v3.25.4
ACCOUNTS RECEIVABLE, NET AND CONTRACT BALANCES
 9 Months Ended
Sep. 30, 2025
Receivables [Abstract]  
ACCOUNTS RECEIVABLE, NET AND CONTRACT BALANCES ACCOUNTS RECEIVABLE, NET AND CONTRACT BALANCES
The Company classifies its right to consideration in exchange for deliverables as either a receivable or a contract asset.
Accounts Receivable, Net
The opening and closing balances of accounts receivable, net is as follows:
September 30, 2025December 31, 2024
Balance at beginning of the year$9,864 $6,001 
Ending balance7,918 9,864 
Change$(1,946)$3,863 
The Company recognizes an accounts receivable allowance based on estimates of expected credit losses. The following table represents a roll-forward of the Company’s allowance for expected credit losses:
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Balance as of beginning of period$119 $177 $96 $496 
Provision for expected credit losses123 150 335 363 
Recoveries(81)(160)(248)(486)
Write-offs charged against the allowance(69)(43)(91)(249)
Balance as of end of period92 124 92 124 
Contract Balances
The opening and closing balances of contract assets (unbilled receivables) are as follows:
September 30, 2025December 31, 2024
Balance at beginning of the year$4,074 $5,942 
Ending balance2,629 4,074 
Change$(1,445)$(1,868)
The difference between the opening and closing balances of the Company’s contract assets (unbilled receivables) primarily results from timing differences between the Company’s performance and the Company’s invoicing as well as the number of active installation projects.
The opening and closing balances of contract liabilities (deferred revenue) were as follows:
September 30, 2025December 31, 2024
Balance at beginning of the year$33,182 $39,579 
Ending balance27,957 33,182 
Change$(5,225)$(6,397)
The difference between the opening and closing balances of the Company’s contract liabilities (deferred revenue) primarily relates to a shift from multi-year contracts billed upfront to contracts billed on an annual basis, resulting in less deferred revenue being added upon invoice date.
The Company recognized $3.3 million and $11.6 million of prior year deferred software revenue during the three and nine months ended September 30, 2025, respectively, and $3.5 million and $11.7 million of prior year deferred software revenue during the three and nine months ended September 30, 2024, respectively.
Contract liabilities (deferred revenue) consisted of the following:
September 30, 2025December 31, 2024
Revenue$13,291 $14,419 
Interest expense(1,840)(2,519)
Total current deferred revenue$11,451 $11,900 
Revenue$19,887 $25,990 
Interest expense(3,381)(4,708)
Total non-current deferred revenue$16,506 $21,282