v3.26.1
Revenue recognition
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Revenue recognition
3. Revenue recognition
Disaggregation of Revenue—The following table presents revenue disaggregated by product offering for each segment (in thousands):

Three Months Ended March 31,
20262025
Enterprise:
Subscription
$132,123 $127,002 
Other
766 746 
Enterprise revenue
$132,889 $127,748 
Consumer:
Subscription
$14,402 $9,281 
Transactional and other
44,116 63,271 
Consumer revenue
$58,518 $72,552 
Total revenue
$191,407 $200,300 
Enterprise subscription revenue is recognized ratably over the respective contractual subscription term beginning on the date that the platform is made available to the customer. Other Enterprise revenue is primarily comprised of professional services arrangements, which are generally offered as fixed price contracts and recognized on a proportional performance basis.
Consumer subscription revenue is recognized ratably over the respective contractual subscription term beginning on the date that the platform is made available to the customer. Transactional and other revenue is primarily comprised of sales of single courses, which are recognized ratably over the estimated service period of four months, as well as other products sold on the consumer marketplace on a non-recurring basis, which were not material for the periods presented.
Deferred revenue— Revenue recognized for the three months ended March 31, 2026, from amounts included in deferred revenue as of December 31, 2025 was $145.4 million. Revenue recognized for the three months ended March 31, 2025, from amounts included in deferred revenue as of December 31, 2024 was $150.9 million.
The below table presents a summary of deferred revenue balances by reportable segment (in thousands):
March 31,December 31,December 31,
202620252024
Deferred revenue:
Enterprise
$250,769 $243,771 $233,466 
Consumer50,224 51,548 60,078 
Total deferred revenue$300,993 $295,319 $293,544 

Remaining performance obligations— Remaining performance obligations represent the aggregate amount of the transaction price in contracts for performance obligations not delivered, or partially undelivered, as of the end of the reporting period. Remaining performance obligations primarily relate to deferred revenue and unbilled revenue related to multi-year Enterprise subscription contracts with future installment billings, as well as unearned revenue from consumer single course purchases and subscriptions at the end of any given period. As of March 31, 2026, the aggregate transaction price for remaining performance obligations was $579.7 million, of which 72% is expected to be recognized over the next twelve months and the remainder thereafter.
Deferred contract costs— The following table represents a roll forward of the Company’s deferred contract costs (in thousands):
Balance at Beginning of PeriodAdditionsAmortization ExpenseBalance at End of Period
Three Months Ended March 31, 2026$71,918 $20,592 $(17,375)$75,135 
Three Months Ended March 31, 2025$73,053 $19,495 $(15,620)$76,928