XML 37 R14.htm IDEA: XBRL DOCUMENT
v3.25.0.1

Revenue Recognition | 12 Months Ended
--- | ---
Dec. 31, 2024
Revenue from Contract with Customer [Abstract] |
Revenue Recognition | Revenue Recognition The Company's policies with respect to its various revenue streams are detailed below. The Company generally applies the invoicing practical expedient to recognize revenue for the revenue streams detailed below, except in circumstances where the invoiced amount does not represent the value transferred to the customer. Retail Revenue Gross revenues for energy sales and services to retail customers are recognized as the Company transfers the promised goods and services to the customer. Payment terms are generally 15 to 60 days. For the majority of its electricity and natural gas contracts, the Company’s performance obligation with the customer is satisfied over time and performance obligations for its electricity and natural gas products are recognized as the customer takes possession of the product. The Company also allocates the contract consideration to distinct performance obligations in a contract for which the timing of the revenue recognized is different. Additionally, customer discounts and incentives reduce the contract consideration and are recognized over the term of the contract. Energy sales and services that have been delivered but not billed by period end are estimated. Accrued unbilled revenues are based on estimates of customer usage since the date of the last meter reading provided by the independent system operators, utilities, or electric distribution companies. Volume estimates are based on daily forecasted volumes and estimated customer usage by class. Unbilled revenues are calculated by multiplying these volume estimates by the applicable rate by customer class. Estimated amounts are adjusted when actual usage is known and billed. As contracts for retail electricity and natural gas can be for multi-year periods, the Company has performance obligations under these contracts that have not yet been satisfied. These performance obligations have transaction prices that are both fixed and variable, and that vary based on the contract duration, customer type, inception date and other contract-specific factors. For the fixed price contracts, the amount of any unsatisfied performance obligations will vary based on customer usage, which will depend on factors such as weather and customer activity and therefore it is not practicable to estimate such amounts. Vivint Smart Home Retail Revenue Vivint Smart Home offers its customers combinations of smart home products and services, which together create an integrated smart home system that allows the Company's customers to monitor, control and protect their homes. As the products and services included in the customer's contract are integrated and highly interdependent, and because the products (including installation) and services must work together to deliver the monitoring, controlling and protection of their home, the Company has concluded that the products and services contracted for by the customer are generally not distinct within the context of the contract and, therefore, constitute a single, combined performance obligation. Revenues for this single, combined performance obligation are recognized on a straight-line basis over the customer's contract term, which is the period in which the parties to the contract have enforceable rights and obligations. The Company has determined that certain contracts that do not require a long-term commitment for monitoring services by the customer contain a material right to renew the contract, because the customer does not have to purchase the products upon renewal. Proceeds allocated to the material right are recognized over the expected period of benefit. The majority of Vivint Smart Home's subscription contracts are five years and are generally non-cancelable. These contracts generally convert into month-to-month agreements at the end of the initial term, while some customers are month-to-month from inception. Payment for Vivint Smart Home services is generally due in advance on a monthly basis, with payment terms up to 30 days. Product sales and other one-time fees are invoiced to customers at time of sale. Revenues for any products or services that are considered separate performance obligations are recognized upon delivery. Payments received or billed in advance are reported as deferred revenues. Energy Revenue Both physical and financial transactions consist of revenues billed to a third-party at either market or negotiated contract terms to optimize the financial performance of the Company's generating facilities. Payment terms vary from 5 to 55 days. Electric energy revenue is recognized upon transmission to the customer over time, using the output method for measuring progress of satisfaction of performance obligations. Physical transactions, or the sale of generated electricity to meet supply and demand, are recorded on a gross basis in the Company's consolidated statements of operations. The Company applies the invoicing practical expedient in recognizing energy revenue. Under the practical expedient, revenue is recognized based on the invoiced amount which is equal to the value to the customer of NRG’s performance obligation completed to date. Financial transactions used to hedge the sale of electricity are recorded net within revenues in the consolidated statements of operations in accordance with ASC 815. Ancillary revenues, included in Other revenue, are recognized over time as the obligation is fulfilled, using the output method for measuring progress of satisfaction of performance obligations. Capacity Revenue The Company's largest sources of capacity revenues are capacity auctions in PJM and NYISO. Capacity revenues also include revenues billed to a third-party at either market or negotiated contract terms for making installed generation and demand response capacity available in order to satisfy system integrity and reliability requirements. Payment terms vary from 15 to 55 days. Capacity revenues are recognized over time, using the output method for measuring progress of satisfaction of performance obligations. The Company applies the invoicing practical expedient in recognizing capacity revenue. Under the practical expedient, revenue is recognized based on the invoiced amount which is equal to the value to the customer of NRG’s performance obligation completed to date. Performance Obligations As of December 31, 2024, estimated future fixed fee performance obligations are $1.6 billion, $1.2 billion, $796 million, $489 million and $219 million for the fiscal years 2025, 2026, 2027, 2028 and 2029, respectively. These performance obligations include Vivint Smart Home products and services, as well as cleared auction MWs in the PJM, ISO-NE, NYISO and MISO capacity auctions. The cleared auction MWs are subject to penalties for non-performance. Disaggregated Revenues The following tables represent the Company’s disaggregation of revenue from contracts with customers for the years ended December 31, 2024, 2023, and 2022:
| For the Year Ended December 31, 2024
(In millions) | Texas |  | East |  | West/Services/Other |  | Vivint Smart Home |  | Corporate/Eliminations |  | Total
Retail revenue: |  |  |  |  |  |  |  |  |  |  |
Home | $ | 6,836 |  |  | $ | 2,453 |  |  | $ | 1,750 |  |  | $ | 1,932 |  |  | $ | (25) |  |  | $ | 12,946 |
Business | 3,564 |  |  | 8,794 |  |  | 1,845 |  |  | — |  |  | — |  |  | 14,203 |
Total retail revenue(a) | 10,400 |  |  | 11,247 |  |  | 3,595 |  |  | 1,932 |  |  | (25) |  |  | 27,149 |
Energy revenue(a) | 41 |  |  | 242 |  |  | 229 |  |  | — |  |  | (12) |  |  | 500 |
Capacity revenue(a) | — |  |  | 156 |  |  | 24 |  |  | — |  |  | (3) |  |  | 177 |
Mark-to-market for economic hedging activities(b) | — |  |  | (23) |  |  | 16 |  |  | — |  |  | 4 |  |  | (3) |
Contract amortization | — |  |  | (27) |  |  | (2) |  |  | — |  |  | — |  |  | (29) |
Other revenue(a) | 212 |  |  | 112 |  |  | 24 |  |  | — |  |  | (12) |  |  | 336 |
Total revenue | 10,653 |  |  | 11,707 |  |  | 3,886 |  |  | 1,932 |  |  | (48) |  |  | 28,130 |
Less: Revenues accounted for under topics other than ASC 606 and ASC 815 | — |  |  | 57 |  |  | 61 |  |  | — |  |  | (1) |  |  | 117 |
Less: Realized and unrealized ASC 815 revenue | 30 |  |  | 168 |  |  | 75 |  |  | — |  |  | (8) |  |  | 265 |
Total revenue from contracts with customers | $ | 10,623 |  |  | $ | 11,482 |  |  | $ | 3,750 |  |  | $ | 1,932 |  |  | $ | (39) |  |  | $ | 27,748 |
(a) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions) | Texas |  | East |  | West/Services/Other |  | Vivint Smart Home |  | Corporate/Eliminations |  | Total
Retail revenue | $ | — |  |  | $ | 36 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 36 |
Energy revenue | — |  |  | 79 |  |  | 63 |  |  | — |  |  | (12) |  |  | 130 |
Capacity revenue | — |  |  | 76 |  |  | — |  |  | — |  |  | — |  |  | 76 |
Other revenue | 30 |  |  | — |  |  | (4) |  |  | — |  |  | — |  |  | 26 |
(b) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
| For the Year Ended December 31, 2023
(In millions) | Texas |  | East |  | West/Services/Other |  | Vivint Smart Home(a) |  | Corporate/Eliminations |  | Total
Retail revenue: |  |  |  |  |  |  |  |  |  |  |
Home | $ | 6,538 |  |  | $ | 2,195 |  |  | $ | 1,890 |  |  | $ | 1,549 |  |  | $ | (1) |  |  | $ | 12,171 |
Business | 3,492 |  |  | 9,751 |  |  | 2,053 |  |  | — |  |  | — |  |  | 15,296 |
Total retail revenue(b) | 10,030 |  |  | 11,946 |  |  | 3,943 |  |  | 1,549 |  |  | (1) |  |  | 27,467 |
Energy revenue(b) | 77 |  |  | 291 |  |  | 185 |  |  | — |  |  | — |  |  | 553 |
Capacity revenue(b) | — |  |  | 197 |  |  | 2 |  |  | — |  |  | (2) |  |  | 197 |
Mark-to-market for economic hedging activities(c) | — |  |  | 57 |  |  | 103 |  |  | — |  |  | (16) |  |  | 144 |
Contract amortization | — |  |  | (32) |  |  | — |  |  | — |  |  | — |  |  | (32) |
Other revenue(b) | 369 |  |  | 88 |  |  | 48 |  |  | — |  |  | (11) |  |  | 494 |
Total revenue | 10,476 |  |  | 12,547 |  |  | 4,281 |  |  | 1,549 |  |  | (30) |  |  | 28,823 |
Less: Revenues accounted for under topics other than ASC 606 and ASC 815 | — |  |  | 17 |  |  | 35 |  |  | — |  |  | — |  |  | 52 |
Less: Realized and unrealized ASC 815 revenue | 29 |  |  | 364 |  |  | 138 |  |  | — |  |  | (16) |  |  | 515 |
Total revenue from contracts with customers | $ | 10,447 |  |  | $ | 12,166 |  |  | $ | 4,108 |  |  | $ | 1,549 |  |  | $ | (14) |  |  | $ | 28,256 |
(a) Includes results of operations following the acquisition date of March 10, 2023
(b) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions) | Texas |  | East |  | West/Services/Other |  | Vivint Smart Home |  | Corporate/Eliminations |  | Total
Retail revenue | $ | — |  |  | $ | 74 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 74 |
Energy revenue | — |  |  | 162 |  |  | 13 |  |  | — |  |  | 1 |  |  | 176 |
Capacity revenue | — |  |  | 73 |  |  | — |  |  | — |  |  | — |  |  | 73 |
Other revenue | 29 |  |  | (2) |  |  | 22 |  |  | — |  |  | (1) |  |  | 48 |
(c) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
| For the Year Ended December 31, 2022
(In millions) | Texas |  | East |  | West/Services/Other |  |  |  | Corporate/Eliminations |  | Total
Retail revenue: |  |  |  |  |  |  |  |  |  |  |
Home | $ | 6,388 |  |  | $ | 2,088 |  |  | $ | 2,286 |  |  |  |  | $ | (1) |  |  | $ | 10,761 |
Business | 3,229 |  |  | 13,768 |  |  | 1,964 |  |  |  |  | — |  |  | 18,961 |
Total retail revenue(a) | 9,617 |  |  | 15,856 |  |  | 4,250 |  |  |  |  | (1) |  |  | 29,722 |
Energy revenue(a) | 111 |  |  | 641 |  |  | 466 |  |  |  |  | 32 |  |  | 1,250 |
Capacity revenue(a) | — |  |  | 232 |  |  | 40 |  |  |  |  | — |  |  | 272 |
Mark-to-market for economic hedging activities(b) | 2 |  |  | (30) |  |  | (56) |  |  |  |  | 1 |  |  | (83) |
Contract amortization | — |  |  | (40) |  |  | 1 |  |  |  |  | — |  |  | (39) |
Other revenue(a) | 327 |  |  | 104 |  |  | 5 |  |  |  |  | (15) |  |  | 421 |
Total revenue | 10,057 |  |  | 16,763 |  |  | 4,706 |  |  |  |  | 17 |  |  | 31,543 |
Less: Revenues accounted for under topics other than ASC 606 and ASC 815 | — |  |  | (7) |  |  | 41 |  |  |  |  | 1 |  |  | 35 |
Less: Realized and unrealized ASC 815 revenue | (2) |  |  | 84 |  |  | (93) |  |  |  |  | 31 |  |  | 20 |
Total revenue from contracts with customers | $ | 10,059 |  |  | $ | 16,686 |  |  | $ | 4,758 |  |  |  |  | $ | (15) |  |  | $ | 31,488 |
(a) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions) | Texas |  | East |  | West/Services/Other |  |  |  | Corporate/Eliminations |  | Total
Retail revenue | $ | — |  |  | $ | 110 |  |  | $ | — |  |  |  |  | $ | — |  |  | $ | 110 |
Energy revenue | — |  |  | (31) |  |  | (8) |  |  |  |  | 31 |  |  | (8) |
Capacity revenue | — |  |  | 33 |  |  | — |  |  |  |  | — |  |  | 33 |
Other revenue | (4) |  |  | 2 |  |  | (29) |  |  |  |  | (1) |  |  | (32) |
(b) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
Contract Balances The following table reflects the contract assets and liabilities included in the Company's balance sheet as of December 31, 2024 and 2023:
(In millions) |  | December 31, 2024 |  | December 31, 2023
Capitalized contract costs (included in Prepayments and other current assets and Other non-current assets) |  | $ | 1,220 |  |  | $ | 706 |
Accounts receivable, net - Contracts with customers |  | 3,393 |  |  | 3,395 |
Accounts receivable, net - Accounted for under topics other than ASC 606 |  | 90 |  |  | 136 |
Accounts receivable, net - Affiliate |  | 5 |  |  | 11 |
Total accounts receivable, net |  | $ | 3,488 |  |  | $ | 3,542 |
Unbilled revenues (included within Accounts receivable, net - Contracts with customers) |  | $ | 1,548 |  |  | $ | 1,493 |
Deferred revenues(a) |  | $ | 1,573 |  |  | $ | 1,634 |
(a)Deferred revenues from contracts with customers as of December 31, 2024 and 2023 were approximately $1.5 billion and $1.6 billion, respectively. The revenue recognized from contracts with customers during the years ended December 31, 2024 and 2023 relating to the deferred revenue balance at the beginning of each period was $606 million and $168 million, respectively, which increased primarily due to the acquisition of Vivint Smart Home. The Company's capitalized contract costs consist of fulfillment costs, commission payments, broker fees and other costs that represent incremental costs of obtaining the contract with customers for which the Company expects to recover. Capitalized contract costs are amortized to depreciation and amortization on a straight-line basis over the expected period of benefit of five years. When the Company receives consideration from the customer that is in excess of the amount due, such consideration is reclassified to deferred revenue, which represents a contract liability. Smart home products and services performance obligations are recognized over the customer's contract term, which is generally three to five years. Energy contract liabilities are generally recognized to revenue in the next period as the Company satisfies its performance obligations.

X
- References No definition available. + Details
Name: | us-gaap_RevenueFromContractWithCustomerAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 9 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-9 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-10 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-15 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-13 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Topic 606 -Publisher FASB -URI https://asc.fasb.org/606/tableOfContent + Details
Name: | us-gaap_RevenueFromContractWithCustomerTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration