v3.25.2
Segment Reporting
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting
Note 16. Segment Reporting

We manufacture and market primarily snack food products, including chocolate, biscuits and baked snacks, as well as gum & candy, cheese & grocery and powdered beverages. We manage our global business and report operating results through geographic units. We manage our operations by region to leverage regional operating scale, manage different and changing business environments more effectively and pursue growth opportunities as they arise across our key markets. Our regional management teams have responsibility for the business, product categories and financial results in the regions.

Our operations and management structure are organized into four operating segments:
    • Latin America
    • AMEA
    • Europe
    • North America

Our Chief Operating Decision Maker ("CODM") is our Chief Executive Officer. Our CODM uses segment operating income in the annual plan and forecasting process and considers actual versus plan variances in assessing the performance of the segment. The CODM also uses segment operating income as an input to the overall compensation measures for segment management under our incentive compensation plans. We believe it is appropriate to disclose this measure to help investors analyze segment performance and trends. Segment operating income excludes certain mark-to-market impacts on commodity and foreign currency derivatives (which are primarily a component of cost of sales), general corporate expenses (which are a component of selling, general and administrative expenses), amortization of intangibles, gains and losses on divestitures and acquisition-related costs (which are a component of selling, general and administrative expenses) in all periods presented. We exclude these items from segment operating income in order to provide better transparency of our segment operating results. Furthermore, we centrally manage benefit plan non-service income and interest and other expense, net. Accordingly, we do not present these items by segment because they are excluded from the segment profitability measure that our CODM reviews. Additionally, assets for reportable segments are not disclosed as such information is not regularly reviewed by the Company's CODM.
Our segment net revenue, significant segment expenses and operating income, by reportable segment were as follows:
 Three Months Ended June 30, 2025
 (in millions)
Latin AmericaAMEAEuropeNorth AmericaTotal
Net revenues
$1,194 $1,821 $3,412 $2,557 $8,984 
Segment cost of sales(807)(1,189)(2,343)(1,615)(5,954)
Segment selling, general and administrative expenses (1)
(254)(361)(555)(488)(1,658)
Segment operating income$133 $271 $514 $454 1,372 
Mark-to-market losses from derivatives
(93)
General corporate expenses(69)
Amortization of intangible assets(38)
Operating income$1,172 

 Three Months Ended June 30, 2024
 (in millions)
Latin AmericaAMEAEuropeNorth AmericaTotal
Net revenues
$1,232 $1,587 $2,874 $2,650 $8,343 
Segment cost of sales(800)(913)(1,729)(1,534)(4,976)
Segment selling, general and administrative expenses (1)
(288)(384)(595)(571)(1,838)
Segment operating income$144 $290 $550 $545 1,529 
Mark-to-market losses from derivatives
(571)
General corporate expenses(67)
Amortization of intangible assets(37)
Operating income$854 
 Six Months Ended June 30, 2025
 (in millions)
Latin AmericaAMEAEuropeNorth AmericaTotal
Net revenues
$2,397 $3,837 $6,962 $5,101 $18,297 
Segment cost of sales(1,622)(2,459)(4,884)(3,198)(12,163)
Segment selling, general and administrative expenses (1)
(503)(764)(1,102)(964)(3,333)
Segment operating income$272 $614 $976 $939 2,801 
Mark-to-market losses from derivatives
(762)
General corporate expenses(112)
Amortization of intangible assets(75)
Operating income$1,852 
 Six Months Ended June 30, 2024
 (in millions)
Latin AmericaAMEAEuropeNorth AmericaTotal
Net revenues
$2,551 $3,537 $6,242 $5,303 $17,633 
Segment cost of sales(1,666)(2,051)(3,866)(3,059)(10,642)
Segment selling, general and administrative expenses (1)
(584)(785)(1,235)(1,150)(3,754)
Segment operating income$301 $701 $1,141 $1,094 3,237 
Mark-to-market gains from derivatives
553 
General corporate expenses(134)
Amortization of intangible assets(75)
Operating income$3,581 
(1) SG&A for all reportable segments includes: Advertising & consumer expenses and overhead expenses.
Total depreciation expense and capital expenditures by segment, reflecting our current segment structure for all periods presented, were:
 Three Months Ended
June 30,
 20252024
 (in millions)
Depreciation expense (2):
Latin America$35 $39 
AMEA43 39 
Europe79 68 
North America45 42 
  Corporate
10 9 
Total depreciation expense$212 $197 
 Six Months Ended
June 30,
 20252024
 (in millions)
Depreciation expense (2):
Latin America$69 $77 
AMEA84 79 
Europe150 135 
North America88 80 
  Corporate
21 22 
Total depreciation expense$412 $393 
(2) Includes depreciation expense related to owned property, plant and equipment. Does not include amortization of intangible assets or leased assets. Refer to the consolidated statements of cash flows for total depreciation and amortization expenses.


 Six Months Ended
June 30,
 20252024
 (in millions)
Capital expenditures:
Latin America$(82)$(97)
AMEA(124)(134)
Europe(235)(280)
North America(134)(141)
   Corporate
(7)(14)
Total capital expenditures$(582)$(666)
Disaggregation of Net Revenue
Net revenues by product category, reflecting our current segment structure for all periods presented, were:

For the Three Months Ended June 30, 2025
Latin
America		AMEAEuropeNorth
America		Total
(in millions)
Biscuits & Baked Snacks$295 $686 $1,289 $2,305 $4,575 
Chocolate345 657 1,589 70 2,661 
Gum & Candy361 261 146 182 950 
Beverages79 122 26 — 227 
Cheese & Grocery114 95 362 — 571 
Total net revenues$1,194 $1,821 $3,412 $2,557 $8,984 
For the Three Months Ended June 30, 2024
Latin
America		AMEAEuropeNorth
America		Total
(in millions)
Biscuits & Baked Snacks$310 $560 $1,093 $2,394 $4,357 
Chocolate304 579 1,293 57 2,233 
Gum & Candy381 237 140 199 957 
Beverages114 124 28 — 266 
Cheese & Grocery123 87 320 — 530 
  Total net revenues
$1,232 $1,587 $2,874 $2,650 $8,343 
For the Six Months Ended June 30, 2025
Latin
America		AMEAEuropeNorth
America		Total
(in millions)
Biscuits$582 $1,422 $2,377 $4,525 $8,906 
Chocolate714 1,430 3,529 170 5,843 
Gum & Candy702 504 308 406 1,920 
Beverages175 286 63 — 524 
Cheese & Grocery224 195 685 — 1,104 
  Total net revenues
$2,397 $3,837 $6,962 $5,101 $18,297 
For the Six Months Ended June 30, 2024
Latin
America		AMEAEuropeNorth
America		Total
(in millions)
Biscuits & Baked Snacks
$596 $1,204 $2,123 $4,733 $8,656 
Chocolate686 1,350 3,063 148 5,247 
Gum & Candy774 471 346 422 2,013 
Beverages244 313 62 — 619 
Cheese & Grocery251 199 648 — 1,098 
Total net revenues$2,551 $3,537 $6,242 $5,303 $17,633