KEY ENERGY SERVICES INC

CIK:0000318996|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
REVENUES	$ 42,911	$ 106,523	$ 152,969	$ 328,739
COSTS AND EXPENSES:
Direct operating expenses	33,556	87,956	125,121	266,714
Depreciation and amortization expense	7,107	14,584	25,387	43,142
General and administrative expenses	12,269	21,375	41,159	66,014
Impairment expense	0	0	41,242	0
Operating loss	(10,021)	(17,392)	(79,940)	(47,131)
Gain on debt restructuring	0	0	(170,648)	0
Interest expense, net of amounts capitalized	2,238	8,411	12,525	26,164
Other income, net	(8,362)	(351)	(8,762)	(1,732)
Income (loss) before income taxes	(3,897)	(25,452)	86,945	(71,563)
Income tax benefit (expense)	1	(37)	(972)	4,330
NET INCOME (LOSS)	$ (3,896)	$ (25,489)	$ 85,973	$ (67,233)
Income (loss) per share:
Basic (in dollars per share)	$ (0.28)	$ (62.32)	$ 8.14	$ (164.79)
Diluted (in dollars per share)	$ (0.28)	$ (62.32)	$ 8.08	$ (164.79)
Weighted average shares outstanding:
Basic (in shares)	13,781	409	10,562	408
Diluted (in shares)	13,781	409	10,638	408

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Statement of Cash Flows [Abstract]
Net income (loss)	$ 85,973	$ (67,233)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization expense	25,387	43,142
Impairment expense	41,242	0
Bad debt expense	1,156	538
Accretion of asset retirement obligations	128	126
Gain on debt restructuring	(170,648)	0
Amortization of deferred financing costs	451	346
Gain on disposal of assets, net	(1,280)	(3,785)
Share-based compensation	697	3,499
Changes in working capital:
Accounts receivable	23,502	6,469
Other current assets	11,906	5,224
Accounts payable, accrued interest and accrued expenses	(26,417)	(9,077)
Share-based compensation liability awards	1	5
Cash collateral	(22,400)	0
Other assets and liabilities	(11,364)	3,961
Net cash used in operating activities	(41,666)	(16,785)
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(1,220)	(16,483)
Proceeds from sale of assets	5,002	8,362
Net cash provided by (used in) investing activities	3,782	(8,121)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from long-term debt	30,000	0
Repayments of long-term debt	(6)	(1,875)
Repayments of finance lease obligations	(601)	(59)
Payment of deferred financing costs	(1,385)	(828)
Repurchases of common stock	(8)	(37)
Net cash provided by (used in) financing activities	28,000	(2,799)
Net decrease in cash, cash equivalents and restricted cash	(9,884)	(27,705)
Cash, cash equivalents, and restricted cash, beginning of period	14,676	50,311
Cash, cash equivalents, and restricted cash, end of period	$ 4,792	$ 22,606

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 4,542	$ 14,426
Restricted cash	250	250
Accounts receivable, net of allowance for doubtful accounts of $420 and $881, respectively	26,433	51,091
Inventories	13,415	13,565
Other current assets	10,504	22,260
Total current assets	55,144	101,592
Property and equipment	381,385	432,917
Accumulated depreciation	(219,626)	(205,352)
Property and equipment, net	161,759	227,565
Intangible assets, net	303	347
Other non-current assets	39,354	18,366
TOTAL ASSETS	256,560	347,870
Current liabilities:
Accounts payable	8,361	8,700
Current portion of long-term debt	1,089	2,919
Other current liabilities	52,160	90,715
Total current liabilities	61,610	102,334
Long-term debt	55,291	240,007
Workers’ compensation, vehicular and health insurance liabilities	26,617	26,072
Interest payable	14,913	0
Other non-current liabilities	20,436	30,710
Commitments and contingencies
Equity:
Common stock, $0.01 par value; 150,000,000 and 2,000,000 shares authorized, 13,781,347 and 410,990 outstanding	340	206
Additional paid-in capital	308,427	265,588
Retained deficit	(231,074)	(317,047)
Total equity	77,693	(51,253)
TOTAL LIABILITIES AND EQUITY	$ 256,560	$ 347,870