Natural Grocers by Vitamin Cottage, Inc. Segments Disclosure
18. Segment Reporting
The Company has one operating segment, and therefore, a reportable segment: natural and organic retail stores. This segment derives all of its revenue from the sale of grocery, dietary supplements, body care and other products at the Company’s stores located in the United States. The accounting policies of this segment are the same as those described in the Company's summary of significant accounting policies. The Company's chief operating decision maker (CODM) is its Co-President and Chairman of the Board. The CODM uses the segment's net income to assess performance against budget, make key operating decisions, and allocate capital resources, including the rate at which to invest in new or relocated stores. The measure of the segment’s assets is reported on the consolidated balance sheet as total assets and its depreciation and amortization expense is reported in Note 6, Property and Equipment.
The following table represents the significant categories and amounts that are regularly reviewed by the CODM and included in the segment's net income, dollars in thousands:
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Year ended September 30, |
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2025 |
2024 |
2023 |
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Net sales |
$ | 1,330,836 | 1,241,585 | 1,140,568 | ||||||||
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Less: |
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Cost of goods sold and occupancy costs |
932,959 | 876,775 | 813,637 | |||||||||
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Direct operating costs |
316,661 | 296,385 | 274,167 | |||||||||
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Pre-opening expenses |
1,043 | 1,722 | 2,007 | |||||||||
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Other segment items (1) |
18,183 | 19,726 | 19,088 | |||||||||
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Interest expense, net |
3,063 | 4,176 | 3,299 | |||||||||
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Provision for income taxes |
12,483 | 8,866 | 5,127 | |||||||||
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Net income |
$ | 46,444 | 33,935 | 23,243 | ||||||||
(1) Other segment items include other general and administrative expenses, selling expenses, asset impairment and disposal net losses, amortization expense, store closure costs, sublease income, and other miscellaneous income and expense.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Dec 11, 2025 | Showing above |
| 2024 | Dec 12, 2024 | |
| 2023 | Dec 7, 2023 | |
| 2022 | Dec 8, 2022 | |
| 2021 | Dec 9, 2021 | |
| 2020 | Dec 10, 2020 | |
| 2019 | Dec 5, 2019 | |
| 2018 | Dec 6, 2018 | |
| 2017 | Dec 7, 2017 | |
| 2016 | Dec 8, 2016 | |
| 2015 | Dec 10, 2015 | |
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.