Company: ACIW
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0000935036-25-000006
Chunk: 24

Company: ACI WORLDWIDE, INC.
Filing Date: 2025-02-27
Form: 10-K
Item: Item 15
Chunk 24
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 December 31, 2024 and December 31, 2023. The Company maintains an allowance for doubtful accounts for expected future credit losses that is calculated based on historical experience, current economic trends, and expectations of near term economic trends. The Company regularly monitors its credit risk exposures in consolidated receivables. 

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The following reflects activity in the Company’s allowance for doubtful accounts receivable for the periods indicated (in thousands):Years Ended December 31,202420232022Balance, beginning of period$(4,295)$(3,779)$(2,861)Provision increase(325)(526)(1,496)Amounts written off, net of recoveries2,839 43 389 Foreign currency translation adjustments and other23 (33)189 Balance, end of period$(1,758)$(4,295)$(3,779)Provision increases recorded in general and administrative expense during the years ended December 31, 2024, December 31, 2023, and 2022, reflect adjustments in the allowance for doubtful accounts based upon collection experience, net of collection of customer-specific receivables that were previously reserved for as doubtful of collection.Deferred revenue includes amounts due or received from customers for software licenses, maintenance, services, and/or SaaS and PaaS services in advance of recording the related revenue.Changes in deferred revenue were as follows (in thousands):Balance, December 31, 2022$81,536 Deferral of revenue119,741 Recognition of deferred revenue(117,420)Foreign currency translation503 Balance, December 31, 202384,360 Deferral of revenue141,811 Recognition of deferred revenue(129,483)Foreign currency translation(1,965)Balance, December 31, 2024$94,723 Revenue allocated to remaining performance obligations represents contracted revenue that will be recognized in future periods, which is comprised of deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. This does not include:•Revenue that will be recognized in future periods from capacity overages that are accounted for as a usage-based royalty.•SaaS and PaaS revenue from variable consideration that will be recognized in accordance with the ‘right to invoice’ practical expedient or meets the allocation objective.Revenue allocated to remaining performance obligations was $731.7 million as of December 31, 2024, of which the Company expects to recognize approximately 51% over the next 12