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Revenue
6 Months Ended
Jul. 01, 2021
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
Net sales consist of revenue associated with contracts with customers for the sale of goods and services in amounts that reflect the consideration the Company is entitled to receive in exchange for those goods and services.
Deferred Revenue & Contract Liabilities
Under ASC 606, Revenue from Contracts with Customers, the Company recognizes revenue when the customer obtains control of the inventory. Amounts in deferred revenue at period-end reflect orders for which the inventory was not yet ready for physical transfer to customers.
Contract liabilities within the Condensed Consolidated Balance Sheets as of July 1, 2021 and December 31, 2020 primarily consisted of deferred revenue as well as amounts in accrued expenses and other current liabilities related to the Pro Premier loyalty program and unredeemed gift cards. As of July 1, 2021, contract liabilities totaled $42.4 million and included $23.1 million of deferred revenue, $16.2 million of loyalty program liabilities, and $3.1 million of unredeemed gift cards. As of December 31, 2020, contract liabilities totaled $24.8 million and included $10.1 million of deferred revenue, $12.1 million of loyalty program liabilities, and $2.6 million of unredeemed gift cards. Of the contract liabilities outstanding as of December 31, 2020, approximately $8.3 million was recognized in revenue during the twenty-six weeks ended July 1, 2021.
Disaggregated Revenue
The Company has one reportable segment. The following table presents the net sales of each major product category (in thousands):
Thirteen Weeks Ended
July 1, 2021June 25, 2020 (1)
Product CategoryNet Sales% of Net SalesNet Sales% of Net Sales
Tile$208,379 24 %$118,981 26 %
Laminate / luxury vinyl plank214,642 25 105,427 23 
Decorative accessories / wall tile (1)163,956 19 84,232 18 
Installation materials and tools141,369 16 73,213 16 
Wood66,158 41,901 
Natural stone51,983 30,319 
Adjacent categories (1)13,587 3,315 
Other (2)34 — 4,964 
Total$860,108 100 %$462,352 100 %
Twenty-six Weeks Ended
July 1, 2021June 25, 2020 (1)
Product CategoryNet Sales% of Net SalesNet Sales% of Net Sales
Tile$397,815 24 %$253,893 25 %
Laminate / luxury vinyl plank400,677 24 230,421 23 
Decorative accessories / wall tile (1)321,330 20 195,261 19 
Installation materials and tools271,970 17 167,789 16 
Wood128,289 90,896 
Natural stone101,234 65,196 
Adjacent categories (1)25,823 5,883 
Other (2)(4,493)— 7,950 
Total$1,642,645 100 %$1,017,289 100 %
(1) To conform to the current period presentation, the presentation of revenue by product category for the thirteen and twenty-six weeks ended June 25, 2020 has been updated within this table to provide disclosure of adjacent categories, which primarily includes bathroom and kitchen products and accessories, as a separate category. In prior periods, adjacent categories revenue was included as a component of the decorative accessories / wall tile product category.
(2) Other includes delivery, sample, and other product revenue and adjustments for deferred revenue, sales returns reserves, customer rewards under our Pro Premier Loyalty program, and other revenue related adjustments that are not allocated on a product-level basis.