Reportable Segments

6 Months Ended

Jun. 30, 2020

Reportable Segments

Reportable Segments

Note 17—Reportable Segments

We segregate our business into five reportable segments: the Power segment, the Pipeline segment, the Utilities segment, the Transmission segment, and the Civil segment. Each of our reportable segments is comprised of similar business units that specialize in services unique to the segment. Driving the end-user focused segments are differences in the economic characteristics of each segment, the nature of the services provided by each segment; the production processes of each segment; the type or class of customer using the segment’s services; the methods used by the segment to provide the services; and the regulatory environment of each segment’s customers.

The classification of revenue and gross profit for segment reporting purposes can at times require judgment on the part of management. Our segments may perform services across industries or perform joint services for customers in multiple industries. To determine reportable segment gross profit, certain allocations, including allocations of shared and indirect costs, such as facility costs, equipment costs and indirect operating expenses, were made.

The following is a brief description of the reportable segments:

The Power segment operates throughout the United States and in Canada and specializes in a range of services that include engineering, procurement, and construction, retrofits, upgrades, repairs, outages, and maintenance services for entities in the petroleum and petrochemical industries, as well as traditional and renewable power generators.

The Pipeline segment operates throughout the United States and specializes in a range of services, including pipeline construction and maintenance, pipeline facility and integrity services, installation of compressor and pump stations, and metering facilities for entities in the petroleum and petrochemical industries, as well as gas, water, and sewer utilities.

The Utilities segment operates primarily in California, the Midwest, the Atlantic Coast, and the Southeast regions of the United States and specializes in a range of services, including installation and maintenance of new and existing natural gas utility distribution systems and pipeline integrity services for entities in the gas utility market.

The Transmission segment operates primarily in the Southeastern, Midwest, Atlantic Coast, and Gulf Coast regions of the United States and specializes in a range of services, including installation and maintenance of new and existing electric utility transmission, substation, and distribution systems for entities in the electric utility market.

The Civil segment operates primarily in the Southeastern and Gulf Coast regions of the United States and specializes in highway and bridge construction, airport runway construction, demolition, site work, soil stabilization, mass excavation, flood control, and drainage projects for entities in the petroleum and petrochemical industries, state and municipal departments of transportation, and airports.

All intersegment revenue and gross profit, which was immaterial, has been eliminated in the following tables. Total assets by segment is not presented as our Chief Operating Decision Maker as defined by ASC 280 does not review or allocate resources based on segment assets.

Segment Revenue

Revenue by segment was as follows (in thousands):

	For the three months ended June 30,
	2020			2019
			% of			% of
			Total			Total
Segment	Revenue		Revenue	Revenue		Revenue
Power	$	157,476	17.3%	$	172,170	21.8%
Pipeline		289,559	31.9%		137,243	17.4%
Utilities		230,175	25.4%		222,312	28.1%
Transmission		109,948	12.1%		135,354	17.1%
Civil		121,058	13.3%		122,850	15.6%
Total	$	908,216	100.0%	$	789,929	100.0%

	For the six months ended June 30,
	2020			2019
			% of			% of
			Total			Total
Segment	Revenue		Revenue	Revenue		Revenue
Power	$	353,669	21.4%	$	317,553	21.9%
Pipeline		481,082	29.1%		272,057	18.7%
Utilities		377,345	22.9%		368,518	25.4%
Transmission		212,732	12.9%		253,797	17.5%
Civil		226,631	13.7%		239,562	16.5%
Total	$	1,651,459	100.0%	$	1,451,487	100.0%

Segment Gross Profit

Gross profit by segment was as follows (in thousands):

	For the three months ended June 30,
	2020			2019
			% of			% of
			Segment			Segment
Segment	Gross Profit		Revenue	Gross Profit		Revenue
Power	$	6,703	4.3%	$	23,167	13.5%
Pipeline		27,030	9.3%		11,531	8.4%
Utilities		42,392	18.4%		30,866	13.9%
Transmission		13,445	12.2%		10,200	7.5%
Civil		11,397	9.4%		4,767	3.9%
Total	$	100,967	11.1%	$	80,531	10.2%

	For the six months ended June 30,
	2020			2019
			% of			% of
			Segment			Segment
Segment	Gross Profit		Revenue	Gross Profit		Revenue
Power	$	25,385	7.2%	$	43,365	13.7%
Pipeline		43,522	9.0%		26,547	9.8%
Utilities		46,994	12.5%		39,107	10.6%
Transmission		15,157	7.1%		16,828	6.6%
Civil		17,719	7.8%		7,144	3.0%
Total	$	148,777	9.0%	$	132,991	9.2%

Segment Goodwill

The amount of goodwill recorded by each segment at June 30, 2020 and at December 31, 2019 is presented in Note 6 – “Goodwill and Intangible Assets”.

Geographic Region — Revenue and Total Assets

The majority of our revenue is derived from customers in the United States with approximately 3.3% and 5.0% generated from sources outside of the United States during the six months ended June 30, 2020 and 2019, respectively, principally in Canada. At June 30, 2020 and December 31, 2019, approximately 3.5% and 4.4%, respectively, of total assets were located outside of the United States, principally in Canada.