v3.26.1
SEGMENTS (Tables)
 12 Months Ended
May 31, 2026
Segment Reporting [Abstract]  
Schedule of Segment Information
Lamb Weston’s net sales and Segment Adjusted EBITDA are as follows:
For the year ended May 31, 2026
(in millions)North AmericaInternationalTotal
Net sales$4,395.2 $2,217.1 $6,612.3 
Other segment items (a)3,252.9 2,102.4 5,355.3 
Segment Adjusted EBITDA (b)$1,142.3 $114.7 $1,257.0 
Unallocated corporate costs (c)(109.8)
Depreciation and amortization (d)400.9 
Unrealized derivative gains(20.1)
Foreign currency exchange losses(8.2)
Stock based compensation46.2 
Items impacting comparability:
Cost Savings Program, Restructuring Plan, and other expenses (e)111.6 
Shareholder activism expense (f)4.0 
Pension termination (g)14.2 
Interest expense, net180.5 
Income before income taxes418.1 
Income tax expense128.1 
Net income$290.0 
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(a)Other segment items include cost of goods sold, selling, general, and administrative expenses, and equity method investment income or loss for each segment.
(b)Segment Adjusted EBITDA for fiscal 2026 included net income associated with our equity method investments. Refer to Note 6, “Other Assets,” in these Notes to Consolidated Financial Statements of this Form 10-K.
(c)Unallocated corporate costs include costs related to corporate support staff and support services, which include, but are not limited to, our administrative, information technology, human resources, finance, and accounting functions that are not specifically allocated to the segments. In the table, unallocated costs exclude unrealized mark-to-market derivative gains and losses, foreign currency exchange gains and losses, gains from blue chip swap transactions in Argentina, stock-based compensation expense, and items impacting comparability. These items are added back to reconcile Segment Adjusted EBITDA to net income.
(d)Depreciation and amortization includes interest expense, income tax expense, and depreciation and amortization from equity method investments of $8.8 million for the fiscal year ended May 31, 2026.
(e)Cost Savings Program, Restructuring Plan, and other expenses relate to costs incurred under the Plans. See Note 4, Cost Savings Program and Restructuring of these Notes to Consolidated Financial Statements for additional information.
(f)Represents advisory fees related to shareholder activism matters.
(g)The Pension settlement charge was to fully fund the Company’s defined benefit pension plan, enabling lump sum payments to participants and transferring the remaining obligations and related plan assets to an insurer through a group annuity contract.
For the year ended May 25, 2025
(in millions)North AmericaInternationalTotal
Net sales$4,265.2 $2,186.1 $6,451.3 
Other segment items (a)3,155.8 1,928.5 5,084.3 
Segment Adjusted EBITDA (b)$1,109.4 $257.6 $1,367.0 
Unallocated corporate costs (c)(107.0)
Depreciation and amortization (d)378.2 
Unrealized derivative gains(23.1)
Foreign currency exchange losses15.2 
Blue chip swap gains (e)(21.1)
Stock based compensation39.5 
Items impacting comparability:
Cost Savings Program, Restructuring Plan, and other expenses (f)185.8 
Shareholder activism expense (g)5.2 
Interest expense, net180.0 
Income before income taxes500.3 
Income tax expense143.1 
Net income$357.2 
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(a)Other segment items include cost of goods sold, selling, general, and administrative expenses, and equity method investment income or loss for each segment
(b)Segment Adjusted EBITDA for fiscal 2025 included the following:
i.Net income associated with our equity method investments. Refer to Note 6, “Other Assets,” in these Notes to Consolidated Financial Statements of this Form 10-K.
ii.An estimated $31 million loss related to the voluntary product withdrawal that was initiated in the fourth quarter of fiscal 2024. The total charge to reporting segments was approximately $19 million to the North America segment and approximately $12 million to the International segment.
(c)Unallocated corporate costs include costs related to corporate support staff and support services, which include, but are not limited to, our administrative, information technology, human resources, finance, and accounting functions that are not specifically allocated to the segments. In the table, unallocated costs exclude unrealized mark-to-market derivative gains and losses, foreign currency exchange gains and losses, gains from blue chip swap transactions in Argentina, stock-based compensation expense, and items impacting comparability. These items are added back to reconcile Segment Adjusted EBITDA to net income.
(d)Depreciation and amortization includes interest expense, income tax expense, and depreciation and amortization from equity method investments of $8.2 million for the fiscal year ended May 25, 2025.
(e)We enter into blue chip swap transactions to transfer U.S. dollars into Argentina primarily related to funding our capacity expansion in Argentina. The blue chip swap rate can diverge significantly from Argentina’s official exchange rate.
(f)Cost Savings Program, Restructuring Plan, and other expenses relate to costs incurred under the Plans. See Note 4, Cost Savings Program and Restructuring of these Notes to Consolidated Financial Statements for additional information.
(g)Represents advisory fees related to shareholder activism matters.
For the year ended May 26, 2024
(in millions)North AmericaInternational (a)Total
Net sales$4,363.2 $2,104.4 $6,467.6 
Other segment items (a)3,090.8 1,767.8 4,858.6 
Segment Adjusted EBITDA (b)$1,272.4 $336.6 $1,609.0 
Unallocated corporate costs (c)(145.5)
Depreciation and amortization (d)306.2 
Unrealized derivative losses(24.9)
Foreign currency exchange losses28.6 
Blue chip swap gains (e)(18.0)
Stock based compensation46.8 
Items impacting comparability:
Inventory step-up from acquisition20.7 
Integration and acquisition-related items, net12.8 
Interest expense, net135.8 
Income before income taxes955.5 
Income tax expense230.0 
Net income$725.5 
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(a)Other segment items include cost of goods sold, selling, general, and administrative expenses, and equity method investment income or loss for each segment
(b)Segment Adjusted EBITDA for fiscal 2024 included the following:
i.Net income associated with our equity method investments. Refer to Note 6, “Other Assets,” in these Notes to Consolidated Financial Statements of this Form 10-K.
ii.An estimated $40 million loss related to the voluntary product withdrawal that was initiated in the fourth quarter of fiscal 2024. The total charge to reporting segments was approximately $19 million to the North America segment and approximately $21 million to the International segment.
(c)Unallocated corporate costs include costs related to corporate support staff and support services, which include, but are not limited to, our administrative, information technology, human resources, finance, and accounting functions that are not specifically allocated to the segments. In the table, unallocated costs exclude unrealized mark-to-market derivative gains and losses, foreign currency exchange gains and losses, gains from blue chip swap transactions in Argentina, stock-based compensation expense and items impacting comparability. These items are added back to reconcile Segment Adjusted EBITDA to net income.
(d)Depreciation and amortization includes interest expense, income tax expense, and depreciation and amortization from equity method investments of $8.3 million for the fiscal year ended May 26, 2024.
(e)We enter into blue chip swap transactions to transfer U.S. dollars into Argentina primarily related to funding our capacity expansion in Argentina. The blue chip swap rate can diverge significantly from Argentina’s official exchange rate.
Schedule of Segment Reporting, Net Sales, Geographical Area, Revenue and Long-Lived Assets
Fiscal Year Ended
(in millions)202620252024
Net sales
United States$4,289.6 $4,174.5 $4,278.0 
Other2,322.7 2,276.8 2,189.6 
Total net sales$6,612.3 $6,451.3 $6,467.6 
Fiscal Year Ended
(in millions)20262025
Long-lived assets
United States$2,357.1 $2,333.0 
Netherlands838.0 866.3 
Other782.3 810.5 
Total long-lived assets$3,977.4 $4,009.8