IMMERSION CORP Revenue Disclosure
5. REVENUE
Immersion
Disaggregated Revenue
The following presents the disaggregation of Immersion’s revenue for the periods ended (in thousands):
|
|
|
|
|
|
|
|
|
|
|||
|
|
Fiscal Year Ended April 30, |
|
|
Four Months |
|
|
Calendar Year Ended December 31, |
|
|||
Fixed fee license revenue |
|
$ |
62,519 |
|
|
$ |
39,131 |
|
|
$ |
5,421 |
|
Per-unit royalty revenue |
|
|
11,554 |
|
|
|
6,651 |
|
|
|
28,498 |
|
Total royalty and license revenue |
|
$ |
74,073 |
|
|
$ |
45,782 |
|
|
$ |
33,919 |
|
Contract Assets
At April 30, 2025, we had contract assets of $7.8 million included within Prepaid expenses and other current assets and $27.4 million within Other assets - noncurrent on the Consolidated Balance Sheets. At December 31, 2023, we had contract assets of $7.7 million included within Prepaid expenses and other current assets and $0.1 million included within Other assets - noncurrent on the Consolidated Balance Sheets.
Contract assets increased by $28.5 million for the fiscal year ended April 30, 2025, primarily due to an increase in unbilled revenue related to the new contracts we entered into during the fiscal year ended April 30, 2025. Contract assets decreased by $1.2 million from January 1, 2024 to April 30, 2024, primarily due to actual royalties billed during the four months ended April 30, 2024. Contract assets decreased by $0.7 million for the calendar year ended December 31, 2023, primarily due to actual royalties billed during the calendar year ended December 31, 2023.
Deferred Revenue
The following table presents changes in deferred revenue associated with Immersion’s contract liabilities (in thousands):
|
|
April 30, 2025 |
|
|
April 30, 2024 |
|
|
December 31, 2023 |
|
|||
Deferred revenue beginning of the period |
|
$ |
20,472 |
|
|
$ |
12,629 |
|
|
$ |
17,395 |
|
Additions to deferred revenue during the period |
|
|
882 |
|
|
|
9,437 |
|
|
|
— |
|
Reductions to deferred revenue for revenue recognized during the period |
|
|
(12,626 |
) |
|
|
(1,594 |
) |
|
|
(4,766 |
) |
Deferred revenue balance end of the period |
|
$ |
8,728 |
|
|
$ |
20,472 |
|
|
$ |
12,629 |
|
Revenue recognized during the fiscal year ended April 30, 2025, four months ended April 30, 2024, and calendar year ended December 31, 2023 that was included in the deferred revenue balance at the beginning of the period was $12.5 million, $1.6 million, and $4.8 million, respectively.
Based on contracts signed and payments received at April 30, 2025, we expect to recognize $8.7 million in revenue under our fixed fee license agreements, which are satisfied over time, including $8.1 million over one to three years, and $0.6 million over more than three years.
Barnes & Noble Education
Revenue from sales of Barnes & Noble Education’s products and services is recognized either at the point in time when control of the products is transferred to its customers or over time as services are provided in an amount that reflects the consideration Barnes & Noble Education expects to be entitled to in exchange for the products or services.
Disaggregated Revenue
The following table disaggregated the revenue associated with Barnes & Noble Education’s major products and service offerings (in thousands):
|
|
From |
|
|
Course material product sales |
|
$ |
937,235 |
|
General merchandise product sales (a) |
|
|
325,298 |
|
Services and other revenue (b) |
|
|
79,904 |
|
Total product and other revenue |
|
|
1,342,437 |
|
Course materials rental income |
|
|
139,366 |
|
Total revenue |
|
$ |
1,481,803 |
|
Contract Assets and Contract Liabilities
Contract assets represent the sale of goods or services to a customer before we have the right to obtain consideration from the customer. Contract assets consist of unbilled amounts at the reporting date and are transferred to accounts receivable when the rights become unconditional. Contract assets (unbilled receivables) were $0.6 million for May 3, 2025 on Barnes & Noble Education’s Consolidated Balance Sheet.
Contract liabilities represent an obligation to transfer goods or services to a customer for which we have received consideration and consists of our deferred revenue liability (deferred revenue). Deferred revenue consists of the following:
Deferred Revenue
The following table presents changes in deferred revenue associated with Barnes & Noble Education's contract liabilities (in thousands):
|
|
From June 10, 2024 to April 30, 2025 |
|
|
Deferred revenue as of the acquisition date |
|
$ |
11,044 |
|
Additions to deferred revenue during the period |
|
|
173,969 |
|
Reductions to deferred revenue for revenue recognized during the period |
|
|
(171,447 |
) |
Deferred revenue balance at the end of period |
|
$ |
13,566 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2023 | Mar 11, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 25, 2022 | |
| 2020 | Mar 5, 2021 | |
| 2019 | Mar 6, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2016 | Mar 3, 2017 | |
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.