Revenue Contracts With Customers (Policies)

3 Months Ended

May 02, 2020

Revenue from Contract with Customer [Abstract]

(2)

Revenue from Contracts with Customers

Revenue Transactions

Revenue from store operations is recognized at the point of sale when control of the product is transferred to the customer at such time. Internet sales, through the Company's fivebelow.com e-commerce website, are recognized when the consumer receives the product as control transfers upon delivery. Returns subsequent to the period end are immaterial; accordingly, no reserve has been recorded. Gift card sales to customers are initially recorded as liabilities and recognized as sales upon redemption for merchandise or as breakage revenue in proportion to the pattern of redemption of the gift cards by the customer in net sales.

The transaction price for the Company’s sales is based on the item’s stated price. To the extent that the Company charges customers for shipping and handling on e-commerce sales, the Company records such amounts in net sales. Shipping and handling costs, which include fulfillment and shipping costs related to the Company's e-commerce operations, are included in costs of goods sold. The Company has chosen the pronouncement's policy election which allows it to exclude all sales taxes from net sales in the accompanying consolidated statements of operations.

Disaggregation of Revenue

The following table provides information about disaggregated revenue by groups of products: leisure, fashion and home, and party and snack (in thousands):



	Thirteen Weeks Ended				Thirteen Weeks Ended
	May 2, 2020				May 4, 2019
	Amount		Percentage of Net Sales		Amount		Percentage of Net Sales
Leisure	$	96,353	48.0	%	$	178,310	48.9	%
Fashion and home	67,159		33.4	%	109,850		30.1	%
Party and snack	37,387		18.6	%	76,602		21.0	%
Total	$	200,899	100.0	%	$	364,762	100.0	%