v3.26.1
Segments
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segments
15. Segments
The Company manages its business through two operating segments: Contract Services and Other Services. Contract Services consists of operating Company-owned compression, customer-owned compression, and gas treating and cooling infrastructure, pursuant to fixed-revenue contracts, to enable the production, gathering and transportation of natural gas and oil. Other Services consists of a broad range of services to support ancillary needs of customers, including station construction, maintenance and overhaul, freight and crane charges, and other time and material-based offerings.
Our Chief Executive Officer, also our chief operating decision maker (“CODM”), assesses the performance of each segment based on adjusted gross margin. This metric is calculated by subtracting specific costs of service, such as cost of operations, from revenues directly attributable to the segment. Adjusted gross margin is a key tool used by the CODM for annual budgeting, monthly forecasting, and determining how to allocate capital and resources across the segments.
The following tables represent financial metrics by segment:
(in thousands)Contract
Services		Other
Services		Total
Three Months Ended March 31, 2026
Revenue$306,985 $38,774 $345,759 
Cost of operations (exclusive of depreciation and amortization)90,259 32,619 122,878 
Adjusted gross margin216,726 6,155 222,881 
Total assets4,458,718 35,924 4,494,642 
Capital expenditures (1)
118,370 — 118,370 
Three Months Ended March 31, 2025
Revenue$288,956 $40,686 $329,642 
Cost of operations (exclusive of depreciation and amortization)93,235 35,226 128,461 
Adjusted gross margin195,721 5,460 201,181 
Total assets4,384,989 51,133 4,436,122 
Capital expenditures77,553 — 77,553 
The following table reconciles adjusted gross margin to income before income taxes:
Three Months Ended
March 31,
(in thousands)
20262025
Adjusted gross margin:
Contract Services$216,726 $195,721 
Other Services6,155 5,460 
Depreciation and amortization (2)
(68,681)(70,529)
Selling, general and administrative expenses(46,127)(32,255)
Loss on sale of assets(1,261)(9,211)
Interest expense(48,741)(47,224)
Loss on extinguishment of debt(36,512)— 
Other expense, net(939)(402)
Income before income taxes$20,620 $41,560 
(1)
Capital expenditures include an $18.0 million investment in power generation infrastructure to support our recently acquired power distribution business. See Note 17. Subsequent Events for details.
(2)
All depreciation and amortization is related to the Contract Services segment.