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Segment and Related Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment and Related Information Segment and Related Information
We operate our business through two reportable segments: Fluids Systems and Industrial Solutions. All intercompany revenues and related profits have been eliminated.
Fluids Systems — Our Fluids Systems segment provides drilling, completion, and stimulation products and related technical services to customers primarily in North America and EMEA, as well as certain countries in Asia Pacific and Latin America. We offer customized solutions for complex subsurface conditions such as horizontal, directional, geologically deep, or drilling in deep water. These projects require high levels of monitoring and technical support of the fluids system during the drilling process.
We also have industrial mineral grinding operations for barite, a critical raw material in fluids systems, which serve to support our activities in certain regions of the U.S. fluids market. We use the resulting products in our fluids systems and also sell the products to third party users, including other fluids companies. In addition, we sell a variety of other minerals, principally to third party industrial (non-oil and natural gas) markets.
Industrial Solutions — Our Industrial Solutions segment provides temporary worksite access, including the rental of our manufactured recyclable composite matting systems, along with related site construction and services to customers in various markets including power transmission, E&P, pipeline, renewable energy, petrochemical, construction and other industries, primarily in the United States and Europe. We also sell our manufactured recyclable composite mats to customers around the world, with power transmission being the primary end-market.
Summarized financial information concerning our reportable segments is shown in the following tables:
 Year Ended December 31,
(In thousands)202120202019
Revenues   
Fluids Systems$420,789 $354,608 $620,317 
Industrial Solutions193,992 138,017 199,802 
Total revenues$614,781 $492,625 $820,119 
Depreciation and amortization   
Fluids Systems$17,877 $20,555 $21,202 
Industrial Solutions20,399 20,427 21,763 
Corporate office3,949 4,332 4,179 
Total depreciation and amortization$42,225 $45,314 $47,144 
Operating income (loss)   
Fluids Systems$(19,012)$(66,403)$3,814 
Industrial Solutions39,733 13,459 47,466 
Corporate office(29,546)(25,690)(40,885)
Total operating income (loss)$(8,825)$(78,634)$10,395 
Segment assets   
Fluids Systems$458,179 $419,381 $593,758 
Industrial Solutions267,670 259,918 265,786 
Corporate office27,037 29,893 40,535 
Total segment assets$752,886 $709,192 $900,079 
Capital expenditures   
Fluids Systems$3,644 $6,237 $18,416 
Industrial Solutions17,402 7,831 23,535 
Corporate office747 1,726 2,855 
Total capital expenditures$21,793 $15,794 $44,806 
In August 2021, Hurricane Ida negatively impacted our Gulf of Mexico operations, including damage to certain inventory, equipment and warehouse facilities, at our Fourchon, Louisiana Fluids Systems operating base. While this event is covered by our property and business interruption insurance programs, these programs contain self-insured retentions, which remain our financial obligations. During 2021, our Fluids Systems segment incurred hurricane-related costs of $5.5 million, which includes $2.5 million for inventory and property, plant and equipment, and $3.0 in property-related repairs, clean-up and other costs. Based on the provisions of our insurance policies and initial insurance claims filed, we estimated $2.9 million in expected recoveries and recognized a charge of $2.6 million for 2021 in other operating (income) loss, net, substantially all of which is our self-insured retention under our property insurance policy. The insurance receivable balance included in other receivables was $1.9 million as of December 31, 2021. As of December 31, 2021, the claims related to the hurricane under our property and business interruption insurance programs have not been finalized. Fluids Systems operating results for 2021 also includes $3.7 million of charges related to facility exit, severance, and other costs, as well as a $0.8 million gain related to the final insurance settlement associated with the July 2018 fire at our Kenedy, Texas drilling fluids facility.
In March 2020, oil prices collapsed due to geopolitical events along with the worldwide effects of the COVID-19 pandemic, which led to a rapid decline in customer activity in the E&P industry. In response to these market changes, we initiated workforce reductions and other cost reduction programs in the first quarter of 2020 and continued these actions throughout 2020 and into 2021.
As part of the cost reduction programs, we reduced our global employee base by approximately 650 (30%) in 2020. As a result of these workforce reductions, our operating results for 2020 included $4.3 million of total severance costs
($3.7 million in Fluids Systems and $0.6 million in the Corporate office), with $2.7 million in cost of revenues and $1.6 million in selling, general and administrative expenses. These costs were substantially paid as of December 31, 2020.
For 2020, we recognized $29.2 million of total charges primarily related to our exit from Brazil, inventory write-downs, severance costs, and fixed asset impairments, with $28.6 million in the Fluids Systems segment and $0.6 million in the Corporate office. For 2019, we recognized $23.2 million of total charges primarily related to a non-cash impairment of goodwill and charges associated with facility closures and related exit costs, inventory write-downs, and severance costs, as well as the modification of our retirement policy, with $18.8 million in the Fluids Systems segment and $4.4 million in the Corporate office.
See below for details of charges in the Fluids Systems segment.
 Year Ended December 31,
(In thousands)202120202019
Fourchon, Louisiana hurricane-related costs$2,596 $— $— 
Facility exit costs and other
2,399 (201)2,631 
Severance costs1,329 3,729 2,264 
Kenedy, Texas facility fire (insurance recovery)(849)— — 
Brazil exit - Recognition of cumulative foreign currency translation losses— 11,689 — 
Inventory write-downs— 10,345 1,881 
Property, plant and equipment impairment— 3,038 — 
Goodwill impairment— — 11,422 
Modification of retirement policy— — 605 
Total Fluids Systems impairments and other charges$5,475 $28,600 $18,803 
The following table presents further disaggregated revenues for the Fluids Systems segment:
 Year Ended December 31,
(In thousands)202120202019
United States$227,261 $202,052 $395,618 
Canada48,007 24,762 31,635 
Total North America275,268 226,814 427,253 
EMEA132,221 115,891 172,263 
Other13,300 11,903 20,801 
Total International145,521 127,794 193,064 
Total Fluids Systems revenues$420,789 $354,608 $620,317 
The following table presents further disaggregated revenues for the Industrial Solutions segment:
 Year Ended December 31,
(In thousands)202120202019
Product sales revenues$66,796 $29,170 $56,465 
Rental revenues68,455 47,341 70,207 
Service revenues49,920 53,958 73,130 
Industrial blending revenues (1)
8,821 7,548 — 
Total Industrial Solutions revenues$193,992 $138,017 $199,802 
(1) Industrial blending operations began in the second quarter of 2020 and ramped up in the third quarter of 2020. Results for the industrial blending component are presented in Industrial Solutions beginning October 2020. Results for the second quarter and third quarter of 2020 were reported in Fluids Systems and not adjusted as they were not material.
The following table sets forth geographic information for all of our operations. Revenues by geographic location are determined based on the operating location from which services are rendered or products are sold. Long-lived assets include property, plant and equipment and other long-term assets based on the country in which the assets are located.
 Year Ended December 31,
(In thousands)202120202019
Revenues   
United States$402,246 $327,598 $578,698 
Canada48,007 24,762 37,496 
EMEA151,228 128,362 183,124 
Asia Pacific7,629 6,561 15,273 
Latin America5,671 5,342 5,528 
Total revenues$614,781 $492,625 $820,119 
Long-lived assets   
United States$318,839 $329,719 $365,185 
Canada1,209 1,503 2,129 
EMEA38,923 44,577 46,447 
Asia Pacific2,712 3,007 2,862 
Latin America375 500 1,047 
Total long-lived assets$362,058 $379,306 $417,670 
For 2021, 2020 and 2019, no single customer accounted for more than 10% of our consolidated revenues.