Note 11 - Contract Liabilities |
3 Months Ended |
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Mar. 31, 2026 | |
| Notes to Financial Statements | |
| Revenue from Contract with Customer [Text Block] |
11. Contract Liabilities
While the Company’s standard payment terms for its customers are less than one year, the specific payment terms and conditions in its customer contracts vary. In some cases, customers prepay for their goods or services; in other cases, after appropriate credit evaluation, an open credit line is granted and payment is due in arrears after shipment of the product to the customer or performance of the service. Contracts with payment in arrears are recognized in the condensed consolidated balance sheets as accounts receivable or as prepaid expenses and other current assets upon revenue recognition, while contracts where customers pay in advance of performance are recognized as deferred revenue and recorded in other accrued liabilities (for the portion expected to be recognized within twelve months) or long-term deferred revenue (for the portion not expected to be recognized within twelve months) in the condensed consolidated balance sheets, until revenue is recognized.
The balance of customer deposits and other contract liabilities, excluding the extended warranty deferred revenue balance disclosed in Note 10, was $137,438 and $151,257 as of March 31, 2026, and December 31, 2025, respectively. During the three months ended March 31, 2026, the Company recognized revenue of $46,832 related to amounts included in the December 31, 2025 contract liability balance. As of March 31, 2026, the aggregate amount of revenue that the Company expects to recognize on remaining performance obligations (excluding extended warranty) was approximately $272,000, of which approximately 90% is expected to be recognized as revenue over the next years. We have applied the practical expedient to exclude the value of remaining performance obligations for contracts with an original term of one year or less.
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