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Business Segment Reporting
 3 Months Ended
Aug. 28, 2022
Segment Reporting [Abstract]  
Business Segment Reporting Business Segment Reporting
The Company operates using three strategic reportable business segments, aligned with how the Chief Executive Officer, who is the chief operating decision maker (“CODM”), manages the business: the Lifecore segment, the Curation Foods segment, and the Other segment.
The Lifecore segment sells products utilizing hyaluronan, a naturally occurring polysaccharide that is widely distributed in the extracellular matrix of connective tissues in both animals and humans, and non-HA products for medical use primarily in the Ophthalmic, Orthopedic and other markets.
The Curation Foods business includes (i) three natural food brands, including O Olive Oil & Vinegar, Yucatan Foods, and Cabo Fresh, and (ii) BreatheWay® activities. The Curation Foods segment includes sales of BreatheWay packaging to partners for fruit and vegetable products, sales of olive oils and wine vinegars under the O brand, and sales of avocado products
under the brands Yucatan Foods and Cabo Fresh. In December 2021, the Company completed the Eat Smart Disposition. As a result, the Company met the requirements of ASC 205-20 to report the results of the Eat Smart business as discontinued operations. The operating results for the Eat Smart business, in all periods presented, have been reclassified to discontinued operations and are no longer reported in the Curation Foods business segment. See Note 1 – Organization, Basis of Presentation, and Summary of Significant Accounting Policies – Eat Smart Sale and Discontinued Operations for further discussion.
The Other segment includes corporate general and administrative expenses, non-Lifecore and non-Curation Foods interest expense, interest income, and income tax expenses. Corporate overhead is allocated between segments based on actual utilization and relative size.
All of the Company's assets are located within the United States of America except for its Yucatan production facility in Mexico.
The Company’s international sales by geography are based on the billing address of the customer and were as follows, excluding discontinued operations:
Three Months Ended
(In millions)August 28, 2022August 29, 2021
Switzerland$4.0 $3.4 
Canada3.7 3.5 
All Other Countries1.9 1.7 

Operations by business segment consisted of the following:
(In thousands)LifecoreCuration FoodsOtherTotal
Three Months Ended August 28, 2022
Net sales$23,703 $19,652 $— $43,355 
Gross profit6,101 (280)— 5,821 
Net (loss) income from continuing operations502 (3,374)(9,192)(12,064)
Loss from discontinued operations, net of tax— — — — 
Depreciation and amortization1,771 2,820 11 4,602 
Interest income15 — — 15 
Interest expense— — 3,678 3,678 
Income tax (benefit) expense158 (1,065)971 64 
Corporate overhead allocation1,038 334 (1,372)— 
Three Months Ended August 29, 2021
Net sales$21,952 $19,680 $— $41,632 
Gross profit5,764 4,671 — 10,435 
Net (loss) income from continuing operations580 (284)(7,929)(7,633)
Loss from discontinued operations, net of tax— (1,844)— (1,844)
Depreciation and amortization1,547 881 26 2,454 
Interest income20 — 7 27 
Interest expense— 137 6,541 6,678 
Income tax (benefit) expense183 (218)(1,616)(1,651)
Corporate overhead allocation1,137 1,471 (2,608)— 
During the three months ended August 28, 2022 and August 29, 2021, the Company had sales concentrations of 10% or greater from two customers. The Company’s top two customers accounted for 16% and 10% of revenues for the three months ended August 28, 2022, and 15% and 11% for the three months ended August 29, 2021. The Company had accounts receivable concentrations of 10% or greater from three customers accounting for 21%, 16%, and 13% of accounts receivable as of August 28, 2022, and two customers as of August 29, 2021 accounting for 12% and 10%.