CANTALOUPE, INC.CTLP

CANTALOUPE, INC. Revenue Disclosure

10-KFiled Sep 8, 20253 min read
REVENUE
Based on similar operational characteristics, the Company's revenue is disaggregated as follows:
Year-ended June 30,
($ in thousands)202520242023
Transaction fees$179,534 $156,166 $132,594 
Subscription fees83,594 75,331 67,629 
Subscription and transaction fees263,128 231,497 200,223 
Equipment sales39,420 37,099 43,418 
Total revenues$302,548 $268,596 $243,641 

A portion of the Company’s revenues relate to rental lease arrangements. The Company leases equipment to customers under the Cantaloupe One program which is accounted for as operating leases in accordance with ASC 842. Lease revenue is recognized on a straight-line basis over the term of the lease. As described in Note 4 - Finance Receivables, the Company leases equipment under the QuickStart program which is accounted for as sales-type finance leases in accordance with ASC 842. The Company's revenues earned under ASC Topic 842 are as follows:
Year-ended June 30,
($ in thousands)202520242023
Operating leases
$9,046 $8,246 $7,567 
Sales-type finance leases
1,449 2,882 6,464 
Total lease revenues
$10,495 $11,128 $14,031 

Other than the revenues described above, all of the Company's revenues are earned under ASC 606.

Contract Assets
Contract assets represent revenue earned from customers that is not yet billable to a customer, generally due to the timing of when equipment and services are delivered to customers on bundled contracts, or as a result of contracts costs as described below. Contract assets that will be billed within the next 12 months are included in Prepaid expenses and other current assets and all others are included in Other assets on the Consolidated Balance Sheets. Contract assets were $3.3 million, $2.6 million, and $0.6 million as of June 30, 2025, 2024, and 2023, respectively.

Contract Liabilities
The change in the contract liability balances, presented as Deferred revenue on the Consolidated Balance Sheets, is
primarily the result of timing difference between the Company’s satisfaction of a performance obligation and payment from the
customer.
The Company's contract liability (i.e., deferred revenue) balances are as follows:
Year ended June 30,
($ in thousands)20252024
Deferred revenue, beginning of the period$1,726 $1,666 
Revenue recognized in the period from amounts included in deferred revenue at the beginning of the period(717)(617)
Additions981 677 
Deferred revenue, end of the period$1,990 $1,726 
Future Performance Obligations
The Company will recognize revenue in future periods related to remaining performance obligations for certain open contracts. Generally, these contracts have terms of one year or less. The amount of revenue related to unsatisfied performance obligations in which the original duration of the contract is greater than one year is primarily associated with the Company's Cantaloupe ONE rental program which has a contractual term of 36 months.
The following table reflects the estimated fees to be recognized in the future related to performance obligations that are unsatisfied as of June 30, 2025:
($ in thousands)
Year ended June 30,
2026$4,369 
20271,876 
2028532 
  Total$6,777 
Contract Costs
At June 30, 2025 and 2024, the Company had net capitalized costs to obtain contracts of $1.0 million and $0.9 million included in Prepaid expenses and other current assets and $2.7 million and $2.4 million included in Other assets on the Consolidated Balance Sheets, respectively. None of these capitalized contract costs were impaired. Amortization of capitalized contract costs were $1.0 million for both the years ended June 30, 2025 and 2024. Amortization of costs to obtain a contract are included within Sales and marketing expenses within the Consolidated Statements of Operations.

Historical Timeline

Fiscal YearFiled
2025Sep 8, 2025Showing above
2024Sep 10, 2024
2023Sep 25, 2023
2021Sep 3, 2021
2020Sep 11, 2020
2019Oct 9, 2019

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.

Other Available Disclosures

Income TaxesEarnings Per ShareFair ValuePP&EGoodwill & IntangiblesLeasesSegmentsDebtCommitmentsStock CompensationNew StandardsPay vs Performance