Company: HLI
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001302215-25-000092
Chunk: 73

Company: HOULIHAN LOKEY, INC.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 8
Chunk 73
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 incurred in fulfilling an advisory contract with over-time revenue recognition are expensed as incurred.

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Table of ContentsHOULIHAN LOKEY, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)(UNAUDITED)(In thousands, except share data or as otherwise stated)

The change in the Company’s contract assets and liabilities during the period primarily reflects the timing difference between the Company’s performance and the customer’s payment. The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers:April 1, 2025Increase/(Decrease)June 30, 2025Receivables (1)$247,622 $(39,297)$208,325 Unbilled work in progress, net of allowance for credit losses157,760 23,058 180,818 Contract Assets (1)9,704 148 9,852 Contract Liabilities (2)48,215 3,281 51,496 (1)Included within Accounts receivable, net of allowance for credit losses in the June 30, 2025 Consolidated Balance Sheets.(2)Included within Deferred income in the June 30, 2025 Consolidated Balance Sheets.During the three months ended June 30, 2025, $16,809 of Revenues, were recognized that were included in the Deferred income balance at the beginning of the period.As a practical expedient, the Company does not disclose information about remaining performance obligations pertaining to (i) contracts that have an original expected duration of one year or less, and/or (ii) contracts where the variable consideration is allocated entirely to a wholly unsatisfied promise to transfer a distinct service that is or forms part of a single performance obligation. The transaction price allocated to remaining unsatisfied or partially unsatisfied performance obligations with an original expected duration exceeding one year was not material as of June 30, 2025.

Note 4 — Related Party Transactions

The Company provides financial advisory services to certain related parties, and received fees for these services totaling approximately $429 and $42 for the three months ended June 30, 2025 and 2024, respectively. Accounts receivable and Unbilled work in progress in the accompanying Consolidated Balance Sheets include amounts pertaining to these services of $1,600 and $1,111 as of June 30, 2025 and March 31, 2025, respectively.

Other assets