Credit Losses

9 Months Ended

Sep. 29, 2024

Credit Loss [Abstract]

Credit Losses

Credit Losses

We are exposed to credit losses primarily through sales of products and services. Our expected loss allowance methodology for accounts receivable is developed using historical collection experience, current and future economic and market conditions and a review of the current status of customers' trade accounts receivables. Due to the short-term nature of such receivables, the estimated amount of accounts receivable that may not be collected is based on aging of the accounts receivable balances and the financial condition of customers. Additionally, specific allowance amounts are established to record the appropriate provision for customers that have a higher probability of default. Our monitoring activities include timely account reconciliation, dispute resolution, payment confirmation, consideration of customers' financial condition and macroeconomic conditions. Balances are written off when determined to be uncollectible. Provisions and recoveries are included in selling, general and administrative expenses. The following table presents the activity in the trade receivables allowance for doubtful accounts for the three and nine months ended September 29, 2024 and October 1, 2023, respectively:

	2024		2023
	(In thousands)
Beginning balance at January 1	$	23,114	$	7,954
Current period provision	459		4,004
Recoveries collected	(6)		—
Write-offs	(96)		(3)
Fx impact	(51)		(25)
Q1 ending balance	$	23,420	$	11,930
Current period provision	638		4,194
Acquisitions	50		19
Recoveries collected	—		(8)
Fx impact	(44)		11
Write-offs	(5)		—
Q2 ending balance	$	24,059	$	16,146
Current period provision	79		4,933
Fx impact	140		(72)
Write-offs	(48)		(31)
Recoveries collected	(1)		(824)
Q3 ending balance	$	24,229	$	20,152