NOTE 7. DEFERRED REVENUE

 

Changes in deferred revenue on the consolidated balance sheets were as follows: 

 

       Loyalty Program     
   Gift Cards   Holiday
Promo
   Lunch
Club
   Big Daddy
Good
Customer
   Other   Total 
September 28, 2024  $1,388   $
   $102   $1,405   $2   $2,897 
Revenue deferred   3,598    1,811    20    1,404    7    6,840 
Revenue recognized   (3,434)   (1,811)   (87)   (1,819)   (7)   (7,158)
September 27, 2025  $1,552   $
   $35   $990   $2   $2,579 
                               
September 30, 2023  $1,215   $
   $79   $1,341   $
   $2,635 
Revenue deferred   3,560    1,663    24    831    2    6,080 
Revenue recognized   (3,387)   (1,663)   (1)   (767)   
    (5,818)
September 28, 2024  $1,388   $
   $102   $1,405   $2   $2,897 

Historical Timeline

Fiscal YearFiled
2025Dec 19, 2025Showing above
2024Dec 27, 2024
2023Dec 29, 2023
2022Jan 18, 2023

About Revenue Disclosures

Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.

Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.