v3.26.3
Segments
 9 Months Ended
Oct. 02, 2026
Segment Reporting [Abstract]  
Segments Segments
The Company evaluates segment reporting in accordance with FASB Accounting Standards Codification Topic 280, Segment Reporting, each reporting period, including evaluating the reporting package reviewed by the Chief Operating Decision Maker (the “CODM”). The Company has concluded the Chief Executive Officer, the Chief Operating Officer and the Chief Financial Officer, as a group, represent the CODM. Segment asset information is not provided to the CODM.

The Company has two operating segments, each identified by its unique products and services. Nonalcoholic Beverages represents the vast majority of the Company’s consolidated net sales and income from operations. The accounting policies of the Nonalcoholic Beverages operating segment are the same as those described in the summary of significant accounting policies presented in Note 1 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for 2025. The additional operating segment, which includes the Red Classic subsidiaries, does not meet the quantitative threshold for separate reporting and, therefore, has been reported as “All Other.”
Previously, the Company had three operating segments, Nonalcoholic Beverages and two additional operating segments, which included Data Ventures, Inc. and the Red Classic subsidiaries. Since the two additional operating segments did not meet the quantitative thresholds for separate reporting, either individually or in the aggregate, they were combined into “All Other.” As of December 31, 2025, the Data Ventures, Inc. operating segment was liquidated, dissolved and merged into the Nonalcoholic Beverages operating segment. For reporting purposes, all prior periods presented have been retroactively adjusted to reflect the dissolution of the Data Ventures, Inc. operating segment within the All Other operating segment and the merger of the Data Ventures, Inc. operating segment with the Nonalcoholic Beverages operating segment.

The CODM uses net sales, gross profit and income from operations in the annual budgeting and forecasting process. Monthly, the CODM considers budget-to-actual variances and current year to prior year variances for these profit measures when making strategic business decisions and allocating resources to Company operations.

The Company’s segment results are as follows:

Third Quarter 2026
(in thousands)Nonalcoholic BeveragesAll Other
Eliminations(1)
Total
Net sales$1,976,257 $99,646 $(86,360)$1,989,543 
Cost of goods sold1,225,014 61,763 (68,818)1,217,959 
Gross profit751,243 37,883 (17,542)771,584 
Selling, delivery and administrative expenses:
Payroll costs(2)
$322,754 $13,827 $— $336,581 
Fleet costs(3)
16,690 7,181 — 23,871 
Depreciation and amortization expense(4)
31,529 632 — 32,161 
All other segment items(5)
116,795 8,127 (17,542)107,380 
Total selling, delivery and administrative expenses487,768 29,767 (17,542)499,993 
Income from operations$263,475 $8,116 $— $271,591 
Total depreciation and amortization expense(4)
$53,019 $5,616 $— $58,635 

Third Quarter 2025
(in thousands)Nonalcoholic BeveragesAll Other
Eliminations(1)
Total
Net sales$1,877,219 $84,779 $(73,681)$1,888,317 
Cost of goods sold1,147,875 47,168 (55,242)1,139,801 
Gross profit729,344 37,611 (18,439)748,516 
Selling, delivery and administrative expenses:
Payroll costs(2)
$315,312 $12,906 $— $328,218 
Fleet costs(3)
25,723 8,281 — 34,004 
Depreciation and amortization expense(4)
29,139 550 — 29,689 
All other segment items(5)
120,809 7,601 (18,439)109,971 
Total selling, delivery and administrative expenses490,983 29,338 (18,439)501,882 
Income from operations$238,361 $8,273 $— $246,634 
Total depreciation and amortization expense(4)
$49,995 $5,091 $— $55,086 
First Nine Months 2026
(in thousands)Nonalcoholic BeveragesAll Other
Eliminations(1)
Total
Net sales$5,849,021 $281,469 $(241,859)$5,888,631 
Cost of goods sold3,626,725 173,155 (188,326)3,611,554 
Gross profit2,222,296 108,314 (53,533)2,277,077 
Selling, delivery and administrative expenses:
Payroll costs(2)
$956,200 $41,285 $— $997,485 
Fleet costs(3)
58,450 23,270 — 81,720 
Depreciation and amortization expense(4)
93,216 1,795 — 95,011 
All other segment items(5)
353,470 22,470 (53,533)322,407 
Total selling, delivery and administrative expenses1,461,336 88,820 (53,533)1,496,623 
Income from operations$760,960 $19,494 $— $780,454 
Total depreciation and amortization expense(4)
$157,243 $16,445 $173,688 

First Nine Months 2025
(in thousands)Nonalcoholic BeveragesAll Other
Eliminations(1)
Total
Net sales$5,291,377 $240,291 $(207,855)$5,323,813 
Cost of goods sold3,224,211 137,341 (155,855)3,205,697 
Gross profit2,067,166 102,950 (52,000)2,118,116 
Selling, delivery and administrative expenses:
Payroll costs(2)
$877,630 $37,383 $— $915,013 
Fleet costs(3)
72,812 22,654 — 95,466 
Depreciation and amortization expense(4)
86,523 1,631 — 88,154 
All other segment items(5)
340,733 22,212 (52,000)310,945 
Total selling, delivery and administrative expenses1,377,698 83,880 (52,000)1,409,578 
Income from operations$689,468 $19,070 $— $708,538 
Total depreciation and amortization expense(4)
$147,432 $15,792 $— $163,224 

(1)The net sales elimination represents net sales from the All Other operating segment to the Nonalcoholic Beverages operating segment. The cost of goods sold and SD&A eliminations represent costs incurred in relation to the generation of net sales from the All Other operating segment to the Nonalcoholic Beverages operating segment.
(2)Payroll costs includes compensation, incentive plans, defined contribution plans, healthcare benefits and tax-advantaged spending accounts.
(3)Fleet costs includes fleet repairs, maintenance and fuel and oil costs.
(4)Total depreciation and amortization expense is included within both cost of goods sold and SD&A expenses. For segment reporting, the difference between total depreciation and amortization expense and the portion within SD&A expenses is the amount within cost of goods sold.
(5)All other segment items includes information technology costs, stewardship, insurance and other costs incurred in the selling and delivery of the Company’s products.