Segment Information (Tables)

9 Months Ended

Sep. 30, 2020

Schedule of Segment Reporting Information, by Segment

The following tables set forth certain financial information for each of our segments and corporate (amounts in thousands):


	Successor		Predecessor
	Three Months Ended September 30, 2020		Three Months Ended September 30, 2019
Revenues:
Domestic drilling	$	17,567	$	38,168
International drilling	4,061		21,617
Drilling services	21,628		59,785
Well servicing	12,871		30,293
Wireline services	4,499		43,874
Coiled tubing services	—		12,446
Production services	17,370		86,613
Consolidated revenues	$	38,998	$	146,398

Operating costs:
Domestic drilling	$	9,706	$	21,931
International drilling	3,449		15,844
Drilling services	13,155		37,775
Well servicing	10,577		21,414
Wireline services	4,938		38,349
Coiled tubing services	223		10,521
Production services	15,738		70,284
Consolidated operating costs	$	28,893	$	108,059

Gross margin:
Domestic drilling	$	7,861	$	16,237
International drilling	612		5,773
Drilling services	8,473		22,010
Well servicing	2,294		8,879
Wireline services	(439)		5,525
Coiled tubing services	(223)		1,925
Production services	1,632		16,329
Consolidated gross margin	$	10,105	$	38,339

Identifiable Assets:
Domestic drilling (1)	$	144,433	$	354,534
International drilling (1) (2)	43,033		47,320
Drilling services	187,466		401,854
Well servicing	47,207		118,686
Wireline services	21,174		80,054
Coiled tubing services	4,062		34,339
Production services	72,443		233,079
Corporate	59,193		54,760
Consolidated identifiable assets	$	319,102	$	689,693


	Successor		Predecessor
	Three Months Ended September 30, 2020		Three Months Ended September 30, 2019
Depreciation and amortization:
Domestic drilling	$	6,195	$	10,864
International drilling	3,242		1,512
Drilling services	9,437		12,376
Well servicing	3,539		5,132
Wireline services	1,620		3,537
Coiled tubing services	—		1,660
Production services	5,159		10,329
Corporate	103		219
Consolidated depreciation	$	14,699	$	22,924


Capital Expenditures:
Domestic drilling	$	1,006	$	2,777
International drilling	167		1,162
Drilling services	1,173		3,939
Well servicing	313		2,146
Wireline services	45		775
Coiled tubing services	—		1,756
Production services	358		4,677
Corporate	—		44
Consolidated capital expenditures	$	1,531	$	8,660


	Successor			Predecessor
		Four Months Ended September 30, 2020			Five Months Ended May 31, 2020		Nine Months Ended September 30, 2019
Revenues:
Domestic drilling		$	23,433		$	53,341	$	115,829
International drilling		4,889			15,928		68,682
Drilling services		28,322			69,269		184,511
Well servicing		16,627			31,947		86,053
Wireline services		5,212			35,543		137,134
Coiled tubing services		—			5,611		38,111
Production services		21,839			73,101		261,298
Consolidated revenues		$	50,161		$	142,370	$	445,809

Operating costs:
Domestic drilling		$	13,352		$	33,101	$	69,098
International drilling		4,512			13,676		50,884
Drilling services		17,864			46,777		119,982
Well servicing		13,387			26,877		61,348
Wireline services		6,023			31,836		119,500
Coiled tubing services		362			8,557		31,784
Production services		19,772			67,270		212,632
Consolidated operating costs		$	37,636		$	114,047	$	332,614


	Successor			Predecessor
		Four Months Ended September 30, 2020			Five Months Ended May 31, 2020		Nine Months Ended September 30, 2019
Gross margin:
Domestic drilling		$	10,081		$	20,240	$	46,731
International drilling		377			2,252		17,798
Drilling services		10,458			22,492		64,529
Well servicing		3,240			5,070		24,705
Wireline services		(811)			3,707		17,634
Coiled tubing services		(362)			(2,946)		6,327
Production services		2,067			5,831		48,666
Consolidated gross margin		$	12,525		$	28,323	$	113,195

Identifiable Assets:
Domestic drilling (1)		$	144,433		$	158,283	$	354,534
International drilling (1) (2)		43,033			49,611		47,320
Drilling services		187,466			207,894		401,854
Well servicing		47,207			49,388		118,686
Wireline services		21,174			23,948		80,054
Coiled tubing services		4,062			6,336		34,339
Production services		72,443			79,672		233,079
Corporate		59,193			65,057		54,760
Consolidated identifiable assets		$	319,102		$	352,623	$	689,693

Depreciation and amortization:
Domestic drilling		$	8,207		$	18,058	$	32,297
International drilling		4,318			2,144		4,228
Drilling services		12,525			20,202		36,525
Well servicing		4,800			7,820		14,956
Wireline services		2,383			5,088		11,519
Coiled tubing services		—			2,164		4,719
Production services		7,183			15,072		31,194
Corporate		227			373		709
Consolidated depreciation		$	19,935		$	35,647	$	68,428


Capital Expenditures:
Domestic drilling		$	1,490		$	3,862	$	14,344
International drilling		305			1,273		3,444
Drilling services		1,795			5,135		17,788
Well servicing		343			1,918		8,182
Wireline services		105			1,684		5,198
Coiled tubing services		—			166		4,567
Production services		448			3,768		17,947
Corporate		—			21		541
Consolidated capital expenditures		$	2,243		$	8,924	$	36,276

(1) Identifiable assets for our drilling segments include the impact of a $28.3 million and $37.5 million intercompany balance, as of September 30, 2020 and 2019, respectively, between our domestic drilling segment (intercompany receivable) and our international drilling segment (intercompany payable).

(2) Identifiable assets for our international drilling segment include five drilling rigs that are owned by our Colombia subsidiary and three drilling rigs that are owned by one of our domestic subsidiaries and leased to our Colombia subsidiary.

Reconciliation of Operating Profit (Loss) from Segments to Consolidated Gross Margin

The following is a reconciliation of consolidated gross margin of our segments reported above to loss from operations as reported on the condensed consolidated statements of operations (amounts in thousands):


	Successor		Predecessor
	Three Months Ended September 30, 2020		Three Months Ended September 30, 2019
Consolidated gross margin	$	10,105	$	38,339
Depreciation and amortization	(14,699)		(22,924)
General and administrative	(11,626)		(30,485)


Bad debt (expense) recovery, net	315		(196)
Gain on dispositions of property and equipment, net	3,829		(17)


Loss from operations	$	(12,076)	$	(15,283)


	Successor			Predecessor
		Four Months Ended September 30, 2020			Five Months Ended May 31, 2020		Nine Months Ended September 30, 2019
Consolidated gross margin		$	12,525		$	28,323	$	113,195
Depreciation and amortization		(19,935)			(35,647)		(68,428)
General and administrative		(15,839)			(22,047)		(68,271)
Pre-petition restructuring charges		—			(16,822)		—
Impairment		(388)			(17,853)		(1,378)
Bad debt (expense) recovery, net		598			(1,209)		90
Gain on dispositions of property and equipment, net		4,289			989		2,184


Loss from operations		$	(18,750)		$	(64,266)	$	(22,608)