XML 22 R12.htm IDEA: XBRL DOCUMENT v3.22.2.2
Revenue Recognition Revenue Recognition (Notes)
 9 Months Ended
Oct. 01, 2022
Revenue Recognition [Abstract]  
Revenue from Contract with Customer [Text Block] Revenue Recognition
Disaggregation of Revenue

The company disaggregates its net sales by reportable operating segment and geographical location as the company believes it best depicts how the nature, timing and uncertainty of its net sales and cash flows are affected by economic factors. In general, the Commercial Foodservice Equipment and Residential Foodservice Equipment Groups recognize revenue at the point in time control transfers to their customers based on contractual shipping terms. Revenue from equipment sold under the company's long-term contracts within the Food Processing Equipment group is recognized over time as the equipment is manufactured and assembled. The following table summarizes the company's net sales by reportable operating segment and geographical location (in thousands):
 Commercial
 Foodservice		Food ProcessingResidential Kitchen Total
Three Months Ended October 1, 2022   
United States and Canada$464,053 $104,367 $145,757 $714,177 
Asia55,243 7,805 11,647 74,695 
Europe and Middle East86,962 24,264 60,200 171,426 
Latin America17,404 11,808 3,361 32,573 
Total$623,662 $148,244 $220,965 $992,871 
Nine Months Ended October 1, 2022   
United States and Canada$1,313,332 $287,037 $563,047 $2,163,416 
Asia148,430 15,662 27,724 191,816 
Europe and Middle East267,565 58,924 234,203 560,692 
Latin America47,667 30,477 7,080 85,224 
Total$1,776,994 $392,100 $832,054 $3,001,148 
Three Months Ended October 2, 2021
United States and Canada$366,619 $84,443 $113,230 $564,292 
Asia49,489 4,257 2,741 56,487 
Europe and Middle East82,881 14,332 76,310 173,523 
Latin America12,491 9,638 1,114 23,243 
Total$511,480 $112,670 $193,395 $817,545 
Nine Months Ended October 2, 2021
United States and Canada$1,064,482 $259,577 $335,138 $1,659,197 
Asia146,849 10,713 7,631 165,193 
Europe and Middle East255,649 56,507 181,359 493,515 
Latin America34,433 28,375 3,663 66,471 
Total$1,501,413 $355,172 $527,791 $2,384,376 
Contract Balances

Contract assets primarily relate to the company's right to consideration for work completed but not billed at the reporting date and are recorded in prepaid expenses and other in the Condensed Consolidated Balance Sheet. Contract assets are transferred to receivables when the right to consideration becomes unconditional. Accounts receivable are not considered contract assets under the revenue standard as contract assets are conditioned upon the company's future satisfaction of a performance obligation. Accounts receivable, in contracts, are unconditional rights to consideration.

Contract liabilities relate to advance consideration received from customers for which revenue has not been recognized. Current contract liabilities are recorded in accrued expenses in the Condensed Consolidated Balance Sheet. Non-current contract liabilities are recorded in other non-current liabilities in the Condensed Consolidated Balance Sheet. Contract liabilities are reduced when the associated revenue from the contract is recognized.

The following table provides information about contract assets and contract liabilities from contracts with customers (in thousands):
 Oct 1, 2022Jan 1, 2022
Contract assets$38,327 $21,592 
Contract liabilities$189,863 $133,315 
Non-current contract liabilities$11,452 $11,602 

During the nine months period ended October 1, 2022, the company reclassified $15.0 million to receivables, which was included in the contract asset balance at the beginning of the period. During the nine months period ended October 1, 2022, the company recognized revenue of $94.5 million which was included in the contract liability balance at the beginning of the period. Additions to contract liabilities representing amounts billed to clients in excess of revenue recognized to date were $162.7 million during the nine months period ended October 1, 2022. In addition, contract liabilities increased due to the acquisitions during the nine months ended October 1, 2022. Substantially, all of the company's outstanding performance obligations will be satisfied within 12 to 36 months. There were no contract asset impairments during the nine months period ended October 1, 2022.