REVENUE RECOGNITION

3 Months Ended

Mar. 31, 2022

Revenue from Contract with Customer [Abstract]

REVENUE RECOGNITION

21. REVENUE RECOGNITION:

The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers (Topic 606). The standard establishes the principles that an entity shall apply to report useful information to users of financial statements about the nature, amount, timing, and uncertainty of revenue and cash flows from a contract with a customer.

For both three month periods ended March 31, 2022 and 2021, the Company recorded 97% of its revenue from OLED related sales and 3% from the providing of services through Adesis, respectively.

Contract Balances

The following table provides information about assets and liabilities associated with our contracts from customers (in thousands):

	As of March 31, 2022
Accounts receivable	$	104,947
Short-term unbilled receivables		12,774
Long-term unbilled receivables		—
Short-term deferred revenue		111,778
Long-term deferred revenue		31,735

Short-term and long-term unbilled receivables are classified as other current assets and other assets, respectively, on the Consolidated Balance Sheets. The deferred revenue balance at March 31, 2022 will be recognized as materials are shipped to customers over the remaining contract periods. As of March 31, 2022, the Company had $23.8 million of backlog associated with committed purchase orders from its customers for phosphorescent emitter material. These orders are anticipated to be fulfilled within the next 90 days.

Significant changes in the unbilled receivables and deferred liabilities balances for the three months ended March 31, 2022 and 2021, are as follows (in thousands):

	Three Months Ended March 31, 2022
	Unbilled Receivables		Deferred Revenue
Balance at December 31, 2021	$	8,127	$	(157,081	)
Revenue recognized that was previously included in deferred revenue, net		—		57,594
Increases due to cash received		—		(45,891	)
Cumulative catch-up adjustment arising from changes in estimates of    transaction price, net		—		1,865
Unbilled receivables recorded, net		4,647		—
Net change		4,647		13,568
Balance at March 31, 2022	$	12,774	$	(143,513	)

	Three Months Ended March 31, 2021
	Unbilled Receivables			Deferred Revenue
Balance at December 31, 2020	$	10,429		$	(162,301	)
Revenue recognized that was previously included in deferred revenue, net		—			33,439
Increases due to cash received		—			(53,000	)
Cumulative catch-up adjustment arising from changes in estimates of    transaction price, net		—			3,738
Unbilled receivables recorded, net		20,471			—
Transferred to receivables from unbilled receivables		(6,000	)		—
Net change		14,471			(15,823	)
Balance at March 31, 2021	$	24,900		$	(178,124	)

The cumulative catch-up adjustment arising from changes in estimates of transaction price, net for the three months ended March 31, 2022 decreased by $1.9 million as compared to the three months ended March 31, 2021.