Revenue from Contracts with Customers

3 Months Ended

Sep. 30, 2023

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customer

Revenue from Contracts with Customers

Under ASC Topic 606, the Company is required to present a refund liability and a return asset within the unaudited Condensed Consolidated Balance Sheet. As of September 30, 2023, and June 30, 2023, the balance of the return asset was $0.2 million and $0.1 million, respectively, and the balance of the refund liability was $0.3 million and $0.2 million, respectively. They are presented within prepaid expenses and other current assets and accrued expenses, respectively, on the unaudited Condensed Consolidated Balance Sheets.

The Company, in general, warrants its products against certain defects in material and workmanship when used as designed, for a period of up to one year. The Company does not sell extended warranties.

Contract Balances

Contract assets primarily relate to the Company’s rights to consideration for work completed but not billed at the reporting date on contracts with customers. Contract assets are transferred to receivables when the rights become unconditional. Contract liabilities primarily relate to contracts where advance payments or deposits have been received, but performance obligations have not yet been met, and therefore, revenue has not been recognized. The Company had no contract asset balances, but had contract liability balances of $0.3 million and $0.3 million at September 30, 2023 and June 30, 2023, respectively, located in Accounts Payable in the unaudited Condensed Consolidated Balance Sheets.

Disaggregation of Revenue

The Company operates in three reportable segments: NAI, INI and GTM. ASC Topic 606 requires further disaggregation of an entity’s revenue. In the following table, the Company's net sales by shipping origin are disaggregated accordingly for the three months ended September 30, 2023 and 2022 (in thousands):

	Three Months Ended
	9/30/2023		9/30/2022
North America
United States	$	32,777	$	34,272
Canada & Mexico	1,758		2,212
	34,535		36,484
International
Brazil	19,430		17,248
United Kingdom	3,535		3,201
China	1,456		1,686
Australia & New Zealand	1,680		1,842
	26,101		23,977
Total Sales	$	60,636	$	60,461