REVENUE FROM CONTRACTS WITH CUSTOMERS
Disaggregated Revenue
The Company operates as one segment, which is separated into three distinct product lines. Sales by product line were as follows (in thousands):
202520242023
Cardio & Vascular $1,107,084 $949,576 $836,343 
Cardiac Rhythm Management & Neuromodulation668,803 660,610 612,891 
Other Markets77,750 106,410 106,422 
Total sales$1,853,637 $1,716,596 $1,555,656 
A significant portion of the Company’s sales for the years ended December 31, 2025, 2024 and 2023 and accounts receivable at December 31, 2025 and December 31, 2024 were to three customers as follows:
 SalesAccounts Receivable
202520242023December 31,
2025
December 31,
2024
Customer A20%18%16%19%10%
Customer B15%16%17%9%9%
Customer C14%13%13%10%14%
49%47%46%38%33%
Revenue recognized from products and services transferred to customers over time during 2025 and 2024 represented 33% and 32%, respectively, of total revenue.
Contract Balances
The opening and closing balances of the Company’s contract assets and contract liabilities are as follows (in thousands):
December 31,
2025
December 31,
2024
Contract assets$112,546 $103,772 
Contract liabilities (included in Accrued expenses and other current liabilities)5,213 4,440 
Contract liabilities (included in Other long-term liabilities)3,265 4,398 
Contract assets at December 31, 2025 increased $8.8 million from December 31, 2024 primarily due to changes in the mix of inventory and associated conversions costs. During 2025 and 2024, the Company recognized $3.4 million and $4.4 million, respectively, of revenue that was included in the contract liability balance as of December 31, 2024 and December 31, 2023, respectively.

Historical Timeline

Fiscal YearFiled
2025Feb 23, 2026Showing above
2024Feb 20, 2025
2023Feb 20, 2024
2022Feb 21, 2023
2021Feb 22, 2022
2020Feb 18, 2021
2019Feb 20, 2020

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.