Company: SENEA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001437749-25-033352
Chunk: 25

Company: Seneca Foods Corp
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 25
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9
			%

			Other non-operating income

			0.4
			%

			0.3
			%

			0.5
			%

			0.4
			%

			Interest expense, net

			1.0
			%

			2.1
			%

			1.3
			%

			2.7
			%

			Income taxes

			1.9
			%

			0.9
			%

			1.8
			%

			1.0
			%

Three Months Ended September 27, 2025 and September 28, 2024

Gross Margin: Gross margin for the three months ended September 27, 2025 was 13.4% as compared to 10.1% for the three months ended September 28, 2024. Gross margin was higher for the current quarter, primarily driven by a LIFO credit that decreased the cost of products sold on a GAAP basis year-over-year. Therefore, although FIFO per unit costs increased at a higher rate than selling prices compared to the prior year quarter, the LIFO credit caused the increase in net sales to outpace the increase in cost of products sold, thus increasing gross margin. Refer to the business trends section above and the material cash requirements section below for additional discussion of the factors impacting the respective seasonal pack.

Selling, General, and Administrative: Selling, general and administrative expense for the three months ended September 27, 2025 increased $2.5 million from the three months ended September 28, 2024. Selling, general, and administrative expense as a percentage of net sales for the three months ended September 27, 2025, was 4.5% as compared with 4.2% for the prior year quarter. The percentage remained relatively flat on a comparative basis as net sales increased and selling, general, and administrative expense increased mostly driven by routine workforce related costs.

Other Operating (Income) Expense, net: The Company had net other operating income of $0.1 million during the three months ended September 27, 2025, which was driven primarily by the sale of various spare equipment. During the three months ended September 28, 2024, the Company had net other operating expense of $0.1 million, which was driven primarily by minimal restructuring charges attributable to equipment moves for