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REVENUE FROM CONTRACTS WITH CUSTOMERS
 6 Months Ended
Jun. 27, 2026
Revenue from Contract with Customer [Abstract]  
REVENUE FROM CONTRACTS WITH CUSTOMERS REVENUE FROM CONTRACTS WITH CUSTOMERS
Disaggregation of Revenue
The following table disaggregates the Company’s revenue by reportable segment and timing of transfer of products or services:
Three Months EndedSix Months Ended
June 27, 2026June 28, 2025June 27, 2026June 28, 2025
(in thousands)
Timing of Revenue Recognition:
RMS
Services and products transferred over time$94,370 $97,748 $188,573 $194,752 
Services and products transferred at a point in time115,105 115,523 229,269 231,592 
Total RMS revenue209,475 213,271 417,842 426,344 
DSA
Services and products transferred over time605,935 617,865 1,202,168 1,209,385 
Services and products transferred at a point in time572 164 1,262 1,253 
Total DSA revenue606,507 618,029 1,203,430 1,210,638 
Manufacturing
Services and products transferred over time84,904 106,617 175,797 198,084 
Services and products transferred at a point in time103,192 94,218 202,839 181,237 
Total Manufacturing revenue188,096 200,835 378,636 379,321 
Total revenue$1,004,078 $1,032,135 $1,999,908 $2,016,303 
Contract Balances from Contracts with Customers
The following table provides information about client receivables, contract assets, and contract liabilities from contracts with customers:
June 27, 2026December 27, 2025
(in thousands)
Assets from contracts with customers
Client receivables$524,810 $518,728 
Unbilled revenue195,660 200,591 
Total720,470 719,319 
Less: Allowance for credit losses(8,715)(10,463)
Trade receivables and contract assets, net$711,755 $708,856 
Liabilities from contracts with customers
Current deferred revenue$203,035 $210,418 
Long-term deferred revenue (included in Other long-term liabilities)48,137 45,632 
Customer contract deposits (included in Other current liabilities)100,447 106,599 
Approximately 85% of unbilled revenue as of December 27, 2025, which was $201 million, was billed during the six months ended June 27, 2026. Approximately 85% of unbilled revenue as of December 28, 2024, which was $212 million, was billed during the six months ended June 28, 2025.
Approximately 70% of contract liabilities as of December 27, 2025, which was $256 million, were recognized as revenue during the six months ended June 27, 2026. Approximately 70% of contract liabilities as of December 28, 2024, which was $283 million, were recognized as revenue during the six months ended June 28, 2025.
When the Company does not have the unconditional right to advanced billings, both advanced client payments and unpaid advanced client billings are excluded from deferred revenue, with the advanced billings also being excluded from client receivables. The Company excluded approximately $50 million and $43 million of unpaid advanced client billings from both client receivables and deferred revenue in the accompanying unaudited condensed consolidated balance sheets as of June 27, 2026 and December 27, 2025, respectively.
Allowance for Credit Losses
The following is a summary of the activity of the Company’s allowance for credit losses:
Six Months Ended
June 27, 2026June 28, 2025
(in thousands)
Beginning balance$10,463 $18,301 
Provisions1,124 2,191 
Reductions(2,872)(7,654)
Ending balance$8,715 $12,838 
Net recoveries were $0.2 million during the six months ended June 27, 2026, while net provision expenses were $1.0 million during the six months ended June 28, 2025. These amounts include recoveries of balances previously written off, which are excluded from the table above.
Transaction Price Allocated to Future Performance Obligations
The Company discloses the aggregate amount of transaction price that is allocated to performance obligations that have not yet been satisfied as of June 27, 2026. Excluded from the disclosure is the value of unsatisfied performance obligations for contracts with an original expected length of one year or less, contracts for which revenue is recognized at the amount to which the Company has the right to invoice for services performed, and service revenue recognized in accordance with ASC 842, “Leases.” The aggregate amount of transaction price allocated to the remaining performance obligations for all open customer contracts as of June 27, 2026 was $699.9 million. The Company will recognize revenues for these performance obligations as they are satisfied, approximately 50% of which is expected to occur within the next twelve months and the remainder recognized thereafter during the remaining contract term.
Other Performance Obligations
As part of the Company’s service offerings, the Company has identified performance obligations related to leasing Company owned assets. In certain arrangements, customers obtain substantially all of the economic benefits of the identified assets, which may include manufacturing suites and related equipment, and have the right to direct the assets’ use over the term of the contract. The associated revenue is recognized on a straight-line basis over the term of the lease, which is generally less than one year, and recorded within service revenue. The Company recognized $8.7 million and $12.1 million in lease revenue during the three months ended June 27, 2026 and June 28, 2025. The Company recognized $20.9 million and $23.6 million in lease revenue during the six months ended June 27, 2026 and June 28, 2025. Due to the nature of these arrangements and timing of the contractual lease term, the remaining revenue to be recognized related to these lease performance obligations is not material to the unaudited condensed consolidated financial statements.