Revenues (Tables)

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Capitalized Costs to Fulfill Contract with Customer

The following table presents information related to the capitalized costs to fulfill for the six months ended June 30:

(in millions)	2022		2021
Beginning balance	$	394	$	467
Costs capitalized	19		25
Amortization expense	(55)		(58)
Impairment charge	—		(9)
Ending balance	$	358	$	425

Contract with Customer, Asset and Liability

The table below shows movements in contract assets for the six months ended June 30:

(in millions)	2022		2021
Beginning balance	$	310	$	315
Revenues recognized during the period but not billed	318		266
Amounts reclassified to trade accounts receivable	(243)		(229)
Effect of foreign currency exchange movements	(7)		—
Ending balance	$	378	$	352

The table below shows movements in the deferred revenue balances (current and noncurrent) for the six months ended June 30:

(in millions)	2022		2021
Beginning balance	$	443	$	419
Amounts billed but not recognized as revenues	385		327
Revenues recognized related to the beginning balance of deferred revenue	(388)		(357)
Effect of foreign currency exchange movements	(8)		—
Ending balance	$	432	$	389

Disaggregation of Revenue

	Three Months Ended June 30, 2022										Six Months Ended June 30, 2022
(in millions)	FS		HS		P&R		CMT		Total		FS		HS		P&R		CMT		Total
Revenues
Geography:
North America	$	1,104	$	1,210	$	770	$	572	$	3,656	$	2,184	$	2,405	$	1,531	$	1,105	$	7,225
United Kingdom	147		44		134		133		458		298		88		266		259		911
Continental Europe	143		126		143		33		445		300		246		288		70		904
Europe - Total	290		170		277		166		903		598		334		554		329		1,815
Rest of World	148		28		93		78		347		288		61		185		158		692
Total	$	1,542	$	1,408	$	1,140	$	816	$	4,906	$	3,070	$	2,800	$	2,270	$	1,592	$	9,732
Service line:
Consulting and technology services	$	1,078	$	805	$	753	$	465	$	3,101	$	2,135	$	1,609	$	1,507	$	913	$	6,164
Outsourcing services	464		603		387		351		1,805		935		1,191		763		679		3,568
Total	$	1,542	$	1,408	$	1,140	$	816	$	4,906	$	3,070	$	2,800	$	2,270	$	1,592	$	9,732
Type of contract:
Time and materials	$	894	$	505	$	471	$	471	$	2,341	$	1,784	$	999	$	938	$	919	$	4,640
Fixed-price	578		617		581		309		2,085		1,135		1,235		1,153		601		4,124
Transaction or volume-based	70		286		88		36		480		151		566		179		72		968
Total	$	1,542	$	1,408	$	1,140	$	816	$	4,906	$	3,070	$	2,800	$	2,270	$	1,592	$	9,732

	Three Months Ended June 30, 2021										Six Months Ended June 30, 2021
(in millions)	FS		HS		P&R		CMT		Total		FS		HS		P&R		CMT		Total
Revenues
Geography:
North America	$	1,049	$	1,131	$	723	$	469	$	3,372	$	2,062	$	2,232	$	1,441	$	920	$	6,655
United Kingdom	130		45		116		112		403		255		85		222		211		773
Continental Europe	186		120		132		44		482		378		238		235		87		938
Europe - Total	316		165		248		156		885		633		323		457		298		1,711
Rest of World	137		29		84		78		328		265		58		155		142		620
Total	$	1,502	$	1,325	$	1,055	$	703	$	4,585	$	2,960	$	2,613	$	2,053	$	1,360	$	8,986
Service line:
Consulting and technology services	$	1,012	$	769	$	668	$	422	$	2,871	$	1,979	$	1,514	$	1,284	$	818	$	5,595
Outsourcing services	490		556		387		281		1,714		981		1,099		769		542		3,391
Total	$	1,502	$	1,325	$	1,055	$	703	$	4,585	$	2,960	$	2,613	$	2,053	$	1,360	$	8,986
Type of contract:
Time and materials	$	908	$	514	$	446	$	422	$	2,290	$	1,807	$	1,033	$	864	$	819	$	4,523
Fixed-price	500		529		506		249		1,784		971		1,028		987		479		3,465
Transaction or volume-based	94		282		103		32		511		182		552		202		62		998
Total	$	1,502	$	1,325	$	1,055	$	703	$	4,585	$	2,960	$	2,613	$	2,053	$	1,360	$	8,986

Reinsurance Recoverable, Allowance for Credit Loss

The following table presents the activity in the allowance for credit losses for trade accounts receivable for the six months ended June 30:

(in millions)	2022		2021
Beginning balance	$	50	$	57
Credit loss expense (income)	—		1
Write-offs charged against the allowance	(7)		(9)
Ending balance	$	43	$	49