Segment Information

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company evaluates and reviews its results based on three business segments: E&P Technology and Services, E&P Operations Optimization, and Ocean Bottom Services. In August 2016, the Company announced its plans to realign its four business segments into three. Beginning in the third quarter of 2016, the Company changed its reportable segments as described below:

• E&P Technology and Services, formerly referred to as Solutions, continues to be comprised of the groups that support the Company’s New Venture and Data Library (together multi-client) revenues and Imaging Services group.

• E&P Operations Optimization is comprised of Devices, formerly referred to as Systems, and Optimization Software & Services, formerly referred to as Software. The manufacturing, engineering, research and development of ocean bottom systems is no longer a part of Devices, and are now within Ocean Bottom Services as noted below.

• Ocean Bottom Services is comprised of OceanGeo, an ocean bottom data acquisition services company along with the manufacturing, engineering, research and development of ocean bottom systems.

The Company also has an equity ownership interest in its INOVA Geophysical joint venture. As of December 31, 2014, the Company wrote down its investment in INOVA Geophysical to zero and has suspended recording its share of losses in the joint venture. If at a future date, the Company’s cumulative share of earnings during the period of suspension becomes greater than its share of losses during the same period, the Company will begin to record its share of earnings in the joint venture at the point its net equity method investment becomes greater than zero.

The following table is a summary of segment information (in thousands):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Net revenues:
E&P Technology & Services:
New Venture	$	8,393		$	26,650		$	16,278		$	35,315
Data Library	21,510			15,302			32,057			24,948
Total multi-client revenues	29,903			41,952			48,335			60,263
Imaging Services	6,134			10,693			19,338			33,731
Total	36,037			52,645			67,673			93,994
E&P Operations Optimization:
Devices	8,679			7,290			20,664			27,733
Optimization Software & Services	3,922			6,739			12,685			22,320
Total	12,601			14,029			33,349			50,053
Ocean Bottom Services	29,984			—			36,417			—
Total	$	78,622		$	66,674		$	137,439		$	144,047
Gross profit (loss):
E&P Technology & Services	$	12,888		$	11,294		$	(418	)	$	(6,954	)
E&P Operations Optimization	6,866			7,039			16,647			25,971
Ocean Bottom Services	12,011			(7,225		)	11,459			(33,832		)
Total	$	31,765		$	11,108		$	27,688		$	(14,815	)
Gross margin:
E&P Technology & Services	36		%	21		%	(1		)%	(7		)%
E&P Operations Optimization	54		%	50		%	50		%	52		%
Ocean Bottom Services	40		%	—		%	31		%	—		%
Total	40		%	17		%	20		%	(10		)%
Income (loss) from operations:
E&P Technology & Services	$	7,259		$	1,642		$	(16,867	)	$	(37,401	)
E&P Operations Optimization	3,682			3,916			7,162			15,786
Ocean Bottom Services	9,320			(10,287		)	2,053			(46,457		)
Support and other	(8,397		)	(8,145		)	(27,201		)	(32,180		)
Income (loss) from operations	11,864			(12,874		)	(34,853		)	(100,252		)
Interest expense, net	(4,607		)	(4,854		)	(14,043		)	(14,086		)
Other income (expense), net	(2,027		)	(346		)	(3,624		)	98,035
Income (loss) before income taxes	$	5,230		$	(18,074	)	$	(52,520	)	$	(16,303	)