Accounts Receivable, Net

9 Months Ended

Sep. 30, 2022

Receivables [Abstract]

Accounts Receivable, Net

ACCOUNTS RECEIVABLE, NETAccounts receivable, less allowance for doubtful accounts, reflects the net realizable value of receivables and approximates fair value. Unbilled revenue is recorded at estimated net realizable value. Assessing the collectability of the receivables (billed and unbilled) requires management judgment based on a combination of factors, including but not limited to, an evaluation of our historical incurred loss experience, credit-worthiness of our clients, age of the trade receivable balance, current economic

conditions that may affect a client’s ability to pay, and reasonable and supportable forecasts. Receivables are charged-off against the allowance when the balance is deemed uncollectible.

Accounts receivable, net, at September 30, 2022 and December 31, 2021 was as follows (in thousands):

	September 30, 2022		December 31, 2021
Trade accounts receivable	$	252,251	$	190,710
Unbilled revenue, at net realizable value	167,083		67,616
Total accounts receivable	419,334		258,326
Allowance for doubtful accounts	(20,364)		(16,158)
Accounts receivable, net	$	398,970	$	242,168

Changes to the allowance for doubtful accounts for the nine months ended September 30, 2022 and twelve months ended December 31, 2021 are as follows (in thousands):

	September 30, 2022		December 31, 2021
Balance at beginning of period	$	(16,158)	$	(14,894)
Provision	(9,796)		(9,422)
Charge-offs, net of recoveries	5,590		8,158
Allowance for doubtful accounts	$	(20,364)	$	(16,158)