| RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS Recently Issued Accounting Pronouncements - Adopted | | | | | | | | | | | | | Standard | Description | Effective Date | Effect on the Consolidated Financial Statements | | | | | ASU 2025-05, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets | This ASU addresses challenges encountered when applying the guidance to current account receivable and current contract assets arising from transactions accounted for under Topic 606, Revenue from Contracts with Customers. | June 1, 2026 | The Company elected the practical expedient for accounts receivable and there were no impacts to the consolidated financial statements as a result. |
Recently Issued Accounting Pronouncements - Not Yet Applicable or Adopted | | | | | | | | | | | | | Standard | Description | Effective Date | Effect on the Consolidated Financial Statements | ASU 2024-03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-04): Disaggregation of Income Statement Expenses | This ASU improves the disclosures about a public business entity's costs and expenses by requiring the Company to disclose more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization and depletion) included in each relevant income statement caption. | June 1, 2027 | The Company plans to adopt the new standard for the fiscal year 2028 and is assessing the impact to the consolidated financial statements. | ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements | This ASU improves the guidance in Topic 270 by improving the navigability of the required interim disclosures and clarifying when that guidance is applicable. The amendments also provide additional guidance on what disclosures should be provided in interim reporting periods and adds to Topic 270 a principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. | June 1, 2028 | The Company plans to adopt the new standard for the fiscal year 2029 and is assessing the impact to the consolidated financial statements. |
There have been no material changes to our critical accounting policies since our Annual Report on Form 10-K for fiscal year ended May 31, 2026.
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