BLACKBAUD INCBLKB

BLACKBAUD INC Revenue Disclosure

10-KFiled Feb 18, 20262 min read
17. Revenue Recognition
Transaction price allocated to the remaining performance obligations
As of December 31, 2025, approximately $1.3 billion of revenue is expected to be recognized from remaining performance obligations. We expect to recognize revenue on approximately 50% of these remaining performance obligations over the next 12 months, with the remainder recognized thereafter.
We applied the practical expedient in ASC 606-10-50-14 and have excluded the value of unsatisfied performance obligations for which we recognize revenue at the amount to which we have the right to invoice for services performed (transactional revenue).
Contract balances
We did not have any contract assets as of December 31, 2025 and December 31, 2024. Our closing balances of deferred revenue were as follows:
(in thousands)December 31,
2025		December 31,
2024
Total deferred revenue
$
371,764 
$
360,561 
The increase in deferred revenue during 2025 was primarily due to billings related to contract renewals and new subscription sales of our cloud solutions. Historically, due to the timing of customer budget cycles, we have an increase in customer contract renewals at or near the beginning of our third quarter. Generally, our lowest balance of deferred revenue during the year is at the end of our first quarter. The amount of revenue recognized during 2025 that was included in the deferred revenue balance at the beginning of the period was approximately $344 million. The amount of revenue recognized during 2025 from performance obligations satisfied in prior periods was insignificant.
Disaggregation of revenue
We sell our cloud solutions and related services in three primary geographical markets: to customers in the United States, to customers in the United Kingdom and to customers located in other countries. The following table presents our revenue by geographic area based on the location of our customers:
Years ended
December 31,
(dollars in thousands)
2025
2024
2023
United States
$
953,044 
$
987,664 
$
947,228 
United Kingdom
108,750 
104,029 
100,833 
Other countries
66,571 
62,931 
59,019 
Total revenue(1)
$
1,128,365 
$
1,154,624 
$
1,107,080 
(1)The decrease in total revenue from 2024 to 2025 was primarily due to our sale of EVERFI on December 31, 2024.
The following table presents our revenue by type:
Years ended
December 31,
(dollars in thousands)
2025
2024
2023
Contractual recurring
$
721,820 
$
774,540 
$
740,152 
Transactional recurring
384,341 
353,703 
333,016 
Total recurring revenue
$
1,106,161 
$
1,128,243 
$
1,073,168 
One-time services and other
22,204 
26,381 
33,912 
Total revenue(1)
$
1,128,365 
$
1,154,624 
$
1,107,080 
(1)The decrease in total revenue from 2024 to 2025 was primarily due to our sale of EVERFI on December 31, 2024.
Significant customer
Our largest single customer accounted for less than 1% of our 2025 consolidated revenue.

Historical Timeline

Fiscal YearFiled
2025Feb 18, 2026Showing above
2024Feb 21, 2025
2023Feb 21, 2024
2022Feb 24, 2023
2021Mar 1, 2022
2020Feb 23, 2021
2019Feb 20, 2020
2018Feb 20, 2019
2017Feb 20, 2018

About Revenue Disclosures

Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.

Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.

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