Accounts Receivable and Contract Assets, Net

12 Months Ended

Dec. 31, 2022

Accounts Receivable, after Allowance for Credit Loss [Abstract]

Accounts Receivable and Contract Assets, Net

(3) Accounts Receivable and Contract Assets, Net

Accounts receivable, net is as follows (in thousands):

	As of December 31,
	2022			2021
Accounts receivable amortized cost	$	127,298		$	127,917
Allowance for credit losses		(7,312	)		(6,922	)
Net accounts receivable	$	119,986		$	120,995

The following table summarizes the changes in the allowance for credit losses for accounts receivable (in thousands):

	Year Ended December 31,
	2022			2021			2020
Balance, beginning of period	$	(6,922	)	$	(3,788	)	$	(1,125	)
Provision for expected credit losses		(1,413	)		(3,512	)		(2,877	)
Write-offs, net		1,023			378			214
Balance, end of period	$	(7,312	)	$	(6,922	)	$	(3,788	)

Contract assets, net, included in deferred costs and other current assets on the consolidated balance sheets, is as follows (in thousands):

	As of December 31,
	2022			2021
Contract asset amortized cost	$	8,525		$	8,569
Allowance for credit losses		(1,015	)		(1,160	)
Net contract asset	$	7,510		$	7,409

The following table summarizes the changes in the allowance for credit losses for contract assets (in thousands):

	Year Ended December 31,
	2022			2021			2020
Balance, beginning of period	$	(1,160	)	$	(398	)	$	—
Provision for expected credit losses, net		(24	)		(798	)		(398	)
Write-offs		169			36			—
Balance, end of period	$	(1,015	)	$	(1,160	)	$	(398	)

Credit loss expense for the years ended December 31, 2022, 2021 and 2020 was $0.2 million, $4.4 million and $2.7 million, respectively. A payment received from a customer during the year ended December 31, 2022 reduced credit losses expense by $1.4 million.

The following table summarizes the changes in the sales reserve (in thousands):

	Year Ended December 31,
	2022			2021			2020
Balance, beginning of period	$	(250	)	$	(175	)	$	(175	)
Additions		(211	)		(239	)		(85	)
Write-offs		36			164			85
Balance, end of period	$	(425	)	$	(250	)	$	(175	)