XML 23 R10.htm IDEA: XBRL DOCUMENT
v3.25.3

Asset Impairments and Other Charges and Credits | 9 Months Ended
--- | ---
Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract] |
Asset Impairments and Other Charges and Credits | Asset Impairments and Other Charges and Credits Management has implemented certain cost reduction actions including: the consolidation, relocation and exit of certain operating locations; the exit of certain service offerings; reductions in the Company’s workforce in the United States; and the realignment in 2024 of operations within two of the Company’s reportable segments. The Company also incurred legal costs associated with patent defense and purchased a portion of its outstanding 4.75% convertible senior notes (the “2026 Notes”) at a discount. As a result of these events, actions and assessments, the Company recorded the following charges and credits during the three and nine months ended September 30, 2025 and 2024 (in thousands):
| Offshore Manufactured Products |  | Completion and Production Services |  | Downhole Technologies |  | Corporate |  | Total
Three Months Ended September 30, 2025 |  |  |  |  |  |
Impairments of operating lease assets | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Facility consolidation and exit, and other charges | 575 |  |  | 2,687 |  |  | — |  |  | 298 |  |  | 3,560 |
Losses (gains) on extinguishment of debt | — |  |  | — |  |  | — |  |  | 6 |  |  | 6 |
Pre-tax totals | $ | 575 |  |  | $ | 2,687 |  |  | $ | — |  |  | $ | 304 |  |  | 3,566 |
Income tax benefit |  |  |  |  |  |  |  |  | 749 |
After-tax total |  |  |  |  |  |  |  |  | $ | 2,817 |
Nine Months Ended September 30, 2025 |  |  |  |  |  |
Impairments of operating lease assets | $ | — |  |  | $ | 403 |  |  | $ | 955 |  |  | $ | — |  |  | $ | 1,358 |
Facility consolidation and exit, and other charges | 848 |  |  | 5,393 |  |  | 252 |  |  | 298 |  |  | 6,791 |
Losses (gains) on extinguishment of debt | — |  |  | — |  |  | — |  |  | (375) |  |  | (375) |
Pre-tax totals | $ | 848 |  |  | $ | 5,796 |  |  | $ | 1,207 |  |  | $ | (77) |  |  | 7,774 |
Income tax benefit |  |  |  |  |  |  |  |  | 1,633 |
After-tax total |  |  |  |  |  |  |  |  | $ | 6,141 |
| Offshore Manufactured Products |  | Completion and Production Services |  | Downhole Technologies |  | Corporate |  | Total
Three Months Ended September 30, 2024 |  |  |  |  |  |
Impairments of: |  |  |  |  |  |  |  |  |
Goodwill | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Intangible assets | — |  |  | 10,787 |  |  | — |  |  | — |  |  | 10,787 |
Operating lease assets | — |  |  | 2,092 |  |  | 487 |  |  | — |  |  | 2,579 |
Facility consolidation and exit, and other charges | 354 |  |  | 2,982 |  |  | 123 |  |  | 34 |  |  | 3,493 |
Patent defense costs | — |  |  | 1,347 |  |  | — |  |  | — |  |  | 1,347 |
Gains on extinguishment of debt | — |  |  | — |  |  | — |  |  | — |  |  | — |
Pre-tax totals | $ | 354 |  |  | $ | 17,208 |  |  | $ | 610 |  |  | $ | 34 |  |  | 18,206 |
Income tax benefit |  |  |  |  |  |  |  |  | 1,161 |
After-tax total |  |  |  |  |  |  |  |  | $ | 17,045 |
Nine Months Ended September 30, 2024 |  |  |  |  |  |
Impairments of: |  |  |  |  |  |  |  |  |
Goodwill | $ | — |  |  | $ | — |  |  | $ | 10,000 |  |  | $ | — |  |  | $ | 10,000 |
Intangible assets | — |  |  | 10,787 |  |  | — |  |  | — |  |  | 10,787 |
Operating lease assets | — |  |  | 2,092 |  |  | 487 |  |  | — |  |  | 2,579 |
Facility consolidation and exit, and other charges | 3,364 |  |  | 5,583 |  |  | 123 |  |  | 34 |  |  | 9,104 |
Patent defense costs | — |  |  | 2,671 |  |  | — |  |  | — |  |  | 2,671 |
Gains on extinguishment of debt | — |  |  | — |  |  | — |  |  | (515) |  |  | (515) |
Pre-tax totals | $ | 3,364 |  |  | 21,133 |  |  | 10,610 |  |  | $ | (481) |  |  | 34,626 |
Income tax benefit |  |  |  |  |  |  |  |  | 2,990 |
After-tax total |  |  |  |  |  |  |  |  | $ | 31,636 |
Goodwill The Company’s remaining goodwill exists in the Offshore Manufactured Products segment, totaling $70.5 million and $69.7 million, respectively, as of September 30, 2025 and December 31, 2024. The Company does not amortize goodwill, but rather assesses goodwill for impairment annually and when an event occurs or circumstances change that indicate the carrying amounts may not be recoverable. If the carrying amount of a reporting unit exceeds its fair value, goodwill is considered impaired and an impairment loss is recorded. Management uses a combination of valuation methodologies including the income approach and guideline public company comparables. The fair values of each of the Company’s reporting units were determined using significant unobservable inputs (Level 3 fair value measurements). The income approach estimates fair value by discounting the Company’s forecasts of future cash flows by a discount rate (expected return) that a market participant is expected to require on its investment. Significant assumptions and estimates used in the income approach include, among others, estimated future net annual cash flows and discount rates for each reporting unit, current and anticipated market conditions, estimated growth rates and historical data. These estimates rely upon significant management judgment. In the first quarter of 2024, certain short-cycle, consumable product operations historically reported within the Offshore Manufactured Products segment (legacy frac plug and elastomer products) were integrated into the Downhole Technologies segment to better align with the underlying activity demand drivers and current segment management structure, as well as provide for additional operational synergies. In connection with this realignment, goodwill of $10.0 million was reassigned from the Offshore Manufactured Products segment to the Downhole Technologies segment based on estimated relative fair values. The Company performed an interim quantitative assessment of goodwill recorded within the Offshore Manufactured Products segment as of February 29, 2024 (prior to realignment) which indicated that the fair value of the reporting unit exceeded its carrying value. The Company also performed an interim quantitative assessment of goodwill transferred to the Downhole Technologies segment (subsequent to the realignment). This interim assessment indicated that the fair value of the reporting unit was less than its carrying amount and the Company concluded that goodwill reassigned to the Downhole Technologies business was fully impaired. The Company therefore recognized a non-cash goodwill impairment charge totaling $10.0 million in the first quarter of 2024. Long-Lived Tangible and Intangible Assets An assessment for impairment of long-lived tangible and intangible assets is conducted when an event occurs or circumstances change that indicate that the carrying value of long-lived tangible and intangible assets may not be recoverable. In response to further reductions in customer activity in the United States during the third quarter of 2024, management made strategic decisions to exit its underperforming flowback and well testing service offering and sell the related equipment and inventory. Management also decided to exit six leased facilities. As a result of these events and actions, in the third quarter of 2024, the Company recorded non-cash intangible asset (customer relationships and tradenames) impairment charges of $10.8 million associated with the exit of this service offering and operating lease impairments of $2.6 million related to facility closures. In the first nine months of 2025, management continued its restructuring efforts to reduce costs in its U.S. land-based operations. As a result of these decisions, the Company’s Completion and Productions Services and Downhole Technologies segments recognized non-cash operating lease impairment charges totaling $1.4 million in connection with facility closures.

X
- Definition The entire disclosure for the details of the charge against earnings resulting from the aggregate write down of all assets from their carrying value to their fair value. Disclosure may also include a description of the impaired asset and facts and circumstances leading to the impairment, amount of the impairment loss and where the loss is located in the income statement, method(s) for determining fair value, and the segment in which the impaired asset is reported. + References No definition available. + Details
Name: | us-gaap_AssetImpairmentChargesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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