Target Hospitality (TH) 10-Q 8 Nov 23 2023 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2023	Nov. 03, 2023
Document And Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-38343
Entity Registrant Name	TARGET HOSPITALITY CORP.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	98-1378631
Entity Address, Address Line One	9320 Lakeside Boulevard, Suite 300
Entity Address, City or Town	The Woodlands
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	77381
City Area Code	800
Local Phone Number	832-4242
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		101,661,411
Entity Central Index Key	0001712189
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false
Common Class A
Document And Entity Information
Title of 12(b) Security	Common stock, par value $0.0001 per share
Trading Symbol	TH
Security Exchange Name	NASDAQ
Warrants to purchase common stock
Document And Entity Information
Title of 12(b) Security	Warrants to purchase common stock
Trading Symbol	THWWW
Security Exchange Name	NASDAQ

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 105,104	$ 181,673
Accounts receivable, less allowance for doubtful accounts of $253 and $4, respectively	59,459	42,153
Prepaid expenses and other assets	6,994	12,553
Total current assets	171,557	236,379
Specialty rental assets, net	360,164	357,129
Other property, plant and equipment, net	34,590	31,898
Operating lease right-of-use assets, net	16,924	27,298
Goodwill	41,038	41,038
Other intangible assets, net	69,655	75,182
Deferred financing costs revolver, net	1,591	896
Other non-current assets	1,005	1,907
Total assets	696,524	771,727
Current liabilities:
Accounts payable	21,247	17,563
Accrued liabilities	31,461	39,642
Deferred revenue and customer deposits	15,273	120,040
Current portion of operating lease obligations	8,857	12,516
Current portion of finance lease and other financing obligations (Note 8)	1,302	1,135
Current warrant liabilities	7,927
Current portion of long-term debt, net (Note 8)	208,126
Total current liabilities	294,193	190,896
Long-term debt (Note 8):
Principal amount		334,500
Less: unamortized original issue discount	(236)	(971)
Less: unamortized term loan deferred financing costs	(1,138)	(4,681)
Long-term debt, net		328,848
Long-term finance lease and other financing obligations	1,049	1,088
Long-term operating lease obligations	8,095	11,104
Other non-current liabilities		6,309
Deferred revenue and customer deposits	4,134	5,479
Deferred tax liability	48,403	15,172
Asset retirement obligations	2,379	2,247
Warrant liabilities		9,737
Total liabilities	358,253	570,880
Commitments and contingencies (Note 12)
Stockholders' equity:
Common Stock, $0.0001 par, 400,000,000 authorized, 111,091,266 issued and 101,660,601 outstanding as of September 30, 2023 and 109,747,366 issued and 100,316,701 outstanding as of December 31, 2022.	10	10
Common Stock in treasury at cost, 9,430,665 shares as of September 30, 2023 and as of December 31, 2022.	(23,559)	(23,559)
Additional paid-in-capital	141,169	139,287
Accumulated other comprehensive loss	(2,621)	(2,574)
Accumulated earnings	223,272	87,683
Total stockholders' equity	338,271	200,847
Total liabilities and stockholders' equity	$ 696,524	$ 771,727

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Consolidated Balance Sheets
Allowance for doubtful accounts	$ 253	$ 4
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	400,000,000	400,000,000
Common stock, shares issued	111,091,266	109,747,366
Common stock, shares outstanding	101,660,601	100,316,701
Treasury stock, shares	9,430,665	9,430,665

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue:
Revenue	$ 93,538	$ 102,996	$ 280,897	$ 236,041
Total revenue	145,939	159,565	437,388	349,547
Costs:
Depreciation of specialty rental assets	17,653	11,864	53,242	36,525
Gross profit	86,756	82,771	251,085	163,230
Selling, general and administrative	15,273	19,153	43,929	42,014
Other depreciation and amortization	3,838	3,556	11,482	11,136
Other expense (income), net	(71)	121	1,244	(74)
Operating income	67,716	59,941	194,430	110,154
Loss on extinguishment of debt			2,128
Interest expense, net	4,953	8,888	17,726	28,126
Change in fair value of warrant liabilities	2,576	20,000	(1,809)	20,374
Income before income tax	60,187	31,053	176,385	61,654
Income tax expense	14,608	12,031	40,528	19,287
Net income	45,579	19,022	135,857	42,367
Change in fair value of warrant liabilities			(1,809)
Net income attributable to common stockholders - diluted	45,579	19,022	134,048	42,367
Other comprehensive loss
Foreign currency translation	(21)	(37)	(47)	(102)
Comprehensive income	$ 45,558	$ 18,985	$ 135,810	$ 42,265
Two Class Method:
Weighted average number shares outstanding - basic (in shares)	101,620,537	97,242,170	101,246,546	97,086,415
Weighted average number shares outstanding - diluted (in shares)	105,093,694	97,242,170	105,632,139	97,086,415
Net income per share - basic (in dollars per share)	$ 0.45	$ 0.20	$ 1.34	$ 0.44
Net income per share - diluted (in dollars per share)	$ 0.43	$ 0.20	$ 1.27	$ 0.44
Services
Revenue:
Revenue	$ 93,538	$ 102,996	$ 280,897	$ 236,041
Costs:
Costs	34,035	56,899	109,469	131,605
Specialty rental
Revenue:
Revenue, subject to ASC 840	52,401	56,569	156,491	113,506
Costs:
Costs	$ 7,495	$ 8,031	$ 23,592	$ 18,187

Unaudited Consolidated Statem_2

Unaudited Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	Cumulative Effect, Period of Adoption, Adjustment Retained Earnings	Cumulative Effect, Period of Adoption, Adjustment	Cumulative Effect, Period of Adoption, Adjusted Balance Common Stock	Cumulative Effect, Period of Adoption, Adjusted Balance Common Stock in Treasury	Cumulative Effect, Period of Adoption, Adjusted Balance Additional Paid-in Capital	Cumulative Effect, Period of Adoption, Adjusted Balance Accumulated Other Comprehensive Loss	Cumulative Effect, Period of Adoption, Adjusted Balance Retained Earnings	Cumulative Effect, Period of Adoption, Adjusted Balance	Common Stock	Common Stock in Treasury	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Retained Earnings	Total
Beginning Balances at Dec. 31, 2021									$ 10	$ (23,559)	$ 109,538	$ (2,462)	$ 13,744	$ 97,271
Beginning Balances (In Shares) at Dec. 31, 2021									101,952,683	4,414,767
Net income													494	494
Stock-based compensation, net											560			560
Cancelled common stock (in shares)									(5,015,898)	5,015,898
Cumulative translation adjustment												(18)		(18)
Ending Balances at Mar. 31, 2022									$ 10	$ (23,559)	110,098	(2,480)	14,238	98,307
Ending Balances (In shares) at Mar. 31, 2022									96,936,785	9,430,665
Beginning Balances at Dec. 31, 2021									$ 10	$ (23,559)	109,538	(2,462)	13,744	97,271
Beginning Balances (In Shares) at Dec. 31, 2021									101,952,683	4,414,767
Net income														42,367
Cumulative translation adjustment														(102)
Ending Balances at Sep. 30, 2022									$ 10	$ (23,559)	115,620	(2,564)	56,111	145,618
Ending Balances (In shares) at Sep. 30, 2022									97,257,392	9,430,665
Beginning Balances at Mar. 31, 2022									$ 10	$ (23,559)	110,098	(2,480)	14,238	98,307
Beginning Balances (In Shares) at Mar. 31, 2022									96,936,785	9,430,665
Net income													22,851	22,851
Stock-based compensation, net											3,494			3,494
Stock-based compensation, net (in shares)									291,905
Tax withholdings related to net share settlement of equity awards											(77)			(77)
Cumulative translation adjustment												(47)		(47)
Ending Balances at Jun. 30, 2022									$ 10	$ (23,559)	113,515	(2,527)	37,089	124,528
Ending Balances (In shares) at Jun. 30, 2022									97,228,690	9,430,665
Net income													19,022	19,022
Stock-based compensation, net											2,149			2,149
Stock-based compensation, net (in shares)									28,702
Tax withholdings related to net share settlement of equity awards											(44)			(44)
Cumulative translation adjustment												(37)		(37)
Ending Balances at Sep. 30, 2022									$ 10	$ (23,559)	115,620	(2,564)	56,111	145,618
Ending Balances (In shares) at Sep. 30, 2022									97,257,392	9,430,665
Beginning Balances at Dec. 31, 2022	$ (268)	$ (268)	$ 10	$ (23,559)	$ 139,287	$ (2,574)	$ 87,415	$ 200,579	$ 10	$ (23,559)	139,287	(2,574)	87,683	200,847
Beginning Balances (In Shares) at Dec. 31, 2022			100,316,701	9,430,665					100,316,701	9,430,665
Net income													43,825	43,825
Stock-based compensation, net											2,112			2,112
Stock-based compensation, net (in shares)									643,662
Tax withholdings related to net share settlement of equity awards											(6,177)			(6,177)
Cumulative translation adjustment												(21)		(21)
Issuance of Common Stock from exercise of warrants											42			42
Issuance of Common Stock from exercise of warrants (in shares)									2,869
Issuance of Common Stock from exercise of stock options											1,252			1,252
Issuance of Common Stock from exercise of stock options (in shares)									410,226
Ending Balances at Mar. 31, 2023									$ 10	$ (23,559)	136,516	(2,595)	131,240	241,612
Ending Balances (In shares) at Mar. 31, 2023									101,373,458	9,430,665
Beginning Balances at Dec. 31, 2022	$ (268)	$ (268)	$ 10	$ (23,559)	$ 139,287	$ (2,574)	$ 87,415	$ 200,579	$ 10	$ (23,559)	139,287	(2,574)	87,683	200,847
Beginning Balances (In Shares) at Dec. 31, 2022			100,316,701	9,430,665					100,316,701	9,430,665
Net income														135,857
Cumulative translation adjustment														(47)
Ending Balances at Sep. 30, 2023									$ 10	$ (23,559)	141,169	(2,621)	223,272	338,271
Ending Balances (In shares) at Sep. 30, 2023									101,660,601	9,430,665
Beginning Balances at Mar. 31, 2023									$ 10	$ (23,559)	136,516	(2,595)	131,240	241,612
Beginning Balances (In Shares) at Mar. 31, 2023									101,373,458	9,430,665
Net income													46,453	46,453
Stock-based compensation, net											2,337			2,337
Stock-based compensation, net (in shares)									207,288
Tax withholdings related to net share settlement of equity awards											(241)			(241)
Cumulative translation adjustment												(5)		(5)
Issuance of Common Stock from exercise of warrants											167			167
Issuance of Common Stock from exercise of warrants (in shares)									14,500
Ending Balances at Jun. 30, 2023									$ 10	$ (23,559)	138,779	(2,600)	177,693	290,323
Ending Balances (In shares) at Jun. 30, 2023									101,595,246	9,430,665
Net income													45,579	45,579
Stock-based compensation, net											2,646			2,646
Stock-based compensation, net (in shares)									19,967
Tax withholdings related to net share settlement of equity awards											(400)			(400)
Cumulative translation adjustment												(21)		(21)
Issuance of Common Stock from exercise of warrants											144			144
Issuance of Common Stock from exercise of warrants (in shares)									45,388
Ending Balances at Sep. 30, 2023									$ 10	$ (23,559)	$ 141,169	$ (2,621)	$ 223,272	$ 338,271
Ending Balances (In shares) at Sep. 30, 2023									101,660,601	9,430,665

Unaudited Consolidated Statem_3

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net income	$ 135,857	$ 42,367
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	54,648	37,582
Amortization of intangible assets	10,076	10,079
Noncash operating lease expense	13,878
Accretion of asset retirement obligation	131	126
Amortization of deferred financing costs	2,441	3,483
Amortization of original issue discount	437	526
Change in fair value of warrant liabilities	(1,809)	20,374
Stock-based compensation expense	13,948	13,669
(Gain) loss on disposal of specialty rental assets and other property, plant and equipment	137	(101)
Loss on extinguishment of debt	2,128
Deferred income taxes	33,231	14,918
Provision for loss on receivables, net of recoveries	90	334
Changes in operating assets and liabilities
Accounts receivable	(17,677)	(13,183)
Prepaid expenses and other assets	5,565	(737)
Accounts payable and other accrued liabilities	(19,138)	490
Deferred revenue and customer deposits	(106,112)	126,764
Operating lease obligation	(10,172)
Other non-current assets and liabilities	853	1,132
Net cash provided by operating activities	118,512	257,823
Cash flows from investing activities:
Purchase of specialty rental assets	(53,662)	(84,244)
Purchase of property, plant, and equipment	(2,941)	(20,028)
Acquired intangible assets	(4,547)
Proceeds from sale of specialty rental assets and other property, plant and equipment	241	615
Net cash used in investing activities	(60,909)	(103,657)
Cash flows from financing activities:
Principal payments on finance and finance lease obligations	(1,037)	(442)
Principal payments on borrowings from ABL Facility		(70,000)
Proceeds from borrowings on ABL Facility		70,000
Repayment of Senior Notes	(125,000)
Payment of issuance costs from warrant exchange	(1,504)
Proceeds from issuance of Common Stock from exercise of warrants	209
Proceeds from issuance of Common Stock from exercise of options	1,396
Payment of deferred financing costs	(1,423)
Taxes paid related to net share settlement of equity awards	(6,818)	(121)
Net cash used in financing activities	(134,177)	(563)
Effect of exchange rate changes on cash and cash equivalents	5	(22)
Net (decrease) increase in cash and cash equivalents	(76,569)	153,581
Cash and cash equivalents - beginning of period	181,673	23,406
Cash and cash equivalents - end of period	105,104	176,987
Non-cash investing and financing activity:
Non-cash change in accrued capital expenditures	(2,987)	(9,019)
Non-cash change in finance lease obligations	$ (1,223)	$ (761)

Organization and Nature of Oper

Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies
Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies	1. Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies Organization and Nature of Operations Target Hospitality Corp. (“Target Hospitality” and, together with its subsidiaries, the “Company”) was formed on March 15, 2019 and is one of North America’s largest providers of vertically integrated specialty rental and value-added hospitality services. The Company provides vertically integrated specialty rental and comprehensive hospitality services including: catering and food services, maintenance, housekeeping, grounds-keeping, security, health and recreation services, overall workforce community management, and laundry service. Target Hospitality serves clients in the natural resources development and government sectors principally located in the West Texas, South Texas, New Mexico and Midwest regions. The Company, whose securities are listed on the Nasdaq Capital Market, together with its wholly owned subsidiaries, Topaz Holdings LLC, a Delaware limited liability company (“Topaz”), and Arrow Bidco, LLC, a Delaware limited liability company (“Arrow Bidco”), serve as the holding companies for the businesses of Target Logistics Management, LLC and its subsidiaries (“Target”) and RL Signor Holdings, LLC (“Signor”). TDR Capital LLP indirectly owns approximately 64% of Target Hospitality and the remaining ownership is broken out among the founders of the Company’s legal predecessor, Platinum Eagle Acquisition Corp. (“Platinum Eagle” or “PEAC”), investors who purchased the shares of Platinum Eagle in a private placement transaction, and other public shareholders. Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) pertaining to interim financial information. Certain information in footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) has been condensed or omitted pursuant to those rules and regulations. The financial statements included in this report should be read in conjunction with Target Hospitality’s Annual Report on the Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”). The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the operating results that may be expected for the full fiscal year ending December 31, 2023 or any future period. The accompanying unaudited consolidated financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of financial position as September 30, 2023, and results of operations for the three and nine months ended September 30, 2023 and 2022, and cash flows for the nine months ended September 30, 2023 and 2022. The consolidated balance sheet as of December 31, 2022, was derived from the audited consolidated balance sheets of Target Hospitality, but does not contain all of the footnote disclosures from those annual financial statements. Use of Estimates The preparation of financial statements in conformity with US GAAP requires the use of estimates and assumptions by management in determining the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. If the underlying estimates and assumptions upon which the financial statements are based change in future periods, actual amounts may differ from those included in the accompanying unaudited consolidated financial statements. ​ Principles of Consolidation The consolidated financial statements comprise the financial statements of the Company and its subsidiaries that it controls due to ownership of a majority voting interest. Subsidiaries are fully consolidated from the date of acquisition, being the date on which the Company obtains control, and continue to be consolidated until the date when such control ceases. The financial statements of the subsidiaries are prepared for the same reporting period as the Company. All intercompany balances and transactions are eliminated. Revenue Recognition The Company derives revenue from specialty rental and hospitality services, specifically lodging and related ancillary services. Revenue is recognized in the period in which lodging and services are provided pursuant to the terms of contractual relationships with the customers. Certain arrangements contain a lease of lodging facilities to customers. The leases are accounted for as an operating lease under the authoritative guidance for leases and are recognized as income is earned over the term of the lease agreement. Because performance obligations related to specialty rental and hospitality services are satisfied over time, the majority of our revenue is recognized evenly over the contractual term of the arrangement, based on a contractual fixed minimum amount and defined period of performance. Some of our revenue is recognized on a daily basis, for each night a customer stays, at a contractual day rate. Our customers typically contract for accommodation services under committed contracts with terms that most often range from several months to three years. Our payment terms vary by type and location of our customer and the service offered. The time between invoicing and when payment is due is not significant. When lodging and services are billed and collected in advance, recognition of revenue is deferred until services are rendered. Cost of services includes labor, food, utilities, supplies, leasing and other direct costs associated with operating the lodging units as well as repair and maintenance expenses. Cost of rental includes leasing costs, utilities, and other direct costs of maintaining the lodging units. Costs associated with contracts include sales commissions which are expensed as incurred and reflected in selling, general and administrative expenses in the consolidated statements of comprehensive income. Additionally, the Company collects sales, use, occupancy and similar taxes, which the Company presents on a net basis (excluded from revenues) in the consolidated statements of comprehensive income. Recently Adopted Accounting Standards In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses ASU 2016-13, Topic 326, or ASC 326 Codification Improvements to Topic 326, Financial Instruments - Credit Losses ​ The following table presents the impact of the adoption of ASC 326 on the consolidated balance sheet as of January 1, 2023: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance ​ ​ ​ ​ Balance ​ Pre-Adoption ​ Adjustments Post-Adoption Accounts receivable, less allowance for doubtful accounts ​ $ 42,153 ​ $ (268) ​ $ 41,885 Accumulated earnings ​ $ 87,683 ​ $ (268) ​ $ 87,415 ​

Revenue

Revenue	9 Months Ended
	Sep. 30, 2023
Revenue
Revenue	2. Revenue Total revenue recognized under ASC 606 was $280.9 million and $236.0 million for the nine months ended September 30, 2023 and 2022, respectively, while specialty rental income was $156.5 million and $113.5 million subject to the guidance of ASC 842 for the nine months ended September 30, 2023 and 2022, respectively. Total revenue recognized under ASC 606 was $93.5 million and $103.0 million for the three months ended September 30, 2023 and 2022, respectively, while specialty rental income was $52.4 million and $56.6 million subject to the guidance of ASC 842 for the three months ended September 30, 2023 and 2022, respectively. The following table disaggregates our services income by our two reportable segments as well as the All Other category: Hospitality and Facility Services – South (“HFS – South”), Government, and All Other for the dates indicated below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, ​ September 30, ​ ​ 2023 ​ 2022 ​ 2023 ​ 2022 HFS – South ​ $ 36,004 ​ $ 31,936 ​ $ 107,938 ​ $ 93,085 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Government ​ $ 54,662 ​ $ 68,436 ​ $ 164,245 ​ $ 136,251 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ All Other ​ $ 2,872 ​ $ 2,624 ​ $ 8,714 ​ $ 6,705 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total services revenues ​ $ 93,538 ​ $ 102,996 ​ $ 280,897 ​ $ 236,041 ​ Refer to Note 17 – Business Segments, for a discussion of the change in our reportable segments, which was applied to all comparison periods, including the above table. Allowance for Credit Losses The Company maintains allowances for credit losses. These allowances reflect our estimate of the amount of our receivables that we will be unable to collect based on historical write-off experience and, as applicable, current conditions and reasonable and supportable forecasts that affect collectability. Our estimate could require a change based on changing circumstances, including changes in the economy or in the circumstances of individual customers. Contract Assets and Liabilities We do not have any contract assets. Contract liabilities primarily consist of deferred revenue that represent payments for room nights that the customer may use in the future as well as advanced payments for community builds, and mobilization of asset activities related to community expansions that are being recognized over the related contract period. Activity in the deferred revenue accounts as of the dates indicated below was as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For Nine Months Ended ​ ​ September 30, ​ 2023 ​ 2022 Balances at Beginning of the Period ​ $ 125,519 ​ $ 34,411 Additions to deferred revenue ​ — ​ 173,146 Revenue recognized ​ (106,112) ​ (46,382) Balances at End of the Period ​ $ 19,407 ​ $ 161,175 ​ As of September 30, 2023, for contracts greater than one year, the following table discloses the estimated revenues under ASC 606 related to performance obligations that are unsatisfied (or partially unsatisfied) and when we expect to recognize the revenue, and only represents revenue expected to be recognized from contracts where the price and quantity of the product or service are fixed: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended December 31, ​ 2023 2024 ​ 2025 ​ 2026 ​ 2027 Total Revenue expected to be recognized as of September 30, 2023 ​ $ 31,035 ​ $ 39,311 ​ $ 20,207 ​ $ 14,328 ​ $ - ​ $ 104,881 ​ The Company applied some of the practical expedients in ASC 606, including the “right to invoice” practical expedient, and does not disclose consideration for remaining performance obligations with an original expected duration of one year or less or for variable consideration related to unsatisfied (or partially unsatisfied) performance obligations for contracts without minimum revenue commitments. Due to the application of these practical expedients as well as excluding rental income revenue subject to the guidance included in ASC 842, the table above represents only a portion of the Company’s expected future consolidated revenues and it is not necessarily indicative of the expected trend in total revenues.

Specialty Rental Assets, Net

Specialty Rental Assets, Net	9 Months Ended
	Sep. 30, 2023
Specialty Rental Assets, Net
Specialty Rental Assets, Net	3. Specialty Rental Assets, Net Specialty rental assets, net at the dates indicated below consisted of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Specialty rental assets ​ $ 745,849 ​ $ 698,095 Construction-in-process ​ 4,476 ​ 4,653 Less: accumulated depreciation ​ (390,161) ​ (345,619) Specialty rental assets, net ​ $ 360,164 ​ $ 357,129 ​ ​ Depreciation expense related to specialty rental assets was $53.2 million and $36.5 million for the nine months ended September 30, 2023 and 2022, respectively, and is included in depreciation of specialty rental assets in the consolidated statements of comprehensive income. For the three months ended September 30, 2023 and 2022, depreciation expense of specialty rental assets was $17.7 million and $11.9 million, respectively, and is included in depreciation of specialty rental assets in the consolidated statements of comprehensive income. During the nine months ended September 30, 2023, the Company disposed of assets with accumulated depreciation of approximately $8.7 million along with the related gross cost of approximately $9.1 million. These disposals were primarily associated with fully depreciated asset retirement costs as well as a sale of assets. These asset disposals resulted in disposal costs of approximately $1.2 million and a net loss on the sales and disposal of assets of approximately $0.2 million (net of sale proceeds of approximately $0.2 million) and is reported within other expense (income), net in the accompanying consolidated statement of comprehensive income for the nine months ended September 30, 2023. ​ In January 2023, the Company purchased a group of assets consisting of land, specialty rental assets (modular units, site work, and furniture & fixtures) and intangibles for approximately $18.6 million, of which approximately $13.2 million is included within this asset group, to support growth of the HFS – South segment discussed in Note 17, which was funded by cash on hand. The acquisition was accounted for as an asset acquisition. The Company allocated the total purchase price to identifiable tangible and intangible assets based on their relative fair values, which resulted in the entire purchase price being allocated to land, specialty rental assets and intangible assets. ​ In April 2023, the Company purchased a group of assets consisting of land and specialty rental assets (modular units, site work, and furniture & fixtures) for approximately $5.0 million, of which approximately $4.6 million is included within this asset group, to support growth of the Government segment discussed in Note 17, which was funded by cash on hand. The acquisition was accounted for as an asset acquisition. The Company allocated the total purchase price to identifiable tangible assets based on their relative fair values, which resulted in the entire purchase price being allocated to land and specialty rental assets.

Other Property, Plant and Equip

Other Property, Plant and Equipment, Net	9 Months Ended
	Sep. 30, 2023
Other Property, Plant and Equipment, Net
Other Property, Plant and Equipment, Net	4. Other Property, Plant and Equipment, Net Other property, plant and equipment, net at the dates indicated below, consisted of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Land ​ $ 31,109 ​ $ 28,483 Buildings and leasehold improvements ​ 799 ​ 769 Machinery and office equipment ​ 1,766 ​ 1,581 Other ​ 8,305 ​ 7,341 ​ ​ 41,979 ​ 38,174 Less: accumulated depreciation ​ (7,389) ​ (6,276) Total other property, plant and equipment, net ​ $ 34,590 ​ $ 31,898 ​ Depreciation expense related to other property, plant and equipment was $1.4 million and $1.1 million for the nine months ended September 30, 2023 and 2022, respectively, and is included in other depreciation and amortization in the consolidated statements of comprehensive income. For the three months ended September 30, 2023 and 2022, depreciation expense related to other property, plant and equipment was $0.5 million and $0.3 million, respectively, and is included in other depreciation and amortization in the consolidated statements of comprehensive income. ​ In January 2023, the Company purchased a group of assets consisting of land, specialty rental assets (modular units, site work, and furniture & fixtures) and intangibles for approximately $18.6 million, of which approximately $0.9 million is included within this asset group related to the land portion of the acquisition, to support growth of the HFS – South segment discussed in Note 17, which was funded by cash on hand. The acquisition was accounted for as an asset acquisition. The Company allocated the total purchase price to identifiable tangible and intangible assets based on their relative fair values, which resulted in the entire purchase price being allocated to land, specialty rental assets and intangible assets. ​ In April 2023, the Company purchased a group of assets consisting of land and specialty rental assets (modular units, site work, and furniture & fixtures) for approximately $5.0 million, of which approximately $0.4 million is included within this asset group, to support growth of the Government segment discussed in Note 17, which was funded by cash on hand. The acquisition was accounted for as an asset acquisition. The Company allocated the total purchase price to identifiable tangible assets based on their relative fair values, which resulted in the entire purchase price being allocated to land and specialty rental assets. ​ During the three months ended September 30, 2023, the Company purchased land for approximately $1.3 million, all of which is included within this asset group, to support growth in the Government segment discussed in Note 17, which was funded by cash on hand.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets, net	9 Months Ended
	Sep. 30, 2023
Goodwill and Other Intangible Assets, net
Goodwill and Other Intangible Assets, net	5. Goodwill and Other Intangible Assets, net The financial statements reflect goodwill from previous acquisitions that is all attributable to the HFS – South business segment and reporting unit. Changes in the carrying amount of goodwill were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ HFS - South Balance at January 1, 2022 ​ $ 41,038 Changes in Goodwill ​ ​ - Balance at December 31, 2022 ​ ​ 41,038 Changes in Goodwill ​ ​ - Balance at September 30, 2023 ​ $ 41,038 ​ Intangible assets other than goodwill at the dates indicated below consisted of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 ​ ​ Weighted ​ Gross ​ ​ ​ ​ ​ ​ ​ average ​ Carrying ​ Accumulated ​ Net Book ​ remaining lives Amount Amortization Value Intangible assets subject to amortization ​ ​ ​ Customer relationships 4.1 ​ $ 133,105 ​ $ (80,150) ​ $ 52,955 Non-compete agreement ​ 4.3 ​ ​ 349 ​ ​ (49) ​ ​ 300 Total ​ ​ ​ ​ 133,454 ​ ​ (80,199) ​ ​ 53,255 Indefinite lived assets: ​ ​ ​ Tradenames ​ 16,400 ​ — ​ 16,400 Total intangible assets other than goodwill ​ $ 149,854 ​ $ (80,199) ​ $ 69,655 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ ​ Weighted ​ Gross ​ ​ ​ ​ ​ ​ ​ average ​ Carrying ​ Accumulated ​ Net Book ​ remaining lives Amount Amortization Value Intangible assets subject to amortization ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Customer relationships 4.6 $ 128,907 $ (70,125) $ 58,782 Total ​ ​ ​ ​ 128,907 ​ ​ (70,125) ​ ​ 58,782 Indefinite lived assets: ​ ​ ​ Tradenames ​ 16,400 ​ — ​ 16,400 Total intangible assets other than goodwill ​ $ 145,307 ​ $ (70,125) ​ $ 75,182 ​ For the nine months ended September 30, 2023 and 2022, amortization expense related to intangible assets was $10.1 million and $10.1 million, respectively, and is included in other depreciation and amortization in the consolidated statements of comprehensive income. For the three months ended September 30, 2023 and 2022, amortization expense related to intangible assets was $3.4 million and $3.2 million, respectively. In January 2023, the Company purchased a group of assets consisting of land, specialty rental assets (modular units, site work, and furniture & fixtures) and intangibles for approximately $18.6 million, of which approximately $4.5 million is included within this intangible asset group comprised of approximately $4.2 million of customer relationships and approximately $0.3 million related to a non-compete agreement. This acquisition was completed in order to support growth of the HFS – South segment discussed in Note 17, which was funded by cash on hand. The acquisition was accounted for as an asset acquisition. The Company allocated the total purchase price to identifiable tangible and intangible assets based on their relative fair values, which resulted in the entire purchase price being allocated to land, specialty rental assets and intangible assets. The estimated aggregate amortization expense as of September 30, 2023 for each of the next five years and thereafter is as follows: ​ ​ ​ ​ ​ Rest of 2023 $ 3,373 2024 ​ ​ 13,475 2025 ​ ​ 13,475 2026 ​ ​ 12,879 2027 ​ ​ 8,270 Thereafter ​ ​ 1,783 Total ​ $ 53,255 ​

Other Non-Current Assets

Other Non-Current Assets	9 Months Ended
	Sep. 30, 2023
Other Non-Current Assets
Other Non-Current Assets	6. Other Non-Current Assets Other non-current assets includes capitalized software implementation costs for the implementation of cloud computing systems. As of the dates indicated below, capitalized implementation costs and related accumulated amortization in other non-current assets on the consolidated balance sheets amounted to the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Cloud computing implementation costs ​ $ 7,332 ​ $ 7,198 Less: accumulated amortization ​ ​ (6,333) ​ ​ (5,357) Other non-current assets ​ $ 999 ​ $ 1,841 ​ The majority of such systems were placed into service beginning January of 2020 at which time the Company began to amortize these capitalized costs on a straight-line basis over the period of the remaining service arrangements of between 2 and 4 years.

Accrued Liabilities

Accrued Liabilities	9 Months Ended
	Sep. 30, 2023
Accrued Liabilities.
Accrued Liabilities	7. Accrued Liabilities Accrued liabilities as of the dates indicated below consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Employee accrued compensation expense ​ $ 6,381 ​ $ 11,873 Other accrued liabilities ​ 24,131 ​ 18,230 Accrued interest on debt ​ ​ 949 ​ ​ 9,539 Total accrued liabilities ​ $ 31,461 ​ $ 39,642 ​ Other accrued liabilities in the above table relates primarily to accrued utilities, real estate and sales taxes, state and federal income taxes, and other accrued operating expenses.

Debt

Debt	9 Months Ended
	Sep. 30, 2023
Debt
Debt	8. Debt Senior Secured Notes 2024 On March 15, 2019, Arrow Bidco issued $340 million in aggregate principal amount of 9.50% senior secured notes due March 15, 2024 (the “2024 Senior Secured Notes” or “Notes”) under an indenture dated March 15, 2019 (the “Indenture”) by and among Arrow Bidco, the guarantors named therein (the “Note Guarantors”), and Deutsche Bank Trust Company Americas, as trustee and as collateral agent. Interest is payable semi-annually on September 15 and March 15 and began September 15, 2019. On March 15, 2023, Arrow Bidco redeemed $125 million in aggregate principal amount of the outstanding Notes. The redemption was accounted for as a partial extinguishment of debt. Refer to the table below for the components of the amounts related to the Notes, which are recognized as a current liability within the current portion of long-term debt, net in the accompanying consolidated balance sheet as of September 30, 2023. ​ ​ ​ ​ ​ ​ September 30, ​ ​ 2023 Principal amount of 9.50% Senior Secured Notes, due 2024 ​ $ 209,500 Less: unamortized original issue discount ​ ​ (236) Less: unamortized term loan deferred financing costs ​ ​ (1,138) Current portion of long-term debt, net ​ $ 208,126 ​ If Arrow Bidco undergoes a change of control or sells certain of its assets, Arrow Bidco may be required to offer to repurchase the Notes. Arrow Bidco at its option, may redeem the Notes, in whole or part, upon not less than fifteen (15) and not more than sixty (60) days’ prior written notice to holders and not less than twenty (20) days’ prior written notice to the trustee (or such shorter timeline as the trustee may agree), at the redemption price expressed as a percentage of principal amount set forth below, plus accrued and unpaid interest thereon but not including the applicable redemption date (subject to the right of Note holders on the relevant record date to receive interest due on an interest payment date falling on or prior to the redemption date), if redeemed during the 12-month period beginning March 15 of each of the years set below. ​ ​ ​ ​ ​ ​ Redemption Year Price 2023 and thereafter ​ 100.000% ​ Arrow Bidco exercised this redemption option for the first time on March 15, 2023 to redeem $125 million of the Notes as discussed above. The Notes are unconditionally guaranteed by Topaz and each of Arrow Bidco’s direct and indirect wholly-owned domestic subsidiaries (collectively, the “Note Guarantors”). Target Hospitality is not an issuer or a guarantor of the Notes. The Note Guarantors are either borrowers or guarantors under the ABL Facility (as defined below). To the extent lenders under the ABL Facility release the guarantee of any Note Guarantor, such Note Guarantor is also released from obligations under the Notes. These guarantees are secured by a second priority security interest in substantially all of the assets of Arrow Bidco and the Note Guarantors (subject to customary exclusions). The guarantees of the Notes by TLM Equipment, LLC, a Delaware limited liability company which holds certain of Target Hospitality’s assets, are subordinated to its obligations under the ABL Facility. The Notes contain certain negative covenants, including limitations that restrict Arrow Bidco’s ability and the ability of certain of its subsidiaries, to directly or indirectly, create additional financial obligations. With certain specified exceptions, these negative covenants prohibit Arrow Bidco and certain of its subsidiaries from: creating or incurring additional debt; paying dividends or making any other distributions with respect to its capital stock; making loans or advances to Arrow Bidco or any restricted subsidiary of Arrow Bidco; selling, leasing or transferring any of its property or assets to Arrow Bidco or any restricted subsidiary of Arrow Bidco; directly or indirectly creating, incurring or assuming any lien of any kind securing debt on the collateral; or entering into any sale and leaseback transaction. In connection with the issuance of the Notes, there was an original issue discount of approximately $3.3 million and the unamortized balance of approximately $0.2 million is included as a reduction of the principal within current portion of long-term debt, net on the consolidated balance sheet as of September 30, 2023. The discount is amortized over the life of the Notes using the effective interest method. Arrow Bidco’s ultimate parent, Target Hospitality, has no significant independent assets or operations except as included in the guarantors of the 2024 Senior Secured Notes, the guarantees under the Notes are full and unconditional and joint and several, and any subsidiaries of Target Hospitality that are not subsidiary guarantors of the Notes are minor. There are also no significant restrictions on the ability of Target Hospitality or any guarantor to obtain funds from its subsidiaries by dividend or loan. See discussion of certain negative covenants above. Therefore, pursuant to the SEC Rules, no individual guarantor financial statement disclosures are deemed necessary. On September 29, 2023, Arrow Bidco commenced (i) an offer to exchange (the “Notes Exchange Offer”) any and all of its outstanding 2024 Senior Secured Notes for cash and for Arrow Bidco’s new 10.75% Senior Secured Notes due 2025 (the “2025 Senior Secured Notes”) and (ii) a solicitation of consents (the “Consent Solicitation”) to certain proposed amendments to the indenture governing the 2024 Senior Secured Notes. The Exchange Offer will extend the maturity date of the indebtedness represented by the 2024 Senior Secured Notes from 2024 to 2025. The 2025 Senior Secured Notes will mature on June 15, 2025; provided that if any 2024 Senior Secured Notes remain outstanding on March 15, 2024, then the 2025 Senior Secured Notes will mature on March 15, 2024 at a make-whole price. The 2025 Senior Secured Notes will bear interest at a rate per annum equal to 10.75% . The Notes Exchange Offer and the Consent Solicitation expired on October 30, 2023. Refer to Note 18 for additional discussion of the Exchange Offer, particularly the settlement thereof effective subsequent to September 30, 2023. Finance Lease and Other Financing Obligations The Company’s finance lease and other financing obligations as of September 30, 2023 consisted of approximately $2.4 million of finance leases. The finance leases pertain to leases entered into during 2019 through September 30, 2023, for commercial-use vehicles with 36-month The Company’s finance lease and other financing obligations as of December 31, 2022 consisted of approximately $2.2 million of finance leases related to commercial-use vehicles with the same terms as described above. ABL Facility On March 15, 2019, Topaz, Arrow Bidco, Target, Signor and each of their domestic subsidiaries entered into an ABL credit agreement that provides for a senior secured asset based revolving credit facility in the aggregate principal amount of up to $125 million (as amended on February 1, 2023, the “ABL Facility”). Refer to Note 18 for additional discussion of the ABL Facility, particularly the increase in the aggregate principal capacity amount as a result of a third amendment effective subsequent to September 30, 2023. During the nine months ended September 30, 2023, no amounts were drawn or repaid In accordance with the First Amendment to the ABL Facility on February 1, 2023 (the “First Amendment”), the reference interest rate for LIBOR borrowings changed from LIBOR to Term SOFR (commencing as of the effective date of the First Amendment). Borrowings under the ABL Facility, at the relevant borrower’s (the borrowers under the ABL Facility, the “Borrowers”) option, bear interest at either (1) Term SOFR or (2) a base rate, in each case plus an applicable margin. The applicable margin is 2.25% to 2.75% with respect to Term SOFR borrowings and 1.25% to 1.75% with respect to base rate borrowings. The applicable margin was changed as a result of the third amendment discussed in Note 18. The ABL Facility provides borrowing availability of an amount equal to the lesser of (i) (a) $125 million and (b) the Borrowing Base (defined below) (the “Line Cap”). The Borrowing Base is, at any time of determination, an amount (net of reserves) equal to the sum of: ● 85% of the net book value of the Borrowers’ eligible accounts receivables, plus ● the lesser of (i) 95% of the net book value of the Borrowers’ eligible rental equipment and (ii) 85% of the net orderly liquidation value of the Borrowers’ eligible rental equipment, minus ● customary reserves The ABL Facility includes borrowing capacity available for standby letters of credit of up to $25 million and for ‘‘swingline’’ loan borrowings of up to $15 million. Any issuance of letters of credit or making of a swingline loan will reduce the amount available under the ABL Facility. In addition, the ABL Facility will provide the Borrowers with the option to increase commitments under the ABL Facility in an aggregate amount not to exceed $75 million plus any voluntary prepayments that are accompanied by permanent commitment reductions under the ABL Facility. As a result of the First Amendment, the termination date of the ABL Facility was extended from September 15, 2023 to February 1, 2028, which extended termination date is subject to a springing maturity that will accelerate the maturity of the ABL Facility. On August 10, 2023, Arrow Bidco and certain of the Company’s other subsidiaries entered into a second amendment (the “Second Amendment”) to the ABL Facility. The Second Amendment amends the ABL Facility to, among other things, modify the springing maturity that will accelerate the maturity of the ABL Facility if any of the 2024 Senior Secured Notes remain outstanding from the date that is six months prior to the stated maturity date thereof to the date that is ninety-one days prior to the stated maturity date thereof. The obligations under the ABL Facility are unconditionally guaranteed by Topaz and each existing and subsequently acquired or organized direct or indirect wholly-owned U.S. organized restricted subsidiary of Arrow Bidco (together with Topaz, the “ABL Guarantors”), other than certain excluded subsidiaries. The ABL Facility is secured by (i) a first priority pledge of the equity interests of Topaz, Arrow Bidco, Target, and Signor and of each direct, wholly-owned US organized restricted subsidiary of any Borrower or any ABL Guarantor, (ii) a first priority pledge of up to 65% of the voting equity interests in each non-US restricted subsidiary of any Borrower or ABL Guarantor and (iii) a first priority security interest in substantially all of the assets of the Borrower and the ABL Guarantors (in each case, subject to customary exceptions). The ABL Facility requires the Borrowers to maintain a (i) minimum fixed charge coverage ratio of 1.00:1.00 and (ii) maximum total net leverage ratio of 4.00:1.00, at any time when the excess availability under the ABL Facility is less than the greater of (a) $15.625 million and (b) 12.5% of the Line Cap. The financial ratio tests were changed as a result of the Third Amendment discussed in Note 18. The ABL Facility also contains a number of customary negative covenants. Such covenants, among other things, limit or restrict the ability of each of the Borrowers, their restricted subsidiaries, and where applicable, Topaz, to: ● incur additional indebtedness, issue disqualified stock and make guarantees; ● incur liens on assets; ● engage in mergers or consolidations or fundamental changes; ● sell assets; ● pay dividends and distributions or repurchase capital stock; ● make investments, loans and advances, including acquisitions; ● amend organizational documents and master lease documents; ● enter into certain agreements that would restrict the ability to pay dividends; ● repay certain junior indebtedness; and ● change the conduct of its business. The aforementioned restrictions are subject to certain exceptions including (i) the ability to incur additional indebtedness, liens, investments, dividends and distributions, and prepayments of junior indebtedness subject, in each case, to compliance with certain financial metrics and certain other conditions and (ii) a number of other traditional exceptions that grant the Borrowers continued flexibility to operate and develop their businesses. The ABL Facility also contains certain customary representations and warranties, affirmative covenants and events of default. The carrying value of debt outstanding as of the dates indicated below consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Finance lease and other financing obligations ​ $ 2,351 ​ $ 2,223 ABL Facility ​ — ​ — 9.50% Senior Secured Notes due 2024, face amount ​ ​ 209,500 ​ ​ 334,500 Less: unamortized original issue discount ​ ​ (236) ​ ​ (971) Less: unamortized term loan deferred financing costs ​ ​ (1,138) ​ ​ (4,681) Total debt, net ​ 210,477 ​ 331,071 Less: current maturities ​ (209,428) ​ (1,135) Total long-term debt ​ $ 1,049 ​ $ 329,936 ​ Interest expense, net The components of interest expense, net (which includes interest expense incurred) recognized in the unaudited consolidated statements of comprehensive income for the periods indicated below consist of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ September 30, ​ September 30, ​ September 30, ​ September 30, ​ 2023 2022 ​ 2023 2022 Interest incurred on finance lease and other financing obligations $ 56 ​ $ 15 ​ $ 148 ​ $ 43 Interest expense incurred on ABL Facility and Notes ​ 5,096 ​ ​ 8,599 ​ ​ 17,660 ​ ​ 25,166 Amortization of deferred financing costs on ABL Facility and Notes ​ 688 ​ ​ 1,186 ​ ​ 2,441 ​ ​ 3,483 Amortization of original issue discount on Notes 124 ​ ​ 180 ​ 437 ​ ​ 526 Interest capitalized ​ — ​ ​ (942) ​ ​ — ​ ​ (942) Interest income ​ (1,011) ​ ​ (150) ​ ​ (2,960) ​ ​ (150) Interest expense, net $ 4,953 ​ $ 8,888 ​ $ 17,726 ​ $ 28,126 ​ Deferred Financing Costs and Original Issue Discount The Company presents unamortized deferred financing costs and unamortized original issue discount as a direct deduction from the principal amount of the Notes on the consolidated balance sheets as of September 30, 2023 and December 31, 2022. Accumulated amortization expense related to the deferred financing costs was approximately $13.3 million and $11.2 million as of September 30, 2023 and December 31, 2022, respectively. Accumulated amortization of the original issue discount was approximately $2.8 million and $2.3 million as of September 30, 2023 and December 31, 2022, respectively. As previously mentioned, the partial redemption of the 2024 Senior Secured Notes on March 15, 2023 was accounted for as a partial extinguishment of debt and consequently, a portion of the unamortized deferred financing costs and unamortized original issue discount were expensed through loss on extinguishment of debt on the consolidated statement of comprehensive income as of the prepayment date. The Company recognized a charge of approximately $1.7 million in loss on extinguishment of debt related to the write-off of unamortized deferred financing costs and unamortized original issue discount for the nine months ended September 30, 2023 . Accumulated amortization related to revolver deferred financing costs for the ABL Facility was approximately $5.1 million and $4.8 million as of September 30, 2023 and December 31, 2022, respectively. Revolver deferred financing costs are presented on the consolidated balance sheets as of September 30, 2023 and December 31, 2022 within deferred financing costs revolver, net. In connection with the First Amendment, which was considered a modification for accounting purposes, any unamortized deferred financing costs from the ABL Facility that pertained to non-continuing lenders were expensed through loss on extinguishment of debt on the consolidated statement of comprehensive income as of the amendment date. As such, the Company recognized a charge of approximately $0.4 million in loss on extinguishment of debt related to the write-off of unamortized deferred financing costs pertaining to non-continuing lenders for the nine months ended September 30, 2023. As the borrowing capacity of each of the continuing lenders on the amended ABL Facility was greater than the borrowing capacity of the ABL Facility before the amendment, the unamortized deferred financing costs at the time of the modification of approximately $0.4 million associated with the continuing lenders was deferred and amortized over the remaining term of the ABL Facility. Additionally, the Company incurred and paid approximately $1.4 million of deferred financing costs as a result of the ABL Facility amendment, which are capitalized and presented on the consolidated balance sheet as of September 30, 2023 within deferred financing costs revolver, net. These costs are amortized over the contractual term of the line-of-credit through the maturity date using the straight-line method. Refer to the components of interest expense in the table above for the amounts of the amortization expense related to the deferred financing costs and original issue discount recognized for each of these debt instruments for the three and nine months ended September 30, 2023 and 2022, respectively. Future maturities The aggregate annual principal maturities of debt and finance lease obligations for each of the next five years and thereafter, based on contractual terms are listed in the table below. ​ The schedule of future maturities as of September 30, 2023, consists of the following: ​ ​ ​ ​ ​ Rest of 2023 $ 252 2024 ​ 210,682 2025 ​ 783 2026 ​ 134 Total ​ $ 211,851 ​

Warrant Liabilities

Warrant Liabilities	9 Months Ended
	Sep. 30, 2023
Warrant Liabilities
Warrant Liabilities	9. Warrant Liabilities On January 17, 2018, Harry E. Sloan, Joshua Kazam, Fredric D. Rosen, the Sara L. Rosen Trust and the Samuel N. Rosen 2015 Trust, purchased from PEAC an aggregate of 5,333,334 warrants at a price of $1.50 per warrant (for an aggregate purchase price of $8.0 million) in a private placement (the “Private Warrants”) that occurred simultaneously with the completion of its initial public offering. Each Private Warrant entitles the holder to purchase one share of Common Stock at $11.50 per share. The purchase price of the Private Warrants was added to the proceeds from the Public Offering and was held in the Trust Account until the formation of the Company on March 15, 2019. The Private Warrants (including the shares of Common Stock issuable upon exercise of the Private Warrants) were not transferable, assignable or salable until 30 days after the formation of the Company on March 15, 2019, and they may be exercised on a cashless basis and are non-redeemable so long as they are held by the initial purchasers of the Private Warrants or their permitted transferees. The Company evaluated the Private Warrants under ASC 815-40, Derivatives and Hedging—Contracts in Entity’s Own Equity Subsequent changes in the estimated fair value of the Private Warrants are reflected in the change in fair value of warrant liabilities in the accompanying consolidated statements of comprehensive income. The change in the estimated fair value of the Private Warrants resulted in a loss (gain) of approximately ($1.8) million and $20.4 million for the nine months ended September 30, 2023 and 2022, respectively. For the three months ended September 30, 2023 and 2022, the change in the estimated fair value of the Private Warrants resulted in a loss of approximately $2.6 million and $20.0 million, respectively. As of September 30, 2023 and 2022, 1,533,334 and 5,333,334, Private Warrants were outstanding, respectively, which expire no later than March 15, 2024 if they remain unredeemed. As of September 30, 2023, the Private Warrants were classified as current warrant liabilities in the accompanying consolidated balance sheet. The Company determined the following estimated fair values for the outstanding Private Warrants as of the dates indicated below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 ​ 2022 Warrant liabilities ​ $ 7,927 ​ $ 9,737 Total ​ $ 7,927 ​ $ 9,737 ​

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2023
Income Taxes
Income Taxes	10. Income Taxes Income tax expense was approximately $40.5 million and $19.3 million for the nine months ended September 30, 2023 and 2022 respectively. For the three months ended September 30, 2023 and 2022, income tax expense was approximately $14.6 million and $12.0 million, respectively. The effective tax rate for the three months ended September 30, 2023 and 2022, was 24.3% and 38.7%, respectively. The effective tax rate for the nine months ended September 30, 2023 and 2022, was 23.0% and 31.3%. The fluctuation in the rate for the three and nine months ended September 30, 2023 and 2022, respectively, results primarily from the relationship of year-to-date income before income tax for the three and nine months ended September 30, 2023 and 2022, respectively. ​ The effective tax rates for the three and nine months ended September 30, 2023 and 2022, respectively, differs from the US federal statutory rate of 21% primarily due to nonrecognition of tax benefits for loss jurisdictions, the permanent add-back related to the change in fair value of warrant liabilities on the Company’s warrants, the impact of state tax expense based off of gross receipts, and a compensation deduction limitation. ​ The Company accounts for income taxes in interim periods under ASC 740-270, Income Taxes – Interim Reporting

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2023
Fair Value of Financial Instruments
Fair Value of Financial Instruments	11. Fair Value of Financial Instruments The fair value of the financial assets and liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. The Company has assessed that the fair value of cash and cash equivalents, trade receivables, trade payables, other current liabilities, and other debt approximates their carrying amounts largely due to the short-term maturities or recent commencement of these instruments. The fair value of the ABL Facility is primarily based upon observable market data, such as market interest rates, for similar debt. The fair value of the Notes is based upon observable market data. The Company measured the Private Warrant liabilities at fair value on a recurring basis at each reporting period end as more fully discussed below. Changes in the fair value of the Level 1 & 2 Disclosures: The carrying amounts and fair values of financial assets and liabilities, which are either Level 1 or Level 2, are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 December 31, 2022 Financial Assets (Liabilities) Not Measured at Fair Value Carrying Amount ​ Fair Value Carrying Amount Fair Value ABL Facility (See Note 8) - Level 2 ​ $ — ​ $ — ​ $ — $ — 2024 Senior Secured Notes (See Note 8) - Level 1 ​ $ (208,126) ​ $ (209,605) ​ $ (328,848) ​ $ (335,403) ​ Recurring fair value measurements Level 3 Disclosures: There were 1,533,334 Private Warrants outstanding as of September 30, 2023 and December 31, 2022. Based on the fair value assessment that was performed, the Company determined a fair value price per Private Warrant of $5.17 and $6.35 as of September 30, 2023 and December 31, 2022, respectively. The fair value is classified as Level 3 in the fair value hierarchy due to the use of pricing inputs that are less observable in the marketplace combined with management judgment required for the assumptions underlying the calculation of value. The Company determined the estimated fair value of the Private Warrants using the Black-Scholes option-pricing model. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ ​ ​ December 31, ​ ​ ​ 2023 ​ ​ ​ 2022 Exercise Price ​ $ 11.50 ​ ​ $ 11.50 Stock Price ​ $ 15.88 ​ ​ $ 15.14 Dividend Yield ​ % 0.00 ​ ​ % 0.00 Expected Term (in Years) ​ ​ 0.46 ​ ​ ​ 1.20 Risk-Free Interest Rate ​ % 5.39 ​ ​ % 4.56 Expected Volatility ​ % 57.00 ​ ​ % 70.00 Per Share Value of Warrants ​ $ 5.17 ​ ​ $ 6.35 ​ The following table presents changes in Level 3 liabilities measured at fair value for the three months ended September 30, 2023: ​ ​ ​ ​ ​ ​ ​ Private Placement Warrants Balance at December 31, 2022 ​ $ 9,737 Change in fair value of warrant liabilities ​ ​ (3,711) Balance at March 31, 2023 ​ ​ 6,026 Change in fair value of warrant liabilities ​ ​ (675) Balance at June 30, 2023 ​ ​ 5,351 Change in fair value of warrant liabilities ​ ​ 2,576 Balance at September 30, 2023 ​ $ 7,927 ​ There were no transfers of financial instruments between the three levels of the fair value hierarchy during the nine months ended September 30, 2023 and 2022 and the year ended December 31, 2022.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies.
Commitments and Contingencies	12. Commitments and Contingencies The Company is involved in various lawsuits or claims in the ordinary course of business. Management is of the opinion that there is no pending claim or lawsuit which, if adversely determined, would have a material impact on the financial condition of the Company.

Earnings (Loss) per Share

Earnings (Loss) per Share	9 Months Ended
	Sep. 30, 2023
Earnings (Loss) per Share
Earnings (Loss) per Share	13. Earnings (Loss) per Share Basic earnings (loss) per share (“EPS” or “LPS”) is calculated by dividing net income or loss attributable to Target Hospitality by the weighted average number of shares of Common Stock outstanding during the period. Diluted EPS is computed similarly to basic net income per share, except that it includes the potential dilution that could occur if dilutive securities were exercised. We apply the treasury stock method in the calculation of diluted earnings per share. During periods when net losses are incurred, potential dilutive securities would be anti-dilutive and are excluded from the calculation of diluted loss per share for that period. Net income was recorded for the three and nine months ended September 30, 2023 and 2022. The following table reconciles net income attributable to common stockholders and the weighted average shares outstanding for the basic calculation to the net income attributable to common stockholders and the weighted average shares outstanding for the diluted calculation for the periods indicated below ($ in thousands, except per share amounts): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, ​ September 30, ​ September 30, ​ September 30, ​ ​ 2023 ​ 2022 ​ 2023 2022 Numerator ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income attributable to Common Stockholders - basic $ 45,579 ​ $ 19,022 ​ $ 135,857 ​ $ 42,367 ​ Change in fair value of warrant liabilities ​ — ​ ​ — ​ ​ (1,809) ​ ​ — ​ Net income attributable to Common Stockholders - diluted $ 45,579 ​ $ 19,022 ​ $ 134,048 ​ $ 42,367 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Denominator ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted average shares outstanding - basic ​ 101,620,537 ​ ​ 97,242,170 ​ ​ 101,246,546 ​ ​ 97,086,415 ​ Dilutive effect of outstanding securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants ​ 1,201,020 ​ ​ — ​ ​ 1,728,214 ​ ​ — ​ PSUs ​ 526,674 ​ ​ — ​ ​ 495,718 ​ ​ — ​ SARs ​ 210,299 ​ ​ — ​ ​ 264,269 ​ ​ — ​ Stock Options ​ 427,347 ​ ​ — ​ ​ 545,229 ​ ​ — ​ RSUs ​ 1,107,817 ​ ​ — ​ ​ 1,352,163 ​ ​ — ​ Weighted average shares outstanding - diluted ​ 105,093,694 ​ ​ 97,242,170 ​ ​ 105,632,139 ​ ​ 97,086,415 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income per share - basic $ 0.45 ​ $ 0.20 ​ $ 1.34 ​ $ 0.44 ​ Net income per share - diluted $ 0.43 ​ $ 0.20 ​ $ 1.27 ​ $ 0.44 ​ ​ When liability-classified warrants are in the money and the impact of their inclusion on diluted EPS is dilutive, diluted EPS also assumes share settlement of such instruments through an adjustment to net income available to common stockholders for the fair value (gain) loss on common stock warrant liabilities and inclusion of the number of dilutive shares in the denominator. The Public and Private Warrants representing a total of 16,166,650 shares of the Company’s Common Stock for the three and nine months ended September 30, 2022 were excluded from the computation of diluted EPS because they are considered anti-dilutive. Public warrants representing a total of 6,510,953 shares of the Company’s Common Stock for the three months ended September 30, 2023 were included in the computation of diluted EPS because their effect is dilutive as noted in the above table. Private warrants representing a total of 1,533,334 shares of the Company’s Common Stock for the three months ended September 30, 2023 were excluded from the computation of diluted EPS because they are considered anti-dilutive, while the Public and Private Warrants representing a total 8,044,287 shares of the Company’s Common Stock for the nine months ended September 30, 2023 were included in the computation of diluted EPS because their effect is dilutive as noted in the above table. As discussed in Note 15, stock-based compensation awards were outstanding for the three and nine months ended September 30, 2023 and 2022. These stock-based compensation awards were excluded from the computation of diluted EPS for the three and nine months ended September 30, 2022 because their effect would have been anti-dilutive. For the three and nine months ended September 30, 2023, stock-based compensation awards were included in the computation of diluted EPS because their effect is dilutive as noted in the above table. However, approximately 983,012 of contingently issuable PSUs were excluded from the computation of diluted EPS for the three and nine months ended September 30, 2023 as not all necessary conditions for issuance of these PSUs were satisfied, which includes 45,512 of PSUs that did not meet all of the Company’s Diversification EBITDA criteria (see Note 15) and 937,500 of PSUs issued in 2022 that did not meet all of the specified share price thresholds as discussed in the Company’s 2022 Form 10-K. ​ Shares of treasury stock have been excluded from the computation of EPS.

Stockholders Equity

Stockholders Equity	9 Months Ended
	Sep. 30, 2023
Stockholders Equity
Stockholders' Equity	14. Stockholders’ Equity Common Stock As of September 30, 2023 and December 31, 2022, Target Hospitality had 111,091,266 and 109,747,366 shares of Common Stock, par value $0.0001 per share issued with 101,660,601 and 100,316,701 outstanding, respectively. Each share of Common Stock has one vote. Preferred Shares Target Hospitality is authorized to issue 1,000,000 preferred shares at $0.0001 par value. As of September 30, 2023, no preferred shares were issued and outstanding. Public Warrants On January 17, 2018, PEAC sold 32,500,000 units at a price of $10.00 per unit (the “Units”) in its initial public offering (the “Public Offering”), including the issuance of 2,500,000 Units as a result of the underwriters’ partial exercise of their overallotment option. Each Unit consisted of one Class A ordinary share of PEAC, par value $0.0001 per share (the “Public Shares”), and one-third Each Public Warrant entitles the holder to purchase one share of the Company’s Common Stock at a price of $11.50 per share. No fractional shares will be issued upon exercise of the Public Warrants. If upon exercise of the Public Warrants, a holder would be entitled to receive a fractional interest in a share, the Company will upon exercise, round down to the nearest whole number, the number of shares to be issued to the Public Warrant holder. Each Public Warrant became exercisable 30 days after the formation of the Company. During the three months ended March 31, 2023, holders of Public Warrants exercised 2,869 Public Warrants for shares of Common Stock resulting in the Company receiving cash proceeds of less than $0.1 million and issuing 2,869 shares of Common Stock. During the three months ended June 30, 2023, holders of Public Warrants exercised 14,500 Public Warrants for shares of Common Stock resulting in the Company receiving cash proceeds of approximately $0.2 million and issuing 14,500 shares of Common Stock. As of September 30, 2023, the Company had 6,510,953 Public Warrants issued and outstanding.

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2023
Stock-Based Compensation
Stock-Based Compensation	15. Stock-Based Compensation On February 28, 2023, the Compensation Committee (the “Compensation Committee”) of the Company’s Board of Directors adopted a new form Executive Restricted Stock Unit Agreement (the “RSU Agreement”) and a new form Executive Performance Stock Unit Agreement (the “PSU Agreement” and together with the RSU Agreement, the “Award Agreements”) with respect to the granting of restricted stock units (“RSUs”) and performance restricted stock units (“PSUs”), respectively, under the Target Hospitality Corp. 2019 Incentive Plan (as amended, the “Plan”). The new Award Agreements will be used for all awards to executive officers made on or after March 1, 2023. The RSU Agreement has material terms that are substantially similar to those in the form Executive Restricted Stock Unit Agreement last approved by the Compensation Committee and previously disclosed by the Company. Each PSU awarded under the PSU Agreement represents the right to receive one share of the Company’s common stock, par value $0.0001 per share. PSUs vest and become unrestricted on the third anniversary of the grant date. The number of PSUs that vest pursuant to the PSU Agreement is based on the Company’s Total Shareholder Return (the “TSR Based Award”) performance and the Company’s Diversification EBITDA (as defined in the PSU Agreement) (the “Diversification EBITDA Based Award”), each measured based on the applicable Performance Period specified in the PSU Agreement. The number of PSUs that vest pursuant to the TSR Based Award range from 0% to 200% of the Target Level (as defined in the PSU Agreement) depending upon the achievement of a specified percentile rank during the applicable Performance Period. The number of PSUs that vest pursuant to the Diversification EBITDA Based Award range from 0% to 200% of the Target Level (as defined in the PSU Agreement) depending upon the Company’s Qualifying EBITDA (as defined in the PSU Agreement) during the applicable Performance Period. Vesting of PSUs is contingent upon the executive’s continued employment through the vesting date, unless the executive’s employment is terminated by reason of death, without Cause, for Good Reason, or in the event of a Change in Control (each term as defined in the Plan). Restricted Stock Units On March 1, 2023, the Compensation Committee awarded an aggregate of 214,901 time-based RSUs to certain of the Company’s executive officers and other employees, which vest ratably over a four-year period. On April 17, 2023, the Compensation Committee awarded 2,383 time-based RSUs to one of the Company’s employees, which vest ratably over a four-year period. On May 18, 2023, the Compensation Committee awarded an aggregate of 57,616 time-based RSUs to certain of the Company’s non-employee directors, which vest in full on the first anniversary of the grant date of, if earlier, the date of the first annual meeting of the stockholders of the Company following the grant date. On June 19, 2023, the Compensation Committee awarded a newly appointed non-employee director 6,875 RSUs which vest in full on May 18, 2024, or, if earlier, the date of the 2024 annual meeting of the stockholders of the Company. On July 10, 2023, an aggregate of 6,074 time-based RSUs were awarded to certain of the Company’s employees, which vest ratably over a four-year period. The table below represents the changes in RSUs: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares ​ Weighted Average Grant Date Fair Value per Share Balance at December 31, 2022 ​ ​ 2,658,581 ​ $ 2.98 Granted ​ ​ 287,849 ​ ​ 15.14 Vested ​ ​ (1,162,729) ​ ​ 3.40 Balance at September 30, 2023 ​ ​ 1,783,701 ​ $ 4.67 ​ Stock-based compensation expense for these RSUs recognized in selling, general and administrative expense in the consolidated statements of comprehensive income for the nine months ended September 30, 2023 and 2022, was approximately $4.1 million and $4.3 million, respectively, with an associated tax benefit of approximately $1.0 million and $1.7 million, respectively. For the three months ended September 30, 2023 and 2022, stock-based compensation expense for RSUs was approximately $1.3 million and $1.3 million, respectively, with an associated tax benefit of $0.3 million and $1.1 million, respectively. At September 30, 2023, unrecognized compensation expense related to RSUs totaled approximately $8.2 million and is expected to be recognized over a remaining term of approximately 2.47 years. Performance Stock Units On March 1, 2023, the Company awarded an aggregate of 91,025 time and performance-based PSUs to certain of the Company’s employees, which vest upon satisfaction of continued service with the Company until the third anniversary of the Grant Date and attainment of Company performance criteria. These PSUs were valued using a Monte Carlo simulation with the following assumptions on the grant date: the expected volatility was approximately 45.86%, the term was 2.84 years, the correlation coefficient was 0.6210, the dividend rate was 0.0% and the risk-free interest rate was approximately 4.60%, which resulted in a calculated fair value of approximately $20.66 per PSU as of the grant date. The table below represents the changes in PSUs: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares ​ Weighted Average Grant Date Fair Value per Share Balance at December 31, 2022 ​ ​ 1,495,017 ​ $ 4.72 Granted ​ ​ 91,025 ​ ​ 17.82 Balance at September 30, 2023 ​ ​ 1,586,042 ​ $ 5.47 ​ Stock-based compensation expense for these PSUs recognized in selling, general and administrative expense in the consolidated statement of comprehensive income for the nine months ended September 30, 2023 and 2022, was approximately $2.6 million and $0.8 million, respectively, with an associated tax benefit of approximately $0.6 million and $0.2 million, respectively. For the three months ended September 30, 2023 and 2022, stock-based compensation expense was approximately $1.1 million and $0.6 million, respectively, with an associated tax benefit of approximately $0.3 million and $0.1 million, respectively. At September 30, 2023, unrecognized compensation expense related to PSUs totaled approximately $6.1 million and is expected to be recognized over a remaining term of approximately 1.84 years. Stock Option Awards During the nine months ended September 30, 2023, there were stock options exercised as shown in the following table. The table below represents the changes in stock options: 492,426 stock options were exercisable at September 30, 2023. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options ​ Weighted Average Exercise Price Per Share Weighted Average Contractual Life (Years) ​ Intrinsic Value Outstanding Options at December 31, 2022 ​ ​ 1,510,661 ​ $ 6.13 ​ 6.86 ​ $ 13,615 Exercised ​ ​ (750,381) ​ ​ 5.76 ​ - ​ ​ 8,268 Outstanding Options at September 30, 2023 ​ ​ 760,280 ​ $ 6.50 ​ 6.12 ​ $ 7,135 ​ Stock-based compensation expense for these stock option awards recognized in selling, general and administrative expense in the consolidated statements of comprehensive income for the nine months ended September 30, 2023 and 2022, was approximately $0.4 million and $0.6 million, respectively, with an associated tax benefit of approximately $0.1 million and $0.1 million, respectively. For the three months ended September 30, 2023 and 2022, stock-based compensation expense was approximately $0.1 million and $0.2 million, respectively, with an associated tax benefit of less than $0.1 million and less than $0.1 million, respectively. At September 30, 2023, unrecognized compensation expense related to stock options totaled $0.2 million and is expected to be recognized over a remaining term of approximately 0.43 years. The fair value of each option award at the grant date was estimated using the Black-Scholes option-pricing model with the following assumptions: ​ ​ ​ ​ ​ Assumptions Weighted average expected stock volatility (range) % 25.94 - 30.90 Expected dividend yield % 0.00 Expected term (years) ​ 6.25 Risk-free interest rate (range) % 0.82 - 2.26 Exercise price (range) $ 4.51 - 10.83 Weighted-average grant date fair value $ 1.42 ​ The volatility assumption used in the Black-Scholes option-pricing model is based on peer group volatility as the Company does not have a sufficient trading history as a stand-alone public company to calculate volatility. Additionally, due to an insufficient history with respect to stock option activity and post vesting cancellations, the expected term assumption is based on the simplified method permitted under SEC rules, whereby, the simple average of the vesting period for each tranche of award and its contractual term is aggregated to arrive at a weighted average expected term for the award. The risk-free interest rate used in the Black-Scholes model is based on the implied US Treasury bill yield curve at the date of grant with a remaining term equal to the Company’s expected term assumption. The Company has never declared or paid a dividend on its shares of Common Stock. Stock-based payments are subject to service-based vesting requirements and expense is recognized on a straight-line basis over the vesting period. Forfeitures are accounted for as they occur. No stock options were forfeited during the nine months ended September 30, 2023. Stock Appreciation Right Awards As approved by the Compensation Committee, 755,436 of the employee related exercised SARs shown in the table below were paid in cash in the amount of $10.0 million based on the difference between (a) the fair market value of a share of Common Stock on the date of exercise, over (b) the grant date price; during the first quarter of 2023. ​ During the three months ended September 30, 2023, as approved by the Compensation Committee, 13,453 of the employee related exercised SARs shown in the table below were paid in cash in the amount of $0.1 million based on the difference between (a) the fair market value of a share of Common Stock on the date of exercise, over (b) the grant price. ​ The table below represents the changes in SARs: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Units ​ ​ Weighted-Average Exercise Price ​ Weighted-Average Remaining Contractual Term (Years) Outstanding SARs at December 31, 2022 ​ 1,537,776 ​ $ 1.82 ​ 8.17 Exercised ​ (768,889) ​ ​ 1.82 ​ - Outstanding SARs at September 30, 2023 ​ 768,887 ​ $ 1.82 ​ 7.42 ​ Under the authoritative guidance for stock-based compensation, these SARs are considered liability-based awards. The Company recognized a liability associated with its SARs of approximately $9.3 million as of September 30, 2023, all of which is included in accrued liabilities in the accompanying consolidated balance sheet as of September 30, 2023. The liability associated with these SAR awards recognized as of December 31, 2022, was approximately $12.6 million, of which approximately $6.3 million is included in accrued liabilities and approximately $6.3 million is included in other non-current liabilities in the accompanying consolidated balance sheet as of December 31, 2022. These SARs were valued using the Black-Scholes option pricing model with the following assumptions on the grant date: the expected volatility was approximately 43.5%, the term was 6.25 years, the dividend rate was 0.0% and the risk-free interest rate was approximately 1.07%, which resulted in a calculated fair value of approximately $0.78 per SAR as of the grant date. The fair value of these liability awards will be remeasured at each reporting period until the date of settlement. At September 30, 2023, these SARs were valued using the Black-Scholes option pricing model with the following assumptions for awards granted on February 25, 2021 and August 5, 2021, respectively: the expected volatility was approximately 32.99% and 34.21%, the term was 0.20 years and 0.42 years, the dividend rate was 0.0% and 0.0%, the risk-free interest rate was approximately 5.50% and 5.49%, and the exercise price was $1.79 and $3.54, which resulted in a calculated fair value of approximately $14.11 and $12.42 per SAR, respectively, as of September 30, 2023. At December 31, 2022, these SARs were valued using the Black-Scholes option pricing model with the following assumptions for awards granted on February 25, 2021 and August 5, 2021, respectively: the expected volatility was approximately 46.86% and 47.27%, the term was 0.65 years and 1.10 years, the dividend rate was 0.0% and 0.0%, the risk-free interest rate was approximately 4.70% and 4.65%, and the exercise price was $1.79 and $3.54, which resulted in a calculated fair value of approximately $13.40 and $11.78 per SAR, respectively, as of December 31, 2022. The estimated weighted-average fair value of each SAR as of September 30, 2023 and December 31, 2022 was $14.08 and $13.61, respectively. Increases and decreases in stock-based compensation expense are recognized over the vesting period, or immediately for vested awards. For the nine months ended September 30, 2023 and 2022, the Company recognized compensation expense related to these awards of approximately $6.9 million and $7.9 million, respectively, in selling, general and administrative expense in the consolidated statements of comprehensive income. For the three months ended September 30, 2023 and 2022, the Company recognized compensation expense related to these awards of approximately $2.2 million and $6.3 million, respectively. At September 30, 2023, unrecognized compensation expense related to SARs totaled approximately $2.9 million and is expected to be recognized over a remaining weighted-average term of approximately 0.42 years. At September 30, 2023, the intrinsic value of the SARs was $10.8 million. The volatility assumption used in the Black-Scholes option-pricing model is based on peer group volatility as the Company does not have a sufficient trading history as a stand-alone public company to calculate volatility. Additionally, due to an insufficient history with respect to stock appreciation right activity and post vesting cancellations, the expected term assumption is based on the simplified method permitted under SEC rules, whereby, the simple average of the vesting period for each tranche of award and its contractual term is aggregated to arrive at a weighted average expected term for the award. The risk-free interest rate used in the Black-Scholes model is based on the implied US Treasury bill yield curve with a remaining term equal to the Company’s expected term assumption. The Company has never declared or paid a dividend on its shares of Common Stock. SARs are subject to service-based vesting requirements and expense is recognized on a straight-line basis over the vesting period. Forfeitures are accounted for as they occur. No SARs were forfeited during the nine months ended September 30, 2023.

Retirement Plans

Retirement Plans	9 Months Ended
	Sep. 30, 2023
Retirement Plans
Retirement Plans	16. Retirement plans We offer a defined contribution 401(k) retirement plan to substantially all of our U.S. employees. Participants may contribute from 1% to 90% of eligible compensation, inclusive of pretax and/or Roth deferrals (subject to Internal Revenue Service limitations), and we make matching contributions under this plan on the first 5% of the participant’s compensation (100% match of the first 3% employee contribution and 50% match on the next 2% contribution). Our matching contributions fully vest upon participation. For the nine months ended September 30, 2023 and 2022, we recognized expense of $0.9 million and $0.7 million, respectively. For the three months ended September 30, 2023 and 2022, we recognized expense of $0.3 million and $0.3 million, respectively.

Business Segments

Business Segments	9 Months Ended
	Sep. 30, 2023
Business Segments
Business Segments	17. Business Segments The Company has six operating segments, none of which qualify for aggregation. Four of the segments were disclosed as reportable segments in 2022, based on the 10% tests. The aggregate external revenues of these reportable segments exceeded 75% of the Company’s consolidated revenues. The remaining operating segments were combined in the “All Other” category. In 2023, two of the four operating segments (“TCPL Keystone” and “HFS – Midwest”) that were disclosed as reportable segments in 2022 became quantitatively immaterial as they did not exceed the threshold for any of the 10% tests and are now combined in the “All Other” category in 2023. As such, in 2023 and for all comparison periods, the Company has two reportable segments and the aggregate external revenues of these two reportable segments exceed 75% of the Company’s consolidated revenues in all periods presented. The Company is organized primarily on the basis of geographic region and customer industry group. The following is a brief description of our reportable segments and a description of business activities conducted by All Other. HFS – South — Government All Other — The table below presents information about reported segments for the dates indicated below: 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ HFS - South ​ Government ​ All Other Total For the Nine Months Ended September 30, 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 112,452 ​ $ 316,223 ​ $ 8,713 (a) $ 437,388 Adjusted gross profit ​ $ 39,028 ​ $ 266,825 ​ $ (1,526) ​ $ 304,327 Total Assets ​ $ 188,704 ​ $ 213,119 ​ $ 32,004 ​ $ 433,827 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended September 30, 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 37,527 ​ $ 105,541 ​ $ 2,871 (a) $ 145,939 Adjusted gross profit ​ $ 14,078 ​ $ 90,516 ​ $ (185) ​ $ 104,409 ​ 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ HFS - South ​ Government ​ All Other Total For the Nine Months Ended September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 97,828 ​ $ 245,013 ​ $ 6,706 (a) $ 349,547 Adjusted gross profit ​ $ 41,162 ​ $ 159,523 ​ $ (930) ​ $ 199,755 Total Assets (as of December 31, 2022) ​ $ 176,637 ​ $ 217,029 ​ $ 34,722 ​ $ 428,388 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 33,632 ​ $ 123,308 ​ $ 2,625 (a) $ 159,565 Adjusted Gross Profit ​ $ 13,878 ​ $ 80,948 ​ $ (191) ​ $ 94,635 ​ (a) Revenues from segments below the quantitative thresholds are attributable to four operating segments of the Company and are reported in the “All Other” category previously described. A reconciliation of total segment adjusted gross profit to total consolidated income before income taxes for the dates indicated below, is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, 2023 September 30, 2022 ​ September 30, 2023 September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total reportable segment adjusted gross profit ​ $ 104,594 ​ $ 94,826 ​ $ 305,853 ​ $ 200,685 Other adjusted gross profit ​ (185) ​ (191) ​ (1,526) ​ (930) Depreciation and amortization ​ (21,491) ​ (15,420) ​ (64,724) ​ (47,661) Selling, general, and administrative expenses ​ (15,273) ​ (19,153) ​ (43,929) ​ (42,014) Other income (expense), net ​ 71 ​ (121) ​ (1,244) ​ 74 Loss on extinguishment of debt ​ ​ — ​ ​ — ​ ​ (2,128) ​ ​ — Interest expense, net ​ (4,953) ​ (8,888) ​ (17,726) ​ (28,126) Change in fair value of warrant liabilities ​ ​ (2,576) ​ ​ (20,000) ​ ​ 1,809 ​ ​ (20,374) Consolidated income before income taxes ​ $ 60,187 ​ $ 31,053 ​ $ 176,385 ​ $ 61,654 ​ A reconciliation of total segment assets to total consolidated assets as of the dates indicated below, is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 ​ December 31, 2022 Total reportable segment assets ​ $ 401,823 ​ $ 393,666 Other assets ​ 33,969 ​ 36,399 Other unallocated amounts ​ 260,732 ​ 341,662 Total Assets ​ $ 696,524 ​ $ 771,727 ​ Other unallocated assets consist of the following as reported in the consolidated balance sheets of the Company as of the dates indicated below: ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 December 31, 2022 Total current assets ​ $ 171,557 ​ $ 236,379 Other intangible assets, net ​ 69,655 ​ 75,182 Operating lease right-of-use assets, net ​ ​ 16,924 ​ ​ 27,298 Deferred financing costs revolver, net ​ 1,591 ​ 896 Other non-current assets ​ 1,005 ​ 1,907 Total other unallocated amounts of assets ​ $ 260,732 ​ $ 341,662 ​

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2023
Subsequent Events
Subsequent Events	18. Subsequent Events ​ On October 12, 2023, Arrow Bidco and certain of the Company’s other subsidiaries entered into a third amendment (the “Third Amendment”) to the ABL Facility. The Third Amendment amends the ABL Facility to, among other things, increase the size of the aggregate revolver commitments from $125 million to $175 million. Additionally, the Third Amendment changed the applicable margin to a range of 4.25% to 4.75% with respect to Term SOFR borrowings and a range of 3.25% to 3.75% with respect to base rate borrowings based on achieving certain excess availability levels. The Third Amendment also requires maintenance of a fixed charge coverage ratio of not less than 1.00:1.00 and a total leverage ratio of not greater than 2.50:1.00. ​ On September 29, 2023, Arrow Bidco commenced the Notes Exchange Offer and the Consent Solicitation. The Notes Exchange Offer and Consent Solicitation expired at 5:00 p.m., New York City time, on October 30, 2023. Approximately $181.4 million of 2024 Senior Secured Notes were exchanged by Arrow Bidco on November 1, 2023 (the “Notes Exchange Offer Settlement Date”). ​ On the Notes Exchange Offer Settlement Date, Arrow Bidco issued approximately $181.4 million in 2025 Senior Secured Notes pursuant to an indenture, dated November 1, 2023, by and among Arrow Bidco, the guarantors from time to time party thereto and Deutsche Bank Trust Company Americas, as trustee and collateral agent (the “2025 Senior Secured Notes Indenture”), and paid approximately $2.7 million in cash to eligible holders whose 2024 Senior Secured Notes were accepted for exchange in the Notes Exchange Offer. Following this issuance and related transactions, approximately $28.1 million aggregate principal amount of 2024 Senior Secured Notes remains outstanding. ​ The 2025 Senior Secured Notes will mature on June 15, 2025; provided that if any 2024 Senior Secured Notes remain outstanding on March 15, 2024, then the 2025 Senior Secured Notes will mature on March 15, 2024 at a make-whole price. Interest on the 2025 Senior Secured Notes will accrue at 10.75% per annum, payable semi-annually on March 15 and September 15 of each year, beginning March 15, 2024. ​ Prior to September 15, 2024, the 2025 Senior Secured Notes will be redeemable at Arrow Bidco’s option at a make-whole price. On and after September 15, 2024, the 2025 Senior Secured Notes will be redeemable at Arrow Bidco’s option during the 6-month period beginning on the dates set forth below at the redemption prices listed below: ​ ​ ​ ​ ​ ​ Redemption Date Price September 15, 2024 ​ 102.000% March 15, 2025 and thereafter ​ 101.000% ​ The 2025 Senior Secured Notes Indenture contains covenants that limit Arrow Bidco’s and its subsidiaries’ ability to, among other things, (i) incur or guarantee additional debt and issue certain types of stock, (ii) create or incur certain liens, (iii) make certain payments, including dividends or other distributions, (iv) prepay or redeem junior debt, (v) make certain investments or acquisitions, including participating in joint ventures, (vi) engage in certain transactions with affiliates and (vii) sell assets, consolidate or merge with or into other companies. These covenants are subject to a number of important limitations and exceptions. In addition, upon the occurrence of specified change of control events, Arrow Bidco must offer to repurchase the 2025 Senior Secured Notes at 101% of the principal amount, plus accrued and unpaid interest, if any, to, but excluding, the applicable repurchase date. The 2025 Senior Secured Notes Indenture also provides for events of default, which, if any of them occurs, would permit or require the principal, premium, if any, interest and any other monetary obligations on all of the then outstanding New Notes to be due and payable immediately. ​ On the Notes Exchange Offer Settlement Date, Arrow Bidco and Deutsche Bank Trust Company Americas, as trustee and collateral agent (the “Trustee”) entered into a supplemental indenture (the “Supplemental Indenture”) to the indenture, dated as of March 15, 2019 (as amended and supplemented from time to time, the “2024 Senior Secured Notes Indenture”), by and among Arrow Bidco, the guarantors party thereto from time to time and the Trustee, governing the 2024 Senior Secured Notes. The Supplemental Indenture amended the 2024 Senior Secured Notes Indenture and the 2024 Senior Secured Notes to effectuate certain proposed amendments with respect to the 2024 Senior Secured Notes pursuant to the Consent Solicitation, which amendments included eliminating substantially all of the restrictive covenants, eliminating certain events of default, modifying covenants regarding mergers and consolidations and modifying or eliminating certain other provisions, including certain provisions relating to future guarantors and defeasance, contained in the 2024 Notes Indenture and the 2024 Senior Secured Notes. In addition, all of the collateral securing the 2024 Senior Secured Notes was released pursuant to the Supplemental Indenture. ​

Organization and Nature of Op_2

Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies
Organization and Nature of Operations	Organization and Nature of Operations Target Hospitality Corp. (“Target Hospitality” and, together with its subsidiaries, the “Company”) was formed on March 15, 2019 and is one of North America’s largest providers of vertically integrated specialty rental and value-added hospitality services. The Company provides vertically integrated specialty rental and comprehensive hospitality services including: catering and food services, maintenance, housekeeping, grounds-keeping, security, health and recreation services, overall workforce community management, and laundry service. Target Hospitality serves clients in the natural resources development and government sectors principally located in the West Texas, South Texas, New Mexico and Midwest regions. The Company, whose securities are listed on the Nasdaq Capital Market, together with its wholly owned subsidiaries, Topaz Holdings LLC, a Delaware limited liability company (“Topaz”), and Arrow Bidco, LLC, a Delaware limited liability company (“Arrow Bidco”), serve as the holding companies for the businesses of Target Logistics Management, LLC and its subsidiaries (“Target”) and RL Signor Holdings, LLC (“Signor”). TDR Capital LLP indirectly owns approximately 64% of Target Hospitality and the remaining ownership is broken out among the founders of the Company’s legal predecessor, Platinum Eagle Acquisition Corp. (“Platinum Eagle” or “PEAC”), investors who purchased the shares of Platinum Eagle in a private placement transaction, and other public shareholders.
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) pertaining to interim financial information. Certain information in footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) has been condensed or omitted pursuant to those rules and regulations. The financial statements included in this report should be read in conjunction with Target Hospitality’s Annual Report on the Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”). The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the operating results that may be expected for the full fiscal year ending December 31, 2023 or any future period. The accompanying unaudited consolidated financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of financial position as September 30, 2023, and results of operations for the three and nine months ended September 30, 2023 and 2022, and cash flows for the nine months ended September 30, 2023 and 2022. The consolidated balance sheet as of December 31, 2022, was derived from the audited consolidated balance sheets of Target Hospitality, but does not contain all of the footnote disclosures from those annual financial statements.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with US GAAP requires the use of estimates and assumptions by management in determining the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. If the underlying estimates and assumptions upon which the financial statements are based change in future periods, actual amounts may differ from those included in the accompanying unaudited consolidated financial statements.
Principles of Consolidation	​ Principles of Consolidation The consolidated financial statements comprise the financial statements of the Company and its subsidiaries that it controls due to ownership of a majority voting interest. Subsidiaries are fully consolidated from the date of acquisition, being the date on which the Company obtains control, and continue to be consolidated until the date when such control ceases. The financial statements of the subsidiaries are prepared for the same reporting period as the Company. All intercompany balances and transactions are eliminated.
Revenue Recognition	Revenue Recognition The Company derives revenue from specialty rental and hospitality services, specifically lodging and related ancillary services. Revenue is recognized in the period in which lodging and services are provided pursuant to the terms of contractual relationships with the customers. Certain arrangements contain a lease of lodging facilities to customers. The leases are accounted for as an operating lease under the authoritative guidance for leases and are recognized as income is earned over the term of the lease agreement. Because performance obligations related to specialty rental and hospitality services are satisfied over time, the majority of our revenue is recognized evenly over the contractual term of the arrangement, based on a contractual fixed minimum amount and defined period of performance. Some of our revenue is recognized on a daily basis, for each night a customer stays, at a contractual day rate. Our customers typically contract for accommodation services under committed contracts with terms that most often range from several months to three years. Our payment terms vary by type and location of our customer and the service offered. The time between invoicing and when payment is due is not significant. When lodging and services are billed and collected in advance, recognition of revenue is deferred until services are rendered. Cost of services includes labor, food, utilities, supplies, leasing and other direct costs associated with operating the lodging units as well as repair and maintenance expenses. Cost of rental includes leasing costs, utilities, and other direct costs of maintaining the lodging units. Costs associated with contracts include sales commissions which are expensed as incurred and reflected in selling, general and administrative expenses in the consolidated statements of comprehensive income. Additionally, the Company collects sales, use, occupancy and similar taxes, which the Company presents on a net basis (excluded from revenues) in the consolidated statements of comprehensive income.
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses ASU 2016-13, Topic 326, or ASC 326 Codification Improvements to Topic 326, Financial Instruments - Credit Losses ​ The following table presents the impact of the adoption of ASC 326 on the consolidated balance sheet as of January 1, 2023: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance ​ ​ ​ ​ Balance ​ Pre-Adoption ​ Adjustments Post-Adoption Accounts receivable, less allowance for doubtful accounts ​ $ 42,153 ​ $ (268) ​ $ 41,885 Accumulated earnings ​ $ 87,683 ​ $ (268) ​ $ 87,415 ​

Organization and Nature of Op_3

Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2023
Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies
Schedule of adjustments related to operating leases	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance ​ ​ ​ ​ Balance ​ Pre-Adoption ​ Adjustments Post-Adoption Accounts receivable, less allowance for doubtful accounts ​ $ 42,153 ​ $ (268) ​ $ 41,885 Accumulated earnings ​ $ 87,683 ​ $ (268) ​ $ 87,415 ​

Revenue (Tables)

Revenue (Tables)	9 Months Ended
	Sep. 30, 2023
Revenue
Summary of disaggregation of revenue by reportable segments as well as the all other category	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, ​ September 30, ​ ​ 2023 ​ 2022 ​ 2023 ​ 2022 HFS – South ​ $ 36,004 ​ $ 31,936 ​ $ 107,938 ​ $ 93,085 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Government ​ $ 54,662 ​ $ 68,436 ​ $ 164,245 ​ $ 136,251 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ All Other ​ $ 2,872 ​ $ 2,624 ​ $ 8,714 ​ $ 6,705 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total services revenues ​ $ 93,538 ​ $ 102,996 ​ $ 280,897 ​ $ 236,041
Summary of contract liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For Nine Months Ended ​ ​ September 30, ​ 2023 ​ 2022 Balances at Beginning of the Period ​ $ 125,519 ​ $ 34,411 Additions to deferred revenue ​ — ​ 173,146 Revenue recognized ​ (106,112) ​ (46,382) Balances at End of the Period ​ $ 19,407 ​ $ 161,175
Summary of revenue expected to be recognized from contracts where the price and quantity of the product or service are fixed	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Years Ended December 31, ​ 2023 2024 ​ 2025 ​ 2026 ​ 2027 Total Revenue expected to be recognized as of September 30, 2023 ​ $ 31,035 ​ $ 39,311 ​ $ 20,207 ​ $ 14,328 ​ $ - ​ $ 104,881

Specialty Rental Assets, Net (T

Specialty Rental Assets, Net (Tables)	9 Months Ended
	Sep. 30, 2023
Specialty Rental Assets, Net
Schedule of specialty rental assets	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Specialty rental assets ​ $ 745,849 ​ $ 698,095 Construction-in-process ​ 4,476 ​ 4,653 Less: accumulated depreciation ​ (390,161) ​ (345,619) Specialty rental assets, net ​ $ 360,164 ​ $ 357,129

Other Property, Plant and Equ_2

Other Property, Plant and Equipment, Net (Tables)	9 Months Ended
	Sep. 30, 2023
Other Property, Plant and Equipment, Net
Schedule of other property, plant and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Land ​ $ 31,109 ​ $ 28,483 Buildings and leasehold improvements ​ 799 ​ 769 Machinery and office equipment ​ 1,766 ​ 1,581 Other ​ 8,305 ​ 7,341 ​ ​ 41,979 ​ 38,174 Less: accumulated depreciation ​ (7,389) ​ (6,276) Total other property, plant and equipment, net ​ $ 34,590 ​ $ 31,898

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets, net (Tables)	9 Months Ended
	Sep. 30, 2023
Goodwill and Other Intangible Assets, net
Schedule of changes in carrying amount of goodwill	​ ​ ​ ​ ​ ​ HFS - South Balance at January 1, 2022 ​ $ 41,038 Changes in Goodwill ​ ​ - Balance at December 31, 2022 ​ ​ 41,038 Changes in Goodwill ​ ​ - Balance at September 30, 2023 ​ $ 41,038
Schedule of intangible assets other than goodwill	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 ​ ​ Weighted ​ Gross ​ ​ ​ ​ ​ ​ ​ average ​ Carrying ​ Accumulated ​ Net Book ​ remaining lives Amount Amortization Value Intangible assets subject to amortization ​ ​ ​ Customer relationships 4.1 ​ $ 133,105 ​ $ (80,150) ​ $ 52,955 Non-compete agreement ​ 4.3 ​ ​ 349 ​ ​ (49) ​ ​ 300 Total ​ ​ ​ ​ 133,454 ​ ​ (80,199) ​ ​ 53,255 Indefinite lived assets: ​ ​ ​ Tradenames ​ 16,400 ​ — ​ 16,400 Total intangible assets other than goodwill ​ $ 149,854 ​ $ (80,199) ​ $ 69,655 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ ​ Weighted ​ Gross ​ ​ ​ ​ ​ ​ ​ average ​ Carrying ​ Accumulated ​ Net Book ​ remaining lives Amount Amortization Value Intangible assets subject to amortization ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Customer relationships 4.6 $ 128,907 $ (70,125) $ 58,782 Total ​ ​ ​ ​ 128,907 ​ ​ (70,125) ​ ​ 58,782 Indefinite lived assets: ​ ​ ​ Tradenames ​ 16,400 ​ — ​ 16,400 Total intangible assets other than goodwill ​ $ 145,307 ​ $ (70,125) ​ $ 75,182
Schedule of estimated aggregate amortization expense	​ ​ ​ ​ ​ Rest of 2023 $ 3,373 2024 ​ ​ 13,475 2025 ​ ​ 13,475 2026 ​ ​ 12,879 2027 ​ ​ 8,270 Thereafter ​ ​ 1,783 Total ​ $ 53,255 ​

Other Non-Current Assets (Table

Other Non-Current Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Other Non-Current Assets
Schedule of other non-current assets	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Cloud computing implementation costs ​ $ 7,332 ​ $ 7,198 Less: accumulated amortization ​ ​ (6,333) ​ ​ (5,357) Other non-current assets ​ $ 999 ​ $ 1,841

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2023
Accrued Liabilities.
Schedule of accrued liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Employee accrued compensation expense ​ $ 6,381 ​ $ 11,873 Other accrued liabilities ​ 24,131 ​ 18,230 Accrued interest on debt ​ ​ 949 ​ ​ 9,539 Total accrued liabilities ​ $ 31,461 ​ $ 39,642

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2023
Debt
Summary of carrying value of debt outstanding	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 2022 Finance lease and other financing obligations ​ $ 2,351 ​ $ 2,223 ABL Facility ​ — ​ — 9.50% Senior Secured Notes due 2024, face amount ​ ​ 209,500 ​ ​ 334,500 Less: unamortized original issue discount ​ ​ (236) ​ ​ (971) Less: unamortized term loan deferred financing costs ​ ​ (1,138) ​ ​ (4,681) Total debt, net ​ 210,477 ​ 331,071 Less: current maturities ​ (209,428) ​ (1,135) Total long-term debt ​ $ 1,049 ​ $ 329,936
Schedule of debt redemption	​ ​ ​ ​ ​ ​ Redemption Date Price September 15, 2024 ​ 102.000% March 15, 2025 and thereafter ​ 101.000%
Components of interest expense	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ September 30, ​ September 30, ​ September 30, ​ September 30, ​ 2023 2022 ​ 2023 2022 Interest incurred on finance lease and other financing obligations $ 56 ​ $ 15 ​ $ 148 ​ $ 43 Interest expense incurred on ABL Facility and Notes ​ 5,096 ​ ​ 8,599 ​ ​ 17,660 ​ ​ 25,166 Amortization of deferred financing costs on ABL Facility and Notes ​ 688 ​ ​ 1,186 ​ ​ 2,441 ​ ​ 3,483 Amortization of original issue discount on Notes 124 ​ ​ 180 ​ 437 ​ ​ 526 Interest capitalized ​ — ​ ​ (942) ​ ​ — ​ ​ (942) Interest income ​ (1,011) ​ ​ (150) ​ ​ (2,960) ​ ​ (150) Interest expense, net $ 4,953 ​ $ 8,888 ​ $ 17,726 ​ $ 28,126
Schedule of future maturities	​ ​ ​ ​ ​ Rest of 2023 $ 252 2024 ​ 210,682 2025 ​ 783 2026 ​ 134 Total ​ $ 211,851 ​
Senior Secured Notes 2024
Debt
Summary of carrying value of debt outstanding	​ ​ ​ ​ ​ ​ September 30, ​ ​ 2023 Principal amount of 9.50% Senior Secured Notes, due 2024 ​ $ 209,500 Less: unamortized original issue discount ​ ​ (236) Less: unamortized term loan deferred financing costs ​ ​ (1,138) Current portion of long-term debt, net ​ $ 208,126
Schedule of debt redemption	​ ​ ​ ​ ​ ​ Redemption Year Price 2023 and thereafter ​ 100.000%

Warrant Liabilities (Tables)

Warrant Liabilities (Tables)	9 Months Ended
	Sep. 30, 2023
Warrant Liabilities
Schedule of warrant liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ December 31, ​ ​ 2023 ​ 2022 Warrant liabilities ​ $ 7,927 ​ $ 9,737 Total ​ $ 7,927 ​ $ 9,737 ​

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2023
Fair Value of Financial Instruments
Summary of carrying amounts and fair values of financial assets and liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 December 31, 2022 Financial Assets (Liabilities) Not Measured at Fair Value Carrying Amount ​ Fair Value Carrying Amount Fair Value ABL Facility (See Note 8) - Level 2 ​ $ — ​ $ — ​ $ — $ — 2024 Senior Secured Notes (See Note 8) - Level 1 ​ $ (208,126) ​ $ (209,605) ​ $ (328,848) ​ $ (335,403)
Summary of inputs used to calculate the fair value of the warrant liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, ​ ​ ​ December 31, ​ ​ ​ 2023 ​ ​ ​ 2022 Exercise Price ​ $ 11.50 ​ ​ $ 11.50 Stock Price ​ $ 15.88 ​ ​ $ 15.14 Dividend Yield ​ % 0.00 ​ ​ % 0.00 Expected Term (in Years) ​ ​ 0.46 ​ ​ ​ 1.20 Risk-Free Interest Rate ​ % 5.39 ​ ​ % 4.56 Expected Volatility ​ % 57.00 ​ ​ % 70.00 Per Share Value of Warrants ​ $ 5.17 ​ ​ $ 6.35
Schedule of changes in Level 3 liabilities measured at fair value	​ ​ ​ ​ ​ ​ ​ Private Placement Warrants Balance at December 31, 2022 ​ $ 9,737 Change in fair value of warrant liabilities ​ ​ (3,711) Balance at March 31, 2023 ​ ​ 6,026 Change in fair value of warrant liabilities ​ ​ (675) Balance at June 30, 2023 ​ ​ 5,351 Change in fair value of warrant liabilities ​ ​ 2,576 Balance at September 30, 2023 ​ $ 7,927

Earnings (Loss) per Share (Tabl

Earnings (Loss) per Share (Tables)	9 Months Ended
	Sep. 30, 2023
Earnings (Loss) per Share
Schedule of reconciliation of net loss and weighted-average shares of common stock outstanding	the weighted average shares outstanding for the diluted calculation for the periods indicated below ($ in thousands, except per share amounts): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, ​ September 30, ​ September 30, ​ September 30, ​ ​ 2023 ​ 2022 ​ 2023 2022 Numerator ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income attributable to Common Stockholders - basic $ 45,579 ​ $ 19,022 ​ $ 135,857 ​ $ 42,367 ​ Change in fair value of warrant liabilities ​ — ​ ​ — ​ ​ (1,809) ​ ​ — ​ Net income attributable to Common Stockholders - diluted $ 45,579 ​ $ 19,022 ​ $ 134,048 ​ $ 42,367 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Denominator ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted average shares outstanding - basic ​ 101,620,537 ​ ​ 97,242,170 ​ ​ 101,246,546 ​ ​ 97,086,415 ​ Dilutive effect of outstanding securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants ​ 1,201,020 ​ ​ — ​ ​ 1,728,214 ​ ​ — ​ PSUs ​ 526,674 ​ ​ — ​ ​ 495,718 ​ ​ — ​ SARs ​ 210,299 ​ ​ — ​ ​ 264,269 ​ ​ — ​ Stock Options ​ 427,347 ​ ​ — ​ ​ 545,229 ​ ​ — ​ RSUs ​ 1,107,817 ​ ​ — ​ ​ 1,352,163 ​ ​ — ​ Weighted average shares outstanding - diluted ​ 105,093,694 ​ ​ 97,242,170 ​ ​ 105,632,139 ​ ​ 97,086,415 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income per share - basic $ 0.45 ​ $ 0.20 ​ $ 1.34 ​ $ 0.44 ​ Net income per share - diluted $ 0.43 ​ $ 0.20 ​ $ 1.27 ​ $ 0.44 ​

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2023
Stock-Based Compensation
Schedule of changes in restricted stock units	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares ​ Weighted Average Grant Date Fair Value per Share Balance at December 31, 2022 ​ ​ 2,658,581 ​ $ 2.98 Granted ​ ​ 287,849 ​ ​ 15.14 Vested ​ ​ (1,162,729) ​ ​ 3.40 Balance at September 30, 2023 ​ ​ 1,783,701 ​ $ 4.67
Schedule of changes in performance stock units	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares ​ Weighted Average Grant Date Fair Value per Share Balance at December 31, 2022 ​ ​ 1,495,017 ​ $ 4.72 Granted ​ ​ 91,025 ​ ​ 17.82 Balance at September 30, 2023 ​ ​ 1,586,042 ​ $ 5.47
Schedule of changes in stock options	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options ​ Weighted Average Exercise Price Per Share Weighted Average Contractual Life (Years) ​ Intrinsic Value Outstanding Options at December 31, 2022 ​ ​ 1,510,661 ​ $ 6.13 ​ 6.86 ​ $ 13,615 Exercised ​ ​ (750,381) ​ ​ 5.76 ​ - ​ ​ 8,268 Outstanding Options at September 30, 2023 ​ ​ 760,280 ​ $ 6.50 ​ 6.12 ​ $ 7,135
Schedule of assumptions using Black-scholes option-pricing model	​ ​ ​ ​ ​ Assumptions Weighted average expected stock volatility (range) % 25.94 - 30.90 Expected dividend yield % 0.00 Expected term (years) ​ 6.25 Risk-free interest rate (range) % 0.82 - 2.26 Exercise price (range) $ 4.51 - 10.83 Weighted-average grant date fair value $ 1.42
Stock appreciation right awards	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Units ​ ​ Weighted-Average Exercise Price ​ Weighted-Average Remaining Contractual Term (Years) Outstanding SARs at December 31, 2022 ​ 1,537,776 ​ $ 1.82 ​ 8.17 Exercised ​ (768,889) ​ ​ 1.82 ​ - Outstanding SARs at September 30, 2023 ​ 768,887 ​ $ 1.82 ​ 7.42

Business Segments (Tables)

Business Segments (Tables)	9 Months Ended
	Sep. 30, 2023
Business Segments
Schedule of Segment Reporting Information	The table below presents information about reported segments for the dates indicated below: 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ HFS - South ​ Government ​ All Other Total For the Nine Months Ended September 30, 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 112,452 ​ $ 316,223 ​ $ 8,713 (a) $ 437,388 Adjusted gross profit ​ $ 39,028 ​ $ 266,825 ​ $ (1,526) ​ $ 304,327 Total Assets ​ $ 188,704 ​ $ 213,119 ​ $ 32,004 ​ $ 433,827 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended September 30, 2023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 37,527 ​ $ 105,541 ​ $ 2,871 (a) $ 145,939 Adjusted gross profit ​ $ 14,078 ​ $ 90,516 ​ $ (185) ​ $ 104,409 ​ 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ HFS - South ​ Government ​ All Other Total For the Nine Months Ended September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 97,828 ​ $ 245,013 ​ $ 6,706 (a) $ 349,547 Adjusted gross profit ​ $ 41,162 ​ $ 159,523 ​ $ (930) ​ $ 199,755 Total Assets (as of December 31, 2022) ​ $ 176,637 ​ $ 217,029 ​ $ 34,722 ​ $ 428,388 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revenue ​ $ 33,632 ​ $ 123,308 ​ $ 2,625 (a) $ 159,565 Adjusted Gross Profit ​ $ 13,878 ​ $ 80,948 ​ $ (191) ​ $ 94,635 ​ (a) Revenues from segments below the quantitative thresholds are attributable to four operating segments of the Company and are reported in the “All Other” category previously described.
Schedule of reconciliation of total segment adjusted gross profit	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three Months Ended ​ For the Nine Months Ended ​ ​ September 30, 2023 September 30, 2022 ​ September 30, 2023 September 30, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total reportable segment adjusted gross profit ​ $ 104,594 ​ $ 94,826 ​ $ 305,853 ​ $ 200,685 Other adjusted gross profit ​ (185) ​ (191) ​ (1,526) ​ (930) Depreciation and amortization ​ (21,491) ​ (15,420) ​ (64,724) ​ (47,661) Selling, general, and administrative expenses ​ (15,273) ​ (19,153) ​ (43,929) ​ (42,014) Other income (expense), net ​ 71 ​ (121) ​ (1,244) ​ 74 Loss on extinguishment of debt ​ ​ — ​ ​ — ​ ​ (2,128) ​ ​ — Interest expense, net ​ (4,953) ​ (8,888) ​ (17,726) ​ (28,126) Change in fair value of warrant liabilities ​ ​ (2,576) ​ ​ (20,000) ​ ​ 1,809 ​ ​ (20,374) Consolidated income before income taxes ​ $ 60,187 ​ $ 31,053 ​ $ 176,385 ​ $ 61,654
Schedule of reconciliation of total segment assets to total combined assets	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 ​ December 31, 2022 Total reportable segment assets ​ $ 401,823 ​ $ 393,666 Other assets ​ 33,969 ​ 36,399 Other unallocated amounts ​ 260,732 ​ 341,662 Total Assets ​ $ 696,524 ​ $ 771,727
Schedule of unallocated assets consist of the following as reported in the combined balance sheets	​ ​ ​ ​ ​ ​ ​ ​ ​ September 30, 2023 December 31, 2022 Total current assets ​ $ 171,557 ​ $ 236,379 Other intangible assets, net ​ 69,655 ​ 75,182 Operating lease right-of-use assets, net ​ ​ 16,924 ​ ​ 27,298 Deferred financing costs revolver, net ​ 1,591 ​ 896 Other non-current assets ​ 1,005 ​ 1,907 Total other unallocated amounts of assets ​ $ 260,732 ​ $ 341,662 ​

Subsequent Events (Tables)

Subsequent Events (Tables)	9 Months Ended
	Sep. 30, 2023
Subsequent Events
Schedule of debt redemption	​ ​ ​ ​ ​ ​ Redemption Date Price September 15, 2024 ​ 102.000% March 15, 2025 and thereafter ​ 101.000%

Organization and Nature of Op_4

Organization and Nature of Operations, Basis of Presentation, and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Jan. 01, 2023	Dec. 31, 2022
Accounts receivable, less allowance for doubtful accounts	$ 59,459		$ 42,153
Accumulated earnings	$ 223,272		87,683
Maximum
Contract for accommodation services under take-or-pay contracts term	3 years
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2016-13
Accounts receivable, less allowance for doubtful accounts			(268)
Accumulated earnings		$ (300)	(268)
Cumulative Effect, Period of Adoption, Adjusted Balance | Accounting Standards Update 2016-13
Accounts receivable, less allowance for doubtful accounts			41,885
Accumulated earnings			$ 87,415
TDR Capital | Target Hospitality
Ownership interest in an affiliate	64%

Revenue (Details)

Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Disaggregation of Revenue [Line Items]
Revenue	$ 93,538	$ 102,996	$ 280,897	$ 236,041
Services
Disaggregation of Revenue [Line Items]
Revenue	93,538	102,996	280,897	236,041
Specialty rental
Disaggregation of Revenue [Line Items]
Revenue, subject to ASC 840	$ 52,401	$ 56,569	$ 156,491	$ 113,506

Revenue - Disaggregation Revenu

Revenue - Disaggregation Revenue (Details) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) segment	Sep. 30, 2022 USD ($)	Dec. 31, 2022 segment
Disaggregation of Revenue [Line Items]
Number of Reportable Segments | segment			2		4
Total revenue	$ 93,538	$ 102,996	$ 280,897	$ 236,041
Services
Disaggregation of Revenue [Line Items]
Total revenue	93,538	102,996	280,897	236,041
Services | HFS - South
Disaggregation of Revenue [Line Items]
Total revenue	36,004	31,936	107,938	93,085
Services | Government
Disaggregation of Revenue [Line Items]
Total revenue	54,662	68,436	164,245	136,251
Services | All Other
Disaggregation of Revenue [Line Items]
Total revenue	$ 2,872	$ 2,624	$ 8,714	$ 6,705

Revenue - Contract Liabilities

Revenue - Contract Liabilities (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Change in Contract with Customer, Liability [Abstract]
Balances at Beginning of the Period	$ 125,519	$ 34,411
Additions to deferred revenue		173,146
Revenue recognized	(106,112)	(46,382)
Balances at End of the Period	$ 19,407	$ 161,175

Revenue - Revenue Expected to b

Revenue - Revenue Expected to be Recognized (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized	$ 104,881
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized in periods	3 months
Revenue expected to be recognized	$ 31,035
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized in periods	1 year
Revenue expected to be recognized	$ 39,311
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized in periods	1 year
Revenue expected to be recognized	$ 20,207
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized in periods	1 year
Revenue expected to be recognized	$ 14,328
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue expected to be recognized in periods	1 year

Specialty Rental Assets, Net (D

Specialty Rental Assets, Net (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Jan. 31, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Less: accumulated depreciation		$ (390,161)		$ (390,161)		$ (345,619)
Specialty rental assets, net		360,164		360,164		357,129
Depreciation		17,653	$ 11,864	53,242	$ 36,525
Purchase of property, plant and equipment	$ 18,600	5,000
Specialty rental assets
Property, Plant and Equipment [Line Items]
Specialty rental assets, gross		745,849		745,849		698,095
Accumulated depreciation		8,700		8,700
Depreciation		17,700	$ 11,900	53,200	$ 36,500
Purchase of property, plant and equipment	$ 13,200	4,600
Gross cost		9,100		9,100
Gain (Loss) on Disposition of Property Plant Equipment				200
Proceeds from Sale of Property, Plant, and Equipment				200
Property, Plant And Equipment, Disposal Costs				1,200
Construction-in-process
Property, Plant and Equipment [Line Items]
Specialty rental assets, gross		$ 4,476		$ 4,476		$ 4,653

Other Property, Plant and Equ_3

Other Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		9 Months Ended
	Apr. 30, 2023	Jan. 31, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Other property, plant and equipment
Other property, plant and equipment, gross			$ 41,979		$ 41,979		$ 38,174
Less: accumulated depreciation			(7,389)		(7,389)		(6,276)
Total other property, plant and equipment, net			34,590		34,590		31,898
Depreciation on Other PPE			3,838	$ 3,556	11,482	$ 11,136
Capital expenditures	$ 5,000	$ 18,600	1,300
Land
Other property, plant and equipment
Other property, plant and equipment, gross			31,109		31,109		28,483
Capital expenditures	$ 400	$ 900
Buildings and leasehold improvements
Other property, plant and equipment
Other property, plant and equipment, gross			799		799		769
Machinery and office equipment
Other property, plant and equipment
Other property, plant and equipment, gross			1,766		1,766		1,581
Software and other
Other property, plant and equipment
Other property, plant and equipment, gross			8,305		8,305		$ 7,341
Property, Plant and Equipment Other Types
Other property, plant and equipment
Depreciation on Other PPE			$ 500	$ 300	$ 1,400	$ 1,100

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets, net - Goodwill (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Goodwill and Other Intangible Assets, net
Goodwill, Beginning Balance	$ 41,038	$ 41,038
Goodwill, Ending Balance	$ 41,038	$ 41,038

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets, net - Intangible Assets (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Jan. 31, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Intangible assets subject to amortization
Gross Carrying Amount		$ 133,454		$ 133,454		$ 128,907
Accumulated Amortization		(80,199)		(80,199)		(70,125)
Net Book Value		53,255		53,255		58,782
Total intangible assets other than goodwill
Gross Carrying Amount		149,854		149,854		145,307
Net Book Value		69,655		69,655		75,182
Aggregate amortization expense of intangible assets		3,400	$ 3,200	10,076	$ 10,079
Acquired intangible assets	$ 4,500			4,547
Tradenames
Indefinite lived assets:
Net Book Value		$ 16,400		$ 16,400		$ 16,400
Customer relationships
Intangible assets subject to amortization
Weighted average remaining lives		4 years 1 month 6 days		4 years 1 month 6 days		4 years 7 months 6 days
Gross Carrying Amount		$ 133,105		$ 133,105		$ 128,907
Accumulated Amortization		(80,150)		(80,150)		(70,125)
Net Book Value		$ 52,955		$ 52,955		$ 58,782
Total intangible assets other than goodwill
Acquired intangible assets	4,200
Non-compete agreements
Intangible assets subject to amortization
Weighted average remaining lives		4 years 3 months 18 days		4 years 3 months 18 days
Gross Carrying Amount		$ 349		$ 349
Accumulated Amortization		(49)		(49)
Net Book Value		$ 300		$ 300
Total intangible assets other than goodwill
Acquired intangible assets	$ 300

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets, net - Future Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Estimated aggregate amortization expense:
Rest of 2023	$ 3,373
2024	13,475
2025	13,475
2026	12,879
2027	8,270
Thereafter	1,783
Total	$ 53,255	$ 58,782

Other Non-Current Assets - Narr

Other Non-Current Assets - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Amortization of Intangible Assets	$ 3,400	$ 3,200	$ 10,076	$ 10,079
Capitalized software
Amortization of Intangible Assets	$ 300	$ 300	$ 1,000	$ 1,200
Capitalized software | Maximum
Useful life of intangible asset	4 years		4 years
Capitalized software | Minimum
Useful life of intangible asset	2 years		2 years

Other Non-Current Assets - Othe

Other Non-Current Assets - Other non-current assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Other Non-Current Assets
Cloud computing implementation costs	$ 7,332	$ 7,198
Less: accumulated amortization	(6,333)	(5,357)
Other non-current assets	$ 999	$ 1,841

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accrued Liabilities.
Employee accrued compensation expense	$ 6,381	$ 11,873
Other accrued liabilities	24,131	18,230
Accrued interest on debt	949	9,539
Total accrued liabilities	$ 31,461	$ 39,642

Debt (Details)

Debt (Details) - USD ($) $ in Thousands				3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 29, 2023	Mar. 15, 2023	Mar. 15, 2019	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Debt
Less: unamortized original issue discount				$ (236)		$ (236)		$ (971)
Less: unamortized term loan deferred financing costs				(1,138)		(1,138)		$ (4,681)
Current portion of long-term debt, net				208,126		208,126
Repayments of senior debt						125,000
Amortization				124	$ 180	$ 437	$ 526
Minimum
Debt
Period for prior written notice to trustee for redemption						20 days
ABL Facility
Debt
Less: unamortized term loan deferred financing costs				(1,400)		$ (1,400)
Senior Secured Notes 2024
Debt
Principal amount of 9.50% Senior Secured Notes, due 2024			$ 340,000	209,500		$ 209,500
Interest rate (as a percent)			9.50%			9.50%		9.50%
Less: unamortized original issue discount			$ (3,300)	$ (200)		$ (200)
Extinguishment of debt		$ 125,000
Senior Secured Notes 2024 | Minimum
Debt
Period for prior written notice to holders for redemption						15 days
Senior Secured Notes 2024 | Maximum
Debt
Period for prior written notice to holders for redemption						60 days
Arrow Bidco | Senior Secured Notes 2025
Debt
Interest rate (as a percent)	10.75%
2023 and thereafter | Senior Secured Notes 2024
Debt
Redemption price						100%
2023 and thereafter | Arrow Bidco | Senior Secured Notes 2025
Debt
Redemption price	102%
2023 and thereafter | Arrow Bidco | Senior Secured Notes 2025
Debt
Redemption price	101%

Debt - Finance Lease and Other

Debt - Finance Lease and Other Financing Obligations (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Lessee, Lease, Description [Line Items]
Finance lease and other financing obligations, current and long-term	$ 2,351	$ 2,223
Commercial-use vehicles
Lessee, Lease, Description [Line Items]
Capital lease term	36 months

Debt - ABL Facility (Details)

Debt - ABL Facility (Details) $ in Thousands		9 Months Ended
	Mar. 15, 2019 USD ($) D	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)
ABL Facility
Proceeds from line of credit			$ 70,000
ABL Facility
ABL Facility
Borrowing capacity	$ 125,000
Proceeds from line of credit		$ 0
Repayment of line of credit		0
Outstanding amount		$ 0
Borrowing base, line cap (as a percent)	12.50%
Percentage of net book value of borrowers' eligible accounts receivables	85%
Percentage of net book value of borrowers' eligible rental equipment	95%
Percentage of net orderly liquidation value of borrowers' eligible rental equipment	85%
Options to increase commitments	$ 75,000
Percentage of voting equity interests in non-US restricted subsidiary pledge	65%
Minimum fixed charge coverage ratio	100%
Maximum total net leverage ratio	400%
Borrowing base	$ 15,625
Line cap (as a percent)	12.50%
Term prior to stated maturity in a debt instrument	6 months
Number of days prior to stated maturity | D	91
ABL Facility | SOFR | Minimum
ABL Facility
Variable rate (as a percent)	2.25%
ABL Facility | SOFR | Maximum
ABL Facility
Variable rate (as a percent)	2.75%
ABL Facility | Base rate | Minimum
ABL Facility
Variable rate (as a percent)	1.25%
ABL Facility | Base rate | Maximum
ABL Facility
Variable rate (as a percent)	1.75%
Standby letters of credit
ABL Facility
Borrowing capacity	$ 25,000
Swingline
ABL Facility
Borrowing capacity	$ 15,000

Debt - Carrying Value of Debt O

Debt - Carrying Value of Debt Outstanding (Details) - USD ($) $ in Thousands		9 Months Ended	12 Months Ended
	Mar. 15, 2019	Sep. 30, 2023	Dec. 31, 2022
Carrying value of debt outstanding
Finance lease and other financing obligations		$ 2,351	$ 2,223
Less: unamortized original issue discount		236	971
Less: unamortized term loan deferred financing costs		(1,138)	(4,681)
Total debt, net		210,477	331,071
Less: current maturities		(209,428)	(1,135)
Total long-term debt		1,049	329,936
ABL Facility
Carrying value of debt outstanding
Less: unamortized term loan deferred financing costs		(1,400)
Senior Secured Notes 2024
Carrying value of debt outstanding
Long-term debt, net		209,500	$ 334,500
Less: unamortized original issue discount	$ 3,300	$ 200
Interest rate (as a percent)	9.50%	9.50%	9.50%

Debt - Components of interest e

Debt - Components of interest expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Debt
Interest incurred on finance lease and other financing obligations	$ 56	$ 15	$ 148	$ 43
Interest expense incurred on ABL Facility and Notes	5,096	8,599	17,660	25,166
Amortization of deferred financing costs on ABL Facility and Notes	688	1,186	2,441	3,483
Amortization of original issue discount on Notes	124	180	437	526
Interest capitalized		(942)		(942)
Interest income	(1,011)	(150)	(2,960)	(150)
Interest expense, net	$ 4,953	$ 8,888	$ 17,726	$ 28,126

Debt - Interest Expense and Def

Debt - Interest Expense and Deferred Financing Costs (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Debt
Loss on extinguishment of debt	$ (2,128)
Debt issuance costs	1,138	$ 4,681
Senior Secured Notes 2024
Debt
Accumulated amortization of deferred financing costs	13,300	11,200
Accumulated amortization of debt issuance costs	2,800	2,300
Loss on extinguishment of debt	(1,700)
ABL Facility
Debt
Loss on extinguishment of debt	400
Debt issuance costs	1,400
ABL Facility | Algeco ABL facility
Debt
Accumulated amortization related to revolver deferred financing costs	5,100	$ 4,800
Debt issuance costs	$ 400

Debt - Schedule of maturities o

Debt - Schedule of maturities of long term debt and finance lease obligations (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Debt
Rest of 2023	$ 252
2024	210,682
2025	783
2026	134
Total	$ 211,851

Warrant Liabilities - Narrative

Warrant Liabilities - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
	Jan. 17, 2018	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Warrants to issue shares of common stock.		6,510,953		6,510,953
Fair Value Adjustment of Warrants		$ 2,576	$ 20,000	$ (1,809)	$ 20,374
Private Placement Warrants [Member]
Warrants to issue shares of common stock.	5,333,334	1,533,334	5,333,334	1,533,334	5,333,334
Aggregate purchase price per warrant	$ 1.50
Aggregate purchase price	$ 8,000
Number of stock issued for each warrant	1
Share price	$ 11.50
Warrant exercisable term	30 days
Fair Value Adjustment of Warrants		$ 2,600	$ 20,000	$ (1,800)	$ 20,400

Warrant Liabilities - Estimated

Warrant Liabilities - Estimated fair value Private Warrants (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Warrant liabilities	$ 7,927	$ 9,737
Private Placement Warrants [Member]
Warrant liabilities	$ 7,927	$ 9,737

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Taxes
Income tax expense	$ 14,608	$ 12,031	$ 40,528	$ 19,287
Effective tax rate	24.30%	38.70%	23%	31.30%
Effective Income Tax Rate	21%	21%	21%	21%

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2023 USD ($) $ / shares Y shares	Jun. 30, 2023 USD ($)	Mar. 31, 2023 USD ($)	Dec. 31, 2022 USD ($) Y $ / shares shares
Carrying amounts and fair values of financial assets and liabilities
Warrants to issue shares of common stock. | shares	6,510,953
Level 3 | Private Placement Warrants [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants to issue shares of common stock. | shares	1,533,334			1,533,334
Per Share Value of Warrants | $ / shares	$ 5.17			$ 6.35
Balance at beginning of the period	$ 5,351	$ 6,026	$ 9,737
Change in fair value of warrant liabilities	2,576	(675)	(3,711)
Balance at ending of the period	$ 7,927	$ 5,351	$ 6,026
Level 3 | Private Placement Warrants [Member] | Measurement Input, Exercise Price [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input | $ / shares	11.50			11.50
Level 3 | Private Placement Warrants [Member] | Measurement Input, Share Price [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input | $ / shares	15.88			15.14
Level 3 | Private Placement Warrants [Member] | Measurement Input, Expected Dividend Rate [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input	0			0
Level 3 | Private Placement Warrants [Member] | Measurement Input, Expected Term [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input | Y	0.46			1.20
Level 3 | Private Placement Warrants [Member] | Measurement Input, Risk Free Interest Rate [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input	0.0539			0.0456
Level 3 | Private Placement Warrants [Member] | Measurement Input, Price Volatility [Member]
Carrying amounts and fair values of financial assets and liabilities
Warrants and Rights Outstanding, Measurement Input	0.5700			0.7000
Senior Secured Notes 2024 | Carrying amount | Level 1
Carrying amounts and fair values of financial assets and liabilities
Debt Instrument, Fair Value Disclosure,	$ (208,126)			$ (328,848)
Senior Secured Notes 2024 | Fair value | Level 1
Carrying amounts and fair values of financial assets and liabilities
Debt Instrument, Fair Value Disclosure,	$ (209,605)			$ (335,403)

Earnings (Loss) per Share (Deta

Earnings (Loss) per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Numerator
Net income attributable to Common Stockholders - basic	$ 45,579	$ 19,022	$ 135,857	$ 42,367
Change in fair value of warrant liabilities			(1,809)
Net income attributable to Common Stockholders - diluted	$ 45,579	$ 19,022	$ 134,048	$ 42,367
Denominator
Weighted average shares outstanding - basic	101,620,537	97,242,170	101,246,546	97,086,415
Warrants	1,201,020		1,728,214
Weighted average shares outstanding - diluted	105,093,694	97,242,170	105,632,139	97,086,415
Net income per share - basic	$ 0.45	$ 0.20	$ 1.34	$ 0.44
Net income per share - diluted	$ 0.43	$ 0.20	$ 1.27	$ 0.44
Public Warrants
Denominator
Warrants	6,510,953
Stock Appreciation Rights (SARs) [Member]
Denominator
Dilutive effect of outstanding securities	210,299		264,269
Performance stock units
Denominator
Dilutive effect of outstanding securities	526,674		495,718
Employee Stock Option
Denominator
Dilutive effect of outstanding securities	427,347		545,229
RSUs
Denominator
Dilutive effect of outstanding securities	1,107,817		1,352,163
Warrant
Denominator
Excluded from computation of loss per share	8,044,287	16,166,650	8,044,287	16,166,650
Performance stock units
Denominator
Excluded from computation of loss per share			983,012
Antidilutive Securities That Did Not Meet Performance Criteria			45,512
Antidilutive Securities That Did Not Meet All Specified Share Price Thresholds			937,500
Private warrants
Denominator
Excluded from computation of loss per share	1,533,334

Stockholders' Equity (Details)

Stockholders' Equity (Details) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended	12 Months Ended
	Jan. 17, 2018 $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Mar. 31, 2023 USD ($) shares	Sep. 30, 2023 USD ($) Vote $ / shares shares	Dec. 31, 2022 Vote $ / shares shares
Common Stock
Common stock, shares issued		111,091,266		111,091,266	109,747,366
Common stock, shares outstanding		101,660,601		101,660,601	100,316,701
Common stock, par value (in dollars per share) | $ / shares		$ 0.0001		$ 0.0001	$ 0.0001
Number of Votes Per Share | Vote				1	1
Preferred Shares
Preferred stock, shares authorized		1,000,000		1,000,000
Preferred stock, par value | $ / shares		$ 0.0001		$ 0.0001
Preferred stock, shares issued		0		0
Preferred stock, shares outstanding		0		0
Warrants
Common stock, par value (in dollars per share) | $ / shares		$ 0.0001		$ 0.0001	$ 0.0001
Warrants to issue shares of common stock.		6,510,953		6,510,953
Proceeds from issuance of Common Stock from exercise of warrants | $				$ 209
Public Offering
Warrants
Number of units sold	32,500,000
Price per unit | $ / shares	$ 10
Number of warrants per unit	0.33
Number of fractional shares issued upon exercise of warrants	0
Number of stock issued for each warrant	1
Share price | $ / shares	$ 11.50
Warrant exercisable term	30 days
Over allotment
Warrants
Number of units sold	2,500,000
Public Warrants
Warrants
Shares issued during period, warrants exercised		14,500	2,869
Proceeds from issuance of Common Stock from exercise of warrants | $		$ 200	$ 100
Number of securities called by warrants or rights		14,500	2,869	14,500
Common Class A | Public Offering
Common Stock
Common stock, par value (in dollars per share) | $ / shares	$ 0.0001
Warrants
Number of shares per unit	1
Common stock, par value (in dollars per share) | $ / shares	$ 0.0001

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions									9 Months Ended	12 Months Ended
	Jul. 10, 2023	Jun. 19, 2023	May 18, 2023	Apr. 17, 2023	Mar. 01, 2023	Feb. 28, 2023	Aug. 05, 2021	Feb. 25, 2021	Sep. 30, 2023	Dec. 31, 2022
Stock-Based Compensation
Common stock, par value (in dollars per share)									$ 0.0001	$ 0.0001
RSUs
Other than options
Outstanding Options at beginning of period (in shares)									2,658,581
Granted (in shares)									287,849
Vested (in shares)									(1,162,729)
Outstanding Options at end of period (in shares)									1,783,701	2,658,581
Weighted Average Grant Date Fair Value per Share
Outstanding Options at beginning of period (in shares)									$ 2.98
Granted (in dollars per share)									15.14
Vested (in dollars per share)									3.40
Outstanding Options at end of period (in dollars per share)									$ 4.67	$ 2.98
RSUs | Executive Officers and Other Employees
Stock-Based Compensation
Vesting period (in years)					4 years
Other than options
Granted (in shares)					214,901
Employee Stock Option
Stock-Based Compensation
Forfeited (in shares)									0
Expected term (years)									6 years 3 months
Expected dividend rate									0%
Stock Appreciation Rights (SARs) [Member]
Stock-Based Compensation
Unrecognized compensation expense									$ 2.9
Deferred Compensation Share-based Arrangements, Liability, Current									$ 9.3	$ 12.6
Estimated Fair Value Per Share									$ 14.08	$ 13.61
Expected volatility										43.50%
Expected term (years)										6 years 3 months
Expected dividend rate										0%
Expected risk-free interest										1.07%
Exercise price							$ 12.42	$ 14.11		$ 0.78
Other than options
Forfeited (in shares)									0
Weighted Average Grant Date Fair Value per Share
Outstanding Options at end of period (in dollars per share)							$ 11.78	$ 13.40
Aggregate intrinsic value
Outstanding aggregate Intrinsic Value									$ 10.8
Stock Appreciation Rights (SARs) [Member] | Accrued Liabilities.
Stock-Based Compensation
Deferred Compensation Share-based Arrangements, Liability, Current										$ 6.3
Stock Appreciation Rights (SARs) [Member] | Other Noncurrent Liabilities
Stock-Based Compensation
Deferred Compensation Share-based Arrangements, Liability, Current										$ 6.3
Stock Appreciation Rights (SARs) [Member] | Stock Option One
Stock-Based Compensation
Expected volatility							34.21%	32.99%
Expected term (years)							5 months 1 day	2 months 12 days
Expected dividend rate							0%	0%
Expected risk-free interest							5.49%	5.50%
Exercise price							$ 3.54	$ 1.79
Stock Appreciation Rights (SARs) [Member] | Stock Option Two
Stock-Based Compensation
Expected volatility							47.27%	46.86%
Expected term (years)							1 year 1 month 6 days	7 months 24 days
Expected dividend rate							0%	0%
Expected risk-free interest							4.65%	4.70%
Exercise price							$ 3.54	$ 1.79
Performance stock units
Stock-Based Compensation
Right to buy number of shares upon vesting						1
Common stock, par value (in dollars per share)						$ 0.0001
Unrecognized compensation expense									$ 6.1
Expected volatility					45.86%
Expected term (years)					2 years 10 months 2 days
Expected dividend rate					0%
Correlation Coefficient					0.6210
Expected risk-free interest					4.60%
Exercise price					$ 20.66
Other than options
Outstanding Options at beginning of period (in shares)									1,495,017
Granted (in shares)					91,025				91,025
Outstanding Options at end of period (in shares)									1,586,042	1,495,017
Weighted Average Grant Date Fair Value per Share
Outstanding Options at beginning of period (in shares)									$ 4.72
Granted (in dollars per share)									17.82
Outstanding Options at end of period (in dollars per share)									5.47	$ 4.72
Director | RSUs
Other than options
Granted (in shares)		6,875	57,616
Employees | RSUs
Stock-Based Compensation
Vesting period (in years)	4 years			4 years
Other than options
Granted (in shares)	6,074			2,383
Minimum | Employee Stock Option
Stock-Based Compensation
Exercise price									4.51
Minimum | Total Shareholder Return Based Performance Share Units
Stock-Based Compensation
Vesting (in percentage)						0%
Minimum | Diversification EBITDA Based Performance Share Units
Stock-Based Compensation
Vesting (in percentage)						0%
Maximum | Employee Stock Option
Stock-Based Compensation
Exercise price									$ 10.83
Maximum | Total Shareholder Return Based Performance Share Units
Stock-Based Compensation
Vesting (in percentage)						200%
Maximum | Diversification EBITDA Based Performance Share Units
Stock-Based Compensation
Vesting (in percentage)						200%

Stock-Based Compensation - Chan

Stock-Based Compensation - Changes in stock options (Details) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2023 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares shares
Number of shares
Exercisable Options at end of period (in shares)	492,426
Employee Stock Option [Member]
Number of shares
Outstanding Options at beginning of period (in shares)	1,510,661
Exercised (in shares)	(750,381)
Outstanding Options at end of period (in shares)	760,280	1,510,661
Weighted Average Exercise Price per Share
Outstanding Options at beginning of period (in dollars per share) | $ / shares	$ 6.13
Exercised (in dollars per share) | $ / shares	5.76
Outstanding Options at end of period (in dollars per share) | $ / shares	$ 6.50	$ 6.13
Weighted Average Contractual Life (Years)
Outstanding Options (in years)	6 years 1 month 13 days	6 years 10 months 9 days
Intrinsic Value
Outstanding Options at end of period | $	$ 7,135	$ 13,615
Exercised | $	$ 8,268
Stock Appreciation Rights (SARs) [Member]
Number of shares
Outstanding Options at beginning of period (in shares)	1,537,776
Exercised (in shares)	(768,889)
Outstanding Options at end of period (in shares)	768,887	1,537,776
Weighted Average Exercise Price per Share
Outstanding Options at beginning of period (in dollars per share) | $ / shares	$ 1.82
Exercised (in dollars per share) | $ / shares	1.82
Outstanding Options at end of period (in dollars per share) | $ / shares	$ 1.82	$ 1.82
Weighted Average Contractual Life (Years)
Outstanding Options (in years)	7 years 5 months 1 day	8 years 2 months 1 day

Stock-Based Compensation - Assu

Stock-Based Compensation - Assumptions (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Sep. 30, 2023	Dec. 31, 2022	Aug. 05, 2021	Feb. 25, 2021
Employees
Assumptions:
Exercised awards settled in Cash	$ 0.1
Employee Stock Option
Assumptions:
Expected dividend yield - minimum		25.94%
Expected dividend yield - maximum		30.90%
Expected dividend yield		0%
Expected term (years)		6 years 3 months
Risk-free interest rate - minimum		0.82%
Risk-free interest rate - maximum		2.26%
Weighted-average grant date fair value		$ 1.42
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period		750,381
Stock Appreciation Rights (SARs) [Member]
Assumptions:
Weighted average expected stock volatility			43.50%
Expected dividend yield			0%
Expected term (years)			6 years 3 months
Risk-free interest rate (range)			1.07%
Exercise price (range)			$ 0.78	$ 12.42	$ 14.11
Exercised awards settled in Cash		$ 10
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period		768,889
Stock Appreciation Rights (SARs) [Member] | Employees
Assumptions:
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	13,453	755,436
Minimum | Employee Stock Option
Assumptions:
Exercise price (range)	$ 4.51	$ 4.51
Maximum | Employee Stock Option
Assumptions:
Exercise price (range)	$ 10.83	$ 10.83

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
RSUs
Stock-Based Compensation
Stock-based Compensation Expense	$ 1.3	$ 1.3	$ 4.1	$ 4.3
Associated tax benefit from stock-based compensation expense	0.3	1.1	1	1.7
Unrecognized compensation expense	8.2		$ 8.2
Period for unrecognized compensation expense expected to be recognized			2 years 5 months 19 days
Employee Stock Option
Stock-Based Compensation
Stock-based Compensation Expense	0.1	0.2	$ 0.4	0.6
Associated tax benefit from stock-based compensation expense			0.1	0.1
Unrecognized compensation expense	0.2		$ 0.2
Period for unrecognized compensation expense expected to be recognized			5 months 4 days
Stock Appreciation Rights (SARs) [Member]
Stock-Based Compensation
Stock-based Compensation Expense	2.2	6.3	$ 6.9	7.9
Period for unrecognized compensation expense expected to be recognized			5 months 1 day
Performance stock units
Stock-Based Compensation
Stock-based Compensation Expense	1.1	0.6	$ 2.6	0.8
Associated tax benefit from stock-based compensation expense	0.3	0.1	$ 0.6	$ 0.2
Period for unrecognized compensation expense expected to be recognized			1 year 10 months 2 days
Maximum | Employee Stock Option
Stock-Based Compensation
Associated tax benefit from stock-based compensation expense	$ 0.1	$ 0.1

Retirement Plans (Details)

Retirement Plans (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Retirement Plans
Minimum percentage of annual eligible compensation by the participants			1%
Maximum percentage of annual eligible compensation by the participants			90%
Percentage of contribution matched			5%
Percentage of contribution, matched 100% by employer			3%
Employer match of employee contributions of first 3% of contributions			100%
Percentage of contribution, matched 50% by employer			2%
Employer match of employee contributions of next 3% of contributions			50%
Contribution expenses	$ 0.3	$ 0.3	$ 0.9	$ 0.7

Business Segments (Details)

Business Segments (Details) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) segment	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($) segment
Business segments
Number of reportable segments | segment			2		4
Number of Operating Segments | segment			4		6
Revenue	$ 145,939	$ 159,565	$ 437,388	$ 349,547
Total Assets	696,524		696,524		$ 771,727
Operating Segments
Business segments
Revenue	145,939	159,565	437,388	349,547
Adjusted gross profit	104,409	94,635	304,327	199,755
Total Assets	433,827		433,827		428,388
HFS - South | Operating Segments
Business segments
Revenue	37,527	33,632	112,452	97,828
Adjusted gross profit	14,078	13,878	39,028	41,162
Total Assets	188,704		188,704		176,637
Government | Operating Segments
Business segments
Revenue	105,541	123,308	316,223	245,013
Adjusted gross profit	90,516	80,948	266,825	159,523
Total Assets	213,119		$ 213,119		$ 217,029
Four Segments | Revenues | Customer concentration risk
Business segments
Concentration risk, percentage					75%
Two Segments | Revenues | Customer concentration risk
Business segments
Concentration risk, percentage			75%
All Other | Operating Segments
Business segments
Revenue	2,871	2,625	$ 8,713	6,706
Adjusted gross profit	(185)	$ (191)	(1,526)	$ (930)
Total Assets	$ 32,004		$ 32,004		$ 34,722

Business Segments - Reconciliat

Business Segments - Reconciliation of total segment adjusted gross profit to total combined income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Other adjusted gross profit	$ (185)	$ (191)	$ (1,526)	$ (930)
Depreciation and amortization	(21,491)	(15,420)	(64,724)	(47,661)
Selling, general and administrative expenses	(15,273)	(19,153)	(43,929)	(42,014)
Other income (expense), net	71	(121)	(1,244)	74
Loss on extinguishment of debt			(2,128)
Interest expense, net	(4,953)	(8,888)	(17,726)	(28,126)
Change in fair value of warrant liabilities	(2,576)	(20,000)	1,809	(20,374)
Income before income tax	60,187	31,053	176,385	61,654
Operating Segments
Total reportable segment adjusted gross profit	104,409	94,635	304,327	199,755
Operating Segments | Reportable Segments, Excluding Other [Member]
Total reportable segment adjusted gross profit	$ 104,594	$ 94,826	$ 305,853	$ 200,685

Business Segments - Reconcili_2

Business Segments - Reconciliation of total segment assets to total combined assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Business Segments
Total assets	$ 696,524	$ 771,727
Operating Segments
Business Segments
Total assets	433,827	428,388
Operating Segments | All Other
Business Segments
Total assets	32,004	34,722
Other unallocated amounts
Business Segments
Total assets	260,732	341,662
Other unallocated amounts | Reportable Segments, Excluding Other [Member]
Business Segments
Total assets	401,823	393,666
Other unallocated amounts | All Other
Business Segments
Other Assets	33,969	36,399
Other Unallocated Assets	$ 260,732	$ 341,662

Business Segments - Unallocated

Business Segments - Unallocated assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Total current assets	$ 171,557	$ 236,379
Other intangible assets, net	69,655	75,182
Operating lease right-of-use assets, net	16,924	27,298
Deferred financing costs revolver, net	1,591	896
Other non-current assets	1,005	1,907
Total assets	696,524	771,727
Other unallocated amounts
Total current assets	171,557	236,379
Other intangible assets, net	69,655	75,182
Operating lease right-of-use assets, net	16,924	27,298
Deferred financing costs revolver, net	1,591	896
Other non-current assets	1,005	1,907
Total assets	$ 260,732	$ 341,662

Subsequent Events (Details)

Subsequent Events (Details) $ in Thousands						9 Months Ended	12 Months Ended
	Nov. 01, 2023 USD ($)	Oct. 12, 2023 USD ($)	Sep. 29, 2023	Sep. 15, 2023	Mar. 15, 2019 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Oct. 11, 2023 USD ($)
Subsequent Events
Principal amount outstanding							$ 334,500
Senior Secured Notes 2024
Subsequent Events
Principal amount of debt					$ 340,000	$ 209,500
Interest rate (as a percent)					9.50%	9.50%	9.50%
Senior Secured Notes 2025 | Arrow Bidco
Subsequent Events
Interest rate (as a percent)			10.75%
Repurchase of debt expressed as a percentage of principal amount				101%
September 15 2024 | Senior Secured Notes 2024
Subsequent Events
Redemption price (as a percent)						100%
September 15 2024 | Senior Secured Notes 2025 | Arrow Bidco
Subsequent Events
Redemption price (as a percent)			102%
March 15, 2025 and thereafter | Senior Secured Notes 2025 | Arrow Bidco
Subsequent Events
Redemption price (as a percent)			101%
ABL Facility
Subsequent Events
Borrowing capacity					$ 125,000
ABL Facility | Maximum | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Subsequent Events
Variable rate (as a percent)					2.75%
ABL Facility | Maximum | Base rate
Subsequent Events
Variable rate (as a percent)					1.75%
ABL Facility | Minimum | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Subsequent Events
Variable rate (as a percent)					2.25%
ABL Facility | Minimum | Base rate
Subsequent Events
Variable rate (as a percent)					1.25%
Subsequent Event | Senior Secured Notes 2024 | Arrow Bidco
Subsequent Events
Debt amount exchanged	$ 181,400
Subsequent Event | Senior Secured Notes 2025 | Arrow Bidco
Subsequent Events
Principal amount of debt	181,400
Cash paid to holders in exchange of debt	2,700
Principal amount outstanding	$ 28,100
Interest rate (as a percent)	10.75%
Subsequent Event | ABL Facility
Subsequent Events
Borrowing capacity		$ 175,000						$ 125,000
Fixed charge coverage ratio		1
Total leverage ratio		2.50
Subsequent Event | ABL Facility | Maximum | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Subsequent Events
Variable rate (as a percent)		4.75%
Subsequent Event | ABL Facility | Maximum | Base rate
Subsequent Events
Variable rate (as a percent)		3.75%
Subsequent Event | ABL Facility | Minimum | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Subsequent Events
Variable rate (as a percent)		4.25%
Subsequent Event | ABL Facility | Minimum | Base rate
Subsequent Events
Variable rate (as a percent)		3.25%

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ 45,579	$ 46,453	$ 43,825	$ 19,022	$ 22,851	$ 494	$ 135,857	$ 42,367

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false