| Revenue Recognition and Contract Balances |
(4) Revenue
Recognition and Contract Balances
Disaggregation
of revenue
Refer
to the table below for the Company’s revenue recognized (in thousands):
| | |
Thirteen
Weeks
Ended | |
| | |
March
29,
2026 | | |
March
30,
2025 | |
| Residential Solar
Installation | |
| | |
| |
| Revenue
recognized over time | |
$ | 31,537 | | |
$ | 36,504 | |
| Total
Residential Solar Installation | |
| 31,537 | | |
| 36,504 | |
| | |
| | | |
| | |
| New
Homes Business | |
| | | |
| | |
| Revenue
recognized over time | |
| 10,106 | | |
| 15,466 | |
| Revenue
recognized at a point in time | |
| 4,523 | | |
| 26,443 | |
| Total
New Homes Business | |
| 14,629 | | |
| 41,909 | |
| | |
| | | |
| | |
| Dealer | |
| | | |
| | |
| Revenue
recognized at a point in time | |
| 26,627 | | |
| — | |
| Total
Dealer | |
| 26,627 | | |
| — | |
| Total
revenue | |
$ | 72,793 | | |
$ | 78,413 | |
| | |
| | | |
| | |
| Total
revenue recognized over time | |
$ | 41,642 | | |
$ | 51,970 | |
| Total
revenue recognized at a point in time | |
| 31,151 | | |
| 26,443 | |
All
revenue was generated in the United States. Contract
liabilities
Contract
liabilities consist of the following (in thousands):
| | |
As
of | |
| | |
March
29, | | |
December 28, | |
| | |
2026 | | |
2025 | |
| Contract liabilities: | |
| | |
| |
| Contract
liabilities, current | |
$ | 12,634 | | |
$ | 20,336 | |
| Contract
liabilities, noncurrent | |
| 794 | | |
| 794 | |
| Total
contract liabilities | |
$ | 13,428 | | |
$ | 21,130 | |
Revenue
recognized in the current period from contract liabilities as of December 28, 2025 was $18.5 million in the thirteen week period ended
March 29, 2026.
|
(4)
Revenue Recognition and Contract Balances
Disaggregated
revenue
All
revenue is generated in the U.S. Revenue is disaggregated as follows (in thousands):
| | |
Fiscal Year Ended | |
| | |
December 28, | | |
December 29, | |
| | |
2025 | | |
2024 | |
| Residential Solar Installation | |
| | |
| |
| Revenue recognized over time | |
$ | 160,987 | | |
$ | 67,460 | |
| Total Residential Solar Installation | |
| 160,987 | | |
| 67,460 | |
| New Homes Business | |
| | | |
| | |
| Revenue recognized over time | |
| 46,686 | | |
| 32,205 | |
| Revenue recognized at a point in time | |
| 77,909 | | |
| 9,077 | |
| Total New Homes Business | |
| 124,595 | | |
| 41,282 | |
| Dealer | |
| | | |
| | |
| Revenue recognized at a point in time | |
| 14,418 | | |
| — | |
| Total Dealer | |
| 14,418 | | |
| — | |
| Total revenue | |
$ | 300,000 | | |
$ | 108,742 | |
| | |
| | | |
| | |
| Total revenue recognized over time | |
$ | 207,673 | | |
$ | 99,665 | |
| Total revenue recognized at a point in time | |
| 92,327 | | |
| 9,077 | |
Contract
balances
Accounts
receivable, contract assets and contract liabilities from contracts with customers are as follows (in thousands):
| | |
As of | |
| | |
December 28, | | |
December 29, | |
| | |
2025 | | |
2024 | |
| Trade accounts receivable, net | |
$ | 67,824 | | |
$ | 25,842 | |
| Contract assets: | |
| | | |
| | |
| Contract assets, current | |
$ | 14,122 | | |
$ | 26,066 | |
| Total contract assets | |
$ | 14,122 | | |
$ | 26,066 | |
| Contract liabilities: | |
| | | |
| | |
| Contract liabilities, current | |
$ | 20,336 | | |
$ | 10,003 | |
| Contract liabilities, noncurrent | |
| 794 | | |
| 918 | |
| Total contract liabilities | |
$ | 21,130 | | |
$ | 10,921 | |
The Company receives payments from customers
based upon contractual payment terms. Accounts receivable are recorded in an amount that reflects the consideration that is expected
to be received in exchange for those goods or services when the right to consideration becomes unconditional.
The
increase in contract liabilities is primarily attributed to the acquisition of Sunder in fiscal year 2025.
Changes in the balances of contract assets in
the fiscal years ended December 28, 2025 and December 29, 2024 were as follows (in thousands):
| |
|
Fiscal Year Ended |
|
| Contract assets |
|
December 28, |
|
|
December 29, |
|
| |
|
2025 |
|
|
2024 |
|
| Contract assets, beginning of period |
|
$ |
26,066 |
|
|
$ |
— |
|
| Contract assets recognized |
|
|
12,979 |
|
|
|
21,451 |
|
| Reclassifications to accounts receivable |
|
|
(26,066 |
) |
|
|
— |
|
| Increase due to contract assets acquired in business combination |
|
|
1,143 |
|
|
|
4,615 |
|
| Contract assets, end of period |
|
$ |
14,122 |
|
|
$ |
26,066 |
|
Changes in the balances of contract liabilities
in the fiscal years ended December 28, 2025 and December 29, 2024 were as follows (in thousands):
| | |
Fiscal Year Ended | |
| Contract liabilities | |
December 28, | | |
December 29, | |
| | |
2025 | | |
2024 | |
| Contract liabilities, beginning of period | |
$ | 10,921 | | |
$ | 3,478 | |
| Increases due to billings or cash received in advance | |
| 6,750 | | |
| 2,642 | |
| Revenue recognized from beginning balance of contract liabilities | |
| (9,889 | ) | |
| (2,560 | ) |
| Increase due to contract liabilities assumed in a business combination | |
| 13,348 | | |
| 7,361 | |
| Contract liabilities, end of period | |
$ | 21,130 | | |
$ | 10,921 | |
Substantially all of the revenue recognized from
the beginning balance of contract liabilities was recognized in the current year.
|