LENSAR, Inc. Revenue Disclosure
Note 3. Revenue from Contracts with Customers
Disaggregation of Revenue
The following table summarizes the Company’s product and service revenue disaggregated by geographic region, which is determined based on customer location, for the years ended December 31, 2025 and 2024:
|
|
Year Ended December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
United States |
|
$ |
34,313 |
|
|
$ |
28,907 |
|
Europe |
|
|
8,427 |
|
|
|
10,157 |
|
Asia (excluding South Korea) |
|
|
8,020 |
|
|
|
5,487 |
|
South Korea |
|
|
658 |
|
|
|
848 |
|
Other |
|
|
238 |
|
|
|
563 |
|
Total1 |
|
$ |
51,656 |
|
|
$ |
45,962 |
|
1 The table above does not include lease revenue of $6,779 and $7,532 for the years ended December 31, 2025 and 2024, respectively. Substantially all lease revenue originates from the United States. Refer to Note 6, Leases.
Contract Balances
The following table provides information about receivables and contract liabilities from contracts with customers:
|
|
|
|
As of December 31, |
|
|||||
|
|
Classification |
|
2025 |
|
|
2024 |
|
||
Accounts receivable, current |
|
Accounts receivable, net |
|
$ |
6,377 |
|
|
$ |
6,085 |
|
Accounts receivable, long-term |
|
Notes and other receivables, long-term, net |
|
$ |
— |
|
|
$ |
38 |
|
Notes receivable, current |
|
Notes receivable, net |
|
$ |
295 |
|
|
$ |
395 |
|
Notes receivable, long-term |
|
Notes and other receivables, long-term, net |
|
$ |
731 |
|
|
$ |
1,122 |
|
Contract asset, current |
|
Prepaid and other current assets |
|
$ |
— |
|
|
$ |
236 |
|
Contract liability, current |
|
Deferred revenue |
|
$ |
479 |
|
|
$ |
— |
|
Deferred revenue, current |
|
Deferred revenue |
|
$ |
2,595 |
|
|
$ |
1,677 |
|
Deferred revenue, non-current |
|
Other long-term liabilities |
|
$ |
910 |
|
|
$ |
696 |
|
Accounts Receivable, Net—Accounts receivable, net, include amounts billed and due from customers. The amounts due are stated at their net estimated realizable value and are classified as current or noncurrent based on the timing of when the Company expects to receive payment. Most customers are on pre-paid or 30-day payment terms, depending on the product purchased. The Company maintains an allowance for expected credit losses to provide for the estimated amount of receivables that will not be collected. The allowance is based upon an assessment of customer credit worthiness, historical payment experience, the age of outstanding receivables, collateral to the extent applicable and reflects the possible impact of current conditions and reasonable forecasts not already reflected in historical loss information.
The following table summarizes the activity in the allowance for credit losses:
|
|
Amount |
|
|
Accounts receivable, allowance for credit losses as of |
|
$ |
62 |
|
Change in provision for credit losses |
|
|
43 |
|
Write-offs |
|
|
— |
|
Accounts receivable, allowance for credit losses as of |
|
|
105 |
|
Change in provision for credit losses |
|
|
(43 |
) |
Write-offs |
|
|
— |
|
Accounts receivable, allowance for credit losses as of |
|
$ |
62 |
|
Notes Receivable, Net—Notes receivable, net includes amounts billed and due from customers under extended payment terms with a significant financing component. Interest rates on notes receivable range from 7.0% to 8.0%. The Company recorded interest income on notes receivable during the years ended December 31, 2025 and 2024 of $91 and $103 in other income, net in the statement of operations.
The following table summarizes the activity in the allowance for notes receivable:
|
|
Amount |
|
|
Notes receivable, allowance for credit losses as of |
|
$ |
33 |
|
Change in provision for credit losses |
|
|
(2 |
) |
Write-offs |
|
|
— |
|
Notes receivable, allowance for credit losses as of |
|
|
31 |
|
Change in provision for credit losses |
|
|
(10 |
) |
Write-offs |
|
|
— |
|
Notes receivable, allowance for credit losses as of |
|
$ |
21 |
|
Maturities of notes receivable, net under extended payment terms with a significant financing component as of December 31, 2025 are as follows:
Fiscal Year |
|
Amount |
|
|
2026 |
|
$ |
354 |
|
2027 |
|
|
332 |
|
2028 |
|
|
222 |
|
2029 |
|
|
125 |
|
2030 |
|
|
125 |
|
Thereafter |
|
|
36 |
|
Total undiscounted cash flows |
|
|
1,194 |
|
Present value of notes receivable |
|
|
1,047 |
|
Difference between undiscounted and discounted |
|
$ |
147 |
|
Contract Assets – The Company's contract assets represent revenue recognized for performance obligations completed before an unconditional right to payment exists, and therefore invoicing has not yet occurred. The Company classifies contract assets in prepaid and other current assets in the Company's balance sheets.
The following table provides information about contract assets from contracts with customers:
|
|
Amount |
|
|
Contract assets at December 31, 2023 |
|
$ |
982 |
|
Contract assets recognized |
|
|
1,037 |
|
Payments received |
|
|
(1,595 |
) |
Write-offs due to contract modifications |
|
|
(188 |
) |
Contract assets at December 31, 2024 |
|
|
236 |
|
Contract assets recognized |
|
|
1,318 |
|
Payments received |
|
|
(1,445 |
) |
Write-offs due to contract modifications |
|
|
(109 |
) |
Contract assets at December 31, 2025 |
|
$ |
— |
|
Deferred Revenue and Contract Liabilities—The Company’s deferred revenue and contract liabilities represent services and products sold to customers for which the performance obligation has not been completed by the Company. The Company classifies deferred revenue and contract liabilities as current or noncurrent based on the timing of when it expects to recognize revenue. The noncurrent portion of deferred revenue and contract liabilities is included in other long-term liabilities in the Company’s balance sheets.
The following table provides information about deferred revenue and contract liabilities from contracts with customers:
|
|
Amount |
|
|
Contract liabilities at December 31, 2023 |
|
$ |
1,919 |
|
Billings not yet recognized as revenue |
|
|
2,055 |
|
Beginning contract liabilities recognized as revenue |
|
|
(1,387 |
) |
Impairment1 |
|
|
(214 |
) |
Contract liabilities at December 31, 2024 |
|
|
2,373 |
|
Billings not yet recognized as revenue |
|
|
3,112 |
|
Beginning contract liabilities recognized as revenue |
|
|
(1,501 |
) |
Contract liabilities at December 31, 2025 |
|
$ |
3,984 |
|
1 The Company wrote off certain contract liabilities associated with intangible assets that were determined to be impaired during the year ended December 31, 2024. Refer to Note 8, Intangible Assets.
Transaction Price Allocated to Future Performance Obligations
At December 31, 2025, the revenue expected to be recognized in future periods related to performance obligations that are unsatisfied for executed contracts with an original duration of one year or more was approximately $46,649. The Company expects to satisfy its remaining performance obligations over the next five years, with $15,676 to be satisfied in the next twelve months, $12,811 to be satisfied in the next two years, $9,765 to be satisfied in the next three years, $6,295 to be satisfied in the next four years, and $2,102 to be satisfied . The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with original expected lengths of one year or less or (ii) contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for the products delivered or services performed.
Costs to Obtain Contracts
The following table provides information about the costs to obtain contracts associated with contracts with customers for the years ended December 31, 2025 and 2024:
|
|
Year Ended December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
Beginning balance |
|
$ |
165 |
|
|
$ |
35 |
|
Additions |
|
|
937 |
|
|
|
701 |
|
Amortization |
|
|
(857 |
) |
|
|
(571 |
) |
Ending balance |
|
$ |
245 |
|
|
$ |
165 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Mar 4, 2024 | |
| 2022 | Mar 16, 2023 | |
| 2021 | Mar 3, 2022 | |
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.