Company: G
Filing Date: 2025-08-11
Form Type: 10-Q
Source: 0001398659-25-000098
Chunk: 87

Company: Genpact LTD
Filing Date: 2025-08-11
Form: 10-Q
Item: Part I, Item 1
Chunk 87
---
 for the periods presented.Contract liabilities include that portion of revenue for which payments have been received in advance from customers. The Company also defers revenues attributable to certain process transition activities for which costs have been capitalized by the Company as contract fulfillment costs. Consideration received from customers, if any, relating to such transition activities is also included as part of contract liabilities. The contract liabilities are included within “Accrued expenses and other current liabilities” and “Other liabilities” in the consolidated balance sheets. The revenues are recognized as (or when) the performance obligation is fulfilled pursuant to the contract with the customer.

44

GENPACT LIMITED AND ITS SUBSIDIARIESNotes to the Consolidated Financial Statements(Unaudited)(In thousands, except per share data and share count)

19. Net revenues (Continued)The following table shows the details of the Company’s contract balances: As of December 31, 2024As of June 30, 2025Contract assets (Note a)$48,980 $71,094 Contract liabilities (Note b)Deferred transition revenue$106,769 $106,665 Advance from customers$45,420 $40,267 (a)Included in "prepaid expenses and other current assets" and "other assets" in the consolidated balance sheet.(b)Included in "accrued expenses and other current liabilities" and "other liabilities" in the consolidated balance sheet.Changes in the Company’s contract asset and liability balances during the three and six months ended June 30, 2024 and 2025 were a result of normal business activity and not materially impacted by any other factors.The amount of revenue recognized during the three months ended June 30, 2024 and 2025 that was included in the Company's contract liabilities balance at the beginning of each period was $54,361 and $47,059, respectively, and the amount of revenue recognized during the six months ended June 30, 2024 and 2025 that was included in the Company's contract liabilities balance at the beginning of the period was $81,105 and $74,672, respectively.The following table includes estimated revenue expected to be recognized in the future related to remaining performance obligations as of June 30, 2025:ParticularsTotalLess than 1 year1-3 years3-5 yearsAfter 5 yearsTransaction price allocated to remaining performance obligations$146,932 $93,858 $40,493 $11,627 $954