Business Segment Information

6 Months Ended

Jun. 30, 2014

Business Segment Information [Abstract]

Business Segment Information

Note 11 — Business Segment Information 

We have four business segments: Well Intervention, Robotics, Subsea Construction and Production Facilities.  Our Well Intervention segment includes our vessels and related equipment that are used to perform well intervention services primarily in the Gulf of Mexico and North Sea regions.  Our well intervention vessels include the Q4000, the Helix 534, the Seawell, the Well Enhancer and the Skandi Constructor, which is a  chartered vessel.  We are currently constructing two additional well intervention vessels, the Q5000 and the Q7000.  We have also contracted for two newbuild chartered vessels, which are expected to be delivered in 2016 and used in connection with our contracts to provide well intervention services offshore Brazil.  Our Robotics segment currently operates five chartered vessels and two spot vessels and also includes remotely operated vehicles (“ROVs”), trenchers and ROVDrills designed to complement offshore construction and well intervention services.  We have sold substantially all of the assets associated with our former Subsea Construction operations, including the sale of ourIngleside spoolbase in January2014.  The Production Facilities segment includes the HP I as well as our equity investments in Deepwater Gateway and Independence Hub that are accounted for under the equity method.  All material intercompany transactions between the segments have been eliminated.  In February 2013, we sold ERT and as a result, we have presented the assets and liabilities included in the sale of ERT and the historical operating results of our former Oil and Gas segment as discontinued operations in the accompanying consolidated financial statements.  See Note 3 to our 2013 Form 10-K for additional information regarding our discontinued operations.

We evaluate our performance based on operating income and income before income taxes of each segment.  Segment assets are comprised of all assets attributable to each reportable segment.  Corporate and other includes all assets not directly identifiable with our business segments, most notably the majority of our cash and cash equivalents.  Certain financial data by reportable segment is summarized as follows (in thousands):

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Net revenues —
Well Intervention	$	181,218	$	99,323	$	340,918	$	205,655
Robotics		119,704		88,374		207,594		152,570
Subsea Construction		-		37,659		358		65,185
Production Facilities		24,049		24,174		47,189		44,567
Intercompany elimination		(19,384)		(17,352)		(36,900)		(38,370)
Total	$	305,587	$	232,178	$	559,159	$	429,607
Income (loss) from operations —
Well Intervention	$	64,775	$	23,912	$	113,508	$	60,362
Robotics		20,799		13,296		32,018		12,599
Subsea Construction (1)		145		10,392		10,830		13,943
Production Facilities		10,459		14,643		21,843		25,828
Corporate and other		(17,467)		(14,207)		(31,342)		(47,738)
Intercompany elimination		45		(839)		(1,153)		(2,559)
Total	$	78,756	$	47,197	$	145,704	$	62,435
Equity in earnings of equity investments	$	(507)	$	683	$	201	$	1,293

(1) Amount in 2014 includes the $10.5 million gain on the sale in January2014 of our Ingleside spoolbase.

Intercompany segment revenues are as follows (inthousands): 

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Well Intervention	$	7,956	$	6,439	$	13,417	$	10,268
Robotics		11,428		10,913		23,483		23,112
Subsea Construction		-		-		-		317
Production Facilities		-		-		-		4,673
Total	$	19,384	$	17,352	$	36,900	$	38,370

Intercompany segment profits (losses), which only relate to intercompany capital projects, are as follows (inthousands): 

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Well Intervention	$	(87)	$	(27)	$	(149)	$	(46)
Robotics		85		910		1,389		2,535
Subsea Construction		-		-		-		158
Production Facilities		(43)		(44)		(87)		(88)
Total	$	(45)	$	839	$	1,153	$	2,559

Segment assets are comprised of all assets attributable to each reportable segment.  Corporate and other includes all assets not directly identifiable with our business segments, most notably the majority of our cash and cash equivalents.  The following table reflects total assets by reportable segment (in thousands): 

		June 30,		December 31,
		2014		2013
Well Intervention	$	1,449,790	$	1,245,229
Robotics		324,231		282,373
Subsea Construction		33,402		38,054
Production Facilities		475,306		495,829
Corporate and other		418,381		482,795
Total	$	2,701,110	$	2,544,280