Revenue Recognition

3 Months Ended

Mar. 31, 2025

10.

Revenue Recognition

Contract Balances

Our allowance for credit losses were as follows:


	For the Three Months Ended
	March 31,
	2025		2024

	(In thousands)
Balance, beginning of period	$	42,270	$	34,884
Current period provision for expected credit losses		12,710		16,602
Write-offs charged against allowance		(8,627)		(17,193)
Balance, end of period	$	46,353	$	34,293

Contract liabilities arise when we bill our customers and receive consideration in advance of providing the service. Contract liabilities are recognized as revenue when the service has been provided to the customer. Contract liabilities are recorded in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities” on our Condensed Consolidated Balance Sheets.

The following table summarizes our contract liability balances:


	As of
	March 31,		December 31,
	2025		2024

	(In thousands)
Contract liabilities	$	376,600	$	386,638

Our beginning of period contract liability recorded as customer contract revenue during 2025 was $384 million.

Performance Obligations

We apply a practical expedient and do not disclose the value of the remaining performance obligations for contracts that are less than one year in duration, which represent a substantial majority of our revenue. As such, the amount of revenue related to unsatisfied performance obligations is not necessarily indicative of our future revenue.

Contract Acquisition Costs

The following table presents the activity in our contract acquisition costs, net:


	For the Three Months Ended
	March 31,
	2025		2024

	(In thousands)
Balance, beginning of period	$	148,172	$	175,685
Additions		11,085		13,955
Amortization expense		(20,824)		(26,349)
Balance, end of period	$	138,433	$	163,291