CONTRACT ASSETS AND CONTRACT LIABILITIES

12 Months Ended

Dec. 31, 2023

Revenue from Contract with Customer [Abstract]

CONTRACT ASSETS AND CONTRACT LIABILITIES

CONTRACT ASSETS AND CONTRACT LIABILITIES

Contract assets and liabilities are reflected in the Company’s consolidated balance sheets within the accounts reflected below.

Contract Assets

Accounts receivable represent amounts due from the Company’s customers who are concentrated primarily in the pharmaceutical, biotechnology, and medical device industries. Unbilled represents revenue recognized to date that has not been billed or is not yet contractually billable to the customer. In general, amounts become billable upon the achievement of negotiated contractual events, in accordance with predetermined payment schedules or when a reimbursable expense has been incurred. Amounts classified to unbilled are those billable to customers within one year from the respective balance sheet date.

Accounts receivable and unbilled, net consisted of the following at December 31 (in thousands):

	2023		2022
Accounts receivable	$	275,932	$	213,169
Unbilled receivables	22,475		40,405
Less: allowance for doubtful accounts	(7)		(170)
Total accounts receivable and unbilled, net	$	298,400	$	253,404

Contract Liabilities

Advanced billings represents cash received from customers, or billed amounts per an agreed upon payment schedule, in advance of services being performed or revenue being recognized. During the year ended December 31, 2023, the Company recognized approximately $396.3 million of revenue that was included in the Advanced billings balance at the beginning of the year.

Advanced billings consisted of the following at December 31 (in thousands):

	2023		2022
Advanced billings	$	559,860	$	462,729

A rollforward of allowance for doubtful account activity is as follows:

	Year Ended December 31,
	2023		2022		2021
Allowance for doubtful accounts - beginning balance	$	(170)	$	(171)	$	(346)
Current year provision	(3,420)		—		(11)
Write-offs, recoveries and the effects of foreign currency exchange	3,583		1		186
Allowance for doubtful accounts - ending balance	$	(7)	$	(170)	$	(171)