Contract Liabilities

12 Months Ended

Dec. 31, 2022

Contract with Customer, Liability [Abstract]

Contract Liabilities

5. Contract Liabilities

The Company had current and non-current contract liabilities totaling $12.0 million and 3.0 million, respectively, as of December 31, 2022. The Company had current and non-current contract liabilities totaling $15.3 million and $2.9 million, respectively, as of December 31, 2021. The non-current contract liabilities balance is included in other long-term liabilities on the 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 $21.6 million of revenue from its contract liabilities during the year ended December 31, 2022, of which $12.9 million was recognized from the beginning contract liabilities balance. The Company recognized $14.6 million of revenue from its contract liabilities during the years ended December 31, 2021. There were no contract liabilities recognized during the year ended December 31, 2020. 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		19,494
Revenue recognized		(21,581	)
Foreign currency fluctuation		(1,061	)
Balance at December 31 2022	$	15,003