Revenue from Contract with Customers

9 Months Ended

Sep. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer

Revenue from Contracts with Customers

Statement of Income Disclosures

The following tables provide details of our revenues disaggregated by key activities that comprise our performance obligations by operating segment (in thousands):

	Three Months Ended September 30, 2019
	Refined Products		Crude Oil		Intersegment Eliminations		Total
Transportation	$	208,073	$	95,530	$	—	$	303,603
Terminalling	48,428		3,176		—		51,604
Storage	53,433		30,037		(1,556)		81,914
Ancillary services	36,375		7,278		—		43,653
Lease revenue	6,302		19,356		—		25,658
Transportation and terminals revenue	352,611		155,377		(1,556)		506,432
Product sales revenue	136,464		8,343		—		144,807
Affiliate management fee revenue	1,764		3,593		—		5,357
Total revenue	490,839		167,313		(1,556)		656,596
Revenue not under the guidance of ASC 606, Revenue from Contracts with Customers:
Lease revenue(1)	(6,302)		(19,356)		—		(25,658)
(Gains) losses from futures contracts included in product sales revenue(2)	(17,061)		(564)		—		(17,625)
Affiliate management fee revenue	(1,764)		(3,593)		—		(5,357)
Total revenue from contracts with customers under ASC 606	$	465,712	$	143,800	$	(1,556)	$	607,956

(1) Lease revenue is accounted for under Accounting Standards Codification (“ASC”) 842, Leases.

(2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging.

	Three Months Ended September 30, 2020
	Refined Products		Crude Oil		Intersegment Eliminations		Total
Transportation	$	192,194	$	90,156	$	—	$	282,350
Terminalling	41,227		5,651		—		46,878
Storage	49,366		32,876		(1,930)		80,312
Ancillary services	32,707		6,828		—		39,535
Lease revenue	5,315		19,141		—		24,456
Transportation and terminals revenue	320,809		154,652		(1,930)		473,531
Product sales revenue	114,252		5,193		—		119,445
Affiliate management fee revenue	1,579		3,709		—		5,288
Total revenue	436,640		163,554		(1,930)		598,264
Revenue not under the guidance of ASC 606, Revenue from Contracts with Customers:
Lease revenue(1)	(5,315)		(19,141)		—		(24,456)
(Gains) losses from futures contracts included in product sales revenue(2)	6,850		884		—		7,734
Affiliate management fee revenue	(1,579)		(3,709)		—		(5,288)
Total revenue from contracts with customers under ASC 606	$	436,596	$	141,588	$	(1,930)	$	576,254

(1) Lease revenue is accounted for under ASC 842, Leases.

(2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging.

	Nine Months Ended September 30, 2019
	Refined Products		Crude Oil		Intersegment Eliminations		Total
Transportation	$	584,662	$	290,754	$	—	$	875,416
Terminalling	138,968		13,146		—		152,114
Storage	162,139		89,313		(3,835)		247,617
Ancillary services	103,287		20,488		—		123,775
Lease revenue	20,756		53,951		—		74,707
Transportation and terminals revenue	1,009,812		467,652		(3,835)		1,473,629
Product sales revenue	478,441		19,350		—		497,791
Affiliate management fee revenue	5,085		10,725		—		15,810
Total revenue	1,493,338		497,727		(3,835)		1,987,230
Revenue not under the guidance of ASC 606, Revenue from Contracts with Customers:
Lease revenue(1)	(20,756)		(53,951)		—		(74,707)
(Gains) losses from futures contracts included in product sales revenue(2)	39,761		1,743		—		41,504
Affiliate management fee revenue	(5,085)		(10,725)		—		(15,810)
Total revenue from contracts with customers under ASC 606	$	1,507,258	$	434,794	$	(3,835)	$	1,938,217

(1) Lease revenue is accounted for under ASC 842, Leases.

(2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging.

	Nine Months Ended September 30, 2020
	Refined Products		Crude Oil		Intersegment Eliminations		Total
Transportation	$	533,451	$	244,154	$	—	$	777,605
Terminalling	117,916		14,702		—		132,618
Storage	152,933		97,103		(5,093)		244,943
Ancillary services	93,340		20,746		—		114,086
Lease revenue	17,247		57,242		—		74,489
Transportation and terminals revenue	914,887		433,947		(5,093)		1,343,741
Product sales revenue	461,701		20,141		—		481,842
Affiliate management fee revenue	4,676		11,219		—		15,895
Total revenue	1,381,264		465,307		(5,093)		1,841,478
Revenue not under the guidance of ASC 606, Revenue from Contracts with Customers:
Lease revenue(1)	(17,247)		(57,242)		—		(74,489)
(Gains) losses from futures contracts included in product sales revenue(2)	(89,763)		483		—		(89,280)
Affiliate management fee revenue	(4,676)		(11,219)		—		(15,895)
Total revenue from contracts with customers under ASC 606	$	1,269,578	$	397,329	$	(5,093)	$	1,661,814

(1) Lease revenue is accounted for under ASC 842, Leases.

(2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging.

Balance Sheet Disclosures

The following table summarizes our accounts receivable, contract assets and contract liabilities resulting from contracts with customers (in thousands):

	December 31, 2019		September 30, 2020
Accounts receivable from contracts with customers	$	124,701	$	107,317
Contract assets	$	8,071	$	13,834
Contract liabilities	$	111,670	$	94,865

For the three and nine months ended September 30, 2020, respectively, we recognized $9.3 million and $89.3 million of transportation and terminals revenue that was recorded in deferred revenue as of December 31, 2019.

Unfulfilled Performance Obligations

The following table provides the aggregate amount of the transaction price allocated to our unfulfilled performance obligations (“UPOs”) as of September 30, 2020 by operating segment, including the range of years remaining on our contracts with customers and an estimate of revenues expected to be recognized over the next 12 months (dollars in thousands):

	Refined Products		Crude Oil		Total
Balances at September 30, 2020	$	2,137,259	$	1,276,836	$	3,414,095
Remaining terms	1 - 18 years		1 - 11 years
Estimated revenues from UPOs to be recognized in the next 12 months	$	407,914	$	269,156	$	677,070