REVENUE |
3 Months Ended | ||||||||||||||||||||
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Jun. 30, 2026 | |||||||||||||||||||||
| Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||
| REVENUE | NOTE 3 – REVENUE Deferred Revenue During the three months ended June 30, 2026, the Company recognized revenue of $107.5 million related to the Company's deferred revenue balance reported at March 31, 2026. Performance Obligations The Company did not have any material variable consideration such as obligations for returns, refunds or warranties at June 30, 2026. At June 30, 2026, the Company had total deferred revenue and customer deposits of $472.3 million, which represents the aggregate total contract price allocated to undelivered performance obligations. The Company expects to recognize $313.3 million, or 66 %, of this revenue during the next 12 months, and expects to recognize the remaining $159.0 million, or 34 %, of this revenue thereafter. The Company did not have material significant financing components, or variable consideration or performance obligations satisfied in a prior period recognized during the three months ended June 30, 2026. Costs to Obtain Contracts At June 30, 2026, the consolidated balance sheet included $12.2 million in assets related to sales commissions to be expensed in future periods. A balance of $6.6 million was included in prepaid expenses and other current assets, and a balance of $5.6 million was included in other assets in the Company's consolidated balance sheet at June 30, 2026. At March 31, 2026, the consolidated balance sheet included $10.9 million in assets related to sales commissions to be expensed in future periods. A balance of $6.0 million was included in prepaid expenses and other current assets, and a balance of $4.9 million was included in other assets in the Company's consolidated balance sheet at March 31, 2026. During the three months ended June 30, 2026 and 2025, the Company recognized $2.2 million and $1.9 million of amortization related to this sales commission asset, which is included in the sales and marketing expense line in the Company's consolidated statements of operations. Allowance for Credit Losses The Company continually monitors collections from its customers. The Company evaluates the collectability of its accounts receivable and determines the appropriate allowance for credit losses based on a combination of factors, including but not limited to, analysis of the aging schedules, past due balances, historical collection experience and prevailing economic conditions. The following table summarizes the activity in the allowance for credit losses (in thousands):
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