Revenue (Notes)

9 Months Ended

Oct. 01, 2022

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 months ended October 1, 2022 and October 2, 2021 (in thousands):

	Three Months Ended October 1, 2022
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	1,098,417	$	90,576	$	—	$	1,188,993
Europe	114,646		169,638		126,555		410,839
China	6,291		65,217		—		71,508
South America	50,679		8,789		—		59,468
Other	3,109		13,682		—		16,791
Net sales	$	1,273,142	$	347,902	$	126,555	$	1,747,599
Major product types
Fats	$	543,333	$	47,577	$	—	$	590,910
Used cooking oil	163,523		—		—		163,523
Proteins	413,759		—		—		413,759
Bakery	84,835		—		—		84,835
Other rendering	51,117		—		—		51,117
Food ingredients	—		269,928		—		269,928
Bioenergy	—		—		126,555		126,555
Other	16,575		30,397		—		46,972
Net sales	$	1,273,142	$	347,902	$	126,555	$	1,747,599

	Nine Months Ended October 1, 2022
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	2,882,499	$	265,857	$	—	$	3,148,356
Europe	361,356		538,513		369,297		1,269,166
China	19,859		195,850		—		215,709
South America	50,679		30,153		—		80,832
Other	8,534		41,524		—		50,058
Net sales	$	3,322,927	$	1,071,897	$	369,297	$	4,764,121
Major product types
Fats	$	1,410,641	$	153,019	$	—	$	1,563,660
Used cooking oil	411,156		—		—		411,156
Proteins	1,035,071		—		—		1,035,071
Bakery	252,939		—		—		252,939
Other rendering	172,784		—		—		172,784
Food ingredients	—		820,879		—		820,879
Bioenergy	—		—		369,297		369,297
Other	40,336		97,999		—		138,335
Net sales	$	3,322,927	$	1,071,897	$	369,297	$	4,764,121

	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

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 2022 under these long-term supply contracts was approximately $114.1 million, with the remaining performance obligations to be recognized in future periods (generally 4 years) of approximately $1.13 billion.