Revenue Recognition (Notes)

3 Months Ended

Mar. 28, 2020

Revenue Recognition [Abstract]

Revenue from contract from customer [Text Block]

Revenue Recognition

We recognize revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers.

Nature of Performance Obligations and Significant Judgments

At contract inception, the Company assesses the goods and services promised in its contracts with customers and identifies a performance obligation for each promised good or service (or bundle of goods and services) that is distinct. To identify the performance obligations, the Company considers each of the goods or services promised in the contract regardless of whether they are explicitly stated or are implied by customary business practices.

Our contracts with our customers generally originate upon the completion of a quote for services for residential and commercial customers or the receipt of a purchase order (or similar work order) for utility customers. In some cases, our contracts are governed by master services agreements, in which case our contract under ASC 606 consists of the combination of the master services agreement and the quote/purchase order. Many of our contracts have a stated duration of one year or less or contain termination clauses that allow the customer to cancel the contract after a specified notice period, which is typically less than 90 days. Due to the fact that many of our arrangements allow the customer to terminate for convenience, the duration of the contract for revenue recognition purposes generally does not extend beyond the services that we have actually transferred. As a result, many of our contracts are, in effect, day-to-day or month-to-month contracts.

Disaggregation of Revenue

The following tables disaggregate our revenue for the three months ended March 28, 2020 and March 30, 2019 by major sources:

Three Months Ended March 28, 2020	Utility		Residential and Commercial		All Other			Consolidated
Type of service:
Tree and plant care	$	141,743	$	60,257	$	(25	)	$	201,975
Grounds maintenance	—		23,066		—			23,066
Storm damage services	523		637		—			1,160
Consulting and other	43,483		17,993		603			62,079
Total revenues	$	185,749	$	101,953	$	578		$	288,280
Geography:
United States	$	177,087	$	95,052	$	578		$	272,717
Canada	8,662		6,901		—			15,563
Total revenues	$	185,749	$	101,953	$	578		$	288,280

Three Months Ended March 30, 2019	Utility		Residential and Commercial		All Other			Consolidated
Type of service:
Tree and plant care	$	103,386	$	60,427	$	(11	)	$	163,802
Grounds maintenance	—		27,942		—			27,942
Storm damage services	1,072		1,625		—			2,697
Consulting and other	36,011		17,401		36			53,448
Total revenues	$	140,469	$	107,395	$	25		$	247,889
Geography:
United States	$	129,882	$	100,999	$	25		$	230,906
Canada	10,587		6,396		—			16,983
Total revenues	$	140,469	$	107,395	$	25		$	247,889

Contract Balances

Our contract liabilities consist of advance payments and billings in excess of costs incurred and deferred revenue. The Company has recognized $942 of revenue for the three months ended March 28, 2020 that was included in the contract liability balance at December 31, 2019 and $1,080 of revenue for the three months ended March 30, 2019 that was included in the contract liability balance at December 31, 2018. Net contract liabilities consisted of the following:

	March 28, 2020		December 31, 2019
Contract liabilities - current	$	4,320	$	3,129
Contract liabilities - noncurrent	2,787		2,705
Net contract liabilities	$	7,107	$	5,834