POOL CORP Segments Disclosure
Note 12 - Segment Information
Since all of our sales centers have similar operations and share similar economic characteristics, we aggregate our sales centers into a reportable segment and one reportable revenue stream. These similarities include (i) the nature of our products and services, (ii) the types of customers we sell to and (iii) the distribution methods we use. Our chief operating decision maker (CODM) is our president and chief executive officer. Our CODM evaluates each sales center based on individual performance that includes both financial and operational measures. These measures include operating income, accounts receivable and inventory management criteria.
A bottom-up approach is used to develop the operating budget for each individual sales center. Our CODM makes resource allocation decisions primarily on a sales center-by-sales center basis. No single sales center meets any of the quantitative thresholds (10% of revenues, profit or assets) for separately reporting information about an operating segment. We do not track sales by product lines and product categories on a consolidated basis. We lack readily available financial information due to the number of our product lines and product categories and the fact that we make ongoing changes to product classifications within these groups, thus making it impracticable to report our sales by product category.
Our segment derives revenue from sales centers in North America, Europe and Australia that sell swimming pool supplies, equipment and related leisure products, irrigation and landscape maintenance products and hardscapes, tile and stone products to pool builders, retail stores, service companies, landscape contractors and others. No single customer accounted for 10% or more of our sales. The accounting policies for our segment are the same as those described in Note 1.
The table below presents segment revenue, operating expenses and operating income and reconciles segment operating income to consolidated income before taxes and equity in earnings (in thousands):
|
|
Year Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Net sales |
|
$ |
5,289,396 |
|
|
$ |
5,310,953 |
|
|
$ |
5,541,595 |
|
Cost of sales |
|
|
3,716,938 |
|
|
|
3,735,606 |
|
|
|
3,881,551 |
|
Gross profit |
|
|
1,572,458 |
|
|
|
1,575,347 |
|
|
|
1,660,044 |
|
Compensation expenses |
|
|
506,379 |
|
|
|
486,824 |
|
|
|
477,971 |
|
Freight out expenses |
|
|
89,667 |
|
|
|
90,268 |
|
|
|
84,932 |
|
Other selling and administrative expenses |
|
|
396,208 |
|
|
|
381,051 |
|
|
|
350,574 |
|
Operating income |
|
|
580,204 |
|
|
|
617,204 |
|
|
|
746,567 |
|
|
|
|
|
|
|
|
|
|
|
|||
Reconciliation: |
|
|
|
|
|
|
|
|
|
|||
Interest and other non-operating expenses, net |
|
|
46,770 |
|
|
|
50,250 |
|
|
|
58,431 |
|
Income before income taxes and equity in earnings |
|
$ |
533,434 |
|
|
$ |
566,954 |
|
|
$ |
688,136 |
|
The tables below present supplemental information for our segment (in thousands):
|
|
Year Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Depreciation |
|
$ |
42,678 |
|
|
$ |
36,784 |
|
|
$ |
31,585 |
|
Amortization |
|
|
8,927 |
|
|
|
8,697 |
|
|
|
8,555 |
|
Goodwill impairment |
|
|
285 |
|
|
|
— |
|
|
|
550 |
|
|
|
December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
Receivables, net |
|
$ |
136,063 |
|
|
$ |
115,835 |
|
Receivables pledged under receivables facility |
|
|
211,740 |
|
|
|
199,026 |
|
Product inventories, net |
|
|
1,454,672 |
|
|
|
1,289,300 |
|
The table below presents net sales by geographic region, with international sales translated into U.S. dollars at prevailing exchange rates, for the past three years (in thousands):
|
|
Year Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
United States |
|
$ |
4,900,465 |
|
|
$ |
4,936,981 |
|
|
$ |
5,126,308 |
|
International |
|
|
388,931 |
|
|
|
373,972 |
|
|
|
415,287 |
|
|
|
$ |
5,289,396 |
|
|
$ |
5,310,953 |
|
|
$ |
5,541,595 |
|
The table below presents net property and equipment by geographic region, with international property and equipment balances translated into U.S. dollars at prevailing exchange rates, for the past three years (in thousands):
|
|
December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
United States |
|
$ |
256,899 |
|
|
$ |
241,891 |
|
|
$ |
215,109 |
|
International |
|
|
10,166 |
|
|
|
9,433 |
|
|
|
8,820 |
|
|
|
$ |
267,065 |
|
|
$ |
251,324 |
|
|
$ |
223,929 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
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.