Deferred Revenue And Remaining Performance Obligations

6 Months Ended

Jun. 28, 2024

Revenue Recognition and Deferred Revenue [Abstract]

Deferred Revenue And Remaining Performance Obligations

NOTE 10. DEFERRED REVENUE AND REMAINING PERFORMANCE OBLIGATIONS

Deferred Revenue

Changes in our deferred revenue during the second quarter and the first two quarters of 2024 and 2023 were as follows: 

	Second Quarter of				First Two Quarters of
(In millions)	2024		2023		2024		2023
Beginning balance of the period	$	818.6	$	760.8	$	761.4	$	737.6
Revenue recognized from prior year-end	(173.3)		(141.7)		(472.5)		(435.2)
Billings net of revenue recognized from current year and other	168.3		126.5		524.7		443.2
Ending balance of the period	$	813.6	$	745.6	$	813.6	$	745.6

Remaining Performance Obligations

At the end of the second quarter of 2024, approximately $1.7 billion of revenue is expected to be recognized from remaining performance obligations for which goods or services have not been delivered, primarily subscription, software, and software maintenance, and to a lesser extent, hardware and professional services contracts. We expect to recognize $1.2 billion or 69% of our remaining performance obligations as revenue during the next 12 months and the remainder thereafter.