Revenue Recognition

9 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue Recognition

3. Revenue Recognition

Substantially all of our revenue is derived through the sale of merchandise at the point-of-sale. Revenue is recognized net of estimated sales returns and sales taxes. We estimate sales returns based on historical data.

Changes to our contract liabilities, which are included in accrued liabilities in our condensed consolidated balance sheets, for the periods were as follows (in thousands):

	Nine Months Ended June 30,
	2024			2023
Beginning Balance	$	14,038		$	13,460
Loyalty points and gift cards issued but not redeemed, net of estimated breakage		9,266			12,438
Revenue recognized from beginning liability		(11,252	)		(11,669	)
Ending Balance	$	12,052		$	14,229

See Note 11, Segment Reporting, for additional information regarding the disaggregation of our sales revenue.