Company: UTZ
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001739566-25-000153
Chunk: 40

Company: Utz Brands, Inc.
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 1
Chunk 40
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 Boulder Canyon and Non-Branded & Non-Salty Snacks net sales decreased by 11.8% due to partner brands and dips and salsas.

Cost of goods sold and Gross profit

Gross profit was $126.8 million and $124.7 million for the thirteen weeks ended June 29, 2025 and June 30, 2024, respectively. Our gross profit margin was 34.6% for the thirteen weeks ended June 29, 2025 versus 35.0% for the thirteen weeks ended June 30, 2024. The increase in gross profit was due to productivity savings; however, gross profit margin slightly decreased due to increased investments to support capacity expansion and growth. 

Additionally, IO discounts decreased to $47.0 million for the thirteen weeks ended June 29, 2025, down slightly from $47.7 million for the thirteen weeks ended June 30, 2024. 

Selling, distribution, and administrative expense

Selling, distribution, and administrative expenses were $119.5 million and $104.6 million for the thirteen weeks ended June 29, 2025 and June 30, 2024, respectively, resulting in an increase of $14.9 million or 14.2% for the thirteen weeks ended June 29, 2025 versus the comparable prior year period. The increase was primarily due to higher people, selling, and delivery costs to support our growth.  

(Loss) gain on sale of assets

(Loss) Gain on sale of assets was $(0.9) million and $2.4 million for the thirteen weeks ended June 29, 2025 and June 30, 2024, respectively. 

Other income, net

Other income, net was $0.5 million and $1.6 million for the thirteen weeks ended June 29, 2025 and June 30, 2024, respectively.  Interest expense increased $1.2 million, other loss increased by $0.8 million and the gain on remeasurement of the warrant liability decreased by $0.4 million.  In addition, the thirteen weeks ended June 30, 2024 included a loss on debt extinguishment of $1.3 million.

Income taxes

Income tax benefit was $3.2 million and $1.3 million for the thirteen weeks ended June 29, 2025 and June