Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 01, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-07908 | |
Entity Registrant Name | ADAMS RESOURCES & ENERGY, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 74-1753147 | |
Entity Address, Address Line One | 17 South Briar Hollow Lane | |
Entity Address, Address Line Two | Suite 100 | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77027 | |
City Area Code | 713 | |
Local Phone Number | 881-3600 | |
Title of 12(b) Security | Common Stock, $0.10 Par Value | |
Trading Symbol | AE | |
Security Exchange Name | NYSEAMER | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 2,452,404 | |
Entity Central Index Key | 0000002178 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 86,510 | $ 97,825 |
Restricted cash | 7,404 | 9,492 |
Accounts receivable, net of allowance for doubtful accounts of $88 and $108, respectively | 198,790 | 137,789 |
Accounts receivable – related party | 5 | 2 |
Inventory | 29,844 | 18,942 |
Derivative assets | 2,036 | 347 |
Income tax receivable | 0 | 6,424 |
Prepayments and other current assets | 2,058 | 2,389 |
Total current assets | 326,647 | 273,210 |
Property and equipment, net | 107,991 | 88,036 |
Operating lease right-of-use assets, net | 7,906 | 7,113 |
Intangible assets, net | 10,379 | 3,317 |
Goodwill | 5,755 | 0 |
Other assets | 3,445 | 3,027 |
Total assets | 462,123 | 374,703 |
Current liabilities: | ||
Accounts payable | 217,123 | 168,224 |
Accounts payable – related party | 20 | 0 |
Derivative liabilities | 129 | 324 |
Current portion of finance lease obligations | 4,263 | 3,663 |
Current portion of operating lease liabilities | 2,724 | 2,178 |
Other current liabilities | 20,972 | 11,622 |
Total current liabilities | 245,231 | 186,011 |
Other long-term liabilities: | ||
Long-term debt | 15,000 | 0 |
Asset retirement obligations | 2,474 | 2,376 |
Finance lease obligations | 9,934 | 9,672 |
Operating lease liabilities | 5,179 | 4,938 |
Deferred taxes and other liabilities | 15,054 | 11,320 |
Total liabilities | 292,872 | 214,317 |
Commitments and contingencies (Note 16) | ||
Shareholders’ equity: | ||
Preferred stock - $1.00 par value, 960,000 shares authorized, none outstanding | 0 | 0 |
Common stock – $0.10 par value, 7,500,000 shares,authorized, 4,394,837 and 4,355,001 shares outstanding, respectively | 438 | 433 |
Contributed capital | 18,218 | 16,913 |
Retained earnings | 150,595 | 143,040 |
Total shareholders’ equity | 169,251 | 160,386 |
Total liabilities and shareholders’ equity | $ 462,123 | $ 374,703 |
UNAUDITED CONDENSED CONSOLIDA_2
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Allowance for doubtful accounts | $ 88 | $ 108 |
Shareholders’ equity: | ||
Preferred stock - par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock - shares authorized (in shares) | 960,000 | 960,000 |
Preferred stock - shares outstanding (in shares) | 0 | 0 |
Common stock - par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock - shares authorized (in shares) | 7,500,000 | 7,500,000 |
Common stock - shares outstanding (in shares) | 4,394,837 | 4,355,001 |
UNAUDITED CONDENSED CONSOLIDA_3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues: | ||||
Total revenues | $ 852,901 | $ 568,181 | $ 2,619,196 | $ 1,380,416 |
Costs and expenses: | ||||
General and administrative | 4,630 | 3,502 | 12,860 | 9,839 |
Depreciation and amortization | 6,008 | 4,849 | 16,109 | 14,703 |
Total costs and expenses | 849,908 | 565,880 | 2,605,095 | 1,367,929 |
Operating earnings | 2,993 | 2,301 | 14,101 | 12,487 |
Other income (expense): | ||||
Interest and other income | 338 | 37 | 665 | 233 |
Interest expense | (119) | (178) | (369) | (602) |
Total other income (expense), net | 219 | (141) | 296 | (369) |
Earnings before income taxes | 3,212 | 2,160 | 14,397 | 12,118 |
Income tax provision | (1,022) | (614) | (3,641) | (3,055) |
Net earnings | $ 2,190 | $ 1,546 | $ 10,756 | $ 9,063 |
Earnings per share: | ||||
Basic net earnings per common share (in dollars per share) | $ 0.50 | $ 0.36 | $ 2.46 | $ 2.13 |
Diluted net earnings per common share (in dollars per share) | 0.50 | 0.36 | 2.44 | 2.12 |
Dividends per common share (in dollars per share) | $ 0.24 | $ 0.24 | $ 0.72 | $ 0.72 |
Marketing | ||||
Revenues: | ||||
Total revenues | $ 814,394 | $ 543,228 | $ 2,524,465 | $ 1,310,343 |
Costs and expenses: | ||||
Cost of goods and services sold | 807,316 | 537,362 | 2,498,474 | 1,285,650 |
Transportation | ||||
Revenues: | ||||
Total revenues | 29,830 | 24,826 | 86,054 | 69,558 |
Costs and expenses: | ||||
Cost of goods and services sold | 23,732 | 19,605 | 68,271 | 56,143 |
Pipeline and storage | ||||
Revenues: | ||||
Total revenues | 0 | 127 | 0 | 515 |
Costs and expenses: | ||||
Cost of goods and services sold | 640 | 562 | 1,799 | 1,594 |
Logistics and repurposing | ||||
Revenues: | ||||
Total revenues | 8,677 | 0 | 8,677 | 0 |
Costs and expenses: | ||||
Cost of goods and services sold | $ 7,582 | $ 0 | $ 7,582 | $ 0 |
UNAUDITED CONDENSED CONSOLIDA_4
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Operating activities: | ||
Net earnings | $ 10,756 | $ 9,063 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 16,109 | 14,703 |
Gains on sales of property | (1,709) | (532) |
Provision for doubtful accounts | (20) | (3) |
Stock-based compensation expense | 712 | 641 |
Deferred income taxes | (1,761) | (1,664) |
Net change in fair value contracts | (1,884) | (32) |
Changes in assets and liabilities: | ||
Accounts receivable | (56,060) | (30,367) |
Accounts receivable/payable, affiliates | 17 | (5) |
Inventories | (10,259) | (5,026) |
Income tax receivable | 6,424 | 7,099 |
Prepayments and other current assets | 468 | 1,455 |
Accounts payable | 46,925 | 68,766 |
Accrued liabilities | 6,489 | 770 |
Other | (375) | (636) |
Net cash provided by operating activities | 15,832 | 64,232 |
Investing activities: | ||
Property and equipment additions | (6,797) | (9,929) |
Acquisition of Firebird and Phoenix, net of cash acquired | (33,590) | 0 |
Proceeds from property sales | 2,209 | 1,886 |
Insurance and state collateral refunds | 331 | 0 |
Net cash used in investing activities | (37,847) | (8,043) |
Financing activities: | ||
Borrowings under Credit Agreement | 45,000 | 8,000 |
Repayments under Credit Agreement | (30,000) | 0 |
Principal repayments of finance lease obligations | (3,491) | (3,240) |
Payment for financed portion of VEX acquisition | 0 | (10,000) |
Net proceeds from sale of equity | 283 | 2,504 |
Dividends paid on common stock | (3,180) | (3,096) |
Net cash provided by (used in) financing activities | 8,612 | (5,832) |
(Decrease) Increase in cash and cash equivalents, including restricted cash | (13,403) | 50,357 |
Cash and cash equivalents, including restricted cash, at beginning of period | 107,317 | 52,065 |
Cash and cash equivalents, including restricted cash, at end of period | $ 93,914 | $ 102,422 |
UNAUDITED CONDENSED CONSOLIDA_5
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Contributed Capital | Retained Earnings |
Beginning balance at Dec. 31, 2020 | $ 149,092 | $ 423 | $ 13,340 | $ 135,329 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 2,808 | 2,808 | ||
Stock-based compensation expense | 185 | 185 | ||
Cancellation of shares withheld to cover taxes upon vesting of restricted awards | (31) | (31) | ||
Dividends declared: | ||||
Common stock | (1,019) | (1,019) | ||
Awards under LTIP | (18) | (18) | ||
Ending balance at Mar. 31, 2021 | 151,017 | 423 | 13,494 | 137,100 |
Beginning balance at Dec. 31, 2020 | 149,092 | 423 | 13,340 | 135,329 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 9,063 | |||
Issuance of common shares for acquisition | 0 | |||
Ending balance at Sep. 30, 2021 | 158,082 | 432 | 16,375 | 141,275 |
Beginning balance at Mar. 31, 2021 | 151,017 | 423 | 13,494 | 137,100 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 4,709 | 4,709 | ||
Stock-based compensation expense | 232 | 232 | ||
Vesting of restricted awards | 0 | 1 | (1) | |
Cancellation of shares withheld to cover taxes upon vesting of restricted awards | (70) | (70) | ||
Dividends declared: | ||||
Common stock | (1,021) | (1,021) | ||
Awards under LTIP | (16) | (16) | ||
Ending balance at Jun. 30, 2021 | 154,851 | 424 | 13,655 | 140,772 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 1,546 | 1,546 | ||
Stock-based compensation expense | 224 | 224 | ||
Shares sold at the market | 2,504 | 8 | 2,496 | |
Dividends declared: | ||||
Common stock | (1,027) | (1,027) | ||
Awards under LTIP | (16) | (16) | ||
Ending balance at Sep. 30, 2021 | 158,082 | 432 | 16,375 | 141,275 |
Beginning balance at Dec. 31, 2021 | 160,386 | 433 | 16,913 | 143,040 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 6,090 | 6,090 | ||
Stock-based compensation expense | 195 | 195 | ||
Vesting of restricted awards | 0 | 2 | (2) | |
Cancellation of shares withheld to cover taxes upon vesting of restricted awards | (86) | (86) | ||
Dividends declared: | ||||
Common stock | (1,048) | (1,048) | ||
Awards under LTIP | (16) | (16) | ||
Ending balance at Mar. 31, 2022 | 165,521 | 435 | 17,020 | 148,066 |
Beginning balance at Dec. 31, 2021 | 160,386 | 433 | 16,913 | 143,040 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 10,756 | |||
Issuance of common shares for acquisition | 1,364 | |||
Ending balance at Sep. 30, 2022 | 169,251 | 438 | 18,218 | 150,595 |
Beginning balance at Mar. 31, 2022 | 165,521 | 435 | 17,020 | 148,066 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 2,476 | 2,476 | ||
Stock-based compensation expense | 263 | 263 | ||
Cancellation of shares withheld to cover taxes upon vesting of restricted awards | (24) | (24) | ||
Shares sold at the market | 283 | 1 | 282 | |
Dividends declared: | ||||
Common stock | (1,049) | (1,049) | ||
Awards under LTIP | (18) | (18) | ||
Ending balance at Jun. 30, 2022 | 167,452 | 436 | 17,541 | 149,475 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 2,190 | 2,190 | ||
Stock-based compensation expense | 254 | 254 | ||
Issuance of common shares for acquisition | 425 | 2 | 423 | |
Dividends declared: | ||||
Common stock | (1,054) | (1,054) | ||
Awards under LTIP | (16) | (16) | ||
Ending balance at Sep. 30, 2022 | $ 169,251 | $ 438 | $ 18,218 | $ 150,595 |
UNAUDITED CONDENSED CONSOLIDA_6
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||||
Dividends per common share (in dollars per share) | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 |
Awards under LTIP (in dollars per share) | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 | $ 0.24 |
Organization and Basis of Prese
Organization and Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Organization Adams Resources & Energy, Inc. is a publicly traded Delaware corporation organized in 1973, the common shares of which are listed on the NYSE American LLC under the ticker symbol “AE”. Through our subsidiaries, we are primarily engaged in crude oil marketing, transportation, terminalling and storage in various crude oil and natural gas basins in the lower 48 states of the United States (“U.S.”). We also conduct tank truck transportation of liquid chemicals, pressurized gases, asphalt and dry bulk primarily in the lower 48 states of the U.S. with deliveries into Canada and Mexico, and with twenty terminals across the U.S. We also recycle and repurpose off-specification fuels, lubricants, crude oil and other chemicals from producers in the U.S. Unless the context requires otherwise, references to “we,” “us,” “our,” “Adams” or the “Company” are intended to mean the business and operations of Adams Resources & Energy, Inc. and its consolidated subsidiaries. On August 12, 2022, we completed our acquisition of all of the equity interests of Firebird Bulk Carriers, Inc. (“Firebird”) and Phoenix Oil, Inc. (“Phoenix”). The condensed consolidated financial statements prior to August 12, 2022 reflect only the historical results of Adams. The condensed consolidated financial statements since the completion of the Firebird and Phoenix acquisition have included the results of Firebird and Phoenix using the acquisition method of accounting. See Note 6 for further information regarding the acquisition. We operate and report in four business segments: (i) crude oil marketing, transportation and storage; (ii) tank truck transportation of liquid chemicals, pressurized gases, asphalt and dry bulk; (iii) pipeline transportation, terminalling and storage of crude oil; and (iv) beginning in the third quarter of 2022, interstate bulk transportation logistics of crude oil, condensate, fuels, oils and other petroleum products and recycling and repurposing of off-specification fuels, lubricants, crude oil and other chemicals, which includes the businesses we acquired in August 2022 (see Note 6 for further information regarding our business acquisition). See Note 8 for further information regarding our business segments. Basis of Presentation Our results of operations for the three and nine months ended September 30, 2022 are not necessarily indicative of results expected for the full year of 2022. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals necessary for fair presentation. The condensed consolidated financial statements and the accompanying notes are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial statements and the rules of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required by GAAP for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Form 10-K”) filed with the SEC on March 9, 2022. All significant intercompany transactions and balances have been eliminated in consolidation. Use of Estimates |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Cash, Cash Equivalents and Restricted Cash The following table provides a reconciliation of cash and cash equivalents and restricted cash as reported in the unaudited condensed consolidated balance sheets that totals to the amounts shown in the unaudited condensed consolidated statements of cash flows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Cash and cash equivalents $ 86,510 $ 97,825 Restricted cash: Captive insurance subsidiary (1) 7,404 9,492 Total cash, cash equivalents and restricted cash shown in the unaudited condensed consolidated statements of cash flows $ 93,914 $ 107,317 _____________ (1) $1.5 million of the restricted cash balance relates to the initial capitalization of our captive insurance company formed in late 2020, and the remainder represents amounts paid to our captive insurance company for insurance premiums. Common Shares Outstanding The following table reconciles our outstanding common stock for the periods indicated: Common shares Balance, January 1, 2022 4,355,001 Vesting of restricted stock unit awards (see Note 13) 15,966 Shares withheld to cover taxes upon vesting of restricted stock unit awards (3,101) Balance, March 31, 2022 4,367,866 Vesting of restricted stock unit awards (see Note 13) 2,953 Shares withheld to cover taxes upon vesting of restricted stock unit awards (705) Shares sold at the market 8,202 Balance, June 30, 2022 4,378,316 Issuance of shares in acquisition (see Note 6) 15,259 Vesting of restricted stock unit awards (see Note 13) 973 Vesting of performance share unit awards (see Note 13) 289 Balance, September 30, 2022 (1) 4,394,837 _____________ (1) On October 31, 2022, we repurchased 1,942,433 of our common shares. See Note 17 for further information. Earnings Per Share Basic earnings per share is computed by dividing our net earnings by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by giving effect to all potential common shares outstanding, including shares related to unvested restricted stock unit awards. Unvested restricted stock unit awards granted under the Adams Resources & Energy, Inc. 2018 Long-Term Incentive Plan, as amended and restated (“2018 LTIP”), or granted as employment inducement awards outside of the 2018 LTIP, are not considered to be participating securities as the holders of these shares do not have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares (see Note 13 for further discussion). A reconciliation of the calculation of basic and diluted earnings per share was as follows for the periods indicated (in thousands, except per share data): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Earnings per share — numerator: Net earnings $ 2,190 $ 1,546 $ 10,756 $ 9,063 Denominator: Basic weighted average number of shares outstanding 4,387 4,274 4,373 4,258 Basic earnings per share $ 0.50 $ 0.36 $ 2.46 $ 2.13 Diluted earnings per share: Diluted weighted average number of shares outstanding: Common shares 4,387 4,274 4,373 4,258 Restricted stock unit awards 20 17 21 16 Performance share unit awards (1) 13 6 12 6 Total diluted shares 4,420 4,297 4,406 4,280 Diluted earnings per share $ 0.50 $ 0.36 $ 2.44 $ 2.12 _______________ (1) The dilutive effect of performance share awards are included in the calculation of diluted earnings per share when the performance share award performance conditions have been achieved. Equity At-The-Market Offerings During the nine months ended September 30, 2022, we received net proceeds of approximately $0.3 million (net of offering costs to B. Riley Securities, Inc. of $14 thousand) from the sale of 8,202 of our common shares at an average price per share of approximately $37.38 in at-the-market offerings under our At Market Issuance Sales Agreement with B. Riley Securities, Inc. dated December 23, 2020. No shares were sold during the three months ended September 30, 2022. Fair Value Measurements The carrying amounts reported in the unaudited condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of the immediate or short-term maturity of these financial instruments. Marketable securities are recorded at fair value based on market quotations from actively traded liquid markets. A three-tier hierarchy has been established that classifies fair value amounts recognized in the financial statements based on the observability of inputs used to estimate these fair values. The hierarchy considers fair value amounts based on observable inputs (Levels 1 and 2) to be more reliable and predictable than those based primarily on unobservable inputs (Level 3). At each balance sheet reporting date, we categorize our financial assets and liabilities using this hierarchy. See Note 6 for a discussion of the Level 3 inputs used in the determination of the fair value of the intangible assets acquired and the contingent consideration issued in a business combination that occurred in August 2022. Fair value contracts consist of derivative financial instruments and are recorded as either an asset or liability measured at its fair value. Changes in fair value are recognized immediately in earnings unless the derivatives qualify for, and we elect, cash flow hedge accounting. We had no contracts designated for hedge accounting during any current reporting periods (see Note 12 for further information). Income Taxes Income taxes are accounted for using the asset and liability method. Under this approach, deferred tax assets and liabilities are recognized based on anticipated future tax consequences attributable to differences between financial statement carrying amounts of these items and their respective tax basis. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was enacted and signed into law in response to the COVID-19 pandemic. The CARES Act, among other things, permitted net operating losses (“NOL”) incurred in tax years 2018, 2019 and 2020 to offset 100 percent of taxable income and be carried back to each of the five preceding taxable years to generate a refund of previously paid income taxes. We carried back our NOL for fiscal year 2020 to fiscal years 2015 and 2016, and in June 2022, we received a cash refund of approximately $6.8 million. Inventory Inventory consists of crude oil held in storage tanks and at third-party pipelines as part of our crude oil marketing and pipeline and storage operations. Crude oil inventory is carried at the lower of cost or net realizable value. At the end of each reporting period, we assess the carrying value of our inventory and make adjustments necessary to reduce the carrying value to the applicable net realizable value. Any resulting adjustments are a component of marketing costs and expenses or pipeline and storage expenses on our consolidated statements of operations. No charges were recognized during the three and nine months ended September 30, 2022 and 2021. Property and Equipment Property and equipment is recorded at cost. Expenditures for additions, improvements and other enhancements to property and equipment are capitalized, and minor replacements, maintenance and repairs that do not extend asset life or add value are charged to expense as incurred. When property and equipment assets are retired or otherwise disposed of, the related cost and accumulated depreciation is removed from the accounts and any resulting gain or loss is included in results of operations in operating costs and expenses for the respective period. Property and equipment, except for land, is depreciated using the straight-line method over the estimated average useful lives ranging from two We review our long-lived assets for impairment whenever there is evidence that the carrying value of these assets may not be recoverable. Any impairment recognized is permanent and may not be restored. Property and equipment is reviewed at the lowest level of identifiable cash flows. For property and equipment requiring impairment, the fair value is estimated based on an internal discounted cash flow model of future cash flows. See Note 5 for additional information regarding our property and equipment. Stock-Based Compensation We measure all share-based payment awards, including the issuance of restricted stock unit awards and performance share unit awards to employees and board members, using a fair-value based method. The cost of services received from employees and non-employee board members in exchange for awards of equity instruments is recognized in the consolidated statements of operations based on the estimated fair value of those awards on the grant date and is amortized on a straight-line basis over the requisite service period. The fair value of restricted stock unit awards and performance share unit awards is based on the closing price of our common stock on the grant date. We account for forfeitures as they occur. See Note 13 for additional information regarding our 2018 LTIP. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Revenue Disaggregation The following table disaggregates our revenue by segment and by major source for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Crude Oil Marketing: Revenue from contracts with customers: Goods transferred at a point in time $ 802,707 $ 535,166 $ 2,491,066 $ 1,285,461 Services transferred over time — — — — Total revenues from contracts with customers 802,707 535,166 2,491,066 1,285,461 Other (1) 11,687 8,062 33,399 24,882 Total crude oil marketing revenue $ 814,394 $ 543,228 $ 2,524,465 $ 1,310,343 Transportation: Revenue from contracts with customers: Goods transferred at a point in time $ — $ — $ — $ — Services transferred over time 29,830 24,826 86,054 69,558 Total revenues from contracts with customers 29,830 24,826 86,054 69,558 Other — — — — Total transportation revenue $ 29,830 $ 24,826 $ 86,054 $ 69,558 Pipeline and storage: Revenue from contracts with customers: Goods transferred at a point in time $ — $ — $ — $ — Services transferred over time — 127 — 515 Total revenues from contracts with customers — 127 — 515 Other — — — — Total pipeline and storage revenue $ — $ 127 $ — $ 515 Logistics and repurposing: (2) Revenue from contracts with customers: Goods transferred at a point in time (3) $ 4,178 $ — $ 4,178 $ — Services transferred over time (4) 4,499 — 4,499 — Total revenues from contracts with customers 8,677 — 8,677 — Other — — — — Total logistics and repurposing revenue $ 8,677 $ — $ 8,677 $ — Subtotal: Total revenues from contracts with customers $ 841,214 $ 560,119 $ 2,585,797 $ 1,355,534 Total other (1) 11,687 8,062 33,399 24,882 Total consolidated revenues $ 852,901 $ 568,181 $ 2,619,196 $ 1,380,416 _______________ (1) Other crude oil marketing revenues are recognized under Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging , and ASC 845, Nonmonetary Transactions – Purchases and Sales of Inventory with the Same Counterparty . (2) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (3) Revenues from the transportation of petroleum products are earned over time as the performance obligation is satisfied. (4) Revenues from the sale of petroleum products are earned at a point in time when control of the product transfers to the customer and the performance obligation is satisfied. Other Crude Oil Marketing Revenue Certain of the commodity purchase and sale contracts utilized by our crude oil marketing business qualify as derivative instruments with certain specifically identified contracts also designated as trading activity. From the time of contract origination, these contracts are marked-to-market and recorded on a net revenue basis in the accompanying unaudited condensed consolidated financial statements. Certain of our crude oil contracts may be with a single counterparty to provide for similar quantities of crude oil to be bought and sold at different locations. These contracts are entered into for a variety of reasons, including effecting the transportation of the commodity, to minimize credit exposure, and/or to meet the competitive demands of the customer. These buy/sell arrangements are reflected on a net revenue basis in the accompanying unaudited condensed consolidated financial statements. Reporting these crude oil contracts on a gross revenue basis would increase our reported revenues as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenue gross-up $ 430,244 $ 201,704 $ 1,156,711 $ 526,082 |
Prepayments and Other Current A
Prepayments and Other Current Assets | 9 Months Ended |
Sep. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Prepayments and Other Current Assets | Prepayments and Other Current Assets The components of prepayments and other current assets were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Insurance premiums $ 344 $ 641 Vendor prepayment — 602 Rents, licenses and other 1,714 1,146 Total prepayments and other current assets $ 2,058 $ 2,389 |
Property and Equipment
Property and Equipment | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment The historical costs of our property and equipment and related accumulated depreciation and amortization balances were as follows at the dates indicated (in thousands): Estimated Useful Life September 30, December 31, in Years 2022 2021 Tractors and trailers 5 – 6 $ 131,214 $ 106,558 Field equipment 2 – 5 24,489 22,851 Finance lease ROU assets (1) 3 – 6 21,583 22,349 Pipeline and related facilities 20 – 25 20,362 20,336 Linefill and base gas (2) N/A 3,922 3,922 Buildings 5 – 39 16,163 16,163 Office equipment 2 – 5 2,928 2,060 Land N/A 2,309 2,008 Construction in progress N/A 1,617 3,396 Total 224,587 199,643 Less accumulated depreciation and amortization (116,596) (111,607) Property and equipment, net $ 107,991 $ 88,036 _______________ (1) Our finance lease right-of-use (“ROU)” assets arise from leasing arrangements for the right to use various classes of underlying assets including tractors, trailers, a tank storage and throughput arrangement and office equipment (see Note 15 for further information). Accumulated amortization of the assets presented as “Finance lease ROU assets” was $8.4 million and $9.8 million at September 30, 2022 and December 31, 2021, respectively. (2) Linefill and base gas represents crude oil in the VEX pipeline and storage tanks we own, and the crude oil is recorded at historical cost. Components of depreciation and amortization expense were as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Depreciation and amortization, excluding amounts under finance leases $ 4,685 $ 3,665 $ 12,317 $ 11,169 Amortization of property and equipment under finance leases 1,323 1,184 3,792 3,534 Total depreciation and amortization $ 6,008 $ 4,849 $ 16,109 $ 14,703 |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination, Description [Abstract] | |
Acquisition | Acquisition On August 12, 2022, we entered into a purchase agreement with each of Scott Bosard, Trey Bosard and Tyler Bosard (collectively, the “Sellers”) to acquire all of the equity interests of Firebird and Phoenix for approximately $39.7 million, consisting of a cash payment of $35.8 million, 45,777 of our common shares valued at $1.4 million, of which 15,259 shares were issued immediately and 30,518 shares will be issued over a three year period, and contingent consideration valued at approximately $2.6 million. We funded the cash consideration using cash on hand at the time of acquisition. Pursuant to the purchase agreement, the purchase price is subject to customary post-closing adjustment provisions, including an earn-out payable to the Sellers to the extent the earnings before interest, taxes, depreciation and amortization (EBITDA) of Phoenix exceeds a specified threshold during the twelve full calendar months after the closing date of the acquisition. Firebird is an interstate bulk motor carrier of crude oil, condensate, fuels, oils and other petroleum products. Firebird is headquartered in Humble, Texas, with six terminal locations throughout Texas, and operated 123 tractors and 216 trailers largely in the Eagle Ford basin at the time of the acquisition. Phoenix is also headquartered in Humble, Texas, and recycles and repurposes off-specification fuels, lubricants, crude oil and other chemicals from producers in the U.S. Firebird and Phoenix have formed our new logistics and repurposing segment. We expect that this acquisition will offer us the opportunity to expand our value chain and market impact, with numerous synergies benefiting the combined companies. The following table summarizes the aggregate preliminary consideration paid and issued for Firebird and Phoenix (in thousands): Cash $ 35,793 Value of AE common shares issued 1,364 Contingent consideration arrangement 2,566 Fair value of total consideration transferred $ 39,723 The fair market value of the common shares issued in this transaction was determined based upon the closing share price of AE common stock on August 12, 2022 of $33.75, discounted to present value using the appropriate discount rate. We accounted for the acquisition of Firebird and Phoenix under the acquisition method in accordance with ASC 805, Business Combinations. The allocation of purchase consideration was based upon the estimated fair value of the tangible and indentifiable intangible assets acquired and liabilities assumed in the acquisition. The following table presents the preliminary purchase price allocation to estimated fair values of the identifiable assets acquired and liabilities assumed at the acquisition date of August 12, 2022 (in thousands): Assets acquired: Cash and cash equivalents $ 2,203 Accounts receivable 4,921 Inventory 643 Other current assets 137 Property and equipment 24,709 Intangible assets 7,734 Goodwill 5,755 Other assets 457 Total assets acquired $ 46,559 Liabilities assumed: Accounts payable and other accrued liabilities $ (1,945) Deferred tax liabilities (4,891) Total liabilities assumed $ (6,836) Net assets acquired $ 39,723 The purchase price allocation is subject to revision as acquisition-date fair value analyses are completed and if additional information about facts and circumstances that existed at the acquisition date becomes available. The purchase price consideration, as well as the estimated fair values of the assets acquired and liabilities assumed, will be finalized as soon as practicable, but no later than one year from the closing of the acquisition. The estimated fair value of the acquired property and equipment was determined using a combination of the cost approach and the market approach, specifically determining the replacement cost value of each type of asset. Acquired identifiable intangible assets consists of approximately $5.2 million for customer relationships, $2.2 million for trade names, and $0.3 million for noncompete agreements entered into in connection with the acquisition. The estimated fair value of the acquired customer relationship intangible assets was determined using an income approach, specifically a discounted cash flow analysis, and are being amortized on a modified straight-line basis over a period of ten years, with the amortization more heavily weighted in the earlier years. The income approach estimates the future benefits of the customer relationships and deducts the expenses incurred in servicing the relationships and the contributions from the other business assets to derive the future net benefits of these assets. The future net benefits are discounted back to present value using the appropriate discount rate, which results in the value of the customer relationships. The estimated fair value of the trade names was determined using the relief from royalty method, a form of the income approach, and are being amortized on a straight-line basis over a period of 15 years. The estimated fair value of the noncompete agreements was determined using an income approach, specifically a discounted cash flow analysis, and are being amortized over a period of five years. The goodwill of approximately $5.8 million arising from this acquisition is primarily attributed to our ability to generate increased revenues, earnings and cash flow by expanding our addressable market and client base and with the assembled workforce that we acquired. None of the goodwill is expected to be deductible for tax purposes. We recorded net tax liabilities of approximately $4.9 million related to the tax effect of our estimated fair value allocations. The discounted cash flow analysis used to estimate the fair value of the Firebird and Phoenix intangible assets relied on Level 3 fair value inputs. Level 3 fair values are based on unobservable inputs. Unobservable inputs are used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset at the measurement date. The valuations were based on the information that was available as of the acquisition date, and the expectations and assumptions that have been deemed reasonable by our management. There are inherent uncertainties and management judgment required in these determinations. The fair value measurements of the assets acquired and liabilities assumed were based on valuations involving significant unobservable inputs, or Level 3 in the fair value hierarchy. The contribution of this newly acquired business to our consolidated revenues and net earnings was $8.7 million and $0.2 million, respectively, for both the three and nine months ended September 30, 2022. We incurred approximately $0.3 million of acquisition costs in connection with this acquisition, which have been expensed in general and administrative expense as incurred. Unaudited Pro Forma Financial Information The unaudited pro forma condensed consolidated results of operations in the table below are provided for illustrative purposes only and summarize the combined results of our operations and those of Firebird and Phoenix. For purposes of this pro forma presentation, the acquisition of Firebird and Phoenix is assumed to have occurred on January 1, 2021. The pro forma financial information for all periods presented also includes the estimated business combination accounting effects resulting from this acquisition, notably amortization expense from the acquired intangible assets and certain other integration related impacts. This unaudited pro forma financial information should not be relied upon as being indicative of the historical results that would have been obtained if the acquisition had actually occurred on January 1, 2021, nor of the results of operations that may be obtained in the future (in thousands). Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenues $ 860,771 $ 581,334 $ 2,663,447 $ 1,417,475 Net earnings 2,295 2,056 12,867 10,430 Basic net earnings per common share $ 0.52 $ 0.48 $ 2.93 $ 2.44 Diluted net earnings per common share $ 0.52 $ 0.48 $ 2.91 $ 2.43 |
Other Assets
Other Assets | 9 Months Ended |
Sep. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets | Other Assets Components of other assets were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Amounts associated with liability insurance program: Insurance collateral deposits $ 390 $ 721 Excess loss fund 622 622 Accumulated interest income 523 489 Other amounts: State collateral deposits 36 36 Materials and supplies 1,209 574 Debt issuance costs 392 292 Other 273 293 Total other assets $ 3,445 $ 3,027 We have established certain deposits to support participation in our liability insurance program and remittance of state crude oil severance taxes and other state collateral deposits. Insurance collateral deposits are held by the insurance company to cover past or potential open claims based upon a percentage of the maximum assessment under our insurance policies. Insurance collateral deposits are invested at the discretion of our insurance carrier. Excess amounts in our loss fund represent premium payments in excess of claims incurred to date that we may be entitled to recover through settlement or commutation as claim periods are closed. Interest income is earned on the majority of amounts held by the insurance companies and will be paid to us upon settlement of policy years. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment ReportingWe operate and report in four business segments: (i) crude oil marketing, transportation and storage; (ii) tank truck transportation of liquid chemicals, pressurized gases, asphalt and dry bulk; (iii) pipeline transportation, terminalling and storage of crude oil; and (iv) beginning in the third quarter of 2022, interstate bulk transportation logistics of crude oil, condensate, fuels, oils and other petroleum products and recycling and repurposing of off-specification fuels, lubricants, crude oil and other chemicals, which includes the businesses we acquired in August 2022 (see Note 6 for further information about our business acquisition). Financial information by reporting segment was as follows for the periods indicated (in thousands): Reporting Segments Crude oil marketing Trans-portation Pipeline and storage Logistics and repur-posing (1) Other Total Three Months Ended September 30, 2022 Segment revenues (2) $ 814,394 $ 29,983 $ 2,912 $ 8,677 $ — $ 855,966 Less: Intersegment revenues (2) — (153) (2,912) — — (3,065) Revenues $ 814,394 $ 29,830 $ — $ 8,677 $ — $ 852,901 Segment operating earnings (losses) (3) 5,070 3,307 (909) 155 — 7,623 Depreciation and amortization 2,008 2,791 269 940 — 6,008 Property and equipment additions (4) (5) 343 722 817 132 — 2,014 Three Months Ended September 30, 2021 Segment revenues (2) $ 543,228 $ 24,867 $ 738 $ — $ — $ 568,833 Less: Intersegment revenues (2) — (41) (611) — — (652) Revenues $ 543,228 $ 24,826 $ 127 $ — $ — $ 568,181 Segment operating earnings (losses) (3) 4,255 2,264 (716) — — 5,803 Depreciation and amortization 1,611 2,957 281 — — 4,849 Property and equipment additions (4) (5) 443 4,904 980 — — 6,327 Nine Months Ended September 30, 2022 Segment revenues (2) $ 2,524,465 $ 86,322 $ 5,869 $ 8,677 $ — $ 2,625,333 Less: Intersegment revenues (2) — (268) (5,869) — — (6,137) Revenues $ 2,524,465 $ 86,054 $ — $ 8,677 $ — $ 2,619,196 Segment operating earnings (losses) (3) 20,301 9,112 (2,607) 155 — 26,961 Depreciation and amortization 5,690 8,671 808 940 — 16,109 Property and equipment additions (4) (5) 4,351 1,416 890 132 8 6,797 Nine Months Ended September 30, 2021 Segment revenues (2) $ 1,310,343 $ 69,670 $ 1,808 $ — $ — $ 1,381,821 Less: Intersegment revenues (2) — (112) (1,293) — — (1,405) Revenues $ 1,310,343 $ 69,558 $ 515 $ — $ — $ 1,380,416 Segment operating earnings (losses) (3) 19,643 4,520 (1,837) — — 22,326 Depreciation and amortization 5,050 8,895 758 — — 14,703 Property and equipment additions (4) (5) 1,145 7,607 1,169 — 8 9,929 _______________ (1) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (2) Segment revenues include intersegment amounts that are eliminated due to consolidation in operating costs and expenses in our unaudited condensed consolidated statements of operations. Intersegment activities are conducted at posted tariff rates where applicable, or otherwise at rates similar to those charged to third parties or rates that we believe approximate market at the time the agreement is executed. (3) Our crude oil marketing segment’s operating earnings included inventory valuation losses of $5.1 million and $0.3 million for the three months ended September 30, 2022 and 2021, respectively. For the nine months ended September 30, 2022 and 2021, our crude oil marketing segment’s operating earnings included inventory liquidation gains of $2.1 million and $10.3 million, respectively. (4) Our segment property and equipment additions do not include assets acquired under finance leases during the three and nine months ended September 30, 2022 and 2021. See Note 15 for further information. (5) Amounts included in property and equipment additions for Other are additions for computer equipment at our corporate headquarters, which were not attributed or allocated to any of our reporting segments. Segment operating earnings reflect revenues net of operating costs and depreciation and amortization expense and are reconciled to earnings before income taxes, as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Segment operating earnings $ 7,623 $ 5,803 $ 26,961 $ 22,326 General and administrative (4,630) (3,502) (12,860) (9,839) Operating earnings 2,993 2,301 14,101 12,487 Interest and other income 338 37 665 233 Interest expense (119) (178) (369) (602) Earnings before income taxes $ 3,212 $ 2,160 $ 14,397 $ 12,118 Identifiable assets by business segment were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Reporting segment: Crude oil marketing $ 231,014 $ 162,770 Transportation 61,429 67,167 Pipeline and storage 25,742 25,569 Logistics and repurposing (1) 45,404 — Cash and other (2) 98,534 119,197 Total assets $ 462,123 $ 374,703 _______________ (1) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (2) Other identifiable assets are primarily corporate cash, corporate accounts receivable, properties and operating lease right-of-use assets not identified with any specific segment of our business. |
Transactions with Affiliates
Transactions with Affiliates | 9 Months Ended |
Sep. 30, 2022 | |
Related Party Transactions [Abstract] | |
Transactions with Affiliates | Transactions with Affiliates We enter into certain transactions in the normal course of business with affiliated entities including direct cost reimbursement for shared phone and administrative services from KSA Industries, Inc. (“KSA”), an affiliated entity. We lease our corporate office space in a building operated by 17 South Briar Hollow Lane, LLC, an affiliate of KSA. Activities with affiliates were as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Affiliate billings to us $ 1 $ 1 $ 7 $ 13 Billings to affiliates 5 4 15 10 Rentals paid to affiliate 136 144 388 461 During the nine months ended September 30, 2022, we paid West Point Buick GMC, an affiliate of KSA, a total of approximately $0.1 million (net of trade-in values) for the purchase of two pickup trucks. During the nine months ended September 30, 2021, we paid West Point Buick GMC, an affiliate of KSA, a total of approximately $0.5 million (net of trade-in values) for the purchase of ten pickup trucks. In connection with the acquisition of Firebird and Phoenix, we entered into three operating lease agreements for office and terminal locations with Scott Bosard, one of the Sellers, for periods ranging from two See Note 17 for further information regarding our relationship with KSA. |
Other Current Liabilities
Other Current Liabilities | 9 Months Ended |
Sep. 30, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other Current Liabilities | Other Current Liabilities The components of other current liabilities were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Accrual for payroll, benefits and bonuses $ 6,579 $ 5,210 Accrued automobile and workers’ compensation claims 4,174 4,127 Accrued medical claims 1,718 1,100 Accrued taxes 4,627 534 Other 3,874 651 Total other current liabilities $ 20,972 $ 11,622 |
Credit Agreement
Credit Agreement | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Credit Agreement | Credit Agreement Credit Agreement On May 4, 2021, we entered into a $40.0 million credit agreement (“Credit Agreement”) with Wells Fargo Bank, National Association, as Agent and Issuing Lender, under which we could borrow or issue letters of credit in an aggregate of up to $40.0 million under a revolving credit facility (“Revolving Credit Facility”), which was to mature on May 4, 2024, subject to our compliance with certain financial covenants. On August 11, 2022, we entered into an amendment to our Credit Agreement (the “Credit Agreement Amendment”), which increased our borrowing capacity up to $60.0 million. The Credit Agreement Amendment also extended the maturity of the facility to August 11, 2025. The Credit Agreement Amendment also provided for the replacement of LIBOR with the Secured Overnight Financing Rate, as administered by the Federal Reserve Bank of New York (“SOFR”). Borrowings under the Revolving Credit Facility, which remained in place at September 30, 2022, bore interest, at our election, at (i) the Base Rate plus Applicable Margin; or (ii) the Adjusted Term SOFR plus Applicable Margin. Base Rate is the highest of (a) the Prime Rate, (b) the Federal Funds Rate, plus 0.50 percent and (c) Adjusted TERM SOFR for an interest period of one month plus 1.00 percent. The Applicable Margin to be added to a Base Rate borrowing was 0.75 percent. The Applicable Margin to be added to an Adjusted Term SOFR borrowing was 1.75 percent. A commitment fee of 0.25 percent per annum accrued on the daily average unused amount of the commitments under the Revolving Credit Facility. At September 30, 2022, we had $15.0 million of borrowings outstanding under our Credit Agreement Amendment and $8.2 million of letters of credit issued under the Credit Agreement Amendment at a fee of 1.75 percent per annum. At September 30, 2022, we were in compliance with all financial covenants under the Credit Agreement Amendment. |
Derivative Instruments and Fair
Derivative Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Fair Value Measurements | Derivative Instruments and Fair Value Measurements Derivative Instruments In the normal course of our operations, our crude oil marketing segment purchases and sells crude oil. We seek to profit by procuring the commodity as it is produced and then delivering the material to the end users or the intermediate use marketplace. As typical for the industry, these transactions are made pursuant to the terms of forward month commodity purchase and/or sale contracts. Some of these contracts meet the definition of a derivative instrument, and therefore, we account for these contracts at fair value, unless the normal purchase and sale exception is applicable. These types of underlying contracts are standard for the industry and are the governing document for our crude oil marketing segment. None of our derivative instruments have been designated as hedging instruments. At September 30, 2022, we had in place ten commodity purchase and sale contracts, all of which had a fair value associated with them as the contractual prices of crude oil were outside of the range of prices specified in the agreements. These commodity purchase and sale contracts encompassed approximately 324 barrels per day of crude oil during October 2022 through December 2022, and also include purchase and sale contracts entered into in August 2022 for an additional 300,000 barrels of crude oil in October 2022. At December 31, 2021, we had in place four commodity purchase and sale contracts, of which two had a fair value associated with them as the contractual prices of crude oil were outside the range of prices specified in the agreements. These commodity purchase and sale contracts encompassed approximately 324 barrels per day of crude oil during January 2022 through December 2022. The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheets were as follows at the dates indicated (in thousands): Balance Sheet Location and Amount Current Other Current Other Assets Assets Liabilities Liabilities September 30, 2022 Asset derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation $ 2,036 $ — $ — $ — Liability derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation — — 129 — Less counterparty offsets — — — — As reported fair value contracts $ 2,036 $ — $ 129 $ — December 31, 2021 Asset derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation $ 347 $ — $ — $ — Liability derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation — — 324 — Less counterparty offsets — — — — As reported fair value contracts $ 347 $ — $ 324 $ — We only enter into commodity contracts with creditworthy counterparties and evaluate our exposure to significant counterparties on an ongoing basis. At September 30, 2022 and December 31, 2021, we were not holding nor have we posted any collateral to support our forward month fair value derivative activity. We are not subject to any credit-risk related trigger events. We have no other financial investment arrangements that would serve to offset our derivative contracts. Forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated statements of operations were as follows for the periods indicated (in thousands): Gains (losses) Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenues – marketing $ (14) $ 6 $ (9) $ 31 Cost and expenses – marketing 1,878 — 1,253 — Fair Value Measurements The following tables set forth, by level with the Level 1, 2 and 3 fair value hierarchy, the carrying values of our financial assets and liabilities at the dates indicated (in thousands): Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs Counterparty (Level 1) (Level 2) (Level 3) Offsets Total September 30, 2022 Derivatives: Current assets $ — $ 2,036 $ — $ — $ 2,036 Current liabilities — (129) — — (129) Net value $ — $ 1,907 $ — $ — $ 1,907 December 31, 2021 Derivatives: Current assets $ — $ 347 $ — $ — $ 347 Current liabilities — (324) — — (324) Net value $ — $ 23 $ — $ — $ 23 These assets and liabilities are measured on a recurring basis and are classified based on the lowest level of input used to estimate their fair value. Our assessment of the relative significance of these inputs requires judgments. When determining fair value measurements, we make credit valuation adjustments to reflect both our own nonperformance risk and our counterparty’s nonperformance risk. When adjusting the fair value of derivative contracts for the effect of nonperformance risk, we consider the impact of netting and any applicable credit enhancements. Credit valuation adjustments utilize Level 3 inputs, such as credit scores to evaluate the likelihood of default by us or our counterparties. At September 30, 2022 and December 31, 2021, credit valuation adjustments were not significant to the overall valuation of our fair value contracts. As a result, applicable fair value assets and liabilities are included in their entirety in the fair value hierarchy. |
Stock-Based Compensation Plan
Stock-Based Compensation Plan | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation Plan | Stock-Based Compensation PlanWe have in place a long-term incentive plan in which any employee or non-employee director who provides services to us is eligible to participate. The 2018 LTIP, which is overseen by the Compensation Committee of our Board of Directors, provides for the grant of various types of equity awards, of which restricted stock unit awards and performance-based compensation awards have been granted. In May 2022, our shareholders approved an amendment and restatement of the 2018 LTIP, in which the maximum number of shares authorized for issuance under the 2018 LTIP was increased by 150,000 shares to a total of 300,000 shares, and the term of the 2018 LTIP was extended through February 23, 2032. After giving effect to awards granted and forfeitures made under the 2018 LTIP and assuming the potential achievement of the maximum amounts of the performance factors through September 30, 2022, a total of 157,697 shares were available for issuance. In August 2022, we also granted 30,518 restricted stock units to two employees of an acquired company, outside of the 2018 LTIP, as equity inducement awards under applicable stock exchange listing rules. Compensation expense recognized in connection with equity-based awards was as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Compensation expense $ 254 $ 224 $ 712 $ 641 At September 30, 2022 and December 31, 2021, we had $107,200 and $82,500, respectively, of accrued dividend amounts for awards granted under the 2018 LTIP or under the inducement awards described above. Restricted Stock Unit Awards The following table presents restricted stock unit award activity for the periods indicated: Weighted- Average Grant Number of Date Fair Value Shares per Share (1) Restricted stock unit awards at January 1, 2022 38,265 $ 28.78 Granted under 2018 LTIP (2) 26,796 $ 31.83 Granted as inducement awards (3) 30,518 $ 33.75 Vested (19,892) $ 29.15 Forfeited (3,521) $ 30.33 Restricted stock unit awards at September 30, 2022 72,166 $ 31.84 _______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of restricted stock unit awards issued during the first nine months of 2022 was $0.9 million based on a grant date market price of our common shares ranging from $31.80 to $37.42 per share. (3) These awards were granted in connection with the acquisition of Phoenix and Firebird (see Note 6 for further information). The aggregate grant date fair value of these restricted stock unit awards issued on August 12, 2022 was $1.0 million based on a grant date market price of our common shares of $33.75 per share. Unrecognized compensation cost associated with restricted stock unit awards was approximately $0.6 million at September 30, 2022. Due to the graded vesting provisions of these awards, we expect to recognize the remaining compensation cost for these awards over a weighted-average period of 1.4 years. Performance Share Unit Awards The following table presents performance share unit award activity for the periods indicated: Weighted- Average Grant Number of Date Fair Value Shares per Share (1) Performance share unit awards at January 1, 2022 21,492 $ 26.64 Granted (2) 13,458 $ 31.80 Vested (289) $ 28.25 Forfeited (1,297) $ 30.87 Performance share unit awards at September 30, 2022 33,364 $ 28.54 _______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of performance share unit awards issued during the first nine months of 2022 was $0.4 million based on a grant date market price of our common shares of $31.80 per share and assuming a performance factor of 100 percent. Unrecognized compensation cost associated with performance share unit awards was approximately $0.5 million at September 30, 2022. We expect to recognize the remaining compensation cost for these awards over a weighted-average period of 2.0 years. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 9 Months Ended |
Sep. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Supplemental cash flows and non-cash transactions were as follows for the periods indicated (in thousands): Nine Months Ended September 30, 2022 2021 Cash paid for interest $ 369 $ 602 Cash paid for federal and state income taxes 1,827 1,297 Cash refund for NOL carryback under CARES Act 6,907 3,712 Non-cash transactions: Change in accounts payable related to property and equipment additions — (72) Property and equipment acquired under finance leases 4,353 2,083 Issuance of shares for acquisition (see Note 6) 1,364 — |
Leases
Leases | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases The following table provides the components of lease expense for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Finance lease cost: Amortization of ROU assets $ 1,306 $ 1,184 $ 3,775 $ 3,534 Interest on lease liabilities 84 101 242 321 Operating lease cost 781 643 2,130 1,890 Short-term lease cost 3,752 3,701 11,335 10,399 Variable lease cost 6 2 16 4 Total lease expense $ 5,929 $ 5,631 $ 17,498 $ 16,148 The following table provides supplemental cash flow and other information related to leases for the periods indicated (in thousands): Nine Months Ended September 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases (1) $ 2,112 $ 1,886 Operating cash flows from finance leases (1) 238 260 Financing cash flows from finance leases 3,491 3,240 ROU assets obtained in exchange for new lease liabilities: Finance leases 4,353 2,083 Operating leases 2,715 1,157 ______________ (1) Amounts are included in Other operating activities on the unaudited condensed consolidated statements of cash flows. The following table provides the lease terms and discount rates for the periods indicated: Nine Months Ended September 30, 2022 2021 Weighted-average remaining lease term (years): Finance leases 3.33 3.75 Operating leases 3.57 4.06 Weighted-average discount rate: Finance leases 2.9% 2.7% Operating leases 3.9% 3.8% The following table provides supplemental balance sheet information related to leases at the dates indicated (in thousands): September 30, December 31, 2022 2021 Assets Finance lease ROU assets (1) $ 13,149 $ 12,590 Operating lease ROU assets 7,906 7,113 Liabilities Current Finance lease liabilities 4,263 3,663 Operating lease liabilities 2,724 2,178 Noncurrent Finance lease liabilities 9,934 9,672 Operating lease liabilities 5,179 4,938 ______________ (1) Amounts are included in Property and equipment, net on the unaudited condensed consolidated balance sheets. The following table provides maturities of undiscounted lease liabilities at September 30, 2022 (in thousands): Finance Operating Lease Lease Remainder of 2022 $ 1,300 $ 809 2023 4,161 2,830 2024 2,920 2,487 2025 4,343 832 2026 1,373 762 Thereafter 958 681 Total lease payments 15,055 8,401 Less: Interest (858) (498) Present value of lease liabilities 14,197 7,903 Less: Current portion of lease obligation (4,263) (2,724) Total long-term lease obligation $ 9,934 $ 5,179 The following table provides maturities of undiscounted lease liabilities at December 31, 2021 (in thousands): Finance Operating Lease Lease 2022 $ 3,941 $ 2,399 2023 3,143 2,080 2024 2,348 1,911 2025 3,771 394 2026 801 333 Thereafter — 455 Total lease payments 14,004 7,572 Less: Interest (669) (456) Present value of lease liabilities 13,335 7,116 Less: Current portion of lease obligation (3,663) (2,178) Total long-term lease obligation $ 9,672 $ 4,938 |
Leases | Leases The following table provides the components of lease expense for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Finance lease cost: Amortization of ROU assets $ 1,306 $ 1,184 $ 3,775 $ 3,534 Interest on lease liabilities 84 101 242 321 Operating lease cost 781 643 2,130 1,890 Short-term lease cost 3,752 3,701 11,335 10,399 Variable lease cost 6 2 16 4 Total lease expense $ 5,929 $ 5,631 $ 17,498 $ 16,148 The following table provides supplemental cash flow and other information related to leases for the periods indicated (in thousands): Nine Months Ended September 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases (1) $ 2,112 $ 1,886 Operating cash flows from finance leases (1) 238 260 Financing cash flows from finance leases 3,491 3,240 ROU assets obtained in exchange for new lease liabilities: Finance leases 4,353 2,083 Operating leases 2,715 1,157 ______________ (1) Amounts are included in Other operating activities on the unaudited condensed consolidated statements of cash flows. The following table provides the lease terms and discount rates for the periods indicated: Nine Months Ended September 30, 2022 2021 Weighted-average remaining lease term (years): Finance leases 3.33 3.75 Operating leases 3.57 4.06 Weighted-average discount rate: Finance leases 2.9% 2.7% Operating leases 3.9% 3.8% The following table provides supplemental balance sheet information related to leases at the dates indicated (in thousands): September 30, December 31, 2022 2021 Assets Finance lease ROU assets (1) $ 13,149 $ 12,590 Operating lease ROU assets 7,906 7,113 Liabilities Current Finance lease liabilities 4,263 3,663 Operating lease liabilities 2,724 2,178 Noncurrent Finance lease liabilities 9,934 9,672 Operating lease liabilities 5,179 4,938 ______________ (1) Amounts are included in Property and equipment, net on the unaudited condensed consolidated balance sheets. The following table provides maturities of undiscounted lease liabilities at September 30, 2022 (in thousands): Finance Operating Lease Lease Remainder of 2022 $ 1,300 $ 809 2023 4,161 2,830 2024 2,920 2,487 2025 4,343 832 2026 1,373 762 Thereafter 958 681 Total lease payments 15,055 8,401 Less: Interest (858) (498) Present value of lease liabilities 14,197 7,903 Less: Current portion of lease obligation (4,263) (2,724) Total long-term lease obligation $ 9,934 $ 5,179 The following table provides maturities of undiscounted lease liabilities at December 31, 2021 (in thousands): Finance Operating Lease Lease 2022 $ 3,941 $ 2,399 2023 3,143 2,080 2024 2,348 1,911 2025 3,771 394 2026 801 333 Thereafter — 455 Total lease payments 14,004 7,572 Less: Interest (669) (456) Present value of lease liabilities 13,335 7,116 Less: Current portion of lease obligation (3,663) (2,178) Total long-term lease obligation $ 9,672 $ 4,938 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Insurance We have accrued liabilities for estimated workers’ compensation and other casualty claims incurred based upon claim reserves plus an estimate for loss development and incurred but not reported claims. We self-insure a significant portion of expected losses relating to workers’ compensation, general liability and automobile liability, with a self-insured retention of $1.0 million. Insurance is purchased over our retention to reduce our exposure to catastrophic events. Estimates are recorded for potential and incurred outstanding liabilities for workers’ compensation, auto and general liability claims and claims that are incurred but not reported. Estimates are based on adjusters’ estimates, historical experience and statistical methods commonly used within the insurance industry that we believe are reliable. We have also engaged a third-party actuary to perform a review of our accrued liability for these claims as well as potential funded losses in our captive insurance company. Insurance estimates include certain assumptions and management judgments regarding the frequency and severity of claims, claim development and settlement practices and the selection of estimated loss among estimates derived using different methods. Unanticipated changes in these factors may produce materially different amounts of expense that would be reported under these programs. On October 1, 2020, we elected to utilize a wholly owned insurance captive to insure the self-insured retention for our workers’ compensation, general liability and automobile liability insurance programs. All accrued liabilities associated with periods from October 1, 2017 through current were transferred to the captive. We maintain excess property and casualty programs with third-party insurers in an effort to limit the financial impact of significant events covered under these programs. Our operating subsidiaries pay premiums to both the excess and reinsurance carriers and our captive for the estimated losses based on an external actuarial analysis. These premiums held by our wholly owned captive are currently held in a restricted account, resulting in a transfer of risk from our operating subsidiaries to the captive. We also maintain a self-insurance program for managing employee medical claims in excess of employee deductibles. As claims are paid, the liability is relieved. We also maintain third party insurance stop-loss coverage for individual medical claims exceeding a certain minimum threshold . In addition, we maintain $1.2 million of umbrella insurance coverage for annual aggregate medical claims exceeding approximately $11.5 million. Our accruals for automobile, workers’ compensation and medical claims were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Pre-funded premiums for losses incurred but not reported $ 96 $ 50 Accrued automobile and workers’ compensation claims 4,174 4,127 Accrued medical claims 1,718 1,100 Litigation From time to time as incidental to our operations, we may become involved in various lawsuits and/or disputes. As an operator of an extensive trucking fleet, we are a party to motor vehicle accidents, worker compensation claims and other items of general liability as would be typical for the industry. We are presently unaware of any claims against us that are either outside the scope of insurance coverage or that may exceed the level of insurance coverage and could potentially represent a material adverse effect on our financial position, results of operations or cash flows. |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Events New Credit Facility On October 27, 2022, we entered into a new Credit Agreement (the “New Credit Agreement”) with Cadence Bank, as administrative agent, swingline lender and issuing lender, and the other lenders party thereto (collectively, the “Lenders”). The New Credit Agreement provides for (a) a revolving credit facility that allows for borrowings up to $60.0 million in aggregate principal amount from time to time (the “New Revolving Credit Facility”) and (b) a Term Loan in aggregate principal amount of $25.0 million (the “Term Loan”). The New Credit Agreement replaces our prior $60.0 million credit facility with Wells Fargo entered into May 4, 2021. In connection with our termination of the Credit Agreement Amendment with Wells Fargo, we deposited cash equaling 103.0 percent of the face value of three letters of credit previously issued by Wells Fargo in May 2021. The three letters of credit are fully collateralized, have no associated debt, and no draws against any of the letters of credit are pending. For each borrowing under the New Revolving Credit Facility, we may elect whether such loans bear interest at (i) the Base Rate plus Applicable Margin for Base Rate Loans; or (ii) Term SOFR plus the Applicable Margin for SOFR Loans. The Base Rate is the highest of (a) the Prime Rate, (b) the Federal Funds Rate plus 0.5 percent and (c) Adjusted Term SOFR for a one month tenor in effect on the date of determination plus 1.0 percent. The Applicable Margin to be added to a Base Rate borrowing under either (a), (b) or (c) in the preceding sentence is an amount determined quarterly between 1.0 percent and 2.0 percent depending on our consolidated total leverage ratio. The Applicable Margin to be added to a Term SOFR borrowing under the New Revolving Credit Facility is an amount determined quarterly between 2.0 percent and 3.0 percent depending on our consolidated total leverage ratio. A commitment fee of 0.25 percent per annum accrues on the daily average unused amount of the commitments of the Lenders under the New Revolving Credit Facility. We may obtain letters of credit under the New Revolving Credit Facility up to a maximum amount of $30.0 million. The amount of our outstanding letters of credit reduces availability under the New Revolving Credit Facility. The New Revolving Credit Facility matures on October 27, 2027 unless earlier terminated. The Term Loan amortizes on a 10 year schedule with quarterly payments beginning December 31, 2022, and matures on October 27, 2027 unless earlier accelerated. The Term Loan may be prepaid in whole or in part without premium or penalty, and must be prepaid with proceeds of any future debt issuance, the proceeds of any equity issuance to the extent proceeds exceed $2.0 million in any quarter with limited exceptions, and the proceeds of certain asset dispositions. The Term Loan bears interest at the SOFR Rate plus the Applicable Margin for SOFR Rate Loans as described above. Pursuant to the terms of the New Credit Agreement, we are required to maintain compliance with the following financial covenants on a pro forma basis, after giving effect to any borrowings (in each case commencing with the fiscal quarter ending December 31, 2022): (i) the Consolidated Total Leverage Ratio shall not be greater than 2.50 to 1.00; (ii) the Asset Coverage Ratio shall not be less than 2.00 to 1.00; and (iii) the Consolidated Fixed Charge Coverage Ratio shall not be less than 1.25 to 1.00. Each of such ratios is calculated as outlined in the New Credit Agreement and subject to certain exclusions and qualifications described therein. The New Credit Agreement contains certain customary representations and warranties and affirmative and negative covenants. The affirmative covenants require us to provide the Lenders with certain financial statements, business plans, compliance certificates and other documents and reports and to comply with certain laws. The negative covenants restrict our ability to incur additional indebtedness, create additional liens on our assets, make certain investments, dispose of our assets or engage in a merger or other similar transaction or engage in transactions with affiliates, subject, in each case, to the various exceptions and conditions described in the New Credit Agreement. The negative covenants further restrict our ability to make certain restricted payments. Our obligations under the New Credit Agreement are secured by a pledge of substantially all of our personal property and substantially all of the personal property of certain other our direct and indirect subsidiaries. KSA Stock Repurchase |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Organization | Organization Adams Resources & Energy, Inc. is a publicly traded Delaware corporation organized in 1973, the common shares of which are listed on the NYSE American LLC under the ticker symbol “AE”. Through our subsidiaries, we are primarily engaged in crude oil marketing, transportation, terminalling and storage in various crude oil and natural gas basins in the lower 48 states of the United States (“U.S.”). We also conduct tank truck transportation of liquid chemicals, pressurized gases, asphalt and dry bulk primarily in the lower 48 states of the U.S. with deliveries into Canada and Mexico, and with twenty terminals across the U.S. We also recycle and repurpose off-specification fuels, lubricants, crude oil and other chemicals from producers in the U.S. Unless the context requires otherwise, references to “we,” “us,” “our,” “Adams” or the “Company” are intended to mean the business and operations of Adams Resources & Energy, Inc. and its consolidated subsidiaries. On August 12, 2022, we completed our acquisition of all of the equity interests of Firebird Bulk Carriers, Inc. (“Firebird”) and Phoenix Oil, Inc. (“Phoenix”). The condensed consolidated financial statements prior to August 12, 2022 reflect only the historical results of Adams. The condensed consolidated financial statements since the completion of the Firebird and Phoenix acquisition have included the results of Firebird and Phoenix using the acquisition method of accounting. See Note 6 for further information regarding the acquisition. |
Basis of Presentation | Basis of Presentation Our results of operations for the three and nine months ended September 30, 2022 are not necessarily indicative of results expected for the full year of 2022. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals necessary for fair presentation. The condensed consolidated financial statements and the accompanying notes are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial statements and the rules of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required by GAAP for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Form 10-K”) filed with the SEC on March 9, 2022. All significant intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates | Use of EstimatesThe preparation of our financial statements in conformity with GAAP requires management to use estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. We base our estimates and judgments on historical experience and on various other assumptions and information we believe to be reasonable under the circumstances. Estimates and assumptions about future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the operating environment changes. While we believe the estimates and assumptions used in the preparation of these condensed consolidated financial statements are appropriate, actual results could differ from those estimates. |
Earnings Per Share | Earnings Per ShareBasic earnings per share is computed by dividing our net earnings by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by giving effect to all potential common shares outstanding, including shares related to unvested restricted stock unit awards. Unvested restricted stock unit awards granted under the Adams Resources & Energy, Inc. 2018 Long-Term Incentive Plan, as amended and restated (“2018 LTIP”), or granted as employment inducement awards outside of the 2018 LTIP, are not considered to be participating securities as the holders of these shares do not have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares (see Note 13 for further discussion). |
Fair Value Measurements | Fair Value Measurements The carrying amounts reported in the unaudited condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of the immediate or short-term maturity of these financial instruments. Marketable securities are recorded at fair value based on market quotations from actively traded liquid markets. A three-tier hierarchy has been established that classifies fair value amounts recognized in the financial statements based on the observability of inputs used to estimate these fair values. The hierarchy considers fair value amounts based on observable inputs (Levels 1 and 2) to be more reliable and predictable than those based primarily on unobservable inputs (Level 3). At each balance sheet reporting date, we categorize our financial assets and liabilities using this hierarchy. See Note 6 for a discussion of the Level 3 inputs used in the determination of the fair value of the intangible assets acquired and the contingent consideration issued in a business combination that occurred in August 2022. |
Income Taxes | Income Taxes Income taxes are accounted for using the asset and liability method. Under this approach, deferred tax assets and liabilities are recognized based on anticipated future tax consequences attributable to differences between financial statement carrying amounts of these items and their respective tax basis. |
Inventory | InventoryInventory consists of crude oil held in storage tanks and at third-party pipelines as part of our crude oil marketing and pipeline and storage operations. Crude oil inventory is carried at the lower of cost or net realizable value. At the end of each reporting period, we assess the carrying value of our inventory and make adjustments necessary to reduce the carrying value to the applicable net realizable value. Any resulting adjustments are a component of marketing costs and expenses or pipeline and storage expenses on our consolidated statements of operations. No charges were recognized during the three and nine months ended September 30, 2022 and 2021. |
Property and Equipment | Property and Equipment Property and equipment is recorded at cost. Expenditures for additions, improvements and other enhancements to property and equipment are capitalized, and minor replacements, maintenance and repairs that do not extend asset life or add value are charged to expense as incurred. When property and equipment assets are retired or otherwise disposed of, the related cost and accumulated depreciation is removed from the accounts and any resulting gain or loss is included in results of operations in operating costs and expenses for the respective period. Property and equipment, except for land, is depreciated using the straight-line method over the estimated average useful lives ranging from two We review our long-lived assets for impairment whenever there is evidence that the carrying value of these assets may not be recoverable. Any impairment recognized is permanent and may not be restored. Property and equipment is reviewed at the lowest level of identifiable cash flows. For property and equipment requiring impairment, the fair value is estimated based on an internal discounted cash flow model of future cash flows. |
Stock-Based Compensation | Stock-Based CompensationWe measure all share-based payment awards, including the issuance of restricted stock unit awards and performance share unit awards to employees and board members, using a fair-value based method. The cost of services received from employees and non-employee board members in exchange for awards of equity instruments is recognized in the consolidated statements of operations based on the estimated fair value of those awards on the grant date and is amortized on a straight-line basis over the requisite service period. The fair value of restricted stock unit awards and performance share unit awards is based on the closing price of our common stock on the grant date. We account for forfeitures as they occur. |
Other Crude Oil Marketing Revenue | Other Crude Oil Marketing Revenue Certain of the commodity purchase and sale contracts utilized by our crude oil marketing business qualify as derivative instruments with certain specifically identified contracts also designated as trading activity. From the time of contract origination, these contracts are marked-to-market and recorded on a net revenue basis in the accompanying unaudited condensed consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Cash and Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash as reported in the unaudited condensed consolidated balance sheets that totals to the amounts shown in the unaudited condensed consolidated statements of cash flows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Cash and cash equivalents $ 86,510 $ 97,825 Restricted cash: Captive insurance subsidiary (1) 7,404 9,492 Total cash, cash equivalents and restricted cash shown in the unaudited condensed consolidated statements of cash flows $ 93,914 $ 107,317 _____________ |
Schedule of Common Stock Outstanding | The following table reconciles our outstanding common stock for the periods indicated: Common shares Balance, January 1, 2022 4,355,001 Vesting of restricted stock unit awards (see Note 13) 15,966 Shares withheld to cover taxes upon vesting of restricted stock unit awards (3,101) Balance, March 31, 2022 4,367,866 Vesting of restricted stock unit awards (see Note 13) 2,953 Shares withheld to cover taxes upon vesting of restricted stock unit awards (705) Shares sold at the market 8,202 Balance, June 30, 2022 4,378,316 Issuance of shares in acquisition (see Note 6) 15,259 Vesting of restricted stock unit awards (see Note 13) 973 Vesting of performance share unit awards (see Note 13) 289 Balance, September 30, 2022 (1) 4,394,837 _____________ |
Schedule of Earnings Per Share, Basic and Diluted | A reconciliation of the calculation of basic and diluted earnings per share was as follows for the periods indicated (in thousands, except per share data): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Earnings per share — numerator: Net earnings $ 2,190 $ 1,546 $ 10,756 $ 9,063 Denominator: Basic weighted average number of shares outstanding 4,387 4,274 4,373 4,258 Basic earnings per share $ 0.50 $ 0.36 $ 2.46 $ 2.13 Diluted earnings per share: Diluted weighted average number of shares outstanding: Common shares 4,387 4,274 4,373 4,258 Restricted stock unit awards 20 17 21 16 Performance share unit awards (1) 13 6 12 6 Total diluted shares 4,420 4,297 4,406 4,280 Diluted earnings per share $ 0.50 $ 0.36 $ 2.44 $ 2.12 _______________ |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table disaggregates our revenue by segment and by major source for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Crude Oil Marketing: Revenue from contracts with customers: Goods transferred at a point in time $ 802,707 $ 535,166 $ 2,491,066 $ 1,285,461 Services transferred over time — — — — Total revenues from contracts with customers 802,707 535,166 2,491,066 1,285,461 Other (1) 11,687 8,062 33,399 24,882 Total crude oil marketing revenue $ 814,394 $ 543,228 $ 2,524,465 $ 1,310,343 Transportation: Revenue from contracts with customers: Goods transferred at a point in time $ — $ — $ — $ — Services transferred over time 29,830 24,826 86,054 69,558 Total revenues from contracts with customers 29,830 24,826 86,054 69,558 Other — — — — Total transportation revenue $ 29,830 $ 24,826 $ 86,054 $ 69,558 Pipeline and storage: Revenue from contracts with customers: Goods transferred at a point in time $ — $ — $ — $ — Services transferred over time — 127 — 515 Total revenues from contracts with customers — 127 — 515 Other — — — — Total pipeline and storage revenue $ — $ 127 $ — $ 515 Logistics and repurposing: (2) Revenue from contracts with customers: Goods transferred at a point in time (3) $ 4,178 $ — $ 4,178 $ — Services transferred over time (4) 4,499 — 4,499 — Total revenues from contracts with customers 8,677 — 8,677 — Other — — — — Total logistics and repurposing revenue $ 8,677 $ — $ 8,677 $ — Subtotal: Total revenues from contracts with customers $ 841,214 $ 560,119 $ 2,585,797 $ 1,355,534 Total other (1) 11,687 8,062 33,399 24,882 Total consolidated revenues $ 852,901 $ 568,181 $ 2,619,196 $ 1,380,416 _______________ (1) Other crude oil marketing revenues are recognized under Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging , and ASC 845, Nonmonetary Transactions – Purchases and Sales of Inventory with the Same Counterparty . (2) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (3) Revenues from the transportation of petroleum products are earned over time as the performance obligation is satisfied. |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Reporting these crude oil contracts on a gross revenue basis would increase our reported revenues as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenue gross-up $ 430,244 $ 201,704 $ 1,156,711 $ 526,082 |
Prepayments and Other Current_2
Prepayments and Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Components of Prepayments and Other Current Assets | The components of prepayments and other current assets were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Insurance premiums $ 344 $ 641 Vendor prepayment — 602 Rents, licenses and other 1,714 1,146 Total prepayments and other current assets $ 2,058 $ 2,389 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and equipment | The historical costs of our property and equipment and related accumulated depreciation and amortization balances were as follows at the dates indicated (in thousands): Estimated Useful Life September 30, December 31, in Years 2022 2021 Tractors and trailers 5 – 6 $ 131,214 $ 106,558 Field equipment 2 – 5 24,489 22,851 Finance lease ROU assets (1) 3 – 6 21,583 22,349 Pipeline and related facilities 20 – 25 20,362 20,336 Linefill and base gas (2) N/A 3,922 3,922 Buildings 5 – 39 16,163 16,163 Office equipment 2 – 5 2,928 2,060 Land N/A 2,309 2,008 Construction in progress N/A 1,617 3,396 Total 224,587 199,643 Less accumulated depreciation and amortization (116,596) (111,607) Property and equipment, net $ 107,991 $ 88,036 _______________ (1) Our finance lease right-of-use (“ROU)” assets arise from leasing arrangements for the right to use various classes of underlying assets including tractors, trailers, a tank storage and throughput arrangement and office equipment (see Note 15 for further information). Accumulated amortization of the assets presented as “Finance lease ROU assets” was $8.4 million and $9.8 million at September 30, 2022 and December 31, 2021, respectively. (2) Linefill and base gas represents crude oil in the VEX pipeline and storage tanks we own, and the crude oil is recorded at historical cost. Components of depreciation and amortization expense were as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Depreciation and amortization, excluding amounts under finance leases $ 4,685 $ 3,665 $ 12,317 $ 11,169 Amortization of property and equipment under finance leases 1,323 1,184 3,792 3,534 Total depreciation and amortization $ 6,008 $ 4,849 $ 16,109 $ 14,703 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination, Description [Abstract] | |
Schedule of Business Acquisition | The following table summarizes the aggregate preliminary consideration paid and issued for Firebird and Phoenix (in thousands): Cash $ 35,793 Value of AE common shares issued 1,364 Contingent consideration arrangement 2,566 Fair value of total consideration transferred $ 39,723 The following table presents the preliminary purchase price allocation to estimated fair values of the identifiable assets acquired and liabilities assumed at the acquisition date of August 12, 2022 (in thousands): Assets acquired: Cash and cash equivalents $ 2,203 Accounts receivable 4,921 Inventory 643 Other current assets 137 Property and equipment 24,709 Intangible assets 7,734 Goodwill 5,755 Other assets 457 Total assets acquired $ 46,559 Liabilities assumed: Accounts payable and other accrued liabilities $ (1,945) Deferred tax liabilities (4,891) Total liabilities assumed $ (6,836) Net assets acquired $ 39,723 |
Schedule of Acquisition, Pro Forma Information | This unaudited pro forma financial information should not be relied upon as being indicative of the historical results that would have been obtained if the acquisition had actually occurred on January 1, 2021, nor of the results of operations that may be obtained in the future (in thousands). Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenues $ 860,771 $ 581,334 $ 2,663,447 $ 1,417,475 Net earnings 2,295 2,056 12,867 10,430 Basic net earnings per common share $ 0.52 $ 0.48 $ 2.93 $ 2.44 Diluted net earnings per common share $ 0.52 $ 0.48 $ 2.91 $ 2.43 |
Other Assets (Tables)
Other Assets (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | Components of other assets were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Amounts associated with liability insurance program: Insurance collateral deposits $ 390 $ 721 Excess loss fund 622 622 Accumulated interest income 523 489 Other amounts: State collateral deposits 36 36 Materials and supplies 1,209 574 Debt issuance costs 392 292 Other 273 293 Total other assets $ 3,445 $ 3,027 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Information concerning business activities | Financial information by reporting segment was as follows for the periods indicated (in thousands): Reporting Segments Crude oil marketing Trans-portation Pipeline and storage Logistics and repur-posing (1) Other Total Three Months Ended September 30, 2022 Segment revenues (2) $ 814,394 $ 29,983 $ 2,912 $ 8,677 $ — $ 855,966 Less: Intersegment revenues (2) — (153) (2,912) — — (3,065) Revenues $ 814,394 $ 29,830 $ — $ 8,677 $ — $ 852,901 Segment operating earnings (losses) (3) 5,070 3,307 (909) 155 — 7,623 Depreciation and amortization 2,008 2,791 269 940 — 6,008 Property and equipment additions (4) (5) 343 722 817 132 — 2,014 Three Months Ended September 30, 2021 Segment revenues (2) $ 543,228 $ 24,867 $ 738 $ — $ — $ 568,833 Less: Intersegment revenues (2) — (41) (611) — — (652) Revenues $ 543,228 $ 24,826 $ 127 $ — $ — $ 568,181 Segment operating earnings (losses) (3) 4,255 2,264 (716) — — 5,803 Depreciation and amortization 1,611 2,957 281 — — 4,849 Property and equipment additions (4) (5) 443 4,904 980 — — 6,327 Nine Months Ended September 30, 2022 Segment revenues (2) $ 2,524,465 $ 86,322 $ 5,869 $ 8,677 $ — $ 2,625,333 Less: Intersegment revenues (2) — (268) (5,869) — — (6,137) Revenues $ 2,524,465 $ 86,054 $ — $ 8,677 $ — $ 2,619,196 Segment operating earnings (losses) (3) 20,301 9,112 (2,607) 155 — 26,961 Depreciation and amortization 5,690 8,671 808 940 — 16,109 Property and equipment additions (4) (5) 4,351 1,416 890 132 8 6,797 Nine Months Ended September 30, 2021 Segment revenues (2) $ 1,310,343 $ 69,670 $ 1,808 $ — $ — $ 1,381,821 Less: Intersegment revenues (2) — (112) (1,293) — — (1,405) Revenues $ 1,310,343 $ 69,558 $ 515 $ — $ — $ 1,380,416 Segment operating earnings (losses) (3) 19,643 4,520 (1,837) — — 22,326 Depreciation and amortization 5,050 8,895 758 — — 14,703 Property and equipment additions (4) (5) 1,145 7,607 1,169 — 8 9,929 _______________ (1) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (2) Segment revenues include intersegment amounts that are eliminated due to consolidation in operating costs and expenses in our unaudited condensed consolidated statements of operations. Intersegment activities are conducted at posted tariff rates where applicable, or otherwise at rates similar to those charged to third parties or rates that we believe approximate market at the time the agreement is executed. (3) Our crude oil marketing segment’s operating earnings included inventory valuation losses of $5.1 million and $0.3 million for the three months ended September 30, 2022 and 2021, respectively. For the nine months ended September 30, 2022 and 2021, our crude oil marketing segment’s operating earnings included inventory liquidation gains of $2.1 million and $10.3 million, respectively. (4) Our segment property and equipment additions do not include assets acquired under finance leases during the three and nine months ended September 30, 2022 and 2021. See Note 15 for further information. (5) Amounts included in property and equipment additions for Other are additions for computer equipment at our corporate headquarters, which were not attributed or allocated to any of our reporting segments. |
Reconciliation of segment earnings to earnings before income taxes | Segment operating earnings reflect revenues net of operating costs and depreciation and amortization expense and are reconciled to earnings before income taxes, as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Segment operating earnings $ 7,623 $ 5,803 $ 26,961 $ 22,326 General and administrative (4,630) (3,502) (12,860) (9,839) Operating earnings 2,993 2,301 14,101 12,487 Interest and other income 338 37 665 233 Interest expense (119) (178) (369) (602) Earnings before income taxes $ 3,212 $ 2,160 $ 14,397 $ 12,118 |
Identifiable assets by industry segment | Identifiable assets by business segment were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Reporting segment: Crude oil marketing $ 231,014 $ 162,770 Transportation 61,429 67,167 Pipeline and storage 25,742 25,569 Logistics and repurposing (1) 45,404 — Cash and other (2) 98,534 119,197 Total assets $ 462,123 $ 374,703 _______________ (1) On August 12, 2022, we acquired a transportation logistics and recycling and repurposing business, resulting in a new operating segment. See Note 6 and Note 9 for further information. (2) Other identifiable assets are primarily corporate cash, corporate accounts receivable, properties and operating lease right-of-use assets not identified with any specific segment of our business. |
Transactions with Affiliates (T
Transactions with Affiliates (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Related Party Transactions [Abstract] | |
Activities with affiliates | Activities with affiliates were as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Affiliate billings to us $ 1 $ 1 $ 7 $ 13 Billings to affiliates 5 4 15 10 Rentals paid to affiliate 136 144 388 461 |
Other Current Liabilities (Tabl
Other Current Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Current Liabilities | The components of other current liabilities were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Accrual for payroll, benefits and bonuses $ 6,579 $ 5,210 Accrued automobile and workers’ compensation claims 4,174 4,127 Accrued medical claims 1,718 1,100 Accrued taxes 4,627 534 Other 3,874 651 Total other current liabilities $ 20,972 $ 11,622 |
Derivative Instruments and Fa_2
Derivative Instruments and Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives reflected in the consolidated balance sheet | The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheets were as follows at the dates indicated (in thousands): Balance Sheet Location and Amount Current Other Current Other Assets Assets Liabilities Liabilities September 30, 2022 Asset derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation $ 2,036 $ — $ — $ — Liability derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation — — 129 — Less counterparty offsets — — — — As reported fair value contracts $ 2,036 $ — $ 129 $ — December 31, 2021 Asset derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation $ 347 $ — $ — $ — Liability derivatives: Fair value forward hydrocarbon commodity contracts at gross valuation — — 324 — Less counterparty offsets — — — — As reported fair value contracts $ 347 $ — $ 324 $ — |
Derivatives reflected in the consolidated statement of operations | Forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated statements of operations were as follows for the periods indicated (in thousands): Gains (losses) Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Revenues – marketing $ (14) $ 6 $ (9) $ 31 Cost and expenses – marketing 1,878 — 1,253 — |
Fair value assets and liabilities | The following tables set forth, by level with the Level 1, 2 and 3 fair value hierarchy, the carrying values of our financial assets and liabilities at the dates indicated (in thousands): Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs Counterparty (Level 1) (Level 2) (Level 3) Offsets Total September 30, 2022 Derivatives: Current assets $ — $ 2,036 $ — $ — $ 2,036 Current liabilities — (129) — — (129) Net value $ — $ 1,907 $ — $ — $ 1,907 December 31, 2021 Derivatives: Current assets $ — $ 347 $ — $ — $ 347 Current liabilities — (324) — — (324) Net value $ — $ 23 $ — $ — $ 23 |
Stock-Based Compensation Plan (
Stock-Based Compensation Plan (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Share-based Payment Arrangement | Compensation expense recognized in connection with equity-based awards was as follows for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Compensation expense $ 254 $ 224 $ 712 $ 641 |
Share-based Compensation, Activity | The following table presents restricted stock unit award activity for the periods indicated: Weighted- Average Grant Number of Date Fair Value Shares per Share (1) Restricted stock unit awards at January 1, 2022 38,265 $ 28.78 Granted under 2018 LTIP (2) 26,796 $ 31.83 Granted as inducement awards (3) 30,518 $ 33.75 Vested (19,892) $ 29.15 Forfeited (3,521) $ 30.33 Restricted stock unit awards at September 30, 2022 72,166 $ 31.84 _______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of restricted stock unit awards issued during the first nine months of 2022 was $0.9 million based on a grant date market price of our common shares ranging from $31.80 to $37.42 per share. (3) These awards were granted in connection with the acquisition of Phoenix and Firebird (see Note 6 for further information). The aggregate grant date fair value of these restricted stock unit awards issued on August 12, 2022 was $1.0 million based on a grant date market price of our common shares of $33.75 per share. The following table presents performance share unit award activity for the periods indicated: Weighted- Average Grant Number of Date Fair Value Shares per Share (1) Performance share unit awards at January 1, 2022 21,492 $ 26.64 Granted (2) 13,458 $ 31.80 Vested (289) $ 28.25 Forfeited (1,297) $ 30.87 Performance share unit awards at September 30, 2022 33,364 $ 28.54 _______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental cash flows and non-cash transactions were as follows for the periods indicated (in thousands): Nine Months Ended September 30, 2022 2021 Cash paid for interest $ 369 $ 602 Cash paid for federal and state income taxes 1,827 1,297 Cash refund for NOL carryback under CARES Act 6,907 3,712 Non-cash transactions: Change in accounts payable related to property and equipment additions — (72) Property and equipment acquired under finance leases 4,353 2,083 Issuance of shares for acquisition (see Note 6) 1,364 — |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Lease, Cost | The following table provides the components of lease expense for the periods indicated (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Finance lease cost: Amortization of ROU assets $ 1,306 $ 1,184 $ 3,775 $ 3,534 Interest on lease liabilities 84 101 242 321 Operating lease cost 781 643 2,130 1,890 Short-term lease cost 3,752 3,701 11,335 10,399 Variable lease cost 6 2 16 4 Total lease expense $ 5,929 $ 5,631 $ 17,498 $ 16,148 The following table provides supplemental cash flow and other information related to leases for the periods indicated (in thousands): Nine Months Ended September 30, 2022 2021 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases (1) $ 2,112 $ 1,886 Operating cash flows from finance leases (1) 238 260 Financing cash flows from finance leases 3,491 3,240 ROU assets obtained in exchange for new lease liabilities: Finance leases 4,353 2,083 Operating leases 2,715 1,157 ______________ (1) Amounts are included in Other operating activities on the unaudited condensed consolidated statements of cash flows. The following table provides the lease terms and discount rates for the periods indicated: Nine Months Ended September 30, 2022 2021 Weighted-average remaining lease term (years): Finance leases 3.33 3.75 Operating leases 3.57 4.06 Weighted-average discount rate: Finance leases 2.9% 2.7% Operating leases 3.9% 3.8% |
Assets and Liabilities, Lessee | The following table provides supplemental balance sheet information related to leases at the dates indicated (in thousands): September 30, December 31, 2022 2021 Assets Finance lease ROU assets (1) $ 13,149 $ 12,590 Operating lease ROU assets 7,906 7,113 Liabilities Current Finance lease liabilities 4,263 3,663 Operating lease liabilities 2,724 2,178 Noncurrent Finance lease liabilities 9,934 9,672 Operating lease liabilities 5,179 4,938 ______________ (1) Amounts are included in Property and equipment, net on the unaudited condensed consolidated balance sheets. |
Lessee, Operating Lease, Liability, Maturity | The following table provides maturities of undiscounted lease liabilities at September 30, 2022 (in thousands): Finance Operating Lease Lease Remainder of 2022 $ 1,300 $ 809 2023 4,161 2,830 2024 2,920 2,487 2025 4,343 832 2026 1,373 762 Thereafter 958 681 Total lease payments 15,055 8,401 Less: Interest (858) (498) Present value of lease liabilities 14,197 7,903 Less: Current portion of lease obligation (4,263) (2,724) Total long-term lease obligation $ 9,934 $ 5,179 The following table provides maturities of undiscounted lease liabilities at December 31, 2021 (in thousands): Finance Operating Lease Lease 2022 $ 3,941 $ 2,399 2023 3,143 2,080 2024 2,348 1,911 2025 3,771 394 2026 801 333 Thereafter — 455 Total lease payments 14,004 7,572 Less: Interest (669) (456) Present value of lease liabilities 13,335 7,116 Less: Current portion of lease obligation (3,663) (2,178) Total long-term lease obligation $ 9,672 $ 4,938 |
Finance Lease, Liability, Maturity | The following table provides maturities of undiscounted lease liabilities at September 30, 2022 (in thousands): Finance Operating Lease Lease Remainder of 2022 $ 1,300 $ 809 2023 4,161 2,830 2024 2,920 2,487 2025 4,343 832 2026 1,373 762 Thereafter 958 681 Total lease payments 15,055 8,401 Less: Interest (858) (498) Present value of lease liabilities 14,197 7,903 Less: Current portion of lease obligation (4,263) (2,724) Total long-term lease obligation $ 9,934 $ 5,179 The following table provides maturities of undiscounted lease liabilities at December 31, 2021 (in thousands): Finance Operating Lease Lease 2022 $ 3,941 $ 2,399 2023 3,143 2,080 2024 2,348 1,911 2025 3,771 394 2026 801 333 Thereafter — 455 Total lease payments 14,004 7,572 Less: Interest (669) (456) Present value of lease liabilities 13,335 7,116 Less: Current portion of lease obligation (3,663) (2,178) Total long-term lease obligation $ 9,672 $ 4,938 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of expenses and losses incurred but not reported and accrued workers' compensation | Our accruals for automobile, workers’ compensation and medical claims were as follows at the dates indicated (in thousands): September 30, December 31, 2022 2021 Pre-funded premiums for losses incurred but not reported $ 96 $ 50 Accrued automobile and workers’ compensation claims 4,174 4,127 Accrued medical claims 1,718 1,100 |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Details) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2022 segment state | Sep. 30, 2022 state segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Number of states in which entity operates | state | 48 | 48 |
Number of operating segments | 4 | 4 |
Number of reportable segments | 4 | 4 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Reconciliation of Cash and Restricted Cash (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 86,510 | $ 97,825 | ||
Restricted cash | 7,404 | 9,492 | ||
Total cash, cash equivalents and restricted cash shown in the unaudited condensed consolidated statements of cash flows | 93,914 | 107,317 | $ 102,422 | $ 52,065 |
Letter of Credit | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash | 7,404 | $ 9,492 | ||
Initial Capitalization | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash | $ 1,500 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Common Shares Outstanding (Details) - shares | 3 Months Ended | 9 Months Ended | |||
Oct. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2022 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Beginning balance (in shares) | 4,378,316 | 4,367,866 | 4,355,001 | 4,355,001 | |
Issuance of shares in acquisition (in shares) | 15,259 | ||||
Vesting of restricted stock unit awards (in shares) | 973 | 2,953 | 15,966 | ||
Shares withheld to cover taxes upon vesting of restricted stock unit awards (in shares) | (705) | (3,101) | |||
Vesting of performance share unit awards (in shares) | 289 | ||||
Ending balance (in shares) | 4,394,837 | 4,378,316 | 4,367,866 | 4,394,837 | |
Subsequent Event | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Ending balance (in shares) | 2,452,404 | ||||
Shares repurchased | 1,942,433 | ||||
Common Stock | At the Market Offerings | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Shares sold at the market (in shares) | 0 | 8,202 | 8,202 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Reconciliation of Basic and Diluted Earnings (Losses) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Basic earnings per share: | ||||||||
Net earnings | $ 2,190 | $ 2,476 | $ 6,090 | $ 1,546 | $ 4,709 | $ 2,808 | $ 10,756 | $ 9,063 |
Basic weighted average number of shares outstanding (in shares) | 4,387 | 4,274 | 4,373 | 4,258 | ||||
Basic earnings per share (in dollars per share) | $ 0.50 | $ 0.36 | $ 2.46 | $ 2.13 | ||||
Diluted earnings per share: | ||||||||
Common shares (in shares) | 4,387 | 4,274 | 4,373 | 4,258 | ||||
Total diluted shares (in shares) | 4,420 | 4,297 | 4,406 | 4,280 | ||||
Diluted earnings per share (in dollars per share) | $ 0.50 | $ 0.36 | $ 2.44 | $ 2.12 | ||||
Restricted stock units awards | ||||||||
Diluted earnings per share: | ||||||||
Unit awards (in shares) | 20 | 17 | 21 | 16 | ||||
Performance share unit awards | ||||||||
Diluted earnings per share: | ||||||||
Unit awards (in shares) | 13 | 6 | 12 | 6 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Equity at the Market Offering (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | |
Class of Stock [Line Items] | ||||
Shares sold under at-the-market offering program | $ 283 | $ 2,504 | ||
Common Stock | ||||
Class of Stock [Line Items] | ||||
Shares sold under at-the-market offering program | $ 1 | $ 8 | ||
Common Stock | At the Market Offerings | ||||
Class of Stock [Line Items] | ||||
Shares sold under at-the-market offering program | $ 300 | |||
Offering cost | $ 14 | |||
Shares sold at the market (in shares) | 0 | 8,202 | 8,202 | |
Shares sold at the market (in dollars per share) | $ 37.38 | $ 37.38 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Fair Value (Details) | Sep. 30, 2022 contract |
Hedging accounting | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Number of contracts held | 0 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Equity at the Market Offering, Income Taxes, Inventory and Property and Equipment (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accounting Policies [Abstract] | ||||
CARES Act, cash benefits for the fiscal year 2020 | $ 6,800,000 | $ 6,800,000 | ||
Inventory write-down | $ 0 | $ 0 | $ 0 | $ 0 |
Minimum | ||||
Property, Plant and Equipment [Abstract] | ||||
Property and equipment, useful life | 2 years | |||
Maximum | ||||
Property, Plant and Equipment [Abstract] | ||||
Property and equipment, useful life | 39 years |
Revenue Recognition - Revenue D
Revenue Recognition - Revenue Disaggregation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 852,901 | $ 568,181 | $ 2,619,196 | $ 1,380,416 |
Revenues from contracts with customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 841,214 | 560,119 | 2,585,797 | 1,355,534 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 11,687 | 8,062 | 33,399 | 24,882 |
Crude oil marketing | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 814,394 | 543,228 | 2,524,465 | 1,310,343 |
Crude oil marketing | Revenues from contracts with customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 802,707 | 535,166 | 2,491,066 | 1,285,461 |
Crude oil marketing | Revenues from contracts with customers | Goods transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 802,707 | 535,166 | 2,491,066 | 1,285,461 |
Crude oil marketing | Revenues from contracts with customers | Services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Crude oil marketing | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 11,687 | 8,062 | 33,399 | 24,882 |
Trans-portation | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 29,830 | 24,826 | 86,054 | 69,558 |
Trans-portation | Revenues from contracts with customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 29,830 | 24,826 | 86,054 | 69,558 |
Trans-portation | Revenues from contracts with customers | Goods transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Trans-portation | Revenues from contracts with customers | Services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 29,830 | 24,826 | 86,054 | 69,558 |
Trans-portation | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Pipeline and storage | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 0 | 127 | 0 | 515 |
Pipeline and storage | Revenues from contracts with customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 127 | 0 | 515 |
Pipeline and storage | Revenues from contracts with customers | Goods transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Pipeline and storage | Revenues from contracts with customers | Services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 127 | 0 | 515 |
Pipeline and storage | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Logistics and repurposing | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 8,677 | 0 | 8,677 | 0 |
Logistics and repurposing | Revenues from contracts with customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 8,677 | 0 | 8,677 | 0 |
Logistics and repurposing | Revenues from contracts with customers | Goods transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 4,178 | 0 | 4,178 | 0 |
Logistics and repurposing | Revenues from contracts with customers | Services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 4,499 | 0 | 4,499 | 0 |
Logistics and repurposing | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | $ 0 | $ 0 | $ 0 | $ 0 |
Revenue Recognition - Other Rev
Revenue Recognition - Other Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||||
Revenue gross-up | $ 430,244 | $ 201,704 | $ 1,156,711 | $ 526,082 |
Prepayments and Other Current_3
Prepayments and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Insurance premiums | $ 344 | $ 641 |
Vendor prepayment | 0 | 602 |
Rents, licenses and other | 1,714 | 1,146 |
Total prepayments and other current assets | $ 2,058 | $ 2,389 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | $ 224,587 | $ 224,587 | $ 199,643 | ||
Less accumulated depreciation and amortization | (116,596) | (116,596) | (111,607) | ||
Property and equipment, net | 107,991 | 107,991 | 88,036 | ||
Total depreciation and amortization | 6,008 | $ 4,849 | 16,109 | $ 14,703 | |
Assets not held under finance leases | |||||
Property, Plant and Equipment [Line Items] | |||||
Total depreciation and amortization | 4,685 | 3,665 | 12,317 | 11,169 | |
Assets held under finance leases | |||||
Property, Plant and Equipment [Line Items] | |||||
Total depreciation and amortization | 1,323 | $ 1,184 | $ 3,792 | $ 3,534 | |
Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 2 years | ||||
Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 39 years | ||||
Tractors and trailers | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 131,214 | $ 131,214 | 106,558 | ||
Tractors and trailers | Assets held under finance leases | |||||
Property, Plant and Equipment [Line Items] | |||||
Less accumulated depreciation and amortization | (8,400) | $ (8,400) | (9,800) | ||
Tractors and trailers | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 5 years | ||||
Tractors and trailers | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 6 years | ||||
Field equipment | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 24,489 | $ 24,489 | 22,851 | ||
Field equipment | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 2 years | ||||
Field equipment | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 5 years | ||||
Finance lease ROU assets | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 21,583 | $ 21,583 | 22,349 | ||
Finance lease ROU assets | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 3 years | ||||
Finance lease ROU assets | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 6 years | ||||
Pipeline and related facilities | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 20,362 | $ 20,362 | 20,336 | ||
Pipeline and related facilities | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 20 years | ||||
Pipeline and related facilities | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 25 years | ||||
Linefill and base gas | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 3,922 | $ 3,922 | 3,922 | ||
Buildings | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 16,163 | $ 16,163 | 16,163 | ||
Buildings | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 5 years | ||||
Buildings | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 39 years | ||||
Office equipment | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 2,928 | $ 2,928 | 2,060 | ||
Office equipment | Minimum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 2 years | ||||
Office equipment | Maximum | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, useful life | 5 years | ||||
Land | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | 2,309 | $ 2,309 | 2,008 | ||
Construction in progress | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment, gross | $ 1,617 | $ 1,617 | $ 3,396 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||
Aug. 12, 2022 USD ($) segment $ / shares shares | Sep. 30, 2022 USD ($) shares | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Business Acquisition [Line Items] | ||||
Issuance of shares in acquisition (in shares) | shares | 15,259 | |||
Goodwill | $ 5,755,000 | $ 5,755,000 | $ 0 | |
Firebird | ||||
Business Acquisition [Line Items] | ||||
Connection to number of terminals | segment | 6 | |||
Number Of Tractors | segment | 123 | |||
Number of trailers | segment | 216 | |||
Firebird and Phoenix | ||||
Business Acquisition [Line Items] | ||||
Fair value of total consideration transferred | $ 39,723,000 | |||
Cash payment for acquisition | $ 35,793,000 | |||
Number of shares (in shares) | shares | 45,777 | |||
Equity interest issued or issuable, value assigned | $ 1,364,000 | |||
Issuance of shares in acquisition (in shares) | shares | 15,259 | |||
Contingent consideration arrangement | $ 2,566,000 | |||
Share price (USD per share) | $ / shares | $ 33.75 | |||
Goodwill | $ 5,755,000 | |||
Goodwill, tax deductible amount | 0 | |||
Deferred tax liabilities | (4,891,000) | |||
Total revenues | 8,700,000 | 8,700,000 | ||
Net earnings | 200,000 | 200,000 | ||
Transaction costs | $ 300,000 | $ 300,000 | ||
Firebird and Phoenix | Customer Relationships | ||||
Business Acquisition [Line Items] | ||||
Acquired identifiable intangible assets | $ 5,200,000 | |||
Useful life | 10 years | |||
Firebird and Phoenix | Trade Names | ||||
Business Acquisition [Line Items] | ||||
Acquired identifiable intangible assets | $ 2,200,000 | |||
Useful life | 15 years | |||
Firebird and Phoenix | Noncompete Agreements | ||||
Business Acquisition [Line Items] | ||||
Acquired identifiable intangible assets | $ 300,000 | |||
Useful life | 5 years | |||
Firebird and Phoenix | To be Issued | ||||
Business Acquisition [Line Items] | ||||
Number of shares (in shares) | shares | 30,518 | |||
Issuance period | 3 years |
Acquisitions - Consideration Pa
Acquisitions - Consideration Paid and Amortization Expense (Details) - USD ($) $ in Thousands | Aug. 12, 2022 | Sep. 30, 2022 | Dec. 31, 2021 |
Estimated fair value of the assets acquired: | |||
Goodwill | $ 5,755 | $ 0 | |
Firebird and Phoenix | |||
Consideration: | |||
Cash payment for acquisition | $ 35,793 | ||
Equity interest issued or issuable, value assigned | 1,364 | ||
Contingent consideration arrangement | 2,566 | ||
Fair value of total consideration transferred | 39,723 | ||
Estimated fair value of the assets acquired: | |||
Cash and cash equivalents | 2,203 | ||
Accounts receivable | 4,921 | ||
Inventory | 643 | ||
Other current assets | 137 | ||
Property and equipment | 24,709 | ||
Intangible assets | 7,734 | ||
Goodwill | 5,755 | ||
Other assets | 457 | ||
Total assets acquired | 46,559 | ||
Accounts payable and other accrued liabilities | (1,945) | ||
Deferred tax liabilities | (4,891) | ||
Total liabilities assumed | (6,836) | ||
Net assets acquired | $ 39,723 |
Acquisitions - Unaudited Pro Fo
Acquisitions - Unaudited Pro Forma Financial Information (Details) - Firebird and Phoenix - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Business Acquisition [Line Items] | ||||
Revenues | $ 860,771 | $ 581,334 | $ 2,663,447 | $ 1,417,475 |
Net earnings | $ 2,295 | $ 2,056 | $ 12,867 | $ 10,430 |
Basic net earnings per common share (in dollars per share) | $ 0.52 | $ 0.48 | $ 2.93 | $ 2.44 |
Diluted net earnings per common share (in dollars per share) | $ 0.52 | $ 0.48 | $ 2.91 | $ 2.43 |
Other Assets (Details)
Other Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Insurance collateral deposits | $ 390 | $ 721 |
Excess loss fund | 622 | 622 |
Accumulated interest income | 523 | 489 |
State collateral deposits | 36 | 36 |
Materials and supplies | 1,209 | 574 |
Debt issuance costs | 392 | 292 |
Other | 273 | 293 |
Total other assets | $ 3,445 | $ 3,027 |
Segment Reporting - Information
Segment Reporting - Information Concerning Business Activities (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 USD ($) segment | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) segment | Sep. 30, 2021 USD ($) | |
Segment Reporting [Abstract] | ||||
Number of reportable segments | segment | 4 | 4 | ||
Number of operating segments | segment | 4 | 4 | ||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 852,901 | $ 568,181 | $ 2,619,196 | $ 1,380,416 |
Segment operating earnings (losses) | 2,993 | 2,301 | 14,101 | 12,487 |
Depreciation and amortization | 6,008 | 4,849 | 16,109 | 14,703 |
Property and equipment additions | 2,014 | 6,327 | 6,797 | 9,929 |
Crude oil marketing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 814,394 | 543,228 | 2,524,465 | 1,310,343 |
Depreciation and amortization | 2,008 | 1,611 | 5,690 | 5,050 |
Property and equipment additions | 343 | 443 | 4,351 | 1,145 |
Inventory liquidation (losses) gains | (5,100) | (300) | 2,100 | 10,300 |
Trans-portation | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 29,830 | 24,826 | 86,054 | 69,558 |
Depreciation and amortization | 2,791 | 2,957 | 8,671 | 8,895 |
Property and equipment additions | 722 | 4,904 | 1,416 | 7,607 |
Pipeline and storage | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 127 | 0 | 515 |
Depreciation and amortization | 269 | 281 | 808 | 758 |
Property and equipment additions | 817 | 980 | 890 | 1,169 |
Logistics and repurposing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 8,677 | 0 | 8,677 | 0 |
Depreciation and amortization | 940 | 0 | 940 | 0 |
Property and equipment additions | 132 | 0 | 132 | 0 |
Operating segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 855,966 | 568,833 | 2,625,333 | 1,381,821 |
Segment operating earnings (losses) | 7,623 | 5,803 | 26,961 | 22,326 |
Operating segments | Crude oil marketing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 814,394 | 543,228 | 2,524,465 | 1,310,343 |
Segment operating earnings (losses) | 5,070 | 4,255 | 20,301 | 19,643 |
Operating segments | Trans-portation | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 29,983 | 24,867 | 86,322 | 69,670 |
Segment operating earnings (losses) | 3,307 | 2,264 | 9,112 | 4,520 |
Operating segments | Pipeline and storage | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2,912 | 738 | 5,869 | 1,808 |
Segment operating earnings (losses) | (909) | (716) | (2,607) | (1,837) |
Operating segments | Logistics and repurposing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 8,677 | 0 | 8,677 | 0 |
Segment operating earnings (losses) | 155 | 0 | 155 | 0 |
Intersegment | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (3,065) | (652) | (6,137) | (1,405) |
Intersegment | Crude oil marketing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Intersegment | Trans-portation | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (153) | (41) | (268) | (112) |
Intersegment | Pipeline and storage | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (2,912) | (611) | (5,869) | (1,293) |
Intersegment | Logistics and repurposing | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Segment operating earnings (losses) | 0 | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Property and equipment additions | $ 0 | $ 0 | $ 8 | $ 8 |
Segment Reporting - Reconciliat
Segment Reporting - Reconciliation of Segment Earnings to Earnings Before Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Operating earnings | $ 2,993 | $ 2,301 | $ 14,101 | $ 12,487 |
General and administrative | (4,630) | (3,502) | (12,860) | (9,839) |
Interest and other income | 338 | 37 | 665 | 233 |
Interest expense | (119) | (178) | (369) | (602) |
Earnings before income taxes | 3,212 | 2,160 | 14,397 | 12,118 |
Operating segments | ||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Operating earnings | 7,623 | 5,803 | 26,961 | 22,326 |
General and administrative | ||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Operating earnings | 0 | 0 | 0 | 0 |
General and administrative | (4,630) | (3,502) | (12,860) | (9,839) |
Segment reconciling items | ||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Interest and other income | 338 | 37 | 665 | 233 |
Interest expense | $ (119) | $ (178) | $ (369) | $ (602) |
Segment Reporting - Identifiabl
Segment Reporting - Identifiable Assets by Industry Segment (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Segment Reconciliation [Abstract] | ||
Total assets | $ 462,123 | $ 374,703 |
Operating segments | ||
Segment Reconciliation [Abstract] | ||
Total assets | 462,123 | 374,703 |
Operating segments | Crude oil marketing | ||
Segment Reconciliation [Abstract] | ||
Total assets | 231,014 | 162,770 |
Operating segments | Trans-portation | ||
Segment Reconciliation [Abstract] | ||
Total assets | 61,429 | 67,167 |
Operating segments | Pipeline and storage | ||
Segment Reconciliation [Abstract] | ||
Total assets | 25,742 | 25,569 |
Operating segments | Logistics and repurposing | ||
Segment Reconciliation [Abstract] | ||
Total assets | 45,404 | 0 |
Cash and other | ||
Segment Reconciliation [Abstract] | ||
Total assets | $ 98,534 | $ 119,197 |
Transactions with Affiliates (D
Transactions with Affiliates (Details) - Affiliated entities - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Transactions with Affiliates [Abstract] | ||||
Affiliate billings to us | $ 1 | $ 1 | $ 7 | $ 13 |
Billings to affiliates | 5 | 4 | 15 | 10 |
Rentals paid to affiliate | $ 136 | $ 144 | $ 388 | $ 461 |
Transactions with Affiliates -
Transactions with Affiliates - Additional Information (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 USD ($) segment truck | Sep. 30, 2021 USD ($) truck | |
Related Party Transaction [Line Items] | ||
Operating cash flows from operating leases | $ 2,112 | $ 1,886 |
Firebird and Phoenix | ||
Related Party Transaction [Line Items] | ||
Number of operating lease aggrement | segment | 3 | |
Operating cash flows from operating leases | $ 100 | |
Minimum | Firebird and Phoenix | ||
Related Party Transaction [Line Items] | ||
Term of contract | 2 years | |
Maximum | Firebird and Phoenix | ||
Related Party Transaction [Line Items] | ||
Term of contract | 5 years | |
Affiliated entities | ||
Related Party Transaction [Line Items] | ||
Acquisition of Firebird and Phoenix, net of cash acquired | $ 100 | $ 500 |
Number of pickup tracks purchased | truck | 2 | 10 |
Other Current Liabilities (Deta
Other Current Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Accrual for payroll, benefits and bonuses | $ 6,579 | $ 5,210 |
Accrued automobile and workers’ compensation claims | 4,174 | 4,127 |
Accrued medical claims | 1,718 | 1,100 |
Accrued taxes | 4,627 | 534 |
Other | 3,874 | 651 |
Total other current liabilities | $ 20,972 | $ 11,622 |
Credit Agreement (Details)
Credit Agreement (Details) - USD ($) | 3 Months Ended | |||
Sep. 30, 2022 | Aug. 11, 2022 | Dec. 31, 2021 | May 04, 2021 | |
Line of Credit Facility [Line Items] | ||||
Long-term debt | $ 15,000,000 | $ 0 | ||
Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Applicable margin | 1.75% | |||
Commitment fee | 0.25% | |||
Revolving Credit Facility | Federal Funds Rate | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 0.50% | |||
Revolving Credit Facility | LIBOR | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 1% | |||
Revolving Credit Facility | Base Rate | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 0.75% | |||
Line of Credit | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing amount | $ 40,000,000 | |||
Long-term debt | $ 15,000,000 | |||
Letters of credit | $ 8,200,000 | |||
Line of Credit | Letter of Credit | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing amount | $ 60,000,000 | $ 40,000,000 | ||
Line of Credit | Standby Letter of Credit | ||||
Line of Credit Facility [Line Items] | ||||
Commitment fee | 1.75% |
Derivative Instruments and Fa_3
Derivative Instruments and Fair Value Measurements - Narrative (Details) - Commodity Contract | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 barrel_of_oil_per_day contract | Dec. 31, 2021 barrel_of_oil_per_day contract | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Number of contracts held | contract | 10 | 4 |
Number of contracts held, fair value | contract | 2 | |
October 2022 through December 2022 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 324 | |
October 2022 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 300,000 | |
January 2022 through December 2022 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 324 |
Derivative Instruments and Fa_4
Derivative Instruments and Fair Value Measurements - Use of Derivative Instruments (Details) - Commodity Contract - Not Designated as Hedging Instrument - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | $ 2,036 | $ 347 |
Liability derivatives | 0 | 0 |
Less counterparty offsets | 0 | 0 |
As reported fair value contracts | 2,036 | 347 |
Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 0 | 0 |
Liability derivatives | 0 | 0 |
Less counterparty offsets | 0 | 0 |
As reported fair value contracts | 0 | 0 |
Current Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 0 | 0 |
Liability derivatives | 129 | 324 |
Less counterparty offsets | 0 | 0 |
As reported fair value contracts | 129 | 324 |
Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 0 | 0 |
Liability derivatives | 0 | 0 |
Less counterparty offsets | 0 | 0 |
As reported fair value contracts | $ 0 | $ 0 |
Derivative Instruments and Fa_5
Derivative Instruments and Fair Value Measurements - Gain (Loss) on Derivatives (Details) - Not Designated as Hedging Instrument - Commodity Contract - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues – marketing | ||||
Derivative [Line Items] | ||||
Gain (loss) on derivative | $ (14) | $ 6 | $ (9) | $ 31 |
Cost and expenses – marketing | ||||
Derivative [Line Items] | ||||
Gain (loss) on derivative | $ 1,878 | $ 0 | $ 1,253 | $ 0 |
Derivative Instruments and Fa_6
Derivative Instruments and Fair Value Measurements - Fair Value Measurements (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Derivatives: | ||
Current assets | $ 2,036 | $ 347 |
Current assets, counterparty offsets | 0 | 0 |
Current liabilities | (129) | (324) |
Current liabilities, counterparty offsets | 0 | 0 |
Net value | 1,907 | 23 |
Net value, counterparty offsets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) | ||
Derivatives: | ||
Current assets | 0 | 0 |
Current liabilities | 0 | 0 |
Net value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Derivatives: | ||
Current assets | 2,036 | 347 |
Current liabilities | (129) | (324) |
Net value | 1,907 | 23 |
Significant Unobservable Inputs (Level 3) | ||
Derivatives: | ||
Current assets | 0 | 0 |
Current liabilities | 0 | 0 |
Net value | $ 0 | $ 0 |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plan (Details) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Aug. 12, 2022 USD ($) $ / shares | Aug. 31, 2022 employee shares | May 31, 2022 shares | Sep. 30, 2022 USD ($) $ / shares shares | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) $ / shares shares | Sep. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Compensation expense | $ | $ 254,000 | $ 224,000 | $ 712,000 | $ 641,000 | ||||
Accrued dividends | $ | $ 107,200 | $ 107,200 | $ 82,500 | |||||
Restricted stock units awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Granted (in shares) | 30,518 | |||||||
Entity number of employees | employee | 2 | |||||||
Number of Shares | ||||||||
Unit awards, beginning balance (in shares) | 38,265 | |||||||
Vested (in shares) | (19,892) | |||||||
Forfeited (in shares) | (3,521) | |||||||
Unit awards, ending balance (in shares) | 72,166 | 72,166 | ||||||
Weighted Average Grant Date Fair Value per Share | ||||||||
Unit awards, beginning balance (in dollars per share) | $ / shares | $ 28.78 | |||||||
Granted (in dollars per share) | $ / shares | $ 33.75 | 33.75 | ||||||
Vested (in dollars per share) | $ / shares | 29.15 | |||||||
Forfeited (in dollars per share) | $ / shares | 30.33 | |||||||
Unit awards, ending balance (in dollars per share) | $ / shares | $ 31.84 | $ 31.84 | ||||||
Aggregate grant date fair value awards issues | $ | $ 1,000,000 | |||||||
Unrecognized compensation cost | $ | $ 600,000 | $ 600,000 | ||||||
Period for recognition for remaining compensation cost | 1 year 4 months 24 days | |||||||
The 2018 LTIP | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Additional shares authorized (in shares) | 150,000 | |||||||
Number of shares authorized (in shares) | 300,000 | 157,697 | 157,697 | |||||
The 2018 LTIP | Restricted stock units awards | ||||||||
Number of Shares | ||||||||
Granted (in shares) | 26,796 | |||||||
Weighted Average Grant Date Fair Value per Share | ||||||||
Granted (in dollars per share) | $ / shares | $ 31.83 | |||||||
Aggregate grant date fair value awards issues | $ | $ 900,000 | |||||||
The 2018 LTIP | Restricted stock units awards | Minimum | ||||||||
Weighted Average Grant Date Fair Value per Share | ||||||||
Granted (in dollars per share) | $ / shares | $ 31.80 | |||||||
The 2018 LTIP | Restricted stock units awards | Maximum | ||||||||
Weighted Average Grant Date Fair Value per Share | ||||||||
Granted (in dollars per share) | $ / shares | $ 37.42 | |||||||
The 2018 LTIP | Performance share unit awards | ||||||||
Number of Shares | ||||||||
Unit awards, beginning balance (in shares) | 21,492 | |||||||
Granted (in shares) | 13,458 | |||||||
Vested (in shares) | (289) | |||||||
Forfeited (in shares) | (1,297) | |||||||
Unit awards, ending balance (in shares) | 33,364 | 33,364 | ||||||
Weighted Average Grant Date Fair Value per Share | ||||||||
Unit awards, beginning balance (in dollars per share) | $ / shares | $ 26.64 | |||||||
Granted (in dollars per share) | $ / shares | 31.80 | |||||||
Vested (in dollars per share) | $ / shares | 28.25 | |||||||
Forfeited (in dollars per share) | $ / shares | 30.87 | |||||||
Unit awards, ending balance (in dollars per share) | $ / shares | $ 28.54 | $ 28.54 | ||||||
Aggregate grant date fair value awards issues | $ | $ 400,000 | |||||||
Performance factor | 100,000% | |||||||
Unrecognized compensation cost | $ | $ 500,000 | $ 500,000 | ||||||
Period for recognition for remaining compensation cost | 2 years | |||||||
Inducement Awards | Restricted stock units awards | ||||||||
Number of Shares | ||||||||
Granted (in shares) | 30,518 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |||
Cash paid for interest | $ 369 | $ 602 | |
Cash paid for federal and state income taxes | 1,827 | 1,297 | |
Cash refund for NOL carryback under CARES Act | 6,907 | 3,712 | |
Non-cash transactions: | |||
Change in accounts payable related to property and equipment additions | 0 | (72) | |
Property and equipment acquired under finance leases | 4,353 | 2,083 | |
Issuance of common shares for acquisition | $ 425 | $ 1,364 | $ 0 |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Lease, Cost [Abstract] | |||||
Amortization of ROU assets | $ 1,306 | $ 1,184 | $ 3,775 | $ 3,534 | |
Interest on lease liabilities | 84 | 101 | 242 | 321 | |
Operating lease cost | 781 | 643 | 2,130 | 1,890 | |
Short-term lease cost | 3,752 | 3,701 | 11,335 | 10,399 | |
Variable lease cost | 6 | 2 | 16 | 4 | |
Total lease expense | $ 5,929 | $ 5,631 | 17,498 | 16,148 | |
Operating cash flows from operating leases | 2,112 | 1,886 | |||
Operating cash flows from finance leases | 238 | 260 | |||
Financing cash flows from finance leases | 3,491 | 3,240 | |||
ROU assets obtained in exchange for new lease liabilities, Finance leases | 4,353 | 2,083 | |||
ROU assets obtained in exchange for new lease liabilities, Operating leases | $ 2,715 | $ 1,157 | |||
Weighted-average remaining lease term (years), Finance leases | 3 years 3 months 29 days | 3 years 9 months | 3 years 3 months 29 days | 3 years 9 months | |
Weighted-average remaining lease term (years), Operating leases | 3 years 6 months 25 days | 4 years 21 days | 3 years 6 months 25 days | 4 years 21 days | |
Weighted-average discount rate, Finance leases | 2.90% | 2.70% | 2.90% | 2.70% | |
Weighted-average discount rate, Operating leases | 3.90% | 3.80% | 3.90% | 3.80% | |
Assets and Liabilities, Lessee [Abstract] | |||||
Finance lease ROU assets | $ 13,149 | $ 13,149 | $ 12,590 | ||
Operating lease ROU assets | 7,906 | 7,906 | 7,113 | ||
Finance lease liabilities, Current | 4,263 | 4,263 | 3,663 | ||
Operating lease liabilities, Current | 2,724 | 2,724 | 2,178 | ||
Finance lease liabilities, Noncurrent | 9,934 | 9,934 | 9,672 | ||
Operating lease liabilities, Noncurrent | 5,179 | 5,179 | 4,938 | ||
Finance Lease Liabilities, Payments | |||||
Remainder of 2022 | 1,300 | 1,300 | |||
2023 | 4,161 | 4,161 | 3,941 | ||
2024 | 2,920 | 2,920 | 3,143 | ||
2025 | 4,343 | 4,343 | 2,348 | ||
2026 | 1,373 | 1,373 | 3,771 | ||
Thereafter | 958 | 958 | |||
2026 | 801 | ||||
Thereafter | 0 | ||||
Total lease payments | 15,055 | 15,055 | 14,004 | ||
Less: Interest | (858) | (858) | (669) | ||
Present value of lease liabilities | 14,197 | 14,197 | 13,335 | ||
Less: Current portion of lease obligation | (4,263) | (4,263) | (3,663) | ||
Finance lease obligations | 9,934 | 9,934 | 9,672 | ||
Operating Lease Liabilities, Payments Due | |||||
Remainder of 2022 | 809 | 809 | |||
2023 | 2,830 | 2,830 | 2,399 | ||
2024 | 2,487 | 2,487 | 2,080 | ||
2025 | 832 | 832 | 1,911 | ||
2026 | 762 | 762 | 394 | ||
Thereafter | 681 | 681 | |||
2026 | 333 | ||||
Thereafter | 455 | ||||
Total lease payments | 8,401 | 8,401 | 7,572 | ||
Less: Interest | (498) | (498) | (456) | ||
Present value of lease liabilities | 7,903 | 7,903 | 7,116 | ||
Less: Current portion of lease obligation | (2,724) | (2,724) | (2,178) | ||
Total long-term lease obligation | $ 5,179 | $ 5,179 | $ 4,938 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2022 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Self-insured retention | $ 1,000,000 |
Umbrellas insurance coverage | 1,200,000 |
Aggregate medical claims for umbrella insurance coverage per calendar year | $ 11,500,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Pre-funded Insurance (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Commitments and Contingencies Disclosure [Abstract] | ||
Pre-funded premiums for losses incurred but not reported | $ 96 | $ 50 |
Accrued automobile and workers’ compensation claims | 4,174 | 4,127 |
Accrued medical claims | $ 1,718 | $ 1,100 |
Subsequent Event (Details)
Subsequent Event (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Nov. 27, 2022 USD ($) | Oct. 31, 2022 USD ($) $ / shares shares | Sep. 30, 2022 shares | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 USD ($) | Oct. 27, 2022 USD ($) | Jun. 30, 2022 shares | Mar. 31, 2022 shares | Dec. 31, 2021 shares | May 04, 2021 USD ($) | |
Subsequent Event [Line Items] | ||||||||||
Common stock - shares outstanding (in shares) | shares | 4,394,837 | 4,394,837 | 4,378,316 | 4,367,866 | 4,355,001 | |||||
Borrowings under Credit Agreement | $ 45,000 | $ 8,000 | ||||||||
Revolving Credit Facility | Base Rate | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 0.75% | |||||||||
Line of Credit | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Maximum borrowing amount | $ 60,000 | |||||||||
Percentage of cash deposited | 103% | |||||||||
Subsequent Event | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Shares repurchased | shares | 1,942,433 | |||||||||
Value of shares repurchased | $ 69,900 | |||||||||
Price per share | $ / shares | $ 36 | |||||||||
Common stock - shares outstanding (in shares) | shares | 2,452,404 | |||||||||
Subsequent Event | Fed Funds Rate | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 0.50% | |||||||||
Subsequent Event | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 1% | |||||||||
Subsequent Event | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Minimum | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 2% | |||||||||
Subsequent Event | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Maximum | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 3% | |||||||||
Subsequent Event | Base Rate | Minimum | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 1% | |||||||||
Subsequent Event | Base Rate | Maximum | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Basis spread on variable rate | 2% | |||||||||
Subsequent Event | Term Loan | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Face amount | $ 25,000 | |||||||||
Amortization period | 10 years | |||||||||
Debt instrument, covenant equity proceeds | $ 2,000 | |||||||||
Subsequent Event | Revolving Credit Facility | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Maximum borrowing amount | $ 60,000 | |||||||||
Commitment fee percentage | 0.25% | |||||||||
Subsequent Event | Line of Credit | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Leverage ratio | 2.50 | |||||||||
Asset coverage ratio | 2 | |||||||||
Fixed charge coverage ratio | 1.25 | |||||||||
Borrowings under Credit Agreement | $ 25,000 | |||||||||
Subsequent Event | Letter of Credit | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Maximum borrowing amount | $ 30,000 |