v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information

19. SEGMENT INFORMATION

Historically, the Company had six operating units that aggregate into three reportable segments: Assessment, Permitting and Response, Measurement and Analysis, and Remediation and Reuse. Effective in the first quarter of 2026, the Company realigned its reportable segments to reflect updates made to its organizational structure and operating model. As a result of these changes, the Company now manages two reportable segments, namely Consulting and Treatment and Measurement and Analysis. Specifically, the Assessment, Permitting and Response segment and Remediation and Reuse segment were aggregated into the new Consulting and Treatment segment based on their similar characteristics, including similar long-term financial performance, the nature of services provided, internal processes for delivering those services, and types of customers. The Company's Measurement and Analysis and corporate segments were not affected by the realignment.

These segments are monitored separately by management for performance against budget and prior year and are consistent with internal financial reporting. The Company’s operating segments are organized based upon primary services provided, the nature of the production process, types of customers, methods used to distribute the products, and the nature of the regulatory environment. Refer to Note 1 for description of each reportable segment.

The Company's Chief Executive Officer, who serves as the Chief Operating Decision Maker (CODM), reviews Segment Adjusted EBITDA in the annual budget and forecasting process. The CODM considers budget-to-actual variances on a quarterly basis when making decisions about the allocation of Company resources depending on the needs of each segment and the availability of resources. Segment Adjusted EBITDA is the calculated Company’s Earnings before Interest, Tax, Depreciation and Amortization (EBITDA), adjusted to exclude certain transactions such as stock-based compensation, acquisition costs, and fair value changes in financial instruments, amongst others. The CODM does not review segment assets or expenses as a measure of segment performance. Effective in the first quarter of 2026, the Company updated its reportable segments to reflect changes in its organizational structure and operating model described above. Accordingly, the Company’s updated segments represent the

components whose operating results are regularly reviewed by the CODM to make decisions about the allocation of resources and to assess performance.

Corporate and Other includes costs associated with general corporate overhead (including executive, legal, finance, safety, human resources, marketing and IT related costs) that are not directly related to supporting operations. Overhead costs that are directly related to supporting operations (such as insurance, software, licenses, shared services and payroll processing costs) are allocated to the operating segments on a basis that reasonably approximates an estimate of the use of these services, and are included in Other Segment Items in the tables below.

The following table presents Segment Revenues, Other Segment Items and Segment Adjusted EBITDA, with prior period information recast to reflect the above change in segment reporting:

 

 

Three Months Ended June 30,

 

 

 

2026

 

 

2025

 

(in thousands)

 

Segment Revenues

 

 

Other Segment Items(1)

 

 

Segment Adjusted EBITDA

 

 

Segment Revenues

 

 

Other Segment Items(1)

 

 

Segment Adjusted EBITDA

 

Consulting and Treatment

 

$

125,597

 

 

$

97,712

 

 

$

27,885

 

 

$

171,748

 

 

$

134,163

 

 

$

37,585

 

Measurement and Analysis

 

 

61,064

 

 

 

45,087

 

 

 

15,977

 

 

 

62,795

 

 

 

44,497

 

 

 

18,298

 

Total Reportable Segments

 

$

186,661

 

 

 

 

 

$

43,862

 

 

$

234,543

 

 

 

 

 

$

55,883

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

(in thousands)

 

Segment Revenues

 

 

Other Segment Items(1)

 

 

Segment Adjusted EBITDA

 

 

Segment Revenues

 

 

Other Segment Items(1)

 

 

Segment Adjusted EBITDA

 

Consulting and Treatment

 

$

240,184

 

 

$

192,166

 

 

$

48,018

 

 

$

290,552

 

 

$

236,468

 

 

$

54,084

 

Measurement and Analysis

 

 

114,995

 

 

 

89,081

 

 

 

25,914

 

 

 

121,825

 

 

 

89,754

 

 

 

32,071

 

Total Reportable Segments

 

$

355,179

 

 

 

 

 

$

73,932

 

 

$

412,377

 

 

 

 

 

$

86,155

 

__________________________

(1) Other Segment Items for each reportable segment represents the difference between Segment Revenues and Segment Adjusted EBITDA and primarily includes cost of revenues, selling, general and administrative expense, and other income (expense), net. The CODM uses consolidated expense information as presented in the Consolidated Statement of Operations and Comprehensive Loss to manage operations and is not regularly provided disaggregated Other Segment Items at the individual segment level.

Presented below is a reconciliation of the Company’s segment measure to income (loss) before expense from income taxes:

 

 

For the Three Months Ended June 30,

 

 

For the Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Total Reportable Segments

 

$

43,862

 

 

$

55,883

 

 

$

73,932

 

 

$

86,155

 

Corporate and Other

 

 

(11,982

)

 

 

(16,298

)

 

 

(24,229

)

 

 

(27,540

)

Interest expense, net

 

 

(5,471

)

 

 

(4,768

)

 

 

(10,937

)

 

 

(9,833

)

Depreciation and amortization

 

 

(12,704

)

 

 

(12,763

)

 

 

(25,333

)

 

 

(26,057

)

Stock-based compensation

 

 

(9,618

)

 

 

(10,834

)

 

 

(18,691

)

 

 

(24,557

)

Acquisition costs(1)

 

 

(137

)

 

 

(325

)

 

 

(218

)

 

 

(1,036

)

Fair value changes in financial instruments(2)

 

 

532

 

 

 

9,256

 

 

 

1,242

 

 

 

8,040

 

Fair value changes in business acquisition contingencies

 

 

(141

)

 

 

(354

)

 

 

697

 

 

 

(831

)

Rebranding expenses

 

 

(1,422

)

 

 

—

 

 

 

(2,523

)

 

 

—

 

Other losses or expenses(3)

 

 

(1,207

)

 

 

(453

)

 

 

(2,615

)

 

 

(1,485

)

Income (loss) before expense from income taxes

 

$

1,712

 

 

$

19,344

 

 

$

(8,675

)

 

$

2,856

 

__________________________

(1) Includes financial and tax diligence, consulting, legal, valuation, accounting, travel and acquisition-related incentives related to the Company's acquisition and integration activity.

(2) The three and six months ended June 30, 2026 consist primarily of the change in fair value of the interest rate swap instruments. The three and six months ended June 30, 2025 consist primarily of the change in fair value of the interest rate swap instruments and the embedded derivative attached to the Series A-2 preferred stock.

(3) The three and six months ended June 30, 2026 consist primarily of severance costs related to organizational restructuring of business lines within the Company's former Assessment, Permitting and Response and Remediation and Reuse segments and IT migration costs. The three and six months ended June 30, 2025 consist primarily of non-recurring costs incurred to restructure the Company's renewable energy business, third party expenses associated with the independent review and analysis of assertions in a short seller report regarding the Company, and costs to centralize certain back-office functions.

The following table presents revenues by geographic location:

 

 

For the Three Months Ended June 30,

 

 

For the Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

United States

 

$

150,743

 

 

$

199,011

 

 

$

285,777

 

 

$

344,947

 

Canada

 

 

27,131

 

 

 

27,699

 

 

 

52,915

 

 

 

52,348

 

Other international

 

 

8,787

 

 

 

7,833

 

 

 

16,487

 

 

 

15,082

 

Total revenue

 

$

186,661

 

 

$

234,543

 

 

$

355,179

 

 

$

412,377

 

The following table presents long-lived assets by geographic location:

 

 

June 30,

 

 

December 31,

 

 

 

2026

 

 

2025

 

United States

 

$

61,396

 

 

$

58,590

 

Canada

 

 

3,876

 

 

 

4,311

 

Other international

 

 

985

 

 

 

952

 

Total property and equipment—net

 

$

66,257

 

 

$

63,853