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Business Segments
 3 Months Ended
Mar. 31, 2017
Segment Reporting [Abstract]  
Business Segments

6. Business Segments

The Company’s revenues, loss before income taxes and identifiable assets are primarily attributable to two business segments: (i) contract drilling of oil and natural gas wells and (ii) pressure pumping services. Each of these segments represents a distinct type of business and has a separate management team that reports to the Company’s chief operating decision maker. The results of operations in these segments are regularly reviewed by the chief operating decision maker for purposes of determining resource allocation and assessing performance.

The following tables summarize selected financial information relating to the Company’s business segments (in thousands):

 

 

 

Three Months Ended

 

 

March 31,

 

 

2017

 

 

2016

 

Revenues:

 

 

 

 

 

 

 

Contract drilling

$

159,055

 

 

$

168,757

 

Pressure pumping

 

141,174

 

 

 

96,313

 

Other operations (a)

 

5,618

 

 

 

3,967

 

Elimination of intercompany revenues (b)

 

(672

)

 

 

(98

)

Total revenues

$

305,175

 

 

$

268,939

 

 

 

 

 

 

 

 

 

Loss before income taxes:

 

 

 

 

 

 

 

Contract drilling

$

(61,706

)

 

$

(35,096

)

Pressure pumping

 

(22,891

)

 

 

(43,959

)

Other operations

 

(1,951

)

 

 

(3,231

)

Corporate

 

(18,995

)

 

 

(14,318

)

Other operating income, net (c)

 

12,904

 

 

 

1,345

 

Interest income

 

406

 

 

 

110

 

Interest expense

 

(8,270

)

 

 

(10,800

)

Other

 

17

 

 

 

16

 

Loss before income taxes

$

(100,486

)

 

$

(105,933

)

 

  

March 31,

 

 

December 31,

 

 

2017

 

 

2016

 

Identifiable assets:

 

 

 

 

 

 

 

Contract drilling

$

2,985,997

 

 

$

3,032,819

 

Pressure pumping

 

680,301

 

 

 

653,630

 

Other operations

 

48,569

 

 

 

48,885

 

Corporate (d)

 

463,752

 

 

 

36,957

 

Total assets

$

4,178,619

 

 

$

3,772,291

 

 

 

(a)

Other operations includes the Company’s pipe handling components and related technology business, the oil and natural gas working interests and the Middle East/North Africa business.

(b)

Consists of contract drilling intercompany revenues for services provided to the oil and natural gas exploration and production segment. In 2017, intercompany revenues also includes revenues between the pipe handling component manufacturer and the pipe handling component service provider.

(c)

Other operating income includes net gains associated with the disposal of assets related to corporate strategy decisions of the executive management group.  Accordingly, the related gains have been excluded from the operating results of specific segments.  This caption also includes expenses related to certain legal settlements net of insurance reimbursements.  

(d)

Corporate assets primarily include cash on hand and certain property and equipment.