Revenue Recognition

9 Months Ended

Mar. 27, 2022

Revenue From Contract With Customer [Abstract]

Revenue Recognition

4.  Revenue Recognition

The following tables present net sales grouped by (i) classification of sales type and (ii) REPREVE^® Fiber sales:

	For the Three Months Ended				For the Nine Months Ended
	March 27, 2022		March 28, 2021		March 27, 2022		March 28, 2021
Third-party manufacturer	$	199,623	$	176,100	$	592,505	$	475,087
Service		1,157		2,766		5,677		8,060
Net sales	$	200,780	$	178,866	$	598,182	$	483,147

	For the Three Months Ended				For the Nine Months Ended
	March 27, 2022		March 28, 2021		March 27, 2022		March 28, 2021
REPREVE® Fiber	$	71,930	$	61,651	$	225,360	$	175,794
All other products and services		128,850		117,215		372,822		307,353
Net sales	$	200,780	$	178,866	$	598,182	$	483,147

Third-Party Manufacturer

Third-party manufacturer revenue is primarily generated through sales to direct customers. Such sales represent satisfaction of UNIFI’s performance obligations required by the associated revenue contracts. Each of UNIFI’s reportable segments derives revenue from sales to third-party manufacturers.

Service Revenue

Service revenue is primarily generated as services are rendered, through fulfillment of toll manufacturing of textile products or transportation services governed by written agreements. Such toll manufacturing and transportation services represent satisfaction of UNIFI’s performance obligations required by the associated revenue contracts.

REPREVE^® Fiber

REPREVE^® Fiber represents our collection of fiber products on our recycled platform, with or without added technologies.

Beginning in the fourth quarter of fiscal 2021, as a result of its annual review of products meeting the REPREVE^® Fiber definition, UNIFI began including certain product sales in the Asia Segment that were previously excluded from the REPREVE^® Fiber sales metric. The prior periods have been adjusted to reflect such sales and the amount reclassed was not material.

Variable Consideration

For all variable consideration, where appropriate, UNIFI estimates the amount using the expected value method, which takes into consideration historical experience, current contractual requirements, specific known market events and forecasted customer buying and payment patterns. Overall, these reserves reflect UNIFI’s best estimates of the amount of consideration to which the customer is entitled based on the terms of the contracts. Variable consideration has been immaterial to UNIFI’s financial statements for all periods presented.