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CONTRACT ASSETS AND LIABILITIES
 6 Months Ended
Jun. 30, 2023
Contractors [Abstract]  
CONTRACT ASSETS AND LIABILITIES CONTRACT ASSETS AND LIABILITIES
Under our customized pump production and water and wastewater project contracts in our IPS segment, amounts are billed as work progresses in accordance with agreed-upon contractual terms, upon various measures of performance, including achievement of certain milestones, completion of specified units, or completion of a contract. Generally, billing occurs subsequent to revenue recognition, resulting in contract assets presented as "Costs and estimated profits in excess of billings". However, we sometimes receive advances or deposits from our customers before revenue is recognized, resulting in contract liabilities that are presented as “Billings in excess of costs and estimated profits” on our unaudited condensed consolidated balance sheets.

Costs and estimated profits on uncompleted contracts and related amounts billed were as follows (in thousands):

 June 30, 2023December 31, 2022
Costs incurred on uncompleted contracts$97,872 $70,329 
Estimated profits, thereon31,966 23,274 
Total costs and estimated profits on uncompleted contracts129,838 93,603 
Less: billings to date88,414 80,421 
Net$41,424 $13,182 

Such amounts were included in the accompanying unaudited condensed consolidated balance sheets for June 30, 2023 and December 31, 2022 under the following captions (in thousands):

 June 30, 2023December 31, 2022
Costs and estimated profits in excess of billings$46,770 $23,588 
Billings in excess of costs and estimated profits(5,333)(10,411)
Translation adjustment(13)5 
Net$41,424 $13,182 

During the six months ended June 30, 2023, $10.0 million of the balances that were previously classified as contract liabilities at the beginning of the period were recognized in revenues. Contract asset and liability changes were primarily due to normal activity and timing differences between our performance and customer payments.