Quarterly report pursuant to Section 13 or 15(d)

Revenue Recognition

v3.21.2
Revenue Recognition
6 Months Ended
Jun. 30, 2021
Revenue Recognition  
Revenue Recognition

3.  REVENUE RECOGNITION

Revenue is disaggregated between our Installation and Distribution segments and further based on market and product, as we believe this best depicts how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors.  The following tables present our revenues disaggregated by market (in thousands):

Three Months Ended June 30, 

2021

2020

Installation

Distribution

Elims

Total

Installation

Distribution

Elims

Total

Residential

$

486,266

$

203,063

$

(36,719)

$

652,610

$

370,969

$

163,615

$

(29,050)

$

505,534

Commercial

119,359

70,301

(8,015)

181,645

95,600

52,721

(7,756)

140,565

Net sales

$

605,625

$

273,364

$

(44,734)

$

834,255

$

466,569

$

216,336

$

(36,806)

$

646,099

Six Months Ended June 30, 

2021

2020

Installation

Distribution

Elims

Total

Installation

Distribution

Elims

Total

Residential

$

904,343

$

395,108

$

(70,057)

$

1,229,394

$

744,250

$

326,071

$

(58,055)

$

1,012,266

Commercial

234,035

129,857

(16,233)

347,659

198,192

104,487

(15,618)

287,061

Net sales

$

1,138,378

$

524,965

$

(86,290)

$

1,577,053

$

942,442

$

430,558

$

(73,673)

$

1,299,327

The following tables present our revenues disaggregated by product (in thousands):

Three Months Ended June 30, 

2021

2020

Installation

Distribution

Elims

Total

Installation

Distribution

Elims

Total

Insulation and accessories

$

478,076

$

220,257

$

(37,193)

$

661,140

$

360,999

$

175,559

$

(29,548)

$

507,010

Glass and windows

47,167

47,167

39,371

39,371

Gutters

22,416

36,851

(6,264)

53,003

21,577

25,979

(5,687)

41,869

All other

57,966

16,256

(1,277)

72,945

44,622

14,798

(1,571)

57,849

Net sales

$

605,625

$

273,364

$

(44,734)

$

834,255

$

466,569

$

216,336

$

(36,806)

$

646,099

Six Months Ended June 30, 

2021

2020

Installation

Distribution

Elims

Total

Installation

Distribution

Elims

Total

Insulation and accessories

$

895,673

$

431,751

$

(71,720)

$

1,255,704

$

730,995

$

355,808

$

(59,607)

$

1,027,196

Glass and windows

90,214

90,214

80,690

80,690

Gutters

41,774

62,689

(11,569)

92,894

40,506

45,970

(11,074)

75,402

All other

110,717

30,525

(3,001)

138,241

90,251

28,780

(2,992)

116,039

Net sales

$

1,138,378

$

524,965

$

(86,290)

$

1,577,053

$

942,442

$

430,558

$

(73,673)

$

1,299,327

The following table represents our contract assets and contract liabilities with customers, in thousands:

Included in Line Item on

As of

Condensed

June 30, 

December 31, 

Balance Sheets

2021

2020

Contract Assets:

Receivables, unbilled

Receivables, net

$

65,464

$

48,839

Contract Liabilities:

Deferred revenue

Accrued liabilities

$

10,080

$

6,542

The increase in contract assets as of June 30, 2021 is primarily driven by an increase in organic sales as well as sales from our acquisitions during the quarter.

The aggregate amount remaining on uncompleted performance obligations was $287.9 million as of June 30, 2021. We expect to satisfy the performance obligations and recognize revenue on substantially all of these uncompleted contracts over the next 18 months.

Certain customer contracts contain provisions whereby customers are entitled to withhold an agreed upon percentage of the total contract value until the customer’s project is satisfactorily complete. This amount held back is referred to as retainage and is a common practice in the construction industry. Retainage receivables are classified as a component of accounts receivable.