Segment Information

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Segment Information

Segment Information

Effective beginning the fourth quarter of 2023, the Company reorganized its management and reporting into three segments: Light Duty, Heavy Duty and Specialty Vehicle. These segments realign our business along the three sectors of the motor vehicle aftermarket in which we operate and help support the continued growth of the Company following several acquisitions. The Light Duty segment designs and markets replacement parts and fasteners primarily for passenger cars and light-duty trucks with sales to retailers and wholesale distributors who primarily serve passenger car and light-duty truck customers. The Heavy Duty segment designs and markets replacement parts primarily for medium- and heavy-duty vehicles with sales to independent distributors, independent component specialists and rebuilders, and auto parts stores who focus on the heavy-duty market. The Specialty Vehicle segment designs, markets and manufactures aftermarket parts and accessories for the powersports market with sales through direct-to-consumer, dealers and installers.

We measure segment profit based on income from operations excluding acquisition-related intangible assets amortization, acquisition-related transaction and other costs, and other special charges. Segment assets consist of inventories, accounts receivable, and property, plant and equipment, net. Intersegment sales are not material.

Segment results are as follows:

	For the Year Ended
(in thousands)	December 31, 2023		December 31, 2022		December 25, 2021
Net Sales:
Light Duty	$	1,462,474	$	1,425,892	$	1,247,465
Heavy Duty	256,913		258,215		97,784
Specialty Vehicle	210,401		49,642		—
Total	$	1,929,788	$	1,733,749	$	1,345,249
Income from operations:
Light Duty	187,159		169,579		182,020
Heavy Duty	14,505		29,738		10,942
Specialty Vehicle	31,618		8,537		—
Total	$	233,282	$	207,854	$	192,962
Depreciation:
Light Duty	$	25,239	$	25,062	$	25,296
Heavy Duty	3,239		2,772		1,034
Specialty Vehicle	3,420		798		—
Total	$	31,898	$	28,632	$	26,330
Capital Expenditures:
Light Duty	$	33,445	$	31,682	$	19,016
Heavy Duty	3,581		4,769		824
Specialty Vehicle	6,942		1,432		—
Total	$	43,968	$	37,883	$	19,840
Segment Assets:
Light Duty	$	1,083,347	$	1,047,987	$	988,371
Heavy Duty	162,583		177,557		131,245
Specialty Vehicle	78,424		106,219		—
Total	$	1,324,354	$	1,331,763	$	1,119,616

A reconciliation of segment adjusted operating income to consolidated income before taxes is as follows:

	For the Year Ended
(in thousands)	December 31, 2023		December 31, 2022		December 25, 2021
Segment income from operations	$	233,282	$	207,854	$	192,962
Acquisition-related intangible assets amortization	(21,817)		(14,070)		(6,340)
Acquisition-related transaction and other costs	(15,373)		(22,736)		(15,071)
Fair value adjustment to contingent consideration	20,469		—		—
Executive transition services expenses	(1,801)		—		—
Interest expense, net	(48,061)		(15,582)		(2,162)
Other income, net	1,804		735		377
Consolidated income before income taxes	$	168,503	$	156,201	$	169,766

A reconciliation of segment assets to consolidated assets is as follows:

	For the Year Ended
(in thousands)	December 31, 2023		December 31, 2022		December 25, 2021
Segment assets	$	1,324,354	$	1,331,763	$	1,119,616
Other current assets	69,468		85,834		71,830
Other non-current assets	898,585		924,189		481,673
Consolidated assets	$	2,292,407	$	2,341,786	$	1,673,119