Revenues

9 Months Ended

Sep. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenues

Revenues

Nature of Products and Services

The following tables present our revenues by primary product and service offering and reportable segment (in thousands):

	Three Months Ended September 30, 2024						Three Months Ended September 30, 2023
	TASER		Software and Sensors		Total		TASER		Software and Sensors		Total
TASER Devices (Professional)	$	130,515	$	—	$	130,515	$	86,718	$	—	$	86,718
Cartridges	60,179		—		60,179		54,279		—		54,279
Axon Evidence and Cloud Services	13,861		203,481		217,342		8,975		151,518		160,493
Extended Warranties	9,729		17,306		27,035		8,078		14,046		22,124
Axon Body Cameras and Accessories	—		70,363		70,363		—		52,488		52,488
Axon Fleet Systems	—		23,239		23,239		—		27,336		27,336
Other (1) (2)	7,450		8,151		15,601		4,520		5,320		9,840
Total	$	221,734	$	322,540	$	544,274	$	162,570	$	250,708	$	413,278

	Nine Months Ended September 30, 2024						Nine Months Ended September 30, 2023
	TASER		Software and Sensors		Total		TASER		Software and Sensors		Total
TASER Devices (Professional)	$	333,815	$	—	$	333,815	$	239,165	$	—	$	239,165
Cartridges	181,792		—		181,792		149,504		—		149,504
Axon Evidence and Cloud Services	40,297		570,222		610,519		25,575		401,281		426,856
Extended Warranties	27,164		48,651		75,815		23,463		40,194		63,657
Axon Body Cameras and Accessories	—		180,592		180,592		—		124,066		124,066
Axon Fleet Systems	—		79,620		79,620		—		99,015		99,015
Other (1) (2)	14,373		30,855		45,228		14,460		13,600		28,060
Total	$	597,441	$	909,940	$	1,507,381	$	452,167	$	678,156	$	1,130,323

(1)TASER segment “Other” includes smaller categories, such as Virtual Reality (“VR”) hardware, weapons training revenue such as revenue associated with our Master Instructor School, and TASER consumer device sales.

(2)Software and Sensors segment “Other” includes revenue from items including Signal Sidearm, Interview Room, Axon Air and other sensors and equipment.

The following table presents our revenues disaggregated by geography (in thousands):

	Three Months Ended September 30,								Nine Months Ended September 30,
	2024				2023				2024				2023
United States	$	482,596	89	%	$	341,767	83	%	$	1,298,775	86	%	$	954,023	84	%
Other countries	61,678		11		71,511		17		208,606		14		176,300		16
Total	$	544,274	100	%	$	413,278	100	%	$	1,507,381	100	%	$	1,130,323	100	%

Contract Balances

The following table presents our contract assets, contract liabilities and certain information related to these balances as of and for the nine months ended September 30, 2024 (in thousands):

	September 30, 2024
Contract assets, net	$	492,896
Contract liabilities (deferred revenue)	810,422
Revenue recognized in the period from:
Amounts included in contract liabilities at the beginning of the period	432,411

Contract liabilities (deferred revenue) consisted of the following (in thousands):

	September 30, 2024						December 31, 2023
	Current		Long-Term		Total		Current		Long-Term		Total
Extended Warranty:
TASER	$	15,783	$	18,162	$	33,945	$	14,666	$	18,828	$	33,494
Software and Sensors	20,300		8,749		29,049		22,642		8,165		30,807
	36,083		26,911		62,994		37,308		26,993		64,301
Hardware:
TASER	43,322		32,737		76,059		35,845		29,689		65,534
Software and Sensors	65,067		136,105		201,172		63,299		117,024		180,323
	108,389		168,842		277,231		99,144		146,713		245,857
Services:
TASER	8,510		5,141		13,651		7,832		3,983		11,815
Software and Sensors	352,026		104,520		456,546		326,131		93,212		419,343
	360,536		109,661		470,197		333,963		97,195		431,158
Total	$	505,008	$	305,414	$	810,422	$	470,415	$	270,901	$	741,316

	September 30, 2024						December 31, 2023
	Current		Long-Term		Total		Current		Long-Term		Total
TASER	$	67,615	$	56,040	$	123,655	$	58,343	$	52,500	$	110,843
Software and Sensors	437,393		249,374		686,767		412,072		218,401		630,473
Total	$	505,008	$	305,414	$	810,422	$	470,415	$	270,901	$	741,316

Remaining Performance Obligations

As of September 30, 2024, we had approximately $7.7 billion of remaining performance obligations, which included both recognized contract liabilities as well as amounts that will be invoiced and recognized in future periods. The remaining performance obligations are limited only to arrangements that meet the definition of a contract under ASC 606 as of September 30, 2024. We currently expect to recognize between 15% - 25% of this balance over the next 12 months, and generally expect the remainder to be recognized over the following ten years, subject to risks related to delayed deployments, budget appropriation or other contract cancellation clauses.