Accounts receivable, net of allowance for credit losses

3 Months Ended

Mar. 31, 2023

Accounts receivable, net of allowance for credit losses

The following table provides details of the Company’s allowance for credit losses on accounts receivable:


	Year ended December 31, 2022		Three months ended March 31, 2023
Opening balance as of January 1	$	24,329	$	20,442
Additions (net), charged to income statement	2,096		3,324
Deductions/effect of exchange rate fluctuations	(5,983)		(563)
Closing balance	$	20,442	$	23,203

4. Accounts receivable, net of allowance for credit losses (continued)

Accounts receivable were $1,015,197 and $1,028,597, and allowances for credit losses were $20,442 and $23,203, resulting in net accounts receivable balances of $994,755 and $1,005,394 as of December 31, 2022 and March 31, 2023, respectively. As of December 31, 2022 and March 31, 2023, the Company reclassified accounts receivable amounting to $2,341 and $0, respectively, as assets held for sale. See Note 8 for additional information.

In addition, deferred billings were $64,735 and $72,299 and allowances for credit losses on deferred billings were $3,198 and $3,198, resulting in net deferred billings balances of $61,537 and $69,101 as of December 31, 2022 and March 31, 2023, respectively.

During the three months ended March 31, 2022 and 2023, the Company recorded a release of $439 and $0, respectively, to the income statement on account of credit losses on deferred billings. Deferred billings, net of related allowances for credit losses, are included under “other assets” in the Company’s consolidated balance sheet as of December 31, 2022 and March 31, 2023.

The Company has a revolving accounts receivable-based facility of $100,000 permitting it to sell accounts receivable to banks on a non-recourse basis in the ordinary course of business. The aggregate maximum capacity utilized by the Company at any time during the period ended December 31, 2022 and March 31, 2023 was $33,030 and $42,906, respectively. The principal amount outstanding against this facility as of December 31, 2022 and March 31, 2023 was $33,030 and $42,906, respectively. The cost of factoring such accounts receivable during the three months ended March 31, 2022 and 2023 was $35 and $461, respectively. Gains or losses on the sales are recorded at the time of transfer of the accounts receivable and are included under "interest income (expense), net" in the Company’s consolidated statements of income.