v3.24.3
REVENUE
 9 Months Ended
Sep. 30, 2024
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
We classify revenue in three categories: service revenue, revenue from reimbursable expenses and non-controlling interests. Service revenue consists of amounts attributable to our fee-based services. Reimbursable expenses and non-controlling interests are pass-through items for which we earn no margin. Reimbursable expenses consist of amounts we incur on behalf of our customers in performing our fee-based services that we pass directly on to our customers without a markup. Non-controlling interests represent the earnings of Lenders One, a consolidated entity that is a mortgage cooperative managed, but not owned, by Altisource. The Lenders One members’ earnings are included in revenue and reduced from net loss to arrive at net loss attributable to Altisource (see Note 1). Our services are provided to customers located in the United States. The components of revenue were as follows:
Three months ended September 30,
Nine months ended
September 30,
(in thousands)2024202320242023
Service revenue$38,150 $34,112 $111,904 $104,356 
Reimbursable expenses2,321 2,039 7,081 6,398 
Non-controlling interests60 62 136 155 
Total$40,531 $36,213 $119,121 $110,909 
Disaggregation of Revenue
Disaggregation of total revenue by segment and major source was as follows:
Three months ended September 30, 2024
(in thousands)Revenue recognized when services are performed or assets are soldRevenue related to technology platforms and professional servicesReimbursable expenses revenueTotal revenue
Servicer and Real Estate$27,467 $2,922 $2,160 $32,549 
Origination7,654 167 161 7,982 
Total revenue$35,121 $3,089 $2,321 $40,531 
Three months ended September 30, 2023
(in thousands)Revenue recognized when services are performed or assets are soldRevenue related to technology platforms and professional servicesReimbursable expenses revenueTotal revenue
Servicer and Real Estate$24,223 $2,677 $1,802 $28,702 
Origination7,264 10 237 7,511 
Total revenue$31,487 $2,687 $2,039 $36,213 
Nine months ended September 30, 2024
(in thousands)Revenue recognized when services are performed or assets are soldRevenue related to technology platforms and professional servicesReimbursable expenses revenueTotal revenue
Servicer and Real Estate$80,358 $8,137 $6,680 $95,175 
Origination23,064 481 401 23,946 
Total revenue$103,422 $8,618 $7,081 $119,121 
Nine months ended September 30, 2023
(in thousands)Revenue recognized when services are performed or assets are soldRevenue related to technology platforms and professional servicesReimbursable expenses revenueTotal revenue
Servicer and Real Estate$73,314 $8,265 $5,916 $87,495 
Origination22,908 24 482 23,414 
Total revenue$96,222 $8,289 $6,398 $110,909 
Transactions with Related Parties
John G. Aldridge, Jr., the Managing Partner of Aldridge Pite LLP (“Aldridge Pite”), is a member of the Board of Directors of Altisource. Aldridge Pite provides eviction and other real estate related services to the Company and pays for the use of certain of the Company’s technology in connection with providing these services. The Company recognized less than $0.1 million for the three and nine months ended September 30, 2024 and 2023, respectively, of service revenue relating to services provided to Aldridge Pite.
Contract Balances
Our contract assets consist of unbilled accounts receivable (see Note 3). Our contract liabilities consist of current deferred revenue and other non-current liabilities as reported on the accompanying condensed consolidated balance sheets. Revenue recognized that was included in the contract liability at the beginning of the period was $2.7 million and $3.3 million for the nine months ended September 30, 2024 and 2023, respectively ($0.5 million and $0.5 million for the third quarter of 2024 and 2023 respectively).