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Segment Information
 6 Months Ended
Jun. 30, 2012
Segment Reporting [Abstract]  
Segment Information
Segment Information
 
ASC 280-10-50, Operating Segments, define the characteristics of an operating segment as a) being engaged in business activity from which it may earn revenue and incur expenses, b) being reviewed by the company's chief operating decision maker (CODM) for decisions about resources to be allocated and assess its performance and c) having discrete financial information.  Although we indeed look at our product line information to analyze the nature of our revenue, other financial information, such as certain costs and expenses, net income and EBITDA are not captured or analyzed by these categories.   Therefore discrete financial information is not available by product line and our CODM does not make resource allocation decisions or assess the performance of the business based on these categories, but rather in the aggregate. Based on this, Management believes that it operates in one business segment.
 
However, should a portion of our business be considered an operating segment; management has additionally reviewed the criteria for aggregation.  ASC 280-10-50-11, Aggregation Criteria, allows for the aggregation of operating segments if the segments have similar economic characteristics and if the segments are similar in each of the following areas:

•
The nature of the products and services;

•
The nature of the production of processes;

•
The type or class of customer for their products and services;

•
The methods used to distribute their products or provide their services; and

•
The nature of the regulatory environment, if applicable.

We are engaged in the business of designing and manufacturing compressors and flares. Our compressors and flares are sold and rented to our customers. In addition, we provide service and maintenance on compressors in our fleet and to third parties.These business activities are similar in all geographic areas.  Our manufacturing process is essentially the same for the entire Company and is performed in house at our facilities in Midland, Texas and Tulsa, Oklahoma.  Our customers primarily consist of entities in the business of producing natural gas.  The maintenance and service of our products is consistent across the entire Company and is performed via an internal fleet of vehicles.  The regulatory environment is similar in every jurisdiction in that the most impacting regulations and practices are the result of federal energy policy.  In addition, the economic characteristics of each customer arrangement are similar in that we maintain policies at the corporate level.
 
Therefore, we believe that should product lines be considered separate operating segments, they meet the requirements for aggregation as described above.

For the three months ended June 30, 2012 (in thousands):
 
Sales
 
Rental
 
Service & Maintenance
 
Corporate
 
Total
Revenue
$
10,649

 
$
13,671

 
$
188

 
$
—

 
$
24,508

Operating costs and expenses
7,563

 
5,874

 
98

 
6,144

 
19,679

Other income (expense)
—

 
—

 
—

 
58

 
58

Income before provision for income taxes
$
3,086

 
$
7,797

 
$
90

 
$
(6,086
)
 
$
4,887


For the three months ended June 30, 2011 (in thousands):
 
Sales
 
Rental
 
Service & Maintenance
 
Corporate
 
Total
Revenue
$
1,901

 
$
11,601

 
$
256

 
$
—

 
$
13,758

Operating costs and expenses
638

 
4,909

 
93

 
4,896

 
10,536

Other income (expense)
—

 
—

 
—

 
17

 
17

Income before provision for  income taxes
$
1,263

 
$
6,692

 
$
163

 
$
(4,879
)
 
$
3,239

For the six months ended June 30, 2012 (in thousands):
 
Sales
 
Rental
 
Service & Maintenance
 
Corporate
 
Total
Revenue
$
23,080

 
$
27,409

 
$
395

 
$
—

 
$
50,884

Operating costs and expenses
17,118

 
11,383

 
191

 
11,741

 
40,433

Other income (expense)
—

 
—

 
—

 
94

 
94

Income before provision for income taxes
$
5,962

 
$
16,026

 
$
204

 
$
(11,647
)
 
$
10,545



For the six months ended June 30, 2011 (in thousands):
 
Sales
 
Rental
 
Service & Maintenance
 
Corporate
 
Total
Revenue
$
5,778

 
$
22,482

 
$
552

 
$
—

 
$
28,812

Operating costs and expenses
3,186

 
9,271

 
231

 
9,573

 
22,261

Other income (expense)
—

 
—

 
—

 
716

 
716

Income before provision for  income taxes
$
2,592

 
$
13,211

 
$
321

 
$
(8,857
)
 
$
7,267