Business Segment Information

9 Months Ended

Sep. 30, 2023

Segment Reporting [Abstract]

Business Segment Information

Note 12 — Business Segment Information

We have four reportable business segments: Well Intervention, Robotics, Shallow Water Abandonment and Production Facilities. Our U.S., U.K. and Brazil Well Intervention operating segments are aggregated into the Well Intervention segment for financial reporting purposes. We formed the Shallow Water Abandonment segment in the third quarter 2022 following the Alliance acquisition (Note 3). All material intercompany transactions between the segments have been eliminated. See Note 2 for more information on our business segments.

We evaluate our performance based on operating income of each reportable segment. Certain financial data by reportable segment are summarized as follows (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2023		2022		2023		2022
Net revenues —
Well Intervention	$	225,367	$	143,925	$	522,026	$	356,583
Robotics		75,646		56,182		194,918		143,383
Shallow Water Abandonment		87,272		67,401		212,959		67,401
Production Facilities		24,469		18,448		68,502		54,420
Intercompany eliminations		(17,084)		(13,409)		(43,834)		(36,503)
Total	$	395,670	$	272,547	$	954,571	$	585,284
Income (loss) from operations —
Well Intervention	$	16,120	$	(1,304)	$	11,357	$	(55,610)
Robotics		20,665		11,708		43,226		22,854
Shallow Water Abandonment		27,624		16,320		54,208		16,320
Production Facilities		8,886		6,068		21,817		17,964
Segment operating income (loss)		73,295		32,792		130,608		1,528
Change in fair value of contingent consideration		(16,499)		—		(31,319)		—
Corporate, eliminations and other		(20,568)		(20,566)		(51,159)		(41,255)
Total	$	36,228	$	12,226	$	48,130	$	(39,727)

Intercompany segment amounts are derived primarily from equipment and services provided to other business segments. Intercompany segment revenues are as follows (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2023		2022		2023		2022
Well Intervention	$	6,832	$	4,303	$	18,174	$	12,046
Robotics		10,252		8,971		25,634		24,322
Shallow Water Abandonment		—		135		26		135
Total	$	17,084	$	13,409	$	43,834	$	36,503

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):

	September 30,		December 31,
	2023		2022
Well Intervention	$	1,828,452	$	1,796,269
Robotics		190,092		192,694
Shallow Water Abandonment		247,317		206,944
Production Facilities		119,674		136,382
Corporate and other		49,217		57,049
Total	$	2,434,752	$	2,389,338