Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 05, 2018 | Jun. 30, 2017 | |
Document and Entity Information | |||
Entity Registrant Name | DAWSON GEOPHYSICAL CO | ||
Entity Central Index Key | 799,165 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Public Float | $ 78,703,000 | ||
Entity Common Stock, Shares Outstanding | 21,792,506 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 22,013,000 | $ 14,624,000 |
Short-term investments | 16,583,000 | 40,250,000 |
Accounts receivable, net of allowance for doubtful accounts of $250 at December 31, 2017 and 2016 | 33,138,000 | 16,031,000 |
Current maturities of notes receivable | 695,000 | |
Prepaid expenses and other current assets | 4,677,000 | 4,822,000 |
Total current assets | 77,106,000 | 75,727,000 |
Property and equipment | 307,844,000 | 324,950,000 |
Less accumulated depreciation | (221,271,000) | (214,033,000) |
Property and equipment, net | 86,573,000 | 110,917,000 |
Notes receivable, net of current maturities | 841,000 | |
Intangibles, net | 494,000 | 487,000 |
Long-term deferred tax assets, net | 224,000 | 535,000 |
Total assets | 165,238,000 | 187,666,000 |
Current liabilities: | ||
Accounts payable | 5,933,000 | 5,617,000 |
Accrued liabilities: | ||
Payroll costs and other taxes | 1,151,000 | 885,000 |
Other | 4,314,000 | 2,983,000 |
Deferred revenue | 3,699,000 | 3,155,000 |
Current maturities of notes payable and obligations under capital leases | 2,712,000 | 2,357,000 |
Total current liabilities | 17,809,000 | 14,997,000 |
Long-term liabilities: | ||
Notes payable and obligations under capital leases, net of current maturities | 5,153,000 | |
Deferred tax liabilities, net | 874,000 | 146,000 |
Other accrued liabilities | 150,000 | 1,639,000 |
Total long-term liabilities | 6,177,000 | 1,785,000 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock-par value $1.00 per share; 4,000,000 shares authorized, none outstanding | ||
Common stock-par value $0.01 per share; 35,000,000 shares authorized, 21,836,617 and 21,704,851 shares issued, and 21,788,172 and 21,656,406 shares outstanding at December 31, 2017 and 2016, respectively | 218,000 | 217,000 |
Additional paid-in capital | 143,835,000 | 142,998,000 |
Retained (deficit) earnings | (2,021,000) | 29,265,000 |
Treasury stock, at cost; 48,445 shares at December 31, 2017 and December 31, 2016 | ||
Accumulated other comprehensive loss, net | (780,000) | (1,596,000) |
Total stockholders' equity | 141,252,000 | 170,884,000 |
Total liabilities and stockholders' equity | $ 165,238,000 | $ 187,666,000 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
CONSOLIDATED BALANCE SHEETS | ||
Allowance for doubtful accounts | $ 250 | $ 250 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized | 4,000,000 | 4,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 35,000,000 | 35,000,000 |
Common stock, shares issued | 21,836,617 | 21,704,851 |
Common stock, shares outstanding | 21,788,172 | 21,656,406 |
Treasury stock, shares | 48,445 | 48,445 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS | |||
Operating revenues | $ 157,148 | $ 133,330 | $ 234,685 |
Operating costs: | |||
Operating expenses | 139,164 | 121,661 | 205,566 |
General and administrative | 16,189 | 16,822 | 22,729 |
Depreciation and amortization | 39,235 | 44,283 | 47,072 |
Operating expenses, total | 194,588 | 182,766 | 275,367 |
Loss from operations | (37,440) | (49,436) | (40,682) |
Other income (expense): | |||
Interest income | 306 | 347 | 159 |
Interest expense | (158) | (260) | (609) |
Other income | 712 | 3,108 | 1,098 |
Loss before income tax | (36,580) | (46,241) | (40,034) |
Income tax benefit (expense): | |||
Current | 6,077 | 396 | (291) |
Deferred | (763) | 6,053 | 14,046 |
Total income tax benefit (expense) | 5,314 | 6,449 | 13,755 |
Net loss | (31,266) | (39,792) | (26,279) |
Other comprehensive income (loss): | |||
Net unrealized income (loss) on foreign exchange rate translation, net | 816 | 228 | (1,480) |
Comprehensive loss | $ (30,450) | $ (39,564) | $ (27,759) |
Basic loss per share attributable to common stock | $ (1.44) | $ (1.84) | $ (1.27) |
Diluted loss per share attributable to common stock | $ (1.44) | $ (1.84) | $ (1.27) |
Weighted average equivalent common shares outstanding | 21,694,645 | 21,611,562 | 20,688,185 |
Weighted average equivalent common shares outstanding - assuming dilution | 21,694,645 | 21,611,562 | 20,688,185 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive (Loss) Income | Total |
Balance at beginning of period at Dec. 31, 2014 | $ 142 | $ 99,084 | $ 95,336 | $ (344) | $ 194,218 |
Balance at beginning of period (in shares) at Dec. 31, 2014 | 14,216,540 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Net loss | (26,279) | (26,279) | |||
Unrealized gain (loss) on foreign exchange rate translation | (2,106) | ||||
Income tax benefit (expense) | 626 | ||||
Other comprehensive gain (loss) | (1,480) | (1,480) | |||
Stock consideration issued in merger | $ 74 | 42,828 | 42,902 | ||
Stock consideration issued in merger (in shares) | 7,381,476 | ||||
Issuance of common stock under stock compensation plans (in shares) | 14,212 | ||||
Tax deficit recorded to hypothetical apic pool | (551) | (551) | |||
Stock-based compensation expense | 890 | 890 | |||
Issuance of common stock as compensation | 266 | 266 | |||
Issuance of common stock as compensation (in shares) | 58,937 | ||||
Shares exchanged for taxes on stock-based compensation | (248) | (248) | |||
Shares exchanged for taxes on stock-based compensation (in shares) | (41,855) | ||||
Balance at end of period at Dec. 31, 2015 | $ 216 | 142,269 | 69,057 | (1,824) | 209,718 |
Balance at end of period (in shares) at Dec. 31, 2015 | 21,629,310 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Net loss | (39,792) | (39,792) | |||
Unrealized gain (loss) on foreign exchange rate translation | 496 | ||||
Income tax benefit (expense) | (268) | ||||
Other comprehensive gain (loss) | 228 | 228 | |||
Issuance of common stock under stock compensation plans (in shares) | 20,221 | ||||
Tax deficit recorded to hypothetical apic pool | (77) | (77) | |||
Stock-based compensation expense | 462 | 462 | |||
Issuance of common stock as compensation | $ 1 | 416 | 417 | ||
Issuance of common stock as compensation (in shares) | 66,200 | ||||
Shares exchanged for taxes on stock-based compensation | (72) | (72) | |||
Shares exchanged for taxes on stock-based compensation (in shares) | (10,880) | ||||
Balance at end of period at Dec. 31, 2016 | $ 217 | 142,998 | 29,265 | (1,596) | $ 170,884 |
Balance at end of period (in shares) at Dec. 31, 2016 | 21,704,851 | 21,656,406 | |||
Increase (Decrease) in Stockholders' Equity | |||||
Impact of adopting ASU 2016-09 | 20 | (20) | |||
Net loss | (31,266) | $ (31,266) | |||
Unrealized gain (loss) on foreign exchange rate translation | 1,091 | ||||
Income tax benefit (expense) | (275) | ||||
Other comprehensive gain (loss) | 816 | 816 | |||
Issuance of common stock under stock compensation plans | $ 1 | (1) | |||
Issuance of common stock under stock compensation plans (in shares) | 92,448 | ||||
Stock-based compensation expense | 656 | 656 | |||
Issuance of common stock as compensation | 320 | 320 | |||
Issuance of common stock as compensation (in shares) | 67,498 | ||||
Shares exchanged for taxes on stock-based compensation | (158) | (158) | |||
Shares exchanged for taxes on stock-based compensation (in shares) | (28,180) | ||||
Balance at end of period at Dec. 31, 2017 | $ 218 | $ 143,835 | $ (2,021) | $ (780) | $ 141,252 |
Balance at end of period (in shares) at Dec. 31, 2017 | 21,836,617 | 21,788,172 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net loss | $ (31,266) | $ (39,792) | $ (26,279) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | |||
Depreciation and amortization | 39,235 | 44,283 | 47,072 |
Noncash compensation | 976 | 879 | 1,156 |
Deferred income tax expense (benefit) | 763 | (6,053) | (14,046) |
Gain on proceeds from insurance settlements | (2,269) | (407) | |
Change in other accrued long-term liabilities | (1,489) | (195) | 1,834 |
(Gain) loss on disposal of assets | (1,714) | (167) | 815 |
Other | (91) | 186 | (81) |
Change in current assets and liabilities: | |||
(Increase) decrease in accounts receivable | (16,696) | 19,669 | 15,883 |
Decrease in prepaid expenses and other current assets | 401 | 1,328 | 1,752 |
Increase (decrease) in accounts payable | 1,176 | (4,326) | (3,128) |
Increase (decrease) in accrued liabilities | 1,458 | (1,810) | (4,579) |
Increase (decrease) in deferred revenue | 544 | (2,991) | 620 |
Net cash (used in) provided by operating activities | (6,703) | 8,742 | 20,612 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Cash acquired from merger | 12,382 | ||
Capital expenditures, net of noncash capital expenditures summarized below | (8,675) | (8,251) | (6,846) |
Proceeds from maturity of short-term investments | 61,250 | 91,750 | 34,500 |
Acquisition of short-term investments | (37,583) | (111,000) | (26,750) |
Proceeds from disposal of assets | 1,325 | 1,922 | 1,501 |
Proceeds from flood insurance claims | 375 | 2,850 | 1,000 |
Proceeds from notes receivable | 96 | ||
Net cash provided by (used in) investing activities | 16,788 | (22,729) | 15,787 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Proceeds from promissory note | 5,144 | ||
Principal payments on notes payable | (2,186) | (7,554) | (16,348) |
Principal payments on capital lease obligations | (1,076) | (780) | (1,535) |
Excess tax benefit from share-based payment arrangement | (77) | (551) | |
Tax withholdings related to stock-based compensation awards | (158) | (72) | (316) |
Net cash used in financing activities | (3,420) | (8,483) | (13,606) |
Effect of exchange rate changes on cash and cash equivalents | 724 | 85 | (428) |
Net increase (decrease) in cash and cash equivalents | 7,389 | (22,385) | 22,365 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 14,624 | 37,009 | 14,644 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 22,013 | 14,624 | 37,009 |
SUPPLEMENTAL CASH FLOW INFORMATION: | |||
Cash paid for interest | 143 | 260 | 620 |
Cash paid for income taxes | 33 | 692 | |
Cash received for income taxes | 4,791 | 348 | 752 |
NONCASH INVESTING AND FINANCING ACTIVITIES: | |||
(Decrease) increase in accrued purchases of property and equipment | (907) | $ 1,542 | (52) |
Capital lease obligations incurred | 8,542 | 126 | |
Stock consideration to consummate the merger | 42,902 | ||
Financed insurance premiums | 248 | $ 1,046 | |
Equipment sales financed for buyer | (1,500) | ||
Sales tax on equipment sales financed for buyer | $ (132) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Organization and Nature of Operations The Company is a leading provider of onshore seismic data acquisition and processing services. Founded in 1952, the Company acquires and processes 2-D, 3-D and multi-component seismic data for its clients, ranging from major oil and gas companies to independent oil and gas operators as well as providers of multi-client data libraries. The Company operates in the lower 48 states of the U.S. and in Canada. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Dawson Operating LLC, Eagle Canada, Inc., Dawson Seismic Services Holdings, Inc., Eagle Canada Seismic Services ULC and Exploration Surveys, Inc. All significant intercompany balances and transactions have been eliminated in consolidation. Cash Equivalents For purposes of the financial statements, the Company considers demand deposits, certificates of deposit, overnight investments, money market funds and all highly liquid debt instruments purchased with an initial maturity of three months or less to be cash equivalents. Allowance for Doubtful Accounts Management determines the need for any allowance for doubtful accounts receivable based on its review of past-due accounts, its past experience of historical write-offs and its current client base. While the collectability of outstanding client invoices is continually assessed, the inherent volatility of the energy industry’s business cycle can cause swift and unpredictable changes in the financial stability of the Company’s clients. Property and Equipment Property and equipment is capitalized at historical cost or the fair value of assets acquired in a business combination and is depreciated over the useful life of the asset. Management’s estimation of this useful life is based on circumstances that exist in the seismic industry and information available at the time of the purchase of the asset. As circumstances change and new information becomes available, these estimates could change. Depreciation is computed using the straight-line method. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the balance sheet, and any resulting gain or loss is reflected in the results of operations for the period. Impairment of Long-Lived Assets Long-lived assets are reviewed for impairment when triggering events occur suggesting deterioration in the assets’ recoverability or fair value. Recognition of an impairment charge is required if future expected undiscounted net cash flows are insufficient to recover the carrying value of the assets, and the fair value of the assets is below the carrying value of the assets. Management’s forecast of future cash flows used to perform impairment analysis includes estimates of future revenues and expenses based on the Company’s anticipated future results, while considering anticipated future oil and natural gas prices which is fundamental in assessing demand for the Company’s services. If the carrying amounts of the assets exceed the estimated expected undiscounted future cash flows, the Company measures the amount of possible impairment by comparing the carrying amount of the assets to the fair value. No impairment charges were recognized for the years ended December 31, 2017, 2016 and 2015. Leases The Company leases certain seismic recording equipment and vehicles under lease agreements. The Company evaluates each lease to determine its appropriate classification as an operating or capital lease for financial reporting purposes. Any lease that does not meet the criteria for a capital lease is accounted for as an operating lease. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair market value of the related assets. Assets under capital leases are amortized using the straight-line method over the initial lease term. Amortization of assets under capital leases is included in depreciation expense. Intangibles The Company has intangible assets consisting primarily of trademarks/tradenames (which are not amortized) resulting from a business combination. The Company tests for impairment on an annual basis during the fourth quarter, and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying amount. No impairment charges were recognized for the years ended December 31, 2017, 2016 and 2015. Revenue Recognition Services are provided under cancelable service contracts. These contracts are either “turnkey” or “term” agreements. Under both types of agreements, the Company recognizes revenues when revenue is realizable and services have been performed. Services are defined as the commencement of data acquisition or processing operations. Revenues are considered realizable when earned according to the terms of the service contracts. Under turnkey agreements, revenue is recognized on a per-unit-of-data-acquired rate as services are performed. Under term agreements, revenue is recognized on a per-unit-of-time-worked rate as services are performed. In the case of a cancelled service contract, revenue is recognized and the client is billed for services performed up to the date of cancellation. The Company receives reimbursements for certain out-of-pocket expenses under the terms of the service contracts. Amounts billed to clients are recorded in revenue at the gross amount, including out-of-pocket expenses that are reimbursed by the client. In some instances, clients are billed in advance of services performed. In those cases, the Company recognizes the liability as deferred revenue. As services are performed, those deferred revenue amounts are recognized as revenue. In some instances, the contract contains certain permitting, surveying and drilling costs that are incorporated into the per-unit-of-data-acquired rate. In these circumstances, these set-up costs that occur prior to initiating revenue recognition are capitalized and amortized as data is acquired. Stock-Based Compensation The Company measures all stock-based compensation awards, which include stock options, restricted stock, restricted stock units and common stock awards, using the fair value method and recognizes compensation expense, net of actual forfeitures, as operating or general and administrative expense, as appropriate, in the Consolidated Statements of Operations and Comprehensive Loss on a straight-line basis over the vesting period of the related awards. Foreign Currency Translation The U.S. Dollar is the reporting currency for all periods presented. The functional currency of the Company’s foreign subsidiaries is generally the local currency. Any transactions denominated in a currency other than the functional currency are remeasured with the resulting unrealized gain or loss recognized in the Consolidated Statements of Operations and Comprehensive Loss as other income (expense). All assets and liabilities in the functional currency are then translated into U.S. Dollars at the exchange rate on the balance sheet date. Income and expenses are translated using the exchange rate applicable to each transaction. Equity transactions are translated using historical exchange rates. Adjustments resulting from translation are recorded as a separate component of accumulated other comprehensive income (loss) in the Consolidated Balance Sheets. Realized foreign currency transaction gains (losses) are included in the Consolidated Statements of Operations and Comprehensive Loss as other income (expense). Income Taxes The Company accounts for income taxes by recognizing amounts of taxes payable or refundable for the current year, and by using an asset and liability approach in recognizing the amount of deferred tax assets and liabilities for the future tax consequences of events that have been recognized in the Company’s financial statements or tax returns. Management determines deferred taxes by identifying the types and amounts of existing temporary differences, measuring the total deferred tax asset or liability using the applicable tax rate in effect for the year in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates of deferred tax assets and liabilities is recognized in income in the year of an enacted rate change. The deferred tax asset is reduced by a valuation allowance if, based on available evidence, it is more likely than not that some portion or all of the deferred tax asset will not be realized. Management’s methodology for recording income taxes requires judgment regarding assumptions and the use of estimates, including determining the annual effective tax rate and the valuation of deferred tax assets, which can create variances between actual results and estimates and could have a material impact on the Company’s provision or benefit for income taxes. Due to recent operating losses and valuation allowances, the Company may recognize reduced or no tax benefits on future losses on the Consolidated Statements of Operations and Comprehensive Loss. The Company’s effective tax rates differ from the statutory federal rate of 35% for certain items such as state and local taxes, valuation allowances, non-deductible expenses and discrete items. Use of Estimates in the Preparation of Financial Statements Preparation of the accompanying financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts 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. Because of the use of assumptions and estimates inherent in the reporting process, actual results could differ from those estimates. Reclassifications Certain reclassifications have been made to the years ended December 31, 2016 and 2015 consolidated financial statements to conform to the 2017 presentation. This includes reclassifications on the Consolidated Statements of Cash Flows for the adoption in 2016 of ASU No 2016-05. |
Short-Term Investments
Short-Term Investments | 12 Months Ended |
Dec. 31, 2017 | |
Short-Term Investments | |
Short-Term Investments | 2. The Company had short-term investments at December 31, 2017 and 2016 consisting of certificates of deposit with original maturities greater than three months but less than a year. Certificates of deposits with any given banking institution did not exceed the FDIC insurance limit at December 31, 2017 or 2016. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value of Financial Instruments | |
Fair Value of Financial Instruments | 3. Fair Value of Financial Instruments At December 31, 2017 and 2016, the Company’s financial instruments included cash and cash equivalents, short-term investments in certificates of deposit, accounts receivable, other current assets, accounts payable, other current liabilities and notes payable. At December 31, 2017, the Company’s financial instruments also included notes receivable. Due to the short-term maturities of cash and cash equivalents, accounts receivable, other current assets, accounts payable and other current liabilities, the carrying amounts approximate fair value at the respective balance sheet dates. The carrying value of the notes receivable and notes payable approximate their fair value based on a comparison with the prevailing market interest rates. Due to the short-term maturities of the Company’s investments in certificates of deposit, the carrying amounts approximate fair value at the respective balance sheet dates. The fair values of the Company’s notes receivable, notes payable and investments in certificates of deposit are level 2 measurements in the fair value hierarchy . |
Merger
Merger | 12 Months Ended |
Dec. 31, 2017 | |
Merger | |
Merger | 4. Merger On February 11, 2015, the Company completed the Merger. Immediately prior to the effective time of the Merger, Legacy TGC effected a reverse stock split with respect to its common stock, par value $0.01 per share, on a one-for-three ratio (the “Reverse Stock Split”) to reduce the total number of shares of Legacy TGC Common Stock outstanding. After giving effect to the Reverse Stock Split, at the effective time of the Merger, without any action on the part of any shareholder, each issued and outstanding share of Legacy Dawson’s common stock, par value $0.33-1/3 per share (the “Legacy Dawson Common Stock”), including shares underlying Legacy Dawson’s outstanding equity awards (but excluding any shares of Legacy Dawson Common Stock owned by Legacy TGC, Merger Sub or Legacy Dawson or any wholly-owned subsidiary of Legacy Dawson), were converted into the right to receive 1.760 shares of Legacy TGC Common Stock (the “Exchange Ratio”). The Merger was accounted for as a reverse acquisition under the acquisition method of accounting in accordance with ASC No. 805, “Business Combinations.” The Company accounted for the transaction by using Legacy Dawson’s historical information and accounting policies and adding the assets and liabilities of Legacy TGC at their respective fair values. Consequently, Legacy Dawson’s assets and liabilities retained their carrying values and Legacy TGC’s assets acquired and liabilities assumed by Legacy Dawson as the accounting acquirer in the Merger were recorded at their fair values measured as of February 11, 2015, the effective date of the Merger. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property and Equipment | |
Property and Equipment | 5. Property and Equipment Property and equipment (in thousands), together with the related estimated useful lives at December 31, 2017 and 2016, were as follows: December 31, 2017 2016 Useful Lives Land, building and other $ $ 3 to 40 years Recording equipment 5 to 10 years Line clearing equipment 5 years Vibrator energy sources 5 to 15 years Vehicles 1.5 to 10 years Less accumulated depreciation Property and equipment, net $ $ |
Supplemental Consolidated Balan
Supplemental Consolidated Balance Sheet Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Consolidated Balance Sheet Information | |
Supplemental Consolidated Balance Sheet Information | 6. Supplemental Consolidated Balance Sheet Information Other current liabilities (in thousands) consist of the following at December 31, 2017 and 2016: December 31, 2017 2016 Accrued self-insurance reserves $ $ Other accrued expenses and current liabilities Other current liabilities $ $ |
Debt
Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt | |
Debt | 7. Debt On June 30, 2015, the Company entered into an amendment to its Credit Agreement with its lender, Sovereign Bank for the purpose of renewing, extending and increasing the Company’s line of credit under such agreement. The Credit Agreement was renewed on June 30, 2017. In a merger effective September 11, 2017, Sovereign Bank merged with and into Veritex Bank. Credit Agreement The Credit Agreement provides for a revolving loan feature, or Line of Credit, that permits the Company to borrow, repay and re-borrow, from time to time until June 30, 2018, up to the lesser of (i) $20.0 million or (ii) a sum equal to (a) 80% of the Company’s eligible accounts receivable (less the outstanding principal balance of term loans and letters of credit under the Credit Agreement) and (b) the lesser of (i) 50% of the value of certain of the Company’s core equipment or (ii) $12,500,000. The Company has not utilized the Line of Credit since its inception. Because the Company’s ability to borrow funds under the Line of Credit is tied to the amount of the Company’s eligible accounts receivable and value of certain of its core equipment, if the Company’s accounts receivable decrease materially for any reason, including delays, reductions or cancellations by clients, or decreased demand for the Company’s services, or the value of the Company’s pledged core equipment decreases materially, the Company’s borrowing ability to fund operations or other obligations may be reduced. The Credit Agreement also provides for a term loan feature. The Company has no outstanding notes payable under the term loan feature of the Credit Agreement, and any notes outstanding under this feature would count toward the maximum amounts the Company may borrow under the Credit Agreement. The Company paid off the remaining equipment note payable during the third quarter of 2017. The Company does not currently have any notes payable under the Credit Agreement. The Company’s obligations under the Line of Credit are secured by a security interest in the Company’s accounts receivable and certain of the Company’s core equipment, and the term loans are also secured by certain of the Company’s core equipment. Interest on amounts outstanding under the Credit Agreement accrues at the lesser of 4.5% or the prime rate (as quoted in the Wall Street Journal ), subject to an interest rate floor of 2.5%. The Credit Agreement contains customary covenants for credit facilities of this type, including limitations on disposition of assets, mergers and other fundamental changes. The Company is also obligated to meet certain financial covenants, including (i) a ratio of (x) total liabilities minus subordinated debt to (y) tangible net worth plus subordinated debt not to exceed 1.00:1.00, (ii) a ratio of current assets to current liabilities of at least 1.50:1.00 and (iii) required tangible net worth of not less than $125,000,000. The Company was in compliance with all covenants under the Credit Agreement, including specified ratios, as of December 31, 2017. Veritex Bank has issued three letters of credit as of December 31, 2017. The first letter of credit is in the amount of $1,767,000 to support payment of certain insurance obligations of the Company. The principal amount of this letter of credit is collateralized by certain of the Company’s core equipment. The second letter of credit is in the amount of $583,000 to support the company’s workers’ compensation insurance and is secured by a certificate of deposit. The third letter of credit is unsecured and in the amount of $75,000 to support certain performance obligations of the Company. None of the letters of credit count as funds borrowed under the Company’s Line of Credit. Other Indebtedness The Company paid in full, during November 2017, one note payable to a finance company for various insurance premiums. In addition, the Company leases certain seismic recording equipment and vehicles under leases classified as capital leases. The Company’s Consolidated Balance Sheets as of December 31, 2017 and 2016 include capital lease obligations of $7,865,000 and $419,000, respectively. Maturities of Debt The Company’s aggregate principal amount (in thousands) of outstanding notes payable and the interest rates and monthly payments as of December 31, 2017 and 2016 are as follows: December 31, 2017 December 31, 2016 Notes payable to commercial banks Aggregate principal amount outstanding $ — $ Interest rates — 3.50% - 4.50% The Company’s aggregate maturities of obligations under capital leases (in thousands) at December 31, 2017 are as follows: January 2018 - December 2018 $ January 2019 - December 2019 January 2020 - December 2020 January 2021 - December 2021 Obligations under capital leases $ Interest rates on these leases ranged from 3.16% to 6.72%. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Stock-Based Compensation | |
Stock-Based Compensation | 8. Stock-Based Compensation Since the date of its effectiveness on May 5, 2016, the Company issues new grants of stock-based awards pursuant to the Dawson Geophysical Company 2016 Stock and Performance Incentive Plan (the “2016 Plan”). Upon its effectiveness, the 2016 Plan replaced: (i) the Amended and Restated Dawson Geophysical Company 2006 Stock and Performance Incentive Plan (the “Legacy Dawson Plan”), which originated from Legacy Dawson and (ii) the Amended and Restated 2006 Stock Awards Plan of Dawson Geophysical Company (formerly known as the TGC Industries, Inc. 2006 Stock Awards Plan) (the “Legacy TGC Plan”), which originated from Legacy TGC (the Legacy Dawson Plan and the Legacy TGC Plan are referred to collectively as, (the “Prior Plans”). The Company administered both of the Prior Plans as a result of the Merger, and per the 2016 Plan, no new grants of awards have been permitted under the Prior Plans after the effectiveness of the 2016 Plan. Further, the Legacy Dawson Plan and the Legacy TGC Plan expired pursuant to their terms on November 28, 2016 and March 29, 2016, respectively. Any outstanding awards previously granted under the Prior Plans continue to remain outstanding in accordance with their terms. The awards outstanding and available under the 2016 Plan and the awards outstanding under each of the Prior Plans and their associated accounting treatment are discussed below. In 2016, the Company adopted the 2016 Plan. The 2016 Plan, which provides for the issuance of up to 1,000,000 shares of authorized Company common stock. As of December 31, 2017, there were approximately 684,416 shares available for future issuance. The 2016 Plan provides for the issuance of stock-based compensation awards, including stock options, common stock, restricted stock, restricted stock units and other forms. Stock option grant prices awarded under the 2016 Plan may not be less than the fair market value of the common stock subject to such option on the grant date, and the term of stock options shall extend no more than ten years after the grant date. The 2016 Plan terminates May 5, 2026. In 2006, Legacy Dawson adopted the Legacy Dawson Plan, which was amended and restated in connection with the Merger. The Legacy Dawson Plan provided for the issuance of stock-based compensation awards, including stock options, common stock, restricted stock, restricted stock units and other forms. Stock option grant prices awarded under the Legacy Dawson Plan were required to be no less than the fair market value of the common stock subject to such option on the grant date, and the term of stock options was limited to no more than ten years after the grant date. The Legacy Dawson Plan terminated on November 28, 2016 and, upon the effectiveness of the 2016 Plan on May 5, 2016, has had no shares available for future issuance. In 2006, the Company adopted the Legacy TGC Plan, which was amended and restated in connection with the Merger. The Legacy TGC Plan provided for the issuance of stock-based compensation awards, including stock options, common stock, and restricted stock. Stock option grant prices awarded under the Legacy TGC Plan were required to be no less than the fair market value of the common stock subject to such option on the grant date, and the term of stock options was limited to no more than ten years after the grant date. The Legacy TGC Plan terminated on March 29, 2016 and, since such time, has had no shares available for future issuance. Historically, the Company’s employees and officers that held unvested restricted stock were entitled to dividends when the Company paid dividends (“participating”). The Company’s employees and officers that hold unvested restricted stock awarded during 2016 or thereafter are not entitled to dividends when the Company pays dividends (“non-participating”). Impact of Stock-Based Compensation: The following table summarizes stock-based compensation expense (in thousands), which is included in operating or general and administrative expense, as appropriate, in the Consolidated Statements of Operations and Comprehensive Loss, for the years ended December 31, 2017, 2016 and 2015: Year Ended December 31, 2017 2016 2015 Stock options $ — $ $ — Restricted stock awards Restricted stock unit awards Common stock awards Total compensation expense $ $ $ Stock Options: Legacy Dawson estimated the fair value of each stock option on the date of grant using the Black-Scholes option pricing model. Legacy TGC estimated the fair value of each stock option on the date of grant using the Binomial Lattice Model. Actual value realized with stock options, if any, is dependent on the future performance of the Company’s common stock and overall stock market conditions. A summary of the outstanding stock options as of December 31, 2017 as well as activity during the year then ended is as follows: Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term in Years Balance as of December 31, 2016 369,464 $ 12.70 Forfeited (25,731) $ 11.42 Expired (32,810) $ 16.79 Balance as of December 31, 2017 310,923 $ 12.37 1.23 Exercisable as of December 31, 2017 310,923 $ 12.37 1.23 Stock options issued under both the Legacy TGC plan and Legacy Dawson plans are a combination of incentive stock options and non-qualified stock options. For incentive stock options, no tax deduction is recorded when options are awarded. If an excise and sale of vested options results in a disqualifying disposition, a tax deduction for the Company occurs. Outstanding options at December 31, 2017 expire during the period from December 2018 to July 2019. The intrinsic value of the outstanding options at December 31, 2017 was zero. There were no unrecognized compensation costs related to stock options as of December 31, 2017. There were no options granted or vested, and there were no excess tax benefits from disqualifying dispositions during the years ended December 31, 2017, 2016 and 2015. No options were exercised during the years ended December 31, 2017, 2016 and 2015. No cash was received from option exercises during the years ended December 31, 2017, 2016 and 2015. Restricted Stock Awards: There were no restricted stock grants in the year ended December 31, 2017. The Company granted 87,000 non-participating restricted stock awards during the year ended December 31, 2016 with a weighted average grant date fair value of $2.96. There were no restricted stock grants in the year ended December 31, 2015. The fair value of non-participating restricted stock awards equals the market price of the Company’s stock on the grant date and generally vest in three years or in annual increments over three years. A summary of the status of the Company’s nonvested non-participating restricted stock awards as of December 31, 2017 and activity during the year then ended is as follows: Number of Restricted Stock Awards Weighted Average Grant Date Fair Value Nonvested as of December 31, 2016 87,000 $ 2.96 Vested (10,833) $ 7.00 Forfeited (5,000) $ 2.96 Nonvested as of December 31, 2017 71,167 $ 4.19 As of December 31, 2017, there were approximately $137,000 of unrecognized compensation costs related to nonvested non-participating restricted stock awards. These costs are expected to be recognized over a weighted average period of 1.12 years. The aggregate vesting date fair value of restricted stock for the year ended December 31, 2017 was $84,000. There were no vestings of restricted stock for the years ended December 31, 2016 and 2015. Restricted Stock Unit Awards: The Company granted 227,000, 196,400, and 10,000 restricted stock unit awards during the years ended December 31, 2017, 2016 and 2015, respectively, with a weighted average grant date fair value of $3.96, $2.96 and $5.76, respectively. The fair value of restricted stock unit awards equals the market price of the Company’s stock on the grant date and generally vest in one to three years or in annual increments over three years. A summary of the Company’s nonvested restricted stock unit awards as of December 31, 2017 and activity during the year then ended is as follows: Number of Restricted Stock Unit Awards Weighted Average Grant Date Fair Value Nonvested as of December 31, 2016 253,315 $ 4.24 Granted 227,000 $ 3.96 Vested (81,615) $ 6.58 Forfeited (5,000) $ 3.97 Nonvested as of December 31, 2017 393,700 $ 3.60 As of December 31, 2017, there were approximately $921,000 of unrecognized compensation costs related to nonvested restricted stock unit awards. These costs are expected to be recognized over a weighted average period of 1.81 years. The aggregate vesting date fair value of restricted stock units for the years ended December 31, 2017, 2016 and 2015 was $422,000, $156,000 and $85,000, respectively. Common Stock Awards: The Company granted common stock awards with immediate vesting to outside directors and employees during the years ended December 31, 2017, 2016 and 2015 as follows: Number of Common Stock Awards Weighted Average Grant Date Fair Value Year ended December 31, 2017 67,498 $ 4.74 Year ended December 31, 2016 66,200 $ 6.31 Year ended December 31, 2015 58,937 $ 4.53 |
Dividends
Dividends | 12 Months Ended |
Dec. 31, 2017 | |
Dividends | |
Dividends | 9. Dividends The Company has not paid dividends during calendar years 2017, 2016 and 2015. While there are currently no restrictions prohibiting the Company from paying dividends, the board of directors, after consideration of economic and market conditions affecting the energy industry in general, and the oilfield services business in particular, determined that the Company would not pay a dividend in respect of the Company’s common stock for the foreseeable future. Payment of any dividends in the future will be at the discretion of the Company’s board and will depend on our financial condition, results of operations, capital and legal requirements, and other factors deemed relevant by the board. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Employee Benefit Plans | |
Employee Benefit Plans | 10. Employee Benefit Plans The Company provides a 401(k) plan as part of its employee benefits package in order to retain quality personnel. Legacy Dawson elected to match 100% of the employee contributions up to a maximum of 6% of the participant’s applicable compensation under the Legacy Dawson 401(k) plan for the years ended December 31, 2017, 2016 and 2015. Legacy Dawson's 401(k) plan was retained in connection with the Merger. Legacy TGC’s 401(k) plan, which was terminated in connection with the Merger, is consistent with Legacy Dawson’s 401(k) plan except Legacy TGC matched 50% of the employee’s contribution up to a maximum of 6% of the participant’s applicable compensation. The Company’s matching contributions under Legacy Dawson’s 401(k) plan for the years ended December 31, 2017, 2016 and 2015 were approximately $1,480,000, $1,658,000, and $1,849,000, respectively. Legacy TGC’s employees rolled into the Legacy Dawson 401(k) plan during 2015. In addition, the Company’s matching contributions to the Legacy TGC 401(k) plan (prior to such plan’s termination) during 2015 were $98,000. |
Advertising Costs
Advertising Costs | 12 Months Ended |
Dec. 31, 2017 | |
Advertising Costs | |
Advertising Costs | 11. Advertising Costs Advertising costs are charged to expense as incurred. Advertising costs for the years ended December 31, 2017, 2016 and 2015 totaled $371,000, $372,000, and $466,000, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes | |
Income Taxes | 12. Income Taxes The Company’s components of loss before income taxes (in thousands) are as follows: Year Ended December 31, 2017 2016 2015 Domestic $ $ $ Foreign Loss before income taxes $ $ $ The Company’s components of income tax benefit (in thousands) are as follows: Year Ended December 31, 2017 2016 2015 Current federal benefit $ $ $ Current state benefit (expense) Current foreign benefit — — Deferred federal (expense) benefit Deferred state benefit (expense) Deferred foreign (expense) benefit Income tax benefit $ $ $ The 2017 Tax Cuts and Jobs Act was enacted on December 22, 2017 resulting in significant changes to the Internal Revenue Code. This reform changed the U.S. Statutory tax rate from 35% to 21% for tax years beginning after December 31, 2017. The Company is required to recognize the effect of the tax law changes in the period of enactment, such as remeasuring the domestic deferred tax assets and liabilities as well as reassessing the net realizability of deferred tax assets and liabilities. Due to the Company’s current loss position and domestic valuation allowances, this tax reform will not have a material impact on the consolidated financials. In December 2017, the Securities and Exchange Commission staff issued Accounting Bulleting No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (“SAB 118”), which allows companies to record provisional amounts during a measurement period not to extend beyond one year from the enactment date. Due to the Tax Cuts and Jobs act being enacted in late fourth quarter of 2017 and subsequent guidance expected throughout the next 12 months, the accounting of deferred tax re-measurement is considered incomplete due to forthcoming guidance and the ongoing analysis of final year-end data and tax positions. Analysis is expected to be completed within the measurement period in accordance with SAB 118. Subsequent adjustments are not expected to have a material impact on the consolidated financials due to the domestic loss position and the associated valuation allowances on the domestic deferred tax assets. The income tax provision differs from the amount computed by applying the statutory federal income tax rate to losses before income taxes as follows (in thousands): Year Ended December 31, 2017 2016 2015 Tax benefit computed at statutory rate of 35% $ $ $ Change in valuation allowance State income tax benefit (expense), net of federal tax Foreign losses Transaction costs — — Tax reform impact to deferred tax balances (1) — — Other Income tax benefit $ $ $ (1) Due to the Tax Cuts and Jobs Act enacted on December 22, 2017, the Company’s domestic deferred tax assets and liabilities were remeasured from 35% to 21% as of December 31, 2017. The change in tax rate resulted in a decrease to the gross domestic deferred tax asset which is offset by a corresponding decrease to the valuation allowance. The principal components of the Company’s net deferred tax (liabilities) assets are as follows (in thousands): December 31, 2017 2016 Deferred tax assets: Federal tax net operating loss ("NOL") carryforward $ $ Foreign tax NOL carryforward Deferred revenue Restricted stock and restricted stock unit awards Workers’ compensation State tax NOL carryforward Self-insurance Canadian start-up costs Alternative Minimum Tax ("AMT") credit carryforward Foreign tax credit — Foreign deferred taxes Other comprehensive income Uncertain tax positions — Other Gross deferred tax assets Less valuation allowances Net deferred tax assets Deferred tax liabilities: Property and equipment Net deferred tax (liabilities) assets $ $ Foreign deferred tax (liabilities) assets $ $ Domestic deferred tax assets (liabilities) Net deferred tax (liabilities) assets $ $ At December 31, 2017, the Company had a NOL for U.S. federal income tax purposes of approximately $100,065,000. This NOL will begin to expire in 2027. The Company will carry forward the tax benefits related to federal NOL of approximately $21,014,000. The Company also had state NOL’s that will affect state taxes of approximately $1,935,000 at December 31, 2017. State NOL’s began to expire in 2015. The Company also had a Canadian NOL of $16,963,000 that will begin to expire in 2037. In evaluating the possible sources of taxable income during 2017, the Company determined it is more likely than not that the remaining deferred tax assets will not be realizable. As a result, the Company recorded full valuation allowances against its federal and state deferred tax assets with the exception of its trademark intangible and the AMT credit which will be refundable within the next five years. A partial valuation allowance was recorded against foreign deferred tax assets excluding losses which are expected to be absorbed by future temporary differences. A summary of the Company’s gross uncertain tax positions at December 31, 2017 and 2016 as well as activity for the years then ended are as follows (in thousands): December 31, 2017 2016 Balance at beginning of year $ $ Decrease in prior year tax positions — Increase in current year tax positions — Liability statute expiration Balance at end of year $ — $ The Company’s policy is to recognize interest and penalties related to uncertain tax positions in income tax expense. Due to the resolution of amended federal, state and foreign tax returns and the expiration of various statutes of limitations, the full uncertain tax positions balance at December 31, 2016 reversed in the twelve months ended December 31, 2017. |
Net (Loss) Income per Share Att
Net (Loss) Income per Share Attributable to Common Stock | 12 Months Ended |
Dec. 31, 2017 | |
Net (Loss) Income per Share Attributable to Common Stock | |
Net (Loss) Income per Share Attributable to Common Stock | 13. Net (Loss) Income per Share Attributable to Common Stock Net loss per share attributable to common stock is calculated using the two-class method. The two-class method is an allocation method of calculating loss per share when a company’s capital structure includes participating securities that have rights to undistributed earnings. Historically, the Company’s employees and officers that held unvested restricted stock were entitled to dividends when the Company paid dividends (“participating”). The Company’s employees and officers that hold unvested restricted stock awarded during 2016 or thereafter are not entitled to dividends when the Company pays dividends (“non-participating”). The Company’s basic net loss per share attributable to common stock is computed by reducing the Company’s net loss by the income allocable to unvested restricted stockholders that have a right to participate in earnings. The Company’s employees and officers that hold unvested restricted stock do not participate in losses because they are not contractually obligated to do so. The undistributed earnings are allocated based on the relative percentage of the weighted average unvested participating restricted stock awards. The basic net loss per share attributable to common stock is computed by dividing the net loss attributable to common stock by the weighted average shares outstanding. The weighted average shares outstanding for the year ended December 31, 2015 was calculated by totaling (i) the product of (x) the weighted shares of Legacy Dawson Common Stock outstanding at the beginning of the year multiplied by (y) the Exchange Ratio, plus (ii) the number of shares associated with awards of Legacy Dawson participating restricted stock and restricted stock units that vested in conjunction with the Merger, weighted as of February 11, 2015, plus (iii) the number of shares of Legacy TGC Common Stock outstanding immediately prior to the Merger, weighted to reflect that such shares were outstanding from February 11, 2015 until December 31, 2015. The Company’s diluted loss per share attributable to common stock is computed by adjusting basic loss per share attributable to common stock by income allocable to unvested participating restricted stock, if any, divided by weighted average diluted shares outstanding . A reconciliation of the loss per share attributable to common stock is as follows (in thousands, except share and per share data): Year Ended December 31, 2017 2016 2015 Net loss $ (31,266) $ (39,792) $ (26,279) Income allocable to unvested participating restricted stock — — — Basic loss attributable to common stock $ (31,266) $ (39,792) $ (26,279) Reallocation of participating earnings — — — Diluted loss attributable to common stock $ (31,266) $ (39,792) $ (26,279) Weighted average common shares outstanding: Basic 21,694,645 21,611,562 20,688,185 Dilutive common stock options, restricted stock unit awards and non-participating restricted stock awards — — — Diluted 21,694,645 21,611,562 20,688,185 Basic loss attributable to a share of common stock $ (1.44) $ (1.84) $ (1.27) Diluted loss attributable to a share of common stock $ (1.44) $ (1.84) $ (1.27) The Company had a net loss in the years ended December 31, 2017, 2016 and 2015. As a result, all stock options, restricted stock unit awards, and non-participating restricted stock awards were anti-dilutive and excluded from weighted average shares used in determining the diluted loss attributable to a share of common stock for the respective periods. The following weighted average numbers of stock options, restricted stock unit awards, and non-participating restricted stock awards have been excluded from the calculation of diluted loss per share attributable to common stock, as their effect would be anti-dilutive for the years ended December 31, 2017, 2016 and 2015: Year Ended December 31, 2017 2016 2015 Stock options 338,355 411,763 425,981 Restricted stock unit awards 332,221 268,461 126,596 Non-participating restricted stock awards 73,296 76,303 — Total 743,872 756,527 552,577 The Company has not awarded participating restricted stock for the years ended December 31, 2017, 2016 and 2015. |
Major Clients
Major Clients | 12 Months Ended |
Dec. 31, 2017 | |
Major Clients | |
Major Clients | 14. Major Clients The Company operates in only one business segment, contract seismic data acquisition and processing services. Sales to these clients, as a percentage of operating revenues that exceeded 10%, were as follows: Year Ended December 31, 2017 2016 2015 A B — The Company does not believe that the loss of any client listed above would have a material adverse effect on the Company. |
Areas of Operation
Areas of Operation | 12 Months Ended |
Dec. 31, 2017 | |
Areas of Operation | |
Areas of Operation | 15. Areas of Operation The U.S. and Canada are the only countries of operation for the Company. Revenues for the year ended December 31, 2017 were $157,148,000 with $135,058,000 earned in the U.S. and $22,090,000 earned in Canada. Revenues for the year ended December 31, 2016 were $133,330,000 with $122,522,000 earned in the U.S. and $10,808,000 earned in Canada. Revenues for the year ended December 31, 2015 were $234,685,000 with $222,154,000 earned in the U.S. and $12,531,000 earned in Canada. Net long-lived assets as of December 31, 2017 were approximately $86,573,000, with $76,751,000 located in the U.S. and $9,822,000 located in Canada. Net long-lived assets as of December 31, 2016 were approximately $110,917,000, with $105,059,000 located in the U.S. and $5,858,000 located in Canada. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies | |
Commitments and Contingencies | 16. Commitments and Contingencies From time to time, the Company is a party to various legal proceedings arising in the ordinary course of business. Although the Company cannot predict the outcomes of any such legal proceedings, management believes that the resolution of pending legal actions will not have a material adverse effect on the Company’s financial condition, results of operations or liquidity, as the Company believes it is adequately indemnified and insured. The Company experiences contractual disputes with its clients from time to time regarding the payment of invoices or other matters. While the Company seeks to minimize these disputes and maintain good relations with its clients, the Company has experienced in the past, and may experience in the future, disputes that could affect its revenues and results of operations in any period. The Company has non-cancelable operating leases for office and shop space in Midland, Plano, Denison, Houston, Denver, Oklahoma City and Calgary, Alberta. The following table summarizes payments due in specific periods related to the Company’s contractual obligations with initial terms exceeding one year as of December 31, 2017 (in thousands): Payments Due by Period Within After Total 1 Year 2-3 Years 4-5 Years 5 Years Operating lease obligations (office space) $ 10,386 $ 1,588 $ 2,704 $ 2,176 $ 3,918 Some of the Company’s operating leases contain predetermined fixed increases of the minimum rental rate during the initial lease term. For these leases, the Company recognizes the related expense on a straight-line basis and records deferred rent as the difference between the amount charged to expense and the rent paid. Rental expense under the Company’s operating leases with initial terms exceeding one year was $1,785,000 for the year ended December 31, 2017, $1,907,000 for the year ended December 31, 2016, and $1,691,000 for the year ended December 31, 2015. As of December 31, 2017, the Company had three letters of credit issued by Veritex Bank. The first letter of credit is in the amount of $1,767,000 to support payment of our insurance obligations. The principal amount of this letter of credit is collateralized by certain of our core equipment. The second letter of credit is in the amount of $583,000 to support the Company’s workers’ compensation insurance and is secured by a certificate of deposit. The third letter of credit is unsecured and in the amount of $75,000 to support certain of our performance obligations of the Company. None of the letters of credit count as funds borrowed under our Line of Credit. |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2017 | |
Recently Issued Accounting Pronouncements | |
Recently Issued Accounting Pronouncements | 17. Recently Issued Accounting Pronouncements In February 2018, the FASB issued ASU No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act passed by the U.S. federal government in December 2017 . This ASU is effective for the annual period beginning after December 15, 2018, and for annual and interim periods thereafter. The Company does not believe this ASU will have a material impact on its condensed consolidated financial statements. In May 2017, the FASB issued ASU No. 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting, which provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting . This ASU is effective for the annual period beginning after December 15, 2017, and for annual and interim periods thereafter. The Company does not believe this ASU will have a material impact on its condensed consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, which is intended to simplify accounting for share-based payments awarded to employees, including income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. This ASU was effective for the annual period beginning after December 15, 2016, and for annual and interim periods thereafter. The Company adopted ASU 2016-09 in the first quarter of 2017 and elected to account for forfeitures as they occur, rather than estimate expected forfeitures. A s a result of adopting this standard, the Company applied the modified retrospective approach and recorded a cumulative-effect adjustment within the Consolidated Statements of Stockholders’ Equity that had no material impact on the Company’s condensed consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which will require organizations that lease assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. In January 2017, the FASB issued ASU No. 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments – Equity Method and Joint Ventures (Topic 323), which stated additional qualitative disclosures should be considered to assess the significance of the impact upon adoption. This ASU is effective for the annual period beginning after December 15, 2018, and for annual and interim periods thereafter. Early adoption is permitted. In January 2018, the FASB issued ASU No. 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842, which provides an optional transition practical expedient to not evaluate under Topic 842 existing or expired land easements that were not previously accounted for as leases under the current lease guidance in Topic 840. The Company is currently evaluating the new guidance and practical expedient to determine the impact they will have on its condensed consolidated financial statements and believes that the most significant change will be to its Condensed Consolidated Balance Sheets as its asset and liability balances will increase for operating leases that are currently off-balance sheet. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which introduces a new five-step revenue recognition model in which an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU also requires disclosures sufficient to enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. Entities have the option of using either a full retrospective or modified approach to adopt ASU No. 2014-09. Subsequent amendments to the initial guidance have been issued in March 2016, April 2016, May 2016, December 2016, January 2017, and September 2017 within ASU No. 2016-08, ASU No. 2016-10, ASU No. 2016-12, ASU No. 2016-20, ASU No. 2017-03, and ASU No. 2017-13 regarding principal-versus-agent, performance obligations and licensing, assessing collectability, presentation of sales taxes, noncash consideration, and completed contracts and contract modifications at transition. These updates do not change the core principle of the guidance under ASU No. 2014-09, but rather provide implementation guidance. This new standard must be adopted by the Company in our calendar year beginning January 1, 2018. The Company has completed its assessment of the new standard and are adopting the standard using the full retrospective method. The expected impact of adopting the new standard on the Company’s 2017 and 2016 consolidated financial statements will not have a material impact on the overall operating results of the Company and is reflected below. The primary impact of adopting the new standard will be delayed recognition of certain miscellaneous revenues and certain fulfillment costs that are being recognized as incurred under our current revenue recognition policy. These revenues and expenses will be estimated and allocated over the life of the contract rather than recognized as services are provided. Select line items from the Company’s Consolidated Statements of Operations and Comprehensive Loss which reflect the expected adoption of the new standard will be as follows (in thousands except per share data): Year Ended December 31, 2017 2016 Operating revenues $ $ Operating expenses $ $ Loss from operations $ $ Net loss $ $ Diluted loss per share attributed to common stock $ (1.47) $ (1.75) There will be no effect on income taxes for the years ended December 31, 2017 and 2016 as the Company is in a full valuation allowance domestically. Select line items from the Company’s Consolidated Balance Sheets which reflect the expected adoption of the new standard are as follows (in thousands): December 31, 2017 Accounts receivable, net $ Prepaid expenses and other current assets $ Deferred revenue $ |
Concentrations of Credit Risk
Concentrations of Credit Risk | 12 Months Ended |
Dec. 31, 2017 | |
Concentrations of Credit Risk | |
Concentrations of Credit Risk | 18. Concentrations of Credit Risk Financial instruments that potentially expose the Company to concentrations of credit risk at any given time may consist of cash and cash equivalents, money market funds and overnight investment accounts, short-term investments in certificates of deposit, trade and other receivables and other current assets. At December 31, 2017 and 2016, the Company had deposits with domestic and international banks in excess of federally insured limits. Management believes the credit risk associated with these deposits is minimal. Money market funds seek to preserve the value of the investment, but it is possible to lose money investing in these funds. The Company’s sales are to clients whose activities relate to oil and natural gas exploration and production. The Company generally extends unsecured credit to these clients; therefore, collection of receivables may be affected by the economy surrounding the oil and natural gas industry or other economic conditions. The Company closely monitors extensions of credit and may negotiate payment terms that mitigate risk. |
Quarterly Consolidated Financia
Quarterly Consolidated Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Consolidated Financial Data (Unaudited) | |
Quarterly Consolidated Financial Data (Unaudited) | 19. Quarterly Consolidated Financial Data (unaudited and in thousands, except per share data) Quarter Ended March 31, June 30, September 30, December 31, Year ended December 31, 2017: Operating revenues $ $ $ $ Loss from operations $ $ $ $ Net loss $ $ $ $ Basic loss per share attributable to common stock $ (0.42) $ (0.68) $ (0.13) $ (0.21) Diluted loss per share attributable to common stock $ (0.42) $ (0.68) $ (0.13) $ (0.21) Year ended December 31, 2016: Operating revenues $ $ $ $ Loss from operations $ $ $ $ Net loss $ $ $ $ Basic loss per share attributable to common stock $ (0.40) $ (0.54) $ (0.57) $ (0.33) Diluted loss per share attributable to common stock $ (0.40) $ (0.54) $ (0.57) $ (0.33) Basic and diluted loss per share attributable to common stock are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted information may not equal the annual basic and diluted loss per share attributable to common stock. |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Significant Accounting Policies | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Dawson Operating LLC, Eagle Canada, Inc., Dawson Seismic Services Holdings, Inc., Eagle Canada Seismic Services ULC and Exploration Surveys, Inc. All significant intercompany balances and transactions have been eliminated in consolidation. |
Cash Equivalents | Cash Equivalents For purposes of the financial statements, the Company considers demand deposits, certificates of deposit, overnight investments, money market funds and all highly liquid debt instruments purchased with an initial maturity of three months or less to be cash equivalents. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts Management determines the need for any allowance for doubtful accounts receivable based on its review of past-due accounts, its past experience of historical write-offs and its current client base. While the collectability of outstanding client invoices is continually assessed, the inherent volatility of the energy industry’s business cycle can cause swift and unpredictable changes in the financial stability of the Company’s clients. |
Property and Equipment | Property and Equipment Property and equipment is capitalized at historical cost or the fair value of assets acquired in a business combination and is depreciated over the useful life of the asset. Management’s estimation of this useful life is based on circumstances that exist in the seismic industry and information available at the time of the purchase of the asset. As circumstances change and new information becomes available, these estimates could change. Depreciation is computed using the straight-line method. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the balance sheet, and any resulting gain or loss is reflected in the results of operations for the period. |
Impairment of Long-lived Assets | Impairment of Long-Lived Assets Long-lived assets are reviewed for impairment when triggering events occur suggesting deterioration in the assets’ recoverability or fair value. Recognition of an impairment charge is required if future expected undiscounted net cash flows are insufficient to recover the carrying value of the assets, and the fair value of the assets is below the carrying value of the assets. Management’s forecast of future cash flows used to perform impairment analysis includes estimates of future revenues and expenses based on the Company’s anticipated future results, while considering anticipated future oil and natural gas prices which is fundamental in assessing demand for the Company’s services. If the carrying amounts of the assets exceed the estimated expected undiscounted future cash flows, the Company measures the amount of possible impairment by comparing the carrying amount of the assets to the fair value. No impairment charges were recognized for the years ended December 31, 2017, 2016 and 2015. |
Leases | Leases The Company leases certain seismic recording equipment and vehicles under lease agreements. The Company evaluates each lease to determine its appropriate classification as an operating or capital lease for financial reporting purposes. Any lease that does not meet the criteria for a capital lease is accounted for as an operating lease. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair market value of the related assets. Assets under capital leases are amortized using the straight-line method over the initial lease term. Amortization of assets under capital leases is included in depreciation expense. |
Intangibles | Intangibles The Company has intangible assets consisting primarily of trademarks/tradenames (which are not amortized) resulting from a business combination. The Company tests for impairment on an annual basis during the fourth quarter, and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying amount. No impairment charges were recognized for the years ended December 31, 2017, 2016 and 2015. |
Revenue Recognition | Revenue Recognition Services are provided under cancelable service contracts. These contracts are either “turnkey” or “term” agreements. Under both types of agreements, the Company recognizes revenues when revenue is realizable and services have been performed. Services are defined as the commencement of data acquisition or processing operations. Revenues are considered realizable when earned according to the terms of the service contracts. Under turnkey agreements, revenue is recognized on a per-unit-of-data-acquired rate as services are performed. Under term agreements, revenue is recognized on a per-unit-of-time-worked rate as services are performed. In the case of a cancelled service contract, revenue is recognized and the client is billed for services performed up to the date of cancellation. The Company receives reimbursements for certain out-of-pocket expenses under the terms of the service contracts. Amounts billed to clients are recorded in revenue at the gross amount, including out-of-pocket expenses that are reimbursed by the client. In some instances, clients are billed in advance of services performed. In those cases, the Company recognizes the liability as deferred revenue. As services are performed, those deferred revenue amounts are recognized as revenue. In some instances, the contract contains certain permitting, surveying and drilling costs that are incorporated into the per-unit-of-data-acquired rate. In these circumstances, these set-up costs that occur prior to initiating revenue recognition are capitalized and amortized as data is acquired. |
Stock-Based Compensation | Stock-Based Compensation The Company measures all stock-based compensation awards, which include stock options, restricted stock, restricted stock units and common stock awards, using the fair value method and recognizes compensation expense, net of actual forfeitures, as operating or general and administrative expense, as appropriate, in the Consolidated Statements of Operations and Comprehensive Loss on a straight-line basis over the vesting period of the related awards. |
Foreign Currency Translation | Foreign Currency Translation The U.S. Dollar is the reporting currency for all periods presented. The functional currency of the Company’s foreign subsidiaries is generally the local currency. Any transactions denominated in a currency other than the functional currency are remeasured with the resulting unrealized gain or loss recognized in the Consolidated Statements of Operations and Comprehensive Loss as other income (expense). All assets and liabilities in the functional currency are then translated into U.S. Dollars at the exchange rate on the balance sheet date. Income and expenses are translated using the exchange rate applicable to each transaction. Equity transactions are translated using historical exchange rates. Adjustments resulting from translation are recorded as a separate component of accumulated other comprehensive income (loss) in the Consolidated Balance Sheets. Realized foreign currency transaction gains (losses) are included in the Consolidated Statements of Operations and Comprehensive Loss as other income (expense). |
Income Taxes | Income Taxes The Company accounts for income taxes by recognizing amounts of taxes payable or refundable for the current year, and by using an asset and liability approach in recognizing the amount of deferred tax assets and liabilities for the future tax consequences of events that have been recognized in the Company’s financial statements or tax returns. Management determines deferred taxes by identifying the types and amounts of existing temporary differences, measuring the total deferred tax asset or liability using the applicable tax rate in effect for the year in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates of deferred tax assets and liabilities is recognized in income in the year of an enacted rate change. The deferred tax asset is reduced by a valuation allowance if, based on available evidence, it is more likely than not that some portion or all of the deferred tax asset will not be realized. Management’s methodology for recording income taxes requires judgment regarding assumptions and the use of estimates, including determining the annual effective tax rate and the valuation of deferred tax assets, which can create variances between actual results and estimates and could have a material impact on the Company’s provision or benefit for income taxes. Due to recent operating losses and valuation allowances, the Company may recognize reduced or no tax benefits on future losses on the Consolidated Statements of Operations and Comprehensive Loss. The Company’s effective tax rates differ from the statutory federal rate of 35% for certain items such as state and local taxes, valuation allowances, non-deductible expenses and discrete items |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements Preparation of the accompanying financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts 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. Because of the use of assumptions and estimates inherent in the reporting process, actual results could differ from those estimates. |
Reclassifications | Reclassifications Certain reclassifications have been made to the years ended December 31, 2016 and 2015 consolidated financial statements to conform to the 2017 presentation. This includes reclassifications on the Consolidated Statements of Cash Flows for the adoption in 2016 of ASU No 2016-05. |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property and Equipment | |
Schedule of property and equipment | December 31, 2017 2016 Useful Lives Land, building and other $ $ 3 to 40 years Recording equipment 5 to 10 years Line clearing equipment 5 years Vibrator energy sources 5 to 15 years Vehicles 1.5 to 10 years Less accumulated depreciation Property and equipment, net $ $ |
Supplemental Consolidated Bal28
Supplemental Consolidated Balance Sheet Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Consolidated Balance Sheet Information | |
Schedule of other current liabilities | December 31, 2017 2016 Accrued self-insurance reserves $ $ Other accrued expenses and current liabilities Other current liabilities $ $ |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt | |
Schedule of aggregate principal amount of outstanding notes payable and the interest rates and monthly payments | December 31, 2017 December 31, 2016 Notes payable to commercial banks Aggregate principal amount outstanding $ — $ Interest rates — 3.50% - 4.50% |
Schedule of aggregate maturities of obligations under capital leases | The Company’s aggregate maturities of obligations under capital leases (in thousands) at December 31, 2017 are as follows: January 2018 - December 2018 $ January 2019 - December 2019 January 2020 - December 2020 January 2021 - December 2021 Obligations under capital leases $ |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stock-Based Compensation | |
Summary of stock-based compensation expense | Year Ended December 31, 2017 2016 2015 Stock options $ — $ $ — Restricted stock awards Restricted stock unit awards Common stock awards Total compensation expense $ $ $ |
Summary of Company's employee stock options and activity | Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term in Years Balance as of December 31, 2016 369,464 $ 12.70 Forfeited (25,731) $ 11.42 Expired (32,810) $ 16.79 Balance as of December 31, 2017 310,923 $ 12.37 1.23 Exercisable as of December 31, 2017 310,923 $ 12.37 1.23 |
Summary of the Company's nonvested non-participating restricted stock awards | Number of Restricted Stock Awards Weighted Average Grant Date Fair Value Nonvested as of December 31, 2016 87,000 $ 2.96 Vested (10,833) $ 7.00 Forfeited (5,000) $ 2.96 Nonvested as of December 31, 2017 71,167 $ 4.19 |
Summary of the Company's nonvested restricted stock unit awards | Number of Restricted Stock Unit Awards Weighted Average Grant Date Fair Value Nonvested as of December 31, 2016 253,315 $ 4.24 Granted 227,000 $ 3.96 Vested (81,615) $ 6.58 Forfeited (5,000) $ 3.97 Nonvested as of December 31, 2017 393,700 $ 3.60 |
Summary of common shares with immediate vesting granted to outside directors and employees | Number of Common Stock Awards Weighted Average Grant Date Fair Value Year ended December 31, 2017 67,498 $ 4.74 Year ended December 31, 2016 66,200 $ 6.31 Year ended December 31, 2015 58,937 $ 4.53 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes | |
Schedule of components of loss before income taxes | Year Ended December 31, 2017 2016 2015 Domestic $ $ $ Foreign Loss before income taxes $ $ $ |
Schedule of components of income tax benefit | Year Ended December 31, 2017 2016 2015 Current federal benefit $ $ $ Current state benefit (expense) Current foreign benefit — — Deferred federal (expense) benefit Deferred state benefit (expense) Deferred foreign (expense) benefit Income tax benefit $ $ $ |
Schedule of the difference between the income tax provision and the amount computed by applying the statutory federal income tax rate to losses before income taxes | Year Ended December 31, 2017 2016 2015 Tax benefit computed at statutory rate of 35% $ $ $ Change in valuation allowance State income tax benefit (expense), net of federal tax Foreign losses Transaction costs — — Tax reform impact to deferred tax balances (1) — — Other Income tax benefit $ $ $ (1) Due to the Tax Cuts and Jobs Act enacted on December 22, 2017, the Company’s domestic deferred tax assets and liabilities were remeasured from 35% to 21% as of December 31, 2017. The change in tax rate resulted in a decrease to the gross domestic deferred tax asset which is offset by a corresponding decrease to the valuation allowance. |
Schedule of the principal components of the Company's net deferred tax (liabilities) assets | December 31, 2017 2016 Deferred tax assets: Federal tax net operating loss ("NOL") carryforward $ $ Foreign tax NOL carryforward Deferred revenue Restricted stock and restricted stock unit awards Workers’ compensation State tax NOL carryforward Self-insurance Canadian start-up costs Alternative Minimum Tax ("AMT") credit carryforward Foreign tax credit — Foreign deferred taxes Other comprehensive income Uncertain tax positions — Other Gross deferred tax assets Less valuation allowances Net deferred tax assets Deferred tax liabilities: Property and equipment Net deferred tax (liabilities) assets $ $ Foreign deferred tax (liabilities) assets $ $ Domestic deferred tax assets (liabilities) Net deferred tax (liabilities) assets $ $ |
Schedule of Company’s gross uncertain tax positions | December 31, 2017 2016 Balance at beginning of year $ $ Decrease in prior year tax positions — Increase in current year tax positions — Liability statute expiration Balance at end of year $ — $ |
Net (Loss) Income per Share A32
Net (Loss) Income per Share Attributable to Common Stock (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Net (Loss) Income per Share Attributable to Common Stock | |
Schedule of reconciliation of the loss per share attributable to common stock | Year Ended December 31, 2017 2016 2015 Net loss $ (31,266) $ (39,792) $ (26,279) Income allocable to unvested participating restricted stock — — — Basic loss attributable to common stock $ (31,266) $ (39,792) $ (26,279) Reallocation of participating earnings — — — Diluted loss attributable to common stock $ (31,266) $ (39,792) $ (26,279) Weighted average common shares outstanding: Basic 21,694,645 21,611,562 20,688,185 Dilutive common stock options, restricted stock unit awards and non-participating restricted stock awards — — — Diluted 21,694,645 21,611,562 20,688,185 Basic loss attributable to a share of common stock $ (1.44) $ (1.84) $ (1.27) Diluted loss attributable to a share of common stock $ (1.44) $ (1.84) $ (1.27) |
Schedule of weighted average numbers of stock options, restricted stock units, and non-participating restricted stock awards that have been excluded from the calculation of diluted loss per share attributable to common stock | Year Ended December 31, 2017 2016 2015 Stock options 338,355 411,763 425,981 Restricted stock unit awards 332,221 268,461 126,596 Non-participating restricted stock awards 73,296 76,303 — Total 743,872 756,527 552,577 |
Major Clients (Tables)
Major Clients (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Major Clients | |
Schedule of sales to major clients, as a percentage of operating revenues | Year Ended December 31, 2017 2016 2015 A B — |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies | |
Summary of payments due in specific periods related to the Company's contractual obligations with initial terms exceeding one year | Payments Due by Period Within After Total 1 Year 2-3 Years 4-5 Years 5 Years Operating lease obligations (office space) $ 10,386 $ 1,588 $ 2,704 $ 2,176 $ 3,918 |
Recently Issued Accounting Pr35
Recently Issued Accounting Pronouncements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Recently Issued Accounting Pronouncements | |
Summary of Select Line Items from the Company's Consolidated Statements of Operations and Comprehensive Loss and Consolidated Balance Sheets | Select line items from the Company’s Consolidated Statements of Operations and Comprehensive Loss which reflect the expected adoption of the new standard will be as follows (in thousands except per share data): Year Ended December 31, 2017 2016 Operating revenues $ $ Operating expenses $ $ Loss from operations $ $ Net loss $ $ Diluted loss per share attributed to common stock $ (1.47) $ (1.75) There will be no effect on income taxes for the years ended December 31, 2017 and 2016 as the Company is in a full valuation allowance domestically. Select line items from the Company’s Consolidated Balance Sheets which reflect the expected adoption of the new standard are as follows (in thousands): December 31, 2017 Accounts receivable, net $ Prepaid expenses and other current assets $ Deferred revenue $ |
Quarterly Concolidated Financia
Quarterly Concolidated Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Consolidated Financial Data (Unaudited) | |
Summary of quarterly consolidated financial data (unaudited) | Quarter Ended March 31, June 30, September 30, December 31, Year ended December 31, 2017: Operating revenues $ $ $ $ Loss from operations $ $ $ $ Net loss $ $ $ $ Basic loss per share attributable to common stock $ (0.42) $ (0.68) $ (0.13) $ (0.21) Diluted loss per share attributable to common stock $ (0.42) $ (0.68) $ (0.13) $ (0.21) Year ended December 31, 2016: Operating revenues $ $ $ $ Loss from operations $ $ $ $ Net loss $ $ $ $ Basic loss per share attributable to common stock $ (0.40) $ (0.54) $ (0.57) $ (0.33) Diluted loss per share attributable to common stock $ (0.40) $ (0.54) $ (0.57) $ (0.33) |
Summary of Significant Accoun37
Summary of Significant Accounting Policies (Details) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2017USD ($)item | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Summary of Significant Accounting Policies | ||||
Number of states in which the Company operates | item | 48 | |||
Impairment of long-lived assets | $ 0 | $ 0 | $ 0 | |
Impairment of Intangible Assets | $ 0 | $ 0 | $ 0 | |
Federal statutory effective income tax rate | 21.00% | 35.00% | 35.00% | 35.00% |
Short-Term Investments (Details
Short-Term Investments (Details) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Minimum | ||
Investments | ||
Maturity period of certificates of deposit | 3 months | 3 months |
Maximum | ||
Investments | ||
Maturity period of certificates of deposit | 1 year | 1 year |
Merger (Details)
Merger (Details) | Feb. 11, 2015$ / sharesshares | Dec. 31, 2017$ / shares | Dec. 31, 2016$ / shares |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Legacy TGC | |||
Common stock, par value (in dollars per share) | $ 0.01 | ||
Reverse stock split ratio | 0.33 | ||
Split-effected Exchange Ratio (in shares) | shares | 1.760 | ||
Legacy Dawson | |||
Common stock, par value (in dollars per share) | $ 0.3333 |
Property and Equipement (Detail
Property and Equipement (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment | ||
Gross | $ 307,844 | $ 324,950 |
Less accumulated depreciation | (221,271) | (214,033) |
Property and equipment, net | 86,573 | 110,917 |
Land, building and other | ||
Property, Plant and Equipment | ||
Gross | $ 16,610 | $ 15,777 |
Land, building and other | Minimum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 3 years | 3 years |
Land, building and other | Maximum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 40 years | 40 years |
Recording equipment | ||
Property, Plant and Equipment | ||
Gross | $ 183,841 | $ 199,068 |
Recording equipment | Minimum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 5 years | 5 years |
Recording equipment | Maximum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 10 years | 10 years |
Line clearing equipment | ||
Property, Plant and Equipment | ||
Gross | $ 11 | $ 1,071 |
Estimated useful lives of property and equipment | 5 years | 5 years |
Vibrator energy sources | ||
Property, Plant and Equipment | ||
Gross | $ 79,694 | $ 79,162 |
Vibrator energy sources | Minimum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 5 years | 5 years |
Vibrator energy sources | Maximum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 15 years | 15 years |
Vehicles | ||
Property, Plant and Equipment | ||
Gross | $ 27,688 | $ 29,872 |
Vehicles | Minimum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 1 year 6 months | 1 year 6 months |
Vehicles | Maximum | ||
Property, Plant and Equipment | ||
Estimated useful lives of property and equipment | 10 years | 10 years |
Supplemental Consolidated Bal41
Supplemental Consolidated Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Other current liabilities | ||
Accrued self-insurance reserves | $ 2,799 | $ 1,422 |
Other accrued expenses and current liabilities | 1,515 | 1,561 |
Total other current liabilities | $ 4,314 | $ 2,983 |
Debt (Details)
Debt (Details) | 1 Months Ended | 12 Months Ended | |
Nov. 30, 2017item | Dec. 31, 2017USD ($)item | Dec. 31, 2016USD ($) | |
Debt Instruments | |||
Number of letters of credit issued | item | 3 | ||
Number of notes payable paid off | item | 1 | ||
Capital lease obligations | $ 7,865,000 | $ 419,000 | |
Letter Of Credit | |||
Debt Instruments | |||
Funds borrowed under Line of Credit | 0 | ||
Credit Agreement | |||
Debt Instruments | |||
Borrowing, repaying and re-borrowing capacity | $ 20,000,000 | ||
Percentage of maximum borrowing capacity on eligible accounts receivable | 80.00% | ||
Percentage of maximum borrowing capacity on eligible core equipment | 50.00% | ||
Maximum borrowing capacity on core equipment | $ 12,500,000 | ||
Interest rate (as a percent) | 4.50% | ||
Minimum tangible net worth | $ 125,000,000 | ||
Credit Agreement | Term Note | |||
Debt Instruments | |||
Number of outstanding notes payable | item | 0 | ||
Credit Agreement | Prime rate | |||
Debt Instruments | |||
Variable interest rate basis | prime rate | ||
Credit Agreement | Minimum | |||
Debt Instruments | |||
Ratio of current assets to current liabilities | 1.50 | ||
Credit Agreement | Minimum | Prime rate | |||
Debt Instruments | |||
Interest rate (as a percent) | 2.50% | ||
Credit Agreement | Maximum | |||
Debt Instruments | |||
Debt to tangible net worth ratio | 1 | ||
Insurance Obligations | |||
Debt Instruments | |||
Letters of credit issued | $ 1,767,000 | ||
Workers' Compensation Insurance | |||
Debt Instruments | |||
Letters of credit issued | 583,000 | ||
Performance Obligations | |||
Debt Instruments | |||
Letters of credit issued | $ 75,000 |
Debt - Maturities (Details)
Debt - Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Aggregate maturities of obligations under capital leases | ||
January 2018 - December 2018 | $ 2,713 | |
January 2019 - December 2019 | 2,841 | |
January 2020 - December 2020 | 2,291 | |
January 2021 - December 2021 | 20 | |
Obligations under capital leases | $ 7,865 | |
Notes payable to commercial banks | ||
Notes payable | ||
Aggregate principal amount outstanding | $ 1,938 | |
Notes payable to commercial banks | Minimum | ||
Notes payable | ||
Interest rate (as a percent) | 3.50% | |
Notes payable to commercial banks | Maximum | ||
Notes payable | ||
Interest rate (as a percent) | 4.50% | |
Obligations under capital leases | Minimum | ||
Notes payable | ||
Interest rate (as a percent) | 3.16% | |
Obligations under capital leases | Maximum | ||
Notes payable | ||
Interest rate (as a percent) | 6.72% |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Thousands | May 05, 2016 | Nov. 28, 2006 | Mar. 29, 2006 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 29, 2016 |
Stock-Based Compensation Plans | |||||||
Stock-based compensation expense | $ 976 | $ 879 | $ 1,156 | ||||
Prior Plans | |||||||
Stock-Based Compensation Plans | |||||||
Numbers of shares available for grant (in shares) | 0 | ||||||
The 2016 Plan | |||||||
Stock-Based Compensation Plans | |||||||
Number of shares authorized | 1,000,000 | ||||||
Shares available for future issuance | 684,416 | ||||||
Option expiration term | 10 years | ||||||
Legacy Dawson Plan | |||||||
Stock-Based Compensation Plans | |||||||
Numbers of shares available for grant (in shares) | 0 | ||||||
Option expiration term | 10 years | ||||||
Legacy TGC Plan | |||||||
Stock-Based Compensation Plans | |||||||
Numbers of shares available for grant (in shares) | 0 | ||||||
Option expiration term | 10 years | ||||||
Stock options | |||||||
Stock-Based Compensation Plans | |||||||
Stock-based compensation expense | 42 | ||||||
Restricted stock | |||||||
Stock-Based Compensation Plans | |||||||
Stock-based compensation expense | $ 495 | 347 | 363 | ||||
Restricted stock units | |||||||
Stock-Based Compensation Plans | |||||||
Stock-based compensation expense | 161 | 73 | 526 | ||||
Common stock awards | |||||||
Stock-Based Compensation Plans | |||||||
Stock-based compensation expense | $ 320 | $ 417 | $ 267 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Options (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Stock Options | |||
Balance at the beginning of the period (in shares) | 369,464 | ||
Forfeited (in shares) | (25,731) | ||
Expired (in shares) | (32,810) | ||
Balance at the end of the period (in shares) | 310,923 | 369,464 | |
Exercisable at the end of the period (in shares) | 310,923 | ||
Weighted Average Exercise Price | |||
Balance at the beginning of the period (in dollars per share) | $ 12.70 | ||
Forfeited (in dollars per share) | 11.42 | ||
Expired (in dollars per share) | 16.79 | ||
Balance at the end of the period (in dollars per share) | 12.37 | $ 12.70 | |
Exercisable at the end of the period (in dollars per share) | $ 12.37 | ||
Weighted Average Remaining Contractual Term | |||
Outstanding at the end of the period (in years) | 1 year 2 months 23 days | ||
Exercisable at the end of the period (in years) | 1 year 2 months 23 days | ||
Intrinsic value of outstanding options | $ 0 | ||
Options granted (in shares) | 0 | 0 | 0 |
Options vested (in shares) | 0 | 0 | 0 |
Excess tax benefits from disqualifying dispositions | $ 0 | $ 0 | $ 0 |
Options exercised (in shares) | 0 | 0 | 0 |
Proceeds from exercise of stock options | $ 0 | $ 0 | $ 0 |
Stock options | |||
Weighted Average Remaining Contractual Term | |||
Unrecognized compensation expense related to share-based compensation plans | $ 0 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Awards, Restricted Stock Units and Common Stock Awards (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restricted stock | |||
Number of Restricted Share Awards | |||
Nonvested restricted shares outstanding, beginning balance (in shares) | 87,000 | ||
Granted (in shares) | 0 | 87,000 | 0 |
Vested (in shares) | (10,833) | 0 | 0 |
Forfeited (in shares) | (5,000) | ||
Nonvested restricted shares outstanding, ending balance (in shares) | 71,167 | 87,000 | |
Weighted Average Grant-Date Fair Value | |||
Nonvested restricted shares outstanding, beginning balance (in dollars per share) | $ 2.96 | ||
Granted (in dollars per share) | $ 2.96 | ||
Vested (in dollars per share) | 7 | ||
Forfeited (in dollars per share) | 2.96 | ||
Nonvested restricted shares outstanding, ending balance (in dollars per share) | $ 4.19 | $ 2.96 | |
Additional disclosures | |||
Vesting period | 3 years | ||
Annual increment period | 3 years | ||
Unrecognized compensation cost | $ 137,000 | ||
Period over which unrecognized compensation expense is expected to be recognized | 1 year 1 month 13 days | ||
Aggregate vesting date fair value of restricted awards | $ 84,000 | ||
Restricted stock units | |||
Number of Restricted Share Awards | |||
Nonvested restricted shares outstanding, beginning balance (in shares) | 253,315 | ||
Granted (in shares) | 227,000 | 196,400 | 10,000 |
Vested (in shares) | (81,615) | ||
Forfeited (in shares) | (5,000) | ||
Nonvested restricted shares outstanding, ending balance (in shares) | 393,700 | 253,315 | |
Weighted Average Grant-Date Fair Value | |||
Nonvested restricted shares outstanding, beginning balance (in dollars per share) | $ 4.24 | ||
Granted (in dollars per share) | 3.96 | $ 2.96 | $ 5.76 |
Vested (in dollars per share) | 6.58 | ||
Forfeited (in dollars per share) | 3.97 | ||
Nonvested restricted shares outstanding, ending balance (in dollars per share) | $ 3.60 | $ 4.24 | |
Additional disclosures | |||
Annual increment period | 3 years | ||
Unrecognized compensation cost | $ 921,000 | ||
Period over which unrecognized compensation expense is expected to be recognized | 1 year 9 months 22 days | ||
Aggregate vesting date fair value of restricted awards | $ 422,000 | $ 156,000 | $ 85,000 |
Restricted stock units | Minimum | |||
Additional disclosures | |||
Vesting period | 1 year | ||
Restricted stock units | Maximum | |||
Additional disclosures | |||
Vesting period | 3 years | ||
Common stock awards | |||
Number of Restricted Share Awards | |||
Granted (in shares) | 67,498 | 66,200 | 58,937 |
Weighted Average Grant-Date Fair Value | |||
Granted (in dollars per share) | $ 4.74 | $ 6.31 | $ 4.53 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Legacy Dawson Geophysical Company 401k Plan | |||
Employer matching contribution, percent matched | 100.00% | 100.00% | 100.00% |
Percentage of employees gross pay that is matched | 6.00% | 6.00% | 6.00% |
Matching contribution to the plan | $ 1,480,000 | $ 1,658,000 | $ 1,849,000 |
Legacy TGC 401k Plan | |||
Employer matching contribution, percent matched | 50.00% | ||
Percentage of employees gross pay that is matched | 6.00% | ||
Matching contribution to the plan | $ 98,000 |
Advertising Costs (Details)
Advertising Costs (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Advertising Costs | |||
Advertising costs | $ 371,000 | $ 372,000 | $ 466,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | Jan. 01, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Loss before income taxes | ||||
Domestic | $ (31,714,000) | $ (41,162,000) | $ (36,230,000) | |
Foreign | (4,866,000) | (5,079,000) | (3,804,000) | |
Loss before income tax | (36,580,000) | (46,241,000) | (40,034,000) | |
Income tax benefit | ||||
Current federal benefit | 40,000 | 215,000 | 280,000 | |
Current state benefit (expense) | 3,545,000 | 181,000 | (571,000) | |
Current foreign benefit | 2,492,000 | |||
Deferred federal (expense) benefit | (51,000) | 5,795,000 | 12,499,000 | |
Deferred state benefit (expense) | 697,000 | (847,000) | 860,000 | |
Deferred foreign (expense) benefit | (1,409,000) | 1,105,000 | 687,000 | |
Total income tax benefit (expense) | $ 5,314,000 | $ 6,449,000 | $ 13,755,000 | |
Reconciliation of income tax provision | ||||
Federal income tax rate (as a percent) | 21.00% | 35.00% | 35.00% | 35.00% |
Tax benefit computed at statutory rate of 35% | $ 12,803,000 | $ 16,184,000 | $ 14,012,000 | |
Change in valuation allowance | (4,564,000) | (10,200,000) | (502,000) | |
State income tax benefit (expense), net of federal tax | 2,757,000 | (433,000) | 423,000 | |
Foreign losses | 1,593,000 | 985,000 | 954,000 | |
Transaction costs | (445,000) | |||
Tax reform impact to deferred tax balances | (7,590,000) | |||
Other | 315,000 | (87,000) | (687,000) | |
Total income tax benefit (expense) | 5,314,000 | 6,449,000 | 13,755,000 | |
Deferred tax assets: | ||||
Federal tax net operating loss ("NOL") carryforward | 21,014,000 | 32,746,000 | ||
Foreign tax NOL carryforward | 4,410,000 | 4,486,000 | ||
Deferred revenue | 626,000 | 462,000 | ||
Restricted stock and restricted stock unit awards | 192,000 | 318,000 | ||
Workers' compensation | 64,000 | 74,000 | ||
State tax NOL carryforward | 1,529,000 | 1,223,000 | ||
Self-insurance | 128,000 | 219,000 | ||
Canadian start-up costs | 156,000 | 275,000 | ||
Alternative Minimum Tax ("AMT") credit carryforward | 315,000 | 315,000 | ||
Foreign tax credit | 1,874,000 | |||
Foreign deferred taxes | 874,000 | (535,000) | ||
Other comprehensive income | 242,000 | 786,000 | ||
Uncertain tax positions | 512,000 | |||
Other | 80,000 | 271,000 | ||
Gross deferred tax assets | 29,630,000 | 43,026,000 | ||
Less valuation allowances | (17,366,000) | (13,602,000) | ||
Net deferred tax assets | 12,264,000 | 29,424,000 | ||
Deferred tax liabilities: | ||||
Property and equipment | (12,914,000) | (29,035,000) | ||
Total net deferred tax liabilities | (650,000) | |||
Total net deferred tax assets | 389,000 | |||
Roll Forward of the Company's unrecognized tax benefits: | ||||
Balance at beginning of year | 1,489,000 | 1,684,000 | ||
Decrease in prior year tax positions | (14,000) | |||
Increase in current year tax positions | 157,000 | |||
Liability statute expiration | (1,489,000) | (338,000) | ||
Balance at end of year | 1,489,000 | $ 1,684,000 | ||
Canada | ||||
Deferred tax liabilities: | ||||
Net operating loss carry forwards | 16,963,000 | |||
Foreign | ||||
Deferred tax liabilities: | ||||
Total net deferred tax liabilities | (874,000) | |||
Total net deferred tax assets | 535,000 | |||
Federal | ||||
Deferred tax liabilities: | ||||
Total net deferred tax liabilities | $ (146,000) | |||
Total net deferred tax assets | 224,000 | |||
Net operating loss carry forwards | 100,065,000 | |||
State | ||||
Deferred tax liabilities: | ||||
Net operating loss carry forwards | $ 1,935,000 |
Net (Loss) Income per Share A50
Net (Loss) Income per Share Attributable to Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net (Loss) Income per Share Attributable to Common Stock | |||||||||||
Net loss | $ (4,544) | $ (2,759) | $ (14,809) | $ (9,154) | $ (7,187) | $ (12,416) | $ (11,589) | $ (8,600) | $ (31,266) | $ (39,792) | $ (26,279) |
Basic loss attributable to common stock | (31,266) | (39,792) | (26,279) | ||||||||
Diluted loss attributable to common stock | $ (31,266) | $ (39,792) | $ (26,279) | ||||||||
Weighted average common shares outstanding: | |||||||||||
Basic | 21,694,645 | 21,611,562 | 20,688,185 | ||||||||
Diluted | 21,694,645 | 21,611,562 | 20,688,185 | ||||||||
Basic loss attributable to a share of common stock | $ (0.21) | $ (0.13) | $ (0.68) | $ (0.42) | $ (0.33) | $ (0.57) | $ (0.54) | $ (0.40) | $ (1.44) | $ (1.84) | $ (1.27) |
Diluted loss attributable to a share of common stock | $ (0.21) | $ (0.13) | $ (0.68) | $ (0.42) | $ (0.33) | $ (0.57) | $ (0.54) | $ (0.40) | $ (1.44) | $ (1.84) | $ (1.27) |
Net (Loss) Income per Share A51
Net (Loss) Income per Share Attributable to Common Stock - Anti-Dilutive Awards Excluded from Calculation (Details) - Weighted Average - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Anti-dilutive Securities Excluded from Calculation of Earnings Per Share | |||
Weighted average number of securities excluded from calculation | 743,872 | 756,527 | 552,577 |
Stock options | |||
Anti-dilutive Securities Excluded from Calculation of Earnings Per Share | |||
Weighted average number of securities excluded from calculation | 338,355 | 411,763 | 425,981 |
Restricted stock units | |||
Anti-dilutive Securities Excluded from Calculation of Earnings Per Share | |||
Weighted average number of securities excluded from calculation | 332,221 | 268,461 | 126,596 |
Non-participating restricted stock awards | |||
Anti-dilutive Securities Excluded from Calculation of Earnings Per Share | |||
Weighted average number of securities excluded from calculation | 73,296 | 76,303 |
Major Clients (Details)
Major Clients (Details) - segment | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Major Clients Line Items | |||
Number of business segments | 1 | ||
Customer concentration risk | Service Revenue | A | |||
Major Clients Line Items | |||
Concentration risk percentage | 17.00% | 13.00% | 21.00% |
Customer concentration risk | Service Revenue | B | |||
Major Clients Line Items | |||
Concentration risk percentage | 10.00% | 15.00% |
Areas of Operation (Details)
Areas of Operation (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Areas of Operation | |||
Revenues | $ 157,148,000 | $ 133,330,000 | $ 234,685,000 |
Long-lived assets | 86,573,000 | 110,917,000 | |
U.S. | |||
Areas of Operation | |||
Revenues | 135,058,000 | 122,522,000 | 222,154,000 |
Long-lived assets | 76,751,000 | 105,059,000 | |
Canada | |||
Areas of Operation | |||
Revenues | 22,090,000 | 10,808,000 | $ 12,531,000 |
Long-lived assets | $ 9,822,000 | $ 5,858,000 |
Commitments and Contingencies54
Commitments and Contingencies (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Operating Lease Obligations | |
Operating lease obligations (office space), Total | $ 10,386 |
Operating lease obligations (office space), Within 1 Year | 1,588 |
Operating lease obligations (office space), 2-3 Years | 2,704 |
Operating lease obligations (office space), 4-5 Years | 2,176 |
Operating lease obligations (office space), After 5 Years | $ 3,918 |
Commitments and Contingencies -
Commitments and Contingencies - Rental Expense and Letters of Credit (Details) | 12 Months Ended | ||
Dec. 31, 2017USD ($)item | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Operating Lease Obligations | |||
Rental expense under operating leases | $ 1,785,000 | $ 1,907,000 | $ 1,691,000 |
Obligations related to health insurance and self-insured workers' compensation | |||
Number of letters of credit issued | item | 3 | ||
Insurance Obligations | |||
Obligations related to health insurance and self-insured workers' compensation | |||
Letters of credit issued | $ 1,767,000 | ||
Workers' Compensation Insurance | |||
Obligations related to health insurance and self-insured workers' compensation | |||
Letters of credit issued | 583,000 | ||
Performance Obligations | |||
Obligations related to health insurance and self-insured workers' compensation | |||
Letters of credit issued | 75,000 | ||
Letter Of Credit | |||
Obligations related to health insurance and self-insured workers' compensation | |||
Funds borrowed under Line of Credit | $ 0 |
Recently Issued Accounting Pr56
Recently Issued Accounting Pronouncements (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Consolidated Statements of Operations and Comprehensive Loss | |||||||||||
Operating revenues | $ 39,125 | $ 45,627 | $ 30,469 | $ 41,927 | $ 30,067 | $ 28,122 | $ 28,086 | $ 47,055 | $ 157,148 | $ 133,330 | $ 234,685 |
Operating expenses | 194,588 | 182,766 | 275,367 | ||||||||
Loss from operations | (5,778) | (4,136) | (15,385) | (12,141) | (11,282) | (14,257) | (13,266) | (10,631) | (37,440) | (49,436) | (40,682) |
Net loss | $ (4,544) | $ (2,759) | $ (14,809) | $ (9,154) | $ (7,187) | $ (12,416) | $ (11,589) | $ (8,600) | $ (31,266) | $ (39,792) | $ (26,279) |
Diluted loss per share attributable to common stock | $ (0.21) | $ (0.13) | $ (0.68) | $ (0.42) | $ (0.33) | $ (0.57) | $ (0.54) | $ (0.40) | $ (1.44) | $ (1.84) | $ (1.27) |
Consolidated Balance Sheets | |||||||||||
Accounts receivable, net | $ 33,138 | $ 16,031 | $ 33,138 | $ 16,031 | |||||||
Prepaid expenses and other current assets | 4,677 | $ 4,822 | 4,677 | 4,822 | |||||||
ASU 2014-09 | Pro Forma | |||||||||||
Consolidated Statements of Operations and Comprehensive Loss | |||||||||||
Operating revenues | 156,532 | 137,640 | |||||||||
Operating expenses | 139,072 | 124,024 | |||||||||
Loss from operations | (37,964) | (47,489) | |||||||||
Net loss | $ (31,790) | $ (37,845) | |||||||||
Diluted loss per share attributable to common stock | $ (1.47) | $ (1.75) | |||||||||
Consolidated Balance Sheets | |||||||||||
Accounts receivable, net | 33,157 | $ 33,157 | |||||||||
Prepaid expenses and other current assets | 7,339 | 7,339 | |||||||||
Deferred revenue | $ 6,314 | $ 6,314 |
Quarterly Consolidated Financ57
Quarterly Consolidated Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Quarterly Consolidated Financial Data (Unaudited) | |||||||||||
Operating revenues | $ 39,125 | $ 45,627 | $ 30,469 | $ 41,927 | $ 30,067 | $ 28,122 | $ 28,086 | $ 47,055 | $ 157,148 | $ 133,330 | $ 234,685 |
Loss from operations | (5,778) | (4,136) | (15,385) | (12,141) | (11,282) | (14,257) | (13,266) | (10,631) | (37,440) | (49,436) | (40,682) |
Net loss | $ (4,544) | $ (2,759) | $ (14,809) | $ (9,154) | $ (7,187) | $ (12,416) | $ (11,589) | $ (8,600) | $ (31,266) | $ (39,792) | $ (26,279) |
Basic loss per share attributable to common stock | $ (0.21) | $ (0.13) | $ (0.68) | $ (0.42) | $ (0.33) | $ (0.57) | $ (0.54) | $ (0.40) | $ (1.44) | $ (1.84) | $ (1.27) |
Diluted loss per share attributable to common stock | $ (0.21) | $ (0.13) | $ (0.68) | $ (0.42) | $ (0.33) | $ (0.57) | $ (0.54) | $ (0.40) | $ (1.44) | $ (1.84) | $ (1.27) |