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Revenue Recognition
9 Months Ended
Mar. 31, 2020
Revenue Recognition  
Revenue Recognition

2. REVENUE RECOGNITION

 

Disaggregation of Revenue

 

The following table presents our subscription and professional services revenue during the three and nine months ended March 31, 2020 and 2019, respectively:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

March 31, 

 

 

March 31, 

 

2020

    

    

2019

 

2020

    

    

2019

Revenue:

 

 

 

 

 

 

 

 

 

 

 

  SaaS

$

14,817

 

$

11,803

 

$

41,279

 

$

33,217

  Legacy

 

2,102

 

 

3,515

 

 

7,555

 

 

11,651

Total subscription

 

16,919

 

 

15,318

 

 

48,834

 

 

44,868

Professional services

 

1,435

 

 

1,686

 

 

4,865

 

 

5,540

Total revenue

$

18,354

 

$

17,004

 

$

53,699

 

$

50,408

 

The following table presents our revenue by geography. Revenue by geography is generally determined on the region of our contracting entity rather than the region of our customer. The relative proportion of our total revenue between each geographic region as presented in the table below was materially consistent across each of our operating regions’ revenue for the periods presented.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

March 31, 

 

 

March 31, 

 

2020

    

    

2019

 

2020

    

    

2019

Revenue:

 

 

 

 

 

 

 

 

 

 

 

North America

$

11,485

 

$

9,669

 

$

32,049

 

$

28,209

Europe, Middle East, & Africa

 

6,869

 

 

7,335

 

 

21,650

 

 

22,199

Total revenue

$

18,354

 

$

17,004

 

$

53,699

 

$

50,408

Contract Balances

Contract assets consist of unbilled receivables for which we have the right to consideration for completed performance obligations that have not been invoiced. Contract liabilities consist of deferred revenue for which we have an obligation to transfer services to customers and have received consideration in advance or the amount is due from customers. Once the obligations are fulfilled, then deferred revenue is recognized to revenue in the respective period.

 

The following table presents the changes in contract liabilities (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    

Balance as of June 30, 2019
($)

    

Additions
($)

 

Deductions
($)

 

Balance as of March 31, 2020
($)

Contract liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Deferred revenue

 

 

30,688

 

 

48,755

 

 

(53,483)

 

 

25,960

Deferred revenue, net of current portion

 

 

5,801

 

 

 —

 

 

(540)

 

 

5,261

 

With respect to deferred revenue balances as of June 30, 2019, $6.4 million and $28.2 million was recognized to revenue during the three and nine months ended March 31, 2020, respectively.

 

Remaining Performance Obligations

 

Remaining performance obligations represent contracted revenue that had not yet been recognized, and include deferred revenue, invoices that have been issued to customers but were uncollected and have not been recognized as revenue, and amounts that will be invoiced and recognized as revenue in future periods.  The transaction price allocated to the remaining performance obligation is influenced by a variety of factors, including seasonality, timing of renewals, average contract terms and foreign currency exchange rates. As of March 31, 2020, our remaining performance obligations were $64.3 million of which we expect to recognize $41.9 million and $22.4 million as revenue within one year and beyond one year, respectively.