Financial Analysis

Commitments and Contingencies The Company is a party to various pending or threatened claims, lawsuits and administrative proceedings seeking damages or other remedies concerning its commercial operations, products, employees and other matters. Although the Company can give no assurance about the outcome of pending legal and administrative proceedings and the effect such outcomes may have on the Company, management believes that any ultimate liability resulting from the outcome of such proceedings, to the extent not otherwise covered by insurance, will not have a material adverse effect on the Companys consolidated financial position, results of operations or liquidity . …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

Long-term Debt As of June 30, 2026 and December 31, 2025, long-term debt consisted of the following (in thousands): June 30, 2026 December 31, 2025 Revolving Credit Facility (1) $ 16,392 $ Term Loan Facility (1) 2026 Notes (2) 52,650 Other debt and finance lease obligations 2,036 2,390 Total debt 18,428 55,040 Less: Current portion (650) (53,370) Total long-term debt $ 17,778 $ 1,670 ____________________ (1) Presented net of $2.2 million of unamortized deferred financing costs as of June 30, 2026. Unamortized deferred financing costs of $1.0 million as of December 31, 2025 are presented in other noncurrent assets. (2) The outstanding principal amount of the 2026 Notes was $52.7 million as of December 31, 2025 . Credit Agreements Cash Flow Credit Agreement On January 28, 2026, the Company entered into a four-year amended and restated credit agreement (the Cash Flow Credit Agreement) among the Company, Wells Fargo Bank, National Association as administrative agent and the lenders and other financial institutions from time to time party thereto. The Cash Flow Credit Agreement replaced the Companys existing ABL Agreement (discussed below). The Cash Flow Credit Agreement provides for credit facilities with total original commitments of $125.0 million, consisting of a $75.0 million revolving credit facility (including a $40.0 million sub-limit for the issuance of letters of credit) (the Revolving Credit Facility) and a $50.0 million multi-draw term loan facility, which was availabl …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following tables provide supplemental disaggregated revenue from contracts with customers by operating segment for the three and six months ended June 30, 2026 and 2025 (in thousands): Offshore Manufactured Products Completion and Production Services Downhole Technologies Total 2026 2025 2026 2025 2026 2025 2026 2025 Three Months Ended June 30 Project-driven: Products $ 51,954 $ 68,653 $ $ $ $ $ 51,954 $ 68,653 Services 32,420 27,907 32,420 27,907 Total project-driven 84,374 96,560 84,374 96,560 Military and other products 8,350 10,026 8,350 10,026 Short-cycle products and services 24,274 29,424 39,661 29,396 63,935 58,820 $ 92,724 $ 106,586 $ 24,274 $ 29,424 $ 39,661 $ 29,396 $ 156,659 $ 165,406 Offshore Manufactured Products Completion and Production Services Downhole Technologies Total 2026 2025 2026 2025 2026 2025 2026 2025 Six Months Ended June 30 Project-driven: Products $ 103,841 $ 127,777 $ $ $ $ $ 103,841 $ 127,777 Services 63,130 52,331 63,130 52,331 Total project-driven 166,971 180,108 166,971 180,108 Military and other products 17,172 19,074 17,172 19,074 Short-cycle products and services 45,772 63,943 72,107 62,219 117,879 126,162 $ 184,143 $ 199,182 $ 45,772 $ 63,943 $ 72,107 $ 62,219 $ 302,022 $ 325,344 …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

Long-Term Incentive Compensation The following table presents a summary of activity for service-based restricted stock and stock unit awards, and performance-based stock unit awards for the six months ended June 30, 2026 (in thousands): Service-based Restricted Stock Performance- and Service-based Stock Units Outstanding December 31, 2025 2,159 834 Granted 1,290 159 Vested and distributed (1,019) (139) Forfeited (317) Outstanding June 30, 2026 2,113 854 Weighted average grant date fair value (2026 awards) $ 10.32 $ 9.89 The restricted stock program consists of a combination of service-based restricted stock and stock units, as well as performance-based stock units. Service-based restricted stock awards generally vest on a straight-line basis over a term of three years. Service-based stock unit awards (197 thousand outstanding as of June 30, 2026) vest over one year, with the underlying shares issued at a specified future date. Performance-based stock unit awards generally vest at the end of a three-year period, with the number of shares ultimately issued under the program dependent upon achievement of predefined specific performance objectives based on the Companys cumulative EBITDA over a three-year period. In the event the predefined targets are exceeded for any performance-based award, additional shares up to a maximum of 200% of the target award may be granted. Conversely, if actual performance falls below the predefined target, the number of shares vested is reduced. If …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value Measurements The Companys financial instruments consist of cash and cash equivalents, investments, receivables, payables and debt instruments. The Company believes that the carrying values of these instruments, other than the 2026 Notes as of December 31, 2025, on the accompanying consolidated balance sheets approximate their fair values. …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Income Taxes Income tax provision for the three and six months ended June 30, 2026 and 2025 was calculated using a discrete approach. This methodology was used because changes in the Companys results of operations and non-deductible expenses can materially impact the estimated annual effective tax rate. For the three months ended June 30, 2026, the Companys income tax expense was $2.0 million, which included the impact of changes in valuation allowances recorded against deferred tax assets, certain discrete tax items and other non-deductible expenses, on pre-tax income of $7.9 million. This compares to an income tax expense of $1.4 million, which included the impact of changes in valuation allowances recorded against deferred tax assets, certain discrete tax items and other non-deductible expenses, on pre-tax income of $4.2 million for the three months ended June 30, 2025. For the six months ended June 30, 2026, the Companys income tax expense was $4.2 million, which included the impact of changes in valuation allowances recorded against deferred tax assets, certain discrete tax items and other non-deductible expenses, on pre-tax income of $11.2 million. This compares to an income tax expense of $2.5 million, which included the impact of changes in valuation allowances recorded against deferred tax assets, certain discrete tax items and other non-deductible expenses, on pre-tax income of $8.4 million for the six months ended June 30, 2025. …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Segments and Related Information The Company operates through three operating segments: Offshore Manufactured Products, Completion and Production Services and Downhole Technologies. Financial information by operating segment as of and for the three and six months ended June 30, 2026 and 2025 is summarized in the following tables (in thousands). Three Months Ended June 30, 2026 Offshore Manufactured Products Completion and Production Services Downhole Technologies Corporate (1) Total Revenues $ 92,724 $ 24,274 $ 39,661 $ $ 156,659 Costs and expenses: Cost of revenues (exclusive of depreciation and amortization expense presented below) 66,847 17,191 33,913 117,951 Selling, general and administrative expense 8,675 1,450 1,550 11,452 23,127 Depreciation and amortization expense 3,932 2,434 1,506 189 8,061 Impairments of assets held for sale Other operating (income) expense net (666) (718) (45) (2,763) (4,192) 78,788 20,357 36,924 8,878 144,947 Operating income (loss) $ 13,936 $ 3,917 $ 2,737 $ (8,878) $ 11,712 Capital expenditures $ 743 $ 1,560 $ 305 $ 304 $ 2,912 ________________ (1) Operating loss included a $4.1 million gain associated with the sale of a previously idled facility held for sale, $1.4 million of facility exit charges associated with assets held for sale (both within other operating (income) expense, net), and $1.7 million in executive transition costs (within selling, general and administrative expenses). Six Months Ended June 30, 2026 Offshore Manufactured Prod …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Stockholders Equity Common and Preferred Stock The following table provides details with respect to the changes to the number of shares of common stock, $0.01 par value, outstanding during the first six months of 2026 (in thousands): Outstanding Shares of common stock outstanding December 31, 2025 59,656 Restricted stock awards, net of forfeitures 1,112 Issuance of common stock to extinguish 4.75% convertible senior notes 529 Shares withheld for taxes on vesting of stock awards (370) Purchases of common stock (584) Shares of common stock outstanding June 30, 2026 60,343 As further discussed in Note 4, Long-term Debt, on April 1, 2026 the Company issued 529,428 shares of common stock in connection with the retirement of its 2026 Notes. As of June 30, 2026 and December 31, 2025, the Company had 25,000,000 shares of preferred stock, $0.01 par value, authorized, with no shares issued or outstanding. In October 2024, the Companys Board of Directors authorized $50.0 million for repurchases of the Companys common stock, par value $0.01 per share, through October 2026. Subject to applicable securities laws, such purchases will be at such times and in such amounts as the Company deems appropriate. During the six months ended June 30, 2026, the Company purchased 583,541 shares of common stock under the program at a total cost of $5.1 million. The amount remaining under the Companys share repurchase authorization as of June 30, 2026 was $19.6 million. Accumulated Other Comprehensive Los …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing