Company: BHE
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000950170-25-025644
Chunk: 167

Company: BENCHMARK ELECTRONICS INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 8
Chunk 167
---
        $
        3,011,507

       The timing of revenue recognition, billings and cash collections result in billed accounts receivable, contract assets and advance payments from customers. During 2024, 2023 and 2022, 86.8%, 87.9% and 90.8%, respectively, of the Company’s revenue was recognized as products and services were transferred over time.Contract assets primarily relate to the Company’s right to consideration for work completed but not billed to the customer as of period end. Contract asset balances are transferred to trade accounts receivable when the rights become unconditional.A summary of activity related to the Company's contract assets follows: 

        Year EndedDecember 31,

        (in thousands)
         
        2024

        2023

        Balance as of the beginning of the year
         
        $
        174,979

        $
        183,613

        Revenue recognized

        2,304,221

        2,495,298

        Amounts collected or invoiced

        (2,311,622
        )

        (2,503,932
        )

        Balance as of the end of the period
         
        $
        167,578

        $
        174,979

       As of December 31, 2024 and 2023, the Company had $143.6 million and $204.9 million, respectively, in advance payments from customers. Of those amounts $132.5 million and $191.6 million, respectively, were related to both customer deposits and prepayments of inventory and $11.1 million and $13.3 million, respectively, were related to the contractual timing of payments. The advance payments are not considered a significant financing component because they are used to meet working capital demands of a contract, offset inventory risks and protect the Company from the failure of other parties to fulfill obligations under a contract.

64

Note 10—Segment, Geographic Information and Major Customer The Company’s Chief Executive Officer is our Chief Operating Decision Maker (CODM) who evaluates how resources are allocated, assesses performance and makes strategic and operational decisions. The Company currently has manufacturing facilities in the Americas, Asia and Europe to serve its customers. The Company is operated and managed geographically, and management evaluates performance and allocates the Company’s resources on a geographic basis. We provide manufacturing services, design and engineering services, and technology solutions in the Americas, Asia and Europe. Inter