Revenue

9 Months Ended

Sep. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue

5.REvenue

Disaggregation of Revenue—The Company provides disaggregation of revenue based on type of service as it believes these categories best depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors.

The following table summarizes revenue by type of service for the three and nine months ended September 30, 2022 and 2021 (in thousands):

	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
Software subscriptions	$	191,154	$	169,958	$	556,470	$	481,822
Other		7,580		6,670		21,872		19,383
Total revenues	$	198,734	$	176,628	$	578,342	$	501,205

Transaction Price Allocated to the Remaining Performance Obligations—Remaining performance obligations represent contracted revenue that has not yet been recognized, which includes deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. As of September 30, 2022, approximately $1,345 million of revenue is expected to be recognized from remaining performance obligations in the amount of approximately $529 million during the following twelve months, and approximately $816 million thereafter. The estimated revenues do not include unexercised contract renewals. The remaining performance obligations exclude future transaction revenue where revenue is recognized as the services are rendered and in the amount to which the Company has the right to invoice.

Deferred Revenue—Revenue recognized for the three months ended September 30, 2022 from amounts in deferred revenue as of June 30, 2022 was $32.2 million. Revenue recognized for the three months ended September 30, 2021 from amounts in deferred revenue as of June 30, 2021 was $27.5 million.

Revenue recognized for the nine months ended September 30, 2022 from amounts in deferred revenue as of December 31, 2021 was $30.7 million. Revenue recognized for the nine months ended September 30, 2021 from amounts in deferred revenue as of December 31, 2020 was $26.6 million.

Contract Assets and Liabilities—The opening and closing balances of the Company’s receivables, contract assets and contract liabilities from contracts with customers are as follows (in thousands):

	September 30,		December 31,
	2022		2021
Accounts receivables-net of allowances	$	98,194	$	78,793
Deferred contract costs		15,788		15,069
Long-term deferred contract costs		18,818		22,117
Other assets (accounts receivable, non-current)		17,091		8,622
Deferred revenues		33,602		31,042
Other liabilities (deferred revenues, non-current)		1,340		1,574

A summary of the activity impacting deferred revenue balances during the three and nine months ended September 30, 2022 and 2021, is presented below (in thousands):

	For the Three Months Ended						For the Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Balance at beginning of period	$	34,742		$	30,756		$	32,616		$	28,515
Revenue recognized1		(94,997	)		(87,649	)		(277,250	)		(250,379	)
Additional amounts deferred1		95,197			88,016			279,576			252,987
Balance at end of period	$	34,942		$	31,123		$	34,942		$	31,123
Classified as:
Current	$	33,602		$	29,384		$	33,602		$	29,384
Non-current		1,340			1,739			1,340			1,739
Total deferred revenue	$	34,942		$	31,123		$	34,942		$	31,123

1 Amounts include total revenue deferred and recognized during each respective period.

A summary of the activity impacting the deferred contract costs during the three and nine months ended September 30, 2022 and 2021 is presented below (in thousands):

	For the Three Months Ended						For the Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Balance at beginning of period	$	35,890		$	28,667		$	37,186		$	26,361
Costs amortized		(4,444	)		(4,164	)		(13,072	)		(11,481	)
Additional amounts deferred		3,160			8,223			10,492			17,846
Balance at end of period	$	34,606		$	32,726		$	34,606		$	32,726
Classified as:
Current	$	15,788		$	13,833		$	15,788		$	13,833
Non-current		18,818			18,893			18,818			18,893
Total deferred contract costs	$	34,606		$	32,726		$	34,606		$	32,726