Company: RILYN
Filing Date: 2025-02-21
Form Type: 10-Q
Source: 0001628280-25-007082
Chunk: 81

Company: B. Riley Financial, Inc.
Filing Date: 2025-02-21
Form: 10-Q
Item: Part I, Item 1
Chunk 81
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4 and 2023. The Company also has $10,195 and $12,997 of unbilled receivables included in prepaid expenses and other assets as of September 30, 2024 and December 31, 2023, respectively. The Company’s deferred revenue primarily relates to retainer and milestone fees received from corporate finance and investment banking advisory engagements, asset management agreements, financial consulting engagements, subscription services where the performance obligation has not yet been satisfied. Deferred revenue as of September 30, 2024 and December 31, 2023 was $61,354 and $70,575, respectively. The Company expects to recognize the deferred revenue of $61,354 as of September 30, 2024 as service and fee revenues when the performance obligation is met during the years ended December 31, 2024 (remaining three months), 2025, 2026, 2027 and 2028 in the amount of $40,172, $10,104, $4,604, $2,254, and $1,357, respectively. The Company expects to recognize the deferred revenue of $2,863 after December 31, 2028.During the three months ended September 30, 2024 and 2023, the Company recognized revenue of $6,846 and $9,273, respectively, that was recorded as deferred revenue at the beginning of the respective year. During the nine months ended September 30, 2024 and 2023, the Company recognized revenue of $36,633 and $42,739, respectively, that was recorded as deferred revenue at the beginning of the respective year. 

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Contract CostsContract costs include: (1) costs to fulfill contracts associated with corporate finance and investment banking engagements are capitalized where the revenue is recognized at a point in time and the costs are determined to be recoverable and; (2) commissions paid to obtain magicJack contracts which are recognized ratably over the contract term and third party support costs for magicJack and related equipment purchased by customers which are recognized ratably over the service period.The capitalized costs to fulfill a contract were $6,568 and $7,769 as of September 30, 2024 and December 31, 2023, respectively, and are recorded in prepaid expenses and other assets in the condensed consolidated balance sheets. For the three months ended September 30, 2024 and 2023, the Company recognized expenses of $1,140 and