v3.24.3
REVENUE RECOGNITION
 9 Months Ended
Sep. 30, 2024
Revenue from Contract with Customer [Abstract]  
REVENUE RECOGNITION REVENUE RECOGNITION
MSCI’s operating revenues are reported by product type and each product type may have different timing for recognizing revenue. The Company’s operating revenue types are recurring subscriptions, asset-based fees and non-recurring revenues. The Company also disaggregates operating revenues by segment.
The tables that follow present the disaggregated operating revenues for the periods indicated:
For the Three Months Ended September 30, 2024
Segments
(in thousands)IndexAnalyticsESG and ClimateAll Other - Private AssetsTotal
Operating Revenue Types
Recurring subscriptions$223,945 $168,150 $81,536 $62,991 $536,622 
Asset-based fees168,622 — — — 168,622 
Non-recurring12,315 4,226 2,107 813 19,461 
Total$404,882 $172,376 $83,643 $63,804 $724,705 
For the Nine Months Ended September 30, 2024
Segments
(in thousands)IndexAnalyticsESG and ClimateAll Other - Private AssetsTotal
Operating Revenue Types
Recurring subscriptions$653,929 $490,829 $235,954 $190,434 $1,571,146 
Asset-based fees482,162 — — — 482,162 
Non-recurring39,855 11,508 5,428 2,520 59,311 
Total$1,175,946 $502,337 $241,382 $192,954 $2,112,619 
For the Three Months Ended September 30, 2023
Segments
(in thousands)IndexAnalyticsESG and ClimateAll Other - Private AssetsTotal
Operating Revenue Types
Recurring subscriptions$206,453 $151,269 $71,744 $35,531 $464,997 
Asset-based fees141,066 — — — 141,066 
Non-recurring14,603 2,999 1,294 480 19,376 
Total$362,122 $154,268 $73,038 $36,011 $625,439 
For the Nine Months Ended September 30, 2023
Segments
(in thousands)IndexAnalyticsESG and ClimateAll Other - Private AssetsTotal
Operating Revenue Types
Recurring subscriptions$603,845 $443,276 $207,523 $111,292 $1,365,936 
Asset-based fees412,354 — — — 412,354 
Non-recurring47,621 7,943 3,792 1,168 60,524 
Total$1,063,820 $451,219 $211,315 $112,460 $1,838,814 
The tables that follow present the change in accounts receivable, net of allowances, and current deferred revenue between the dates indicated:
(in thousands) Accounts receivable, net of allowancesDeferred revenue
Opening (December 31, 2023)
$839,555 $1,083,864 
Closing (September 30, 2024)
643,807 942,840 
Increase/(decrease)$(195,748)$(141,024)
(in thousands) Accounts receivable, net of allowancesDeferred revenue
Opening (December 31, 2022)
$663,236 $882,886 
Closing (September 30, 2023)
603,266 837,479 
Increase/(decrease)$(59,970)$(45,407)
The amounts of revenues recognized in the periods that were included in the opening current deferred revenue, which reflects contract liability amounts, were $209.9 million and $915.5 million for the three and nine months ended September 30, 2024, respectively, and $171.8 million and $798.0 million for the three and nine months ended September 30, 2023, respectively. The difference between the opening and closing balances of the Company’s deferred revenue was primarily driven by an increase in the amortization of deferred revenue to operating revenues, partially offset by an increase in billings. As of September 30, 2024 and December 31, 2023, the Company carried a long-term deferred revenue balance of $28.8 million and $28.8 million, respectively, in “Other non-current liabilities” on the Unaudited Condensed Consolidated Statement of Financial Condition.
For contracts that have a duration of one year or less, the Company has not disclosed either the remaining performance obligation as of the end of the reporting period or when the Company expects to recognize the revenue. The remaining performance obligations for contracts that have a duration of greater than one year and the periods in which they are expected to be recognized are as follows:
As of
September 30,
(in thousands)2024
First 12-month period
$912,103 
Second 12-month period
567,796 
Third 12-month period
258,819 
Periods thereafter172,423 
Total$1,911,141