Revenue

3 Months Ended

Mar. 31, 2024

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregated Revenue

The following tables disaggregate our revenue by source and timing of recognition:

	Three Months Ended March 31, 2024
	Global Ecommerce		Presort Services		SendTech Solutions		Revenue from products and services		Revenue from leasing transactions and financing		Total consolidated revenue
Major products/service lines
Business services	$	333,265	$	169,807	$	32,525	$	535,597	$	—	$	535,597
Support services	—		—		96,333		96,333		—		96,333
Financing	—		—		—		—		67,663		67,663
Equipment sales	—		—		24,732		24,732		52,671		77,403
Supplies	—		—		36,721		36,721		—		36,721
Rentals	—		—		—		—		16,792		16,792
Subtotal	333,265		169,807		190,311		693,383		$	137,126	$	830,509
Revenue from leasing transactions and financing	—		—		137,126		137,126
Total revenue	$	333,265	$	169,807	$	327,437	$	830,509
Timing of revenue recognition from products and services
Products/services transferred at a point in time	$	—	$	—	$	76,465	$	76,465
Products/services transferred over time	333,265		169,807		113,846		616,918
Total	$	333,265	$	169,807	$	190,311	$	693,383

	Three Months Ended March 31, 2023
	Global Ecommerce		Presort Services		SendTech Solutions		Revenue from products and services		Revenue from leasing transactions and financing		Total consolidated revenue
Major products/service lines
Business services	$	340,641	$	158,902	$	23,948	$	523,491	$	—	$	523,491
Support services	—		—		105,284		105,284		—		105,284
Financing	—		—		—		—		67,049		67,049
Equipment sales	—		—		19,995		19,995		62,615		82,610
Supplies	—		—		38,835		38,835		—		38,835
Rentals	—		—		—		—		17,269		17,269
Subtotal	340,641		158,902		188,062		687,605		$	146,933	$	834,538
Revenue from leasing transactions and financing	—		—		146,933		146,933
Total revenue	$	340,641	$	158,902	$	334,995	$	834,538
Timing of revenue recognition from products and services
Products/services transferred at a point in time	$	—	$	—	$	77,064	$	77,064
Products/services transferred over time	340,641		158,902		110,998		610,541
Total	$	340,641	$	158,902	$	188,062	$	687,605

Our performance obligations for revenue from products and services are as follows:

Business services includes fulfillment, delivery and return services, cross-border solutions, mail processing services and shipping subscription solutions. Revenues for fulfillment, delivery and return services, cross-border solutions, and mail processing services are recognized over time using an output method based on the number of parcels or mail pieces either processed or delivered, depending on the service type, since that measure best depicts the value of goods and services transferred to the client over the contract period. Contract terms for these services initially range from one to five years and contain annual renewal options. Revenue for shipping subscription solutions is recognized ratably over the contract period as the client obtains equal benefit from these services through the period.

Support services includes providing maintenance, professional and subscription services for our equipment and digital mailing and shipping technology solutions. Contract terms range from one to five years. Revenue for maintenance and subscription services is recognized ratably over the contract period and revenue for professional services is recognized when services are provided.

Equipment sales includes the sale of mailing and shipping equipment, excluding sales-type leases. We recognize revenue upon delivery for self-install equipment and upon acceptance or installation for other equipment. We provide a warranty that the equipment is free of defects and meets stated specifications. The warranty is not considered a separate performance obligation.

Supplies includes revenue from the sale of supplies for our mailing equipment and is recognized upon delivery.

Revenue from leasing transactions and financing includes revenue from sales-type and operating leases, finance income, late fees and investment income, gains and losses at the Pitney Bowes Bank (the Bank).

Advance Billings from Contracts with Customers

	Balance sheet location	March 31, 2024		December 31, 2023		Increase/ (decrease)
Advance billings, current	Advance billings	$	80,801	$	82,124	$	(1,323)
Advance billings, noncurrent	Other noncurrent liabilities	$	502	$	507	$	(5)

Advance billings are recorded when cash payments are due in advance of our performance. Revenue is recognized ratably over the contract term. Items in advance billings primarily relate to support services on mailing equipment. Revenue recognized during the period includes $48 million of advance billings at the beginning of the period. Current advance billings shown above at March 31, 2024 and December 31, 2023 does not include $8 million and $7 million, respectively, from leasing transactions.

Future Performance Obligations

Future performance obligations primarily include maintenance and subscription services bundled with our leasing contracts. The transaction prices allocated to future performance obligations will be recognized as follows:

	Remainder of 2024		2025		2026-2029		Total
SendTech Solutions	$	182,639	$	208,922	$	298,162	$	689,723

The amounts above do not include revenue for performance obligations under contracts with terms less than 12 months or revenue for performance obligations where revenue is recognized based on the amount billable to the customer.