17.Revenue Recognition

Contract Balances

Our allowance for credit losses for trade accounts receivable were as follows:

  ​ ​ ​

Pay-TV

Wireless (1)

Broadband and Satellite Services

Consolidated Total

(In thousands)

Balance, December 31, 2022

  ​ ​ ​

$

40,642

$

3,789

$

15,359

$

59,790

Current period provision for expected credit losses

56,421

10,881

34,085

101,387

Write-offs charged against allowance

(61,743)

4,001

(29,371)

(87,113)

Foreign currency translation

326

326

Balance, December 31, 2023

$

35,320

$

18,671

$

20,399

$

74,390

Current period provision for expected credit losses

56,729

24,989

25,653

107,371

Write-offs charged against allowance

(49,474)

(14,921)

(34,193)

(98,588)

Foreign currency translation

(545)

(545)

Balance, December 31, 2024

$

42,575

$

28,739

$

11,314

$

82,628

Current period provision for expected credit losses

27,303

33,640

21,073

82,016

Write-offs charged against allowance

(33,861)

(36,365)

(14,877)

(85,103)

Foreign currency translation

49

49

Balance, December 31, 2025

$

36,017

$

26,014

$

17,559

$

79,590

(1)Our allowance for credit losses for trade accounts receivable for our Other segment is immaterial and therefore included in the Wireless segment in the table above.

Contract assets arise when we recognize revenue for providing a service in advance of billing our customers. Our contract assets typically relate to our long-term contracts where we recognize revenue using the cost-based input method and the revenue recognized exceeds the amount billed to the customer.

Our contract assets also include receivables related to sales-type leases recognized over the lease term as the customer is billed. Contract assets are amortized as the customer is billed for services. Contract assets are recorded in “Trade accounts receivable, net” on our Consolidated Balance Sheets.

The following table summarizes our contract asset balances:

As of December 31,

  ​ ​ ​

2025

  ​ ​ ​

2024

(In thousands)

Contract assets

$

138,723

$

108,092

Contract liabilities arise when we bill our customers and receive consideration in advance of providing the service. Contract liabilities are recognized as revenue when the service has been provided to the customer.

Contract liabilities are recorded in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets.

The following table summarizes our contract liability balances:

As of December 31,

  ​ ​ ​

2025

  ​ ​ ​

2024

(In thousands)

Contract liabilities

$

607,970

$

649,054

Our beginning of period contract liability recorded as customer contract revenue during 2025 was $607 million.

Performance Obligations

Pay-TV and Wireless Segments

We apply a practical expedient and do not disclose the value of the remaining performance obligations for contracts that are less than one year in duration, which represent a substantial majority of our revenue. As such, the amount of revenue related to unsatisfied performance obligations is not necessarily indicative of our future revenue.

Broadband and Satellite Services Segment

As of December 31, 2025, the remaining performance obligations for our customer contracts was approximately $1.4 billion. Performance obligations expected to be satisfied within one year and greater than one year are 28% and 72%, respectively. This amount and percentages exclude leasing arrangements and agreements with consumer customers.

Contract Acquisition Costs

The following table presents the activity in our contract acquisition costs, net:

For the Years Ended December 31,

  ​ ​ ​

2025

  ​ ​ ​

2024

2023

(In thousands)

Balance, beginning of period

$

289,200

$

352,114

$

460,876

Additions

243,801

260,403

321,470

Amortization expense

(271,881)

(321,717)

(431,181)

Foreign currency translation

826

(1,600)

949

Balance, end of period

$

261,946

$

289,200

$

352,114

Historical Timeline

Fiscal YearFiled
2025Mar 2, 2026Showing above
2024Feb 27, 2025
2023Feb 29, 2024
2022Feb 23, 2023
2021Feb 24, 2022
2020Feb 23, 2021
2019Feb 20, 2020
2018Feb 21, 2019
2017Feb 22, 2018
2016Feb 24, 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.