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BUSINESS SEGMENTS AND GEOGRAPHIC INFORMATION
 9 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
BUSINESS SEGMENTS AND GEOGRAPHIC INFORMATION
NOTE 12 BUSINESS SEGMENTS AND GEOGRAPHIC INFORMATION
Description of the Business
We are a performance-driven drilling solutions and technologies company based in Tulsa, Oklahoma with operations in all major U.S. onshore oil and gas producing basins as well as South America, the Middle East and Australia. Our drilling operations consist mainly of contracting Company-owned drilling equipment primarily to large oil and gas exploration companies. We believe we are the recognized industry leader in drilling as well as technological innovation. We focus on offering our customers an integrated solutions-based approach by combining proprietary rig technology, automation software, and digital expertise into our rig operations rather than a product-based offering, such as a rig or separate technology package. Our drilling services operations are organized into the following reportable operating business segments: North America Solutions, International Solutions, and Offshore Gulf of Mexico. 
Each reportable operating segment is a strategic business unit that is managed separately, and consolidated revenues and expenses reflect the elimination of all material intercompany transactions. Our real estate operations, our incubator program for new research and development projects, and our wholly-owned captive insurance companies are included in "Other." External revenues included in “Other” primarily consist of rental income.
Segment Performance
We evaluate segment performance based on income (segment operating income (loss)) before income taxes which includes:
•Revenues from external and internal customers
•Direct operating expenses
•Depreciation and amortization
•Research and development
•Allocated general and administrative expenses
•Asset impairment charges
but excludes gain on reimbursement of drilling equipment, other gain (loss) on sale of assets, corporate selling, general and administrative costs, and corporate depreciation.
General and administrative costs are allocated to the segments based primarily on specific identification and, to the extent that such identification is not practical, other methods may be used which we believe to be a reasonable reflection of the utilization of services provided.
Summarized financial information of our reportable segments for the three and nine months ended June 30, 2024 and 2023 is shown in the following tables:
Three Months Ended June 30, 2024
(in thousands)North America SolutionsInternational SolutionsOffshore Gulf of MexicoOtherEliminationsTotal
External sales$620,040 $47,882 $27,218 $2,584 $— $697,724 
Intersegment— — — 14,677 (14,677)— 
Total sales620,040 47,882 27,218 17,261 (14,677)697,724 
Segment operating income (loss)
$163,359 $(4,844)$5,010 $(4,791)$(616)$158,118 
Three Months Ended June 30, 2023
(in thousands)North America SolutionsInternational SolutionsOffshore Gulf of MexicoOtherEliminationsTotal
External sales$641,612 $48,692 $31,221 $2,431 $— $723,956 
Intersegment— — — 17,359 (17,359)— 
Total sales641,612 48,692 31,221 19,790 (17,359)723,956 
Segment operating income (loss)
$169,499 $(1,397)$4,705 $2,104 $4,470 $179,381 
Nine Months Ended June 30, 2024
(in thousands)North America SolutionsInternational SolutionsOffshore Gulf of MexicoOtherEliminationsTotal
External sales$1,827,661 $148,512 $78,662 $7,979 $— $2,062,814 
Intersegment— — — 45,649 (45,649)— 
Total sales1,827,661 148,512 78,662 53,628 (45,649)2,062,814 
Segment operating income (loss)
$454,979 $4,148 $8,140 $(2,073)$(1,054)$464,140 
Nine Months Ended June 30, 2023
(in thousands)North America SolutionsInternational SolutionsOffshore Gulf of MexicoOtherEliminationsTotal
External sales$1,944,555 $159,383 $101,364 $7,513 $— $2,212,815 
Intersegment— — — 51,423 (51,423)— 
Total sales1,944,555 159,383 101,364 58,936 (51,423)2,212,815 
Segment operating income $496,945 $4,132 $18,138 $13,604 $4,513 $537,332 
The following table reconciles segment operating income per the tables above to income before income taxes as reported on the Unaudited Condensed Consolidated Statements of Operations:
Three Months Ended
June 30,		Nine Months Ended
June 30,
(in thousands)2024202320242023
Segment operating income$158,118 $179,381 $464,140 $537,332 
Gain on reimbursement of drilling equipment9,732 10,642 24,687 37,940 
Other gain (loss) on sale of assets
(2,730)(4,504)(2,718)394 
Corporate selling, general and administrative costs and corporate depreciation(53,807)(36,777)(140,756)(107,496)
Operating income111,313 148,742 345,353 468,170 
Other income (expense)
Interest and dividend income11,888 10,748 29,189 20,508 
Interest expense(4,336)(4,324)(12,969)(12,918)
Gain (loss) on investment securities389 (18,538)102 6,123 
Other3,134 (672)2,991 (1,218)
Total unallocated amounts11,075 (12,786)19,313 12,495 
Income before income taxes$122,388 $135,956 $364,666 $480,665 
The following table reconciles segment total assets to total assets as reported on the Unaudited Condensed Consolidated Balance Sheets:
(in thousands)June 30, 2024September 30, 2023
Total assets1
North America Solutions$3,340,926 $3,320,203 
International Solutions526,030 407,143 
Offshore Gulf of Mexico75,885 73,319 
Other171,550 154,290 
4,114,391 3,954,955 
Investments and corporate operations370,591 427,001 
$4,484,982 $4,381,956 
(1)Assets by segment exclude investments in subsidiaries and intersegment activity.
The following table presents revenues from external customers by country based on the location of service provided:
Three Months Ended
June 30,		Nine Months Ended
June 30,
(in thousands)2024202320242023
Operating revenues
United States$648,816 $674,658 $1,911,122 $2,051,133 
Argentina38,064 32,388 107,964 101,712 
Colombia31 9,433 8,976 39,454 
Bahrain4,602 4,458 13,634 10,925 
United Arab Emirates2,287 2,401 8,082 7,280 
Australia2,898 — 9,856 — 
Other foreign1,026 618 3,180 2,311 
Total$697,724 $723,956 $2,062,814 $2,212,815 
Refer to Note 8—Revenue from Contracts with Customers for additional information regarding the recognition of revenue.