Note 4. Segments

Our CODM evaluates operating performance based on net income adjusted for items impacting comparability as detailed below. The CODM uses adjusted net income for the annual budgeting and monthly forecasting process. The CODM considers budget-to-current forecast and prior forecast-to-current forecast variances for adjusted net income on a period basis for evaluating performance and making decisions about allocating capital and other resources.

Detailed below are expense items impacting comparability for Fiscal 2025, 2024, and 2023 (amounts in thousands):

 

 

 

Fiscal 2025

 

 

Fiscal 2024

 

 

Fiscal 2023

 

 

Footnote

 

 

53 weeks

 

 

52 weeks

 

 

52 weeks

 

 

Disclosure

 

 

(Amounts in thousands)

 

 

 

Business process improvement costs

 

$

3,368

 

 

$

4,529

 

 

$

21,521

 

 

Note 2

Restructuring charges

 

 

6,083

 

 

 

7,403

 

 

 

7,099

 

 

Note 5

Restructuring-related implementation costs

 

 

19,529

 

 

 

2,979

 

 

 

 

 

Note 5

Plant closure costs and impairment of assets

 

 

7,397

 

 

 

10,310

 

 

 

7,298

 

 

Note 2

Impairment of intangible assets

 

 

135,981

 

 

 

 

 

 

 

 

Note 2, 10

Acquisition and integration-related costs

 

 

17,904

 

 

 

2,008

 

 

 

3,712

 

 

Note 2, 6

Loss on inferior ingredients

 

 

2,657

 

 

 

 

 

 

 

 

Note 2

Legal settlements and related costs

 

 

902

 

 

 

3,800

 

 

 

137,529

 

 

Note 23

Pension plan settlement loss

 

 

 

 

 

241

 

 

 

 

 

Note 21

 

 

$

193,821

 

 

$

31,270

 

 

$

177,159

 

 

 

 

Our single reportable segment net sales, net income, and significant expenses are as follows for Fiscal 2025, 2024, and 2023 (amounts in thousands):

 

 

 

Fiscal 2025

 

 

Fiscal 2024

 

 

Fiscal 2023

 

 

 

53 weeks

 

 

52 weeks

 

 

52 weeks

 

 

 

(Amounts in thousands, except per share data)

 

Net sales

 

$

5,256,479

 

 

$

5,103,487

 

 

$

5,090,830

 

Materials, supplies, labor and other production costs (exclusive of depreciation and amortization)

 

 

 

 

 

 

 

 

 

Ingredients

 

 

1,276,947

 

 

 

1,313,585

 

 

 

1,430,136

 

Workforce-related costs

 

 

763,711

 

 

 

747,612

 

 

 

702,036

 

Packaging

 

 

194,582

 

 

 

188,481

 

 

 

197,748

 

Other(1)

 

 

452,345

 

 

 

327,542

 

 

 

302,216

 

Total materials, supplies, labor and other production costs (exclusive of depreciation and amortization)

 

 

2,687,585

 

 

 

2,577,220

 

 

 

2,632,136

 

Selling, distribution, and administrative expenses

 

 

 

 

 

 

 

 

 

Workforce-related costs

 

 

690,408

 

 

 

616,013

 

 

 

562,982

 

Distributor distribution fees

 

 

620,779

 

 

 

678,385

 

 

 

715,561

 

Other(2)

 

 

764,181

 

 

 

706,654

 

 

 

841,175

 

Total selling, distribution, and administrative expenses

 

 

2,075,368

 

 

 

2,001,052

 

 

 

2,119,718

 

Depreciation

 

 

128,412

 

 

 

127,577

 

 

 

117,788

 

Amortization

 

 

38,925

 

 

 

31,373

 

 

 

32,218

 

Right-of-use financing lease amortization

 

 

90

 

 

 

260

 

 

 

1,703

 

Plant closure costs and impairment of assets

 

 

7,397

 

 

 

10,310

 

 

 

7,298

 

Restructuring charges

 

 

6,083

 

 

 

7,403

 

 

 

7,099

 

Loss on inferior ingredients

 

 

2,657

 

 

 

 

 

 

 

Impairment of intangible assets

 

 

135,981

 

 

 

 

 

 

 

Interest expense

 

 

76,665

 

 

 

37,129

 

 

 

36,609

 

Interest income

 

 

(17,371

)

 

 

(17,506

)

 

 

(20,577

)

Other components of net periodic pension and postretirement benefits
   credit

 

 

(381

)

 

 

(273

)

 

 

(269

)

Income before income taxes

 

 

115,068

 

 

 

328,942

 

 

 

157,107

 

Income tax expense

 

 

31,243

 

 

 

80,826

 

 

 

33,691

 

Net income

 

$

83,825

 

 

$

248,116

 

 

$

123,416

 

 

(1)
The Other line item includes outside purchases of product, utilities, repairs and maintenance, rent, and other production costs.

 

(2)
The Other line item includes transportation, marketing, legal, consulting, rent, computer maintenance, and other overhead expenses.

Historical Timeline

Fiscal YearFiled
2026Feb 25, 2026Showing above
2024Feb 18, 2025
2018Feb 20, 2019
2017Feb 21, 2018
2016Feb 23, 2017

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.