Archrock, Inc. Revenue Disclosure
18. Revenue from Contracts with Customers
The following table presents our revenue from contracts with customers by segment and disaggregated by revenue source:
Year Ended December 31, | |||||||||
(in thousands) | 2025 | | 2024 | | 2023 | ||||
Contract operations: | | | | ||||||
0 ― 1,000 horsepower per unit | $ | 424,362 | $ | 246,524 | $ | 170,320 | |||
1,001 ― 1,500 horsepower per unit |
| 425,969 |
| 384,956 |
| 350,961 | |||
Over 1,500 horsepower per unit |
| 421,165 |
| 348,295 |
| 287,183 | |||
Other (1) |
| 585 |
| 630 |
| 975 | |||
Total contract operations revenue (2) |
| 1,272,081 |
| 980,405 |
| 809,439 | |||
Aftermarket services: |
| |
| |
| | |||
Services |
| 127,146 |
| 100,847 |
| 98,803 | |||
OTC parts and components sales | 88,719 |
| 76,023 |
| 82,095 | ||||
Other |
| 1,872 | 316 | — | |||||
Total aftermarket services revenue (3) |
| 217,737 |
| 177,186 |
| 180,898 | |||
Total revenue | $ | 1,489,818 | $ | 1,157,591 | $ | 990,337 | |||
| (1) | Primarily relates to fees associated with owned non–compression equipment. |
| (2) | Includes $6.1 million, $5.3 million and $4.2 million during the years ended December 31, 2025, 2024 and 2023, respectively, related to billable maintenance on owned compressors that was recognized at a point in time. All other contract operations revenue is recognized over time. |
| (3) | Services revenue within aftermarket services is recognized over time. OTC parts and components sales and other revenue is recognized at a point in time. |
See Note 28 (“Segments”) for further details.
Performance Obligations
As of December 31, 2025, we had $851.1 million of remaining performance obligations related to our contract operations segment, which will be recognized through 2032 as follows:
(in thousands) | | | | | | Thereafter (1) | | Total | ||||||||||||||
Remaining performance obligations | $ | 543,250 | $ | 201,037 | $ | 71,017 | $ | 24,759 | $ | 9,784 | $ | 1,267 | $ | 851,114 | ||||||||
We do not disclose the aggregate transaction price for the remaining performance obligations for aftermarket services as there are no contracts with customers with an original contract term that is greater than one year.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 25, 2025 | |
| 2023 | Feb 21, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 23, 2022 | |
| 2020 | Feb 23, 2021 | |
| 2019 | Feb 21, 2020 | |
| 2018 | Feb 20, 2019 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.