REVENUE

9 Months Ended

Dec. 31, 2024

Revenue from Contract with Customer [Abstract]

REVENUE

NOTE 3 — REVENUE

Orion generates revenue primarily by selling manufactured or sourced commercial lighting fixtures and components, sourced electric vehicle chargers and related products, installing these products in customer’s facilities, and providing maintenance services including repairs and replacements for the lighting and related electrical components. Orion recognizes revenue in accordance with the guidance in “Revenue from Contracts with Customers” (Topic 606) when control of the goods or services being provided (which Orion refers to as a performance obligation) is transferred to a customer at an amount that reflects the consideration Orion expects to receive in exchange for those goods or services.

The sale of charging stations and related software subscriptions, renewals and extended warranty is presented in Product revenue. Orion is the principal in the sales of charging stations as it has control of the physical products prior to transfer to the customer. Accordingly, revenue is recognized on a gross basis. For certain sales, primarily software subscriptions, renewals and extended warranty, Orion is the sales agent providing access to the content and recognize commission revenue net of amounts due to third parties who fulfill the performance obligation. For these sales, control passes at the point in time upon providing access of the content to the customer.

The sale of installation and services related to the EV charging business is presented in Service revenue. Revenue from the EV segment that includes both the sale of product and service is allocated between the product and service performance obligations based on relative standalone selling prices, and is recorded in Product revenue and Service revenue, respectively, in the Condensed Consolidated Statement of Operations.

Revenue from the lighting maintenance offering that includes both the sale of Orion manufactured or sourced product and service is allocated between the product and service performance obligations based on relative standalone selling prices, and is recorded in Product revenue and Service revenue, respectively, in the Condensed Consolidated Statement of Operations.

The following tables provide detail of Orion’s total revenue for the three and nine months ended December 31, 2024 and December 31, 2023 (dollars in thousands):

	Three Months Ended December 31, 2024						Nine Months Ended December 31, 2024
	Product		Services		Total		Product		Services		Total
Revenue from contracts with customers:
Lighting product and installation	$	11,291	$	1,754	$	13,045	$	30,636	$	5,725	$	36,361
Maintenance services		1,672		2,253		3,925		3,795		7,250		11,045
Electric vehicle charging		1,176		1,269		2,445		4,567		6,434		11,001
Solar energy related revenues		—		—		—		17		—		17
Total revenues from contracts with customers		14,139		5,276		19,415		39,015		19,409		58,424
Revenue accounted for under other guidance		169		—		169		427		—		427
Total revenue	$	14,308	$	5,276	$	19,584	$	39,442	$	19,409	$	58,851
	Three Months Ended December 31, 2023						Nine Months Ended December 31, 2023
	Product		Services		Total		Product		Services		Total
Revenue from contracts with customers:
Lighting product and installation	$	13,773	$	4,745	$	18,518	$	37,486	$	7,190	$	44,676
Maintenance services		1,080		3,529		4,609		2,855		9,141		11,996
Electric vehicle charging		2,128		690		2,818		5,862		1,573		7,435
Solar energy related revenues		7		—		7		20		—		20
Total revenues from contracts with customers		16,988		8,964		25,952		46,223		17,904		64,127
Revenue accounted for under other guidance		19		—		19		43		—		43
Total revenue	$	17,007	$	8,964	$	25,971	$	46,266	$	17,904	$	64,170

From time to time, Orion sells the receivables from one customer to a financing institution. The total amount received from the advances of these receivables was $0.7 million and $1.3 million for the three and nine months ended December 31, 2024, respectively. Orion's losses on these sales were $12 thousand and $30 thousand for the three and nine months ended December 31, 2024, respectively, and are included in Interest expense in the Condensed Consolidated Statement of Operations. There was no activity during the three and nine months ended December 31, 2023.

During the nine months ended December 31, 2024, changes in estimates resulted in a reduction of revenue of $0.2 million.

The following chart shows the balance of Orion’s receivables arising from contracts with customers, contract assets and contract liabilities as of December 31, 2024 and March 31, 2024 (dollars in thousands):

	December 31, 2024		March 31, 2024
Accounts receivable, net	$	12,234	$	14,022
Revenue earned but not billed (1)	$	1,830	$	4,539
Deferred revenue (2)	$	212	$	124

(1) Within the revenue earned not billed line on the condensed consolidated balance sheet, $0.4 million is accounted for as a sales type lease under ASC 842, and therefore not considered a "contract asset", which is an asset defined by ASC 606.

(2) Includes the unamortized portion of the funds received from the federal government in 2010 and 2011 as reimbursement for the costs to build the two facilities related to the PPAs. As the transaction is not considered a contract with a customer, this value is not a contract liability as defined by ASC 606.

There were no significant changes in the contract assets outside of standard increases due to timing of contract completion, offset by the reclassifications to accounts receivable, net upon billing. Deferred revenue, current as of December 31, 2024 and March 31, 2024, includes $0.2 million and $0.1 million, respectively, of contract liabilities which represent consideration received from a new customer contract on which installation has not yet begun and Orion has not fulfilled the promises included. Of the $0.1 million outstanding as of March 31, 2024, $0.1 million has been recognized as revenue.