Company: CNDT
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001677703-25-000029
Chunk: 104

Company: CONDUENT Inc
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 104
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 under the contract. The following table provides information about significant movements in contract assets (current and long-term):(in millions)December 31, 2024December 31, 2023Beginning balance$190 $184 Additional contract assets recognized139 236 Billed and transferred to Accounts receivable and other(194)(227)Impairments— (3)Ending balance(1)$135 $190 ___(1) Of which $3 million and $12 million are included in Other long-term assets as of December 31, 2024 and 2023, respectively. The following table provides information about significant movements in unearned income balances (current and long-term):(in millions)December 31, 2024December 31, 2023Beginning balance$146 $123 Additional deferral of income276 361 Revenue recognized related to deferral of income(1)(267)(330)Other— (8)Ending balance(2)$155 $146 ___(1) Of which $92 million and $62 million were recognized during the years ended December 31, 2024 and 2023, respectively, that related to the Company's unearned income as of December 31, 2023 and 2022, respectively. (2) Of which $52 million and $55 million are included in Long-term unearned income as of December 31, 2024 and 2023, respectively. Transaction Price Allocated to the Remaining Performance ObligationsEstimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied or partially satisfied at December 31, 2024, was approximately $1.4 billion. The Company expects to recognize approximately 72% of this revenue over the next 2 years and the remainder thereafter. Costs to Obtain and Fulfill a ContractThe following table shows the net book value of the capitalized costs to obtain and fulfill a contract:(in millions)December 31, 2024December 31, 2023Costs to obtain a contract$19 $21 Costs to fulfill a contract99 60 The amortization of costs incurred to obtain and fulfill a contract, excluding contract inducements, for the years ended December 31, 2024, 2023 and 2022 were $40 million, $40 million and $34 million, respectively.The expected amortization expense for the next five years and thereafter for the costs to obtain and fulfill a contract is