Accounts Receivable, Contract Assets, and Contract Liabilities

9 Months Ended

Oct. 29, 2022

Receivables [Abstract]

Accounts Receivable, Contract Assets, and Contract Liabilities

Accounts Receivable, Contract Assets, and Contract Liabilities

The following provides further details on the balance sheet accounts of accounts receivable, net; contract assets; and contract liabilities.

Accounts Receivable

Accounts receivable, net, classified as current, consisted of the following (dollars in thousands):

	October 29, 2022		January 29, 2022
Trade accounts receivable	$	467,812	$	330,811
Unbilled accounts receivable	751,329		545,493
Retainage	28,138		20,318
Total	1,247,279		896,622
Less: allowance for doubtful accounts	(2,797)		(724)
Accounts receivable, net	$	1,244,482	$	895,898

We maintain an allowance for doubtful accounts for estimated losses on uncollected balances. The allowance for doubtful accounts changed as follows (dollars in thousands):

	For the Three Months Ended				For the Nine Months Ended
	October 29, 2022		October 30, 2021		October 29, 2022		October 30, 2021
Allowance for doubtful accounts at beginning of period	$	785	$	1,527	$	724	$	1,676
Provision for bad debt	2,012		17		2,149		2,918
Amounts charged against the allowance	—		(5)		(76)		(3,055)
Allowance for doubtful accounts at end of period	$	2,797	$	1,539	$	2,797	$	1,539

Contract Assets and Contract Liabilities

Net contract assets consisted of the following (dollars in thousands):

	October 29, 2022		January 29, 2022
Contract assets	$	53,319	$	24,539
Contract liabilities	14,419		18,512
Contract assets, net	$	38,900	$	6,027

The increase in net contract assets primarily resulted from increased services performed under contracts consisting of multiple tasks. During the three and nine months ended October 29, 2022, we performed services and recognized $2.8 million and $14.2 million of contract revenues related to contract liabilities that existed at January 29, 2022. See Note 6, Other Current Assets and Other Assets, for information on our long-term contract assets.

Customer Credit Concentration

Customers whose combined amounts of accounts receivable and contract assets, net, exceeded 10% of total combined accounts receivable and contract assets, net, as of October 29, 2022 or January 29, 2022 were as follows (dollars in millions):

	October 29, 2022			January 29, 2022
	Amount		% of Total	Amount		% of Total
Lumen Technologies	$	226.9	17.6%	$	166.0	18.4%
AT&T Inc.	$	176.1	13.7%	$	106.0	11.7%
Verizon Communications Inc.	$	153.8	12.0%	$	144.3	16.0%
Comcast Corporation	$	145.9	11.3%	$	113.5	12.6%

We believe that none of the customers above were experiencing financial difficulties that would materially impact the collectability of the Company’s total accounts receivable and contract assets, net, as of October 29, 2022 or January 29, 2022.