Revenue (Notes)

9 Months Ended

Oct. 02, 2021

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

The Company extends payment terms to its customers based on commercially acceptable practices. The term between invoicing and payment due date is not significant. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring finished products or performing services, which is generally based on an executed agreement or purchase order.

Most of the Company's products are shipped based on the customer specifications. Customer returns are infrequent and not material to the Company. Adjustments to net sales for sales deductions are generally recognized in the same period as the sale or when known. Customers in certain industries or countries may be required to prepay prior to shipment in order to maintain payment protection. These represent short-term prepayment from customers and are not material to the Company. The Company elected to treat shipping and handling as fulfilment costs, which will result in billed freight recorded in cost of sales and netted against freight costs. Sales, value-add, and other taxes collected concurrently with revenue-producing activities are excluded from revenue and booked on a net basis.

The following tables present the Company revenues disaggregated by geographic area and major product types by reportable segment for the three and nine months ended October 2, 2021 and September 26, 2020 (in thousands):

	Three Months Ended October 2, 2021
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	647,114	$	66,995	$	2	$	714,111
Europe	114,762		166,039		104,432		385,233
China	4,910		55,856		—		60,766
South America	—		8,943		—		8,943
Other	2,840		14,023		—		16,863
Net sales	$	769,626	$	311,856	$	104,434	$	1,185,916
Major product types
Fats	$	307,929	$	48,579	$	—	$	356,508
Used cooking oil	69,859		—		—		69,859
Proteins	257,991		—		—		257,991
Bakery	80,543		—		—		80,543
Other rendering	43,741		—		—		43,741
Food ingredients	—		231,645		—		231,645
Bioenergy	—		—		104,432		104,432
Biofuels	—		—		2		2
Other	9,563		31,632		—		41,195
Net sales	$	769,626	$	311,856	$	104,434	$	1,185,916

	Nine Months Ended October 2, 2021
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	1,856,642	$	207,100	$	3,376	$	2,067,118
Europe	316,804		487,056		307,971		1,111,831
China	10,594		165,880		—		176,474
South America	—		24,987		—		24,987
Other	8,962		41,929		—		50,891
Net sales	$	2,193,002	$	926,952	$	311,347	$	3,431,301
Major product types
Fats	$	829,494	$	131,123	$	—	$	960,617
Used cooking oil	207,325		—		—		207,325
Proteins	771,889		—		—		771,889
Bakery	222,850		—		—		222,850
Other rendering	132,150		—		—		132,150
Food ingredients	—		700,809		—		700,809
Bioenergy	—		—		307,971		307,971
Biofuels	—		—		3,376		3,376
Other	29,294		95,020		—		124,314
Net sales	$	2,193,002	$	926,952	$	311,347	$	3,431,301

	Three Months Ended September 26, 2020
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	390,182	$	66,554	$	5,678	$	462,414
Europe	85,803		152,372		70,024		308,199
China	4,310		43,491		—		47,801
South America	—		11,711		—		11,711
Other	2,730		17,714		—		20,444
Net sales	$	483,025	$	291,842	$	75,702	$	850,569
Major product types
Fats	$	153,496	$	35,108	$	—	$	188,604
Used cooking oil	45,659		—		—		45,659
Proteins	190,663		—		—		190,663
Bakery	44,402		—		—		44,402
Other rendering	39,041		—		—		39,041
Food ingredients	—		238,651		—		238,651
Bioenergy	—		—		70,024		70,024
Biofuels	—		—		5,678		5,678
Other	9,764		18,083		—		27,847
Net sales	$	483,025	$	291,842	$	75,702	$	850,569

	Nine Months Ended September 26, 2020
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	1,236,963	$	171,517	$	12,069	$	1,420,549
Europe	244,712		468,285		199,605		912,602
China	10,087		128,490		—		138,577
South America	—		24,377		—		24,377
Other	7,578		48,401		—		55,979
Net sales	$	1,499,340	$	841,070	$	211,674	$	2,552,084
Major product types
Fats	$	484,287	$	100,423	$	—	$	584,710
Used cooking oil	132,274		—		—		132,274
Proteins	596,784		—		—		596,784
Bakery	129,467		—		—		129,467
Other rendering	125,669		—		—		125,669
Food ingredients	—		676,970		—		676,970
Bioenergy	—		—		199,605		199,605
Biofuels	—		—		12,069		12,069
Other	30,859		63,677		—		94,536
Net sales	$	1,499,340	$	841,070	$	211,674	$	2,552,084

Long-Term Performance Obligations. The Company from time to time enters into long-term contracts to supply certain volumes of finished products to certain customers. Revenue recognized to date in 2021 under these long-term supply contracts was approximately $62.4 million, with the remaining performance obligations to be recognized in future periods (generally 2 years) of approximately $143.4 million.