v3.26.1
Revenue Recognition
 9 Months Ended
Jun. 30, 2026
Revenue from Contract with Customer [Abstract]  
Revenue Recognition REVENUE RECOGNITION
Disaggregated Revenue

The following tables present the Company's revenues disaggregated by segment and by Products & Systems and Services revenue (in millions):
Three Months Ended June 30,
20262025
Products & SystemsServicesTotalProducts & SystemsServicesTotal
Americas
$3,194 $1,310 $4,504 $2,847 $1,195 $4,042 
EMEA
777 487 1,264 756 517 1,273 
APAC
625 221 846 519 218 737 
Total$4,596 $2,018 $6,614 $4,122 $1,930 $6,052 
Nine Months Ended June 30,
20262025
Products & SystemsServicesTotalProducts & SystemsServicesTotal
Americas
$8,709 $3,759 $12,468 $8,094 $3,412 $11,506 
EMEA
2,338 1,469 3,807 2,177 1,454 3,631 
APAC
1,640 638 2,278 1,401 616 2,017 
Total$12,687 $5,866 $18,553 $11,672 $5,482 $17,154 

Contract Balances

Contract assets relate to the Company’s right to consideration for performance obligations satisfied but not billed. Contract liabilities relate to customer payments received in advance of satisfaction of performance obligations under the contract. Contract balances are classified as assets or liabilities on a contract-by-contract basis at the end of each reporting period. 

The following table presents the location and amount of contract balances in the Company's consolidated statements of financial position (in millions):
Location of contract balancesJune 30, 2026September 30, 2025
Contract assets - currentAccounts receivable - net$2,582 $2,178 
Contract assets - noncurrentOther noncurrent assets6 9 
Contract liabilities - currentDeferred revenue2,943 2,470 
Contract liabilities - noncurrentOther noncurrent liabilities468 478 

For the three months ended June 30, 2026 and 2025, the Company recognized revenue of $363 million and $279 million, respectively, that was included in the contract liability balance at the end of the prior fiscal year. For the nine months ended June 30, 2026 and 2025, the Company recognized revenue of $1,814 million and $1,550 million, respectively, that was included in the contract liability balance at the end of the prior fiscal year.

Performance Obligations

Performance obligations are satisfied at a point in time or over time. The timing of satisfying the performance obligation is typically stipulated by the terms of the contract. As of June 30, 2026, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $27.1 billion, of which approximately 68% is expected to be recognized as revenue over the next two years. The remaining performance obligations expected to be recognized in revenue beyond two years primarily relate to large, multi-purpose construction contracts, which include services to be performed over the building's lifetime, with initial contract terms of 25 to 35 years. Future contract modifications could affect both the timing and the amount of the remaining performance obligations. The Company excludes the value of remaining performance obligations of service contracts with a duration of one year or less and open purchase orders from the indirect third-party sales channel that have a short cycle time (generally 60 days or less).

Costs to Obtain or Fulfill a Contract

The Company recognizes the incremental costs incurred to obtain or fulfill a contract with a customer as an asset when these costs are recoverable. These costs consist primarily of sales commissions and design costs that relate to a contract or an anticipated contract that the Company expects to recover. Costs to obtain or fulfill a contract are capitalized when incurred and amortized to expense over the period of contract performance.
The following table presents the location and amount of costs to obtain or fulfill a contract recorded in the Company's consolidated statements of financial position (in millions):

June 30, 2026September 30, 2025
Other current assets$331 $327 
Other noncurrent assets203 249 
Total$534 $576 

Amortization of costs to obtain or fulfill a contract was $124 million and $104 million during the three months ended June 30, 2026 and 2025, respectively. Amortization of costs to obtain or fulfill a contract was $349 million and $279 million during the nine months ended June 30, 2026 and 2025, respectively.