Company: KEQU
Filing Date: 2025-09-12
Form Type: 10-Q
Source: 0000055529-25-000040
Chunk: 42

Company: KEWAUNEE SCIENTIFIC CORP /DE/
Filing Date: 2025-09-12
Form: 10-Q
Item: Part I, Item 8
Chunk 42
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 Scientific Corporation stockholders:Basic$1.08 $1.50 Diluted$1.04 $1.44 

9

D. Revenue Recognition

The Company recognizes revenue when control of a good or service promised in a contract (i.e., performance obligation) is transferred to a customer. Control is obtained when a customer has the ability to direct the use of and obtain substantially all of the remaining benefits from that good or service. The majority of the Company's revenues are recognized over time as the customer receives control as the Company performs work under a contract. However, a portion of the Company's revenues are recognized at a point-in-time as control is transferred at a distinct point in time per the terms of a contract.Disaggregated RevenueA summary of net sales transferred to customers over time and at a point in time for the periods ended July 31, 2025 and July 31, 2024 is as follows (in thousands):Three Months Ended July 31, 2025July 31, 2024 DomesticInternationalTotalDomesticInternationalTotalOver Time$32,713 $16,752 $49,465 $34,389 $12,870 $47,259 Point in Time21,639 — 21,639 1,134 — 1,134 Total$54,352 $16,752 $71,104 $35,523 $12,870 $48,393 Contract BalancesThe closing balances of contract assets included $12,377,000 in accounts receivable July 31, 2025. The opening balance of contract assets arising from contracts with customers included $12,693,000 in accounts receivable at April 30, 2025. The closing and opening balances of contract liabilities included in deferred revenue arising from contracts with customers were $4,983,000 at July 31, 2025 and $6,073,000 at April 30, 2025. The timing of revenue recognition, billings and cash collections results in accounts receivable, unbilled receivables, and deferred revenue which are disclosed in the Condensed Consolidated Balance Sheets and in the Notes to the Condensed Consolidated Financial Statements. In general, the Company receives payments from customers based on a billing schedule established in its contracts. Unbilled receivables represent amounts earned which have not yet been billed in accordance with contractually stated billing terms and are included in