Note 8 - Contract Assets and Liabilities

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Revenue from Contract with Customer [Text Block]

8.  Contract Assets and Liabilities

As a result of changes in contract transaction price related to performance obligations that were satisfied or partially satisfied prior to the end of the periods, we recognized revenue of $71.0 million and $112.1 million during the three and six months ended June 30, 2022, respectively, and $39.4 million and $100.9 million during the three and six months ended 2021, respectively. The changes in contract transaction price were from items such as executed or estimated change orders and unresolved contract modifications and claims.

As of  June 30, 2022, December 31, 2021 and June 30, 2021, the aggregate claim recovery estimates included in contract asset balances were $59.1 million, $39.0 million and $47.7 million, respectively.

The components of the contract asset balances as of the respective dates were as follows:

(in thousands)		June 30, 2022		December 31, 2021		June 30, 2021
Costs in excess of billings and estimated earnings	$	47,184	$	14,158	$	46,771
Contract retention		143,003		131,279		107,771
Total contract assets	$	190,187	$	145,437	$	154,542

As of  June 30, 2022, December 31, 2021 and June 30, 2021, contract retention receivable from Brightline Trains Florida LLC represented 14.2%, 17.2% and 14.0%, respectively, of total contract assets. No other contract retention receivable individually exceeded 10% of total contract assets at any of the presented dates. The majority of the contract retention balance is expected to be collected within one year.

As work is performed, revenue is recognized and the corresponding contract liabilities are reduced. We recognized revenue of $47.7 million and $207.6 million during the three and six months ended June 30, 2022, respectively, and $28.4 and $167.6 during the three and six months ended  June 30, 2021, respectively, that was included in the contract liability balances at  December 31, 2021 and 2020, respectively.

The components of the contract liability balances as of the respective dates were as follows:

(in thousands)		June 30, 2022		December 31, 2021		June 30, 2021
Billings in excess of costs and estimated earnings, net of retention	$	159,541	$	169,542	$	139,327
Provisions for losses		19,781		30,499		27,088
Total contract liabilities	$	179,322	$	200,041	$	166,415