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Revenue from Contracts with Customers
 9 Months Ended
Jan. 26, 2025
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers

4. Revenue from Contracts with Customers

Nature of Performance Obligations

Our operations are classified into two business segments: mattress fabrics and upholstery fabrics. The mattress fabrics segment manufactures, sources, and sells fabrics and mattress covers primarily to bedding manufacturers. The upholstery fabrics segment develops, sources, manufactures, and sells fabrics primarily to residential, commercial, and hospitality furniture manufacturers. In addition, the upholstery fabrics segment includes Read Window Products LLC (“Read”), which provides window treatments and sourcing of upholstery fabrics and other products, as well as measuring and installation services for Read’s products, to customers in the hospitality and commercial industries. Read also supplies soft goods such as decorative top sheets, coverlets, duvet covers, bed skirts, bolsters, and pillows.

Our primary performance obligations include the sale of mattress fabrics and upholstery fabrics, as well as the performance of customized fabrication and installation services for Read’s products associated with window treatments.

Contract Assets & Liabilities

Certain contracts, primarily those for customized fabrication and installation services associated with Read, require payments in advance in the form of customer deposits that result in a contract liability which is recorded in the Consolidated Balance Sheets as deferred revenue. If payments in advance are not required, customers may be granted terms which generally range from 15-60 days. Our terms are customary within the industries in which we operate and are not considered financing arrangements. There were no contract assets recognized as of January 26, 2025, January 28, 2024, or April 28, 2024.

A summary of the activity associated with deferred revenue follows:

 

 

 

Nine months ended

 

(dollars in thousands)

 

January 26, 2025

 

 

January 28, 2024

 

Beginning balance

 

$

1,495

 

 

$

1,192

 

Revenue recognized on contract liabilities

 

 

(3,134

)

 

 

(2,893

)

Payments received for services not yet rendered

 

 

2,336

 

 

 

3,499

 

Ending balance

 

$

697

 

 

$

1,798

 

 

 

Disaggregation of Revenue

The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ended January 26, 2025:

 

 

 

Mattress

 

 

Upholstery

 

 

 

 

(dollars in thousands)

 

Fabrics

 

 

Fabrics

 

 

Total

 

Products transferred at a point in time

 

$

28,642

 

 

$

20,345

 

 

$

48,987

 

Services transferred over time

 

 

—

 

 

 

3,266

 

 

 

3,266

 

Total Net Sales

 

$

28,642

 

 

$

23,611

 

 

$

52,253

 

 

 

The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the nine-month period ended January 26, 2025:

 

 

 

Mattress

 

 

Upholstery

 

 

 

 

(dollars in thousands)

 

Fabrics

 

 

Fabrics

 

 

Total

 

Products transferred at a point in time

 

$

86,792

 

 

$

68,312

 

 

$

155,104

 

Services transferred over time

 

 

—

 

 

 

9,360

 

 

 

9,360

 

Total Net Sales

 

$

86,792

 

 

$

77,672

 

 

$

164,464

 

 

The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the three-month period ended January 28, 2024:

 

 

 

Mattress

 

 

Upholstery

 

 

 

 

(dollars in thousands)

 

Fabrics

 

 

Fabrics

 

 

Total

 

Products transferred at a point in time

 

$

30,021

 

 

$

28,604

 

 

$

58,625

 

Services transferred over time

 

 

—

 

 

 

1,793

 

 

 

1,793

 

Total Net Sales

 

$

30,021

 

 

$

30,397

 

 

$

60,418

 

The following table presents our disaggregated revenue by segment, timing of revenue recognition, and product sales versus services rendered for the nine-month period ended January 28, 2024:

 

 

 

Mattress

 

 

Upholstery

 

 

 

 

(dollars in thousands)

 

Fabrics

 

 

Fabrics

 

 

Total

 

Products transferred at a point in time

 

$

90,619

 

 

$

77,572

 

 

$

168,191

 

Services transferred over time

 

 

—

 

 

 

7,613

 

 

 

7,613

 

Total Net Sales

 

$

90,619

 

 

$

85,185

 

 

$

175,804