MOHAWK INDUSTRIES INCMHK

MOHAWK INDUSTRIES INC Revenue Disclosure

10-KFiled Feb 24, 20263 min read
Revenue from Contracts with Customers
Contract Liabilities

The Company records contract liabilities when it receives payment prior to fulfilling a performance obligation. Contract liabilities related to revenues are recorded in accounts payable and accrued expenses on the accompanying consolidated balance sheets. The Company had contract liabilities of $74.3 million and $63.4 million as of December 31, 2025, and December 31, 2024, respectively.

Performance Obligations

Substantially all of the Company’s revenue is recognized at a point in time when the product is either shipped or received from the Company’s facilities and control of the product is transferred to the customer.  Accordingly, in any period, the Company does not recognize a significant amount of revenue from performance obligations satisfied or partially satisfied in prior periods and the amount of such revenue recognized during the years ended December 31, 2025, 2024, and 2023 was immaterial.

Costs to Obtain a Contract

The Company incurs certain incremental costs to obtain revenue contracts. These costs relate to marketing display structures and are capitalized when the amortization period is greater than one year, with the amount recorded in other assets on the accompanying consolidated balance sheets. Capitalized costs to obtain contracts were $58.8 million and $61.4 million as of December 31, 2025, and December 31, 2024, respectively. Straight-line amortization expense recognized during 2025, 2024 and 2023 related to these capitalized costs were $42.5 million, $59.5 million and $61.3 million, respectively.

Revenue Disaggregation

The following table presents the Company’s segment revenues disaggregated by the geographical market location of customer sales and product categories during the years ended December 31, 2025, 2024 and 2023, respectively:
(In millions)
December 31, 2025Global Ceramic Flooring NA Flooring ROW Total
Geographical Markets:
United States$2,255.4 3,544.7 13.8 5,813.9 
Europe (1)
1,173.5 3.1 2,190.0 3,366.6 
Latin America685.7 5.3 37.0 728.0 
Other174.8 85.4 616.7 876.9 
Total$4,289.4 3,638.5 2,857.5 10,785.4 
Product Categories:
Ceramic & Stone$4,220.1 — — 4,220.1 
Carpet & Resilient69.3 2,842.7 822.8 3,734.8 
Laminate & Wood— 795.8 956.5 1,752.3 
Other (2)
— — 1,078.2 1,078.2 
Total$4,289.4 3,638.5 2,857.5 10,785.4 
December 31, 2024Global Ceramic Flooring NA Flooring ROW Total
Geographical Markets:
United States$2,280.1 3,650.7 8.7 5,939.5 
Europe (1)
1,058.3 4.1 2,131.9 3,194.3 
Latin America707.7 5.6 37.2 750.5 
Other180.5 109.5 662.6 952.6 
Total$4,226.6 3,769.9 2,840.4 10,836.9 
Product Categories:
Ceramic & Stone$4,166.2 19.1 — 4,185.3 
Carpet & Resilient60.4 2,941.3 864.8 3,866.5 
Laminate & Wood— 809.5 919.4 1,728.9 
Other (2)
— — 1,056.2 1,056.2 
Total$4,226.6 3,769.9 2,840.4 10,836.9 
December 31, 2023Global Ceramic Flooring NA Flooring ROW Total
Geographical Markets:
United States$2,320.0 3,713.3 6.7 6,040.0 
Europe (1)
1,071.7 4.4 2,304.9 3,381.0 
Latin America730.3 3.8 33.7 767.8 
Other178.1 107.9 660.3 946.3 
Total$4,300.1 3,829.4 3,005.6 11,135.1 
Product Categories:
Ceramic & Stone$4,258.9 34.2 — 4,293.1 
Carpet & Resilient41.2 3,021.1 893.0 3,955.3 
Laminate & Wood— 774.1 958.5 1,732.6 
Other (2)
— — 1,154.1 1,154.1 
Total$4,300.1 3,829.4 3,005.6 11,135.1 
(1) Russia revenue included in Europe.
(2) Other includes roofing elements, insulation boards, chipboards and IP contracts.

Historical Timeline

Fiscal YearFiled
2025Feb 24, 2026Showing above
2024Feb 20, 2025
2023Feb 23, 2024
2022Feb 22, 2023
2021Feb 23, 2022
2020Feb 24, 2021
2019Feb 28, 2020
2018Feb 28, 2019

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.

Other Available Disclosures

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