v3.26.1
Note 2 - Contracts With Customers
3 Months Ended
Mar. 31, 2026
Notes to Financial Statements  
Revenue from Contract with Customer [Text Block]

(2)

CONTRACTS WITH CUSTOMERS

 

We derive a majority of our revenue from renewable subscription‑based service agreements with our customers. These arrangements represent a single promise to stand ready to provide services over the contractual term and are recognized ratably as the related services are provided. As a result, the significant majority of our revenue is recognized over time.

 

Revenue recognized over time totaled $33.3 million and $31.0 million for the three months ended March 31, 2026 and 2025, respectively. Revenue associated with performance obligations satisfied at a point in time, including one‑time specified services, as well as revenue from fixed, non‑subscription and unit‑priced service arrangements, was not material for either period.

 

Total revenue for the three months ended March 31, 2026, was $34.8 million, compared to $33.6 million for the three months ended March 31, 2025, with the increase primarily attributable to growth in subscription‑based services.

 

Our revenue recognition patterns during the quarter are consistent with those disclosed in our Annual Report on Form 10‑K.

 

The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (in thousands):

 

   

March 31,

2026

   

December 31,

2025

 

Trade accounts receivables

  $ 10,833     $ 11,108  

Contract assets included in other current assets

  $ 75     $ 132  
                 

Deferred revenue, current portion

  $ 17,192     $ 16,201  

Noncurrent deferred revenue included in other long-term liabilities

  $ 18     $ 74  

 

Deferred revenue increased by $1.0 million primarily due to new billings exceeding revenue recognized during the period.  

 

We have elected to apply the practical expedient to not disclose the value of unsatisfied performance obligations for contracts with an original expected length of one year or less. Total remaining contract revenue for contracts with original duration of greater than one year expected to be recognized in the future related to performance obligations that are unsatisfied at March 31, 2026, approximated $194.5 million, of which $61.5 million is expected to be recognized over the next 12 months, with the remainder recognized thereafter.