Company: CNDT
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001677703-25-000126
Chunk: 40

Company: CONDUENT Inc
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 40
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's solutions span: document and claims processing; health plan administration; scanning and digitization of mailrooms, data and documents; omnichannel digital and physical communications, including print and mail and solutions focused specifically in the pharmaceutical and banking industries.

CNDT Q2 2025 Form 10-Q10

Contract BalancesThe Company receives payments from customers based upon contractual billing schedules. Accounts receivable are recorded when the right to consideration becomes unconditional. Contract assets are the Company’s rights to consideration for services provided when the right is conditioned on something other than passage of time (for example, meeting a milestone for the right to bill under the cost-to-cost measure of progress). Contract assets are transferred to Accounts receivable, net when the rights to consideration become unconditional. Unearned income includes payments received in advance of performance under the contract, which are realized when the associated revenue is recognized under the contract. The following table provides information about significant movements in contract assets (current and long-term) for the six months ended June 30, 2025 and 2024:(in millions)20252024Beginning balance$135 $190 Additional contract assets recognized71 86 Billed and transferred to Accounts receivable and other(66)(120)Ending balance(1)$140 $156 ___(1) Of which $2 million and $7 million are included in Other long-term assets as of June 30, 2025 and 2024, respectively. The following table provides information about significant movements in unearned income balances (current and long-term) for the six months ended June 30, 2025 and 2024:(in millions)20252024Beginning balance$155 $146 Additional deferral of income98 130 Revenue recognized related to deferral of income(1)(113)(124)Ending balance(2)$140 $152 ___(1) Of which $66 million and $69 million were recognized during the six months ended June 30, 2025 and 2024, respectively, that related to the Company's unearned income as of December 31, 2024 and 2023, respectively. (2) Of which $60 million and $57 million are included in Long-term unearned income as of June 30, 2025 and 2024, respectively. Transaction Price Allocated to the Remaining Performance Obligations

Estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied or partially satisfied at June