Company: NINE
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001532286-25-000011
Chunk: 52

Company: Nine Energy Service, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 8
Chunk 52
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,227 Product revenues$33,839 $35,227 Total revenues$150,466 $142,120 The Company recognizes revenues from the sales of products at a point in time and revenues from the sales of services over time.

5. Inventories

Inventories, consisting primarily of finished goods and raw materials, are stated at the lower of cost or net realizable value. Cost is determined on an average cost basis. The Company reviews its inventory balances and writes down its inventory for estimated obsolescence or excess inventory equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. The reserve for obsolescence was $4.7 million and $5.5 million at March 31, 2025 and December 31, 2024, respectively.Inventories, net as of March 31, 2025 and December 31, 2024 were comprised of the following:  March 31, 2025December 31, 2024 (in thousands)Raw materials$29,021 $28,900 Work in progress580 148 Finished goods26,300 27,194 Inventories55,901 56,242 Reserve for obsolescence(4,715)(5,461)Inventories, net$51,186 $50,781 

 7

6. Intangible Assets

The gross carrying amount and accumulated amortization of intangible assets as of March 31, 2025 and December 31, 2024 was as follows: March 31, 2025Gross Carrying AmountAccumulated AmortizationNet Carrying AmountWeighted Average Amortization Period(in thousands, except weighted average amortization period information)Customer relationships$63,270 $(56,094)$7,176 2.6Technology125,110 (55,836)69,274 8.5Total$188,380 $(111,930)$76,450 December 31, 2024Gross Carrying AmountAccumulated AmortizationNet Carrying AmountWeighted Average Amortization Period(in thousands, except weighted average amortization period information)Customer relationships$63,270 $(55,400)$7,870 2.8Technology125,110 (53,734)71,376 8.8Total$188,380 $(109,134)$79,246