REVENUE

We generally recognize accommodation, mobile facility rental and catering and other services revenues over time as our customers simultaneously receive and consume benefits as we serve our customers because of continuous transfer of control to the customer. Revenue is recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. We transfer control and recognize a sale based on a periodic (usually daily) room rate each night a customer stays in our rooms or when the services are rendered. In some contracts, rates

may

vary over the contract term. In these cases, revenue

may

be deferred and recognized on a straight-line basis over the contract term. A limited portion of our revenue is recognized at a point in time when control transfers to the customer related to small modular construction and manufacturing contracts, minor catering arrangements and optional purchases our customers make for incidental services offered at our accommodation and mobile facilities.

For significant projects, manufacturing revenues are recognized over time with progress towards completion measured using the cost based input method as the basis to recognize revenue and an estimated profit. Billings on such contracts in excess of costs incurred and estimated profits are classified as deferred revenue. Costs incurred and estimated profits in excess of billings on these contracts are recognized as unbilled receivables. Management believes this input method is the most appropriate measure of progress to the satisfaction of a performance obligation on larger modular construction and manufacturing contracts. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Changes in job performance, job conditions, estimated profitability and final contract settlements

may

result in revisions to projected costs and revenue and are recognized in the period in which the revisions to estimates are identified and the amounts can be reasonably estimated. Factors that

may

affect future project costs and margins include weather, production efficiencies, availability and costs of labor, materials and subcomponents. These factors can significantly impact the accuracy of our estimates and materially impact our future reported earnings.

The following table disaggregates our revenue by our

three

reportable segments: Canada, Australia and U.S., and major categories for the

three

months ended

March 31, 2018

and

2017

(in thousands):

	Three Months Ended
	March 3 1 ,
	2018		201 7
Canada
Accommodation revenues	$	50,647	$	56,230
Mobile facility rental revenues		7,794		559
Catering and other services revenues		3,739		3,443
Manufacturing revenues		1,210		274
Total Canada revenues		63,390		60,506

Australia
Accommodation revenues	$	27,698	$	27,016
Catering and other services revenues		177		--
Total Australia revenues		27,875		27,016

United States
Accommodation revenues	$	3,166	$	2,098
Mobile facility rental revenues		3,577		1,045
Manufacturing revenues		3,464		740
Catering and other services revenues		32		24
Total United States revenues		10,239		3,907

Total revenues	$	101,504	$	91,429

Because of control transferring over time, the majority of our revenue is recognized based on the extent of progress towards completion of the performance obligation. At contract inception, we assess the goods and services promised in our contracts with customers and identify a performance obligation for each promise to transfer our customers a good or service (or bundle of goods or services) that is distinct. Our customers typically contract for accommodation services under take-or-pay contracts with terms that most often range from several months to

three

years. Our contract terms generally provide for a rental rate for a reserved room and an occupied room rate that compensates us for services. We typically contract our facilities to our customers on a fee per day basis where the goods and services promised include lodging and meals. To identify the performance obligations, we consider all of the goods and services promised in the context of the contract and the pattern of transfer to our customers.

Our payment terms vary by the type and location of our customer and the products or services offered. The term between invoicing and when our performance obligations are satisfied is

not

significant. Payment terms are generally within

days. We do

not

have significant financing components or significant payment terms.

Revenues exclude taxes assessed based on revenues such as sales or value added taxes.

As of

March 31, 2018,

for contracts that are greater than

one

year, the table below discloses the estimated revenues related to performance obligations that are unsatisfied (or partially unsatisfied) and when we expect to recognize the revenue (in thousands):

	For the years ending December 31,
	2018		2019		2020		Thereafter		Total

Revenue expected to be recognized as of March 31, 2018	$	86,325	$	76,789	$	45,861	$	1,913	$	210,888