Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 03, 2021 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-38090 | |
Entity Registrant Name | SOLARIS OILFIELD INFRASTRUCTURE, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 81-5223109 | |
Entity Address, Address Line One | 9811 Katy Freeway, Suite 700 | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77024 | |
City Area Code | 281 | |
Local Phone Number | 501-3070 | |
Title of 12(b) Security | Class A Common Stock | |
Trading Symbol | SOI | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Shell Company | false | |
Entity Central Index Key | 0001697500 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Class A Common Stock | ||
Document and Entity Information | ||
Entity Common Stock, Shares Outstanding | 31,862,999 | |
Class B Common Stock | ||
Document and Entity Information | ||
Entity Common Stock, Shares Outstanding | 13,818,517 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 46,276 | $ 60,366 |
Accounts receivable, net of allowances for credit losses of $920 and $1,099, respectively | 31,341 | 18,243 |
Prepaid expenses and other current assets | 3,813 | 2,169 |
Inventories | 1,939 | 954 |
Total current assets | 83,369 | 81,732 |
Property, plant and equipment, net | 241,048 | 245,884 |
Non-current inventories | 2,882 | 3,318 |
Operating lease right-of-use assets | 4,449 | 4,708 |
Goodwill | 13,004 | 13,004 |
Intangible assets, net | 2,593 | 2,982 |
Deferred tax assets | 63,842 | 59,805 |
Other assets | 381 | 463 |
Total assets | 411,568 | 411,896 |
Current liabilities: | ||
Accounts payable | 14,145 | 6,863 |
Accrued liabilities | 12,006 | 11,986 |
Current portion of payables related to Tax Receivable Agreement | 606 | 606 |
Current portion of operating lease liabilities | 693 | 647 |
Current portion of finance lease liabilities | 30 | 30 |
Other current liabilities | 813 | 75 |
Total current liabilities | 28,293 | 20,207 |
Operating lease liabilities, net of current | 6,981 | 7,419 |
Finance lease liabilities, net of current | 85 | 100 |
Payables related to Tax Receivable Agreement | 72,908 | 68,097 |
Other long-term liabilities | 587 | 594 |
Total liabilities | 108,854 | 96,417 |
Commitments and contingencies (Note 8) | ||
Stockholders' equity: | ||
Preferred stock, $0.01 par value, 50,000 shares authorized, none issued and outstanding | ||
Additional paid-in capital | 194,690 | 180,415 |
Retained earnings | 11,137 | 20,549 |
Total stockholders' equity attributable to Solaris | 206,137 | 201,254 |
Non-controlling interest | 96,577 | 114,225 |
Total stockholders' equity | 302,714 | 315,479 |
Total liabilities and stockholders' equity | 411,568 | 411,896 |
Class A Common Stock | ||
Stockholders' equity: | ||
Common Stock | 310 | 290 |
Class B Common Stock | ||
Stockholders' equity: | ||
Common Stock |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Allowance for credit losses | $ 920 | $ 1,099 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 50,000 | 50,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Class A Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 600,000 | 600,000 |
Common stock, shares issued | 30,984 | 28,943 |
Common stock, shares outstanding | 30,984 | 28,943 |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 180,000 | 180,000 |
Common stock, shares issued | 13,820 | 15,685 |
Common stock, shares outstanding | 13,820 | 15,685 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue: | ||||
Total revenue | $ 35,179 | $ 9,339 | $ 63,848 | $ 57,169 |
Operating costs and expenses: | ||||
Depreciation and amortization | 6,752 | 6,671 | 13,445 | 13,785 |
Selling, general and administrative (excluding $182 and $172 and $365 and $324 of depreciation and amortization for the three and six months ended June 30, 2021 and 2020, respectively, shown separately) (1) | 4,964 | 3,967 | 9,570 | 8,373 |
Impairment losses | 47,828 | |||
Other operating expenses | 360 | 2,274 | 613 | 3,472 |
Total operating costs and expenses | 37,211 | 20,072 | 67,969 | 107,244 |
Operating loss | (2,032) | (10,733) | (4,121) | (50,075) |
Interest income (expense), net | (55) | (35) | (104) | 76 |
Total other expense (income) | (55) | (35) | (104) | 76 |
Loss before income tax expense | (2,087) | (10,768) | (4,225) | (49,999) |
Benefit for income taxes | 217 | 1,272 | 430 | 7,350 |
Net loss | (1,870) | (9,496) | (3,795) | (42,649) |
Less: net loss related to non-controlling interests | 659 | 3,956 | 1,415 | 18,026 |
Net loss attributable to Solaris | (1,211) | (5,540) | (2,380) | (24,623) |
System rental | ||||
Revenue: | ||||
Total revenue | 14,323 | 5,463 | 27,971 | 31,522 |
Operating costs and expenses: | ||||
Cost of revenue | 1,556 | 823 | 3,164 | 2,836 |
System services | ||||
Revenue: | ||||
Total revenue | 20,616 | 3,419 | 35,326 | 24,376 |
Operating costs and expenses: | ||||
Cost of revenue | 23,282 | 6,013 | 40,534 | 30,143 |
Transloading services | ||||
Revenue: | ||||
Total revenue | 38 | 264 | 152 | 729 |
Operating costs and expenses: | ||||
Cost of revenue | 197 | 202 | 441 | 540 |
Inventory software services | ||||
Revenue: | ||||
Total revenue | 202 | 192 | 399 | 542 |
Operating costs and expenses: | ||||
Cost of revenue | $ 100 | $ 122 | $ 202 | $ 267 |
Class A Common Stock | ||||
Operating costs and expenses: | ||||
Loss per share of Class A common stock - basic (in dollars per share) | $ (0.04) | $ (0.20) | $ (0.08) | $ (0.85) |
Loss per share of Class A common stock - diluted (in dollars per share) | $ (0.04) | $ (0.20) | $ (0.08) | $ (0.85) |
Basic weighted-average shares of Class A common stock outstanding (in shares) | 30,984 | 28,638 | 30,473 | 28,975 |
Diluted weighted-average shares of Class A common stock outstanding used to calculate diluted net loss per share (in shares) | 30,984 | 28,638 | 30,473 | 28,975 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Depreciation and amortization, nonproduction | $ 182 | $ 172 | $ 365 | $ 324 |
Stock-based compensation expense | 1,353 | 1,326 | 2,552 | 2,656 |
Selling, general and administrative expenses | ||||
Stock-based compensation expense | 1,254 | 1,231 | 2,267 | 2,345 |
System rental | ||||
Depreciation and amortization, production | 6,187 | 6,034 | 12,328 | 12,035 |
Stock-based compensation expense | 7 | 18 | 12 | 31 |
System services | ||||
Depreciation and amortization, production | 188 | 274 | 362 | 631 |
Stock-based compensation expense | 88 | 73 | 260 | 273 |
Transloading services | ||||
Depreciation and amortization, production | 0 | 0 | 0 | 411 |
Stock-based compensation expense | 4 | 4 | 13 | 7 |
Inventory software services | ||||
Depreciation and amortization, production | $ 195 | $ 191 | $ 390 | $ 384 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Common StockClass A Common Stock | Common StockClass B Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Non-controlling Interest | Total |
Balance at beginning of year at Dec. 31, 2019 | $ 308 | $ 191,843 | $ 74,222 | $ (2,526) | $ 145,811 | $ 409,658 | |
Balance at beginning of year (in shares) at Dec. 31, 2019 | 30,765 | 15,940 | 163 | ||||
Changes in Stockholders' Equity | |||||||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | $ 1 | 460 | (461) | ||||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock (in shares) | 50 | (50) | |||||
Net effect of deferred tax asset and payables related to Tax Receivable Agreement from the exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | (303) | (303) | |||||
Stock option exercises | 66 | $ (80) | (11) | (25) | |||
Stock option exercises (in shares) | 9 | 7 | |||||
Share and unit repurchases and retirements | $ (24) | (14,804) | (10,177) | (1,711) | (26,716) | ||
Share and unit repurchases and retirements (in shares) | (2,374) | ||||||
Stock-based compensation | 907 | 492 | 1,399 | ||||
Vesting of restricted stock | $ 1 | 471 | $ (373) | (473) | (374) | ||
Vesting of restricted stock (in shares) | 105 | 37 | |||||
Solaris LLC distribution paid to Solaris LLC unitholders | (1,668) | (1,668) | |||||
Dividends paid (Class A common stock) | (3,087) | (3,087) | |||||
Treasury stock retirements | (1,247) | (1,732) | $ 2,979 | ||||
Treasury stock retirements (in shares) | (207) | ||||||
Net loss | (19,081) | (14,071) | (33,152) | ||||
Balance at end of year at Mar. 31, 2020 | $ 286 | 177,393 | 40,145 | 127,908 | 345,732 | ||
Balance at end of year (in shares) at Mar. 31, 2020 | 28,555 | 15,890 | |||||
Balance at beginning of year at Dec. 31, 2019 | $ 308 | 191,843 | 74,222 | $ (2,526) | 145,811 | 409,658 | |
Balance at beginning of year (in shares) at Dec. 31, 2019 | 30,765 | 15,940 | 163 | ||||
Changes in Stockholders' Equity | |||||||
Net loss | (42,649) | ||||||
Balance at end of year at Jun. 30, 2020 | $ 287 | 178,511 | 31,516 | 122,166 | 332,480 | ||
Balance at end of year (in shares) at Jun. 30, 2020 | 28,673 | 15,840 | |||||
Balance at beginning of year at Mar. 31, 2020 | $ 286 | 177,393 | 40,145 | 127,908 | 345,732 | ||
Balance at beginning of year (in shares) at Mar. 31, 2020 | 28,555 | 15,890 | |||||
Changes in Stockholders' Equity | |||||||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | $ 1 | 395 | (395) | 1 | |||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock (in shares) | 50 | (50) | |||||
Net effect of deferred tax asset and payables related to Tax Receivable Agreement from the exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | (310) | (310) | |||||
Stock option exercises | 36 | (16) | 20 | ||||
Stock option exercises (in shares) | 7 | ||||||
Stock-based compensation | 895 | 497 | 1,392 | ||||
Vesting of restricted stock | 171 | (171) | |||||
Vesting of restricted stock (in shares) | 80 | ||||||
Cancelled shares withheld for taxes from RSU vesting | (69) | (38) | (107) | ||||
Cancelled shares withheld for taxes from RSU vesting (in shares) | (19) | ||||||
Solaris LLC distribution paid to Solaris LLC unitholders | (1,663) | (1,663) | |||||
Dividends paid (Class A common stock) | (3,089) | (3,089) | |||||
Net loss | (5,540) | (3,956) | (9,496) | ||||
Balance at end of year at Jun. 30, 2020 | $ 287 | 178,511 | 31,516 | 122,166 | 332,480 | ||
Balance at end of year (in shares) at Jun. 30, 2020 | 28,673 | 15,840 | |||||
Balance at beginning of year at Dec. 31, 2020 | $ 290 | 180,415 | 20,549 | 114,225 | 315,479 | ||
Balance at beginning of year (in shares) at Dec. 31, 2020 | 28,943 | 15,685 | |||||
Changes in Stockholders' Equity | |||||||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | $ 19 | 13,526 | (13,545) | ||||
Exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock (in shares) | 1,865 | (1,865) | |||||
Net effect of deferred tax asset and payables related to Tax Receivable Agreement from the exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | (1,184) | (1,184) | |||||
Stock option exercises | 18 | (6) | 12 | ||||
Stock option exercises (in shares) | 4 | ||||||
Stock-based compensation | 854 | 418 | 1,272 | ||||
Vesting of restricted stock | $ 2 | 407 | (409) | ||||
Vesting of restricted stock (in shares) | 223 | ||||||
Cancelled shares withheld for taxes from RSU vesting | $ (1) | (146) | (319) | (207) | (673) | ||
Cancelled shares withheld for taxes from RSU vesting (in shares) | (57) | ||||||
Solaris LLC distribution paid to Solaris LLC unitholders | (1,451) | (1,451) | |||||
Dividends paid (Class A common stock) | (3,346) | (3,346) | |||||
Net loss | (1,169) | (756) | (1,925) | ||||
Balance at end of year at Mar. 31, 2021 | $ 310 | 193,890 | 15,715 | 98,269 | 308,184 | ||
Balance at end of year (in shares) at Mar. 31, 2021 | 30,978 | 13,820 | |||||
Balance at beginning of year at Dec. 31, 2020 | $ 290 | 180,415 | 20,549 | 114,225 | 315,479 | ||
Balance at beginning of year (in shares) at Dec. 31, 2020 | 28,943 | 15,685 | |||||
Changes in Stockholders' Equity | |||||||
Net loss | (3,795) | ||||||
Balance at end of year at Jun. 30, 2021 | $ 310 | 194,690 | 11,137 | 96,577 | 302,714 | ||
Balance at end of year (in shares) at Jun. 30, 2021 | 30,984 | 13,820 | |||||
Balance at beginning of year at Mar. 31, 2021 | $ 310 | 193,890 | 15,715 | 98,269 | 308,184 | ||
Balance at beginning of year (in shares) at Mar. 31, 2021 | 30,978 | 13,820 | |||||
Changes in Stockholders' Equity | |||||||
Net effect of deferred tax asset and payables related to Tax Receivable Agreement from the exchange of Solaris LLC Units and shares of Class B common stock for shares of Class A common stock | (198) | (198) | |||||
Stock-based compensation | 989 | 442 | 1,431 | ||||
Vesting of restricted stock | 15 | (15) | |||||
Vesting of restricted stock (in shares) | 8 | ||||||
Cancelled shares withheld for taxes from RSU vesting | (6) | (21) | (9) | (36) | |||
Cancelled shares withheld for taxes from RSU vesting (in shares) | (2) | ||||||
Solaris LLC distribution paid to Solaris LLC unitholders | (1,451) | (1,451) | |||||
Dividends paid (Class A common stock) | (3,346) | (3,346) | |||||
Net loss | (1,211) | (659) | (1,870) | ||||
Balance at end of year at Jun. 30, 2021 | $ 310 | $ 194,690 | $ 11,137 | $ 96,577 | $ 302,714 | ||
Balance at end of year (in shares) at Jun. 30, 2021 | 30,984 | 13,820 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY | ||||
Distributions paid to unit holders (in dollars per unit) | $ 0.105 | $ 0.105 | $ 0.105 | $ 0.105 |
Cash dividends paid (in dollars per share) | $ 0.105 | $ 0.105 | $ 0.105 | $ 0.105 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities: | ||
Net loss | $ (3,795) | $ (42,649) |
Adjustment to reconcile net loss to net cash provided by operating activities: | ||
Depreciation and amortization | 13,445 | 13,785 |
Loss on disposal of assets | 117 | 1,402 |
Allowance for credit losses | 599 | 1,633 |
Stock-based compensation | 2,552 | 2,656 |
Amortization of debt issuance costs | 88 | 88 |
Deferred income tax benefit | (607) | (7,369) |
Impairment losses | 47,828 | |
Other | (146) | (145) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (13,697) | 25,760 |
Prepaid expenses and other assets | (742) | (217) |
Inventories | (1,085) | (533) |
Accounts payable | 7,239 | 147 |
Accrued liabilities | 72 | (8,063) |
Net cash provided by operating activities | 4,040 | 34,323 |
Cash flows from investing activities: | ||
Investment in property, plant and equipment | (7,716) | (1,558) |
Cash received from insurance proceeds | 6 | |
Proceeds from disposal of assets | 40 | 713 |
Net cash used in investing activities | (7,670) | (845) |
Cash flows from financing activities: | ||
Share repurchases | (26,717) | |
Distribution and dividend paid to Solaris LLC unitholders (other than Solaris Inc.) and Class A common shareholders | (9,594) | (9,507) |
Payments under finance leases | (12) | (18) |
Payments under insurance premium financing | (164) | |
Proceeds from stock option exercises | 12 | 64 |
Payments for shares withheld for taxes from RSU vesting and cancelled | (702) | (96) |
Payments related to purchase of treasury stock | (454) | |
Net cash used in financing activities | (10,460) | (36,728) |
Net decrease in cash | (14,090) | (3,250) |
Cash at beginning of period | 60,366 | 66,882 |
Cash at end of period | 46,276 | 63,632 |
Non-cash activities | ||
Capitalized depreciation in property, plant and equipment | 289 | 316 |
Capitalized stock based compensation | 151 | 135 |
Property and equipment additions incurred but not paid at period-end | 612 | 6 |
Property, plant and equipment additions transferred from inventory | 536 | 356 |
Insurance premium financing | 738 | |
Cash paid for: | ||
Interest | 66 | 66 |
Income taxes | $ 325 | $ 813 |
Organization and Background of
Organization and Background of Business | 6 Months Ended |
Jun. 30, 2021 | |
Organization and Background of Business | |
Organization and Background of Business | 1. Organization and Background of Business Description of Business We design and manufacture specialized equipment, which combined with field technician support, logistics services and our software solutions, enables us to provide a service offering that helps oil and natural gas operators and their suppliers drive efficiencies and reduce costs during the completion phase of well development. Our equipment and services are deployed in most of the active oil and natural gas basins in the United States. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation and Consolidation Solaris Oilfield Infrastructure, Inc. (either individually or together with its subsidiaries, as the context requires “Solaris Inc.” or the “Company”) is the managing member of Solaris Oilfield Infrastructure, LLC (“Solaris LLC”) and is responsible for all operational, management and administrative decisions relating to Solaris LLC’s business. Solaris Inc. consolidates the financial results of Solaris LLC and its subsidiaries and reports non-controlling interest related to the portion of the units in Solaris LLC (the “Solaris LLC Units”) not owned by Solaris Inc., which will reduce net income attributable to the holders of Solaris Inc.’s Class A common stock. The accompanying interim unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”). These financial statements reflect all normal recurring adjustments that are necessary for fair presentation. Operating results for the three and six months ended June 30, 2021 and 2020 are not necessarily indicative of the results that may be expected for the full year or for any interim period. The unaudited interim condensed consolidated financial statements do not include all information or notes required by GAAP for annual financial statements and should be read together with Solaris Inc.’s Annual Report on Form 10-K for the year ended December 31, 2020 and notes thereto. All material intercompany transactions and balances have been eliminated upon consolidation. COVID-19 and Global Economic and Market Conditions The novel strain of coronavirus ("COVID-19") has caused, and continues to cause, severe disruptions to the U.S. and global economies, including the oil and gas industry and the demand for our products and services. The degree to which COVID-19 and related events outside of our control adversely impacts our results will depend on future developments, which are highly uncertain and cannot be predicted, including the timing, extent, trajectory and duration of the COVID-19 pandemic, the development, availability and administration of effective treatments and vaccines and the impact of the COVID-19 pandemic on the global economy and any subsequent recovery of normal economic and operating conditions. While we expect these matters discussed above will continue to disrupt our operations in some way, the degree of the adverse financial impact cannot be reasonably estimated at this time. Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The most significant estimates relate to stock-based compensation, useful lives and salvage values of long-lived assets, future cash flows associated with goodwill and long-lived asset impairment, net realizable value of inventory, collectability of accounts receivable and estimates of allowance for credit losses and determination of the present value of lease payments and right-of-use assets. Recently Issued Accounting Standards In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2020-04, Reference Rate Reform, which provides temporary optional guidance to companies impacted by the transition away from the London Interbank Offered Rate (“LIBOR”). The guidance provides certain expedients and exceptions to applying GAAP in order to lessen the potential accounting burden when contracts, hedging relationships, and other transactions that reference LIBOR as a benchmark rate are modified. This guidance is effective upon issuance and expires on December 31, 2022. The Company is currently assessing the impact of the LIBOR transition and this ASU on the Company’s financial statements. |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment | |
Property, Plant and Equipment | 3. Property, Plant and Equipment Property, plant and equipment are stated at cost. We manufacture or construct most of our systems. During the manufacture of these assets, they are reflected as systems in process until complete. Modifications to existing systems, including the expenditures for upgrades and enhancements that result in additional functionality, increased efficiency, or the extension of the estimated useful life, are capitalized. Property, plant and equipment consists of the following: June 30, December 31, 2021 2020 Systems and related equipment $ 302.9 $ 299.4 Systems in process 14.8 12.6 Computer hardware and software 1.1 1.0 Machinery and equipment 5.3 5.3 Vehicles 4.3 3.6 Buildings 4.4 4.3 Land 0.6 0.6 Furniture and fixtures 0.4 0.4 Property, plant and equipment, gross $ 333.8 $ 327.2 Less: accumulated depreciation (92.8) (81.3) Property, plant and equipment, net $ 241.0 $ 245.9 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt | |
Debt | 4. Debt On April 26, 2019, Solaris LLC entered into an Amended and Restated Credit Agreement (the “2019 Credit Agreement”) by and among Solaris LLC, as borrower, each of the lenders party thereto and Wells Fargo Bank, National Association, as administrative agent. The 2019 Credit Agreement consists of an initial $50.0 revolving loan commitment (the “Loan”) with a $25.0 uncommitted accordion option to increase the Loan availability to $75.0. The term of the 2019 Credit Agreement expires on April 26, 2022. The 2019 Credit Agreement requires that we prepay any outstanding borrowings under the Loan in the event our total leverage ratio is greater than 1.00 to 1.00 and our consolidated cash balance exceeds $20.0, taking into account certain adjustments. At June 30, 2021, we had no borrowings under the 2019 Credit Agreement outstanding and ability to draw $50.0. Although there were no borrowings outstanding under the 2019 Credit Agreement, the applicable margin ranges from 1.75% to 2.50% for Eurodollar loans and 0.75% to 1.50% for alternate base rate loans, in each case depending on our total leverage ratio. The 2019 Credit Agreement requires that we pay a quarterly commitment fee on undrawn amounts of the Loan, ranging from 0.25% to 0.375% depending upon the total leverage ratio. We were in compliance with all covenants in accordance with the 2019 Credit Agreement as of June 30, 2021. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2021 | |
Equity | |
Equity | 5. Equity Dividends Solaris LLC paid distributions totaling $4.8 and $4.8 to all Solaris LLC unitholders in the three months ended June 30, 2021 and 2020, respectively, of which $3.3 and $3.1 was paid to Solaris Inc. Solaris LLC paid distributions totaling $9.6 and $9.5 to all Solaris LLC unitholders in the six months ended June 30, 2021 and 2020, respectively, of which $6.7 and $6.2 was paid to Solaris Inc. Solaris Inc. used the proceeds from the distributions to pay quarterly cash dividends to all holders of shares of Class A common stock. Stock-based compensation The Company’s long-term incentive plan for employees, directors and consultants (the “LTIP”) provides for the grant of all or any of the following types of equity-based awards: (1) incentive stock options qualified as such under United States federal income tax laws; (2) stock options that do not qualify as incentive stock options; (3) stock appreciation rights; (4) restricted stock awards; (5) restricted stock units; (6) bonus stock; (7) performance awards; (8) dividend equivalents; (9) other stock-based awards; (10) cash awards; and (11) substitute awards. Subject to adjustment in accordance with the terms of the LTIP, 5,118,080 shares of Solaris Inc.’s Class A common stock have been reserved for issuance pursuant to awards under the LTIP. As of June 30, 2021, 2,543,375 stock awards were available for grant. The following table summarizes activity related to restricted stock for the three and six months ended June 30, 2021 and 2020: Restricted Stock Awards 2021 2020 Unvested at January 1, 703,115 627,251 Awarded 414,185 386,146 Vested (223,275) (141,700) Forfeited (5,388) (32,845) Unvested at March 31, 888,637 838,852 Awarded 3,376 10,194 Vested (8,797) (80,203) Forfeited (2,306) (37,164) Unvested at June 30, 880,910 731,679 Of the unvested 880,910 shares of restricted stock, it is expected that 121,235 shares, 386,793 shares, 238,180 shares, and 134,702 shares will vest in 2021, 2022, 2023 and 2024, respectively, in each case, subject to the applicable vesting terms governing such shares of restricted stock. There was approximately $7.9 of unrecognized compensation expense related to unvested restricted stock as of June 30, 2021. The unrecognized compensation expense will be recognized over the weighted average remaining vesting period of 1.2 years. Loss Per Share Basic loss per share of Class A common stock is computed by dividing net loss attributable to Solaris Inc. by the weighted-average number of shares of Class A common stock outstanding during the same period. Diluted loss per share is computed giving effect to all potentially dilutive shares. The following table sets forth the calculation of loss per share for the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, Six Months Ended June 30, Basic net loss per share: 2021 2020 2021 2020 Numerator Net loss attributable to Solaris $ (1.2) $ (5.5) $ (2.4) $ (24.6) Loss attributable to participating securities (1) (0.1) — (0.2) — Net loss attributable to common stockholders $ (1.3) $ (5.5) $ (2.6) $ (24.6) Denominator Weighted average number of unrestricted outstanding common shares used to calculate basic net loss per share 30,984 28,638 30,473 28,975 Diluted weighted-average shares of Class A common stock outstanding used to calculate diluted net loss per share 30,984 28,638 30,473 28,975 Loss per share of Class A common stock - basic $ (0.04) $ (0.20) $ (0.08) $ (0.85) Loss per share of Class A common stock - diluted $ (0.04) $ (0.20) $ (0.08) $ (0.85) (1) The Company’s restricted shares of common stock are participating securities. The following number of weighted-average potentially dilutive shares were excluded from the calculation of diluted loss per share because the effect of including such potentially dilutive shares would have been antidilutive upon conversion: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Class B common stock 13,819 15,856 14,271 15,889 Restricted stock awards 94 761 220 726 Stock Options 8 13 10 17 Total 13,921 16,630 14,501 16,632 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Taxes | |
Income Taxes | 6. Income Taxes Income Taxes Based on our cumulative earnings history and forecasted future sources of taxable income, we believe that we will be able to realize our deferred tax assets in the future. As the Company reassesses this position in the future, changes in cumulative earnings history, excluding non-recurring charges, or changes to forecasted taxable income may alter this expectation and may result in an increase in the valuation allowance and an increase in the effective tax rate. Section 382 of the Internal Revenue Code of 1986, contains rules that limit the ability of a company that undergoes an “ownership change” to utilize its net operating loss and tax credit carryovers and certain built-in losses recognized in years after the “ownership change.” An “ownership change” is generally defined as any change in ownership of more than 50% of a corporation’s stock over a rolling three-year period by stockholders that own (directly or indirectly) 5% or more of the stock of a corporation, or arising from a new issuance of stock by a corporation. If an ownership change occurs, Section 382 generally imposes an annual limitation on the use of pre-ownership change net operating loss carryovers to offset taxable income earned after the ownership change. We do not believe the Section 382 annual limitation related to historical ownership changes impacts our ability to utilize our net operating losses; however, if we were to experience a future ownership change our ability to use net operating losses may be impacted. The Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) was enacted on March 27, 2020 in the United States to provide emergency assistance to individuals and businesses affected by the COVID-19 pandemic. The CARES Act includes temporary changes to both income and non-income based tax laws. For the three and six months ended June 30, 2021 and 2020 the impact of the CARES Act was immaterial to the Company’s tax provision. However, under the CARES Act, the Company is deferring the employer portion of payroll tax payments through December 31, 2022. Future regulatory guidance under the CARES Act or additional legislation enacted by Congress in connection with the COVID-19 pandemic could impact our tax provision in future periods. Payables Related to the Tax Receivable Agreement |
Concentrations
Concentrations | 6 Months Ended |
Jun. 30, 2021 | |
Concentrations | |
Concentrations | 7. Concentrations For the three months ended June 30, 2021, one customer accounted for 30% of the Company’s revenues. For the three months ended June 30, 2020, two customers accounted for 21% of the Company’s revenues. For the six months ended June 30, 2021, one customer accounted for 22 % of the Company’s revenues. For the six months ended June 30, 2020, no customer accounted for more than 10% of the Company’s revenues. As of June 30, 2021, two customers accounted for 46% of the Company’s accounts receivable. As of December 31, 2020, four customers accounted for 42% of the Company’s accounts receivable. For the three months ended June 30, 2021, no supplier accounted for more than 10% of the Company’s total purchases. For the three months ended June 30, 2020, one supplier accounted for 40% of the Company’s total purchases. For the six months ended June 30, 2021, no supplier accounted for more than 10% of the Company’s total purchases. For the six months ended June 30, 2020, one supplier accounted for 36% of the Company’s total purchases. As of June 30, 2021, no supplier accounted for 10% of the Company’s accounts payable. As of December 31, 2020, two suppliers accounted for 23% of the Company’s accounts payable. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | 8. Commitments and Contingencies In the normal course of business, the Company is subjected to various claims, legal actions, contract negotiations and disputes. The Company provides for losses, if any, in the year in which they can be reasonably estimated. In management’s opinion, there are currently no such matters outstanding that would have a material effect on the accompanying condensed consolidated financial statements. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2021 | |
Related Party Transactions | |
Related Party Transactions | 9. Related Party Transactions The Company recognizes certain costs incurred in relation to transactions incurred in connection with the amended and restated administrative services agreement, dated May 17, 2017, between Solaris LLC and Solaris Energy Management, LLC, a company partially owned by William A. Zartler, the Chief Executive Officer and Chairman of the Board. These services include rent paid for office space, travel services, personnel, consulting and administrative costs. For the three months ended June 30, 2021 and 2020, Solaris LLC paid $0.2 and $0.2, respectively, for these services. For the six months ended June 30, 2021 and 2020, Solaris LLC paid $0.3 and $0.4, respectively, for these services. As of June 30, 2021, and December 31, 2020, the Company included $0.1 and $0.1, respectively, in prepaid expenses and other current assets on the condensed consolidated balance sheets. Additionally, as of June 30, 2021 and December 31, 2020, the Company included $0.1 and $0.1, respectively, of accruals to related parties in accrued liabilities on the consolidated balance sheet The Company has executed a guarantee of lease agreement with Solaris Energy Management, LLC, a related party of the Company, related to the rental of office space for the Company’s corporate headquarters. The total future guaranty under the guarantee of lease agreement with Solaris Energy Management, LLC is $4.6 as of June 30, 2021. On March 26, 2021, THRC Holdings, LP (“THRC”), purchased shares representing an 8.7% ownership of the Company’s Class A common stock and 6.0% total shares outstanding as of June 30, 2021. THRC is affiliated with certain of the Company’s customers, including ProFrac Services, LLC (“ProFrac”) and FTS International, and certain of the Company’s suppliers including Automatize Logistics, LLC and Cisco Logistics, LLC (“Cisco”) (together the “THRC Affiliates”). For the three and six months ended June 30, 2021, the Company recognized revenues related to our service offering provided to the THRC Affiliates of $3.1 and $3.2, respectively. Accounts receivable related to THRC Affiliates as of June 30, 2021, were $2.4. For the three and six months ended June 30, 2021, the Company recognized cost of services provided by THRC Affiliates of $0.1 and $0.1, respectively. Accounts payable as of June 30, 2021, included $0.1 related to THRC Affiliates. In August 2021, the Company executed a three-year agreement with ProFrac and Cisco (the “ProFrac-Cisco Agreement”), whereby Solaris will be the dedicated wellsite sand storage provider to ProFrac and Solaris will provide volume-based pricing for those services. Per the ProFrac-Cisco Agreement, Solaris will also purchase certain equipment from Cisco Logistics. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events | |
Subsequent Events | 10. Subsequent Events See Note 9. “Related Party Transactions”, for a discussion of an agreement executed in the third quarter of 2021. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Summary of Significant Accounting Policies | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation Solaris Oilfield Infrastructure, Inc. (either individually or together with its subsidiaries, as the context requires “Solaris Inc.” or the “Company”) is the managing member of Solaris Oilfield Infrastructure, LLC (“Solaris LLC”) and is responsible for all operational, management and administrative decisions relating to Solaris LLC’s business. Solaris Inc. consolidates the financial results of Solaris LLC and its subsidiaries and reports non-controlling interest related to the portion of the units in Solaris LLC (the “Solaris LLC Units”) not owned by Solaris Inc., which will reduce net income attributable to the holders of Solaris Inc.’s Class A common stock. The accompanying interim unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”). These financial statements reflect all normal recurring adjustments that are necessary for fair presentation. Operating results for the three and six months ended June 30, 2021 and 2020 are not necessarily indicative of the results that may be expected for the full year or for any interim period. The unaudited interim condensed consolidated financial statements do not include all information or notes required by GAAP for annual financial statements and should be read together with Solaris Inc.’s Annual Report on Form 10-K for the year ended December 31, 2020 and notes thereto. All material intercompany transactions and balances have been eliminated upon consolidation. |
COVID-19 and Global Economic and Market Conditions | COVID-19 and Global Economic and Market Conditions The novel strain of coronavirus ("COVID-19") has caused, and continues to cause, severe disruptions to the U.S. and global economies, including the oil and gas industry and the demand for our products and services. The degree to which COVID-19 and related events outside of our control adversely impacts our results will depend on future developments, which are highly uncertain and cannot be predicted, including the timing, extent, trajectory and duration of the COVID-19 pandemic, the development, availability and administration of effective treatments and vaccines and the impact of the COVID-19 pandemic on the global economy and any subsequent recovery of normal economic and operating conditions. While we expect these matters discussed above will continue to disrupt our operations in some way, the degree of the adverse financial impact cannot be reasonably estimated at this time. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The most significant estimates relate to stock-based compensation, useful lives and salvage values of long-lived assets, future cash flows associated with goodwill and long-lived asset impairment, net realizable value of inventory, collectability of accounts receivable and estimates of allowance for credit losses and determination of the present value of lease payments and right-of-use assets. |
Recently Issued Accounting Standards | In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2020-04, Reference Rate Reform, which provides temporary optional guidance to companies impacted by the transition away from the London Interbank Offered Rate (“LIBOR”). The guidance provides certain expedients and exceptions to applying GAAP in order to lessen the potential accounting burden when contracts, hedging relationships, and other transactions that reference LIBOR as a benchmark rate are modified. This guidance is effective upon issuance and expires on December 31, 2022. The Company is currently assessing the impact of the LIBOR transition and this ASU on the Company’s financial statements. |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment | |
Schedule of property plant and equipment | June 30, December 31, 2021 2020 Systems and related equipment $ 302.9 $ 299.4 Systems in process 14.8 12.6 Computer hardware and software 1.1 1.0 Machinery and equipment 5.3 5.3 Vehicles 4.3 3.6 Buildings 4.4 4.3 Land 0.6 0.6 Furniture and fixtures 0.4 0.4 Property, plant and equipment, gross $ 333.8 $ 327.2 Less: accumulated depreciation (92.8) (81.3) Property, plant and equipment, net $ 241.0 $ 245.9 |
Equity (Tables)
Equity (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity | |
Summary of activity related to restricted stock | Restricted Stock Awards 2021 2020 Unvested at January 1, 703,115 627,251 Awarded 414,185 386,146 Vested (223,275) (141,700) Forfeited (5,388) (32,845) Unvested at March 31, 888,637 838,852 Awarded 3,376 10,194 Vested (8,797) (80,203) Forfeited (2,306) (37,164) Unvested at June 30, 880,910 731,679 |
Schedule of earnings per share calculation | Three Months Ended June 30, Six Months Ended June 30, Basic net loss per share: 2021 2020 2021 2020 Numerator Net loss attributable to Solaris $ (1.2) $ (5.5) $ (2.4) $ (24.6) Loss attributable to participating securities (1) (0.1) — (0.2) — Net loss attributable to common stockholders $ (1.3) $ (5.5) $ (2.6) $ (24.6) Denominator Weighted average number of unrestricted outstanding common shares used to calculate basic net loss per share 30,984 28,638 30,473 28,975 Diluted weighted-average shares of Class A common stock outstanding used to calculate diluted net loss per share 30,984 28,638 30,473 28,975 Loss per share of Class A common stock - basic $ (0.04) $ (0.20) $ (0.08) $ (0.85) Loss per share of Class A common stock - diluted $ (0.04) $ (0.20) $ (0.08) $ (0.85) (1) The Company’s restricted shares of common stock are participating securities. |
Schedule of antidilutive shares | Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Class B common stock 13,819 15,856 14,271 15,889 Restricted stock awards 94 761 220 726 Stock Options 8 13 10 17 Total 13,921 16,630 14,501 16,632 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment | ||
Property, plant and equipment, gross | $ 333,800 | $ 327,200 |
Less: accumulated depreciation | (92,800) | (81,300) |
Property, plant and equipment, net | 241,048 | 245,884 |
Systems and related equipment | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 302,900 | 299,400 |
Systems in process | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 14,800 | 12,600 |
Computer hardware and software | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 1,100 | 1,000 |
Machinery and equipment | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 5,300 | 5,300 |
Vehicles | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 4,300 | 3,600 |
Buildings | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 4,400 | 4,300 |
Land | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | 600 | 600 |
Furniture and fixtures | ||
Property, Plant and Equipment | ||
Property, plant and equipment, gross | $ 400 | $ 400 |
Debt (Details)
Debt (Details) - 2019 Credit Agreement $ in Millions | 6 Months Ended | |
Jun. 30, 2021USD ($) | Apr. 26, 2019USD ($) | |
Debt | ||
Maximum borrowing | $ 50 | |
Potential additional borrowing available | 25 | |
Maximum borrowing capacity with accordion option | $ 75 | |
Leverage ratio for threshold | 1 | |
Cash threshold triggering repayment | $ 20 | |
Outstanding credit facility | $ 0 | |
Remaining borrowing capacity | $ 50 | |
Minimum | ||
Debt | ||
Commitment fee (as a percent) | 0.25% | |
Maximum | ||
Debt | ||
Commitment fee (as a percent) | 0.375% | |
Eurodollar | Minimum | ||
Debt | ||
Applicable margin rate | 1.75% | |
Eurodollar | Maximum | ||
Debt | ||
Applicable margin rate | 2.50% | |
Alternate base rate | Minimum | ||
Debt | ||
Applicable margin rate | 0.75% | |
Alternate base rate | Maximum | ||
Debt | ||
Applicable margin rate | 1.50% |
Equity - Dividends (Details)
Equity - Dividends (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Equity | ||||
Distributions paid to unit holders | $ 9,594 | $ 9,507 | ||
Distribution received | $ 3,300 | $ 3,100 | 6,700 | 6,200 |
Solaris LLC | ||||
Equity | ||||
Distributions paid to unit holders | $ 4,800 | $ 4,800 | $ 9,600 | $ 9,500 |
Equity - SBC (Details)
Equity - SBC (Details) | Jun. 30, 2021shares |
Stock-based compensation | |
Available for grant (in shares) | 2,543,375 |
Class A Common Stock | |
Stock-based compensation | |
Reserved for issuance (in shares) | 5,118,080 |
Equity - Restricted stock (Deta
Equity - Restricted stock (Details) - Restricted stock - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | |
Number of Shares | |||||
Unvested, beginning (in shares) | 888,637 | 703,115 | 838,852 | 627,251 | 703,115 |
Awarded (in shares) | 3,376 | 414,185 | 10,194 | 386,146 | |
Vested (in shares) | (8,797) | (223,275) | (80,203) | (141,700) | |
Forfeited (in shares) | (2,306) | (5,388) | (37,164) | (32,845) | |
Unvested, end (in shares) | 880,910 | 888,637 | 731,679 | 838,852 | 880,910 |
Other non-option information | |||||
Unrecognized compensation costs | $ 7.9 | $ 7.9 | |||
Expected period for recognizing compensation expense | 1 year 2 months 12 days | ||||
First vesting period | |||||
Number of Shares | |||||
Unvested, end (in shares) | 121,235 | 121,235 | |||
Second vesting period | |||||
Number of Shares | |||||
Unvested, end (in shares) | 386,793 | 386,793 | |||
Third vesting period | |||||
Number of Shares | |||||
Unvested, end (in shares) | 238,180 | 238,180 | |||
Fourth vesting period | |||||
Number of Shares | |||||
Unvested, end (in shares) | 134,702 | 134,702 |
Equity - EPS (Details)
Equity - EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Numerator | ||||
Net loss attributable to Solaris | $ (1,211) | $ (5,540) | $ (2,380) | $ (24,623) |
Loss attributable to participating securities | (100) | (200) | ||
Net loss attributable to common stockholders | $ (1,300) | $ (5,500) | $ (2,600) | $ (24,600) |
Class A Common Stock | ||||
Denominator | ||||
Weighted average number of unrestricted outstanding common shares used to calculate basic net loss per share (in shares) | 30,984 | 28,638 | 30,473 | 28,975 |
Diluted weighted-average shares of Class A common stock outstanding used to calculate diluted net loss per share (in shares) | 30,984 | 28,638 | 30,473 | 28,975 |
Loss per share of Class A common stock - basic (in dollars per share) | $ (0.04) | $ (0.20) | $ (0.08) | $ (0.85) |
Loss per share of Class A common stock - diluted (in dollars per share) | $ (0.04) | $ (0.20) | $ (0.08) | $ (0.85) |
Equity - Antidilutive (Details)
Equity - Antidilutive (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Potentially dilutive shares | ||||
Excluded from EPS calculation (in shares) | 13,921 | 16,630 | 14,501 | 16,632 |
Class B Common Stock | ||||
Potentially dilutive shares | ||||
Excluded from EPS calculation (in shares) | 13,819 | 15,856 | 14,271 | 15,889 |
Restricted stock | ||||
Potentially dilutive shares | ||||
Excluded from EPS calculation (in shares) | 94 | 761 | 220 | 726 |
Stock options | ||||
Potentially dilutive shares | ||||
Excluded from EPS calculation (in shares) | 8 | 13 | 10 | 17 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | May 17, 2017 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 |
Tax (benefits) and expenses | $ (217) | $ (1,272) | $ (430) | $ (7,350) | ||
Effective tax rate | 10.40% | 11.70% | 10.20% | 14.70% | ||
Current portion of payables related to Tax Receivable Agreement | $ 606 | $ 606 | $ 606 | |||
Tax Receivable Agreement | ||||||
Payments of net cash saving (as a percent) | 85.00% | |||||
Benefit of remaining cash savings (as a percent) | 15.00% | |||||
Payables related to Tax Receivable Agreement | 73,500 | 73,500 | 68,700 | |||
Current portion of payables related to Tax Receivable Agreement | $ 600 | $ 600 | $ 600 |
Concentrations (Details)
Concentrations (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021customer | Jun. 30, 2020customeritem | Jun. 30, 2021customer | Jun. 30, 2020item | Dec. 31, 2020customeritem | |
Revenue | Customer | One Customer | |||||
Concentrations | |||||
Number of customers | 1 | 1 | |||
Concentration risk (as a percent) | 30.00% | 22.00% | |||
Revenue | Customer | Two Customers | |||||
Concentrations | |||||
Number of customers | 2 | ||||
Concentration risk (as a percent) | 21.00% | ||||
Accounts receivable | Customer | Two Customers | |||||
Concentrations | |||||
Number of customers | 2 | ||||
Concentration risk (as a percent) | 46.00% | ||||
Accounts receivable | Customer | Four Customers | |||||
Concentrations | |||||
Number of customers | 4 | ||||
Concentration risk (as a percent) | 42.00% | ||||
Purchases | Supplier | One Supplier | |||||
Concentrations | |||||
Number of suppliers | item | 1 | 1 | |||
Concentration risk (as a percent) | 40.00% | 36.00% | |||
Accounts payables | Supplier | Two Suppliers | |||||
Concentrations | |||||
Number of suppliers | item | 2 | ||||
Concentration risk (as a percent) | 23.00% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Mar. 26, 2021 | Dec. 31, 2020 | |
William A. Zartler | ||||||
Related Party Transactions | ||||||
Payment made to related party | $ 0.2 | $ 0.2 | $ 0.3 | $ 0.4 | ||
Due from related party | 0.1 | 0.1 | $ 0.1 | |||
Due to related party | 0.1 | 0.1 | $ 0.1 | |||
Solaris Energy Management, LLC | ||||||
Related Party Transactions | ||||||
Other commitments | 4.6 | 4.6 | ||||
THRC Affiliates | ||||||
Related Party Transactions | ||||||
Due from related party | 2.4 | 2.4 | ||||
Due to related party | 0.1 | 0.1 | ||||
Revenue from related party | 3.1 | 3.2 | ||||
Related party costs | $ 0.1 | $ 0.1 | ||||
THRC | ||||||
Related Party Transactions | ||||||
Voting power (as a percent) | 6.00% | |||||
THRC | Solaris Oilfield Infrastructure | ||||||
Related Party Transactions | ||||||
Noncontrolling interest (as a percent) | 8.70% |