Contract Liabilities

9 Months Ended

Sep. 30, 2022

Contract with Customer, Liability [Abstract]

Contract Liabilities

8. Contract Liabilities

Contract liabilities consists of the following (in thousands):

	September 30, 2022			December 31, 2021
Contract liabilities	$	15,068		$	18,151
Less: Non-current portion of contract liabilities		(2,775	)		(2,896	)
Current portion of contract liabilities	$	12,293		$	15,255

The non-current contract liabilities balance is included in other long-term liabilities on the condensed consolidated balance sheets. Contract liabilities relates to contracts with customers for which partial or complete payment of the transaction price has been received from the customer and the related obligations must be completed before revenue can be recognized. These amounts primarily relate to undelivered equipment, services, or maintenance agreements. The Company recognized $6.4 million and $16.5 million of revenue from its contract liabilities during the three and nine months ended September 30, 2022, respectively, and $4.8 million and $8.2 million of revenue from its contract liabilities during the three and nine months ended September 30, 2021, respectively. The opening and closing balances of the Company’s contract liabilities are as follows (in thousands):

Balance at December 31, 2021	$	18,151
Payments received		13,410
Revenue recognized		(16,493	)
Balance at September 30, 2022	$	15,068