XML 20 R9.htm IDEA: XBRL DOCUMENT

Receivables, Contract Liabilities and Performance Obligations

9 Months Ended

Sep. 30, 2025

Revenue from Contract with Customer [Abstract]

Receivables, Contract Liabilities and Performance Obligations

Contract Balances

The following table provides information about receivables and contract liabilities as of September 30, 2025 and December 31, 2024 (in thousands):


	September 30, 2025		December 31, 2024
Current receivables, which are included in “Accounts receivable, net”	$	5,479,567	$	4,172,104
Contract assets, net	63,130		81,980
Long-term accounts receivable	756,924		845,943
Long-term contract assets, net	59,389		86,953
Contract liabilities, which are included in “Accrued expenses and other current liabilities” and “Other liabilities”	120,168		109,615

Significant changes in the gross contract assets balances during the nine months ended September 30, 2025 are as follows (in thousands):


	Contract Assets
Balances at December 31, 2024	$	178,438

Reclassification of beginning contract assets to receivables, as a result of rights to consideration becoming unconditional	(64,193)
Contract assets recognized, net of reclassification to receivables	16,739
Balances at September 30, 2025	$	130,984

Contract assets consist of amounts the Company is entitled to for the resale of third-party consumption-based services, prior to payment becoming unconditional. In these transactions, the Company invoices clients for the gross amount of consideration it is responsible to collect, including amounts ultimately passed on to the third-party service providers. As of September 30, 2025, contract assets, net of allowances, were $122,519,000.

Gross contract assets by our internal risk ratings as of September 30, 2025 are summarized as follows (in thousands):


	Contract Assets
Low risk	$	38,729
Moderate risk	57,058
High risk	35,197
Total contract assets	$	130,984

Changes in the contract liabilities balances during the nine months ended September 30, 2025 are as follows (in thousands):


	Contract Liabilities
Balances at December 31, 2024	$	109,615
Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied	(68,943)
Cash received in advance and not recognized as revenue	79,496
Balances at September 30, 2025	$	120,168

During the nine months ended September 30, 2024, the Company recognized revenue of $80,520,000 related to its contract liabilities.

Transaction price allocated to the remaining performance obligations

The following table includes estimated net sales related to performance obligations that are unsatisfied (or partially unsatisfied) as of September 30, 2025 that are expected to be recognized in the future (in thousands):


	Services
Remainder of 2025	$	45,434
2026	97,911
2027	59,490
2028 and thereafter	54,555
Total remaining performance obligations	$	257,390

With the exception of remaining performance obligations associated with our OneCall Support Services contracts which are included in the table above regardless of original duration, the remaining performance obligations that have original expected durations of one year or less are not included in the table above. Amounts not included in the table above have an average original expected duration of six months. Additionally, for our time and material services contracts, whereby we have the right to consideration from a client in an amount that corresponds directly with the value to the client of our performance completed to date, we recognized revenue in the amount to which we have a right to invoice as of September 30, 2025 and do not disclose information about related remaining performance obligations in the table above. Our time and material contracts have an average expected duration of 25 months.