v3.26.1
Revenue recognition
 6 Months Ended
Jun. 30, 2026
Revenue from Contract with Customer [Abstract]  
Revenue recognition
6. Revenue recognition
Operating revenue in the Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income includes revenue from sales of LNG and natural gas as well as outputs from the Company’s natural gas-fueled power generation facilities, including power and steam, and the sale of LNG cargos. LNG cargo sales for the three and six months ended June 30, 2026 were $24,615 and $68,541, respectively. LNG cargo sales for the three and six months ended June 30, 2025 were $24,304 and $207,035, respectively.
The table below summarizes the activity in Other revenue:
Three Months Ended
June 30,		Six Months Ended
June 30,
2026202520262025
Interest income and other revenue$69 $— $184 $11,449 
Operation and maintenance revenue22,631 27,580 52,084 56,350 
Total other revenue$22,700 $27,580 $52,268 $67,799 
Operation and maintenance revenue is recognized by the Company's subsidiary, Genera PR LLC ("Genera"), under its contract for the operation and maintenance of PREPA's thermal generation assets. Under this agreement, Genera is paid a fixed annual fee and reimbursed for pass-through expenses, including payroll expenses of Genera employees.
Under most customer contracts, invoicing occurs once the Company’s performance obligations have been satisfied, at which point payment is unconditional. As of June 30, 2026 and December 31, 2025, receivables related to revenue from contracts with customers totaled $244,763 and $388,683, respectively, and were included in Receivables, net on the Condensed Consolidated Balance Sheets, net of current expected credit losses of $17,385 and $17,424, respectively. Other
items included in Receivables, net that are not related to revenue from contracts with customers represent lease receivables and receivables due under the structured trading operation (Note 5), which are accounted for outside the scope of ASC 606.
Contract assets include unbilled amounts resulting from contracts, in which the performance obligation is satisfied and revenue is recognized while our right to receipt is conditional upon certain considerations. The Company has recognized contract liabilities, comprised of unconditional payments due or paid under the contracts with customers prior to the Company’s satisfaction of the related performance obligations. The contract assets and contract liabilities balances as of June 30, 2026 and December 31, 2025 are detailed below:
June 30, 2026December 31, 2025
Contract assets, net - current$19,849 $21,791 
Contract assets, net - non-current10,000 10,375 
Total contract assets, net$29,849 $32,166 
Contract liabilities, net - current$13,808 $14,133 
Contract liabilities, net - non-current9,000 9,750 
Total contract liabilities, net$22,808 $23,883 
Revenue recognized in the year from:
Amounts included in contract liabilities at the beginning of the year$3,001 $4,051 
Contract assets are presented net of expected credit losses of $188 and $297 as of June 30, 2026 and December 31, 2025, respectively.
The Company has recognized costs to fulfill contracts with customers, which primarily consist of expenses required to enhance resources to deliver under agreements with these customers. These costs can include set-up and mobilization costs incurred ahead of the service period, and such costs will be recognized on a straight-line basis over the expected term of the agreement. Capitalized costs to fulfill contracts with customers are included within Prepaid expenses and other current assets, net (current portion) and Other non-current assets, net (non-current portion) in the Condensed Consolidated Balance Sheets.
The following table summarizes the capitalized costs to fulfill contracts with customers as of June 30, 2026 and December 31, 2025:
June 30, 2026December 31, 2025
Capitalized costs to fulfill contracts with customers - current$1,602 1,602 
Capitalized costs to fulfill contracts with customers - non-current$9,624 10,425 
In addition to the revenue recognized under ASC 606, in the fourth quarter of 2024, the Company novated an LNG supply contract to a customer, and the Company received a payment of $295,558. As this payment was non-refundable and relieved the Company of a portion of its guarantee obligation under this arrangement, these payments were recognized as contract novation income with the revenue caption in the Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income. For the three and six months ended June 30, 2026, the Company recognized $1,275 and $2,218 of contract novation income, respectively. For the three and six months ended June 30, 2025, the Company recognized $1,693 and $3,439 of contract novation income, respectively. Contract novation income represents the accretion to the remaining payments that will be made between the third quarter of 2026 and the first quarter of 2028 (Note 11).
Transaction price allocated to remaining performance obligations
Some of the Company’s contracts are short-term in nature with a contract term of less than a year. The Company applied the optional exemption not to report any unfulfilled performance obligations related to these contracts.
The Company has arrangements in which LNG, natural gas or outputs from the Company’s power generation facilities are sold on a “take-or-pay” basis whereby the customer is obligated to pay for the minimum guaranteed volumes even if it does not take delivery. The price under these agreements is typically based on a market index plus a fixed margin. The fixed transaction price allocated to the remaining performance obligations under these arrangements represents the fixed margin multiplied by the outstanding minimum guaranteed volumes. The Company expects to recognize this revenue over the following time periods. The pattern of recognition reflects the minimum guaranteed volumes in each period:
PeriodRevenue
Remainder of 2026
$243,885 
2027723,695 
2028712,310 
2029701,044 
2030700,394 
Thereafter7,091,170 
Total$10,172,498 
For all other sales contracts that have a term exceeding one year, the Company has elected the practical expedient in ASC 606. Under this expedient, the Company does not disclose the transaction price allocated to remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. For these excluded contracts, the sources of variability are (a) the market index prices of natural gas used to price the contracts, and (b) the variation in volumes that may be delivered to the customer. Both sources of variability are expected to be resolved at or shortly before delivery of each unit of LNG, natural gas or power. As each unit of LNG, natural gas or power represents a separate performance obligation, future volumes are wholly unsatisfied.
Lessor arrangements
Vessels that are chartered to customers under operating leases are recognized within Vessels in Note 13. Vessels that are accounted for as a failed sale leaseback as of June 30, 2026 and December 31, 2025, including those vessels chartered to third parties, continue to be recognized on the Condensed Consolidated Balance Sheets, and as such, the carrying amount of these vessels that are leased to third parties under long-term operating leases is as follows:
June 30, 2026December 31, 2025
Property, plant and equipment$137,562 $154,196 
Accumulated depreciation(39,177)(38,661)
Property, plant and equipment, net$98,385 $115,535 
The components of lease income from vessel operating leases for the three and six months ended June 30, 2026 and 2025 are shown below, inclusive of vessels accounted for as a failed sale leaseback.
Three Months Ended
June 30,		Six Months Ended
June 30,
2026202520262025
Operating lease income$15,015 $44,231 $23,831 $85,138 
Variable lease income1,076 2,508 3,488 7,037 
Total operating lease income$16,091 $46,739 $27,319 $92,175 
Cash receipts on long-term vessel charters that are part of the failed sale leaseback transaction are received by Energos. As such, future cash receipts from both operating and finance leases were not significant as of June 30, 2026 and 2025.