Revenue from Contracts with Customers (Tables)

9 Months Ended

Sep. 30, 2018

The impact on our consolidated financial statements as if they were presented under the prior guidance is as follows:



	Three Months Ended September 30, 2018									Nine Months Ended September 30, 2018
	As reported			Prior guidance			Increase (decrease)			As reported		Prior guidance		Increase (decrease)
Income Statement
Total revenue	$	832,856		$	828,999		$	3,857		$	2,575,240	$	2,553,059	$	22,181
Equipment sales	$	100,937		$	101,632		$	(695	)	$	317,058	$	319,165	$	(2,107	)
Software	$	76,026		$	71,081		$	4,945		$	244,022	$	218,410	$	25,612
Business services	$	363,528		$	363,921		$	(393	)	$	1,117,942	$	1,119,266	$	(1,324	)

Total costs and expenses	$	787,727		$	790,565		$	(2,838	)	$	2,415,358	$	2,420,406	$	(5,048	)
Cost of equipment sales	$	39,353		$	39,409		$	(56	)	$	132,513	$	132,628	$	(115	)
Cost of software	$	24,743		$	23,957		$	786		$	75,257	$	72,499	$	2,758
Selling, general and administrative	$	269,387		$	272,955		$	(3,568	)	$	847,281	$	854,972	$	(7,691	)

Income from continuing operations before taxes	$	45,129		$	38,434		$	6,695		$	159,882	$	132,653	$	27,229
(Benefit) provision for income taxes	$	(1,976	)	$	(3,768	)	$	1,792		$	20,745	$	13,666	$	7,079
Net income from continuing operations	$	47,105		$	42,202		$	4,903		$	139,137	$	118,987	$	20,150

Basic earnings - continuing operations	$	0.25		$	0.22		$	0.03		$	0.74	$	0.63	$	0.11
Diluted earnings per share - continuing operations	$	0.25		$	0.22		$	0.03		$	0.74	$	0.63	$	0.11



	September 30, 2018
	As reported			Prior guidance			Increase (decrease)
Balance Sheet
Total Assets	$	5,913,935		$	5,911,188		$	2,747
Accounts receivable	$	378,036		$	377,484		$	552
Current income taxes	$	11,395		$	11,593		$	(198	)
Other current assets and prepayments	$	92,916		$	92,174		$	742
Noncurrent income taxes	$	54,114		$	54,117		$	(3	)
Other assets	$	526,937		$	525,283		$	1,654

Total Liabilities	$	5,662,269		$	5,671,251		$	(8,982	)
Accounts payable and accrued liabilities	$	1,342,097		$	1,339,257		$	2,840
Current income taxes	$	40,018		$	32,960		$	7,058
Advance billings	$	224,141		$	237,546		$	(13,405	)
Liabilities of discontinued operations	$	10,446		$	10,359		$	87
Deferred taxes on income	$	230,663		$	234,365		$	(3,702	)
Other noncurrent liabilities	$	443,925		$	445,785		$	(1,860	)

Total Stockholders' equity	$	251,666		$	239,256		$	12,410
Retained earnings	$	5,290,761		$	5,278,691		$	12,070
Accumulated other comprehensive loss	$	(804,609	)	$	(804,949	)	$	340

The following tables disaggregate our revenue by major source:



	Three Months Ended September 30, 2018
	Global Ecommerce		Presort Services		North America Mailing		International Mailing		Software Solutions		Total Revenue from sales and services (ASC 606)		Revenue from leasing transactions and financing		Total Consolidated Revenue
Equipment sales	$	—	$	—	$	13,615	$	11,974	$	—	$	25,589	$	75,348	$	100,937
Supplies	—		—		33,854		16,549		—		50,403		—		50,403
Software	—		—		—		284		75,742		76,026		—		76,026
Rentals	—		—		4,357		1,971		—		6,328		84,787		91,115
Financing	—		—		15,478		2,636		—		18,114		58,616		76,730
Support services	—		—		53,987		20,130		—		74,117				74,117
Business services	232,845		125,334		4,022		1,327		—		363,528				363,528
	$	232,845	$	125,334	$	125,313	$	54,871	$	75,742	$	614,105	$	218,751	$	832,856

Revenue from sales and services (ASC 606)	$	232,845	$	125,334	$	125,313	$	54,871	$	75,742	$	614,105	$	—	$	614,105
Revenue from leasing transactions and financing	—		—		188,652		30,099		—		—		218,751		218,751
Total revenue	$	232,845	$	125,334	$	313,965	$	84,970	$	75,742	$	614,105	$	218,751	$	832,856

Timing of revenue recognition (ASC 606)
Products/services transferred at a point in time	$	—	$	—	$	47,467	$	28,809	$	24,262	$	100,538
Products/services transferred over time	232,845		125,334		77,846		26,062		51,480		513,567
Total revenue	$	232,845	$	125,334	$	125,313	$	54,871	$	75,742	$	614,105



	Nine Months Ended September 30, 2018
	Global Ecommerce		Presort Services		North America Mailing		International Mailing		Software Solutions		Total Revenue from sales and services (ASC 606)		Revenue from leasing transactions and financing		Total Consolidated Revenue
Equipment sales	$	—	$	—	$	46,061	$	36,992	$	—	$	83,053	$	234,005	$	317,058
Supplies	—		—		109,077		56,776		—		165,853		—		165,853
Software	—		—		—		284		243,738		244,022		—		244,022
Rentals	—		—		15,189		6,276		—		21,465		256,085		277,550
Financing	—		—		47,768		8,478		—		56,246		177,258		233,504
Support services	—		—		155,635		63,676		—		219,311				219,311
Business services	718,535		382,522		12,278		4,607		—		1,117,942				1,117,942
	$	718,535	$	382,522	$	386,008	$	177,089	$	243,738	$	1,907,892	$	667,348	$	2,575,240

Revenue from sales and services (ASC 606)	$	718,535	$	382,522	$	386,008	$	177,089	$	243,738	$	1,907,892	$	—	$	1,907,892
Revenue from leasing transactions and financing	—		—		568,072		99,276		—		—		667,348		667,348
Total revenue	$	718,535	$	382,522	$	954,080	$	276,365	$	243,738	$	1,907,892	$	667,348	$	2,575,240

Timing of revenue recognition (ASC 606)
Products/services transferred at a point in time	$	—	$	—	$	155,138	$	94,052	$	89,282	$	338,472
Products/services transferred over time	718,535		382,522		230,870		83,037		154,456		1,569,420
Total revenue	$	718,535	$	382,522	$	386,008	$	177,089	$	243,738	$	1,907,892

Contract Assets and Advance Billings from Contracts with Customers



	September 30, 2018		January 1, 2018 ⁽¹⁾		Increase (decrease)
Contracts assets, current	$	8,472	$	5,075	$	3,397
Contracts assets, noncurrent	$	7,520	$	648	$	6,872
Advance billings, current	$	171,682	$	209,098	$	(37,416	)
Advance billings, noncurrent	$	14,891	$	17,765	$	(2,874	)

⁽¹⁾Balances adjusted for the cumulative effect of accounting change

The transaction prices allocated to future performance obligations will be recognized as follows:

⁽¹⁾Revenue streams bundled with our leasing contracts, primarily maintenance and other services

⁽²⁾Multiple-year software maintenance contracts, certain software and data licenses and data updates