Company: THS
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001320695-25-000099
Chunk: 7

Company: TreeHouse Foods, Inc.
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 2
Chunk 7
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 Facility. This was partially offset by a favorable currency exchange rate impact of $6.2 million between the U.S. and Canada.Income Taxes — Income taxes were recognized at an effective rate of 48.2% in the second quarter of 2025 compared to 20.1% recognized in the second quarter of 2024. The change in the Company’s effective tax rate is primarily driven by changes in the amounts of executive compensation that is not deductible for tax purposes and the estimated amount of annual pre-tax earnings.

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Our effective tax rate may change from period to period based on recurring and non-recurring factors including the jurisdictional mix of earnings, enacted tax legislation, state income taxes, settlement of tax audits, and the expiration of the statute of limitations in relation to unrecognized tax benefits.

Results of Operations 

The following table presents certain information concerning our financial results, including information presented as a percentage of consolidated net sales:

Six Months Ended June 30, 20252024Increase / (Decrease)(Dollars in millions, except per share amounts)DollarsPercentDollarsPercent$ Change% ChangeNet sales$1,590.0 100.0 %$1,609.2 100.0 %$(19.2)(1.2)%Cost of sales1,335.6 84.0 1,368.9 85.1 (33.3)(2.4)Gross profit254.4 16.0 240.3 14.9 14.1 5.9 Operating expenses: Selling and distribution71.4 4.5 78.4 4.9 (7.0)(8.9)General and administrative107.0 6.7 110.0 6.8 (3.0)(2.7)Amortization expense26.3 1.7 24.2 1.5 2.1 8.7 Asset impairment— — 19.3 1.2 (19.3)(100.0)Other operating expense, net27.9 1.8 17.6 1.1 10.3 58.5 Total operating expenses232.6 14.7 249.5 15.5 (16.9)(6.8)Operating income (loss)21.8 1.3 (9.2)(0.