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Sales Recognition
 3 Months Ended
Mar. 31, 2020
Revenue From Contract With Customer [Abstract]  
Sales Recognition

2.

Sales Recognition

In the following table, revenue is disaggregated by our reportable operating segments, which are primarily defined by their related geographies, as well as by major product offering, by major client group and by recognition on either a gross basis as a principal in the arrangement, or on a net basis as an agent, for the three months ended March 31, 2020 and 2019 (in thousands):

 

 

 

Three Months Ended March 31, 2020

 

 

 

North America

 

 

EMEA

 

 

APAC

 

 

Consolidated

 

Major Offerings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hardware

 

$

1,128,486

 

 

$

174,969

 

 

$

7,746

 

 

$

1,311,201

 

Software

 

 

305,163

 

 

 

201,082

 

 

 

30,870

 

 

 

537,115

 

Services

 

 

240,732

 

 

 

42,835

 

 

 

12,168

 

 

 

295,735

 

 

 

$

1,674,381

 

 

$

418,886

 

 

$

50,784

 

 

$

2,144,051

 

Major Client Groups

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Large Enterprise / Corporate

 

$

1,160,748

 

 

$

292,288

 

 

$

13,025

 

 

$

1,466,061

 

Small and Medium-Sized Businesses

 

 

386,076

 

 

 

17,742

 

 

 

13,654

 

 

 

417,472

 

Public Sector

 

 

127,557

 

 

 

108,856

 

 

 

24,105

 

 

 

260,518

 

 

 

$

1,674,381

 

 

$

418,886

 

 

$

50,784

 

 

$

2,144,051

 

Revenue Recognition based on acting as

   Principal or Agent in the Transaction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross revenue recognition (Principal)

 

$

1,600,514

 

 

$

392,259

 

 

$

45,754

 

 

$

2,038,527

 

Net revenue recognition (Agent)

 

 

73,867

 

 

 

26,627

 

 

 

5,030

 

 

 

105,524

 

 

 

$

1,674,381

 

 

$

418,886

 

 

$

50,784

 

 

$

2,144,051

 

 

 

 

Three Months Ended March 31, 2019

 

 

 

North America

 

 

EMEA

 

 

APAC

 

 

Consolidated

 

Major Offerings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hardware

 

$

748,337

 

 

$

171,525

 

 

$

6,518

 

 

$

926,380

 

Software

 

 

322,079

 

 

 

183,148

 

 

 

35,065

 

 

 

540,292

 

Services

 

 

172,025

 

 

 

35,502

 

 

 

11,267

 

 

 

218,794

 

 

 

$

1,242,441

 

 

$

390,175

 

 

$

52,850

 

 

$

1,685,466

 

Major Client Groups

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Large Enterprise / Corporate

 

$

976,841

 

 

$

260,607

 

 

$

13,307

 

 

$

1,250,755

 

Small and Medium-Sized Businesses

 

 

168,483

 

 

 

20,502

 

 

 

13,389

 

 

 

202,374

 

Public Sector

 

 

97,117

 

 

 

109,066

 

 

 

26,154

 

 

 

232,337

 

 

 

$

1,242,441

 

 

$

390,175

 

 

$

52,850

 

 

$

1,685,466

 

Revenue Recognition based on acting as

   Principal or Agent in the Transaction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross revenue recognition (Principal)

 

$

1,182,078

 

 

$

367,165

 

 

$

47,866

 

 

$

1,597,109

 

Net revenue recognition (Agent)

 

 

60,363

 

 

 

23,010

 

 

 

4,984

 

 

 

88,357

 

 

 

$

1,242,441

 

 

$

390,175

 

 

$

52,850

 

 

$

1,685,466

 

 

The following table provides information about receivables and contract liabilities as of March 31, 2020 and December 31, 2019 (in thousands):

 

 

 

March 31,

 

 

December 31,

 

 

 

2020

 

 

2019

 

Current receivables, which are included in “Accounts

   receivable, net”

 

$

2,464,377

 

 

$

2,511,383

 

Non-current receivables, which are included in “Other assets”

 

 

110,861

 

 

 

154,417

 

Contract liabilities, which are included in “Accrued expenses

   and other current liabilities” and “Other liabilities”

 

 

94,243

 

 

 

84,814

 

Changes in the contract liabilities balances during the three months ended March 31, 2020 are as follows (in thousands):

 

 

 

Increase (Decrease)

 

 

 

Contract

 

 

 

Liabilities

 

Balances at December 31, 2019

 

$

84,814

 

Reclassification of the beginning contract liabilities

   to revenue, as the result of performance obligations satisfied

 

 

(18,864

)

Cash received in advance and not recognized as revenue

 

 

28,293

 

Balances at March 31, 2020

 

$

94,243

 

 

The following table includes estimated net sales related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2020 that are expected to be recognized in the future (in thousands):

 

 

 

Services

 

Remainder of 2020

 

$

83,311

 

2021

 

 

33,744

 

2022

 

 

19,039

 

2023 and thereafter

 

 

11,548

 

Total remaining performance obligations

 

$

147,642

 

 

With the exception of remaining performance obligations associated with our OneCall Support Services contracts which are included in the table above regardless of original duration, remaining performance obligations that have original expected durations of one year or less are not included in the table above.  Amounts not included in the table above have an average original expected duration of nine months.  Additionally, for our time and material services contracts, whereby we have the right to consideration from a client in an amount that corresponds directly with the value to the client of our performance completed to date, we recognized revenue in the amount to which we have a right to invoice as of March 31, 2020 and do not disclose information about related remaining performance obligations in the table above.  Our time and material contracts have an average expected duration of 15 months.

The majority of our backlog historically has been and continues to be open cancelable purchase orders.  We do not believe that backlog as of any particular date is predictive of future results, therefore we do not include performance obligations under open cancelable purchase orders, which do not qualify for revenue recognition, in the table above.