Revenue Recognition (Notes)

9 Months Ended

Sep. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue Recognition

REVENUE RECOGNITION

Transaction price allocated to the remaining performance obligations

The majority of the Company's contracts are completed within twelve months. For performance obligations that extend beyond one year, the Company estimated that $188.3 million in revenue is expected to be recognized in the future periods related to remaining performance obligations as of September 30, 2020. The Company expects to complete these obligations and recognize 36% of the remaining transaction price in 2020, 41% of the remaining transaction price in 2021 and the remainder in 2022. The Company has elected the following optional exemptions from the remaining performance obligation disclosures:

•Contracts that have an original expected duration of one year or less; and

•Performance obligations related to revenue recognized over time using the as-invoiced practical expedient.

Disaggregation of Revenue

In the following table, revenue is disaggregated by type of good or service, primary geographical market, and timing of recognition for each reportable segment. The table also includes a reconciliation of the disaggregated revenue to total revenue of each reportable segment.

	Three Months Ended				Nine Months Ended
	September 30, 2020				September 30, 2020
(In millions)	JBT FoodTech		JBT AeroTech		JBT FoodTech		JBT AeroTech
Type of Good or Service
Recurring (1)	$	151.1	$	36.4	$	452.5	$	115.0
Non-recurring (1)	149.9		81.8		461.0		259.9
Total	301.0		118.2		913.5		374.9
Geographical Region (2)
North America	166.2		105.2		487.4		330.4
Europe, Middle East and Africa	85.8		6.9		273.6		25.0
Asia Pacific	30.2		4.9		97.6		16.4
Latin America	18.8		1.2		54.9		3.1
Total	301.0		118.2		913.5		374.9
Timing of Recognition
Point in Time	141.6		66.3		431.7		190.9
Over Time	159.4		51.9		481.8		184.0
Total	301.0		118.2		913.5		374.9

	Three Months Ended				Nine Months Ended
	September 30, 2019				September 30, 2019
(In millions)	JBT FoodTech		JBT AeroTech		JBT FoodTech		JBT AeroTech
Type of Good or Service
Recurring (1)	$	150.0	$	49.5	$	428.7	$	152.3
Non-recurring (1)	184.3		105.5		543.5		275.5
Total	334.3		155.0		972.2		427.8
Geographical Region (2)
North America	167.8		134.0		503.5		353.9
Europe, Middle East and Africa	98.4		15.8		269.4		59.3
Asia Pacific	42.6		4.4		124.3		12.5
Latin America	25.5		0.8		75.0		2.1
Total	334.3		155.0		972.2		427.8
Timing of Recognition
Point in Time	150.4		88.7		456.4		243.8
Over Time	183.9		66.3		515.8		184.0
Total	334.3		155.0		972.2		427.8

(1) Aftermarket parts and services and revenue from lease and long-term service contracts are considered recurring revenue. Non-recurring revenue includes new equipment and installation.

    (2) Geographical region represents the region in which the end customer resides.

Contract balances

The timing of revenue recognition, billings and cash collections results in trade receivables, contract assets, and advance and progress payments (contract liabilities). Contract assets exist when revenue recognition occurs prior to billings. Contract assets are transferred to trade receivables when the right to payment becomes unconditional (i.e., when receipt of the amount is dependent only on the passage of time). Conversely, the Company often receives payments from its customers before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the Balance Sheet as Contract assets and within Advance and progress payments, respectively, on a contract-by-contract net basis at the end of each reporting period.

Contract asset and liability balances for the period were as follows:

	Balances as of
(In millions)	September 30, 2020		December 31, 2019
Contract assets	$	80.8	$	74.4
Contract liabilities	99.3		92.5
	September 30, 2019		December 31, 2018
Contract assets	80.3		70.3
Contract liabilities	86.6		124.5

The revenue recognized during the nine months ended September 30, 2020 and 2019 that was included in contract liabilities at the beginning of the period amounted to $74.8 million and $104.3 million, respectively. Additionally, the Company assumed contract liabilities of $11.4 million from acquisitions in the year 2019. The remainder of change from December 31, 2019 and December 31, 2018 is driven by the timing of advance and milestone payments received from customers and fulfillment of performance obligations. There were no significant changes in the contract balances other than those described above.