Revenue (Notes)

9 Months Ended

Sep. 30, 2023

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 fulfillment 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 September 30, 2023 and October 1, 2022 (in thousands):

	Three Months Ended September 30, 2023
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	872,493	$	122,594	$	—	$	995,087
Europe	86,007		194,168		121,664		401,839
China	9,748		69,125		—		78,873
South America	75,801		51,639		—		127,440
Other	3,747		18,218		—		21,965
Net sales	$	1,047,796	$	455,744	$	121,664	$	1,625,204
Major product types
Fats	$	417,856	$	38,242	$	—	$	456,098
Used cooking oil	103,135		—		—		103,135
Proteins	405,411		—		—		405,411
Bakery	63,192		—		—		63,192
Other rendering	42,659		—		—		42,659
Food ingredients	—		390,695		—		390,695
Bioenergy	—		—		121,664		121,664
Other	15,543		26,807		—		42,350
Net sales	$	1,047,796	$	455,744	$	121,664	$	1,625,204

	Nine Months Ended September 30, 2023
	Feed Ingredients		Food Ingredients		Fuel Ingredients		Total
Geographic Area
North America	$	2,844,350	$	323,333	$	—	$	3,167,683
Europe	292,323		611,634		418,818		1,322,775
China	21,251		217,910		—		239,161
South America	259,633		116,916		—		376,549
Other	9,393		58,436		—		67,829
Net sales	$	3,426,950	$	1,328,229	$	418,818	$	5,173,997
Major product types
Fats	$	1,313,461	$	121,437	$	—	$	1,434,898
Used cooking oil	387,103		—		—		387,103
Proteins	1,288,514		—		—		1,288,514
Bakery	205,388		—		—		205,388
Other rendering	182,738		—		—		182,738
Food ingredients	—		1,122,143		—		1,122,143
Bioenergy	—		—		418,818		418,818
Other	49,746		84,649		—		134,395
Net sales	$	3,426,950	$	1,328,229	$	418,818	$	5,173,997

	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

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 2023 under these long-term supply contracts was approximately $133.7 million, with the remaining performance obligations to be recognized in future periods (generally four years) of approximately $803.7 million.