Company: MTCH
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0000891103-25-000027
Chunk: 14

Company: Match Group, Inc.
Filing Date: 2025-02-27
Form: 10-K
Item: Item 8
Chunk 14
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 based on usage. Revenue associated with offline events is recognized when each event occurs.The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less, (ii) contracts with variable consideration that is allocated entirely to unsatisfied performance obligations or to a wholly unsatisfied promise accounted for under the series guidance, and (iii) contracts for which the Company recognizes revenue at the amount which we have the right to invoice for services performed.Transaction PriceThe objective of determining the transaction price is to estimate the amount of consideration the Company is due in exchange for its services, including amounts that are variable. The Company determines the total transaction price, including an estimate of any variable consideration, at contract inception and reassesses this estimate each reporting period.The Company excludes from the measurement of transaction price all taxes assessed by governmental authorities that are both (i) imposed on and concurrent with a specific revenue-producing transaction and (ii) collected from customers. Accordingly, such tax amounts are not included as a component of revenue or cost of revenue.For contracts that have an original duration of one year or less, the Company does not consider the time value of money.Assets Recognized from the Costs to Obtain a Contract with a CustomerThe Company has determined that certain costs, primarily mobile app store fees, meet the requirements to be capitalized as a cost of obtaining a contract. The Company recognizes an asset for these costs if we expect to recover those costs. Mobile app store fees are amortized over the period of contract performance. Specifically, the Company capitalizes and amortizes mobile app store fees as revenue is recognized for both subscription and à la carte features.During the years ended December 31, 2024 and 2023, the Company recognized expense of $696.6 million and $646.7 million, respectively, related to the amortization of these costs. The contract asset balances at December 31, 2024, 2023, and 2022 related to costs to obtain a contract are $28.6 million, $33.1 million, and $38.2 million, respectively, included in “Other current assets” in the accompanying consolidated balance sheet.Accounts Receivables, Net of Allowance for Credit Losses and Revenue ReservesThe majority of our users purchase our services through mobile app stores. At December 31, 2024, two mobile app stores accounted for approximately 78% and 16%, respectively, of our gross accounts receivables. The comparable amounts at December 31