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Business Segment, Geographic and Major Customer Information
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Business Segment, Geographic and Major Customer Information Business Segment, Geographic and Major Customer Information
Segment Information
Operating segments are defined as components of an enterprise for which separate financial information is available that is regularly evaluated by the chief operating decision-maker in deciding how to allocate resources and assess performance. The operations of the Company are categorized into the following reportable segments:
Chemistry Technologies. The CT segment includes green specialty chemistries, logistics and technology services, which enable its customers to pursue improved efficiencies and performance throughout the life cycle of their wells, helping customers improve their ESG and operational goals. Customers of the CT segment include major integrated oil and gas companies, oilfield services companies, independent oil and gas companies, national and state-owned oil companies, and international supply chain management companies.

Data Analytics. The DA segment includes the design, development, production, sale and support of equipment and services that create and provide valuable information on the composition and properties of energy customers’ hydrocarbon fluids. The company markets products and services that support in-line data analysis of hydrocarbon components and properties. Customers of the DA segment span across the entire oil and gas market, from upstream production to midstream facilities to refineries and distribution networks

Performance is based upon a variety of criteria. The primary financial measure is segment operating income (loss). Various functions, including certain sales and marketing activities and general and administrative activities, are provided centrally by the corporate office. Costs associated with corporate office functions, other corporate income and expense items, and income taxes are not allocated to the reportable segment.
Summarized financial information of the reportable segments is as follows (in thousands):
As of and for the three months ended March 31,
Chemistry Technologies
Data Analytics
Corporate and OtherTotal
2023
Revenue from external customers
Products$8,561 $1,941 $— $10,502 
Services664 486 — 1,150 
Total revenue from external customers9,225 2,427 — 11,652 
Revenue from related party— 
Products36,265 — — 36,265 
Services— 90 — 90 
Total revenue from related parties36,265 90 — 36,355 
Gross profit434 1,446 — 1,880 
Change in fair value of Contract Consideration Convertible Notes Payable(26,095)— — (26,095)
Income (loss) from operations23,379 457 (5,325)18,511 
Paid-in-kind interest on Contract Consideration Convertible Notes Payable1,416 — — 1,416 
Paid-in-kind interest on convertible notes payable— — 155 155 
Depreciation157 18 1 176 
Additions to long-lived assets30 95 32 157 
2022
Revenue from external customers
Products$8,909 $793 $— $9,702 
Services402 278 — 680 
Total revenue from external customers9,311 1,071 — 10,382 
Revenue from related party
Products2,497 — — 2,497 
Services— — — — 
Total revenue from related parties2,497 — — 2,497 
Gross profit (loss)(662)183 — (479)
Change in fair value of Contract Consideration Convertible Notes Payable3,892 — — 3,892 
Loss from operations(6,057)(808)(3,419)(10,284)
Paid-in-kind interest on Contract Consideration Convertible Notes Payable158 — — 158 
Paid-in-kind interest on convertible notes payable— — 327 327 
Depreciation178 16 1 195 
Additions to long-lived assets— — — — 
Assets of the Company by reportable segments are as follows (in thousands):
March 31, 2023December 31, 2022
Chemistry Technologies$142,033 $146,542 
Data Analytics7,308 5,645 
Corporate and Other14,047 12,623 
Total assets$163,388 $164,810 

Geographic Information
Revenue by country is based on the location where services are provided and products are sold. For the three months ended March 31, 2023 no individual countries other than the U.S. accounted for more than 10% of revenue. For the three months ended March 31, 2022 no individual countries other than the U.S. and the United Arab Emirates (“UAE”) accounted for more than 10% of revenue. Revenue by geographic location is as follows (in thousands):
 Three months ended March 31,
 20232022
U.S. (1)$46,126 $10,334 
UAE1,403 1,311 
Other countries478 1,234 
Total revenue$48,007 $12,879 
(1) Includes revenue from related party
Long-lived assets held in countries other than the U.S. are not considered material to the consolidated financial statements.
Major Customers
Revenue from major customers, as a percentage of consolidated revenue, is as follows (in thousands):
Three months ended March 31,Revenue% of Total Revenue
2023
Customer A (Related Party)$36,355 75.7 %
2022
Customer B$2,607 20.2 %
Customer C (Related Party)1,389 10.8 %
 The concentration with ProFrac Services, LLC and in the oil and gas industry increases credit, commodity and business risk.

Major Suppliers
Expenditure with major suppliers, as a percentage of consolidated supplier expenditure, is as follows (in thousands):
Expenditure% of Total Expenditure
Three months ended March 31,
2023
Supplier A$16,954 40.1 %
Supplier B7,145 16.9 %
Supplier C4,504 10.6 %
2022
Supplier B2,117 27.0 %
Supplier D933 11.9 %