Revenue Recognition

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue Recognition

Revenue Recognition

Contract Balances

The Company records deferred revenue when cash payments are received, or payment is due, in advance of its fulfillment of performance obligations. During the three months ended June 30, 2022 and 2021, there were revenues of $795 and $490 recognized, respectively, that were included in the deferred revenue balance at the beginning of the period. During the six months ended June 30, 2022 and 2021, there were revenues of $1,522 and $1,028 recognized, respectively.

Assets Recognized from the Costs to Obtain a Contract with a Customer

The Company recognizes an asset for the incremental costs to obtain a contract with a customer, where the stated contract term, with expected renewals, is longer than one year. The Company amortizes these assets over the expected period of benefit. These costs are generally employee sales commissions, with amortization of the balance recorded in selling, general and administrative expenses. The value of these assets was $556 at June 30, 2022 and $810 at December 31, 2021. During the three months ended June 30, 2022 and 2021, the Company recorded amortization of $93 and $155, respectively. During the six months ended June 30, 2022 and 2021, the Company recorded amortization of $235 and $315, respectively.

Where management is not able to conclude that the costs of a contract will be recovered, costs to obtain the contract are expensed as incurred.

Performance Obligations

As of June 30, 2022, the Company has allocated a total transaction price of $3,186 to unfulfilled performance obligations that are expected to be fulfilled within 9 years. Excluded from this amount are contracts of less than one year and variable consideration that relates to the value of services provided.