Revenue Recognition and Contracts with Customers

9 Months Ended

Sep. 28, 2024

Revenue Recognition and Contracts with Customers [Abstract]

REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS

NOTE 3 - REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS

The impact of ASC 606 on revenue recognized during the three and nine months ended September 28, 2024 and September 30, 2023 is as follows:

	Three Months Ended					Nine Months Ended
		September 28, 2024	September 30, 2023			September 28, 2024			September 30, 2023
Contract liabilities with customers at beginning of period	$	—	$	100		$	149		$	1,031
Revenue deferred		—		1,468			—			1,680
Revenue recognized		—		(132	)		(149	)		(1,275	)
Contract liabilities with customers at end of period	$	—	$	1,436		$	—		$	1,436

As more fully described in the Revenue Recognition section of Note 2, the deferral of revenue and subsequent recognition thereof relates to certain of the Company’s sales promotion programs that include the future shipment of free products.

Practical Expedients and Exemptions

The Company has elected to account for shipping and handling activities that occur after control of the related product transfers to the customer as fulfillment activities that are recognized upon shipment of the goods.