NET Power Inc.NPWR

NET Power Inc. Revenue Disclosure

10-KFiled Mar 10, 20251 min read
NOTE 4 — Revenue and Accounts Receivable
Revenue
The following table disaggregates the revenue included in the consolidated statements of operations and comprehensive loss into its major components:
SuccessorPredecessor
Period FromPeriod From
June 8, 2023January 1, 2023
Year Endedthroughthrough
$ in thousands December 31, 2024December 31, 2023June 7, 2023
Feasibility studies$250 $— $175 
Total revenue$250 $— $175 
Performance Obligations
Revenue recognized under contracts with customers exclusively includes the performance obligations satisfied in the applicable reporting period.
Allowance for Doubtful Accounts
During the year ended December 31, 2024 (Successor) and the period from June 8, 2023 through December 31, 2023 (Successor), the Company did not record any provision for credit losses within General and administrative expense on the consolidated statements of operations and comprehensive loss associated with its accounts receivable. During the period
from January 1, 2023 through June 7, 2023 (Predecessor), the Company recorded an allowance for doubtful accounts equal to $352 thousand within General and administrative expense on the consolidated statements of operations and comprehensive loss associated with its accounts receivable.

Historical Timeline

Fiscal YearFiled
2024Mar 10, 2025Showing above
2023Mar 11, 2024

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 & IntangiblesLeasesCommitmentsStock CompensationNew StandardsPay vs Performance