BROWN FORMAN CORPBF-A

BROWN FORMAN CORP Segments Disclosure

10-KFiled Jun 13, 20252 min read
Segment and Other Information
Our business constitutes a single operating segment, which derives its revenues predominantly from global sales of beverage alcohol consumer products.
Our Chief Executive Officer is our chief operating decision maker, who manages business operations, evaluates performance, and allocates resources based on segment metrics such as net sales, gross profit, operating income, and net income. Significant segment expenses include cost of sales, advertising expenses, and selling, general, and administrative expenses. Other segment items include (when applicable): restructuring and other charges; gain on business divestitures; other expense (income), net; non-operating postretirement expense; interest income; interest expense; equity method investment income and gain on sale; and income taxes. The amount of each of these segment measures is the same as the consolidated amount presented in the accompanying consolidated statements of operations.
The segment’s assets, expenditures for additions to long-lived assets, and depreciation and amortization are the same as the consolidated amounts presented in the accompanying consolidated balance sheets and consolidated statements of cash flows.
The following table presents consolidated net sales by country: 
202320242025
United States
$1,968 $1,889 $1,765 
Mexico
244 290 267 
Germany
239 263 253 
Australia
221 204 199 
United Kingdom
207 185 174 
Other1
1,349 1,347 1,317 
Total net sales
$4,228 $4,178 $3,975 
1Includes net sales of (a) branded products to countries not listed above; (b) branded products to global duty-free customers, other travel retail customers, and the U.S. military, regardless of customer location; and (c) used barrels, contract bottling services, and non-branded bulk whiskey, regardless of customer location.

Net sales are attributed to countries based on where customers are located. See Note 10 for additional information about net sales, including net sales by product category.
Our two largest customers accounted for 14% and 12% of consolidated net sales in 2023; 13% and 11% of consolidated net sales in 2024; and 13% and 11% of consolidated net sales in 2025.
The net book value of property, plant, and equipment located outside the United States was $255 and $283 as of April 30, 2024 and 2025, respectively. Other long-lived assets located outside the United States are not significant.

Historical Timeline

Fiscal YearFiled
2025Jun 13, 2025Showing above
2024Jun 14, 2024

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.

Other Available Disclosures

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