Revenue

6 Months Ended

Mar. 31, 2023

Revenue From Contract With Customer [Abstract]

Revenue

2. REVENUE

The Company recognizes revenues when control of the promised goods is transferred to the Company’s customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods, at a point in time, when shipping occurs.

The Company also engages in customer rebates, which are recorded in “Net sales” in the Condensed Consolidated Statements of Comprehensive Income and in “Accrued rebates” and “Trade receivables” in the Condensed Consolidated Balance Sheets. The Company recorded accrued rebates of $65.1 million and $31.7 million as of March 31, 2023 and 2022, respectively, and contra trade receivables of $7.7 million and $8.4 million as of March 31, 2023 and 2022, respectively. The rebate activity was as follows (in thousands):

	Three Months Ended March 31,						Six Months Ended March 31,
	2023			2022			2023			2022
Beginning balance	$	61,066		$	53,841		$	56,542		$	47,648
Rebate expense		29,703			30,402			45,419			46,552
Rebate payments		(18,028	)		(44,097	)		(29,220	)		(54,054	)
Ending balance	$	72,741		$	40,146		$	72,741		$	40,146

The Company records deferred revenue when cash payments are received or due in advance of the Company’s performance.