Segment Information

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company evaluates and reviews its results of operations based on two reporting segments: E&P Technology & Services and Operations Optimization. Refer to Item 2. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” for information about each business segment’s business, products and services.

The segments represent components of the Company for which separate financial information is available that is utilized on a regular basis by the Chief Operating Decision Maker in determining how to allocate resources and evaluate performance. The Company measures segment operating results based on income (loss) from operations.

The following table is a summary of segment information (in thousands):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020			2019			2020				2019
Net revenues:
E&P Technology & Services:
New Venture	$	1,213		$	5,905		$	7,340			$	24,394
Data Library	5,085			27,288			52,083				55,030
Total multi-client revenues	6,298			33,193			59,423				79,424
Imaging and Reservoir Services	3,795			7,048			12,410				16,443
Total	10,093			40,241			71,833				95,867
Operations Optimization:
Optimization Software & Services	3,007			6,895			10,811				17,648
Devices	3,134			6,103			12,735				18,455
Total	6,141			12,998			23,546				36,103
Total net revenues	$	16,234		$	53,239		$	95,379			$	131,970
Gross profit (loss):
E&P Technology & Services	$	(1,092)		$	18,316		$	24,902			$	36,113
Operations Optimization	2,381			6,972			9,315				18,670
Total gross profit	$	1,289		$	25,288		$	34,217			$	54,783
Gross margin:
E&P Technology & Services	(11)		%	46		%	35		%		38		%
Operations Optimization	39		%	54		%	40		%		52		%
Total gross margin	8		%	47		%	36		%		42		%
Income (loss) from operations:
E&P Technology & Services	$	(4,591)		$	11,878		$	13,803		(a)	$	15,500
Operations Optimization	(232)			2,994			(3,965)			(b)	5,808
Support and other	(6,341)			(11,014)			(20,148)				(35,940)
Income (loss) from operations	(11,164)			3,858			(10,310)				(14,632)
Interest expense, net	(3,669)			(3,155)			(10,304)				(9,378)
Other income (expense), net	(525)			(242)			6,675			(c)	(938)
Income (loss) before income taxes	$	(15,358)		$	461		$	(13,939)			$	(24,948)

(a)     Includes impairment of multi-client data library of $1.2 million for the nine months ended September 30, 2020.

(b)     Includes impairment of goodwill of $4.2 million for the nine months ended September 30, 2020.

(c)     Includes amortization of the government relief funding expected to be forgiven of $6.9 million for the nine months ended September 30, 2020.

Intersegment sales are insignificant for all periods presented