| Other Comprehensive Income |
Other Comprehensive Income/(Loss) The components of other comprehensive income/(loss) and the related tax impacts for the three and six months ended June 28, 2025 and June 29, 2024 are as follows (in thousands):
| | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Before-Tax | Tax (Expense) | Net-of-Tax | | Amount | or Benefit | Amount | | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | | Defined benefit pension plans | | | | | | | | Actuarial gain recognized | $ | 50 | | $ | — | | $ | (12) | | $ | — | | $ | 38 | | $ | — | | | Amortization of prior service (cost)/benefit | (2) | | (6) | | 1 | | 2 | | (1) | | (4) | | | Amortization of actuarial loss | 207 | | 349 | | (49) | | (83) | | 158 | | 266 | | | Amortization of settlement | 5,854 | | — | | (1,423) | | — | | 4,431 | | — | | | Total defined benefit pension plans | 6,109 | | 343 | | (1,483) | | (81) | | 4,626 | | 262 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Corn option derivatives | | | | | | | | Reclassified to earnings | 18 | | — | | (5) | | — | | 13 | | — | | | Activity recognized in other comprehensive income/(loss) | (4) | | 1,404 | | 2 | | (341) | | (2) | | 1,063 | | | Total corn option derivatives | 14 | | 1,404 | | (3) | | (341) | | 11 | | 1,063 | | | Heating oil derivatives at DGD (Note 15) | | | | | | | | Activity recognized in other comprehensive income/(loss) | (1,218) | | (4,507) | | 296 | | 1,095 | | (922) | | (3,412) | | | Total heating oil derivatives | (1,218) | | (4,507) | | 296 | | 1,095 | | (922) | | (3,412) | | | Interest swap derivatives | | | | | | | | Reclassified to earnings | (4,476) | | (9,305) | | 1,087 | | 2,261 | | (3,389) | | (7,044) | | | Activity recognized in other comprehensive income/(loss) | 424 | | 5,026 | | (102) | | (1,222) | | 322 | | 3,804 | | | Total interest swap derivatives | (4,052) | | (4,279) | | 985 | | 1,039 | | (3,067) | | (3,240) | | | Foreign exchange derivatives | | | | | | | | Reclassified to earnings | (851) | | (1,399) | | 291 | | 462 | | (560) | | (937) | | | Activity recognized in other comprehensive income/(loss) | 19,063 | | (27,004) | | (6,469) | | 9,152 | | 12,594 | | (17,852) | | | Total foreign exchange derivatives | 18,212 | | (28,403) | | (6,178) | | 9,614 | | 12,034 | | (18,789) | | | | | | | | | | Foreign currency translation | 135,013 | | (168,285) | | (3,932) | | 247 | | 131,081 | | (168,038) | | | | | | | | | | Other comprehensive income/(loss) | $ | 154,078 | | $ | (203,727) | | $ | (10,315) | | $ | 11,573 | | $ | 143,763 | | $ | (192,154) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | Six Months Ended | | Before-Tax | Tax (Expense) | Net-of-Tax | | Amount | or Benefit | Amount | | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | | Defined benefit pension plans | | | | | | | | Actuarial gain recognized | $ | 50 | | $ | — | | $ | (12) | | $ | — | | $ | 38 | | $ | — | | | Amortization of prior service (cost)/benefit | (4) | | (12) | | 2 | | 5 | | (2) | | (7) | | | Amortization of actuarial loss | 456 | | 698 | | (108) | | (167) | | 348 | | 531 | | | Amortization of settlement | 5,854 | | — | | (1,423) | | — | | 4,431 | | — | | | Total defined benefit pension plans | 6,356 | | 686 | | (1,541) | | (162) | | 4,815 | | 524 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Soybean meal option derivatives | | | | | | | | Reclassified to earnings | — | | (33) | | — | | 8 | | — | | (25) | | | | | | | | | | Total soybean meal option derivatives | — | | (33) | | — | | 8 | | — | | (25) | | | Corn option derivatives | | | | | | | | Reclassified to earnings | 385 | | — | | (94) | | — | | 291 | | — | | | Activity recognized in other comprehensive income/(loss) | (257) | | 1,404 | | 63 | | (341) | | (194) | | 1,063 | | | Total corn option derivatives | 128 | | 1,404 | | (31) | | (341) | | 97 | | 1,063 | | | Heating oil derivatives at DGD (Note 15) | | | | | | | | Activity recognized in other comprehensive income/(loss) | 182 | | (46,426) | | (45) | | 11,281 | | 137 | | (35,145) | | | Total heating oil derivatives | 182 | | (46,426) | | (45) | | 11,281 | | 137 | | (35,145) | | | Interest swap derivatives | | | | | | | | Reclassified to earnings | 13,217 | | (26,785) | | (3,212) | | 6,509 | | 10,005 | | (20,276) | | | Activity recognized in other comprehensive income/(loss) | (18,900) | | 27,891 | | 4,593 | | (6,778) | | (14,307) | | 21,113 | | | Total interest swap derivatives | (5,683) | | 1,106 | | 1,381 | | (269) | | (4,302) | | 837 | | | Foreign exchange derivatives | | | | | | | | Reclassified to earnings | (4,513) | | (7,395) | | 1,523 | | 2,508 | | (2,990) | | (4,887) | | | Activity recognized in other comprehensive income/(loss) | 52,222 | | (31,419) | | (17,624) | | 10,658 | | 34,598 | | (20,761) | | | Total foreign exchange derivatives | 47,709 | | (38,814) | | (16,101) | | 13,166 | | 31,608 | | (25,648) | | | | | | | | | | Foreign currency translation | 256,107 | | (233,628) | | (5,694) | | 920 | | 250,413 | | (232,708) | | | | | | | | | | Other comprehensive income/(loss) | $ | 304,799 | | $ | (315,705) | | $ | (22,031) | | $ | 24,603 | | $ | 282,768 | | $ | (291,102) | |
The following table presents the amounts reclassified out of each component of other comprehensive income/(loss), net of tax, for the three and six months ended June 28, 2025 and June 29, 2024 as follows (in thousands): | | | | | | | | | | | | | | | | | | | Three Months Ended | Six Months Ended | | | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | Statement of Operations Classification | | Derivative instruments | | | | | | | Soybean meal option derivatives | $ | — | | $ | — | | $ | — | | $ | 33 | | Net sales | | Foreign exchange contracts | 851 | | 1,399 | | 4,513 | | 7,395 | | Net sales | | | | | | | | Corn option derivatives | (18) | | — | | (385) | | — | | Cost of sales and operating expenses | | Interest swaps | 4,476 | | 9,305 | | (13,217) | | 26,785 | | Foreign currency gain/(loss) and interest expense | | 5,309 | | 10,704 | | (9,089) | | 34,213 | | Total before tax | | (1,373) | | (2,723) | | 1,783 | | (9,025) | | Income taxes | | 3,936 | | 7,981 | | (7,306) | | 25,188 | | Net of tax | | Defined benefit pension plans | | | | | | | Amortization of prior service cost | $ | 2 | | $ | 6 | | $ | 4 | | $ | 12 | | (a) | | Amortization of actuarial loss | (207) | | (349) | | (456) | | (698) | | (a) | | Amortization of settlement | (5,854) | | — | | (5,854) | | — | | (a) | | (6,059) | | (343) | | (6,306) | | (686) | | Total before tax | | 1,471 | | 81 | | 1,529 | | 162 | | Income taxes | | (4,588) | | (262) | | (4,777) | | (524) | | Net of tax | | Total reclassifications | $ | (652) | | $ | 7,719 | | $ | (12,083) | | $ | 24,664 | | Net of tax |
(a)These items are included in the computation of net periodic pension cost. See Note 14 (Employee Benefit Plans) to the Company’s Consolidated Financial Statements included herein for additional information.
The following table presents changes in each component of accumulated other comprehensive income/(loss) as of June 28, 2025 as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | Six Months Ended June 28, 2025 | | | Foreign | | | Defined | | | | Currency | Derivative | | Benefit | | | | Translation | Instruments | | Pension Plans | Total | | Accumulated Other Comprehensive income/ (loss) December 28, 2024, attributable to Darling, net of tax | | $ | (648,827) | | $ | (23,825) | | | $ | (11,589) | | $ | (684,241) | | | Other comprehensive loss before reclassifications | | 250,413 | | 20,234 | | | 38 | | 270,685 | | | Amounts reclassified from accumulated other comprehensive income/ (loss) | | — | | 7,306 | | | 4,777 | | 12,083 | | | | | | | | | | Net current-period other comprehensive income | | 250,413 | | 27,540 | | | 4,815 | | 282,768 | | Noncontrolling interest | | (5,211) | | — | | | — | | (5,211) | | | Accumulated Other Comprehensive income/ (loss) June 28, 2025, attributable to Darling, net of tax | | $ | (393,203) | | $ | 3,715 | | | $ | (6,774) | | $ | (396,262) | |
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