Revenue Recognition

9 Months Ended

Sep. 30, 2022

Revenue Recognition

Revenue Recognition

Note 4 – Revenue Recognition

The table below presents a disaggregation of EVgo’s revenue for the three and nine months ended September 30, 2022 and 2021:

Disaggregation of Revenue

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(in thousands)	2022		2021		2022		2021
Charging revenue, retail	$	5,176	$	3,203	$	13,067	$	7,505
Charging revenue, OEM		252		151		592		633
Charging revenue, commercial		678		688		2,041		1,725
Network revenue, OEM		448		351		1,825		1,158
Ancillary revenue		2,777		1,104		5,076		2,147
Regulatory credit sales		1,178		684		4,684		1,927
Total revenue	$	10,509	$	6,181	$	27,285	$	15,095

The following table provides information about contract assets and liabilities from contracts with customers:

	September 30,		December 31,
(in thousands)	2022		2021
Contract assets	$	1,837	$	32
Contract liabilities	$	40,194	$	38,445

The following table provides the activity for contract liabilities during the period presented:

	Nine Months Ended
	September 30,
(in thousands)	2022
Balance as of December 31, 2021	$	38,445
Additions		7,284
Recognized in revenue		(4,375)
Marketing activities		(1,160)
Balance as of September 30, 2022	$	40,194

It is anticipated that deferred revenue as of September 30, 2022, excluding variable consideration allocated entirely to wholly unsatisfied performance obligations, will be recognized for the years ending December 31, as follows:

(in thousands)
2022	$	622
2023		2,189
2024		3,178
2025		5,989
2026		11,119
	$	23,097

ASC 606 does not require disclosure of, and the table above does not include, the transaction price allocated to remaining performance obligations if the contract contains variable consideration allocated entirely to a wholly unsatisfied performance obligation. Under many customer contracts, each unit of product represents a separate performance obligation and therefore future volumes are wholly unsatisfied and disclosure of the transaction price allocated to wholly unsatisfied performance obligations is not required. Under these contracts, variability arises as both volume and pricing are not known until the product is delivered. As of September 30, 2022 and December 31, 2021, there was $7.3 million and $22.9 million, respectively, in variable consideration for wholly unsatisfied performance obligations, which is included in deferred revenue on the condensed consolidated balance sheets.