Construction Contracts (Tables)

9 Months Ended

Sep. 30, 2023

Summary of Balances and Changes of Construction Contracts

The following table summarizes the changes to the balances in the Company’s construction contract costs and estimated earnings in excess of billings account and the billings in excess of construction contract costs and estimated earnings account for the nine months ended September 30, 2023 and 2022 (in thousands):


	Nine Months Ended September 30, 2023				Nine Months Ended September 30, 2022
	Construction contract costs and estimated earnings in excess of billings		Billings in excess of construction contract costs and estimated earnings		Construction contract costs and estimated earnings in excess of billings		Billings in excess of construction contract costs and estimated earnings
Beginning balance	$	342	$	17,515	$	243	$	4,881
Revenue recognized that was included in the balance at the beginning of the period	—		(17,515)		—		(4,881)
Increases due to new billings, excluding amounts recognized as revenue during the period	—		24,570		—		16,312
Transferred to receivables	(342)		—		(478)		—
Construction contract costs and estimated earnings not billed during the period	440		—		232		—
Changes due to cumulative catch-up adjustment arising from changes in the estimate of the stage of completion	—		(1,443)		235		(576)
Ending balance	$	440	$	23,127	$	232	$	15,736

The Company’s balances and changes in construction contract price allocated to unsatisfied performance obligations (backlog) as of September 30, 2023 and 2022 were as follows (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Beginning backlog	$	592,787	$	541,214	$	665,564	$	215,518
New contracts/change orders	20,646		53,966		135,414		449,712
Work performed	(99,855)		(69,251)		(287,400)		(139,301)
Ending backlog	$	513,578	$	525,929	$	513,578	$	525,929

Schedule of Net Position of Uncompleted Construction Contracts

The Company’s net position on uncompleted construction contracts comprised the following as of September 30, 2023 and December 31, 2022 (in thousands):


	September 30, 2023		December 31, 2022
Costs incurred on uncompleted construction contracts	$	595,195	$	571,465
Estimated earnings	21,997		22,162
Billings	(639,879)		(610,800)
Net position	$	(22,687)	$	(17,173)

Construction contract costs and estimated earnings in excess of billings	$	440	$	342
Billings in excess of construction contract costs and estimated earnings	(23,127)		(17,515)
Net position	$	(22,687)	$	(17,173)

The above table reflects the net effect of projects closed as of September 30, 2023 and December 31, 2022, respectively.