v3.25.2
Revenue
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
Contract Assets and Deferred Revenue
Contract assets represent rights to consideration in exchange for goods or services transferred to a customer when that right is conditional on something other than the passage of time. Deferred revenue represents contract liabilities.
Net contract assets (liabilities) are as follows:
June 30, 2025December 31, 2024
Contract assets - current$14.9 $16.0 
Contract assets - long-term(i)
5.0 6.0 
Deferred revenue - current(220.2)(210.4)
Deferred revenue - long-term(106.3)(108.8)
(i) Reported in other long-term assets on the company’s consolidated balance sheets.
Significant changes in the above contract liability balances were as follows:
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Revenue recognized that was included in deferred revenue at the beginning of the period$58.6 $58.9 $130.0 $137.8 
Capitalized Contract Costs
The company’s capitalized contract costs, net include the following:

June 30, 2025December 31, 2024
Deferred commissions, net
$6.7 $7.2 
Costs to fulfill a contract, net
16.5 12.9 
Other capitalized assets, net
9.5 11.1 
Total capitalized contract costs, net
$32.7 $31.2 
Deferred commissions, net represent incremental direct costs of obtaining a contract, which are deferred and amortized ratably over the initial contract life. These costs are reported in selling and administrative expense in the company’s consolidated statements of income (loss).
Client contract costs are generally expensed as incurred. However, certain costs incurred upon initiation of a client contract (costs to fulfill a contract), principally initial client setup, are capitalized and expensed over the initial contract life. These costs are amortized over the initial contract life and reported in cost of revenue in the company’s consolidated statements of income (loss).
The remaining balance of capitalized contract costs, net is comprised of fixed assets and software used in connection with outsourcing contracts. These costs are capitalized and depreciated over the shorter of the initial contract life or in accordance with the company’s fixed asset policy.
For the three months ended June 30, 2025 and 2024, amortization expense related to capitalized contract costs assets, net was $4.5 million and $6.4 million, respectively. For the six months ended June 30, 2025 and 2024, amortization expense related to capitalized contract costs assets, net was $7.5 million and $12.6 million, respectively.
Remaining Performance Obligations
Remaining performance obligations represent the transaction price of firm orders for which work has not been performed and excludes (i) contracts with an original expected length of one year or less and (ii) contracts for which the company recognizes revenue at the amount to which it has the right to invoice for services performed. At June 30, 2025, the company had approximately $0.9 billion of remaining performance obligations of which approximately 22% is estimated to be recognized as revenue by the end of 2025, 29% by the end of 2026, 25% by the end of 2027, 16% by the end of 2028 and 8% thereafter.