DAKT Price Correlated With Financials For Daktronics
Free historical financial statements for Daktronics Inc. See how revenue, income, cash flow, and balance sheet financials have changed over 44 quarters since 2011. Compare with DAKT stock chart to see long term trends.
Note 1. Nature of Business and Summary of Significant Accounting Policies
Nature of business : Daktronics, Inc. and its subsidiaries are engaged principally in the design, market, and manufacture of a wide range of integrated electronic display systems and related products which are sold in a variety of markets throughout the world and the rendering of related maintenance and professional services. Our products are designed primarily to inform and entertain people through the communication of content.
Fiscal year : We operate on a 52 - or 53 -week fiscal year, with our fiscal year ending on the Saturday closest to April 30 of each year. When April 30 falls on a Wednesday, the fiscal year ends on the preceding Saturday. Within each fiscal year, each quarter is comprised of 13 -week periods following the beginning of each fiscal year. In each 53 -week year, an additional week is added to the first quarter, and each of the last three quarters is comprised of a 13 -week period. The fiscal years ended May 1, 2021 and April 27, 2019 contained operating results for 52 weeks, while the fiscal year ended May 2, 2020 contained operating results for 53 weeks.
Principles of consolidation : The consolidated financial statements include Daktronics, Inc. and its subsidiaries. All intercompany accounts and transactions are eliminated in consolidation.
Investments in affiliates : Investments in affiliates over which we have significant influence are accounted for under the equity method of accounting, recording the investment at cost and then subsequently adjusting to account for our share of the affiliates' profit or losses, in accordance with the provisions of Accounting Standards Codification ("ASC") 323, Investments - Equity Method and Joint Ventures. Investments in affiliates over which we do not have the ability to exert significant influence over the affiliates' operating and financing activities are accounted for under the cost method of accounting, recording the investment at cost and then subsequently adjusting for any changes in ownership or dividends in accordance with the provisions of ASC 321, Investments - Equity Securities. We have evaluated our relationships with our affiliates and have determined that these entities are not variable interest entities. Cash paid for investments in affiliates and loans to affiliates are included in the "Purchases of and loans to equity investment" line item in our consolidated statements of cash flows. Equity method investments as a whole are assessed for other-than-temporary impairments whenever events or changes in circumstances indicate that the carrying amount of the investment may not be recoverable. During the fourth quarter of fiscal 2020, we participated in a Series A investment in X Display Company ("XDC"). XDC creates and owns leading intellectual property (IP) and capabilities in microLED mass transfer technology. This investment will support XDC’s further development in microLED capabilities and applications. MicroLED technologies support Daktronics’ line of narrow pixel pitch LED displays and will enable solutions to move into the realm of less than 1 -millimeter pixel spacing. During the fourth quarter of fiscal 2021, we invested an additional $5,000, which resulted in a 16.4 percent ownership in XDC. XDC is accounted for under the equity method of accounting. The aggregate amount of investments accounted for under the equity method was $19,887 and $17,257 at May 1, 2021 and May 2, 2020, respectively. Our proportional share of the respective affiliates' earnings or losses is included in the "Other (expense) income, net" line item in our consolidated statements of operations. For fiscal years 2021, 2020, and 2019, our share of the losses of our affiliates was $2,370, $741, and $844, respectively. We purchased services for research and development activities from our equity method investments. The total of these related party transactions for fiscal 2021 was $460, which was incl