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Revenue Recognition
 9 Months Ended
Sep. 30, 2020
Revenue from Contract with Customer [Abstract]  
Revenue Recognition

Note 10 - Revenue Recognition

 

Disaggregation of Revenue

 

We have identified four material revenue categories in our business: (i) verification and certification service revenue, (ii) product sales, (iii) software license, maintenance and support services revenue and (iv) software-related consulting service revenue.

 

Revenue attributable to each of our identified revenue categories is disaggregated in the table below (amounts in thousands).

 

    Three months ended September 30, 2020     Three months ended September 30, 2019  
    Verification
and
Certification
Segment		     Software
Sales and
Related
Consulting
Segment		     Eliminations
and Other		     Consolidated     Verification
and Certification
Segment		     Software
Sales and
Related
Consulting
Segment		     Eliminations
and Other		     Consolidated  
Verification and certification service revenue   $   4,307     $            -     $ -     $      4,307     $ 4,759     $ -     $           -     $ 4,759  
Product sales     1,362       -       -       1,362       1,086       -       -       1,086  
Software license, maintenance and support services revenue     -       245       -       245       -       287       (60 )     227  
Software-related consulting service revenue     -       283       -       283       -       197       (37 )     160  
Total revenues   $ 5,669     $ 528     $         -     $ 6,197     $ 5,845     $    484     $ (97 )   $        6,232  

 

    Nine months ended September 30, 2020     Nine months ended September 30, 2019  
    Verification
and
Certification
Segment		     Software
Sales and
Related
Consulting
Segment		     Eliminations
and Other		     Consolidated     Verification
and
Certification
Segment		     Software
Sales and
Related
Consulting
Segment		     Eliminations
and Other		     Consolidated  
Verification and certification service revenue   $ 10,218     $           -     $             -     $ 10,218     $ 11,314     $         -     $           -     $ 11,314  
Product sales     2,883       -       -       2,883       2,363       -       -       2,363  
Software license, maintenance and support services revenue     -       715       (90 )     625       -       969       (147 )     822  
Software-related consulting service revenue     -       823       (24 )     799       -       661       (85 )     576  
Total revenues   $ 13,101     $ 1,538     $ (114 )   $ 14,525     $ 13,677     $ 1,630     $ (232 )   $ 15,075  

 

Contract Balances

 

As of September 30, 2020, and December 31, 2019, accounts receivable from contracts with customers, net of allowance for doubtful accounts, were approximately $2.5 million.

 

As of September 30, 2020, and December 31, 2019, deferred revenue from contracts with customers was approximately $1.1 and $0.8 million, respectively. The balance of the contract liabilities at September 30, 2020 and December 31, 2019 are expected to be recognized as revenue within one year or less of the invoice date.

 

The following table reflects the changes in our contract liabilities during the three month period ended September 30, 2020:

 

Deferred revenue (in thousands):      
Unearned revenue June 30, 2020   $ 1,206  
Unearned billings     671  
Revenue recognized     (729 )
Unearned revenue September 30, 2020   $ 1,148  

 

The following table reflects the changes in our contract liabilities during the nine month period ended September 30, 2020:

 

Deferred revenue (in thousands):      
Unearned revenue January 1, 2020   $ 797  
Unearned billings     2,408  
Revenue recognized     (2,057 )
Unearned revenue September 30, 2020   $ 1,148