Revenue

Disaggregation of Revenue

In the following tables, revenue is disaggregated by primary geographical market, type of revenue, and recurring nature of revenue recognized. The tables also include a reconciliation of the disaggregated revenue with the Company’s reportable segments.

For the three months ended June 30, 2018 (in millions):



	Reportable Segments
					Corporate
	IFS		GFS		and Other		Total
Primary Geographical Markets:
North America	$	1,079	$	434	$	71	$	1,584
All others	45		465		12		522
Total	$	1,124	$	899	$	83	$	2,106

Type of Revenue:
Processing and services	$	936	$	521	$	73	$	1,530
License and software related	92		228		—		320
Professional services	43		150		2		195
Hardware and other	53		—		8		61
Total	$	1,124	$	899	$	83	$	2,106

Recurring Nature of Revenue Recognition:
Recurring fees	$	991	$	680	$	73	$	1,744
Non-recurring fees	133		219		10		362
Total	$	1,124	$	899	$	83	$	2,106

For the six months ended June 30, 2018 (in millions):



	Reportable Segments
					Corporate
	IFS		GFS		and Other		Total
Primary Geographical Markets:
North America	$	2,096	$	886	$	135	$	3,117
All others	89		940		26		1,055
Total	$	2,185	$	1,826	$	161	$	4,172

Type of Revenue:
Processing and services	$	1,831	$	1,064	$	147	$	3,042
License and software related	178		475		1		654
Professional services	80		287		4		371
Hardware and other	96		—		9		105
Total	$	2,185	$	1,826	$	161	$	4,172

Recurring Nature of Revenue Recognition:
Recurring fees	$	1,942	$	1,379	$	148	$	3,469
Non-recurring fees	243		447		13		703
Total	$	2,185	$	1,826	$	161	$	4,172

For the three months ended June 30, 2017 (in millions):



	Reportable Segments
	As Adjusted
					Corporate
	IFS		GFS		and Other		Total
Primary Geographical Markets:
North America	$	1,049	$	519	$	73	$	1,641
All others	38		567		12		617
Total	$	1,087	$	1,086	$	85	$	2,258

Type of Revenue:
Processing and services	$	884	$	556	$	80	$	1,520
License and software related	102		246		1		349
Professional services	56		284		2		342
Hardware and other	45		—		2		47
Total	$	1,087	$	1,086	$	85	$	2,258

Recurring Nature of Revenue Recognition:
Recurring fees	$	939	$	710	$	79	$	1,728
Non-recurring fees	148		376		6		530
Total	$	1,087	$	1,086	$	85	$	2,258

For the six months ended June 30, 2017 (in millions):



	Reportable Segments
	As Adjusted
					Corporate
	IFS		GFS		and Other		Total
Primary Geographical Markets:
North America	$	2,048	$	1,009	$	168	$	3,225
All others	76		1,080		25		1,181
Total	$	2,124	$	2,089	$	193	$	4,406

Type of Revenue:
Processing and services	$	1,734	$	1,106	$	167	$	3,007
License and software related	196		447		13		656
Professional services	104		536		8		648
Hardware and other	90		—		5		95
Total	$	2,124	$	2,089	$	193	$	4,406

Recurring Nature of Revenue Recognition:
Recurring fees	$	1,852	$	1,409	$	174	$	3,435
Non-recurring fees	272		680		19		971
Total	$	2,124	$	2,089	$	193	$	4,406

Contract Balances

The following table provides information about trade receivables, contract assets, and deferred revenues from contracts with customers (in millions).



	As of
	June 30,		December 31,
	2018		2017
			As adjusted

Trade receivables	$	1,408	$	1,624
Contract assets (current)	109		108
Contract assets (non-current), included in other noncurrent assets	98		118
Deferred revenues (current)	766		776
Deferred revenues (non-current)	103		106

The payment terms and conditions in our customer contracts may vary. In some cases, customers pay in advance of our delivery of solutions or services; in other cases, payment is due as services are performed or in arrears following the delivery of the solutions or services. Differences in timing between revenue recognition and invoicing result in accrued trade receivables, contract assets, or deferred revenues on our Condensed Consolidated Balance Sheets. Receivables are accrued when revenue is recognized prior to invoicing but the right to payment is unconditional (i.e., only the passage of time is required). This occurs most commonly when software term licenses recognized at a point in time are paid for periodically over the license term. Contract assets result when amounts allocated to distinct performance obligations are recognized when or as control of a solution or service is transferred to the customer but invoicing is contingent on performance of other performance obligations or on completion of contractual milestones. Contract assets are transferred to receivables when the rights become unconditional, typically upon invoicing of the related performance obligations in the contract or upon achieving the requisite project milestone. Deferred revenues result from customer payments in advance of our satisfaction of the associated performance obligation(s) and relate primarily to prepaid maintenance or other recurring services. Deferred revenues are relieved as revenue is recognized. Contract assets and deferred revenues are reported on a contract-by-contract basis at the end of each reporting period. Changes in the contract assets and deferred revenues balances during the six months ended June 30, 2018 were not materially impacted by any factors other than those described above.

The Company recognized revenue of $170 million and $169 million during the three months and $452 million and $413 million during the six months ended June 30, 2018 and 2017, respectively, that was included in the corresponding deferred revenues balance at the beginning of the periods.

During the three and six months ended June 30, 2018 and 2017, amounts recognized from performance obligations satisfied (or partially satisfied) in prior periods were insignificant.

Transaction Price Allocated to the Remaining Performance Obligations

As of June 30, 2018, approximately $19.5 billion of revenue is estimated to be recognized in the future from the Company’s remaining unfulfilled performance obligations, which are primarily comprised of recurring account- and volume-based processing services. This excludes the amount of anticipated recurring renewals not yet contractually obligated. The Company expects to recognize approximately 35% of our remaining performance obligations over the next 12 months, approximately another 25% over the next 13 to 24 months, and the balance thereafter.