Transfer of Financial Assets |
3 Months Ended |
|---|---|
Mar. 31, 2026 | |
| Transfers and Servicing [Abstract] | |
| Transfer of Financial Assets | Transfer of Financial Assets The Company has an arrangement with a financial institution to sell certain U.S. trade receivables of a single customer on a non-recourse basis. Under the terms of the agreement, the Company receives cash proceeds and retains no rights or interest and has no obligations with respect to the sold receivables. These transactions, which are accounted for as sold receivables, result in a reduction in trade receivables because the agreement transfers effective control over and risk related to the receivables to the buyer. Under this arrangement, the Company derecognized $4.3 million and $32.4 million of trade receivables during the three months ended March 31, 2026 and March 31, 2025, respectively, and $145.0 million during the year ended December 31, 2025. The decrease in derecognized trade receivables for the three months ended March 31, 2026 is due to the Company’s decision to transition away from the arrangement. The loss incurred on sold receivables in the Consolidated Statements of Operations for the three months ended March 31, 2026 and 2025 was not material. The Company does not carry any servicing assets or liabilities. Cash proceeds from this arrangement are reflected as operating activities in the Consolidated Statements of Cash Flows.
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