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Segment Information | 6 Months Ended
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Jun. 30, 2021
Segment Reporting Information, Revenue for Reportable Segment [Abstract] |
Segment Information | Segment Information Our business consists of four operating segments: (1) Floaters, which includes our drillships and semisubmersible rigs, (2) Jackups, (3) ARO and (4) Other, which consists of management services on rigs owned by third-parties and the activities associated with our arrangements with ARO under the Rig Lease Agreements, the Secondment Agreement and the Transition Services Agreement. Floaters, Jackups and ARO are also reportable segments. Upon emergence, we ceased allocation of our onshore support costs included within contract drilling expenses to our operating segments for purposes of measuring segment operating income (loss) and as such, those costs are included in “Reconciling Items”. We have adjusted the historical periods to conform with current period presentation. Further, general and administrative expense and depreciation expense incurred by our corporate office are not allocated to our operating segments for purposes of measuring segment operating income (loss) and are included in "Reconciling Items." Substantially all of the expenses incurred associated with our Transition Services Agreement are included in general and administrative under "Reconciling Items" in the table set forth below. We measure segment assets as property and equipment. The full operating results included below for ARO are not included within our consolidated results and thus deducted under "Reconciling Items" and replaced with our equity in earnings of ARO. See "Note 5 - Equity Method Investment in ARO" for additional information on ARO and related arrangements. Two Months Ended June 30, 2021 (Successor)
| Floaters |  | Jackups |  | ARO |  | Other |  | Reconciling Items |  | Consolidated Total |
Revenues | $ | 49.7 |  |  | $ | 128.5 |  |  | $ | 84.0 |  |  | $ | 24.6 |  |  | $ | (84.0) |  |  | $ | 202.8 |  |
Operating expenses |  |  |  |  |  |  |  |  |  |  |  |
Contract drilling (exclusive of depreciation) | 45.2 |  |  | 95.5 |  |  | 62.9 |  |  | 9.2 |  |  | (44.1) |  |  | 168.7 |  |
Depreciation | 7.9 |  |  | 7.8 |  |  | 9.7 |  |  | .8 |  |  | (9.6) |  |  | 16.6 |  |
General and administrative | — |  |  | — |  |  | 3.1 |  |  | — |  |  | 9.6 |  |  | 12.7 |  |
Equity in earnings of ARO | — |  |  | — |  |  | — |  |  | — |  |  | 4.8 |  |  | 4.8 |  |
Operating income (loss) | $ | (3.4) |  |  | $ | 25.2 |  |  | $ | 8.3 |  |  | $ | 14.6 |  |  | $ | (35.1) |  |  | $ | 9.6 |  |
Property and equipment, net | $ | 413.8 |  |  | $ | 396.2 |  |  | $ | 730.0 |  |  | $ | 49.8 |  |  | $ | (692.0) |  |  | $ | 897.8 |  |
One Month Ended April 30, 2021 (Predecessor)
| Floaters |  | Jackups |  | ARO |  | Other |  | Reconciling Items |  | Consolidated Total
Revenues | $ | 18.4 |  |  | $ | 59.8 |  |  | $ | 40.8 |  |  | $ | 12.1 |  |  | $ | (40.8) |  |  | $ | 90.3 |
Operating expenses |  |  |  |  |  |  |  |  |  |  |
Contract drilling (exclusive of depreciation) | 21.7 |  |  | 48.8 |  |  | 29.8 |  |  | 4.7 |  |  | (19.4) |  |  | 85.6 |
Depreciation | 15.9 |  |  | 17.3 |  |  | 4.9 |  |  | 3.5 |  |  | (4.1) |  |  | 37.5 |
General and administrative | — |  |  | — |  |  | 1.2 |  |  | — |  |  | 5.2 |  |  | 6.4 |
Equity in earnings of ARO | — |  |  | — |  |  | — |  |  | — |  |  | 1.2 |  |  | 1.2 |
Operating income (loss) | $ | (19.2) |  |  | $ | (6.3) |  |  | $ | 4.9 |  |  | $ | 3.9 |  |  | $ | (21.3) |  |  | $ | (38.0) |
Property and equipment, net | $ | 419.3 |  |  | $ | 401.4 |  |  | $ | 730.7 |  |  | $ | 50.5 |  |  | $ | (692.8) |  |  | $ | 909.1 |
Four Months Ended April 30, 2021 (Predecessor)
| Floaters |  | Jackups |  | ARO |  | Other |  | Reconciling Items |  | Consolidated Total
Revenues | $ | 115.7 |  |  | $ | 232.4 |  |  | $ | 163.5 |  |  | $ | 49.3 |  |  | $ | (163.5) |  |  | $ | 397.4 |
Operating expenses |  |  |  |  |  |  |  |  |  |  |
Contract drilling (exclusive of depreciation) | 106.0 |  |  | 169.3 |  |  | 116.1 |  |  | 19.8 |  |  | (73.4) |  |  | 337.8 |
Loss on impairment | 756.5 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 756.5 |
Depreciation | 72.1 |  |  | 69.7 |  |  | 21.0 |  |  | 14.8 |  |  | (18.0) |  |  | 159.6 |
General and administrative | — |  |  | — |  |  | 4.2 |  |  | — |  |  | 26.5 |  |  | 30.7 |
Equity in earnings of ARO | — |  |  | — |  |  | — |  |  | — |  |  | 3.1 |  |  | 3.1 |
Operating income (loss) | $ | (818.9) |  |  | $ | (6.6) |  |  | $ | 22.2 |  |  | $ | 14.7 |  |  | $ | (95.5) |  |  | $ | (884.1) |
Property and equipment, net | $ | 419.3 |  |  | $ | 401.4 |  |  | $ | 730.7 |  |  | $ | 50.5 |  |  | $ | (692.8) |  |  | $ | 909.1 |
Three Months Ended June 30, 2020 (Predecessor)
| Floaters |  | Jackups |  | ARO |  | Other |  | Reconciling Items |  | Consolidated Total
Revenues | $ | 163.6 |  |  | $ | 186.3 |  |  | $ | 146.0 |  |  | $ | 38.9 |  |  | $ | (146.0) |  |  | $ | 388.8 |
Operating expenses |  |  |  |  |  |  |  |  |  |  |
Contract drilling (exclusive of depreciation) | 150.5 |  |  | 163.5 |  |  | 112.5 |  |  | 15.3 |  |  | (71.1) |  |  | 370.7 |
Loss on impairment | 831.9 |  |  | .4 |  |  | — |  |  | 5.7 |  |  | — |  |  | 838.0 |
Depreciation | 62.0 |  |  | 52.8 |  |  | 13.3 |  |  | 11.2 |  |  | (7.8) |  |  | 131.5 |
General and administrative | — |  |  | — |  |  | 7.1 |  |  | — |  |  | 55.5 |  |  | 62.6 |
Equity in losses of ARO | — |  |  | — |  |  | — |  |  | — |  |  | (5.2) |  |  | (5.2) |
Operating income (loss) | $ | (880.8) |  |  | $ | (30.4) |  |  | $ | 13.1 |  |  | $ | 6.7 |  |  | $ | (127.8) |  |  | $ | (1,019.2) |
Property and equipment, net | $ | 6,536.9 |  |  | $ | 4,000.6 |  |  | $ | 739.7 |  |  | $ | 600.4 |  |  | $ | (685.0) |  |  | $ | 11,192.6 |
Six Months Ended June 30, 2020 (Predecessor)
| Floaters |  | Jackups |  | ARO |  | Other |  | Reconciling Items |  | Consolidated Total
Revenues | $ | 343.2 |  |  | $ | 399.1 |  |  | $ | 286.3 |  |  | $ | 103.1 |  |  | $ | (286.3) |  |  | $ | 845.4 |
Operating expenses |  |  |  |  |  |  |  |  |  |  |
Contract drilling (exclusive of depreciation) | 339.3 |  |  | 370.1 |  |  | 220.8 |  |  | 49.4 |  |  | (132.9) |  |  | 846.7 |
Loss on impairment | 3,386.2 |  |  | 254.3 |  |  | — |  |  | 5.7 |  |  | — |  |  | 3,646.2 |
Depreciation | 151.4 |  |  | 111.3 |  |  | 26.3 |  |  | 22.3 |  |  | (15.3) |  |  | 296.0 |
General and administrative | — |  |  | — |  |  | 15.4 |  |  | — |  |  | 100.6 |  |  | 116.0 |
Equity in losses of ARO | — |  |  | — |  |  | — |  |  | — |  |  | (11.5) |  |  | (11.5) |
Operating income (loss) | $ | (3,533.7) |  |  | $ | (336.6) |  |  | $ | 23.8 |  |  | $ | 25.7 |  |  | $ | (250.2) |  |  | $ | (4,071.0) |
Property and equipment, net | $ | 6,536.9 |  |  | $ | 4,000.6 |  |  | $ | 739.7 |  |  | $ | 600.4 |  |  | $ | (685.0) |  |  | $ | 11,192.6 |
Information about Geographic Areas As of June 30, 2021, the geographic distribution of our and ARO's drilling rigs was as follows:
| Floaters |  | Jackups |  | Other |  | Total Valaris |  | ARO |  |
North & South America | 5 |  | 6 |  | — |  | 11 |  | — |  |
Europe & the Mediterranean | 7 |  | 14 |  | — |  | 21 |  | — |  |
Middle East & Africa | 2 |  | 8 |  | 9 |  | 19 |  | 7 |  |
Asia & Pacific Rim | 2 |  | 6 |  | — |  | 8 |  | — |  |
Held-for-sale |  |  | 1 |  | — |  | 1 |  | — |  |
Total | 16 |  | 35 |  | 9 |  | 60 |  | 7 |  |
We provide management services on two rigs owned by third-parties not included in the table above. We are a party to contracts whereby we have the option to take delivery of two drillships, VALARIS DS-13 and VALARIS DS-14, that are not included in the table above. ARO has ordered two newbuild jackups which are under construction in the Middle East that are not included in the table above.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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