v3.25.2
Revenue Recognition (Tables)
6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Summary of Net Accounts Receivable, Including Unbilled Accounts Receivable

The majority of the Company’s customers are invoiced on a monthly basis following the month of the delivery of services and are required to make payments under standard credit terms. Net accounts receivable was $7.4 million, including unbilled accounts receivable of $1.5 million, at January 1, 2024. Net accounts receivable, including unbilled accounts receivable, consists of the following as of the periods below:

 

 

June 30,

 

 

December 31,

 

(In Thousands)

 

2025

 

 

2024

 

Accounts receivable:

 

 

 

 

 

 

Billed

 

$

5,937

 

 

$

5,420

 

Unbilled

 

 

1,657

 

 

 

1,736

 

Allowance for expected credit losses

 

 

(33

)

 

 

(84

)

Accounts receivable, net

 

$

7,561

 

 

$

7,072

 

Summary of Contract Liabilities

Customer payments received in advance of revenue recognition are considered contract liabilities and are recorded as deferred revenue. The beginning and ending deferred revenue balances and activity during the period consists of the following:

(In Thousands)

 

 

 

Balance at December 31, 2024

 

$

1,093

 

      Deferral of revenue

 

 

438

 

      Revenue earned from deferred revenue

 

 

(725

)

Balance at June 30, 2025

 

$

806

 

Summary of Contract Assets, Net

The Company’s incremental direct costs of obtaining a contract, which consist primarily of sales incentive compensation including commissions, are generally deferred and amortized to sales and marketing expense over the estimated life of the relevant customer relationship. The Company’s net contract acquisition costs shown below consist of $0.9 million and $0.8 million in Prepaid expenses and other current assets on the June 30, 2025 and December 31, 2024 Consolidated Balance Sheets, respectively, and $0.4 million in Other assets, net on both the June 30, 2025 and December 31, 2024 Consolidated Balance Sheets. The gross and net amounts consist of the following:

 

 

June 30,

 

 

December 31,

 

(In Thousands)

 

2025

 

 

2024

 

Contract assets:

 

 

 

 

 

 

Gross balance

 

$

4,039

 

 

$

3,407

 

Accumulated amortization

 

 

(2,787

)

 

 

(2,247

)

Contract assets, net

 

$

1,252

 

 

$

1,160