XML 42 R25.htm IDEA: XBRL DOCUMENT v3.25.3
Business Segment, Geographic and Major Customer Information
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Business Segment, Geographic and Major Customer Information Business Segment, Geographic and Major Customer Information
Segment Information
The Company’s segments are determined as those components whose results are reviewed regularly by the chief operating decision maker (“CODM”), who is the Company's Chief Executive Officer, in deciding how to allocate resources and assess performance. Each segment is organized and managed based upon the nature of the Company’s markets and customers and consists of similar products and services. Gross profit and income (loss) from operations for each segment are used by the CODM to assess the performance of each segment in a financial period. The CODM uses segment gross profit and income (loss) from operations as the measure to make resource (including financial or capital resources) allocation decisions for each segment. Accounting policies have been applied consistently by each segment for all reporting periods. Intercompany revenue and expense amounts, if any, have been eliminated within each segment to report on the basis that management uses internally for evaluating segment performance. Various functions, including certain sales and marketing activities and general and administrative activities, are provided centrally by the corporate office. Costs associated with corporate office functions, other corporate income and expense items, and income taxes are not allocated to the reportable segments.
The operations of the Company are categorized into the following reportable segments:
Chemistry Technologies. The CT segment includes specialty chemistries, logistics and technology services, which we believe enable our customers to pursue improved efficiencies and performance throughout the life cycle of their wells, and also help our customers improve their environmental, social and governance (“ESG”) and operational goals. Customers of the CT segment include major integrated oil and gas companies, oilfield services companies, independent oil and gas companies, national and state-owned oil companies and international supply chain management companies.
Data Analytics. The DA segment provides innovative analytical measurement solutions. The DA segment seeks to deliver real-time information and insights to our customers to enable optimization of operations, which has been enhanced through the addition of the Acquired Assets (see Note 3, “Asset Acquisition”), and reduction of emissions and their carbon intensity. Customers of the DA segment span across the oil and gas industry, including oil and gas supermajors, some of the largest midstream oil and gas companies, large gas processing plants, independent exploration and production companies and oil field service companies that provide hydraulic fracturing services.
Summarized financial information of the reportable segments is as follows (in thousands):
As of and for the three months ended September 30,
Chemistry Technologies
Data Analytics
Corporate and OtherTotal
2025
Revenue from external customers
Products$19,083 $1,650 $— $20,733 
Services1,138 1,070 — 2,208 
Total revenue from external customers20,221 2,720 — 22,941 
Revenue from related party
Products26,909 44 — 26,953 
Services47 23 — 70 
Rental — 6,067 — 6,067 
Total revenue from related parties26,956 6,134 — 33,090 
Cost of sales35,654 2,594 — 38,248 
Gross profit11,523 6,260 — 17,783 
Selling, general and administrative2,435 1,183 3,766 7,384 
Asset acquisition expenses (Note 3)— 167 — 167 
Other segment items557 542 31 1,130 
Income (loss) from operations$8,531 $4,368 $(3,797)$9,102 
Reconciliation of profit to income before income taxes:
Interest expense$(1,351)$(1,351)
Other expense, net(8)(8)
Income before income taxes$7,743 
2024
Revenue from external customers
Products$13,600 $1,681 $— $15,281 
Services497 787 — 1,284 
Total revenue from external customers14,097 2,468 — 16,565 
Revenue from related party
Products32,962 — — 32,962 
Services15 200 — 215 
Total revenue from related parties32,977 200 — 33,177 
Cost of sales39,131 1,492 — 40,623 
Gross profit 7,943 1,176 — 9,119 
Selling, general and administrative1,887 887 2,940 5,714 
Other segment items497 159 26 682 
Income (loss) from operations$5,559 $130 $(2,966)$2,723 
Reconciliation of profit to income before income taxes:
Interest expense(256)(256)
Other income, net102 102 
Income before income taxes$2,569 
Other segment items for the three months ended September 30, 2025 includes depreciation of $0.2 million and $0.4 million in the CT and DA segments, respectively, and R&D costs of $0.4 million and $0.2 million in the CT and DA segments, respectively.
Other segment items for the three months ended September 30, 2024 includes depreciation of $0.2 million and $37 thousand in the CT and DA segments, respectively, and R&D costs of $0.3 million and $0.1 million in the CT and DA segments, respectively.
As of and for the nine months ended September 30,
Chemistry Technologies
Data Analytics
Corporate and OtherTotal
2025
Revenue from external customers
Products$62,101 $5,132 $— $67,233 
Services2,672 2,641 — 5,313 
Total revenue from external customers64,773 7,773 — 72,546 
Revenue from related party
Products87,439 44 — 87,483 
Services123 296 — 419 
Rental revenue— 9,295 — 9,295 
Total revenue from related parties87,562 9,635 — 97,197 
Cost of sales118,702 6,402 — 125,104 
Gross profit33,633 11,006 — 44,639 
Selling, general and administrative6,757 3,258 10,447 20,462 
Asset acquisition expenses (Note 3)— 4,362 — 4,362 
Other segment items1,406 1,061 92 2,559 
Income (loss) from operations$25,470 $2,325 $(10,539)$17,256 
Reconciliation of profit to income before income taxes:
Interest expense$(2,563)$(2,563)
Other income, net279 279 
Income before income taxes$14,972 
2024
Revenue from external customers
Products$40,427 $3,920 $— $44,347 
Services1,716 1,872 — 3,588 
Total revenue from external customers42,143 5,792 — 47,935 
Revenue from related party
Products87,705 — — 87,705 
Services27 600 — 627 
Total revenue from related parties87,732 600 — 88,332 
Cost of sales104,987 4,172 — 109,159 
Gross profit 24,888 2,220 — 27,108 
Selling, general and administrative5,645 2,407 10,027 18,079 
Other segment items1,433 465 79 1,977 
Income (loss) from operations$17,810 $(652)$(10,106)$7,052 
Reconciliation of profit to income before income taxes:
Interest expense(842)(842)
Other income, net151 151 
Income before income taxes$6,361 
Other segment items for the nine months ended September 30, 2025 includes depreciation of $0.5 million and $0.6 million in the CT and DA segments, respectively; R&D costs of $0.9 million and $0.4 million in the CT and DA segments, respectively; and gain on sale of property and equipment in the CT segment of $7 thousand.
Other segment items for the nine months ended September 30, 2024 includes depreciation of $0.5 million and $0.1 million in the CT and DA segments, respectively; and R&D costs of $1.0 million and $0.4 million in the CT and DA segments, respectively.
Assets of the Company by reportable segments and corporate and other are as follows (in thousands):
September 30, 2025December 31, 2024
Chemistry Technologies$146,976 $152,161 
Data Analytics27,030 8,632 
Corporate and Other38,681 10,003 
Total assets$212,687 $170,796 
Additions to long-lived assets by reportable segments and corporate and other are as follows (in thousands):
As of and for the nine months ended September 30,
Chemistry Technologies
Data Analytics
Corporate and OtherTotal
2025
Additions to long-lived assets (1)
$1,120 $14,662 $167 $15,949 
2024
Additions to long-lived assets$333 $105 $53 $491 
(1)Additions to long-lived assets for the nine months ended September 30, 2025 includes $14.3 million of assets as a result of the non-cash PWRtek Transactions (see Note 3 and Note 17).
Geographic Information
Revenue by country is based on the location where services are provided and products are sold. For the three and nine months ended September 30, 2025 and 2024 no country other than the U.S. accounted for more than 10% of revenue. Revenue by geographic location is as follows (in thousands):
 Three months ended September 30,Nine months ended September 30,
 2025202420252024
U.S. (1)
$53,827 $48,498 $159,722 $131,763 
UAE2,067 592 8,925 3,136 
Other countries137 652 1,096 1,368 
Total revenue$56,031 $49,742 $169,743 $136,267 
(1) Includes revenue from related party
Long-lived assets held in countries other than the U.S. are not considered material to the consolidated financial statements.
Major Customers
Revenue from major customers, as a percentage of consolidated revenue, is as follows (in thousands):
Revenue% of Total Revenue
Three months ended September 30, 2025
Customer A (related party)
$33,090 59.1 %
Three months ended September 30, 2024
Customer A (related party)
$33,177 66.7 %
Revenue% of Total Revenue
Nine months ended September 30, 2025
Customer A (related party)
$97,197 57.3 %
Nine months ended September 30, 2024
Customer A (related party)
$88,332 64.8 %
The concentration with ProFrac and in the oil and gas industry increases credit, commodity and business risk.
Accounts receivable from major external customers, as a percentage of accounts receivable, is as follows (in thousands):
Accounts Receivable% of Total Non-Related Party Accounts Receivable
As of September 30, 2025
Customer A
$8,274 30.1 %
Customer B$3,170 11.5 %
Customer C$2,241 8.2 %
As of December 31, 2024
Customer A
$3,324 18.6 %
Customer C$2,264 12.7 %
Customer B$1,288 7.2 %
Please see Note 17 - “Related Party Transactions” for additional information regarding accounts receivable with ProFrac.
Major Suppliers
Expenditure with major suppliers, as a percentage of consolidated supplier expenditure, is as follows (in thousands):
Three months ended September 30,Expenditure% of Total Expenditure
2025
Supplier A$7,977 26 %
Supplier B3,984 13 %
Supplier C3,808 13 %
Supplier D3,368 11 %
2024
Supplier D$8,885 25 %
Supplier A5,187 14 %
Supplier C4,348 12 %
Supplier E3,782 10 %

Nine months ended September 30,Expenditure% of Total Expenditure
2025
Supplier A$26,787 26 %
Supplier D14,301 14 %
2024
Supplier A$16,885 18 %
Supplier D16,639 18 %
Supplier C16,583 17 %