REVENUE FROM CONTRACTS WITH CUSTOMERS

6 Months Ended

Sep. 30, 2019

Revenue from Contract with Customer [Abstract]

Disaggregation of revenue

Product revenue

Product revenue is primarily comprised of the portion of revenue from software products that is recognized when the customer takes control of the product (i.e. upon delivery of the software product).

Service and other revenue

Service and other revenue is primarily comprised of revenue from game related services, virtual currency transactions, and in-game purchases which are recognized over an estimated service period.

Net revenue by product revenue and service and other was as follows:



	Three Months Ended September 30,				Six Months Ended September 30,
	2019		2018		2019		2018
Net revenue recognized:
Service and other	421,747		313,194		846,132		622,381
Product	436,094		179,473		552,168		258,268
Total net revenue	$	857,841	$	492,667	$	1,398,300	$	880,649

Full game and other revenue

Full game and other revenue primarily includes the initial sale of full game software products, which may include offline and/or significant game related services.

Recurrent consumer spending revenue

Recurrent consumer spending revenue is generated from ongoing consumer engagement and includes revenue from virtual currency, add-on content, and in-game purchases.

Net revenue by full game and other revenue and recurrent consumer spending was as follows:



	Three Months Ended September 30,				Six Months Ended September 30,
	2019		2018		2019		2018
Net revenue recognized:
Full game and other	539,373		252,068		764,974		399,020
Recurrent consumer spending	318,468		240,599		633,326		481,629
Total net revenue	$	857,841	$	492,667	$	1,398,300	$	880,649

Geography

We attribute net revenue to geographic regions based on software product destination. Net revenue by geographic region was as follows:



	Three Months Ended September 30,				Six Months Ended September 30,
	2019		2018		2019		2018
Net revenue recognized:
United States	$	494,661	$	279,306	$	825,140	$	500,717
International	363,180		213,361		573,160		379,932
Total net revenue	$	857,841	$	492,667	$	1,398,300	$	880,649

Platform

Net revenue by platform was as follows:



	Three Months Ended September 30,				Six Months Ended September 30,
	2019		2018		2019		2018
Net revenue recognized:
Console	$	651,818	$	372,240	$	1,086,632	$	666,970
PC and other	206,023		120,427		311,668		213,679
Total net revenue	$	857,841	$	492,667	$	1,398,300	$	880,649

Distribution channel

Our products are delivered through digital online services (digital download, online platforms, and cloud streaming) and physical retail and other. Net revenue by distribution channel was as follows:



	Three Months Ended September 30,				Six Months Ended September 30,
	2019		2018		2019		2018
Net revenue recognized:
Digital online	$	615,774	$	358,371	$	1,043,555	$	673,418
Physical retail and other	242,067		134,296		354,745		207,231
Total net revenue	$	857,841	$	492,667	$	1,398,300	$	880,649

Deferred Revenue

We record deferred revenue when payments are due or received in advance of the fulfillment of our associated performance obligations. Deferred revenue, including current and non-current balances as of September 30, 2019 and March 31, 2019 were $927,191 and $864,360, respectively. For the three months ended September 30, 2019, the additions to our deferred revenue balance were due primarily to cash payments received or due in advance of satisfying our performance obligations, while the reductions to our deferred revenue balance were due primarily to the recognition of revenue upon fulfillment of our performance obligations, both of which were in the ordinary course of business.

During the three months ended September 30, 2019 and 2018, $234,411 and $183,644, respectively, of revenue was recognized that was included in the deferred revenue balance at the beginning of the period. During the six months ended September 30, 2019 and 2018, $564,833 and $424,129, respectively, of revenue was recognized that was included in the deferred revenue balance at the beginning of the period. As of September 30, 2019, the aggregate amount of contract revenue allocated to unsatisfied performance obligations is $1,074,206, which includes our deferred revenue balances and amounts to be invoiced and recognized in future periods. We expect to recognize approximately $991,328 of this balance as revenue over the next 12 months, and the remainder thereafter. This balance does not include an estimate for variable consideration arising from sales-based royalty license revenue in excess of the contractual minimum guarantee.

As of September 30, 2019 and March 31, 2019, our contract asset balances were $80,501 and $57,643, respectively, which are recorded within Prepaid expenses and other in our Condensed Consolidated Balance Sheets.