XML 18 R8.htm IDEA: XBRL DOCUMENT v3.22.2.2
REVENUES
 9 Months Ended
Sep. 30, 2022
Revenue from Contract with Customer [Abstract]  
REVENUES REVENUES
The Company recognized revenues from contracts with customers for the three and nine months ended September 30, 2022 and 2021, as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Wire transfer and money order fees$121,218 $104,543 $337,757 $285,430 
Discounts and promotions(500)(352)(1,417)(1,021)
Wire transfer and money order fees, net120,718 104,191 336,340 284,409 
Foreign exchange gain, net18,851 15,643 52,719 45,347 
Other income1,198 873 3,309 2,275 
Total revenues$140,767 $120,707 $392,368 $332,031 

There are no significant initial costs incurred to obtain contracts with customers, although the Company has a loyalty program under which customers earn one point for each wire transfer completed. Points can be redeemed for a discounted wire transaction fee or a foreign exchange rate that is more favorable to the customer. The customer benefits vary by country, and the earned points expire if the customer has not initiated and completed an eligible wire transfer transaction within the immediately preceding 180-day period. In addition, earned points will expire 30 days after the end of the program. Because the loyalty program benefits represent a future performance obligation, a portion of the initial consideration is recorded as deferred revenue loyalty program (see Note 8) and a corresponding loyalty program expense is recorded as contra revenue. Revenue from this performance obligation is recognized upon customers redeeming points or upon expiration of any points outstanding.

Except for the loyalty program discussed above, our revenues include only one performance obligation, which is to collect the consumer’s money and make funds available for payment, generally on the same day, to a designated recipient in the currency requested.

The Company also offers several other services, including money orders and check cashing through its sending agents, for which revenue is derived from a fee per transaction. For substantially all of the Company’s revenues, the Company acts as principal in the transaction and reports revenue on a gross basis because the Company controls the service at all times prior to transfer to the customer, is primarily responsible for fulfilling the customer contracts, has the risk of loss and has the ability to establish transaction prices.