Company: JOUT
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001140361-25-017047
Chunk: 14

Company: JOHNSON OUTDOORS INC
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 8
Chunk 14
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: March 28, 2025March 29, 2024IndonesiaIndonesiaSwitzerlandSwitzerlandThe Company regularly assesses the adequacy of its provisions for income tax contingencies in accordance with the applicable authoritative guidance on accounting for income taxes.  As a result, the Company may adjust the reserves for unrecognized tax benefits due to the impact of changes in its assumptions or as a result of new facts and 

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IndexJOHNSON OUTDOORS INC.

developments, such as changes to interpretations of relevant tax law, assessments from taxing authorities, settlements with taxing authorities and lapses of statutes of limitation.  The Company recorded a $650 unrecognized tax benefit in the current period and estimates that reductions to unrecognized tax benefits for the remainder of fiscal 2025 will total $700 due mainly to lapses in statutes of limitations.

In accordance with its accounting policy, the Company recognizes accrued interest and penalties related to unrecognized benefits as a component of income tax expense.  

7    INVENTORIES

The Company values inventory at the lower of cost (determined using the first-in first-out method) or net realizable value.  Inventories at the end of the respective periods consisted of the following: March 28,2025September 27,2024March 29,2024Raw materials$96,172 $103,780 $119,981 Finished goods83,885 106,008 129,220  $180,057 $209,788 $249,201 

8    GOODWILL

The changes in goodwill during the six months ended March 28, 2025 and March 29, 2024 were as follows: March 28, 2025March 29, 2024Balance at beginning of period$— $11,172 Acquisitions10,231 — Amount attributable to movements in foreign currency rates(341)(5)Balance at end of period$9,890 $11,167 The goodwill at March 28, 2025 relates to the acquisition of Endless Summer Technologies Proprietary, Ltd.  See Note 18 below for additional information on the acquisition.The Company evaluates the carrying value of goodwill for a reporting unit on an annual basis or more frequently when events and circumstances warrant such an evaluation.  In conducting this analysis, the Company uses the income approach to compare the reporting unit's carrying value to its indicated fair value.  Fair value is determined