Revenue

9 Months Ended

Sep. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

We disaggregate our revenue from customers by the type of arrangement, primarily from the sale of battery products and from providing customization design services, as this depicts how the nature, amount, timing, and uncertainty of our revenue and cash flows are affected by economic factors. The table below shows the composition of revenue from customers, as disaggregated by type of arrangement in accordance with Topic 606, and other revenue, which consisted of government grants that were accounted for following the accounting standards from International Accounting Standards 20, Accounting for Government Grants and Disclosure of Government Assistance (in thousands).

	Three months ended September 30,				Nine months ended September 30,
	2024		2023		2024		2023
Revenue from customers:
Sale of battery products	$	6,055	$	2,194	$	11,736	$	3,956
Customization design services	1,500		604		1,500		891
Total revenue from customers	7,555		2,798		13,236		4,847
Other revenue – government grants	300		—		300		262
Total revenue	$	7,855	$	2,798	$	13,536	$	5,109

Revenue from the sale of battery products also includes bill-and-hold arrangements, which were $0.6 million and $1.4 million during the three and nine months ended September 30, 2024, respectively, and $0.3 million and $0.7 million during the three and nine months ended September 30, 2023, respectively.

Contract Balances

The timing of revenue recognition, billings and cash collections can result in accounts receivable, contract assets recorded as unbilled receivables, and contract liabilities recorded as deferred revenue.

Accounts receivable represents our right to consideration that is unconditional. A right to consideration is unconditional if only the passage of time is required before payment of that consideration is due. Accounts receivable was $4.6 million, $1.3 million and $0.7 million as of September 30, 2024, December 31, 2023 and December 31, 2022, respectively.

Contract assets primarily relate to the rights to consideration for progress on contractual requirements performed but not billed at the reporting date. The contract assets are transferred to accounts receivable when the rights become unconditional. We had no contract assets as of both September 30, 2024 and December 31, 2023.

Contract liabilities consist primarily of deferred revenue, which is the amount of progress payments received or billed in advance of revenue recognition. Deferred revenue is subsequently recognized as revenue when the performance obligation is satisfied. Deferred revenue was $1.8 million, $3.4 million and $3.4 million as of September 30, 2024, December 31, 2023 and December 31, 2022, respectively. Deferred revenue as of September 30, 2024 decreased compared to prior periods primarily due to the recognition of a non-recurring customization design service that was completed in the current quarter. During the three and nine months ended September 30, 2024, revenue recognized from the prior year deferred revenue balance was $0.9 million and $1.9 million, respectively. During the three and nine months ended

September 30, 2023, revenue recognized from the prior year deferred revenue balance was $0.4 million and $0.9 million, respectively.

Remaining Performance Obligations

We have performance obligations associated with commitments in customer contracts for future services that have not yet been recognized as revenue. As of September 30, 2024, the aggregate amount of the transaction price allocated to the remaining performance obligations related to customer contracts that were unsatisfied or partially unsatisfied, including deferred revenue, was approximately $14.4 million. Given the applicable contract terms, approximately $12.9 million is expected to be recognized as revenue within one year and approximately $1.5 million is expected to be recognized between two and five years. This amount does not include contracts to which the customer is not committed. The estimated timing of the recognition of remaining unsatisfied performance obligations is subject to change and is affected by changes to scope, changes in timing of delivery of products and services, or contract modifications.