Company: ACCS
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0000843006-25-000025
Chunk: 63

Company: ACCESS Newswire Inc.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 8
Chunk 63
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4, was $5,021,000 and $4,743,000, respectively, and is expected to be recognized primarily within one year. Approximately $245,000 of the deferred revenue balance as of March 31, 2025, relates to contracts for press release packages with an expiration date after March 31, 2026, however the customer may use the balance within one year. As of January 1, 2024, deferred revenue was $4,750,000. Revenue recognized for the three months ended March 31, 2025 and 2024, which was included in the deferred revenue balance at the beginning of each reporting period, was approximately $2,162,000 and $2,570,000, respectively. Accounts receivable, net of allowance for credit losses, related to contracts with customers was $3,489,000 and $3,351,000 as of March 31, 2025 and December 31, 2024, respectively. As of January 1, 2024, accounts receivable, net of allowance for credit losses was $3,005,000. Since substantially all the contracts have terms of one year or less, the Company has elected to use the practical expedient regarding the existence of significant financing. Costs to obtain contracts with customers consist primarily of sales commissions. As of March 31, 2025 and December 31, 2024, the Company has capitalized $69,000 of costs to obtain contracts that are expected to be amortized over more than one year. For contract costs expected to be amortized in less than one year, the Company has elected to use the practical expedient allowing the recognition of incremental costs of obtaining a contract as an expense when incurred. The Company has considered historical renewal rates, expectations of future renewals and economic factors in making these determinations.

 9Table of Contents

 Earnings Per Share (EPS) Earnings per share accounting guidance requires that basic net income per common share be computed by dividing net income for the period by the weighted average number of common shares outstanding during the period. Diluted net income per share is computed by dividing the net income for the period by the weighted average number of common and dilutive common equivalent shares outstanding during the period. Shares issuable upon the exercise of stock options totaling 53,750 and 65,750 were excluded in the computation of diluted earnings per common share during the three months ended March 31, 2025 and 202