Cactus, Inc.WHD
Cactus, Inc. Segments Disclosure
Segment Reporting
Prior to the acquisition of FlexSteel, we operated in a single operating segment which reflected how our business was managed and the nature of our products and services. Upon completion of the acquisition, we re-evaluated our reportable segments and now report two operating segments. The operating segments have been identified based on the Company’s management structure, the different products and services offered by each and the financial data utilized by the Company’s Chief Executive Officer (the chief operating decision maker or “CODM”) to assess segment performance and allocate resources among segments.
Our reporting segments are:
•Pressure Control – engaged in the design, manufacture, sale, installation and service of wellhead and pressure control equipment utilized during the drilling, completion and production phases of oil and gas wells.
•Spoolable Technologies – engaged in the design, manufacture, sale, installation, service and associated rental of onshore spoolable pipe technologies utilized for production, gathering and takeaway transportation of oil, gas or other liquids.
The Company’s CODM evaluates performance and allocates resources for the reportable segments based on each segment’s profit or loss (which includes certain corporate overhead allocations directly attributable to each of the segments). Intersegment revenue and expenses have been eliminated in the computation of total revenue and operating income.
The CODM uses the segment profit or loss for each segment predominantly in the annual budget and forecasting process. The CODM considers quarter-to-quarter variances on a sequential basis when making decisions about the allocation of operating and capital resources to each segment.
Financial information by segment for the years ended December 31, 2025, 2024, and 2023 is summarized below.
| Year Ended December 31, | |||||||||||||||||
| 2025 | |||||||||||||||||
| Pressure Control | Spoolable Technologies | Total | |||||||||||||||
Revenues from external customers | $ | 710,806 | $ | 368,245 | $ | 1,079,051 | |||||||||||
Intersegment revenue | 6,385 | — | 6,385 | ||||||||||||||
| Total revenues | 717,191 | 368,245 | 1,085,436 | ||||||||||||||
Reconciliation of revenue | |||||||||||||||||
Elimination of intersegment revenue | (6,385) | ||||||||||||||||
Total consolidated revenues | 1,079,051 | ||||||||||||||||
Less:(1) | |||||||||||||||||
Cost of revenue from external customers | $ | 459,280 | $ | 220,353 | 679,633 | ||||||||||||
Intersegment cost of revenue | 5,806 | — | 5,806 | ||||||||||||||
Total cost of revenues | 465,086 | 220,353 | 685,439 | ||||||||||||||
Reconciliation of cost of revenue | |||||||||||||||||
Elimination of intersegment cost of revenue | (5,806) | ||||||||||||||||
Total consolidated cost of revenue | 679,633 | ||||||||||||||||
Selling, general, administrative expenses and other (2) | 62,244 | 49,232 | |||||||||||||||
Segment profit | $ | 189,861 | $ | 98,660 | $ | 288,521 | |||||||||||
Reconciliation of segment profit | |||||||||||||||||
Elimination of intersegment profit | (579) | ||||||||||||||||
Total consolidated segment profit | $ | 287,942 | |||||||||||||||
Corporate expenses (3) | (37,441) | ||||||||||||||||
Total operating income | $ | 250,501 | |||||||||||||||
Interest income, net | 10,962 | ||||||||||||||||
Other expense, net | (794) | ||||||||||||||||
| Income before income taxes | $ | 260,669 | |||||||||||||||
(1) The significant expense categories and amounts align with the segment with the segment-level information that is regularly provided to the chief operating decision maker.
(2) For each reportable segment, the 'Selling, general, administrative expenses and other' line items category includes: salaries and wages, stock based compensation amortization expense, depreciation expense, professional fees, rent expense, and other miscellaneous items.
(3) Comprised primarily of expenses not allocated to our operating segments.
| Year Ended December 31, | |||||||||||||||||
| 2024 | |||||||||||||||||
| Pressure Control | Spoolable Technologies | Total | |||||||||||||||
Revenues from external customers | $ | 722,776 | $ | 407,038 | $ | 1,129,814 | |||||||||||
Intersegment revenue | 1,262 | — | 1,262 | ||||||||||||||
| Total revenues | 724,038 | 407,038 | 1,131,076 | ||||||||||||||
Reconciliation of revenue | |||||||||||||||||
Elimination of intersegment revenue | (1,262) | ||||||||||||||||
Total consolidated revenues | 1,129,814 | ||||||||||||||||
Less:(1) | |||||||||||||||||
Cost of revenue from external customers | $ | 455,853 | $ | 237,568 | $ | 693,421 | |||||||||||
Intersegment cost of revenue | 1,127 | — | 1,127 | ||||||||||||||
| Total cost of revenues | 456,980 | 237,568 | 694,548 | ||||||||||||||
Reconciliation of cost of revenue | |||||||||||||||||
Elimination of intersegment cost of revenue | (1,127) | ||||||||||||||||
Total consolidated cost of revenue | 693,421 | ||||||||||||||||
Selling, general, administrative expenses and other (2) | 56,348 | 64,606 | |||||||||||||||
Segment profit | $ | 210,710 | $ | 104,864 | $ | 315,574 | |||||||||||
Reconciliation of segment profit | |||||||||||||||||
Elimination of intersegment profit | (135) | ||||||||||||||||
Total consolidated segment profit | $ | 315,439 | |||||||||||||||
Corporate expenses (3) | (25,826) | ||||||||||||||||
Total operating income | $ | 289,613 | |||||||||||||||
Interest income, net | 6,459 | ||||||||||||||||
Other income, net | 3,204 | ||||||||||||||||
| Income before income taxes | $ | 299,276 | |||||||||||||||
(1) The significant expense categories and amounts align with the segment with the segment-level information that is regularly provided to the chief operating decision maker.
(2) For each reportable segment, the 'Selling, general, administrative expenses and other' line items category includes: salaries and wages, stock based compensation amortization expense, depreciation expense, professional fees, rent expense, and other miscellaneous items. Spoolable technologies also includes the change in fair value of the earn-out liability.
(3) Comprised primarily of expenses not allocated to our operating segments.
| Year Ended December 31, | |||||||||||||||||
| 2023 | |||||||||||||||||
| Pressure Control | Spoolable Technologies | Total | |||||||||||||||
Revenues from external customers | $ | 756,727 | $ | 340,233 | $ | 1,096,960 | |||||||||||
Intersegment revenue | — | — | — | ||||||||||||||
| Total revenues | 756,727 | 340,233 | 1,096,960 | ||||||||||||||
Reconciliation of revenue | |||||||||||||||||
Elimination of intersegment revenue | — | ||||||||||||||||
Total consolidated revenues | 1,096,960 | ||||||||||||||||
Less:(1) | |||||||||||||||||
Cost of revenue from external customers | $ | 475,818 | $ | 214,850 | $ | 690,668 | |||||||||||
Intersegment cost of revenue | — | — | — | ||||||||||||||
Total cost of revenues | 475,818 | 214,850 | 690,668 | ||||||||||||||
Reconciliation of cost of revenue | |||||||||||||||||
Elimination of intersegment cost of revenue | — | ||||||||||||||||
Total consolidated cost of revenue | 690,668 | ||||||||||||||||
Selling, general, administrative expenses and other (2) | 43,975 | 63,211 | |||||||||||||||
Segment profit | $ | 236,934 | $ | 62,172 | $ | 299,106 | |||||||||||
Reconciliation of segment profit | |||||||||||||||||
Elimination of intersegment profit | — | ||||||||||||||||
Total consolidated segment profit | $ | 299,106 | |||||||||||||||
Corporate expenses (3) | (34,740) | ||||||||||||||||
Total operating income | $ | 264,366 | |||||||||||||||
Interest expense, net | (6,480) | ||||||||||||||||
Other income, net | 4,490 | ||||||||||||||||
| Income before income taxes | $ | 262,376 | |||||||||||||||
(1) The significant expense categories and amounts align with the segment with the segment-level information that is regularly provided to the chief operating decision maker.
(2) For each reportable segment, the 'Selling, general, administrative expenses and other' line items category includes: salaries and wages, stock based compensation amortization expense, depreciation expense, professional fees, rent expense, and other miscellaneous items. Spoolable technologies also includes the change in fair value of the earn-out liability.
(3) Comprised primarily of expenses not allocated to our operating segments.
Additional financial information by operating segment for the years ended December 31, 2025, 2024, and 2023 is summarized below.
| Year Ended December 31, | ||||||||||||||||||||
| 2025 | 2024 | 2023 | ||||||||||||||||||
Depreciation and amortization: | ||||||||||||||||||||
| Pressure Control | $ | 28,585 | $ | 26,782 | $ | 30,898 | ||||||||||||||
| Spoolable Technologies | 35,329 | 33,656 | 34,147 | |||||||||||||||||
| Total depreciation and amortization | $ | 63,914 | $ | 60,438 | $ | 65,045 | ||||||||||||||
| Capital expenditures: | ||||||||||||||||||||
| Pressure Control | $ | 18,218 | $ | 24,240 | $ | 40,940 | ||||||||||||||
| Spoolable Technologies | 20,587 | 14,936 | 3,037 | |||||||||||||||||
| Total capital expenditures | $ | 38,805 | $ | 39,176 | $ | 43,977 | ||||||||||||||
Segment Assets:(1) | ||||||||||||||||||||
| Pressure Control | $ | 468,061 | $ | 438,929 | $ | 437,887 | ||||||||||||||
| Spoolable Technologies | 695,737 | 705,943 | 713,007 | |||||||||||||||||
| Total segment assets | 1,163,798 | 1,144,872 | 1,150,894 | |||||||||||||||||
Corporate and other(2) | 707,819 | 594,456 | 371,667 | |||||||||||||||||
| Total assets | $ | 1,871,617 | $ | 1,739,328 | $ | 1,522,561 | ||||||||||||||
(1) Segment assets consist of accounts receivables, inventories, prepaid expenses and other current assets, property and equipment, net, goodwill and other intangible assets, net.
(2) Consists primarily of cash and cash equivalents and deferred tax assets.
Based on the location where the sale originated, revenues in the United States exceeded 95% of total revenues during each of the three years ended December 31, 2025, 2024, and 2023. Additionally, tangible long-lived assets in the United States exceeded 90% of total tangible long-lived assets as of December 31, 2025, 2024, and 2023.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 29, 2024 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.