Revenue from Contracts with Customers (Tables)

12 Months Ended

Dec. 31, 2022

Revenue from Contract with Customer [Abstract]

Summary of Information about Receivables, Contract Assets and Contract Liabilities from Contracts with Customers

The following table provides information about receivables, contract assets and contract liabilities from our contracts with customers (in thousands):

	December 31,
	2022			2021
Trade receivables	$	155,956		$	130,021
Current contract assets (1)		141			1,835
Noncurrent contract assets (1)		—			—
Current contract liabilities (deferred revenue) (1)		(11,513	)		(38,506	)
Noncurrent contract liabilities (deferred revenue) (1)		(487	)		(9,787	)

(1)Contract assets and contract liabilities may reflect balances that have been netted together on a contract basis. Net current contract asset and liability balances are included in “Prepaid expenses and other current assets” and “Accrued liabilities,” respectively, and net noncurrent contract asset and liability balances are included in “Other assets” and “Other liabilities,” respectively, in our Consolidated Balance Sheets as of December 31, 2022 and 2021.

Summary of Significant Changes in Net Contract Assets and Contract Liabilities Balances

Significant changes in net contract assets and the contract liabilities balances during the period are as follows (in thousands):

	Successor						Predecessor
	December 31,			April 24, 2021 through			January 1, 2021 through			December 31,
	2022			December 31, 2021			April 23, 2021			2020
Contract assets, beginning of period	$	1,835		$	418		$	2,870		$	6,314
Contract liabilities, beginning of period		(48,293	)		—			(56,927	)		(48,104	)
Net balance at beginning of period		(46,458	)		418			(54,057	)		(41,790	)
Decrease due to amortization of revenue that was    included in the beginning contract liabilities balance		26,909			—			15,341			35,231
Increase due to cash received, excluding amounts    recognized as revenue during the period		(2,445	)		(48,293	)		(22,553	)		(44,081	)
Increase due to revenue recognized during the    period but contingent on future performance		6,619			1,417			1,442			4,748
Decrease due to transfer to receivables during the    period		(8,312	)		—			(700	)		(7,466	)
Write-off of deferred revenue due to application of fresh start accounting		—			—			60,945			—
Adjustments (1)		11,828			—			—			(699	)
Net balance at end of period	$	(11,859	)	$	(46,458	)	$	418		$	(54,057	)
Contract assets at end of period	$	141		$	1,835		$	418		$	2,870
Contract liabilities at end of period		(12,000	)		(48,293	)		—			(56,927	)

(1) Upon commencement of drilling operations, the MMSA for the managed rigs was suspended and replaced by a charter agreement for the duration of the contract. As a result, we reclassified $11.1 million previously recorded as a contract liability to “Contract advances,” which was reported as a component of “Accrued liabilities” in our Consolidated Balance Sheet at December 31, 2022.

Summary of Revenue Expected to be Recognized in Future Related to Unsatisfied Performance Obligations

The following table reflects revenue expected to be recognized in the future related to unsatisfied performance obligations as of December 31, 2022 (in thousands):

	For the Years Ending December 31,
	2023			2024		Total
Mobilization and contract    preparation revenue	$	6,352		$	225	$	6,577
Capital modification revenue		5,138			287		5,425
Demobilization and other deferred revenue		(164	)		—		(164	)
Total	$	11,326		$	512	$	11,838