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Sales
 12 Months Ended
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]  
Sales SALES
Refer to a discussion of the Company’s significant accounting policies regarding sales in Note 2. Basis of Presentation and Summary of Significant Accounting Policies.
Contract Assets
In certain circumstances, contract assets are recorded which include unbilled amounts typically resulting from sales under contracts when revenue recognized exceeds the amount billed to the customer, and right to payment is subject to contractual performance obligations rather than subject only to the passage of time. Contract assets were $12.3 million and $10.4 million as of December 31, 2022 and 2021, respectively, and are included in Prepaid expenses and other current assets in the accompanying Consolidated Balance Sheets.
Contract Costs
The Company incurs direct incremental costs to obtain certain contracts, typically sales-related commissions and costs associated with assets used by customers in certain service arrangements. As of December 31, 2022 and 2021, the Company had $88.6 million and $78.4 million, respectively, in net revenue-related capitalized contract costs primarily related to assets used by our customers in certain software contracts, which are recorded in Prepaid expenses and other current assets, for the current portion, and Other assets, for the
noncurrent portion, in the accompanying Consolidated Balance Sheets. These assets have estimated useful lives between 3 and 5 years and are amortized on a straight-line basis. Total expense related to net revenue-related capitalized contract costs was $34.6 million, $39.2 million and $46.2 million for the years ended December 31, 2022, 2021 and 2020, respectively.
Impairment losses recognized on our revenue-related capitalized contract costs were insignificant during the years ended December 31, 2022, 2021 and 2020.
Contract Liabilities
The Company’s contract liabilities consist of deferred revenue generally related to customer deposits, PCS and extended warranty sales. In these arrangements, the Company generally receives up-front payment and recognizes revenue over the support term of the contracts where applicable. Deferred revenue is classified as current or noncurrent based on the timing of when revenue is expected to be recognized and is included in Accrued expenses and other current liabilities and Other long-term liabilities, respectively, in the accompanying Consolidated Balance Sheets.
The Company’s contract liabilities consisted of the following as of December 31:
($ in millions)20222021
Deferred revenue, current$135.2 $133.7 
Deferred revenue, noncurrent48.7 56.3 
Total contract liabilities$183.9 $190.0 
During the year ended December 31, 2022, the Company recognized $100.5 million of revenue related to the Company’s contract liabilities as of January 1, 2022. The change in contract liabilities from December 31, 2021 to December 31, 2022 was primarily due to the timing of cash receipts and sales of PCS and extended warranty services as well as the impact of current year acquisitions.
Remaining Performance Obligations
Remaining performance obligations represent the transaction price of firm, noncancelable orders and the annual contract value for software-as-a-service contracts, with expected customer delivery dates beyond one year from December 31, 2022 for which work has not been performed. The Company has excluded performance obligations with an original expected duration of one year or less. Remaining performance obligations as of December 31, 2022 are $369.7 million, the majority of which are related to the annual contract value for software-as-a-service contracts. The Company expects approximately 35 percent of the remaining performance obligations will be fulfilled within the next two years, 65 percent within the next three years, and substantially all within four years.
Disaggregation of Revenue
Revenue from contracts with customers are disaggregated by sales of products and services, geographic location, solution and major product group, as these best depict how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors.
Disaggregation of revenue was as follows for the years ended December 31:
($ in millions)202220212020
Sales:
Sales of products$2,874.3 $2,712.7 $2,459.9 
Sales of services310.1 278.0 244.7 
Total$3,184.4 $2,990.7 $2,704.6 
Geographic:
North America (a)
$2,383.0 $2,131.1 $1,898.3 
Western Europe242.6 266.1 255.7 
High-growth markets419.1 454.1 432.9 
Rest of world139.7 139.4 117.7 
Total$3,184.4 $2,990.7 $2,704.6 
Solution:
Retail fueling hardware$854.5 $879.9 $822.9 
Auto repair646.1 634.4 526.9 
Service and other recurring revenue474.2 484.8 445.3 
Environmental288.6 272.6 235.7 
Retail solutions610.6 416.8 375.9 
Software-as-a-service175.1 185.2 181.6 
Alternative energy86.7 64.8 68.1 
Smart cities39.3 37.6 32.4 
Other9.3 14.6 15.8 
Total$3,184.4 $2,990.7 $2,704.6 
Major Product Group:
Mobility technologies$2,440.5 $2,258.6 $2,087.5 
Diagnostics and repair technologies743.9 732.1 617.1 
Total$3,184.4 $2,990.7 $2,704.6 
(a) Includes sales in the United States of $2,280.3 million, $2,056.9 million, and $1,843.2 million for the years ended December 31, 2022, 2021, and 2020, respectively.