Revenues

3 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenues

REVENUES

Our revenues from contracts with customers disaggregated by revenue source, excluding sales-based taxes, were as follows (in thousands):

	Three-Months Ended June 30,
	2022		2021
Product sales	$	49,596	$	179,811
Extended warranties and services	1,042		1,756
Other(1)	4,179		3,026
Net sales	$	54,817	$	184,593

(1) Other revenue is primarily subscription revenue, freight and delivery and royalty income.

Subscriptions

Sales of our subscriptions are deemed to be one performance obligation and we recognize revenue from these arrangements ratably over the subscription term as the performance obligation is satisfied. Revenue generated from subscriptions is recorded in our Direct segment.

We also offer free trials of subscriptions that are bundled with product offerings (e.g., subscription for premium content). For these types of transactions that involve multiple performance obligations, the transaction price requires allocations to the distinct performance obligation because the free trial provides a material right. The transaction price is then allocated to each performance obligation based on stand-alone selling price. We determine stand-alone selling price based on prices charged to customers. Breakage is factored into the determination of the stand-alone selling price of a subscription. Breakage or activation rate, is defined as a percentage of those purchases that never activate a free-trial offering.

Our revenues disaggregated by geographic region, based on ship-to address, were as follows (in thousands):

	Three-Months Ended June 30,
	2022		2021
United States	$	46,081	$	147,149
Canada	5,807		19,362
Europe, the Middle East and Africa	1,839		14,442
All other	1,090		3,640
Net sales	$	54,817	$	184,593

As of June 30, 2022, estimated revenue expected to be recognized in the future totaled $48.4 million, primarily related to customer order backlog, which includes firm orders for future shipment and unfulfilled orders to our Retail customers, as well as unfulfilled consumer orders within the Direct channel. As of June 30, 2022, Retail orders were $48.0 million and Direct orders were $0.4 million. The estimated future revenues are net of contractual rebates and consideration payable for applicable Retail customers, and net of current promotional programs and sales discounts for our Direct customers.

The following table provides information about our liabilities from contracts with customers, primarily customer deposits and deferred revenue for which advance consideration is received prior to the transfer of control or the performance obligation is not satisfied. Revenue is recognized when transfer of control occurs. All customer deposits and deferred revenue received are short-term in nature, recognized over the next twelve months. Significant changes in contract liabilities balances, including revenue recognized in the reporting period that was included in opening contract liabilities, are shown below (in thousands):

	Three-Months Ended June 30,
	2022		2021
Balance, beginning of period	$	6,285	$	5,551
Cash additions	2,531		1,089
Revenue recognition	(2,234)		(4,883)
Balance, end of period	$	6,582	$	1,757