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Customer-Funded Research & Development
3 Months Ended
Jul. 29, 2023
Customer-Funded Research & Development  
Customer-Funded Research & Development

12. Customer-Funded Research & Development

Customer-funded R&D costs are incurred pursuant to contracts (revenue arrangements) to perform R&D activities according to customer specifications. These costs are direct contract costs and are expensed to cost of sales as costs are incurred. Revenue from customer-funded R&D contracts is recognized in accordance with ASC 606 over time as costs are incurred. Revenue from customer-funded R&D was approximately $24,383,000 and $22,999,000 for the three months ended July 29, 2023 and July 30, 2022, respectively.