Dorman Products, Inc.DORM
Dorman Products, Inc. Segments Disclosure
Segment Information
We operate and report our results in three business segments, Light Duty, Heavy Duty, and Specialty Vehicle, consistent with the three sectors of the motor vehicle aftermarket industry in which we participate. The Light Duty segment designs and markets replacement parts and fasteners primarily for passenger cars and light trucks with sales to retailers and wholesale distributors who primarily serve passenger car and light truck customers. The Heavy Duty segment designs and markets replacement parts primarily for medium and heavy trucks with sales to independent distributors, independent component specialists and rebuilders, and auto parts stores that focus on the heavy-duty market. The Specialty Vehicle segment designs, markets, and manufactures aftermarket parts and accessories for the powersports market with sales through direct-to-consumer, dealers, and installers.
The Company's chief operating decision maker ("CODM") is the chief executive officer. The CODM uses income from operations to assess segment performance. The CODM utilizes this measure for each segment in the annual budget and forecasting cycles and considers performance against established targets for purposes of allocating Company resources to each segment and in the determination of compensation for certain employees. We measure segment income from operations based on income from operations excluding acquisition-related intangible assets amortization, acquisition-related transaction and other costs, and other special charges. Corporate expenses are allocated to the segments based on segment net sales as a percentage of consolidated net sales. Segment assets consist of inventories, accounts receivable, and property, plant, and equipment, net. Intersegment sales are not material.
Segment results are as follows:
| For the Year Ended December 31, 2025 | |||||||||||||||||||||||
| (in thousands) | Light Duty | Heavy Duty | Specialty Vehicle | Total | |||||||||||||||||||
| Net sales | $ | 1,692,055 | $ | 232,594 | $ | 205,670 | $ | 2,130,319 | |||||||||||||||
| Cost of goods sold | 956,839 | 170,354 | 105,389 | 1,232,582 | |||||||||||||||||||
| Factoring expense | 58,309 | — | — | 58,309 | |||||||||||||||||||
| Other segment expenses | 329,589 | 57,129 | 73,431 | 460,149 | |||||||||||||||||||
| Segment income from operations | $ | 347,318 | $ | 5,111 | $ | 26,850 | $ | 379,279 | |||||||||||||||
| Segment assets | $ | 1,330,389 | $ | 199,768 | $ | 76,891 | $ | 1,607,048 | |||||||||||||||
| Depreciation | $ | 26,381 | $ | 3,349 | $ | 3,943 | $ | 33,673 | |||||||||||||||
| Capital expenditures | $ | 33,861 | $ | 2,817 | $ | 1,291 | $ | 37,969 | |||||||||||||||
| For the Year Ended December 31, 2024 | |||||||||||||||||||||||
| (in thousands) | Light Duty | Heavy Duty | Specialty Vehicle | Total | |||||||||||||||||||
| Net sales | $ | 1,565,601 | $ | 231,515 | $ | 212,081 | $ | 2,009,197 | |||||||||||||||
| Cost of goods sold | 925,319 | 171,732 | 104,994 | 1,202,045 | |||||||||||||||||||
| Factoring expense | 51,252 | — | — | 51,252 | |||||||||||||||||||
| Other segment expenses | 304,866 | 53,303 | 74,752 | 432,921 | |||||||||||||||||||
| Segment income from operations | $ | 284,164 | $ | 6,480 | $ | 32,335 | $ | 322,979 | |||||||||||||||
| Segment assets | $ | 1,203,165 | $ | 157,493 | $ | 85,606 | $ | 1,446,264 | |||||||||||||||
| Depreciation | $ | 26,485 | $ | 3,725 | $ | 3,750 | $ | 33,960 | |||||||||||||||
| Capital expenditures | $ | 34,164 | $ | 2,421 | $ | 2,836 | $ | 39,421 | |||||||||||||||
| For the Year Ended December 31, 2023 | |||||||||||||||||||||||
| (in thousands) | Light Duty | Heavy Duty | Specialty Vehicle | Total | |||||||||||||||||||
| Net sales | $ | 1,462,474 | $ | 256,913 | $ | 210,401 | $ | 1,929,788 | |||||||||||||||
| Cost of goods sold | 928,983 | 192,729 | 110,840 | 1,232,552 | |||||||||||||||||||
| Factoring expense | 50,231 | — | — | 50,231 | |||||||||||||||||||
| Other segment expenses | 296,101 | 49,679 | 67,943 | 413,723 | |||||||||||||||||||
| Segment income from operations | $ | 187,159 | $ | 14,505 | $ | 31,618 | $ | 233,282 | |||||||||||||||
| Segment assets | $ | 1,083,347 | $ | 162,583 | $ | 78,424 | $ | 1,324,354 | |||||||||||||||
| Depreciation | $ | 25,239 | $ | 3,239 | $ | 3,420 | $ | 31,898 | |||||||||||||||
| Capital expenditures | $ | 33,445 | $ | 3,581 | $ | 6,942 | $ | 43,968 | |||||||||||||||
In the preceding segment tables, Other segment expenses consist of selling, general, and administrative expenses, including salaries and benefits for product development, research, sales, marketing and administrative functions, facility costs, information technology costs, and other general expenses.
A reconciliation of segment income from operations to consolidated income before income taxes is as follows:
| For the Year Ended December 31, | |||||||||||||||||
| (in thousands) | 2025 | 2024 | 2023 | ||||||||||||||
| Segment income from operations | $ | 379,279 | $ | 322,979 | $ | 233,282 | |||||||||||
| Acquisition-related intangible assets amortization | (21,580) | (22,476) | (21,817) | ||||||||||||||
| Acquisition-related transaction and other costs | (1,299) | (2,621) | (15,373) | ||||||||||||||
| Fair value adjustment to contingent consideration | — | — | 20,469 | ||||||||||||||
| Executive transition services expenses | — | — | (1,801) | ||||||||||||||
| Pretax reduction in workforce costs | (147) | (4,973) | — | ||||||||||||||
| Goodwill impairment charge | (56,706) | — | — | ||||||||||||||
| Interest expense, net | (28,575) | (39,727) | (48,061) | ||||||||||||||
| Other income, net | 4,473 | 3,070 | 1,804 | ||||||||||||||
| Consolidated income before income taxes | $ | 275,445 | $ | 256,252 | $ | 168,503 | |||||||||||
A reconciliation of segment assets to consolidated assets is as follows:
| December 31, | |||||||||||||||||
| (in thousands) | 2025 | 2024 | 2023 | ||||||||||||||
| Segment assets | $ | 1,607,048 | $ | 1,446,264 | $ | 1,324,354 | |||||||||||
| Other current assets | 83,228 | 87,968 | 69,468 | ||||||||||||||
| Other non-current assets | 802,802 | 890,289 | 898,585 | ||||||||||||||
| Consolidated assets | $ | 2,493,078 | $ | 2,424,521 | $ | 2,292,407 | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Feb 22, 2022 | |
| 2020 | Feb 22, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 26, 2019 | |
| 2017 | Feb 27, 2018 | |
| 2016 | Feb 27, 2017 | |
| 2015 | Feb 23, 2016 | |
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.