Company: UTZ
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001739566-25-000153
Chunk: 82

Company: Utz Brands, Inc.
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 8
Chunk 82
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.9% due to partner brands and dips and salsas.

Cost of goods sold and Gross profit

Gross profit was $245.0 million and $244.3 million for the twenty-six weeks ended June 29, 2025 and June 30, 2024, respectively. Our gross profit margin was 34.1% for the twenty-six weeks ended June 29, 2025 versus 34.8% for the twenty-six weeks ended June 30, 2024. The slight 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 $91.7 million for the twenty-six weeks ended June 29, 2025, down slightly from $92.1 million for the twenty-six weeks ended June 30, 2024. 

Selling, distribution, and administrative expense

Selling, distribution, and administrative expenses were $232.7 million and $214.0 million for the twenty-six weeks ended June 29, 2025 and June 30, 2024, respectively, resulting in a decrease of $18.7 million or 8.7% for the twenty-six weeks ended June 29, 2025 over the corresponding period in fiscal year 2024. The increase in selling, distribution, and administrative expense is primarily due to higher people, selling, and delivery costs to support growth.

(Loss) gain on sale of assets

(Loss) gain on sale of assets was $(0.2) million and $1.9 million for the twenty-six weeks ended June 29, 2025 and June 30, 2024, respectively. 

Other (expense) income, net

Other (expense) income, net was $(0.1) million and $20.8 million for the twenty-six weeks ended June 29, 2025 and June 30, 2024, respectively. The change from other income, net, for the twenty-six weeks ended June 30, 2024 compared to other expense, net, for the twenty-six weeks ended June 29, 2025 was primarily due to the gain on sale of business of $44.0 relating to the Good Health and R.W. Garcia Sale which occurred on February 5, 2024. See Note 2. Divestitures, for further discussion. This was partially off