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Revenue Recognition | 12 Months Ended
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Dec. 31, 2020
Revenue Recognition [Abstract] |
Revenue Recognition | Revenue Recognition The following tables disaggregate the Company’s revenue by major product type and geography (in millions):
| For the Year Ended December 31, 2020
| ORV / Snowmobiles |  | Motorcycles |  | Global Adj. Markets |  | Aftermarket |  | Boats |  | Total
Revenue by product type |  |  |  |  |  |  |  |  |  |  |
Wholegoods | $ | 3,612.9 |  |  | $ | 493.4 |  |  | $ | 343.6 |  |  | $ | — |  |  | $ | 603.4 |  |  | $ | 5,053.3 |
PG&A | 920.4 |  |  | 88.3 |  |  | 81.0 |  |  | 884.9 |  |  | — |  |  | 1,974.6 |
Total revenue | $ | 4,533.3 |  |  | $ | 581.7 |  |  | $ | 424.6 |  |  | $ | 884.9 |  |  | $ | 603.4 |  |  | $ | 7,027.9 |
Revenue by geography |  |  |  |  |  |  |  |  |  |  |
United States | $ | 3,749.9 |  |  | $ | 397.0 |  |  | $ | 208.3 |  |  | $ | 843.5 |  |  | $ | 592.4 |  |  | $ | 5,791.1 |
Canada | 319.7 |  |  | 21.2 |  |  | 2.8 |  |  | 41.4 |  |  | 11.0 |  |  | 396.1 |
EMEA | 307.9 |  |  | 96.7 |  |  | 210.2 |  |  | — |  |  | — |  |  | 614.8 |
APLA | 155.8 |  |  | 66.8 |  |  | 3.3 |  |  | — |  |  | — |  |  | 225.9 |
Total revenue | $ | 4,533.3 |  |  | $ | 581.7 |  |  | $ | 424.6 |  |  | $ | 884.9 |  |  | $ | 603.4 |  |  | $ | 7,027.9 |
| For the Year Ended December 31, 2019
| ORV / Snowmobiles |  | Motorcycles |  | Global Adj. Markets |  | Aftermarket |  | Boats |  | Total
Revenue by product type |  |  |  |  |  |  |  |  |  |  |
Wholegoods | $ | 3,463.2 |  |  | $ | 502.1 |  |  | $ | 373.9 |  |  | $ | — |  |  | $ | 621.3 |  |  | $ | 4,960.5 |
PG&A | 745.9 |  |  | 82.0 |  |  | 87.4 |  |  | 906.7 |  |  | — |  |  | 1,822.0 |
Total revenue | $ | 4,209.1 |  |  | $ | 584.1 |  |  | $ | 461.3 |  |  | $ | 906.7 |  |  | $ | 621.3 |  |  | $ | 6,782.5 |
Revenue by geography |  |  |  |  |  |  |  |  |  |  |
United States | $ | 3,470.1 |  |  | $ | 376.0 |  |  | $ | 232.7 |  |  | $ | 867.0 |  |  | $ | 605.9 |  |  | $ | 5,551.7 |
Canada | 304.0 |  |  | 31.1 |  |  | 4.6 |  |  | 39.7 |  |  | 15.4 |  |  | 394.8 |
EMEA | 302.5 |  |  | 116.2 |  |  | 221.3 |  |  | — |  |  | — |  |  | 640.0 |
APLA | 132.5 |  |  | 60.8 |  |  | 2.7 |  |  | — |  |  | — |  |  | 196.0 |
Total revenue | $ | 4,209.1 |  |  | $ | 584.1 |  |  | $ | 461.3 |  |  | $ | 906.7 |  |  | $ | 621.3 |  |  | $ | 6,782.5 |
| For the Year Ended December 31, 2018
| ORV / Snowmobiles |  | Motorcycles |  | Global Adj. Markets |  | Aftermarket |  | Boats |  | Total
Revenue by product type |  |  |  |  |  |  |  |  |  |  |
Wholegoods | $ | 3,237.5 |  |  | $ | 465.2 |  |  | $ | 366.1 |  |  | $ | — |  |  | $ | 279.7 |  |  | $ | 4,348.5 |
PG&A | 681.9 |  |  | 80.4 |  |  | 78.5 |  |  | 889.2 |  |  | — |  |  | 1,730.0 |
Total revenue | $ | 3,919.4 |  |  | $ | 545.6 |  |  | $ | 444.6 |  |  | $ | 889.2 |  |  | $ | 279.7 |  |  | $ | 6,078.5 |
Revenue by geography |  |  |  |  |  |  |  |  |  |  |
United States | $ | 3,178.1 |  |  | $ | 371.4 |  |  | $ | 212.7 |  |  | $ | 847.3 |  |  | $ | 274.3 |  |  | $ | 4,883.8 |
Canada | 293.2 |  |  | 31.2 |  |  | 18.5 |  |  | 41.9 |  |  | 5.4 |  |  | 390.2 |
EMEA | 306.9 |  |  | 88.0 |  |  | 208.0 |  |  | — |  |  | — |  |  | 602.9 |
APLA | 141.2 |  |  | 55.0 |  |  | 5.4 |  |  | — |  |  | — |  |  | 201.6 |
Total revenue | $ | 3,919.4 |  |  | $ | 545.6 |  |  | $ | 444.6 |  |  | $ | 889.2 |  |  | $ | 279.7 |  |  | $ | 6,078.5 |
With respect to wholegood vehicles, boats, and PG&A, revenue is recognized when the Company transfers control of the product to the customer. With respect to services provided by the Company, revenue is recognized upon completion of the service or over the term of the service agreement in proportion to the costs expected to be incurred in satisfying the obligations over the term of the service period. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. When the right of return exists, we adjust the consideration for the estimated effect of returns. We estimate expected returns based on historical sales levels, the timing and magnitude of historical sales return levels as a percent of sales, type of product, type of customer and a projection of this experience into the future. Sales, value add, and other taxes the Company collects concurrent with revenue-producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. The expected costs associated with the Company’s limited warranties are recognized as expense when the products are sold. The Company recognizes revenue for vehicle service contracts that extend mechanical and maintenance coverage beyond the Company’s limited warranties over the life of the contract. Revenue from goods and services transferred to customers at a point-in-time accounts for the majority of the Company’s revenue. Revenue from products or services transferred over time is discussed in the deferred revenue section. ORV/Snowmobiles, Motorcycles Global Adjacent Markets, and Boats segments Wholegood vehicles, boats, and parts, garments and accessories. For the majority of wholegood vehicles, boats, and PG&A, the Company transfers control and recognizes a sale when it ships the product from its manufacturing facility, distribution center, or vehicle holding center to its customer (primarily dealers and distributors). The amount of consideration the Company receives and revenue it recognizes varies with changes in marketing incentives and rebates it offers to its dealers and their customers. When the right of return exists, we adjust the consideration for the estimated effect of returns. We estimate expected returns based on historical sales levels, the timing and magnitude of historical sales return levels as a percent of sales, type of product, type of customer and a projection of this experience into the future. The Company adjusts its estimate of revenue at the earlier of when the most likely amount of consideration it expects to receive changes or when the consideration becomes fixed. Depending on the terms of the arrangement, the Company may also defer the recognition of a portion of the consideration received because it has to satisfy a future obligation (e.g., free extended service contracts). The Company uses an observable price to determine the stand-alone selling price for separate performance obligations. The Company has elected to recognize the cost for freight and shipping when control over vehicles, boats, or PG&A has transferred to the customer as an expense in cost of sales. Extended Service Contracts. The Company sells separately-priced service contracts that extend mechanical and maintenance coverages beyond its base limited warranty agreements to vehicle owners. The separately priced service contracts range from 12 months to 84 months. The Company primarily receives payment at the inception of the contract and recognizes revenue over the term of the agreement in proportion to the costs expected to be incurred in satisfying the obligations under the contract. Aftermarket segment The Company’s Aftermarket products are sold through dealer, distributor, retail, and e-commerce channels. The Company transfers control and recognizes a sale when products are shipped or delivered to its customer. The amount of consideration the Company receives and revenue it recognizes varies with changes in marketing incentives and rebates rights it offers to its customers and their customers. When the right of return exists, we adjust the consideration for the estimated effect of returns. We estimate expected returns based on historical sales levels, the timing and magnitude of historical sales return levels as a percent of sales, type of product, type of customer and a projection of this experience into the future. The Company adjusts its estimate of revenue at the earlier of when the most likely amount of consideration it expects to receive changes or when the consideration becomes fixed. Service revenue. The Company offers installation services for parts that it sells. Service revenues are recognized upon completion of the service. Depending on the terms of the arrangement, the Company may also defer the recognition of a portion of the consideration received because it has to satisfy a future obligation (e.g., free extended service contracts). The Company uses an observable price to determine the stand-alone selling price for separate performance obligations. The Company has elected to recognize the cost for freight and shipping when control over PG&A has transferred to the customer as an expense in cost of sales. Deferred revenue The Company finances its self-insured risks related to extended service contracts (“ESCs”). The premiums for ESCs are primarily recognized in income in proportion to the costs expected to be incurred over the contract period. Warranty costs are recognized as incurred. The Company expects to recognize approximately $37.8 million of the unearned amount over the next 12 months and $69.3 million thereafter. The activity in the deferred revenue reserve during the periods presented was as follows (in millions):
| For the Years Ended December 31,
| 2020 |  | 2019 |  | 2018
Balance at beginning of year | $ | 81.6 |  |  | $ | 59.9 |  |  | $ | 45.8 |
New contracts sold | 60.4 |  |  | 49.6 |  |  | 35.6 |
Less: reductions for revenue recognized | (34.9) |  |  | (27.9) |  |  | (21.5) |
Balance at end of year (1) | $ | 107.1 |  |  | $ | 81.6 |  |  | $ | 59.9 |
(1) The unamortized ESC premiums (deferred revenue) recorded in other current liabilities totaled $37.8 million and $34.3 million at December 31, 2020 and 2019, respectively, while the amount recorded in other long-term liabilities totaled $69.3 million and $47.3 million at December 31, 2020 and 2019, respectively.

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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -URI http://asc.fasb.org/topic&trid=49130388 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130551-203045 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 13 -Subparagraph (b)(2) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130556-203045 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130550-203045 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130558-203045 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045 + Details
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