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Revenue Recognition
 9 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition REVENUE RECOGNITION
The majority of our revenues relate to customer orders that typically contain a single commitment of goods or services which have lead times under a year. More complex contracts with our customers typically have longer lead times and multiple commitments of goods and services, including any combination of designing, developing, manufacturing, modifying, installing and commissioning of flow management equipment and providing services and parts related to the performance of such products. Control transfers over time when the customer is able to direct the use of and obtain substantially all of the benefits of our work as we perform. Service-related revenues do not typically represent a significant portion of contracts with our customers and do not meet the thresholds requiring separate disclosure.
Revenue from products and services transferred to customers over time accounted for approximately 18% and 17% of total revenue for the three-month period ended September 30, 2025 and 2024, respectively, and 18% and 17% for the nine month period ended September 30, 2025 and 2024, respectively. Our primary method for recognizing revenue over time is the percentage of completion ("POC") method. If control does not transfer over time, then control transfers at a point in time. For both POC and point-in-time methods, we recognize revenue at the level of each performance obligation based on the evaluation of certain indicators of control transfer, such as title transfer, risk of loss transfer, customer acceptance and physical possession. Revenue from products and services transferred to customers at a point in time accounted for approximately 82% and 83% of total revenue for the three month period ended September 30, 2025 and 2024, and 82% and 83% for the nine month period ended September 30, 2025 and 2024, respectively. Refer to Note 3, "Revenue Recognition," to our consolidated financial statements included in our 2024 Annual Report for a more comprehensive discussion of our policies and accounting practices of revenue recognition.
Disaggregated Revenue
We conduct our operations through two business segments based on the type of product and how we manage the business:
•Flowserve Pumps Division ("FPD") designs, manufactures, pretests, distributes and services highly custom engineered pumps, pre-configured industrial pumps, pump systems, mechanical seals, auxiliary systems and replacement parts and related services; and
•FCD designs, manufactures and distributes a broad portfolio of engineered-to-order and configured-to-order isolation valves, control valves, valve automation products and related equipment.
Our revenue sources are derived from our original equipment manufacturing and our aftermarket sales and services. Our original equipment revenues are generally related to originally designed, manufactured, distributed and installed equipment that can range from pre-configured, short-cycle products to more customized, highly engineered equipment ("Original Equipment"). Our aftermarket sales and services are derived from sales of replacement equipment, as well as maintenance, advanced diagnostic, repair and retrofitting services ("Aftermarket"). Each of our two business segments generates Original Equipment and Aftermarket revenues.
The following tables present our customer revenues disaggregated by revenue source:
Three Months Ended September 30, 2025
(Amounts in thousands)FPDFCDTotal
Original Equipment$277,556 $272,009 $549,565 
Aftermarket521,750 103,119 624,869 
$799,306 $375,128 $1,174,434 
Three Months Ended September 30, 2024
FPDFCDTotal
Original Equipment$282,895 $272,939 $555,834 
Aftermarket498,477 78,776 577,253 
$781,372 $351,715 $1,133,087 
Nine Months Ended September 30, 2025
(Amounts in thousands)FPD FCDTotal
Original Equipment$842,267 $819,794 $1,662,061 
Aftermarket1,556,028 288,980 1,845,008 
$2,398,295 $1,108,774 $3,507,069 
Nine Months Ended September 30, 2024
FPDFCDTotal
Original Equipment$869,799 $781,006 $1,650,805 
Aftermarket1,490,949 235,704 1,726,653 
$2,360,748 $1,016,710 $3,377,458 
Our customer sales are diversified geographically. The following tables present our revenues disaggregated by geography, based on the shipping addresses of our customers:
Three Months Ended September 30, 2025
(Amounts in thousands)FPDFCDTotal
North America(1)$340,352 $157,051 $497,403 
Latin America(2)69,978 10,628 80,606 
Middle East and Africa 143,807 54,881 198,688 
Asia Pacific94,461 85,868 180,329 
Europe150,708 66,700 217,408 
$799,306 $375,128 $1,174,434 
Three Months Ended September 30, 2024
FPDFCDTotal
North America(1)$313,744 $133,944 $447,688 
Latin America(2)81,434 7,103 88,537 
Middle East and Africa133,600 58,652 192,252 
Asia Pacific109,070 89,339 198,409 
Europe143,524 62,677 206,201 
$781,372 $351,715 $1,133,087 
Nine Months Ended September 30, 2025
(Amounts in thousands)FPD FCDTotal
North America(1)$1,030,089 $452,577 $1,482,666 
Latin America(2)198,016 33,373 231,389 
Middle East and Africa 438,810 155,398 594,208 
Asia Pacific290,869 277,542 568,411 
Europe440,511 189,884 630,395 
$2,398,295 $1,108,774 $3,507,069 
Nine Months Ended September 30, 2024
FPDFCDTotal
North America(1)$966,870 $406,317 $1,373,187 
Latin America(2)224,787 18,257 243,044 
Middle East and Africa404,514 155,530 560,044 
Asia Pacific321,204 252,832 574,036 
Europe443,373 183,774 627,147 
$2,360,748 $1,016,710 $3,377,458 
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(1) North America represents the United States and Canada.
(2) Latin America includes Mexico.
On September 30, 2025, the aggregate transaction price allocated to unsatisfied (or partially unsatisfied) performance obligations related to contracts having an original expected duration in excess of one year was approximately $994 million. We estimate recognition of approximately $199 million of this amount as revenue in the remainder of 2025 and an additional $795 million in 2026 and thereafter.
Contract Balances
We receive payment from customers based on a contractual billing schedule and specific performance requirements as established in our contracts. We record billings as accounts receivable when an unconditional right to consideration exists. A contract asset represents revenue recognized in advance of our right to bill the customer under the terms of a contract. A contract liability represents our contractual billings in advance of revenue recognized for a contract.
The following tables present beginning and ending balances of contract assets and contract liabilities, current and long-term, for the nine months ended September 30, 2025 and 2024:

(Amounts in thousands) Contract Assets, net (Current)Long-term Contract Assets, net(1)Contract Liabilities (Current)Long-term Contract Liabilities(2)
Beginning balance, January 1, 2025$298,906 $923 $283,670 $673 
Revenue recognized that was included in the contract liabilities at the beginning of the period— — (211,569)— 
Revenue recognized in the period in excess of billings616,402 — — — 
Billings arising during the period in excess of revenue recognized— — 198,519 4,222 
Amounts transferred from contract assets to receivables(565,783)(936)— — 
Currency effects and other, net(5,079)259 9,140 90 
Ending balance, September 30, 2025$344,446 $246 $279,760 $4,985 


(Amounts in thousands)Contract Assets, net (Current)Long-term Contract Assets, net(1)Contract Liabilities (Current)Long-term Contract Liabilities(2)
Beginning balance, January 1, 2024$280,228 $1,034 $287,697 $1,543 
Revenue recognized that was included in the contract liabilities at the beginning of the period— — (199,580)(174)
Revenue recognized in the period in excess of billings639,717 — — — 
Billings arising during the period in excess of revenue recognized— — 206,998 — 
Amounts transferred from contract assets to receivables(604,907)(709)— — 
Currency effects and other, net(15,617)620 (893)(365)
Ending balance, September 30, 2024$299,421 $945 $294,222 $1,004 
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(1) Included in other assets, net.
(2) Included in retirement obligations and other liabilities.