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Geographic Areas | 9 Months Ended
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Sep. 30, 2021
Segment Reporting [Abstract] |
Geographic Areas | 10. Geographic Areas The Company’s operations are organized into three geographic segments - Western Hemisphere (including North and South America; headquartered in Houston, Texas), Eastern Hemisphere (including Europe and Africa; headquartered in Aberdeen, Scotland) and Asia-Pacific (including the Pacific Rim, Southeast Asia, Australia, India and the Middle East; headquartered in Singapore). Each of these segments sells similar products and services and the Company has manufacturing facilities in all three of its regional headquarter locations as well as in Macae, Brazil. Eliminations of operating profits are related to intercompany inventory transfers that are deferred until shipment is made to third party customers.
|  | Three months ended September 30, |
|  | Western Hemisphere |  |  | Eastern Hemisphere |  |  | Asia-Pacific |  |  | DQ Corporate |  |  | Total |
|  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |
|  | (In thousands) |
Revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Products |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Point in Time |  | $ | 22,692 |  |  | $ | 16,937 |  |  | $ | 6,276 |  |  | $ | 8,033 |  |  | $ | 3,953 |  |  | $ | 7,776 |  |  | $ | - |  |  | $ | - |  |  | $ | 32,921 |  |  | $ | 32,746 |
Over-Time |  |  | 14,920 |  |  |  | 19,158 |  |  |  | 3,941 |  |  |  | 5,344 |  |  |  | 1,840 |  |  |  | 9,203 |  |  |  | - |  |  |  | - |  |  |  | 20,701 |  |  |  | 33,705 |
Total Products |  |  | 37,612 |  |  |  | 36,095 |  |  |  | 10,217 |  |  |  | 13,377 |  |  |  | 5,793 |  |  |  | 16,979 |  |  |  | - |  |  |  | - |  |  |  | 53,622 |  |  |  | 66,451 |
Services |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Technical Advisory |  |  | 10,814 |  |  |  | 8,317 |  |  |  | 2,038 |  |  |  | 2,285 |  |  |  | 3,629 |  |  |  | 2,402 |  |  |  | - |  |  |  | - |  |  |  | 16,481 |  |  |  | 13,004 |
Reconditioning |  |  | 2,058 |  |  |  | 2,657 |  |  |  | 420 |  |  |  | 1,404 |  |  |  | 601 |  |  |  | 713 |  |  |  | - |  |  |  | - |  |  |  | 3,079 |  |  |  | 4,774 |
Total Services (excluding rental tools) |  |  | 12,872 |  |  |  | 10,974 |  |  |  | 2,458 |  |  |  | 3,689 |  |  |  | 4,230 |  |  |  | 3,115 |  |  |  | - |  |  |  | - |  |  |  | 19,560 |  |  |  | 17,778 |
Leasing |  |  | 6,627 |  |  |  | 5,384 |  |  |  | 1,564 |  |  |  | 1,970 |  |  |  | 1,624 |  |  |  | (288 | ) |  |  | - |  |  |  | - |  |  |  | 9,815 |  |  |  | 7,066 |
Total Services (including rental tools) |  |  | 19,499 |  |  |  | 16,358 |  |  |  | 4,022 |  |  |  | 5,659 |  |  |  | 5,854 |  |  |  | 2,827 |  |  |  | - |  |  |  | - |  |  |  | 29,375 |  |  |  | 24,844 |
Intercompany |  |  | 4,029 |  |  |  | 3,060 |  |  |  | 920 |  |  |  | 1,006 |  |  |  | 576 |  |  |  | 4,329 |  |  |  |  |  |  | - |  |  |  | 5,525 |  |  |  | 8,395 |
Eliminations |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (5,525 | ) |  |  | (8,395 | ) |  |  | (5,525 | ) |  |  | (8,395 | )
Total Revenues |  | $ | 61,140 |  |  | $ | 55,513 |  |  | $ | 15,159 |  |  | $ | 20,042 |  |  | $ | 12,223 |  |  | $ | 24,135 |  |  | $ | (5,525 | ) |  | $ | (8,395 | ) |  | $ | 82,997 |  |  | $ | 91,295 |
Depreciation and amortization |  | $ | 4,736 |  |  | $ | 4,831 |  |  | $ | 1,044 |  |  | $ | 882 |  |  | $ | 1,194 |  |  | $ | 1,265 |  |  | $ | 925 |  |  | $ | 930 |  |  | $ | 7,899 |  |  | $ | 7,908 |
Income (loss) before income taxes |  | $ | 8,417 |  |  | $ | 3,339 |  |  | $ | (1,273 | ) |  | $ | 3,255 |  |  | $ | 2,002 |  |  | $ | 5,396 |  |  | $ | (15,988 | ) |  | $ | (14,044 | ) |  | $ | (6,842 | ) |  | $ | (2,054 | )
During the three months ended September 30, 2021, the Company did not incur any additional restructuring and other charges. During the three months ended September 30, 2020, we recorded restructuring and other charges of $0.6 million, consisting primarily of consulting fees in DQ Corporate.
|  | Nine months ended September 30, |
|  | Western Hemisphere |  |  | Eastern Hemisphere |  |  | Asia-Pacific |  |  | DQ Corporate |  |  | Total |
|  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |
|  | (In thousands) |
Revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Products |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Point in Time |  | $ | 76,927 |  |  | $ | 54,774 |  |  | $ | 17,086 |  |  | $ | 23,834 |  |  | $ | 19,420 |  |  | $ | 20,516 |  |  | $ | - |  |  | $ | - |  |  | $ | 113,433 |  |  | $ | 99,124 |
Over-Time |  |  | 35,860 |  |  |  | 59,590 |  |  |  | 8,419 |  |  |  | 21,938 |  |  |  | 7,354 |  |  |  | 16,490 |  |  |  | - |  |  |  | - |  |  |  | 51,633 |  |  |  | 98,018 |
Total Products |  |  | 112,787 |  |  |  | 114,364 |  |  |  | 25,505 |  |  |  | 45,772 |  |  |  | 26,774 |  |  |  | 37,006 |  |  |  | - |  |  |  | - |  |  |  | 165,066 |  |  |  | 197,142 |
Services |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Technical Advisory |  |  | 26,916 |  |  |  | 26,169 |  |  |  | 6,058 |  |  |  | 7,718 |  |  |  | 11,603 |  |  |  | 8,629 |  |  |  | - |  |  |  | - |  |  |  | 44,577 |  |  |  | 42,516 |
Reconditioning |  |  | 6,897 |  |  |  | 8,925 |  |  |  | 1,690 |  |  |  | 3,902 |  |  |  | 1,599 |  |  |  | 1,999 |  |  |  | - |  |  |  | - |  |  |  | 10,186 |  |  |  | 14,826 |
Total Services (excluding rental tools) |  |  | 33,813 |  |  |  | 35,094 |  |  |  | 7,748 |  |  |  | 11,620 |  |  |  | 13,202 |  |  |  | 10,628 |  |  |  | - |  |  |  | - |  |  |  | 54,763 |  |  |  | 57,342 |
Leasing |  |  | 15,297 |  |  |  | 13,819 |  |  |  | 4,635 |  |  |  | 6,544 |  |  |  | 5,272 |  |  |  | 2,892 |  |  |  | - |  |  |  | - |  |  |  | 25,204 |  |  |  | 23,255 |
Total Services (including rental tools) |  |  | 49,110 |  |  |  | 48,913 |  |  |  | 12,383 |  |  |  | 18,164 |  |  |  | 18,474 |  |  |  | 13,520 |  |  |  | - |  |  |  | - |  |  |  | 79,967 |  |  |  | 80,597 |
Intercompany |  |  | 8,807 |  |  |  | 8,691 |  |  |  | 1,558 |  |  |  | 2,026 |  |  |  | 8,875 |  |  |  | 9,998 |  |  |  | - |  |  |  | - |  |  |  | 19,240 |  |  |  | 20,715 |
Eliminations |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (19,240 | ) |  |  | (20,715 | ) |  |  | (19,240 | ) |  |  | (20,715 | )
Total |  | $ | 170,704 |  |  | $ | 171,968 |  |  | $ | 39,446 |  |  | $ | 65,962 |  |  | $ | 54,123 |  |  | $ | 60,524 |  |  | $ | (19,240 | ) |  | $ | (20,715 | ) |  | $ | 245,033 |  |  | $ | 277,739 |
Depreciation and amortization |  | $ | 13,291 |  |  | $ | 15,254 |  |  | $ | 3,021 |  |  | $ | 2,808 |  |  | $ | 3,576 |  |  | $ | 3,859 |  |  | $ | 2,770 |  |  | $ | 2,800 |  |  | $ | 22,658 |  |  | $ | 24,721 |
Income (loss) before income taxes |  | $ | (13,136 | ) |  | $ | 16,516 |  |  | $ | (583 | ) |  | $ | (27,415 | ) |  | $ | 17,540 |  |  | $ | 12,580 |  |  | $ | (57,295 | ) |  | $ | (52,103 | ) |  | $ | (53,474 | ) |  | $ | (50,422 | )
During the nine months ended September 30, 2021, we recorded $26.0 million of restructuring and other charges. These charges were related to non-cash inventory write downs, severance charges and other charges, primarily consisting of facilities restructuring exit costs and consulting fees. Of these charges, $21.0 million was recorded in the Western Hemisphere, $1.6 million in the Eastern Hemisphere and $3.4 million in DQ Corporate. During the nine months ended September 30, 2020, we recorded impairments, restructuring and other charges of $42.6 million. Of these charges, $32.1 million was recorded in the Eastern Hemisphere, $3.2 million in the Western Hemisphere, $7.1 million in DQ Corporate and $0.2 million in Asia-Pacific.
|  | September 30, 2021 |  |  | December 31, 2020 |
|  | (In thousands) |
Total long-lived assets: |  |  |  |  |  |
Western Hemisphere |  | $ | 335,900 |  |  | $ | 350,577 |
Eastern Hemisphere |  |  | 222,057 |  |  |  | 222,741 |
Asia-Pacific |  |  | 62,448 |  |  |  | 68,600 |
Eliminations |  |  | (353,939 | ) |  |  | (353,939 | )
Total |  | $ | 266,466 |  |  | $ | 287,979 |
Total assets: |  |  |  |  |  |
Western Hemisphere |  | $ | 720,191 |  |  | $ | 769,649 |
Eastern Hemisphere |  |  | 793,426 |  |  |  | 779,147 |
Asia-Pacific |  |  | 195,085 |  |  |  | 186,808 |
Eliminations |  |  | (614,965 | ) |  |  | (584,432 | )
Total |  | $ | 1,093,737 |  |  | $ | 1,151,172 |
As of September 30, 2021, we had $19.1 million of non-cash inventory write-downs in the Western Hemisphere and $0.2 million in the Eastern Hemisphere as we shifted from the manufacturing of our downhole tools products business to a vendor outsourcing model. During 2020, we wrote down $25.5 million related to inventory and long-lived assets balances, with $22.3 million recorded in the Eastern Hemisphere and $3.2 million in the Western Hemisphere. We also recorded a full impairment of our goodwill balance of $7.7 million during the first quarter of 2020, all of which was in the Eastern Hemisphere.

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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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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=120311839&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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