REVENUE RECOGNITION (Tables)

6 Months Ended

Jun. 30, 2025

REVENUE RECOGNITION

Schedule of timing of performance obligation


		When Performance Obligation is Typically
Performance Obligation		Satisfied		When Payment is Typically Due
Software and Product Revenue
Software licenses (perpetual or term)		For perpetual licenses, typically when made available for download (point in time); for term-based licenses, at the beginning of the specified term (point in time)		Generally, within 30-60 days of invoicing, except for term licenses which may be paid for over time
Software licenses (subscription)		Upon activation of hosted site (over time)		Generally, within 30-60 days of invoicing
Hardware		When control of the hardware passes to the customer; typically, upon delivery (point in time)		Generally, within 30-60 days of invoicing
Software upgrades		Upon transfer of control; typically, when made available for download (point in time)		Generally, within 30-60 days of invoicing
Customer Support Revenue
Customer support		Ratably over the course of the support contract (over time)		Generally, within 30-60 days of invoicing
Professional Services
Other professional services (excluding training services)		As work is performed (over time), typically on the input method based on hours incurred		Generally, within 30-60 days of invoicing (upon completion of services)
Training		As the training is delivered (over time), typically one to five days		Generally, within 30-60 days of services being performed

Schedule of disaggregation of revenue


								Service revenue
		Product			Service revenue			(professional
Three months ended June 30, 2025		revenue			(maintenance)			services)			Total revenue
United States		$	59,101		$	33,546		$	23,575		$	116,222
Europe, Middle East and Africa			25,534			18,362			8,217			52,113
Asia Pacific			27,966			9,708			4,078			41,752
Other			2,456			6,681			1,359			10,496
		$	115,057		$	68,297		$	37,229		$	220,583


								Service revenue
		Product			Service revenue			(professional
Three months ended June 30, 2024		revenue			(maintenance)			services)			Total revenue
United States		$	35,368		$	32,639		$	13,462		$	81,469
Europe, Middle East and Africa			33,239			17,491			8,188			58,918
Asia Pacific			26,081			9,759			2,597			38,437
Other			4,445			7,631			1,720			13,796
		$	99,133		$	67,520		$	25,967		$	192,620


								Service revenue
		Product			Service revenue			(professional
Six months ended June 30, 2025		revenue			(maintenance)			services)			Total revenue
United States		$	88,442		$	66,870		$	43,605		$	198,917
Europe, Middle East and Africa			44,994			35,745			16,873			97,612
Asia Pacific			59,005			19,108			6,818			84,931
Other			4,607			12,996			2,799			20,402
		$	197,048		$	134,719		$	70,095		$	401,862


								Service revenue
		Product			Service revenue			(professional
Six months ended June 30, 2024		revenue			(maintenance)			services)			Total revenue
United States		$	61,975		$	65,486		$	25,122		$	152,583
Europe, Middle East and Africa			74,928			35,187			15,886			126,001
Asia Pacific			42,714			20,000			5,524			68,238
Other			7,126			15,228			3,108			25,462
		$	186,743		$	135,901		$	49,640		$	372,284

The Company’s product revenue from its direct sales program and from indirect sales through its channel partner program for the three and six months ended June 30, 2025 and 2024 was as follows (in thousands):


		Three months ended						Six months ended
		June 30,			June 30,			June 30,			June 30,
		2025			2024			2025			2024
Indirect sales through channel partner program		$	38,988		$	31,282		$	61,723		$	76,957
Direct sales			76,069			67,851			135,325			109,786
		$	115,057		$	99,133		$	197,048		$	186,743

The Company’s product revenue from sales to enterprise customers and from sales to service provider customers for the three and six months ended June 30, 2025 and 2024 was as follows (in thousands):


		Three months ended						Six months ended
		June 30,			June 30,			June 30,			June 30,
		2025			2024			2025			2024
Sales to enterprise customers		$	39,052		$	38,040		$	62,284		$	75,910
Sales to service provider customers			76,005			61,093			134,764			110,833
		$	115,057		$	99,133		$	197,048		$	186,743

The Company’s product revenue and service revenue components by segment for the three and six months ended June 30, 2025 and 2024 were as follows (in thousands):


		Three months ended						Six months ended
		June 30,			June 30,			June 30,			June 30,
		2025			2024			2025			2024
Product revenue:
Cloud and Edge		$	56,112		$	39,586		$	87,973		$	71,099
IP Optical Networks			58,945			59,547			109,075			115,644
Total product revenue		$	115,057		$	99,133		$	197,048		$	186,743

Service revenue:
Maintenance:
Cloud and Edge		$	51,816		$	52,663		$	102,584		$	105,859
IP Optical Networks			16,481			14,857			32,135			30,042
Total maintenance revenue			68,297			67,520			134,719			135,901
Professional services:
Cloud and Edge			29,120			18,306			54,082			35,266
IP Optical Networks			8,109			7,661			16,013			14,374
Total professional services revenue			37,229			25,967			70,095			49,640
Total service revenue		$	105,526		$	93,487		$	204,814		$	185,541

Schedule of customer assets and liabilities

The changes in the Company’s accounts receivable, unbilled receivables and deferred revenue balances for the six months ended June 30, 2025 were as follows (in thousands):


					Unbilled			Deferred			Deferred
		Accounts			accounts			revenue			revenue
		receivable			receivable			(current)			(long-term)
Balance at January 1, 2025		$	176,575		$	78,143		$	119,295		$	20,991
Increase (decrease), net			1,109			(6,467)			(4,083)			10,758
Balance at June 30, 2025		$	177,684		$	71,676		$	115,212		$	31,749