Revenue

12 Months Ended

Dec. 31, 2019

(2) Revenue

Revenue Recognition

Revenues are recognized when performance obligations are satisfied in accordance with contractual terms, in an amount that reflects the consideration the Company expects to be entitled to in exchange for services rendered, rentals provided and products sold. Taxes collected from customers and remitted to governmental authorities and revenues are reported on a net basis in the Company’s financial statements.

Performance Obligations

A performance obligation arises under contracts with customers and is the unit of account under Topic 606. The Company accounts for services rendered and rentals provided separately if they are distinct and the service or rental is separately identifiable from other items provided to a customer and if a customer can benefit from the services rendered or rentals provided on its own or with other resources that are readily available to the customer. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. A contract’s standalone selling prices are determined based on the prices that the Company charges for its services rendered, rentals provided and products sold. The majority of the Company’s performance obligations are satisfied over time, which is generally represented by a period of 30 days or less. The Company’s payment terms vary by the type of products or services offered. The term between invoicing and when the payment is due is typically 30 days.

Services revenue: primarily represents amounts charged to customers for the completion of services rendered, including labor, products and supplies necessary to perform the service. Rates for these services vary depending on the type of services provided and can be based on a per job, per hour or per day basis.

Rentals revenue: primarily priced on a per day, per man hour or similar basis and consists of fees charged to customers for use of the Company’s rental equipment over the term of the rental period, which is generally less than twelve months.

Product sales: products are generally sold based upon purchase orders or contracts within the Company’s customers that include fixed or determinable prices but do not include right of return provisions or other significant post-delivery obligations. The Company recognizes revenue from product sales when title passes to the customer, the customer assumes risks and rewards of ownership, collectability is reasonably assured and delivery occurs as directed by the customer.

The Company expenses sales commissions when incurred because the amortization period would have been one year or less.

Disaggregation of revenue

The following table presents the Company’s revenues by segment disaggregated by geography (in thousands):



	Years Ended December 31,
		2019		2018		2017
U.S. land
Drilling Products and Services	$	178,345	$	176,448	$	117,856
Onshore Completion and Workover Services		341,297		406,248		366,636
Production Services		138,300		195,363		151,632
Technical Solutions		40,363		31,137		34,283
Total U.S. land	$	698,305	$	809,196	$	670,407

U.S. offshore
Drilling Products and Services	$	125,104	$	100,855	$	91,507
Onshore Completion and Workover Services		-		-		-
Production Services		73,610		66,512		74,033
Technical Solutions		141,851		160,507		161,766
Total U.S. offshore	$	340,565	$	327,874	$	327,306

International
Drilling Products and Services	$	108,124	$	106,416	$	84,327
Onshore Completion and Workover Services		-		-		-
Production Services		193,920		156,650		147,116
Technical Solutions		84,455		78,721		76,373
Total International	$	386,499	$	341,787	$	307,816
Total Revenues	$	1,425,369	$	1,478,857	$	1,305,529

The following table presents the Company’s revenues by segment disaggregated by type (in thousands):



	Years Ended December 31,
		2019		2018
Services
Drilling Products and Services	$	69,958	$	54,997
Onshore Completion and Workover Services		303,542		364,500
Production Services		348,168		352,590
Technical Solutions		163,584		160,942
Total services	$	885,252	$	933,029

Rentals
Drilling Products and Services	$	291,975	$	281,750
Onshore Completion and Workover Services		37,755		41,748
Production Services		32,402		36,568
Technical Solutions		14,115		20,230
Total rentals	$	376,247	$	380,296

Product Sales
Drilling Products and Services	$	49,640	$	46,972
Onshore Completion and Workover Services		-		-
Production Services		25,260		29,367
Technical Solutions		88,970		89,193
Total product sales	$	163,870	$	165,532
Total Revenues	$	1,425,369	$	1,478,857