16, 2019, Christopher Williams, a former employee of Higher Power Electrical, LLC, filed a putative class and collective action complaint in Christopher Williams, individually and on behalf of all others similarly situated v. Higher Power Electrical, LLC, Cobra Acquisitions LLC, and Cobra Energy LLC in the U.S. District Court for the District of Puerto Rico. On June 24, 2019, the complaint was amended to replace Mr. Williams with Matthew Zeisset as the named plaintiff. The plaintiff alleges that the Company failed to pay overtime wages to a class of workers in compliance with the Fair Labor Standards Act and Puerto Rico law. On August 21, 2019, upon request of the parties, the court stayed proceedings in the lawsuit pending completion of individual arbitration proceedings initiated by Mr. Zeisset and opt-in plaintiffs. The arbitrations remain pending. Other claimants have subsequently initiated additional individual arbitration proceedings asserting similar claims. All complainants and the respondents have paid the filing fees necessary to initiate the arbitrations. In May 2020, six arbitrations were held in the related matters. The Company believes these claims are without merit and will vigorously defend the arbitrations. However, at this time, the Company is not able to predict the outcomes of these proceedings or whether they will have a material impact on the Company’s business, financial condition, results of operations or cash flows. In June 2019 and August 2019, the Company was served with three class action lawsuits filed in the Western District of Oklahoma. On September 13, 2019, the court consolidated the three lawsuits under the case caption In re Mammoth Energy Services, Inc. Securities Litigation. On November 12, 2019, the plaintiffs filed their first amended complaint against Mammoth Energy Services, Inc., Arty Straehla, and Mark Layton. Pursuant to their first amended complaint, the plaintiffs brought a consolidated putative federal securities class action on behalf of all investors who purchased or otherwise acquired Mammoth Energy Services, Inc. common stock between October 19, 2017, and June 5, 2019, inclusive. On January 10, 2020, the defendants filed their motion to dismiss the first amended complaint. On March 9, 2020, the plaintiffs filed a second amended complaint for violation of federal securities laws which contains allegations substantially similar to those contained in the plaintiff’s first amended complaint. On March 30, 2020, the defendants filed their motion to dismiss the second amended complaint. The Company believes the plaintiffs’ claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. In September 2019, four derivative lawsuits were filed, two in the Western District of Oklahoma and two in the District of Delaware, purportedly on behalf of the Company against its officers and directors. In October 2019, the plaintiffs in the two Oklahoma actions voluntarily dismissed their respective cases, with one plaintiff refiling his action in the District of Delaware. On September 13, 2019, the Delaware court consolidated the three actions under the case caption In re Mammoth Energy Services, Inc. Consolidated Shareholder Litigation. On January 17, 2020, the plaintiffs filed their consolidated amended shareholder derivative complaint on behalf of Nominal Defendant, Mammoth Energy Services, Inc., and against Arty Straehla, Mark Layton, Arthur Amron, Paul V. Heerwagen IV, Marc McCarthy, Jim Palm, Matthew Ross, Arthur Smith, Gulfport Energy Corporation, and Wexford Capital LP. On February 18, 2020, the defendants filed a motion to stay this action. The Company believes the plaintiffs’ claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On September 10, 2019, the U.S. District Court for the District of Puerto Rico unsealed an indictment that charged the former president of Cobra Acquisitions LLC with conspiracy, wire fraud, false statements and disaster fraud. Two other individuals were also charged in the indictment. The indictment is focused on the interactions between a former FEMA official and the former president of Cobra. Neither the Company nor any of its subsidiaries were charged in the indictment. The Company is continuing to cooperate with the related investigation. Given the uncertainty inherent in the criminal litigation, it is not possible at this time to determine the potential outcome or other potential impacts that the criminal litigation could have on the Company. PREPA has stated in court filings that it may contend the alleged criminal activity affects Cobra's entitlement to payment under its contracts with PREPA. Subsequent to the indictment, the Company received (i) a preservation request letter from the United States Securities and Exchange Commission (“SEC”) related to documents relevant to an ongoing investigation it is conducting and (ii) a civil investigative demand (“CID”) from the United States Department of Justice (“DOJ”), which requests certain documents and answers to specific interrogatories relevant to an ongoing investigation it is conducting. Both the aforementioned SEC and DOJ investigations are in connection with the issues raised in the criminal matter. Following the resignation of Jonathan Yellen from the Company's board of directors and the matters raised in the Company's Form 8-K filed on May 14, 2020, the Company received an expanded preservation request from the SEC. The Company is cooperating with both the SEC and DOJ and is not able to predict the outcome of these investigations or if either will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On September 12, 2019, AL Global Services, LLC (“Alpha Lobo”) filed a second amended third-party petition against the Company in an action styled Jim Jorrie v. Craig Charles, Julian Calderas, Jr., and AL Global Services, LLC v. Jim Jorrie v. Cobra Acquisitions LLC v. ESPADA Logistics & Security Group, LLC, ESPADA Caribbean LLC, Arty Straehla, Ken Kinsey, Jennifer Jorrie, and Mammoth Energy Services, Inc., in the 57th Judicial District in Bexar County, Texas. The petition alleges that the Company should be held vicariously liable under alter ego, agency and respondeat superior theories for Alpha Lobo’s alleged claims against Cobra and Arty Straehla for aiding and abetting, knowing participation in and conspiracy to breach fiduciary duty in connection with Cobra’s execution of an agreement with ESPADA Caribbean, LLC for security services related to Cobra’s work in Puerto Rico. The case is currently subject to a statutory stay pending a ruling on the appeal of anti-SLAPP motions to dismiss filed by certain defendants. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. Additionally, there is a parallel arbitration proceeding that has been initiated in which certain Defendants are seeking a declaratory judgment regarding Cobra’s rights to terminate the Alpha Lobo contract and enter into a new contract with a third-party. On September 16, 2019, Cobra filed a lawsuit against Robert Malcom (“Malcom”) and later added claims against BHI Energy I Power Services LLC (“BHI”) in a case styled Cobra Acquisitions v. Robert L. Malcom and BHI Energy I Power Services LLC in the 242nd Judicial District, District Court of Hale County, Texas. Cobra alleges Malcom breached his non-compete and non-solicit obligations contained in the purchase and sale agreement in which Cobra purchased Higher Power from Malcom. On September 16, 2019, the court entered a Temporary Restraining Order enjoining Malcom from competing against Higher Power or soliciting its customers and employees. Subsequently, on October 25, 2019, the court entered a Temporary Injunction enjoining Malcom from competing against Higher Power in three states or soliciting its customers and employees until the time of trial. Cobra is seeking to permanently enjoin Malcom from competing against Higher Power or soliciting its customers and employees, and further seeks damages it incurred as a result of Malcom’s breach of his non-compete agreement. Cobra’s claims against BHI, Malcom’s employer after he left Higher Power, are for tortious interference and misappropriation of trade secrets. On November 3, 2019, Malcom filed his original counter-petition and third-party petition against Cobra, Higher Power, Keith Ellison and Arty Straehla alleging claims for breach of contract, conversion, unjust enrichment, tortious interference, retaliation, violations of the federal Racketeer Influenced and Corrupt Organizations Act, and conspiracy. Cobra and Higher Power moved to dismiss these claims and, on January 24, 2020, after the hearing on the motion to dismiss, Malcom dismissed his claims without prejudice. On December 23, 2019, Malcom filed an appeal of the Temporary Injunction Order enjoining him from competing against Higher Power. On April 20, 2020, the Court of Appeals Seventh District of Texas denied Malcom’s appeal. At this time, the Company is not able to predict the outcome of this lawsuit. However, the Company does not believe it will have a material impact on the Company’s business, financial position, results of operations or cash flows. As of June 30, 2020, PREPA owed the Company approximately $227.0 million for services performed, excluding $57.7 million of interest charged on these delinquent balances as of June 30, 2020. The Company believes these receivables are collectible. PREPA, however, is currently subject to bankruptcy proceedings, which were filed in July 2017 and are currently pending in the U.S. District Court for the District of Puerto Rico. As a result, PREPA’s ability to meet its payment obligations is largely dependent upon funding from the Federal Emergency Management Agency or other sources. On September 30, 2019, Cobra filed a motion with the U.S. District Court for the District of Puerto Rico seeking recovery of the amounts owed to Cobra by PREPA, which motion was stayed by the court. On March 25, 2020, Cobra filed an urgent motion to modify the stay order and allow the recovery of approximately $61.7 million in claims related to a tax gross-up provision contained in the emergency master service agreement, as amended, that was entered into with PREPA on October 19, 2017. This emergency motion was denied on June 3, 2020 and the court extended the stay of our motion until an omnibus hearing to be held in December 2020. In the event PREPA (i) does not have or does not obtain the funds necessary to satisfy its obligations to Cobra under the contracts, (ii) obtains the necessary funds but refuses to pay the amounts owed to the Company or (iii) otherwise does not pay amounts owed to the Company for services performed, the receivable may not be collectible. On December 18, 2019, Gulfport filed a lawsuit against Stingray Pressure Pumping in the Superior Court of the State of Delaware. Pursuant to the complaint, Gulfport seeks to terminate the October 1, 2014, Amended and Restated Master Services Agreement for Pressure Pumping Services between Gulfport and Stingray Pressure Pumping (“MSA”). In addition, Gulfport alleges breach of contract and seeks damages for alleged overpayments and audit costs under the MSA and other fees and expenses associated with this lawsuit. Further, Gulfport has not made any of the $25.5 million of payments owed to Stingray Pressure Pumping under this contract for any periods subsequent to its alleged December 28, 2019 termination date. During the six months ended June 30, 2020, the Company recognized $26.3 million in revenue under this contract. As of June 30, 2020, Gulfport owed the Company $26.6 million, which includes $1.1 million of interest on past due amounts under the contract. The Company believes Gulfport’s claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, results of operations or cash flows. On March 26, 2020, Stingray Pressure Pumping filed a counterclaim against Gulfport seeking to recover unpaid fees and expenses due to Stingray Pressure Pumping under the MSA. On January 21, 2020, Mastec Renewables Puerto Rico, LLC (“Mastec”) filed a lawsuit against Mammoth Inc., and Cobra, in the U.S. District Court in the Southern District of Florida. Pursuant to its complaint, Mastec asserts claims against the Company and Cobra for violations of the federal Racketeer Influenced and Corrupt Organizations Act, tortious interference and violations of Puerto Rico laws. Mastec seeks unspecified damages based on its claimed deprivation of work under the alleged $500 million contract, including lost profits, mobilization expenses, lost opportunity damages, costs and prejudgment interest because of the Company’s and Cobra’s alleged wrongful interference, payment of bribes, and other inducement to a FEMA official in order to secure two infrastructure contracts to aid in the rebuilding of the energy infrastructure in Puerto Rico after Hurricane Maria. On April 1, 2020, the defendants filed a motion to dismiss the complaint. The Company believes these claims are without merit and will vigorously defend the action. However, at this time, the Company is not able to predict the outcome of this lawsuit or whether it will have a material impact on the Company’s business, financial condition, 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 |
Reporting Segments
Reporting Segments | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Reporting Segments | Reporting Segments As of June 30, 2020, the Company's revenues, income before income taxes and identifiable assets are primarily attributable to four reportable segments. The Company principally provides electric infrastructure services to private utilities, public investor-owned utilities and co-operative utilities and services in connection with on-shore drilling of oil and natural gas wells for small to large domestic independent oil and natural gas producers. 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) less impairment expense, as well as a qualitative basis, such as nature of the product and service offerings and types of customers. Prior to the year ended December 31, 2019, the Company had three reportable segments, including infrastructure services, pressure pumping services and natural sand proppant services. Based on its assessment of FASB ASC 280, Segment Reporting , guidance at December 31, 2019, the Company changed its reportable segment presentation in 2019 to include its drilling services, which includes Bison Drilling and Field Services LLC, Bison Trucking LLC, Panther Drilling Systems LLC, Mako Acquisitions LLC and White Wing Tubular LLC, as its own reportable segment. The results of the entities were previously included in the reconciling column titled “All Other” in the table below for the three months ended June 30, 2019. As of June 30, 2020, the Company’s four reportable segments include infrastructure services (“Infrastructure”), pressure pumping services (“Pressure Pumping”), natural sand proppant services (“Sand”) and drilling services (“Drilling”). The results for the three and six months ended June 30, 2019 have been retroactively adjusted to reflect his change in reportable segments. During certain of the periods presented, the Infrastructure segment provided 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 Pressure Pumping segment provides hydraulic fracturing and water transfer services primarily in the Utica Shale of Eastern Ohio, Marcellus Shale in Pennsylvania, Eagle Ford and Permian Basins in Texas and the mid-continent region. 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. During certain of the periods presented, the Drilling segment provided contract land and directional drilling services primarily in the Permian Basin and mid-continent region. During certain of the periods presented, the Company also provided coil tubing services, flowback services, cementing services, acidizing services, equipment rental services, full service transportation, crude oil hauling services, remote accommodation, oilfield equipment manufacturing and infrastructure engineering and design 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, 2020 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 30,579 $ 16,125 $ 6,237 $ 1,250 $ 5,918 $ — $ 60,109 Intersegment revenues — 446 — 25 580 (1,051) — Total revenue 30,579 16,571 6,237 1,275 6,498 (1,051) 60,109 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 25,368 8,744 6,025 2,027 6,589 — 48,753 Intersegment cost of revenues 27 333 28 21 642 (1,051) — Total cost of revenue 25,395 9,077 6,053 2,048 7,231 (1,051) 48,753 Selling, general and administrative 8,037 1,477 1,357 1,331 1,524 — 13,726 Depreciation, depletion, amortization and accretion 7,816 7,685 2,348 2,700 3,567 — 24,116 Operating loss (10,669) (1,668) (3,521) (4,804) (5,824) — (26,486) Interest expense, net 720 346 53 143 209 — 1,471 Other (income) expense, net (7,809) (1,179) (2) (298) 18 — (9,270) Loss before income taxes $ (3,580) $ (835) $ (3,572) $ (4,649) $ (6,051) $ — $ (18,687) Three months ended June 30, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 41,821 $ 82,973 $ 29,223 $ 7,450 $ 20,353 $ — $ 181,820 Intersegment revenues — 1,668 11,170 207 687 (13,732) — Total revenue 41,821 84,641 40,393 7,657 21,040 (13,732) 181,820 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 44,864 59,835 32,676 9,175 21,465 — 168,015 Intersegment cost of revenues — 11,797 1,141 229 643 (13,810) — Total cost of revenue 44,864 71,632 33,817 9,404 22,108 (13,810) 168,015 Selling, general and administrative 3,035 2,664 1,380 844 1,532 — 9,455 Depreciation, depletion, amortization and accretion 7,818 10,174 4,528 3,193 4,432 — 30,145 Operating income (loss) (13,896) 171 668 (5,784) (7,032) 78 (25,795) Interest expense, net 386 452 72 332 309 — 1,551 Other (income) expense, net (4,045) 9 (32) — 49 — (4,019) Income (loss) before income taxes $ (10,237) $ (290) $ 628 $ (6,116) $ (7,390) $ 78 $ (23,327) Six months ended June 30, 2020 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 56,285 $ 58,810 $ 16,391 $ 5,973 $ 20,033 $ — $ 157,492 Intersegment revenues — 1,382 95 81 1,354 (2,912) — Total revenue 56,285 60,192 16,486 6,054 21,387 (2,912) 157,492 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 52,314 34,952 16,682 7,662 19,049 — 130,659 Intersegment cost of revenues 35 961 329 152 1,435 (2,912) — Total cost of revenue 52,349 35,913 17,011 7,814 20,484 (2,912) 130,659 Selling, general and administrative 12,334 3,699 2,608 2,395 3,461 — 24,497 Depreciation, depletion, amortization and accretion 15,750 16,177 4,661 5,577 7,833 — 49,998 Impairment of goodwill — 53,406 — — 1,567 — 54,973 Impairment of other long-lived assets — 4,203 — 326 8,368 — 12,897 Operating loss (24,148) (53,206) (7,794) (10,058) (20,326) — (115,532) Interest expense, net 1,477 639 113 412 468 — 3,109 Other (income) expense, net (15,086) (1,288) (39) (271) 5 — (16,679) Loss before income taxes $ (10,539) $ (52,557) $ (7,868) $ (10,199) $ (20,799) $ — $ (101,962) Six months ended June 30, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 150,542 $ 173,568 $ 54,187 $ 21,026 $ 44,635 $ — $ 443,958 Intersegment revenues — 3,212 24,067 426 1,453 (29,158) — Total revenue 150,542 176,780 78,254 21,452 46,088 (29,158) 443,958 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 103,828 124,047 62,928 21,826 44,456 — 357,085 Intersegment cost of revenues — 25,334 2,188 501 1,195 (29,218) — Total cost of revenue 103,828 149,381 65,116 22,327 45,651 (29,218) 357,085 Selling, general and administrative 12,553 5,876 2,899 2,208 3,255 — 26,791 Depreciation, depletion, amortization and accretion 15,537 20,068 7,401 6,770 8,945 — 58,721 Operating income (loss) 18,624 1,455 2,838 (9,853) (11,763) 60 1,361 Interest expense, net 425 649 102 460 438 — 2,074 Other (income) expense, net (28,869) 8 (32) (22) 339 — (28,576) Income (loss) before income taxes $ 47,068 $ 798 $ 2,768 $ (10,291) $ (12,540) $ 60 $ 27,863 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total As of June 30, 2020: Total assets $ 402,162 $ 119,297 $ 183,214 $ 51,483 $ 122,755 $ (40,441) $ 838,470 As of December 31, 2019: Total assets $ 420,285 $ 175,259 $ 190,382 $ 61,545 $ 142,731 $ (37,817) $ 952,385 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On July 2, 2020, the Company granted 347,828 restricted stock units with a total grant date fair value of $0.4 million to non-employee directors. The value of the grants will be amortized over the vesting period. |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
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 entities (“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. All such adjustments are of a normal, recurring nature. 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. |
Accounts Receivable | Accounts Receivable Accounts receivable include amounts due from customers for services performed or goods sold. The Company grants credit to customers in the ordinary course of business and generally does not require collateral. Prior to granting credit to customers, the Company analyzes the potential customer's risk profile by utilizing a credit report, analyzing macroeconomic factors and using its knowledge of the industry, among other factors. Most areas in the continental United States 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. Interest on delinquent accounts receivable is recognized in other income when chargeable and collectability is reasonably assured. During certain of the periods presented, the Company provided infrastructure services in Puerto Rico under master services agreements entered into by Cobra Acquisitions LLC (“Cobra”), one of the Company's subsidiaries, with the Puerto Rico Electric Power Authority (“PREPA”) to perform repairs to PREPA’s electrical grid as a result of Hurricane Maria. During the three and six months ended June 30, 2020 and three and six months ended June 30, 2019, the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreements with PREPA totaling $7.9 million and $15.6 million, respectively, and $3.2 million and $29.0 million, respectively. These amounts are included in “other, net” on the unaudited condensed consolidated statement of comprehensive (loss) income. Included in “accounts receivable, net” on the unaudited condensed consolidated balance sheets as of June 30, 2020 and December 31, 2019 were interest charges of $57.7 million and $42.0 million, respectively. Pursuant to its contract with Gulfport, Stingray Pressure Pumping LLC (“Stingray Pressure Pumping”), one of the Company's subsidiaries, has agreed to provide Gulfport with use of up to two pressure pumping fleets for the period covered by the contract. Gulfport has filed a legal action in Delaware state court seeking the termination of this contract and monetary damages. During the six months ended June 30, 2020, the Company charged interest on delinquent accounts receivable pursuant to the terms of its agreement with Gulfport totaling $1.1 million. These amounts are included in “other, net - related parties” on the unaudited condensed consolidated statement of comprehensive (loss) income. As of June 30, 2020, $26.6 million related to this contract was included in “receivables from related parties” on the unaudited condensed consolidated balance sheets, which was inclusive of interest charges of $1.1 million. |
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 June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which amends current guidance on reporting credit losses on financial instruments. This ASU requires entities to reflect its current estimate of all expected credit losses. The guidance affects most financial assets, including trade accounts receivable. This ASU is effective for fiscal years beginning after December 31, 2019, with early adoption permitted. The Company adopted this standard effective January 1, 2020. It did not have a material impact on the Company's condensed consolidated financial statements. |
Revenue | Revenue The Company's primary revenue streams include infrastructure services, pressure pumping services, natural sand proppant services, drilling services and other services, which includes coil tubing, pressure control, flowback, cementing, acidizing, equipment rentals, full service transportation, crude oil hauling, remote accommodations, oilfield equipment manufacturing and infrastructure engineering and design services. See Note 19 for the Company's revenue disaggregated by type. 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). Generally, the Company accounts for infrastructure services as a single performance obligation satisfied over time. In certain circumstances, the Company supplies materials that are utilized during the jobs as part of the agreement with the customer. The Company accounts for these infrastructure agreements as multiple performance obligations satisfied over time. Revenue is recognized over time as work progresses based on the days completed or as the contract is completed. Under certain customer contracts in our infrastructure services segment, the Company warranties equipment and labor performed for a specified period following substantial completion of the work. 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, consumable supplies and personnel. Pursuant to a contract with Gulfport, Stingray Pressure Pumping, one of the Company's subsidiaries, has agreed to provide Gulfport with use of up to 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. Stingray Pressure Pumping has the right to receive consideration from this customer even if circumstances prevent us from performing work. All consideration owed to Stingray Pressure Pumping for services performed during the contractual period is fixed and the right to receive it is unconditional. Gulfport has filed a legal action in Delaware state court seeking the termination of this contract and monetary damages. During the six months ended June 30, 2020, Stingray Pressure Pumping generated $26.3 million in revenues under this contract with Gulfport. Gulfport made payments of $6.8 million to the Company during the six months ended June 30, 2020 related to revenue recognized for services in 2019 prior to the alleged termination date, and owed the Company $26.6 million as of June 30, 2020 under the contract, which includes $1.1 million in interest on delinquent accounts receivable. The revenue recognized and related accounts receivable balance owed to the Company are reflected in “services revenue—related parties” and “receivables from related parties” on the accompanying unaudited condensed consolidated statement of comprehensive (loss) income and unaudited condensed consolidated balance sheets. See Note 18 below. 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. 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. As of June 30, 2020, the Company had deferred revenue totaling $9.5 million related to shortfall payments. This amount is included in “accrued expenses and other current liabilities” on the unaudited condensed consolidated balance sheet. 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. The Company recognized revenue totaling $4.9 million and $9.8 million during the three and six months ended June 30, 2020, respectively, and $1.0 million during the six months ended June 30, 2019, related to shortfall payments. The Company did not recognize any shortfall revenue during the three months ended June 30, 2019. 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. Drilling Services Contract drilling services were 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 were recognized over the days of actual drilling. As a result of market conditions, the Company has temporarily shut down its contract land drilling operations beginning in December 2019 and rig hauling operations beginning in April 2020. Other Services During the periods presented, the Company also provided coil tubing, pressure control, flowback, cementing, equipment rentals, full service transportation, crude oil hauling, remote accommodations, oilfield equipment manufacturing and infrastructure engineering and design services, which are reported under other services. As a result of market conditions, the Company has temporarily shut down its cementing and acidizing operations as well as its flowback operations beginning in July 2019 and its coil tubing and full service transportation operations beginning in July 2020. The Company's other 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 | InventoriesInventories consist 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 Bu_2
Organization and Nature of Business (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of ownership of the company by major stakeholders | At June 30, 2020 and December 31, 2019, Wexford and Gulfport beneficially owned the following shares of outstanding common stock of Mammoth Inc.: At June 30, 2020 At December 31, 2019 Share Count % Ownership Share Count % Ownership Wexford 22,055,766 48.2 % 22,045,273 48.9 % Gulfport 9,829,548 21.5 % 9,829,548 21.8 % Outstanding shares owned by related parties 31,885,314 69.7 % 31,874,821 70.7 % Total outstanding 45,762,200 100.0 % 45,108,545 100.0 % |
Basis of Presentation and Sig_3
Basis of Presentation and Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
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, 2019 and the six months ended June 30, 2020 (in thousands): Balance, January 1, 2019 $ 5,198 Additions charged to bad debt expense 1,771 Recoveries of receivables previously charged to bad debt expense (337) Deductions for uncollectible receivables written off (1,478) Balance, December 31, 2019 5,154 Additions charged to bad debt expense 2,285 Additions charged to other expense 1,918 Recoveries of receivables previously charged to bad debt expense (606) Deductions for uncollectible receivables written off (722) Balance, June 30, 2020 $ 8,029 |
Schedules of concentration of risk | Following is a summary of our significant customers based on percentages of total accounts receivable balances at June 30, 2020 and December 31, 2019 and percentages of total revenues derived for the three and six months ended June 30, 2020 and 2019: REVENUES ACCOUNTS RECEIVABLE Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2020 2019 2020 2019 2020 2019 Customer A (a) — % 6 % — % 22 % 75 % 73 % Customer B (b) 17 % 26 % 19 % 23 % 7 % 2 % Customer C (c) 11 % 13 % 9 % 6 % — % 2 % Customer D (d) 6 % 4 % 11 % 4 % 3 % 3 % Customer E (e) — % 5 % — % 10 % — % — % 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. Accounts receivable for Customer A also includes receivables due for interest charged on delinquent accounts receivable. 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 and other businesses. Accounts receivable for Customer B also includes receivables due for interest charged on delinquent accounts receivable. c. Customer C is a third-party customer. Revenues and the related accounts receivable balances earned from Customer C were derived from the Company's pressure pumping services segment and equipment rental business. d. Customer D is a third-party customer. Revenues and the related accounts receivable balances earned from Customer D were derived from the Company's infrastructure services segment. |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Contract Liabilities | Following is a rollforward of the Company's contract liabilities (in thousands): Balance, December 31, 2018 $ 4,304 Deduction for recognition of revenue (4,827) Increase for deferral of shortfall payments 8,442 Increase for deferral of customer prepayments 675 Deduction of shortfall payments due to contract renegotiations (1,350) Balance, December 31, 2019 7,244 Deduction for recognition of revenue (9,897) Increase for deferral of shortfall payments 12,036 Increase for deferral of customer prepayments 212 Balance, June 30, 2020 $ 9,595 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | A summary of the Company's inventories is shown below (in thousands): June 30, December 31, 2020 2019 Supplies $ 7,030 $ 9,598 Raw materials 887 746 Work in process 2,926 4,608 Finished goods 1,630 2,531 Total inventories $ 12,473 $ 17,483 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment include the following (in thousands): June 30, December 31, Useful Life 2020 2019 Pressure pumping equipment 3-5 years $ 218,204 $ 216,627 Drilling rigs and related equipment 3-15 years 113,943 117,783 Machinery and equipment 7-20 years 171,809 190,221 Buildings (a) 15-39 years 46,456 47,859 Vehicles, trucks and trailers 5-10 years 116,017 135,724 Coil tubing equipment 4-10 years 8,653 29,438 Land N/A 13,687 13,687 Land improvements 15 years or life of lease 10,135 10,135 Rail improvements 10-20 years 13,802 13,802 Other property and equipment (b) 3-12 years 19,112 18,880 731,818 794,156 Deposits on equipment and equipment in process of assembly (c) 3,985 6,627 735,803 800,783 Less: accumulated depreciation (d) 442,653 448,011 Total property, plant and equipment, net $ 293,150 $ 352,772 a. Included in Buildings at June 30, 2020 and December 31, 2019 are costs of $7.6 million and $6.7 million, respectively, related to assets under operating leases. b. Included in Other property and equipment at each of June 30, 2020 and December 31, 2019 are costs of $6.5 million related to assets under operating leases. c. 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. d. Includes accumulated depreciation of $4.6 million and $3.5 million at June 30, 2020 and December 31, 2019, respectively, related to assets under operating leases. |
Schedule of Asset Impairment | As a result of the test, the Company recorded the following impairments to its fixed assets during the first quarter of 2020 (in thousands): Water transfer equipment $ 4,203 Crude oil hauling equipment 3,275 Coil tubing equipment 2,160 Flowback equipment 1,514 Rental equipment 1,308 Other equipment 437 Total impairment of other long-lived assets $ 12,897 |
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, 2020 2019 2020 2019 Depreciation expense $ 23,740 $ 28,099 $ 49,340 $ 56,165 Depletion expense 93 1,734 93 1,946 Amortization expense 254 284 507 568 Accretion expense 29 28 58 42 Depreciation, depletion, amortization and accretion $ 24,116 $ 30,145 $ 49,998 $ 58,721 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | Changes in the net carrying amount of goodwill by reporting segment (see Note 19) for the six months ended June 30, 2020 and year ended December 31, 2019 are presented below (in thousands): Infrastructure Pressure Pumping Sand Other Total Balance as of January 1, 2019 Goodwill $ 3,828 $ 86,043 $ 2,684 $ 11,893 $ 104,448 Accumulated impairment losses — — — (3,203) (3,203) 3,828 86,043 2,684 8,690 101,245 Acquisitions — — — — — Impairment losses (434) (23,423) (2,684) (7,123) (33,664) Balance as of December 31, 2019 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434) (23,423) (2,684) (10,326) (36,867) 3,394 62,620 — 1,567 67,581 Acquisitions — — — — — Impairment losses — (53,406) — (1,567) (54,973) Balance as of June 30, 2020 Goodwill 3,828 86,043 2,684 11,893 104,448 Accumulated impairment losses (434) (76,829) (2,684) (11,893) (91,840) $ 3,394 $ 9,214 $ — $ — $ 12,608 |
Schedule of finite-lived intangible assets | The Company had the following definite lived intangible assets recorded (in thousands): June 30, December 31, 2020 2019 Customer relationships $ 1,050 $ 1,050 Trade names 9,063 9,063 Less: accumulated amortization - customer relationships (554) (467) Less: accumulated amortization - trade names (4,277) (3,858) Intangible assets, net $ 5,282 $ 5,788 |
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): Remainder of 2020 $ 507 2021 1,015 2022 1,015 2023 898 2024 771 Thereafter 1,076 $ 5,282 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Payables and Accruals [Abstract] | |
Schedule of accounts payable and accrued liabilities | Accrued expenses and other current liabilities included the following (in thousands): June 30, December 31, 2020 2019 State and local taxes payable $ 15,238 $ 15,288 Deferred revenue 9,595 7,244 Accrued compensation, benefits and related taxes 3,482 5,938 Financed insurance premiums 2,479 6,463 Insurance reserves 2,590 2,906 Other 3,357 2,915 Total $ 36,741 $ 40,754 |
Selling, General and Administ_2
Selling, General and Administrative Expense (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
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, 2020 2019 2020 2019 Cash expenses: Compensation and benefits $ 3,720 $ 2,154 $ 7,690 $ 11,384 Professional services 6,147 2,934 9,684 6,723 Other (a) 2,100 3,381 4,409 6,626 Total cash SG&A expense 11,967 8,469 21,783 24,733 Non-cash expenses: Bad debt provision 1,624 262 1,679 266 Stock based compensation 135 724 1,035 1,792 Total non-cash SG&A expense 1,759 986 2,714 2,058 Total SG&A expense $ 13,726 $ 9,455 $ 24,497 $ 26,791 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Schedule of lease expense and other supplemental information | Lease expense consisted of the following for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 4,363 $ 5,405 $ 9,165 $ 11,420 Short-term lease expense 118 148 287 362 Finance lease expense: Amortization of right-of-use assets 317 288 634 486 Interest on lease liabilities 51 41 105 80 Total lease expense $ 4,849 $ 5,882 $ 10,191 $ 12,348 Other supplemental information related to leases for the three and six months ended June 30, 2020 and 2019 and as of June 30, 2020 and December 31, 2019 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4,193 $ 5,285 $ 8,930 $ 11,246 Operating cash flows from finance leases 51 394 105 80 Financing cash flows from finance leases 300 45 596 723 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ (1,700) $ 981 $ (2,009) $ 1,936 Finance leases (27) 1,592 (27) 1,592 June 30, December 31, 2020 2019 Weighted-average remaining lease term: Operating leases 3.2 years 3.4 years Finance leases 3.7 years 4.1 years Weighted-average discount rate: Operating leases 4.3 % 4.4 % Finance leases 4.3 % 4.3 % |
Schedule of lease assets and liabilities | Supplemental balance sheet information related to leases as of June 30, 2020 and December 31, 2019 is as follows (in thousands): June 30, December 31, 2020 2019 Operating leases: Operating lease right-of-use assets $ 33,210 $ 43,446 Current operating lease liability 13,387 16,432 Long-term operating lease liability 19,802 27,102 Finance leases: Property, plant and equipment, net $ 4,451 $ 5,111 Accrued expenses and other current liabilities 1,317 1,365 Other liabilities 3,278 3,856 |
Schedule of future minimum lease payments for finance leases | Maturities of lease liabilities as of June 30, 2020 are as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 7,565 $ 854 2021 12,614 1,238 2022 8,470 1,214 2023 4,280 1,214 2024 1,727 440 Thereafter 881 — Total lease payments 35,537 4,960 Less: Present value discount 2,348 365 Present value of lease payments $ 33,189 $ 4,595 |
Schedule of future minimum rental payments for operating leases | Maturities of lease liabilities as of June 30, 2020 are as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 7,565 $ 854 2021 12,614 1,238 2022 8,470 1,214 2023 4,280 1,214 2024 1,727 440 Thereafter 881 — Total lease payments 35,537 4,960 Less: Present value discount 2,348 365 Present value of lease payments $ 33,189 $ 4,595 |
(Loss) Earnings Per Share (Tabl
(Loss) Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per unit | Reconciliations of the components of basic and diluted net (loss) income 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, 2020 2019 2020 2019 Basic (loss) earnings per share: Allocation of (loss) earnings: Net (loss) income $ (15,205) $ (10,889) $ (99,176) $ 17,444 Weighted average common shares outstanding 45,727 45,003 45,521 44,966 Basic (loss) earnings per share $ (0.33) $ (0.24) $ (2.18) $ 0.39 Diluted (loss) earnings per share: Allocation of (loss) earnings: Net (loss) income $ (15,205) $ (10,889) $ (99,176) $ 17,444 Weighted average common shares, including dilutive effect (a) 45,727 45,003 45,521 45,060 Diluted (loss) earnings per share $ (0.33) $ (0.24) $ (2.18) $ 0.39 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [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, 2019 434,119 $ 22.78 Granted 101,181 6.83 Vested (231,896) 22.45 Forfeited (82,163) 18.55 Unvested shares as of December 31, 2019 221,241 22.43 Granted 2,000,000 0.93 Vested (653,655) 5.11 Forfeited (47,167) 3.28 Unvested shares as of June 30, 2020 1,520,419 $ 1.32 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
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, 2020 2019 2020 2019 2020 2019 Pressure Pumping and Gulfport (a) $ 8,499 $ 33,419 $ 26,322 $ 70,829 $ 26,605 $ 5,950 Muskie and Gulfport (b) 1,875 10,861 3,750 23,516 516 1,141 SR Energy and Gulfport (c) 5 2,733 113 8,040 36 156 Aquahawk and Gulfport (d) — 98 — 822 — — Panther Drilling and El Toro (e) 38 124 38 493 38 — Cobra Aviation/ARS/Leopard and Brim Equipment (f) 103 448 185 711 104 235 Other 5 15 5 15 17 41 $ 10,525 $ 47,698 $ 30,413 $ 104,426 $ 27,316 $ 7,523 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. SR Energy provides rental services to Gulfport. d. Aquahawk provides water transfer services for Gulfport pursuant to a master service agreement. e. Panther provides directional drilling services for El Toro, an entity controlled by Wexford, pursuant to a master service agreement. f. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. Three Months Ended June 30, Six Months Ended June 30, At June 30, At December 31, 2020 2019 2020 2019 2020 2019 COST OF REVENUE COST OF REVENUE ACCOUNTS PAYABLE Cobra Aviation/ ARS/Leopard and Brim Equipment (a) $ 8 $ 2,650 $ 21 $ 3,363 $ — $ 433 Anaconda and Caliber (b) 62 — 124 — — — Other 27 — 53 — — — $ 97 $ 2,650 $ 198 $ 3,363 $ — $ 433 SELLING, GENERAL AND ADMINISTRATIVE COSTS SELLING, GENERAL AND ADMINISTRATIVE COSTS The Company and Wexford (c) $ — $ 206 $ — $ 442 $ — $ 1 The Company and Caliber (b) 191 258 383 388 — 7 Cobra Aviation/ ARS/Leopard and Brim Equipment (a) — 149 — 166 — — Other 7 46 30 97 14 9 $ 198 $ 659 $ 413 $ 1,093 $ 14 $ 17 CAPITAL EXPENDITURES CAPITAL EXPENDITURES Leopard and Brim Equipment (a) $ — $ 217 $ — $ 217 $ — $ 76 $ — $ 217 $ — $ 217 $ — $ 76 $ 14 $ 526 a. Cobra Aviation, ARS and Leopard lease helicopters to Brim Equipment pursuant to aircraft lease and management agreements. b. Caliber leases office space to Anaconda and Mammoth. c. 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. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of current maturities of contractual obligation | Aggregate future minimum payments under these obligations in effect at June 30, 2020 are as follows (in thousands): Year ended December 31: Capital Spend Commitments Minimum Purchase Commitments (a) Remainder of 2020 $ 3,214 $ 8,671 2021 — 700 2022 — 130 2023 — 9 2024 — — Thereafter — — $ 3,214 $ 9,510 |
Schedule of letters of credit | The letters of credit are categorized below (in thousands): June 30, December 31, 2020 2019 Environmental remediation $ 4,477 $ 4,182 Insurance programs 4,105 4,105 Rail car commitments 455 455 Total letters of credit $ 9,037 $ 8,742 |
Reporting Segments (Tables)
Reporting Segments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
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, 2020 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 30,579 $ 16,125 $ 6,237 $ 1,250 $ 5,918 $ — $ 60,109 Intersegment revenues — 446 — 25 580 (1,051) — Total revenue 30,579 16,571 6,237 1,275 6,498 (1,051) 60,109 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 25,368 8,744 6,025 2,027 6,589 — 48,753 Intersegment cost of revenues 27 333 28 21 642 (1,051) — Total cost of revenue 25,395 9,077 6,053 2,048 7,231 (1,051) 48,753 Selling, general and administrative 8,037 1,477 1,357 1,331 1,524 — 13,726 Depreciation, depletion, amortization and accretion 7,816 7,685 2,348 2,700 3,567 — 24,116 Operating loss (10,669) (1,668) (3,521) (4,804) (5,824) — (26,486) Interest expense, net 720 346 53 143 209 — 1,471 Other (income) expense, net (7,809) (1,179) (2) (298) 18 — (9,270) Loss before income taxes $ (3,580) $ (835) $ (3,572) $ (4,649) $ (6,051) $ — $ (18,687) Three months ended June 30, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 41,821 $ 82,973 $ 29,223 $ 7,450 $ 20,353 $ — $ 181,820 Intersegment revenues — 1,668 11,170 207 687 (13,732) — Total revenue 41,821 84,641 40,393 7,657 21,040 (13,732) 181,820 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 44,864 59,835 32,676 9,175 21,465 — 168,015 Intersegment cost of revenues — 11,797 1,141 229 643 (13,810) — Total cost of revenue 44,864 71,632 33,817 9,404 22,108 (13,810) 168,015 Selling, general and administrative 3,035 2,664 1,380 844 1,532 — 9,455 Depreciation, depletion, amortization and accretion 7,818 10,174 4,528 3,193 4,432 — 30,145 Operating income (loss) (13,896) 171 668 (5,784) (7,032) 78 (25,795) Interest expense, net 386 452 72 332 309 — 1,551 Other (income) expense, net (4,045) 9 (32) — 49 — (4,019) Income (loss) before income taxes $ (10,237) $ (290) $ 628 $ (6,116) $ (7,390) $ 78 $ (23,327) Six months ended June 30, 2020 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 56,285 $ 58,810 $ 16,391 $ 5,973 $ 20,033 $ — $ 157,492 Intersegment revenues — 1,382 95 81 1,354 (2,912) — Total revenue 56,285 60,192 16,486 6,054 21,387 (2,912) 157,492 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 52,314 34,952 16,682 7,662 19,049 — 130,659 Intersegment cost of revenues 35 961 329 152 1,435 (2,912) — Total cost of revenue 52,349 35,913 17,011 7,814 20,484 (2,912) 130,659 Selling, general and administrative 12,334 3,699 2,608 2,395 3,461 — 24,497 Depreciation, depletion, amortization and accretion 15,750 16,177 4,661 5,577 7,833 — 49,998 Impairment of goodwill — 53,406 — — 1,567 — 54,973 Impairment of other long-lived assets — 4,203 — 326 8,368 — 12,897 Operating loss (24,148) (53,206) (7,794) (10,058) (20,326) — (115,532) Interest expense, net 1,477 639 113 412 468 — 3,109 Other (income) expense, net (15,086) (1,288) (39) (271) 5 — (16,679) Loss before income taxes $ (10,539) $ (52,557) $ (7,868) $ (10,199) $ (20,799) $ — $ (101,962) Six months ended June 30, 2019 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total Revenue from external customers $ 150,542 $ 173,568 $ 54,187 $ 21,026 $ 44,635 $ — $ 443,958 Intersegment revenues — 3,212 24,067 426 1,453 (29,158) — Total revenue 150,542 176,780 78,254 21,452 46,088 (29,158) 443,958 Cost of revenue, exclusive of depreciation, depletion, amortization and accretion 103,828 124,047 62,928 21,826 44,456 — 357,085 Intersegment cost of revenues — 25,334 2,188 501 1,195 (29,218) — Total cost of revenue 103,828 149,381 65,116 22,327 45,651 (29,218) 357,085 Selling, general and administrative 12,553 5,876 2,899 2,208 3,255 — 26,791 Depreciation, depletion, amortization and accretion 15,537 20,068 7,401 6,770 8,945 — 58,721 Operating income (loss) 18,624 1,455 2,838 (9,853) (11,763) 60 1,361 Interest expense, net 425 649 102 460 438 — 2,074 Other (income) expense, net (28,869) 8 (32) (22) 339 — (28,576) Income (loss) before income taxes $ 47,068 $ 798 $ 2,768 $ (10,291) $ (12,540) $ 60 $ 27,863 Infrastructure Pressure Pumping Sand Drilling All Other Eliminations Total As of June 30, 2020: Total assets $ 402,162 $ 119,297 $ 183,214 $ 51,483 $ 122,755 $ (40,441) $ 838,470 As of December 31, 2019: Total assets $ 420,285 $ 175,259 $ 190,382 $ 61,545 $ 142,731 $ (37,817) $ 952,385 |
Organization and Nature of Bu_3
Organization and Nature of Business - Narrative (Details) - $ / shares | 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 |
Organization and Nature of Bu_4
Organization and Nature of Business - Schedule of Ownership (Details) - shares | Apr. 06, 2018 | Jun. 30, 2020 | Dec. 31, 2019 |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Share Count (in shares) | 45,762,200 | 45,108,545 | |
% 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) | 22,055,766 | 22,045,273 | |
% Ownership | 49.00% | 48.20% | 48.90% |
Gulfport | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Share Count (in shares) | 9,829,548 | 9,829,548 | |
% Ownership | 21.50% | 21.80% | |
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) | 31,885,314 | 31,874,821 | |
% Ownership | 69.70% | 70.70% |
Basis of Presentation and Sig_4
Basis of Presentation and Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands | Mar. 25, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 |
Related Party Transaction [Line Items] | ||||||
Other, net - related parties | $ 1,133 | $ 0 | $ 1,133 | $ 0 | ||
Amount owed by customer | 26,600 | 26,600 | ||||
Bad debt expense | 1,679 | 266 | ||||
Recovery amount in undisputed claims | $ 61,700 | |||||
Oil And Natural Gas Industry | ||||||
Related Party Transaction [Line Items] | ||||||
Bad debt expense | 2,300 | $ 1,800 | ||||
Puerto Rico Electric Power Authority (PREPA) | ||||||
Related Party Transaction [Line Items] | ||||||
Interest income, other | 7,900 | $ 3,200 | 15,600 | $ 29,000 | ||
Interest charged on accounts receivable | 57,700 | 57,700 | $ 42,000 | |||
Accounts receivable from related parties | $ 227,000 | $ 227,000 |
Basis of Presentation and Sig_5
Basis of Presentation and Significant Accounting Policies - Accounts Receivable (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance at beginning of period | $ 5,154 | $ 5,198 |
Additions charged to bad debt expense | 2,285 | 1,771 |
Additions charged to other expense | 1,918 | |
Recoveries of receivables previously charged to bad debt expense | (606) | (337) |
Deductions for uncollectible receivables written off | (722) | (1,478) |
Balance at end of period | $ 8,029 | $ 5,154 |
Basis of Presentation and Sig_6
Basis of Presentation and Significant Accounting Policies - Concentration of Credit Risk and Significant Customers (Details) - Customer Concentration Risk | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 |
Customer A | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 0.00% | 6.00% | 0.00% | 22.00% | ||
Customer A | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 75.00% | 73.00% | ||||
Customer B | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 17.00% | 26.00% | 19.00% | 23.00% | ||
Customer B | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 7.00% | 2.00% | ||||
Customer C | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 11.00% | 13.00% | 9.00% | 6.00% | ||
Customer C | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 0.00% | 2.00% | ||||
Customer D | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 6.00% | 4.00% | 11.00% | 4.00% | ||
Customer D | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 3.00% | 3.00% | ||||
Customer E | REVENUES | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 0.00% | 5.00% | 0.00% | 10.00% | ||
Customer E | ACCOUNTS RECEIVABLE | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 0.00% | 0.00% |
Revenue - Narrative (Details)
Revenue - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||||
Revenue | $ 9,897 | $ 4,827 | ||||
Payments from customer | 6,800 | |||||
Amount owed by customer | $ 26,600 | 26,600 | ||||
Other, net - related parties | 1,133 | $ 0 | 1,133 | $ 0 | ||
Deferred revenue | 9,595 | 9,595 | $ 7,244 | $ 4,304 | ||
Pressure Pumping | ||||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||||
Revenue | 26,300 | |||||
Shortfall Payments | ||||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||||
Revenue | 4,900 | 9,800 | $ 1,000 | |||
Deferred revenue | $ 9,500 | $ 9,500 | ||||
Practical expedients | ||||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||||
Contract term (greater than) | one year |
Revenue - Schedule of Contract
Revenue - Schedule of Contract Liabilities (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Contract with Customer, Liability [Roll Forward] | ||
Balance, beginning of period | $ 7,244 | $ 4,304 |
Deduction for recognition of revenue | (9,897) | (4,827) |
Increase for deferral of shortfall payments | 12,036 | 8,442 |
Increase for deferral of customer prepayments | 212 | 675 |
Deduction of shortfall payments due to contract renegotiations | (1,350) | |
Balance, end of period | $ 9,595 | $ 7,244 |
Revenue - Performance Obligatio
Revenue - Performance Obligations and Contract Balances (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |||
Contract assets | $ 0 | $ 0 | $ 0 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Remaining performance obligation | $ 66,500,000 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue recognition period | 1.4 years |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Supplies | $ 7,030 | $ 9,598 |
Raw materials | 887 | 746 |
Work in process | 2,926 | 4,608 |
Finished goods | 1,630 | 2,531 |
Total inventories | $ 12,473 | $ 17,483 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 731,818 | $ 794,156 | |
Deposits on equipment and equipment in process of assembly | 3,985 | 6,627 | |
Less: accumulated depreciation | 4,600 | 3,500 | |
Total property, plant and equipment, net | 293,150 | 352,772 | |
Proceeds from disposal of property and equipment | 2,544 | $ 2,465 | |
Gain (loss) on disposal of property and equipment | 1,451 | (176) | |
Pressure pumping equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 218,204 | 216,627 | |
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 | $ 113,943 | 117,783 | |
Proceeds from disposal of property and equipment | 700 | 700 | |
Gain (loss) on disposal of property and equipment | $ 700 | 700 | |
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 | $ 171,809 | 190,221 | |
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 | $ 46,456 | 47,859 | |
Costs related to assets under operating leases | $ 7,600 | 6,700 | |
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 | $ 116,017 | 135,724 | |
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 | $ 8,653 | 29,438 | |
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 | $ 13,687 | 13,687 | |
Land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 15 years | ||
Property, plant, and equipment | $ 10,135 | 10,135 | |
Rail improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment | $ 13,802 | 13,802 | |
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 | $ 19,112 | 18,880 | |
Costs related to assets under operating leases | $ 6,500 | 6,500 | |
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 | ||
Assets held and used | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 735,803 | 800,783 | |
Less: accumulated depreciation | 442,653 | 448,011 | |
Total property, plant and equipment, net | 293,150 | $ 352,772 | |
Comprehensive Income | |||
Property, Plant and Equipment [Line Items] | |||
Proceeds from disposal of property and equipment | 2,200 | 2,400 | |
Gain (loss) on disposal of property and equipment | $ 800 | $ (200) |
Property, Plant, and Equipment
Property, Plant, and Equipment - Schedule of Asset Impairment (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | $ 12,897 | $ 0 |
Water transfer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | 4,203 | |
Crude oil hauling equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | 3,275 | |
Coil tubing equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | 2,160 | |
Flowback equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | 1,514 | |
Rental equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | 1,308 | |
Other equipment | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of other long-lived assets | $ 437 |
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, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 23,740 | $ 28,099 | $ 49,340 | $ 56,165 |
Depletion expense | 93 | 1,734 | 93 | 1,946 |
Amortization expense | 254 | 284 | 507 | 568 |
Accretion expense | 29 | 28 | 58 | 42 |
Depreciation, depletion, amortization and accretion | $ 24,116 | $ 30,145 | $ 49,998 | $ 58,721 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Schedule Of Changes in Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | $ 104,448 | $ 104,448 | $ 104,448 | $ 104,448 | |||
Accumulated impairment losses | $ (91,840) | (91,840) | (36,867) | $ (3,203) | |||
Goodwill, Total | 12,608 | 12,608 | 67,581 | 101,245 | |||
Acquisitions | 0 | 0 | |||||
Goodwill, Impairment Loss | 0 | (55,000) | $ 0 | (54,973) | 0 | (33,664) | |
Goodwill, gross period end | 104,448 | 104,448 | 104,448 | ||||
Infrastructure | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 3,828 | 3,828 | 3,828 | 3,828 | |||
Accumulated impairment losses | (434) | (434) | (434) | 0 | |||
Goodwill, Total | 3,394 | 3,394 | 3,394 | 3,828 | |||
Acquisitions | 0 | 0 | |||||
Goodwill, Impairment Loss | 0 | (434) | |||||
Goodwill, gross period end | 3,828 | 3,828 | 3,828 | ||||
Pressure Pumping | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 86,043 | 86,043 | 86,043 | 86,043 | |||
Accumulated impairment losses | (76,829) | (76,829) | (23,423) | 0 | |||
Goodwill, Total | 9,214 | 9,214 | 62,620 | 86,043 | |||
Acquisitions | 0 | 0 | |||||
Goodwill, Impairment Loss | (53,406) | (23,423) | |||||
Goodwill, gross period end | 86,043 | 86,043 | 86,043 | ||||
Sand | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | 2,684 | 2,684 | 2,684 | 2,684 | |||
Accumulated impairment losses | (2,684) | (2,684) | (2,684) | 0 | |||
Goodwill, Total | 0 | 0 | 0 | 2,684 | |||
Acquisitions | 0 | 0 | |||||
Goodwill, Impairment Loss | 0 | (2,684) | |||||
Goodwill, gross period end | 2,684 | 2,684 | 2,684 | ||||
Other | |||||||
Goodwill [Roll Forward] | |||||||
Goodwill, gross period start | $ 11,893 | 11,893 | $ 11,893 | 11,893 | |||
Accumulated impairment losses | (11,893) | (11,893) | (10,326) | (3,203) | |||
Goodwill, Total | 0 | 0 | 1,567 | $ 8,690 | |||
Acquisitions | 0 | 0 | |||||
Goodwill, Impairment Loss | (1,567) | (7,123) | |||||
Goodwill, gross period end | $ 11,893 | $ 11,893 | $ 11,893 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill impairment | $ 0 | $ 55,000 | $ 0 | $ 54,973 | $ 0 | $ 33,664 |
Amortization of intangible assets | $ 254 | $ 284 | $ 507 | $ 568 | ||
Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted useful life (in years) | 2 years 9 months 18 days | |||||
Trade names | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted useful life (in years) | 7 years 10 months 24 days | |||||
Minimum | Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ||||||
Finite-lived intangible asset, useful life (in years) | 6 years | |||||
Minimum | Trade names | ||||||
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 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Definite Lived Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, net | $ 5,282 | $ 5,788 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 1,050 | 1,050 |
Less: accumulated amortization | (554) | (467) |
Intangible assets, net | 496 | 583 |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 9,063 | 9,063 |
Less: accumulated amortization | (4,277) | (3,858) |
Intangible assets, net | $ 4,786 | $ 5,205 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Aggregated Expected Amortization Expense (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2020 | $ 507 | |
2021 | 1,015 | |
2022 | 1,015 | |
2023 | 898 | |
2024 | 771 | |
Thereafter | 1,076 | |
Intangible assets, net | $ 5,282 | $ 5,788 |
Equity Method Investment - Narr
Equity Method Investment - Narrative (Details) $ in Thousands | Dec. 21, 2018USD ($) | Apr. 06, 2018helicopter | Jun. 30, 2020USD ($)helicopter | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) |
Schedule of Equity Method Investments [Line Items] | |||||
Contributions to equity investee | $ 0 | $ 680 | |||
Cobra Aviation Services LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Number of helicopters | helicopter | 3 | ||||
Brim Acquisitions LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Number of helicopters | helicopter | 1 | ||||
Number of leases | helicopter | 5 | ||||
Brim Equipment Assets | Cobra Aviation Services LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Cash paid to acquire a business | $ 2,000 | ||||
Brim Acquisitions LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Contributions to equity investee | $ 2,000 | ||||
Difference between carrying amount and underlying equity | $ 2,000 | $ 2,600 | |||
Adjustment to income on equity investee | $ (600) | (200) | |||
Contributions to equity investee | $ 700 | ||||
Brim Acquisitions LLC | Cobra Aviation Services LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investment, ownership percentage | 49.00% | ||||
Brim Acquisitions LLC | Wexford | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investment, ownership percentage | 51.00% |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Payables and Accruals [Abstract] | ||
State and local taxes payable | $ 15,238 | $ 15,288 |
Deferred revenue | 9,595 | 7,244 |
Accrued compensation, benefits and related taxes | 3,482 | 5,938 |
Financed insurance premiums | 2,479 | 6,463 |
Insurance reserves | 2,590 | 2,906 |
Other | 3,357 | 2,915 |
Total | $ 36,741 | $ 40,754 |
Accrued Expenses and Other Cu_4
Accrued Expenses and Other Current Liabilities - Narrative (Details) | Jun. 30, 2020 | Dec. 31, 2019 |
Payables and Accruals [Abstract] | ||
Financed insurance premium interest rate | 3.45% | 3.75% |
Debt - Narrative (Details)
Debt - Narrative (Details) $ in Millions | Feb. 26, 2020USD ($) | Oct. 29, 2018 | Dec. 31, 2019USD ($) | Jul. 29, 2020USD ($) | Jun. 30, 2020USD ($) | Feb. 25, 2020USD ($) |
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 180 | $ 350 | ||||
Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | $ 80 | $ 89.3 | ||||
Remaining borrowing capacity | $ 96.1 | 18.5 | ||||
Maximum leverage ratio | 2.5 | 4 | ||||
Debt covenant, minimum availability required | $ 130 | $ 185 | ||||
Revolving Credit Facility | Subsequent Event | ||||||
Line of Credit Facility [Line Items] | ||||||
Outstanding borrowing under the credit facility | $ (88.2) | |||||
Remaining borrowing capacity | 19.5 | |||||
Letter of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Remaining borrowing capacity | $ 8.7 | $ 9 | ||||
Letter of Credit | Subsequent Event | ||||||
Line of Credit Facility [Line Items] | ||||||
Remaining borrowing capacity | $ 9 | |||||
Minimum | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest coverage rate | 1.1 | 3 | ||||
Line of Credit | Minimum | Base Rate | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate | 2.00% | |||||
Line of Credit | Minimum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate | 3.00% | |||||
Line of Credit | Maximum | Base Rate | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate | 2.50% | |||||
Line of Credit | Maximum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis spread on variable rate | 3.50% |
Variable Interest Entities - Na
Variable Interest Entities - Narrative (Details) - helicopter | Apr. 06, 2018 | Jun. 30, 2020 | Dec. 31, 2019 |
Variable Interest Entity [Line Items] | |||
Percentage of ownership | 100.00% | 100.00% | |
Dire Wolf Energy Services LLC | Cobra Aviation Services LLC | |||
Variable Interest Entity [Line Items] | |||
Interest transferred | 100.00% | ||
Cobra Aviation Services LLC | |||
Variable Interest Entity [Line Items] | |||
Number of helicopters | 3 | ||
Predator Aviation LLC | Leopard Aviation LLC | |||
Variable Interest Entity [Line Items] | |||
Interest transferred | 100.00% | ||
ARS | |||
Variable Interest Entity [Line Items] | |||
Percentage of ownership | 100.00% | ||
Wexford | |||
Variable Interest Entity [Line Items] | |||
Percentage of ownership | 49.00% | 48.20% | 48.90% |
Selling, General and Administ_3
Selling, General and Administrative Expense - Schedule of Selling, General and Administrative Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Non-cash expenses: | ||||
Bad debt provision | $ 1,679 | $ 266 | ||
Stock based compensation | 1,246 | 2,233 | ||
Total SG&A expense | $ 13,726 | $ 9,455 | ||
Selling, General and Administrative Expenses | ||||
Cash expenses: | ||||
Compensation and benefits | 3,720 | 2,154 | 7,690 | 11,384 |
Professional services | 6,147 | 2,934 | 9,684 | 6,723 |
Other | 2,100 | 3,381 | 4,409 | 6,626 |
Total cash SG&A expense | 11,967 | 8,469 | 21,783 | 24,733 |
Non-cash expenses: | ||||
Bad debt provision | 1,624 | 262 | 1,679 | 266 |
Stock based compensation | 135 | 724 | 1,035 | 1,792 |
Total non-cash SG&A expense | 1,759 | 986 | 2,714 | 2,058 |
Total SG&A expense | $ 13,726 | $ 9,455 | $ 24,497 | $ 26,791 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense (benefit) | $ (3,482) | $ (12,438) | $ (2,786) | $ 10,419 |
Federal income tax rate | 3.00% | 37.00% | ||
Expense related to CARES Act | $ 5,200 | |||
Deferred tax expense (benefit) | 12,300 | |||
Current income tax expense (benefit) | $ (7,200) |
Leases - Schedule of Lease Expe
Leases - Schedule of Lease Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Leases [Abstract] | ||||
Operating lease expense | $ 4,363 | $ 5,405 | $ 9,165 | $ 11,420 |
Short-term lease expense | 118 | 148 | 287 | 362 |
Amortization of right-of-use assets | 317 | 288 | 634 | 486 |
Interest on lease liabilities | 51 | 41 | 105 | 80 |
Total lease expense | $ 4,849 | $ 5,882 | $ 10,191 | $ 12,348 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Operating leases: | ||
Operating lease right-of-use assets | $ 33,210 | $ 43,446 |
Current operating lease liability | 13,387 | 16,432 |
Long-term operating lease liability | 19,802 | 27,102 |
Finance leases: | ||
Property, plant and equipment, net | 4,451 | 5,111 |
Accrued expenses and other current liabilities | 1,317 | 1,365 |
Other liabilities | $ 3,278 | $ 3,856 |
Leases - Other Supplemental Inf
Leases - Other Supplemental Information Related to Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||||
Operating cash flows from operating leases | $ 4,193 | $ 5,285 | $ 8,930 | $ 11,246 | |
Operating cash flows from finance leases | 51 | 394 | 105 | 80 | |
Financing cash flows from finance leases | 300 | 45 | 596 | 723 | |
Right-of-use assets obtained in exchange for lease obligations: | |||||
Operating leases | (1,700) | 981 | (2,009) | 1,936 | |
Finance leases | $ (27) | $ 1,592 | $ (27) | $ 1,592 | |
Weighted-average remaining lease term: | |||||
Operating leases | 3 years 2 months 12 days | 3 years 2 months 12 days | 3 years 4 months 24 days | ||
Finance leases | 3 years 8 months 12 days | 3 years 8 months 12 days | 4 years 1 month 6 days | ||
Weighted-average discount rate: | |||||
Operating leases | 4.30% | 4.30% | 4.40% | ||
Finance leases | 4.30% | 4.30% | 4.30% |
Leases - Schedule of Lease Liab
Leases - Schedule of Lease Liability Maturity (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating Leases | ||
Remainder of 2020 | $ 7,565 | |
2021 | 12,614 | |
2022 | 8,470 | |
2023 | 4,280 | |
2024 | 1,727 | |
Thereafter | 881 | |
Total lease payments | 35,537 | |
Less: Present value discount | 2,348 | |
Present value of lease payments | 33,189 | |
Finance Leases | ||
Remainder of 2020 | 854 | |
2021 | 1,238 | |
2022 | 1,214 | |
2023 | 1,214 | |
2024 | 440 | |
Thereafter | 0 | |
Total lease payments | 4,960 | |
Less: Present value discount | 365 | |
Present value of lease payments | 4,595 | |
Lease income | $ 600 | $ 900 |
(Loss) Earnings Per Share - Sch
(Loss) Earnings Per Share - Schedule of Earnings Per Unit (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Net (loss) income | $ (15,205) | $ (10,889) | $ (99,176) | $ 17,444 |
Basic (loss) earnings per share: | ||||
Weighted average common shares outstanding (in shares) | 45,727 | 45,003 | 45,521 | 44,966 |
Basic earnings per share (in USD per share) | $ (0.33) | $ (0.24) | $ (2.18) | $ 0.39 |
Diluted (loss) earnings per share: | ||||
Weighted average common shares, including dilutive effect (in shares) | 45,727 | 45,003 | 45,521 | 45,060 |
Diluted earnings per share (in USD per share) | $ (0.33) | $ (0.24) | $ (2.18) | $ 0.39 |
Equity Based Compensation - Nar
Equity Based Compensation - Narrative (Details) $ in Millions | Jun. 30, 2020USD ($) |
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 | $ 5.6 |
Non-Employees | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Fair value of the award as of the modification dates or grant date | $ 18.9 |
Stock Based Compensation - Sche
Stock Based Compensation - Schedule Of Share-Based Compensation (Details) - Restricted Stock - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Number of Unvested Restricted Shares | ||
Unvested shares beginning balance (in shares) | 221,241 | 434,119 |
Granted (in shares) | 2,000,000 | 101,181 |
Vested (in shares) | (653,655) | (231,896) |
Forfeited (in shares) | (47,167) | (82,163) |
Unvested shares ending balance (in shares) | 1,520,419 | 221,241 |
Weighted Average Grant-Date Fair Value | ||
Unvested shares at beginning of period (in USD per share) | $ 22.43 | $ 22.78 |
Granted (in USD per share) | 0.93 | 6.83 |
Vested (in USD per share) | 5.11 | 22.45 |
Forfeited (in USD per share) | 3.28 | 18.55 |
Unvested shares at end of period (in USD per share) | $ 1.32 | $ 22.43 |
Stock Based Compensation - Narr
Stock Based Compensation - Narrative (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized (in shares) | 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 | $ 1.7 | |
Unrecognized compensation cost | 2 years 3 months 18 days | |
Compensation expense | $ 1.2 | $ 2.2 |
Related Party Transactions - Re
Related Party Transactions - Revenues and Accounts Receivable (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | |||||
ACCOUNTS RECEIVABLE | $ 27,316 | $ 27,316 | $ 7,523 | ||
Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 10,525 | $ 47,698 | 30,413 | $ 104,426 | |
ACCOUNTS RECEIVABLE | 27,316 | 27,316 | 7,523 | ||
Pressure Pumping and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 8,499 | 33,419 | 26,322 | 70,829 | |
ACCOUNTS RECEIVABLE | 26,605 | 26,605 | 5,950 | ||
Muskie and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 1,875 | 10,861 | 3,750 | 23,516 | |
ACCOUNTS RECEIVABLE | 516 | 516 | 1,141 | ||
SR Energy and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 5 | 2,733 | 113 | 8,040 | |
ACCOUNTS RECEIVABLE | 36 | 36 | 156 | ||
Aquahawk and Gulfport | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 0 | 98 | 0 | 822 | |
ACCOUNTS RECEIVABLE | 0 | 0 | 0 | ||
Panther Drilling and El Toro | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 38 | 124 | 38 | 493 | |
ACCOUNTS RECEIVABLE | 38 | 38 | 0 | ||
Cobra Aviation/ARS/Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 103 | 448 | 185 | 711 | |
ACCOUNTS RECEIVABLE | 104 | 104 | 235 | ||
Other | Related parties | |||||
Related Party Transaction [Line Items] | |||||
REVENUES | 5 | $ 15 | 5 | $ 15 | |
ACCOUNTS RECEIVABLE | $ 17 | $ 17 | $ 41 |
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, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | $ 14 | $ 14 | $ 526 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 198 | $ 659 | 413 | $ 1,093 | |
Related parties | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 97 | 2,650 | 198 | 3,363 | |
ACCOUNTS PAYABLE | 14 | 14 | 526 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 198 | 659 | 413 | 1,093 | |
CAPITAL EXPENDITURES | 0 | 217 | 0 | 217 | |
Cobra Aviation/ ARS/Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 8 | 2,650 | 21 | 3,363 | |
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 0 | 149 | 0 | 166 | |
Anaconda and Caliber | Related parties | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 62 | 0 | 124 | 0 | |
Other | Related parties | |||||
Related Party Transaction [Line Items] | |||||
COST OF REVENUE | 27 | 0 | 53 | 0 | |
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 7 | 46 | 30 | 97 | |
The Company and Wexford | Related parties | |||||
Related Party Transaction [Line Items] | |||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 0 | 206 | 0 | 442 | |
The Company and Caliber | Related parties | |||||
Related Party Transaction [Line Items] | |||||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | 191 | 258 | 383 | 388 | |
Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
CAPITAL EXPENDITURES | 0 | $ 217 | 0 | $ 217 | |
ACCOUNTS PAYABLE | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 433 | ||
ACCOUNTS PAYABLE | Cobra Aviation/ ARS/Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 433 | ||
ACCOUNTS PAYABLE | Anaconda and Caliber | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 0 | ||
ACCOUNTS PAYABLE | Other | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 0 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 14 | 14 | 17 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Cobra Aviation/ ARS/Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 0 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | Other | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 14 | 14 | 9 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Wexford | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 1 | ||
SELLING, GENERAL AND ADMINISTRATIVE COSTS | The Company and Caliber | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 7 | ||
CAPITAL EXPENDITURES | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | 0 | 0 | 76 | ||
CAPITAL EXPENDITURES | Leopard and Brim Equipment | Related parties | |||||
Related Party Transaction [Line Items] | |||||
ACCOUNTS PAYABLE | $ 0 | $ 0 | $ 76 |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) $ in Thousands | Dec. 21, 2018USD ($)helicopter | Apr. 06, 2018 | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2019 |
Related Party Transaction [Line Items] | |||||
Contributions to equity investee | $ 0 | $ (680) | |||
Percentage of ownership | 100.00% | 100.00% | |||
Cobra Aviation Services LLC | |||||
Related Party Transaction [Line Items] | |||||
Number of assets purchased | helicopter | 2 | ||||
Brim Acquisitions LLC | |||||
Related Party Transaction [Line Items] | |||||
Initial capital of acquisition | $ 2,000 | ||||
Contributions to equity investee | $ (700) | ||||
Brim Acquisitions LLC | Cobra Aviation Services LLC | |||||
Related Party Transaction [Line Items] | |||||
Equity method investment, ownership percentage | 49.00% | ||||
Brim Acquisitions LLC | Wexford | |||||
Related Party Transaction [Line Items] | |||||
Equity method investment, ownership percentage | 51.00% | ||||
Wexford | |||||
Related Party Transaction [Line Items] | |||||
Percentage of ownership | 49.00% | 48.20% | 48.90% |
Commitments and Contingencies -
Commitments and Contingencies - Future minimum lease payments (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Minimum Purchase Commitments | |
Remainder of 2020 | $ 8,671 |
2021 | 700 |
2022 | 130 |
2023 | 9 |
2024 | 0 |
Thereafter | 0 |
Minimum Purchase Commitments | 9,510 |
Capital Spend Commitments | |
Minimum Purchase Commitments | |
Remainder of 2020 | 3,214 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 0 |
Minimum Purchase Commitments | 3,214 |
Sand | Inventories | |
Minimum Purchase Commitments | |
Minimum Purchase Commitments | 8,000 |
Maximum | Sand | Inventories | |
Minimum Purchase Commitments | |
Minimum Purchase Commitments | $ 9,400 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Letters of Credit (Details) - Letter of Credit - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 9,037 | $ 8,742 |
Environmental remediation | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 4,477 | 4,182 |
Insurance programs | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | 4,105 | 4,105 |
Rail car commitments | ||
Line of Credit Facility [Line Items] | ||
Total letters of credit | $ 455 | $ 455 |
Commitments and Contingencies_3
Commitments and Contingencies - Narrative (Details) | Mar. 25, 2020USD ($) | Oct. 31, 2019Lawsuit | Sep. 30, 2019Lawsuit | Jun. 30, 2019Lawsuit | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2019Lawsuit | Dec. 31, 2019USD ($) | Jan. 21, 2020USD ($) |
Other Commitments [Line Items] | |||||||||||
Insurance deductible | $ 300,000 | $ 300,000 | $ 100,000 | ||||||||
Insurance aggregate stop loss | 5,400,000 | 5,400,000 | 5,400,000 | ||||||||
Workers' compensation liability, current | 2,600,000 | 2,600,000 | 2,900,000 | ||||||||
Workers compensation and auto claims insurance, directors and officers liability | 1,000,000 | 1,000,000 | 1,000,000 | ||||||||
Workers compensation and auto claims insurance, directors and officers liability aggregate limit | 10,000,000 | 10,000,000 | 10,000,000 | ||||||||
Workers compensation and auto claims insurance, aggregate stop loss per claim basis | 200,000 | ||||||||||
Workers compensation and auto claims insurance, aggregate stop loss per calendar year | 5,800,000 | ||||||||||
Insurance reserves | 1,800,000 | 1,800,000 | 3,000,000 | ||||||||
Warranty accrual | 0 | 0 | 0 | ||||||||
Product warranty expense | 0 | $ 0 | 0 | $ 0 | |||||||
Commitments and contingencies | |||||||||||
Recovery amount in undisputed claims | $ 61,700,000 | ||||||||||
Receivables from related parties | 27,316,000 | 27,316,000 | 7,523,000 | ||||||||
Revenue | $ 9,897,000 | 4,827,000 | |||||||||
Maximum annual contributions per employee, percent | 92.00% | ||||||||||
Employer matching contribution, percent of match | 3.00% | ||||||||||
Employer discretionary contribution amount | $ 900,000 | $ 1,900,000 | |||||||||
Pressure Pumping | |||||||||||
Other Commitments [Line Items] | |||||||||||
Revenue | 26,300,000 | ||||||||||
Related parties | |||||||||||
Other Commitments [Line Items] | |||||||||||
Receivables from related parties | 27,316,000 | 27,316,000 | 7,523,000 | ||||||||
Outstanding Bid Bond | |||||||||||
Other Commitments [Line Items] | |||||||||||
Commitments and contingencies | 1,300,000 | 1,300,000 | |||||||||
Performance And Payment Bond | |||||||||||
Other Commitments [Line Items] | |||||||||||
Commitments and contingencies | 37,400,000 | 37,400,000 | 40,400,000 | ||||||||
Estimated cost to complete the project | 5,500,000 | 5,500,000 | |||||||||
Puerto Rico Municipalities, Failure To Pay Municipal License And Construction Excise Taxes | |||||||||||
Other Commitments [Line Items] | |||||||||||
Number of new claims | Lawsuit | 10 | ||||||||||
September 2019 Derivative Lawsuits | |||||||||||
Other Commitments [Line Items] | |||||||||||
Number of new claims | Lawsuit | 4 | ||||||||||
Western District Of Oklahoma, Federal Securities Lawsuits | |||||||||||
Other Commitments [Line Items] | |||||||||||
Number of new claims | Lawsuit | 2 | 3 | |||||||||
Number of claims dismissed | Lawsuit | 2 | ||||||||||
District of Delaware, Federal Securities Lawsuits | |||||||||||
Other Commitments [Line Items] | |||||||||||
Number of new claims | Lawsuit | 2 | ||||||||||
Puerto Rico Electric Power Authority (PREPA) | |||||||||||
Other Commitments [Line Items] | |||||||||||
Accounts receivable from related parties | 227,000,000 | 227,000,000 | |||||||||
Interest charged on accounts receivable | 57,700,000 | 57,700,000 | 42,000,000 | ||||||||
Pressure Pumping and Gulfport | Related parties | |||||||||||
Other Commitments [Line Items] | |||||||||||
Receivables from related parties | 26,605,000 | 26,605,000 | $ 5,950,000 | ||||||||
Interest income, related party | 1,100,000 | ||||||||||
Pressure Pumping and Gulfport | Stingray Pressure Pumping | |||||||||||
Other Commitments [Line Items] | |||||||||||
Receivables from related parties | $ 25,500,000 | $ 25,500,000 | |||||||||
Mastec Renewables Puerto Rico, LLC | |||||||||||
Other Commitments [Line Items] | |||||||||||
Contract amount | $ 500,000,000 |
Reporting Segments (Details)
Reporting Segments (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019segment | Jun. 30, 2020USD ($)segment | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Segment Reporting Information [Line Items] | |||||||
Number of reportable segments | segment | 3 | 4 | |||||
Revenues | $ 60,109 | $ 181,820 | $ 157,492 | $ 443,958 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 48,753 | 168,015 | |||||
Intersegment cost of revenues | 0 | 0 | |||||
Total cost of revenue | 48,753 | 168,015 | |||||
Selling, general and administrative | 13,726 | 9,455 | |||||
Depreciation, depletion, amortization and accretion | 24,116 | 30,145 | 49,998 | 58,721 | |||
Impairment of goodwill | 0 | $ 55,000 | 0 | 54,973 | 0 | $ 33,664 | |
Impairment of other long-lived assets | 0 | 0 | 12,897 | 0 | |||
Operating (loss) income | (26,486) | (25,795) | (115,532) | 1,361 | |||
Interest expense, net | 1,471 | 1,551 | 3,109 | 2,074 | |||
Other (income) expense, net | (9,270) | (4,019) | |||||
Income (loss) before income taxes | (18,687) | (23,327) | (101,962) | 27,863 | |||
Total assets | 838,470 | 838,470 | 952,385 | ||||
Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 30,579 | 41,821 | 56,285 | 150,542 | |||
Impairment of goodwill | 0 | 434 | |||||
Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 16,125 | 82,973 | 58,810 | 173,568 | |||
Impairment of goodwill | 53,406 | 23,423 | |||||
Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 6,237 | 29,223 | 16,391 | 54,187 | |||
Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 1,250 | 7,450 | 5,973 | 21,026 | |||
Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 5,918 | 20,353 | 20,033 | 44,635 | |||
Impairment of goodwill | 1,567 | 7,123 | |||||
Intersegment revenues | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 0 | 0 | 0 | 0 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 130,659 | 357,085 | |||||
Intersegment cost of revenues | 0 | 0 | |||||
Total cost of revenue | 130,659 | 357,085 | |||||
Selling, general and administrative | 24,497 | 26,791 | |||||
Depreciation, depletion, amortization and accretion | 49,998 | 58,721 | |||||
Impairment of goodwill | 54,973 | ||||||
Impairment of other long-lived assets | 12,897 | ||||||
Operating (loss) income | (115,532) | 1,361 | |||||
Interest expense, net | 3,109 | 2,074 | |||||
Other (income) expense, net | (16,679) | (28,576) | |||||
Income (loss) before income taxes | (101,962) | 27,863 | |||||
Intersegment revenues | Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 0 | 0 | 0 | 0 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 52,314 | 103,828 | |||||
Intersegment cost of revenues | 35 | 0 | |||||
Total cost of revenue | 52,349 | 103,828 | |||||
Selling, general and administrative | 12,334 | 12,553 | |||||
Depreciation, depletion, amortization and accretion | 15,750 | 15,537 | |||||
Impairment of goodwill | 0 | ||||||
Impairment of other long-lived assets | 0 | ||||||
Operating (loss) income | (24,148) | 18,624 | |||||
Interest expense, net | 1,477 | 425 | |||||
Other (income) expense, net | (15,086) | (28,869) | |||||
Income (loss) before income taxes | (10,539) | 47,068 | |||||
Intersegment revenues | Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 446 | 1,668 | 1,382 | 3,212 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 34,952 | 124,047 | |||||
Intersegment cost of revenues | 961 | 25,334 | |||||
Total cost of revenue | 35,913 | 149,381 | |||||
Selling, general and administrative | 3,699 | 5,876 | |||||
Depreciation, depletion, amortization and accretion | 16,177 | 20,068 | |||||
Impairment of goodwill | 53,406 | ||||||
Impairment of other long-lived assets | 4,203 | ||||||
Operating (loss) income | (53,206) | 1,455 | |||||
Interest expense, net | 639 | 649 | |||||
Other (income) expense, net | (1,288) | 8 | |||||
Income (loss) before income taxes | (52,557) | 798 | |||||
Intersegment revenues | Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 0 | 11,170 | 95 | 24,067 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 16,682 | 62,928 | |||||
Intersegment cost of revenues | 329 | 2,188 | |||||
Total cost of revenue | 17,011 | 65,116 | |||||
Selling, general and administrative | 2,608 | 2,899 | |||||
Depreciation, depletion, amortization and accretion | 4,661 | 7,401 | |||||
Impairment of goodwill | 0 | ||||||
Impairment of other long-lived assets | 0 | ||||||
Operating (loss) income | (7,794) | 2,838 | |||||
Interest expense, net | 113 | 102 | |||||
Other (income) expense, net | (39) | (32) | |||||
Income (loss) before income taxes | (7,868) | 2,768 | |||||
Intersegment revenues | Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 25 | 207 | 81 | 426 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 7,662 | 21,826 | |||||
Intersegment cost of revenues | 152 | 501 | |||||
Total cost of revenue | 7,814 | 22,327 | |||||
Selling, general and administrative | 2,395 | 2,208 | |||||
Depreciation, depletion, amortization and accretion | 5,577 | 6,770 | |||||
Impairment of goodwill | 0 | ||||||
Impairment of other long-lived assets | 326 | ||||||
Operating (loss) income | (10,058) | (9,853) | |||||
Interest expense, net | 412 | 460 | |||||
Other (income) expense, net | (271) | (22) | |||||
Income (loss) before income taxes | (10,199) | (10,291) | |||||
Intersegment revenues | Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 580 | 687 | 1,354 | 1,453 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 19,049 | 44,456 | |||||
Intersegment cost of revenues | 1,435 | 1,195 | |||||
Total cost of revenue | 20,484 | 45,651 | |||||
Selling, general and administrative | 3,461 | 3,255 | |||||
Depreciation, depletion, amortization and accretion | 7,833 | 8,945 | |||||
Impairment of goodwill | 1,567 | ||||||
Impairment of other long-lived assets | 8,368 | ||||||
Operating (loss) income | (20,326) | (11,763) | |||||
Interest expense, net | 468 | 438 | |||||
Other (income) expense, net | 5 | 339 | |||||
Income (loss) before income taxes | (20,799) | (12,540) | |||||
Eliminations | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | (1,051) | (13,732) | (2,912) | (29,158) | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 0 | 0 | 0 | 0 | |||
Intersegment cost of revenues | (1,051) | (13,810) | (2,912) | (29,218) | |||
Total cost of revenue | (1,051) | (13,810) | (2,912) | (29,218) | |||
Selling, general and administrative | 0 | 0 | 0 | 0 | |||
Depreciation, depletion, amortization and accretion | 0 | 0 | 0 | 0 | |||
Impairment of goodwill | 0 | ||||||
Impairment of other long-lived assets | 0 | ||||||
Operating (loss) income | 0 | 78 | 0 | 60 | |||
Interest expense, net | 0 | 0 | 0 | 0 | |||
Other (income) expense, net | 0 | 0 | 0 | 0 | |||
Income (loss) before income taxes | 0 | 78 | 0 | 60 | |||
Total assets | (40,441) | (40,441) | (37,817) | ||||
Operating Segments | Infrastructure | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 30,579 | 41,821 | 56,285 | 150,542 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 25,368 | 44,864 | |||||
Intersegment cost of revenues | 27 | 0 | |||||
Total cost of revenue | 25,395 | 44,864 | |||||
Selling, general and administrative | 8,037 | 3,035 | |||||
Depreciation, depletion, amortization and accretion | 7,816 | 7,818 | |||||
Operating (loss) income | (10,669) | (13,896) | |||||
Interest expense, net | 720 | 386 | |||||
Other (income) expense, net | (7,809) | (4,045) | |||||
Income (loss) before income taxes | (3,580) | (10,237) | |||||
Total assets | 402,162 | 402,162 | 420,285 | ||||
Operating Segments | Pressure Pumping | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 16,571 | 84,641 | 60,192 | 176,780 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 8,744 | 59,835 | |||||
Intersegment cost of revenues | 333 | 11,797 | |||||
Total cost of revenue | 9,077 | 71,632 | |||||
Selling, general and administrative | 1,477 | 2,664 | |||||
Depreciation, depletion, amortization and accretion | 7,685 | 10,174 | |||||
Operating (loss) income | (1,668) | 171 | |||||
Interest expense, net | 346 | 452 | |||||
Other (income) expense, net | (1,179) | 9 | |||||
Income (loss) before income taxes | (835) | (290) | |||||
Total assets | 119,297 | 119,297 | 175,259 | ||||
Operating Segments | Sand | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 6,237 | 40,393 | 16,486 | 78,254 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 6,025 | 32,676 | |||||
Intersegment cost of revenues | 28 | 1,141 | |||||
Total cost of revenue | 6,053 | 33,817 | |||||
Selling, general and administrative | 1,357 | 1,380 | |||||
Depreciation, depletion, amortization and accretion | 2,348 | 4,528 | |||||
Operating (loss) income | (3,521) | 668 | |||||
Interest expense, net | 53 | 72 | |||||
Other (income) expense, net | (2) | (32) | |||||
Income (loss) before income taxes | (3,572) | 628 | |||||
Total assets | 183,214 | 183,214 | 190,382 | ||||
Operating Segments | Drilling | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 1,275 | 7,657 | 6,054 | 21,452 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 2,027 | 9,175 | |||||
Intersegment cost of revenues | 21 | 229 | |||||
Total cost of revenue | 2,048 | 9,404 | |||||
Selling, general and administrative | 1,331 | 844 | |||||
Depreciation, depletion, amortization and accretion | 2,700 | 3,193 | |||||
Operating (loss) income | (4,804) | (5,784) | |||||
Interest expense, net | 143 | 332 | |||||
Other (income) expense, net | (298) | 0 | |||||
Income (loss) before income taxes | (4,649) | (6,116) | |||||
Total assets | 51,483 | 51,483 | 61,545 | ||||
Operating Segments | Other | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 6,498 | 21,040 | 21,387 | $ 46,088 | |||
Cost of revenue, exclusive of depreciation, depletion, amortization and accretion | 6,589 | 21,465 | |||||
Intersegment cost of revenues | 642 | 643 | |||||
Total cost of revenue | 7,231 | 22,108 | |||||
Selling, general and administrative | 1,524 | 1,532 | |||||
Depreciation, depletion, amortization and accretion | 3,567 | 4,432 | |||||
Operating (loss) income | (5,824) | (7,032) | |||||
Interest expense, net | 209 | 309 | |||||
Other (income) expense, net | 18 | 49 | |||||
Income (loss) before income taxes | (6,051) | $ (7,390) | |||||
Total assets | $ 122,755 | $ 122,755 | $ 142,731 |
Subsequent Events - Narrative (
Subsequent Events - Narrative (Details) - Subsequent Event - Restricted Stock $ in Millions | Jul. 02, 2020USD ($)shares |
Subsequent Event [Line Items] | |
Grants in period (in shares) | shares | 347,828 |
Fair value of shares granted | $ | $ 0.4 |