BUSINESS SEGMENTS

6 Months Ended

Jun. 30, 2020

Segment Reporting [Abstract]

BUSINESS SEGMENTS

BUSINESS SEGMENTS

Our business is organized into two segments: DynaEnergetics and NobelClad. DynaEnergetics designs, manufactures and distributes products utilized by the global oil and gas industry principally for the perforation of oil and gas wells. NobelClad is a global leader in the production of explosion-welded clad metal plates for use in the construction of corrosion resistant industrial processing equipment and specialized transition joints.

Our reportable segments are separately managed strategic business units that offer different products and services. Each segment’s products are marketed to different customer types and require different manufacturing processes and technologies.

Segment information is as follows:

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
Net sales
DynaEnergetics	$	23,643	$	88,628	$	76,863	$	168,464
NobelClad	19,560		22,326		39,903		42,625
Net sales	$	43,203	$	110,954	$	116,766	$	211,089

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
Operating (loss) income
DynaEnergetics	$	(6,895)	$	26,813	$	1,711	$	49,923
NobelClad	1,985		1,923		$	3,459	$	3,753
Segment operating (loss) income	(4,910)		28,736		5,170		53,676
Unallocated corporate expenses	(1,639)		(2,588)		(4,256)		(5,905)
Stock-based compensation	(1,441)		(1,495)		(2,559)		(2,666)
Other (expense) income, net	(85)		343		32		322
Interest expense, net	(156)		(409)		(394)		(782)
(Loss) income before income taxes	$	(8,231)	$	24,587	$	(2,007)	$	44,645

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
Depreciation and amortization
DynaEnergetics	$	1,772	$	1,719	$	3,544	$	3,118
NobelClad	881		835		1,715		1,632
Segment depreciation and amortization	2,653		2,554		5,259		4,750
Corporate and other (1)	64		—		164		—
Consolidated depreciation and amortization	$	2,717	$	2,554	$	5,423	$	4,750

(1) Prior to Q4 2019, the Company fully allocated corporate and other depreciation to the segments.

The disaggregation of revenue earned from contracts with customers based on the geographic location of the customer is as follows.

DynaEnergetics

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
United States	11,335		75,323		57,607		143,281
India	4,707		47		5,023		77
Egypt	943		872		2,254		1,734
Malaysia	531		123		912		123
Kuwait	520		746		1,029		746
Indonesia	467		941		946		1,180
Germany	87		25		387		80
United Arab Emirates	85		1,594		751		4,098
Pakistan	40		—		384		340
Canada	—		2,919		668		6,376
Iraq	2,188		690		2,189		886
Rest of the world	2,740		5,348		4,713		9,543
Total DynaEnergetics	$	23,643	$	88,628	$	76,863	$	168,464

NobelClad

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
United States	10,462		12,304		19,505		21,947
United Arab Emirates	1,881		289		2,620		1,273
Canada	1,693		1,335		3,461		3,359
Germany	802		828		1,788		1,831
Norway	680		1,538		1,640		2,160
Spain	626		285		1,873		346
France	602		896		2,092		1,653
Netherlands	369		378		915		1,012
Australia	357		397		606		845
Singapore	250		—		824		—
South Korea	222		413		1,212		881
Sweden	73		836		556		1,137
India	69		155		146		279
Belgium	46		598		410		1,483
Greece	20		9		188		26
Rest of the world	1,408		2,065		2,067		4,393
Total NobelClad	$	19,560	$	22,326	$	39,903	$	42,625

During the three months ended June 30, 2020, no customers accounted for greater than 10% of consolidated net sales. During the six months ended June 30, 2020 and the three and six months ended June 30, 2019, one customer in our DynaEnergetics segment accounted for greater than 10% of consolidated net sales.