article thumbnail

New ARR and CAC in Price-Ramped vs. Auto-Expanding Deals

Kellblog

Payment structure. $1M. GAAP revenue. $1M. GAAP unbilled deferred revenue. $5M. ASC 606 revenue. $2M. ASC 606 revenue backlog. $4M. When I look at this is I see: GAAP is being conservative and saying “no cash, no revenue.” Let’s take an example from this KPMG data sheet on ASC 606 and SaaS.