Business Segment Information

6 Months Ended

Dec. 31, 2021

Segment Reporting [Abstract]

Business Segment Information

Business Segment Information

Our financial results are presented as two reportable segments: Retail and Foodservice. Costs that are directly attributable to either Retail or Foodservice are charged directly to the appropriate segment. Costs that are deemed to be indirect, excluding corporate expenses and other unusual significant transactions, are allocated to the two reportable segments using a reasonable methodology that is consistently applied.

Retail - The vast majority of the products we sell in the Retail segment are sold through sales personnel, food brokers and distributors in the United States. We have placement of products in grocery produce departments through our refrigerated salad dressings, vegetable dips and fruit dips. Our flatbread products and sprouted grain bakery products are generally placed in the specialty bakery/deli section of the grocery store. We also have products typically marketed in the shelf-stable section of the grocery store, which include salad dressings, slaw dressing, sauces and croutons. Within the frozen food section of the grocery store, we sell yeast rolls, garlic breads and mini stuffed bagels.

Foodservice - The vast majority of the products we sell in the Foodservice segment are sold through sales personnel, food brokers and distributors in the United States. Most of the products we sell in the Foodservice segment are custom-formulated and include salad dressings, sandwich and dipping sauces, frozen breads and yeast rolls. The majority of our Foodservice sales are products sold under private label to restaurants. We also manufacture and sell various branded Foodservice products to distributors. Finally, within this segment, we sold other roll products under a temporary supply agreement resulting from the acquisition of Omni Baking Company LLC. The temporary supply agreement was terminated effective October 31, 2020.

As many of our products are similar between our two segments, our procurement, manufacturing, warehousing and distribution activities are substantially integrated across our operations in order to maximize efficiency and productivity. Consequently, we do not prepare, and our Chief Operating Decision Maker does not review, separate balance sheets for the reportable segments. As such, our external reporting does not include the presentation of identifiable assets by reportable segment. The composition of our identifiable assets at December 31, 2021 is generally consistent with that of June 30, 2021.

We evaluate our Retail and Foodservice segments based on net sales and operating income which follow:

	Three Months Ended  December 31,				Six Months Ended  December 31,
	2021		2020		2021		2020
Net Sales
Retail	$	245,085	$	222,570	$	468,974	$	416,295
Foodservice	183,342		152,445		351,509		307,957
Total	$	428,427	$	375,015	$	820,483	$	724,252
Operating Income
Retail	$	49,606	$	60,720	$	97,784	$	103,378
Foodservice	18,309		18,336		34,134		45,757
Nonallocated Restructuring and Impairment Charges (1)	(1,026)		—		(1,026)		—
Corporate Expenses	(21,583)		(20,458)		(45,075)		(41,589)
Total	$	45,306	$	58,598	$	85,817	$	107,546

(1)Reflects restructuring and impairment charges related to a facility closure that were not allocated to our two reportable segments due to their unusual nature.

The following table sets forth net sales disaggregated by class of similar products for the Retail and Foodservice segments:

	Three Months Ended  December 31,				Six Months Ended  December 31,
	2021		2020		2021		2020
Retail
Shelf-stable dressings, sauces and croutons	$	87,334	$	64,575	$	177,861	$	123,519
Frozen breads	110,379		103,686		185,098		176,529
Refrigerated dressings, dips and other	47,372		54,309		106,015		116,247
Total Retail net sales	$	245,085	$	222,570	$	468,974	$	416,295
Foodservice
Dressings and sauces	$	136,038	$	111,225	$	260,797	$	226,176
Frozen breads and other	47,304		40,282		90,712		78,074
Other roll products	—		938		—		3,707
Total Foodservice net sales	$	183,342	$	152,445	$	351,509	$	307,957
Total net sales	$	428,427	$	375,015	$	820,483	$	724,252

The following table provides an additional disaggregation of Foodservice net sales by type of customer:

	Three Months Ended  December 31,				Six Months Ended  December 31,
	2021		2020		2021		2020
Foodservice
National accounts	$	141,753	$	116,827	$	267,881	$	234,905
Branded and other	41,589		34,680		83,628		69,345
Other roll products	—		938		—		3,707
Total Foodservice net sales	$	183,342	$	152,445	$	351,509	$	307,957