Trade Accounts Receivable

9 Months Ended

Sep. 30, 2025

The following table summarizes our trade accounts receivable from customers as of the dates presented:


	September 30,		December 31,
	2025		2024
Trade accounts receivable
Rentals	$	11,813	$	14,218
Sales and aftermarket services	2,141		2,657
	13,954		16,875
Less: Provision for credit losses	(344)		(1,249)
Total trade accounts receivable, net	$	13,610	$	15,626

Our trade accounts receivable consist of customer obligations due under normal trade terms for (i) operating leases for the use of our compressor equipment, (ii) the sale of compressors and related equipment and (iii) the performance of aftermarket services.

Major Customers and Concentration of Credit Risk

Rental revenue from Occidental Permian, LTD. (“Oxy”) and Devon Energy Corporation (“Devon”) in the nine months ended September 30, 2025 and 2024 amounted to 59 percent and 58 percent of revenue on a combined basis, respectively. No other single customer accounted for more than 10 percent of our revenues during these periods. Likewise, Oxy’s and Devon’s accounts receivable balances amounted to 64 percent and 60 percent of our accounts receivable as of September 30, 2025, and December 31, 2024, respectively. No other customers amounted to more than 10 percent of our accounts receivable as of these dates.

Provision for Credit Losses

The following table summarizes the changes in our provision for credit losses for the periods presented:


	Nine months ended		Year ended
	September 30,		December 31,
	2025		2024
Beginning balance	$	1,249	$	823
Provision for credit losses	241		433

Write-offs	(1,146)		(7)
Ending balance	$	344	$	1,249

Management believes that the provision is adequate; however, actual write-offs may exceed the recorded provision. The substantial write-off of the provision for credit losses during the nine months ended September 30, 2025 reflects certain aged receivables that are no longer deemed collectible.