Company: UTZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001739566-25-000111
Chunk: 62

Company: Utz Brands, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 8
Chunk 62
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,573 Delivery (c)23,525 21,849 Marketing (d)4,565 3,501 Selling expenses (e)49,175 48,316 Administrative expenses (f)35,949 35,782 Total selling, distribution, and administrative expenses113,214 109,448 Gain (loss) on sale of assets, net660 (470)Income from operations5,676 9,655 Gain on sale of business— 44,015 Interest expense(11,470)(13,831)Loss on debt extinguishment(531)— Other income362 910 Gain (loss) on remeasurement of warrant liability11,016 (11,808)Other (expenses) income, net(623)19,286 Income before income taxes5,053 28,941 Income tax expense (benefit)(625)26,544 Net income $5,678 $2,397 (a) Conversion costs include direct labor, indirect labor, and overhead expenses.(b) Other cost of goods sold consists of logistics and other charges.(c) Delivery charges related to amounts to ship to distribution centers, end customers, and transfer costs between facilities.(d) Marketing expenses include customer marketing through traditional media, digital and eCommerce, social media, sponsorships, and other costs such as agency costs, and market research.(e) Selling expenses include people costs, selling operations, co-op advertising and other customer expenses, broker fees, royalties, and other selling related costs.(f) Administrative expenses include administrative people costs, administrative operations, taxes, fees, and other administrative costs, offset by reimbursements from the transaction services agreements described in Note 2. Divestitures.

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14.EQUITY

In January 2025, the Noncontrolling Interest Holders exchanged 2,000,000 UBH units together with the surrender and cancellation of the same number of shares of Class V Common Stock for an equal number of shares of Class A Common Stock. The Company did not receive any proceeds as a result of this exchange.

15.EARNINGS PER SHARE

Basic earnings per share is based on the weighted average number of shares of Class A Common Stock issued and outstanding during the periods. Diluted earnings per share is based on the weighted average number of shares of Class A Common Stock issued and outstanding and the effect of all dilutive common stock equivalents and potentially dilutive share-based awards outstanding during the periods.The following table reconciles