Revenues from Contracts with Customers

6 Months Ended

Jun. 30, 2019

Revenue From Contract With Customer [Abstract]

(13)Revenues from Contracts with Customers

The following table presents Newmark’s total revenues separately for its revenues from contracts with customers and other sources of revenues (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
Revenues from contracts with customers:
Leasing and other commissions	$	217,381	$	178,142	$	389,851	$	337,513
Capital markets commissions		128,750		101,691		231,547		203,055
Management services		117,472		107,228		215,561		204,160
Revenues		463,603		387,061		836,959		744,728
Other sources of revenue:
Gains from mortgage banking activities/originations, net⁽¹⁾		45,091		41,877		76,437		80,791
Servicing fees and other⁽¹⁾		42,784		37,681		85,738		71,560
Revenues	$	551,478	$	466,619	$	999,134	$	897,079

(1)

Although these items have customers under contract, they were recorded as other sources of revenue as they were excluded from the scope of ASU No. 2014-09.

Disaggregation of Revenue

Newmark’s chief operating decision maker regardless of geographic location evaluates the operating results of Newmark as total real estate (See Note 3 — Summary of Significant Accounting Policies for further discussion).

Contract Balances

The timing of Newmark’s revenue recognition may differ from the timing of payment by its customers. Newmark records a receivable when revenue is recognized prior to payment and Newmark has an unconditional right to payment. Alternatively, when payment precedes the provision of the related services, Newmark records deferred revenue until the performance obligations are satisfied.

Newmark’s deferred revenue primarily relates to customers paying in advance or billed in advance where the performance obligation has not yet been satisfied. Deferred revenue at June 30, 2019 and December 31, 2018 was $2.5 million and $4.2 million, respectively. During the six months ended June 30, 2019, Newmark recognized revenue of $1.2 million that was recorded as deferred revenue at the beginning of the period.