XML 43 R27.htm IDEA: XBRL DOCUMENT
v3.25.0.1

Business Segments | 12 Months Ended
--- | ---
Dec. 31, 2024
Segment Reporting [Abstract] |
Business Segments | 16. BUSINESS SEGMENTS The Company's segments are determined as those operations whose results are reviewed regularly by the chief operating decision maker ("CODM"), who is our Executive Chairman, in deciding how to allocate resources and assess performance. Our CODM manages our business segments primarily by the type of product or services provided. We have three reportable segments which we operate within the United States of America: Stimulation Services, Proppant Production and Manufacturing. Amounts in the other category reflect our business activities that are not separately reportable, which primarily includes Flotek for the periods presented. Other business activities also include Livewire Power, LLC (“Livewire”), which we launched in the fourth quarter of 2024. Livewire enables onsite power generation services for oilfield and non-oilfield customers that require off-grid power solutions. The CODM assesses the performance of the segments based on segment adjusted EBITDA, which is defined as our net income (loss) before (i) interest expense, net, (ii) income taxes, (iii) depreciation, depletion and amortization, (iv) (loss) gain on disposal of assets, net, (v) stock-based compensation, and (vi) other charges, such as certain credit losses, gain (loss) on extinguishment of debt, gain (loss) on investments, acquisition and integration expenses, litigation expenses and accruals for legal contingencies, acquisition earnout adjustments, severance charges, goodwill impairments, gains on insurance recoveries, transaction costs, third-party supply commitment charges, and impairments of long-lived assets. We account for intersegment transactions as if the transactions were with third parties, that is, at estimated current market prices. Summarized financial information for our reportable segments is as follows:
|  | Stimulation Services |  |  | Proppant Production |  |  | Manufacturing |  |  | Other |  |  | Eliminations |  |  | Total |
Year Ended December 31, 2024: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
External customers — services |  | $ | 1,886.7 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 1,886.7 |
External customers — product sales (1) |  |  | — |  |  |  | 181.5 |  |  |  | 50.8 |  |  |  | 71.9 |  |  |  | — |  |  |  | 304.2 |
Intercompany (2) |  |  | 27.7 |  |  |  | 65.0 |  |  |  | 172.0 |  |  |  | 123.6 |  |  |  | (388.3 | ) |  |  | — |
Total Revenue |  | $ | 1,914.4 |  |  | $ | 246.5 |  |  | $ | 222.8 |  |  | $ | 195.5 |  |  | $ | (388.3 | ) |  | $ | 2,190.9 |
Cost of revenues, exclusive of depreciation, depletion, and amortization |  |  | 1,394.8 |  |  |  | 137.6 |  |  |  | 190.5 |  |  |  | 152.5 |  |  |  | (380.3 | ) |  |  | 1,495.1 |
Selling, general and administrative, excluding stock-based compensation |  |  | 123.6 |  |  |  | 23.3 |  |  |  | 24.6 |  |  |  | 25.8 |  |  |  | — |  |  |  | 197.3 |
Other expense (income) |  |  | (2.7 | ) |  |  | — |  |  |  | 0.1 |  |  |  | — |  |  |  | — |  |  |  | (2.6 | )
Adjusted EBITDA (3) |  | $ | 398.7 |  |  | $ | 85.6 |  |  | $ | 7.6 |  |  | $ | 17.2 |  |  | $ | (8.0 | ) |  | $ | 501.1 |
Depreciation, depletion and amortization |  |  | 348.5 |  |  |  | 77.8 |  |  |  | 13.8 |  |  |  | 2.8 |  |  |  | (0.7 | ) |  |  | 442.2 |
Investment in property, plant & equipment |  |  | 216.8 |  |  |  | 23.5 |  |  |  | 8.6 |  |  |  | 10.8 |  |  |  | (4.7 | ) |  |  | 255.0 |
As of December 31, 2024: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents |  | $ | 8.7 |  |  | $ | — |  |  | $ | 1.7 |  |  | $ | 4.4 |  |  | $ | — |  |  | $ | 14.8 |
Total current assets |  |  | 466.9 |  |  |  | 71.4 |  |  |  | 255.3 |  |  |  | 95.3 |  |  |  | (314.8 | ) |  |  | 574.1 |
Property, plant, and equipment, net |  |  | 839.3 |  |  |  | 817.6 |  |  |  | 82.5 |  |  |  | 25.9 |  |  |  | (4.1 | ) |  |  | 1,761.2 |
Total assets (4) |  |  | 2,911.3 |  |  |  | 929.5 |  |  |  | 443.2 |  |  |  | 249.6 |  |  |  | (1,545.5 | ) |  |  | 2,988.1 |
Current portion of long-term debt |  |  | 87.5 |  |  |  | 65.5 |  |  |  | 6.8 |  |  |  | 4.8 |  |  |  | — |  |  |  | 164.6 |
Long-term debt |  |  | 649.1 |  |  |  | 278.0 |  |  |  | 17.3 |  |  |  | — |  |  |  | — |  |  |  | 944.4 |
Total liabilities |  |  | 1,891.4 |  |  |  | 124.2 |  |  |  | 360.7 |  |  |  | 103.9 |  |  |  | (631.7 | ) |  |  | 1,848.5 |
|  | Stimulation Services |  |  | Proppant Production |  |  | Manufacturing |  |  | Other |  |  | Eliminations |  |  | Total |
Year Ended December 31, 2023: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
External customers — services |  | $ | 2,274.2 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 2,274.2 |
External customers — product sales (1) |  |  | — |  |  |  | 270.2 |  |  |  | 19.0 |  |  |  | 66.6 |  |  |  | — |  |  |  | 355.8 |
Intercompany (2) |  |  | 17.0 |  |  |  | 113.1 |  |  |  | 157.1 |  |  |  | 126.4 |  |  |  | (413.6 | ) |  |  | — |
Total Revenue |  | $ | 2,291.2 |  |  | $ | 383.3 |  |  | $ | 176.1 |  |  | $ | 193.0 |  |  | $ | (413.6 | ) |  | $ | 2,630.0 |
Cost of revenues, exclusive of depreciation, depletion, and amortization |  |  | 1,668.9 |  |  |  | 171.6 |  |  |  | 147.0 |  |  |  | 166.2 |  |  |  | (413.6 | ) |  |  | 1,740.1 |
Selling, general and administrative, excluding stock-based compensation |  |  | 147.0 |  |  |  | 13.8 |  |  |  | 14.6 |  |  |  | 28.4 |  |  |  | — |  |  |  | 203.8 |
Other expense (income) |  |  | (2.1 | ) |  |  | (0.2 | ) |  |  | — |  |  |  | 0.0 |  |  |  | — |  |  |  | (2.3 | )
Adjusted EBITDA (3) |  | $ | 477.4 |  |  | $ | 198.1 |  |  | $ | 14.5 |  |  | $ | (1.6 | ) |  | $ | — |  |  | $ | 688.4 |
Depreciation, depletion and amortization |  |  | 363.0 |  |  |  | 68.1 |  |  |  | 4.2 |  |  |  | 3.1 |  |  |  | — |  |  | $ | 438.4 |
Investment in property, plant & equipment |  |  | 221.8 |  |  |  | 40.9 |  |  |  | 3.3 |  |  |  | 1.0 |  |  |  | — |  |  | $ | 267.0 |
As of December 31, 2023: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents |  | $ | 1.3 |  |  | $ | 17.7 |  |  | $ | 0.4 |  |  | $ | 5.9 |  |  | $ | — |  |  | $ | 25.3 |
Total current assets |  |  | 445.8 |  |  |  | 181.2 |  |  |  | 164.7 |  |  |  | 70.6 |  |  |  | (224.2 | ) |  |  | 638.1 |
Property, plant, and equipment, net |  |  | 881.6 |  |  |  | 859.8 |  |  |  | 19.8 |  |  |  | 17.8 |  |  |  | — |  |  |  | 1,779.0 |
Total assets (4) |  |  | 2,483.9 |  |  |  | 1,160.1 |  |  |  | 243.9 |  |  |  | 188.7 |  |  |  | (1,005.9 | ) |  |  | 3,070.7 |
Current portion of long-term debt |  |  | 46.2 |  |  |  | 71.6 |  |  |  | 1.0 |  |  |  | 7.6 |  |  |  | — |  |  |  | 126.4 |
Long-term debt |  |  | 611.2 |  |  |  | 328.2 |  |  |  | 2.6 |  |  |  | 0.1 |  |  |  | — |  |  |  | 942.1 |
Total liabilities |  |  | 1,404.5 |  |  |  | 225.7 |  |  |  | 201.5 |  |  |  | 55.5 |  |  |  | (145.1 | ) |  |  | 1,742.1 |
Year Ended December 31, 2022: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
External customers — services |  | $ | 2,341.5 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 2,341.5 |
External customers — product sales (1) |  |  | — |  |  |  | 33.9 |  |  |  | 13.1 |  |  |  | 37.1 |  |  |  | — |  |  |  | 84.1 |
Intercompany (2) |  |  | 7.2 |  |  |  | 56.1 |  |  |  | 153.6 |  |  |  | 74.7 |  |  |  | (291.6 | ) |  |  | — |
Total Revenue |  | $ | 2,348.7 |  |  | $ | 90.0 |  |  | $ | 166.7 |  |  | $ | 111.8 |  |  | $ | (291.6 | ) |  | $ | 2,425.6 |
Cost of revenues, exclusive of depreciation, depletion, and amortization |  |  | 1,451.3 |  |  |  | 40.7 |  |  |  | 137.9 |  |  |  | 118.5 |  |  |  | (291.6 | ) |  |  | 1,456.8 |
Selling, general and administrative, excluding stock-based compensation |  |  | 122.6 |  |  |  | 3.2 |  |  |  | 14.4 |  |  |  | 17.4 |  |  |  | — |  |  |  | 157.6 |
Other expense (income) |  |  | (0.7 | ) |  |  | 0.4 |  |  |  | 0.1 |  |  |  | 0.2 |  |  |  | — |  |  |  | (0.0 | )
Adjusted EBITDA (3) |  | $ | 775.5 |  |  | $ | 45.7 |  |  | $ | 14.3 |  |  | $ | (24.3 | ) |  | $ | — |  |  | $ | 811.2 |
Depreciation, depletion and amortization |  | $ | 246.4 |  |  | $ | 14.2 |  |  | $ | 4.7 |  |  | $ | 2.0 |  |  | $ | — |  |  | $ | 267.3 |
Investment in property, plant & equipment |  | $ | 297.8 |  |  | $ | 52.5 |  |  | $ | 5.5 |  |  | $ | 0.4 |  |  | $ | — |  |  | $ | 356.2 |
(1) Our Proppant Production segment recognized noncash revenue associated with acquired contract liabilities of $43.7, $57.5 million and $6.6 million in 2024, 2023 and 2022, respectively. (2) In our other business activities, Flotek recorded $32.5 million and $20.1 million of revenue in 2024 and 2023, respectively, related to contract shortfalls because the Stimulation Services segment did not purchase the minimum contractual commitment of chemistry products from Flotek. (3) Adjusted EBITDA for the stimulated services segment included an intercompany supply commitment charge of $32.5 million and $20.1 million in 2024 and 2023, respectively, because this segment did not purchase the minimum contractual commitment of chemistry products from Flotek. (4) Total assets for the Stimulation Services segment includes our investment in BPC prior to acquisition, which was $23.4 million and $53.6 as of December 31, 2023 and 2022, respectively. The gains and losses associated with this investment are not included in our segment profit measure of adjusted EBITDA. The following table reconciles consolidated Adjusted EBITDA to net income (loss):
|  | Year Ended December 31, |
|  | 2024 |  |  | 2023 |  |  | 2022 |
Adjusted EBITDA of reportable segments |  | $ | 501.1 |  |  | $ | 688.4 |  |  | $ | 811.2 |
Interest expense, net |  |  | (156.6 | ) |  |  | (154.9 | ) |  |  | (59.5 | )
Depreciation, depletion and amortization |  |  | (442.2 | ) |  |  | (438.4 | ) |  |  | (267.3 | )
Income tax benefit (expense) |  |  | 7.0 |  |  |  | (1.2 | ) |  |  | (9.1 | )
Gain (loss) on disposal of assets, net |  |  | (0.3 | ) |  |  | 1.7 |  |  |  | (2.1 | )
Loss on extinguishment of debt |  |  | (0.8 | ) |  |  | (33.5 | ) |  |  | (17.6 | )
Acquisition earnout adjustment |  |  | — |  |  |  | 6.6 |  |  |  | — |
Stock-based compensation (1) |  |  | (7.3 | ) |  |  | (10.1 | ) |  |  | (8.1 | )
Stock-based compensation related to deemed contributions (1) |  |  | — |  |  |  | (19.7 | ) |  |  | (59.3 | )
Provision for credit losses, net of recoveries |  |  | — |  |  |  | (0.1 | ) |  |  | (1.9 | )
Transaction costs |  |  | (3.9 | ) |  |  | — |  |  |  | — |
Severance charges |  |  | (2.5 | ) |  |  | (1.1 | ) |  |  | — |
Acquisition and integration costs |  |  | (7.8 | ) |  |  | (21.8 | ) |  |  | (48.8 | )
Supply commitment charges |  |  | (9.6 | ) |  |  | — |  |  |  | — |
Impairment of long-lived assets |  |  | — |  |  |  | (2.5 | ) |  |  | — |
Impairment of goodwill |  |  | (74.5 | ) |  |  | — |  |  |  | — |
Gain on insurance recoveries |  |  | 4.9 |  |  |  | — |  |  |  | — |
Litigation expenses and accruals for legal contingencies |  |  | (15.7 | ) |  |  | (34.1 | ) |  |  | (11.3 | )
Unrealized gain (loss) on investments, net |  |  | 0.4 |  |  |  | (38.5 | ) |  |  | 16.5 |
Net income (loss) |  | $ | (207.8 | ) |  | $ | (59.2 | ) |  | $ | 342.7 |
(1) Stock-based compensation and stock-based compensation related to deemed contributions are reported in “Selling, general and administrative” in the consolidated statements of operations and are not allocated to the segments.

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 48 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-48 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 270 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (i) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482964/270-10-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (ee) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 5: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 6: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 7: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 8: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 9: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 10: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 11: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-22 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-31 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-34 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26C Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26B Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-15 Reference 18: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-42 Reference 19: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-40 Reference 20: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/280/tableOfContent Reference 21: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26 Reference 22: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-41 Reference 23: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 24: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 25: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration