Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 25, 2021 | Jan. 30, 2022 | Jun. 25, 2021 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 25, 2021 | ||
Entity File Number | 0-22684 | ||
Entity Registrant Name | UFP INDUSTRIES, INC. | ||
Entity Incorporation, State or Country Code | MI | ||
Entity Tax Identification Number | 38-1465835 | ||
Entity Address, Address Line One | 2801 East Beltline, N.E. | ||
Entity Address, City or Town | Grand Rapids | ||
Entity Address, State or Province | MI | ||
Entity Address, Postal Zip Code | 49525 | ||
City Area Code | 616 | ||
Local Phone Number | 364-6161 | ||
Title of 12(b) Security | Common Stock, $1 par value | ||
Trading Symbol | UFPI | ||
Security Exchange Name | NASDAQ | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding (in shares) | 61,905,218 | ||
ICFR Auditor Attestation Flag | true | ||
Auditor Name | Deloitte & Touche LLP | ||
Auditor Firm ID | 34 | ||
Auditor Location | Grand Rapids, Michigan | ||
Current Fiscal Year End Date | --12-25 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000912767 | ||
Amendment Flag | false | ||
Entity Public Float | $ 4,240,620,108 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 286,662 | $ 436,507 |
Restricted cash | 4,561 | 101 |
Investments | 36,495 | 24,308 |
Accounts receivable, net | 737,805 | 470,504 |
Inventories: | ||
Raw materials | 416,043 | 316,481 |
Finished goods | 547,277 | 250,813 |
Total inventories | 963,320 | 567,294 |
Refundable income taxes | 4,806 | 5,836 |
Other current assets | 39,827 | 33,812 |
TOTAL CURRENT ASSETS | 2,073,476 | 1,538,362 |
DEFERRED INCOME TAXES | 3,462 | 2,413 |
RESTRICTED INVESTMENTS | 19,310 | 17,565 |
RIGHT OF USE ASSETS | 96,703 | 77,245 |
OTHER ASSETS | 31,876 | 20,298 |
GOODWILL | 315,038 | 252,193 |
INDEFINITE-LIVED INTANGIBLE ASSETS | 7,369 | 7,401 |
OTHER INTANGIBLE ASSETS, NET | 109,017 | 72,252 |
PROPERTY, PLANT AND EQUIPMENT: | ||
Land and improvements | 163,289 | 128,301 |
Building and improvements | 329,698 | 272,864 |
Machinery and equipment | 632,864 | 525,542 |
Furniture and fixtures | 24,063 | 21,110 |
Construction in progress | 62,199 | 26,680 |
PROPERTY, PLANT AND EQUIPMENT, GROSS | 1,212,113 | 974,497 |
Less accumulated depreciation and amortization | (623,093) | (557,335) |
PROPERTY, PLANT AND EQUIPMENT, NET | 589,020 | 417,162 |
TOTAL ASSETS | 3,245,271 | 2,404,891 |
CURRENT LIABILITIES: | ||
Cash overdraft | 17,030 | |
Accounts payable | 319,125 | 211,518 |
Accrued liabilities: | ||
Compensation and benefits | 289,196 | 166,478 |
Other | 84,853 | 69,104 |
Current portion of lease liability | 23,155 | 16,549 |
Current portion of long-term debt | 42,683 | 100 |
TOTAL CURRENT LIABILITIES | 776,042 | 463,749 |
LONG-TERM DEBT | 277,567 | 311,607 |
LEASE LIABILITY | 76,632 | 61,509 |
DEFERRED INCOME TAXES | 60,964 | 25,266 |
OTHER LIABILITIES | 37,497 | 59,608 |
TOTAL LIABILITIES | 1,228,702 | 921,739 |
Controlling interest shareholders' equity: | ||
Preferred stock, no par value; shares authorized 1,000,000; issued and outstanding, none | ||
Common stock, $1 par value; shares authorized 80,000,000; issued and outstanding, 61,901,851 and 61,205,780 | 61,902 | 61,206 |
Additional paid-in capital | 243,995 | 218,224 |
Retained earnings | 1,678,121 | 1,182,680 |
Accumulated other comprehensive loss | (5,405) | (1,794) |
Total controlling interest shareholders' equity | 1,978,613 | 1,460,316 |
Noncontrolling interest | 37,956 | 22,836 |
TOTAL SHAREHOLDERS' EQUITY | 2,016,569 | 1,483,152 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 3,245,271 | $ 2,404,891 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 25, 2021 | Dec. 26, 2020 |
SHAREHOLDERS' EQUITY: | ||
Preferred stock, no par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 80,000,000 | 80,000,000 |
Common stock, shares issued (in shares) | 61,901,851 | 61,205,780 |
Common stock, shares outstanding (in shares) | 61,901,851 | 61,205,780 |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
NET SALES | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
COST OF GOODS SOLD | 7,229,167 | 4,353,702 | 3,730,491 |
GROSS PROFIT | 1,406,967 | 800,296 | 685,518 |
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES | 682,253 | 444,596 | 439,047 |
OTHER (GAINS) LOSSES, NET | (12,840) | 9,874 | 1,565 |
EARNINGS FROM OPERATIONS | 737,554 | 345,826 | 244,906 |
INTEREST EXPENSE | 13,814 | 9,311 | 8,700 |
INTEREST AND INVESTMENT INCOME | (6,498) | (4,468) | (4,468) |
EQUITY IN EARNINGS OF INVESTEE | 3,902 | ||
NON-OPERATING (INCOME)/EXPENSE | 11,218 | 4,843 | 4,232 |
EARNINGS BEFORE INCOME TAXES | 726,336 | 340,983 | 240,674 |
INCOME TAXES | 173,972 | 87,101 | 58,270 |
NET EARNINGS | 552,364 | 253,882 | 182,404 |
LESS NET EARNINGS ATTRIBUTABLE TO NONCONTROLLING INTEREST | (16,724) | (7,104) | (2,754) |
NET EARNINGS ATTRIBUTABLE TO CONTROLLING INTEREST | $ 535,640 | $ 246,778 | $ 179,650 |
EARNINGS PER SHARE - BASIC (USD per share) | $ 8.61 | $ 4 | $ 2.91 |
EARNINGS PER SHARE - DILUTED (USD per share) | $ 8.59 | $ 4 | $ 2.91 |
OTHER COMPREHENSIVE INCOME: | |||
NET EARNINGS | $ 552,364 | $ 253,882 | $ 182,404 |
OTHER COMPREHENSIVE GAIN (LOSS) | (5,296) | 5,967 | 1,513 |
COMPREHENSIVE INCOME | 547,068 | 259,849 | 183,917 |
LESS COMPREHENSIVE INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST | (15,039) | (9,976) | (3,218) |
COMPREHENSIVE INCOME ATTRIBUTABLE TO CONTROLLING INTEREST | $ 532,029 | $ 249,873 | $ 180,699 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Earnings | Noncontrolling Interest | Total |
Beginning balance at Dec. 29, 2018 | $ 60,884 | $ 178,540 | $ 839,917 | $ (5,938) | $ 15,281 | $ 1,088,684 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net earnings | 179,650 | 2,754 | 182,404 | |||
Foreign currency translation adjustment | 568 | 464 | 1,032 | |||
Unrealized loss on investment & foreign currency | 481 | 481 | ||||
Distributions to noncontrolling interest | (2,143) | (2,143) | ||||
Acquisitions of noncontrolling interest | (4,737) | (2,338) | (7,075) | |||
Cash dividends | (24,549) | (24,549) | ||||
Issuance of shares under employee stock purchase plan | 34 | 1,059 | 1,093 | |||
Issuance of shares under stock grant programs | 310 | 5,654 | 4 | 5,968 | ||
Issuance of shares under deferred compensation plans | 181 | (181) | ||||
Expense associated with share-based compensation arrangements | 3,843 | 3,843 | ||||
Accrued expense under deferred compensation plans | 7,995 | 7,995 | ||||
Ending balance at Dec. 28, 2019 | 61,409 | 192,173 | 995,022 | (4,889) | 14,018 | 1,257,733 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net earnings | 246,778 | 7,104 | 253,882 | |||
Foreign currency translation adjustment | 1,373 | 2,872 | 4,245 | |||
Unrealized gain on debt securities | 1,722 | 1,722 | ||||
Distributions to noncontrolling interest | (933) | (933) | ||||
Acquisitions of noncontrolling interest | 130 | (225) | (95) | |||
Cash dividends | (30,669) | (30,669) | ||||
Issuance of shares under employee stock purchase plan | 35 | 1,360 | 1,395 | |||
Issuance of shares under stock grant programs | 390 | 12,140 | 5 | 12,535 | ||
Issuance of shares under deferred compensation plans | 128 | (128) | ||||
Repurchase of shares | (756) | (28,456) | (29,212) | |||
Expense associated with share-based compensation arrangements | 3,905 | 3,905 | ||||
Accrued expense under deferred compensation plans | 8,644 | 8,644 | ||||
Ending balance at Dec. 26, 2020 | 61,206 | 218,224 | 1,182,680 | (1,794) | 22,836 | 1,483,152 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net earnings | 535,640 | 16,724 | 552,364 | |||
Foreign currency translation adjustment | (2,584) | (1,685) | (4,269) | |||
Unrealized gain on investments and other | (1,027) | (1,027) | ||||
Noncontrolling interest associated with business acquisitions | 6,831 | 6,831 | ||||
Distributions to noncontrolling interest | (6,750) | (6,750) | ||||
Cash dividends | (40,209) | (40,209) | ||||
Issuance of shares under employee stock purchase plan | 33 | 2,083 | 2,116 | |||
Issuance of shares under stock grant programs | 546 | 3,506 | 10 | 4,062 | ||
Issuance of shares under deferred compensation plans | 117 | (117) | ||||
Expense associated with share-based compensation arrangements | 11,071 | 11,071 | ||||
Accrued expense under deferred compensation plans | 9,228 | 9,228 | ||||
Ending balance at Dec. 25, 2021 | $ 61,902 | $ 243,995 | $ 1,678,121 | $ (5,405) | $ 37,956 | $ 2,016,569 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Increase (Decrease) in Stockholders' Equity | |||
Cash dividends per share (USD per share) | $ 0.65 | $ 0.50 | $ 0.40 |
Net issuance of shares under employee stock plans (in shares) | 33,104 | 35,133 | 33,647 |
Issuance of shares under deferred compensation plans (in shares) | 116,732 | 127,735 | 181,565 |
Repurchase of shares (in shares) | 0 | 756,397 | |
No of shares under stock grant programs | 546,235 | 390,720 | 309,628 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net earnings | $ 552,364 | $ 253,882 | $ 182,404 |
Adjustments to reconcile net earnings to net cash from operating activities: | |||
Depreciation | 84,184 | 63,964 | 60,494 |
Amortization of intangibles | 13,948 | 8,716 | 6,325 |
Expense associated with share-based and grant compensation arrangements | 11,224 | 4,034 | 4,007 |
Deferred income taxes | 5,653 | 1,857 | 7,176 |
Unrealized gain on investments and other | (4,118) | (2,076) | (2,523) |
Equity in earnings of investee | 3,902 | ||
Net gain on sale and disposition of assets | (11,992) | 1,470 | 1,565 |
Goodwill impairment | 11,485 | ||
Gain from reduction of estimated earnout liability | (4,134) | ||
Changes in: | |||
Accounts receivable | (85,439) | (87,552) | (16,872) |
Inventories | (260,301) | (76,022) | 73,120 |
Accounts payable and cash overdraft | 78,060 | 62,405 | (24,132) |
Accrued liabilities and other | 124,992 | 98,448 | 57,727 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 512,477 | 336,477 | 349,291 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Purchases of property, plant and equipment | (151,166) | (89,182) | (84,933) |
Proceeds from sale of property, plant and equipment | 29,973 | 2,922 | 1,777 |
Acquisitions and purchases of non-controlling interest, net of cash received | (475,960) | (65,255) | (39,122) |
Investment in life insurance contracts | (15,253) | ||
Purchases of investments | (23,797) | (28,054) | (13,352) |
Proceeds from sale of investments | 14,882 | 24,805 | 9,828 |
Other | (5,119) | 46 | (982) |
NET CASH USED IN INVESTING ACTIVITIES | (611,187) | (154,718) | (142,037) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Borrowings under revolving credit facilities | 892,072 | 6,862 | 422,057 |
Repayments under revolving credit facilities | (888,695) | (6,498) | (460,537) |
Contingent consideration payments and other | (3,176) | (5,787) | (3,136) |
Issuance of long-term debt | 150,000 | ||
Proceeds from issuance of common stock | 2,116 | 1,395 | 1,093 |
Dividends paid to shareholders | (40,209) | (30,669) | (24,549) |
Distributions to noncontrolling interest | (6,750) | (932) | (2,216) |
Repurchase of common stock | (29,212) | ||
Other | (364) | 62 | 20 |
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES | (45,006) | 85,221 | (67,268) |
Effect of exchange rate changes on cash | (1,669) | 962 | 482 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | (145,385) | 267,942 | 140,468 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF YEAR | 436,608 | 168,666 | 28,198 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD | $ 291,223 | $ 436,608 | $ 168,666 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS - SUPPLEMENTAL (Parenthetical) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 |
RECONCILIATION OF CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: | |||
Cash and cash equivalents, beginning of period | $ 436,507 | $ 168,336 | $ 27,316 |
Restricted cash, beginning of period | 101 | 330 | 882 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF YEAR | 436,608 | 168,666 | 28,198 |
Cash and cash equivalents, end of period | 286,662 | 436,507 | 168,336 |
Restricted cash, end of period | 4,561 | 101 | 330 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD | $ 291,223 | $ 436,608 | $ 168,666 |
CONSOLIDATED STATEMENTS OF CA_3
CONSOLIDATED STATEMENTS OF CASH FLOWS - SUPPLEMENTAL AND NON-CASH FINANCING ACTIVITIES (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
SUPPLEMENTAL INFORMATION: | |||
Interest paid | $ 14,077 | $ 7,204 | $ 8,763 |
Income taxes paid | 167,043 | 77,964 | 50,224 |
NON-CASH INVESTING ACTIVITIES | |||
Capital expenditures included in accounts payable | 3,256 | ||
NON-CASH FINANCING ACTIVITIES: | |||
Common stock issued under deferred compensation plans | $ 7,487 | $ 6,870 | $ 6,229 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 25, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | A. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES OPERATIONS We are a holding company whose subsidiaries supply wood, wood composite and other products to three markets: retail, construction and industrial. Founded in 1955, we are headquartered in Grand Rapids, Michigan, with affiliates throughout North America, Europe, Asia and Australia. PRINCIPLES OF CONSOLIDATION The consolidated financial statements include our accounts and those of our wholly-owned and majority-owned subsidiaries and partnerships. In addition, we consolidate any entity which we own 50% or more and exercise control. Intercompany transactions and balances have been eliminated. NONCONTROLLING INTEREST IN SUBSIDIARIES Noncontrolling interest in results of operations of consolidated subsidiaries represents the noncontrolling shareholders’ share of the income or loss of various consolidated subsidiaries. The noncontrolling interest reflects the original investment by these noncontrolling shareholders combined with their proportional share of the earnings or losses of these subsidiaries, net of distributions paid. FISCAL YEAR Our fiscal year is a 52 or 53 week period, ending on the last Saturday of December. Unless otherwise stated, references to 2021, 2020, and 2019 relate to the fiscal years ended December 25, 2021, December 26, 2020, and December 28, 2019, respectively. Fiscal years 2021, 2020, and 2019 were comprised of 52 weeks. FAIR VALUE DISCLOSURES OF FINANCIAL INSTRUMENTS We follow ASC Topic 820, Fair Value Measurements and Disclosures ● Level 1 — Financial instruments with unadjusted, quoted prices listed on active market exchanges. ● Level 2 — Financial instruments lacking unadjusted, quoted prices from active market exchanges, including over-the-counter traded financial instruments. Financial instrument values are determined using prices for recently traded financial instruments with similar underlying terms and direct or indirect observational inputs, such as interest rates and yield curves at commonly quoted intervals. ● Level 3 — Financial instruments not actively traded on a market exchange and there is little, if any, market activity. Values are determined using significant unobservable inputs or valuation techniques. Our investment portfolio includes restricted investments within our wholly-owned subsidiary, Ardellis Insurance Ltd. There are $19.3 million of restricted investments recorded as of December 25, 2021. CASH AND CASH EQUIVALENTS Cash and cash equivalents consist of cash and highly liquid investments purchased with an original maturity of three months or less. INVESTMENTS Investments are deemed to be "available for sale" and are, accordingly, carried at fair value being the quoted market value. ACCOUNTS RECEIVABLE AND ALLOWANCES We perform periodic credit evaluations of our customers and generally do not require collateral. Accounts receivable are due under a range of terms we offer to our customers. Discounts are offered, in most instances, as an incentive for early payment. We base our allowances related to receivables on historical credit and collections experience, reasonable and supportable forecasts, and the specific identification of other potential problems, including the general economic climate. Actual collections can differ, requiring adjustments to the allowances. Individual accounts receivable balances are evaluated on a monthly basis, and those balances considered uncollectible are charged to the allowance. The following table presents the activity in our accounts receivable allowances (in thousands): Additions Charged to Beginning Costs and Ending Balance Expenses Deductions* Balance Year Ended December 25, 2021: Allowance for possible losses on accounts receivable $ 4,629 $ 66,883 $ (66,427) $ 5,085 Year Ended December 26, 2020: Allowance for possible losses on accounts receivable $ 4,440 $ 48,954 $ (48,765) $ 4,629 Year Ended December 28, 2019: Allowance for possible losses on accounts receivable $ 2,601 $ 39,481 $ (37,642) $ 4,440 * Includes accounts charged off, discounts given to customers and actual customer returns and allowances. We record estimated sales returns, discounts, and other applicable adjustments as a reduction of net sales in the same period revenue is recognized. Accounts receivable retainage amounts related to long term construction contracts totaled $7.8 million and $8.7 million as of December 25, 2021 and December 26, 2020, respectively. All amounts are expected to be collected within 18 months. Concentration of accounts receivable related to our two largest customers totaled $87.6 million and $97.9 million as of December 25, 2021 and December 26, 2020, respectively. In June 2016, the FASB issued ASU 2016-13, Financial Instrument-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13), which changes the current incurred loss model to a forward looking expected credit loss model for most financial assets, such as trade and other receivables, loans and other instruments. The ASU is effective for fiscal years beginning after December 15, 2019. Entities are required to apply the provisions of the standard through a cumulative-effect adjustment to retained earnings as of effective date. We have adopted the new standard as of the beginning of fiscal year 2020 and have concluded the standard does not have a material impact on our consolidated financial statements and disclosures, accounting processes, and internal controls. INVENTORIES Inventories are stated at the lower of cost or market. The cost of inventories includes raw materials, direct labor, and manufacturing overhead. Cost is determined on a weighted average basis. Raw materials consist primarily of unfinished wood products and other materials expected to be manufactured or treated prior to sale, while finished goods represent various manufactured and treated wood products ready for sale. We have inventory on consignment at customer locations valued at $37.8 million as of December 25, 2021 and $20.8 million as of December 26, 2020. PROPERTY, PLANT, AND EQUIPMENT Property, plant, and equipment are stated at cost. Expenditures for renewals and betterments are capitalized, and maintenance and repairs are expensed as incurred. Amortization of assets held under finance leases is included in depreciation and amortized over the shorter of the estimated useful life of the asset or the lease term. Depreciation is computed principally by the straight-line method over the estimated useful lives of the assets as follows: Land improvements 5 to 15 years Buildings and improvements 10 to 32 years Machinery, equipment and office furniture 2 to 20 years LONG-LIVED ASSETS In accordance with ASC 360, Property, Plant, and Equipment GOODWILL Goodwill represents the excess of the purchase price over the fair value of net tangible and identifiable intangible assets of acquired businesses. Goodwill and intangible assets deemed to have indefinite lives are not amortized and are subject to impairment tests at least annually in accordance with ASC 350, Intangibles-Goodwill and Other. We review the carrying amounts of goodwill and other non-amortizable intangibles by reporting unit to determine if such assets may be impaired. As of the date of the most recent goodwill impairment test, which utilized data and assumptions as of September 25, 2021, all other reporting units had a fair value that was substantially in excess of the carrying value. In the fourth quarter of 2020, we recorded a non-cash goodwill impairment charge of $11.5 million related to the commercial reporting unit within our construction segment. We believe we have sufficient available information, both current and historical, to support our assumptions, judgments and estimates used in the goodwill impairment test. Our annual testing date for evaluating goodwill and indefinite-lived intangible asset impairment is the first day of our fourth fiscal quarter for all reporting units. Additionally, we review various triggering events throughout the year to determine whether a mid-year impairment analysis is required. FOREIGN CURRENCY Our foreign operations use the local currency as their functional currency. Accordingly, assets and liabilities are translated at exchange rates as of the balance sheet date and revenues and expenses are translated using weighted average rates, with translation adjustments included as a separate component of shareholders’ equity. Gains and losses arising from re-measuring foreign currency transactions are included in earnings. INSURANCE RESERVES Our wholly-owned insurance company, Ardellis Insurance Ltd.(“Ardellis”), was incorporated on April 21, 2001 under the laws of Bermuda and is licensed as a Class 3A insurer under the Insurance Act 1978 of Bermuda. On April 14, 2017 the U.S. Branch of Ardellis Insurance Ltd. was granted its Certificate of Authority to transact property and casualty insurance lines as an admitted carrier in the State of Michigan. We are primarily self-insured for certain employee health benefits, and have self-funded retentions for general liability, automobile liability, property and workers’ compensation. We are fully self-insured for environmental liabilities. The general liability, automobile liability, property, workers’ compensation, and certain environmental liabilities are managed through Ardellis; the related assets and liabilities of which are included in the consolidated financial statements as of December 25, 2021 and December 26, 2020. Our policy is to accrue amounts equal to actuarially determined or internally computed liabilities. The actuarial and internal valuations are based on historical information along with certain assumptions about future events. Changes in assumptions for such matters as legal actions, medical cost trends, and changes in claims experience could cause these estimates to change in the future. In addition to providing coverage for the Company, Ardellis provides Excess Loss Insurance (primarily medical and prescription drug) to certain third parties. As of December 25, 2021, Ardellis had 43 such contracts in place. Reserves associated with these contracts were $7.1 million at December 25, 2021, and $4.5 million at December 26, 2020, and are accrued based on third party actuarial valuations of the expected future liabilities. INCOME TAXES Deferred income tax assets and liabilities are computed for differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future. Such deferred income tax asset and liability computations are based on enacted tax laws and rates. Valuation allowances are established when necessary to reduce deferred income tax assets to the amounts expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred income tax assets and liabilities. REVENUE RECOGNITION Within the three primary segments (Retail, Industrial, and Construction) that the Company operates, there are a variety of written agreements governing the sale of our products and services. The transaction price is stated at the purchase order level, which includes shipping and/or freight costs and any applicable governmental authority taxes. The majority of our contracts have a single performance obligation concentrated around the delivery of goods to the carrier, Free On Board (FOB) shipping point. Therefore, revenue is recognized when this performance obligation is satisfied. Generally, title and control passes at the time of shipment. In certain circumstances, the customer takes title when the shipment arrives at the destination. However, our shipping process is typically completed the same day. Certain customer products that we provide require installation by the Company or a third party. Installation revenue is recognized upon completion. If we use a third party for installation, the party will act as an agent to us until completion of the installation. Installation revenue represents an immaterial share of our total net sales. We utilize rebates, credits, discounts and/or cash-based incentives with certain customers which are accounted for as variable consideration. We estimate these amounts based on the expected amount to be provided to customers and reduce revenues recognized. We believe that there will not be significant changes to our estimates of variable consideration. The allocation of these costs are applied at the invoice level and recognized in conjunction with revenue. Additionally, returns and refunds are estimated on a historical and expected basis which is a reduction of revenue recognized. Earnings on construction contracts are reflected in operations using over time accounting, under either cost to cost or units of delivery methods, depending on the nature of the business at individual operations, which is in accordance with ASC 606 as revenue is recognized when certain performance obligations are performed. Under over time accounting using the cost to cost method, revenues and related earnings on construction contracts are measured by the relationships of actual costs incurred related to the total estimated costs. Under over time accounting using the units of delivery method, revenues and related earnings on construction contracts are measured by the relationships of actual units produced related to the total number of units. Revisions in earnings estimates on the construction contracts are recorded in the accounting period in which the basis for such revisions becomes known. Projected losses on individual contracts are charged to operations in their entirety when such losses become apparent. Our construction contracts are generally entered into with a fixed price and completion of the projects can range from 6 The following table presents our net sales disaggregated by revenue source (in thousands): Year Ended December 25, December 26, December 28, 2021 vs. 2020 2020 vs. 2019 2021 2020 2019 % Change % Change FOB Shipping Point Revenue $ 8,512,012 $ 5,025,895 $ 4,272,583 69.4% 17.6% Construction Contract Revenue 124,122 128,103 143,426 (3.1)% (10.7)% Total Net Sales $ 8,636,134 $ 5,153,998 $ 4,416,009 67.6% 16.7% The Construction segment comprises the construction contract revenue shown above. Construction contract revenue is primarily made up of site-built and framing customers. The following table presents the balances of over time accounting accounts on December 25, 2021 and December 26, 2020 which are included in “Other current assets” and “Accrued liabilities: Other”, respectively (in thousands): December 25, December 26, 2021 2020 Cost and Earnings in Excess of Billings $ 5,602 $ 4,169 Billings in Excess of Cost and Earnings 10,744 11,530 SHIPPING AND HANDLING OF PRODUCT Shipping and handling costs that are charged to and reimbursed by the customer are recognized as revenue. Costs incurred related to the shipment and handling of products are classified in cost of goods sold. SHARE-BASED COMPENSATION We account for share-based awards in accordance with ASC Topic 718, Compensation – Stock Compensation EARNINGS PER SHARE Earnings per share (“EPS”) is computed using the two-class method. The two-class method determines EPS for each class of common stock and participating securities according to dividends and their respective participation rights in undistributed earnings. Participating securities include non-vested shares of restricted stock in which the participants have non-forfeitable rights to dividends during the performance period. EPS, basic and diluted, is calculated by dividing net earnings attributable to controlling interest, net of applicable taxes, by the weighted average number of shares of common stock outstanding for the period. The computation of EPS is as follows (in thousands): December 25, December 26, December 28, 2021 2020 2019 Numerator: Net earnings attributable to controlling interest $ 535,640 $ 246,778 $ 179,650 Adjustment for earnings allocated to non-vested restricted common stock (17,342) (6,903) (4,496) Net earnings for calculating EPS $ 518,298 $ 239,875 $ 175,154 Denominator: Weighted average shares outstanding 62,209 61,632 61,649 Adjustment for non-vested restricted common stock (2,014) (1,724) (1,543) Shares for calculating basic EPS 60,195 59,908 60,106 Effect of dilutive restricted common stock 159 20 24 Shares for calculating diluted EPS 60,354 59,928 60,130 Net earnings per share: Basic $ 8.61 $ 4.00 $ 2.91 Diluted $ 8.59 $ 4.00 $ 2.91 USE OF ACCOUNTING ESTIMATES The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. We believe our estimates to be reasonable; however, actual results could differ from these estimates. |
FAIR VALUE
FAIR VALUE | 12 Months Ended |
Dec. 25, 2021 | |
FAIR VALUE | B. FAIR VALUE We apply the provisions of ASC 820, Fair Value Measurements and Disclosures, December 25, 2021 December 26, 2020 Quoted Prices with Quoted Prices with Prices in Other Prices with Prices in Other Prices with Active Observable Unobservable Active Observable Unobservable Markets Inputs Inputs Markets Inputs Inputs (Level 1) (Level 2) (Level 3) Total (Level 1) (Level 2) (Level 3) Total Money market funds $ 19 $ 9,392 $ — $ 9,411 $ 19 $ 4,643 $ — $ 4,662 Fixed income funds 1,668 16,910 — 18,578 246 16,224 — 16,470 Treasury securities 342 — — 342 — — — — Equity securities 20,163 — — 20,163 12,602 — — 12,602 Alternative investments — — 3,785 3,785 — — 2,040 2,040 Mutual funds: Domestic stock funds 10,910 — — 10,910 8,088 — — 8,088 International stock funds 1,687 — — 1,687 1,440 — — 1,440 Target funds 23 — — 23 114 — — 114 Bond funds 146 — — 146 147 — — 147 Alternative funds 483 — — 483 482 — — 482 Total mutual funds 13,249 — — 13,249 10,271 — — 10,271 Total $ 35,441 $ 26,302 $ 3,785 $ 65,528 $ 23,138 $ 20,867 $ 2,040 $ 46,045 Assets at fair value $ 35,441 $ 26,302 $ 3,785 $ 65,528 $ 23,138 $ 20,867 $ 2,040 $ 46,045 From the assets measured at fair value as of December 25, 2021, listed in the table above, $9.0 million of money market funds are held in Cash and Cash Equivalents, $36.5 million of mutual funds, equity securities, and alternative investments are held in Investments, $0.7 million of money market and mutual funds are held in Other Assets for our deferred compensation plan, and $18.9 million of fixed income funds and $0.4 million of money market funds are held in Restricted Investments. We maintain money market, mutual funds, bonds, and/or stocks in our non-qualified deferred compensation plan and our wholly owned licensed captive insurance company, and assets held in financial institutions. These funds are valued at prices quoted in an active exchange market and are included in "Cash and Cash Equivalents", "Investments", "Other Assets", and “Restricted Investments.” We have elected not to apply the fair value option under ASC 825, Financial Instruments, During 2018, we purchased a private real estate income trust which is valued as a Level 3 asset and is categorized as an “Alternative Investment.” In accordance with our investment policy, our wholly-owned company, Ardellis Insurance Ltd. ("Ardellis"), maintains an investment portfolio, totaling $55.4 million as of December 25, 2021, consisting of domestic and international stocks, alternative investments, and fixed income bonds. Ardellis’ available for sale investment portfolio, including funds held with the State of Michigan, consists of the following (in thousands): December 25, 2021 December 26, 2020 Unrealized Unrealized Cost Gain Fair Value Cost Gain Fair Value Fixed Income $ 18,169 $ 409 $ 18,578 $ 15,325 $ 1,145 $ 16,470 Treasury Securities 342 — 342 — — — Equity 15,196 4,967 20,163 9,787 2,815 12,602 Mutual Funds 9,222 3,325 12,547 8,235 1,430 9,665 Alternative Investments 3,003 782 3,785 1,904 136 2,040 Total $ 45,932 $ 9,483 $ 55,415 $ 35,251 $ 5,526 $ 40,777 Our fixed income investments consist of a blend of US Government and Agency bonds and investment grade corporate bonds with varying maturities. Our equity investments consist of small, mid, and large cap growth and value funds, as well as international equity. Our alternative investments consist of the private real estate income trust which is valued as a Level 3 asset. The net pre-tax unrealized gain was $9.5 million for the year ended December 25, 2021. Carrying amounts above are recorded in the investments and restricted investments line items within the balance sheet as of December 25, 2021 and December 26, 2020. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 12 Months Ended |
Dec. 25, 2021 | |
BUSINESS COMBINATIONS | C. BUSINESS COMBINATIONS We completed the following business combinations in fiscal 2021 and 2020, which were accounted for using the purchase method (in thousands). Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment December 20, 2021 $20,854 $ 11,481 $ 9,373 Industrial Advantage Labels & Packaging, Inc. (Advantage) Based in Grand Rapids, Michigan, Advantage provides blank and customized labels, printers, label applicators and other packaging supplies. Key industries served by the company include beer and beverage; body armor; food production and processing; greenhouse and nursery; hobby and craft; manufacturing; and automotive. The company had trailing 12-month sales through November 2021 of approximately $19.8 million. November 22, 2021 $11,155 $ 9,106 $ 2,049 Other Ficus Pax Private Limited (Ficus) Headquartered in Bangalore, India, Ficus manufactures mixed-material cases and crates, nail-less plywood boxes, wooden pallets and other packaging products through 10 facilities located in major industrial markets throughout southern India. Ficus also owns a majority stake in Wadpack, a manufacturer of corrugated fiber board containers, corrugated pallets and display solutions. The company had trailing 12-month sales through August 2021 of approximately $39 million USD. November 1, 2021 $5,984 $ 5,681 $ 303 Other Boxpack Packaging (Boxpack) Based near Melbourne, Australia, Boxpack specializes in flexographic and lithographic cardboard packaging, using the latest CAD design and finishing techniques. Boxpack serves multiple industries, including food and beverage, confectionary, pharmaceutical, industrial and agricultural. The company had trailing 12-month sales through June 30, 2021, of $8.2 million AUD. September 27, 2021 $6,443 $ 4,039 $ 2,404 Construction Shelter Products, Inc. (Shelter) Based in Haleyville, Alabama, Shelter operates its distribution and logistics business from an 87,800 sq.-ft. warehouse that specializes in manufactured housing industry customers. Shelter’s facility is adjacent to a UFP manufacturing facility that supplies trusses to manufactured housing builders, and the proximity will enable additional operational synergies. The Company had sales of approximately $11.4 million in 2020. April 29, 2021 $10,129 $ 7,099 $ 3,030 Construction Endurable Building Products, LLC (Endurable) Based near Minneapolis, Minnesota, Endurable is a leading manufacturer of customized structural aluminum systems and products for exterior purposes, such as deck framing, balconies, sunshades, railings and stairs. The company’s trademarked alumiLAST aluminum deck and balcony systems are known for their low-maintenance design and ease of installation. Endurable serves general contractors in the multifamily market throughout the U.S. and had sales of approximately $15 million in 2020. April 19, 2021 $8,549 $ 1,526 $ 7,023 Retail Walnut Hollow Farm, Inc. Walnut Hollow Farm, located in Wisconsin, is engaged in the business of designing, manufacturing, selling, and distributing wood products, tools, and accessories for the craft and hobby, outdoor sportsman art, personalized home décor, and hardware categories, with sales of approximately $11.6 million in 2020. Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment April 12, 2021 $153,462 $ — $ 153,462 Retail Spartanburg Forest Products, Inc. Headquartered in Greer, South Carolina, Spartanburg Forest Products and its affiliates are a premier wood treating operation in the U.S., with approximately 150 employees and operations in five states. Its affiliates include Appalachian Forest Products, Innovative Design Industries, Blue Ridge Wood Preserving, Blue Ridge Wood Products, and Tidewater Wood Products and had combined sales of approximately $543.0 million in 2020. March 1, 2021 $4,724 $ 4,264 $ 460 Other J.C. Gilmore Pty Ltd (Gilmores) Founded in 1988 and operating from its distribution facility in Port Melbourne, Australia, Gilmores is a leading distributor in the industrial and construction industries of packaging tapes, stretch films, packaging equipment, strapping, construction protection products and other items, with 2020 sales of $15 million AUD ($10 million USD). December 28, 2020 $259,011 $ 79,917 $ 179,094 Retail/Industrial PalletOne, Inc. (PalletOne) Based in Bartow, Florida, PalletOne is a leading manufacturer of new pallets in the U.S., with 17 pallet manufacturing facilities in the southern and eastern regions of the country. The company also supplies other specialized industrial packaging, including custom bins and crates, and its Sunbelt Forest Products (Sunbelt) subsidiary operates five pressure-treating facilities in the Southeastern U.S. PalletOne and its affiliates had 2020 sales of November 10, 2020 $21,268 $ 11,923 $ 9,345 Construction Atlantic Prefab, Inc.; Exterior Designs, LLC; and Patriot Building Systems, LLC Based in Wilton, New Hampshire, Atlantic Prefab produces prefabricated steel wall panels and light gauge metal trusses. The company’s steel component and prefinished wall panel lines are new, value-added product additions for UFP Construction that help shorten project timelines. Exterior Designs is a leading installer of siding and exterior cladding such as fiber cement, ACM (aluminum composite material) panels, phenolic panels, and EIFS (exterior insulation and finish systems). The company is based in Londonderry, New Hampshire, and serves commercial and multi-family clients throughout the Northeast. Also based in Londonderry, Patriot Building Systems provides commercial and multi-family framing services in the Northeast and will focus on markets not currently served by companies of UFP Industries. The companies had combined annual sales of approximately $28 million. October 1, 2020 $5,936 $ 5,222 $ 714 Retail Fire Retardant Chemical Technologies, LLC (FRCT) Founded in 2014 and based in Matthews, North Carolina, FRCT’s business includes a research and development laboratory specializing in developing and testing a wide range of high-performance chemicals, including fire retardants and water repellants. The company had annual sales of approximately $6.4 million. Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment September 30, 2020 $3,475 $ 7,267 $ (1,369) Other Enwrap Logistic & Packaging S.r.l. (Enwrap) Enwrap is a newly formed company dedicated to the logistics and packaging business of its predecessor, Job Service S.p.A. Headquartered in Milan, Italy, Enwrap provides high-value, mixed material industrial packaging and logistics services through eight locations in Italy. These locations generated annual sales of approximately $14 million. July 14, 2020 $18,496 $ 12,458 $ 6,038 Industrial T&R Lumber Company (T&R) A manufacturer and distributor of a range of products used primarily by nurseries, including plastic growing containers, pots and trays; wooden stakes; trellises; tree boxes; shipping racks; and other nursery supplies based in Rancho Cucamonga, California. T&R had annual sales of approximately $31 million. The acquisition of T&R will allow us to leverage their expertise using our national manufacturing capacity to grow our agricultural product offerings and customer base across the country. March 13, 2020 $22,951 $ 20,262 $ 2,689 Construction Quest Design & Fabrication and Quest Architectural Millwork (Quest) A designer, fabricator, and installer of premium millwork and case goods for a variety of commercial uses. Quest had annual sales of approximately $22 million. The acquisition of Quest expands our architectural millwork capabilities and expertise in our commercial construction business unit, and will allow us to use our national manufacturing capacity to grow and diversify our sales to this end market The intangible assets for each acquisition were finalized and allocated to their respective identifiable intangible asset and goodwill accounts during 2021, except for our 2021 acquisitions. In aggregate, acquisitions made during 2021 and 2020, contributed approximately $1.2 billion in net sales and $50.5 million in operating profit during 2021. At December 25, 2021, the amounts assigned to major intangible classes for the business combinations mentioned above are as follows (in thousands): Non- Intangibles - Compete Customer Tax Agreements Patents Relationships Tradename Goodwill Deductible Advantage $ — $ — $ — $ — $ 11,481 * $ 11,481 Ficus — — — — 8,889 * 8,889 Boxpack — — 2,694 * — 1,978 * 4,672 Shelter — — 2,019 * — 2,020 * 4,039 Endurable — — 4,617 * — 2,482 * 7,099 Walnut Hollow — — 1,263 * — 263 * 1,526 Gilmores — — 1,938 * — 1,938 * 3,876 PalletOne — — 18,089 17,450 44,378 79,917 Atlantic Prefab 417 — 1,620 150 1,356 3,543 Exterior Designs 667 — 2,592 240 2,241 5,740 Patriot Building Systems 306 — 1,188 110 1,036 2,640 FRCT 1,090 — 1,960 210 1,962 5,222 Enwrap 790 1,293 558 474 3,705 6,820 T&R 600 — 5,000 2,600 4,258 12,458 Quest — — 10,318 1,903 8,041 20,262 *(estimate) The business combinations mentioned above were not significant to our operating results individually or in aggregate, and thus pro forma results for 2021 and 2020 are not presented. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Dec. 25, 2021 | |
GOODWILL AND OTHER INTANGIBLE ASSETS | D. GOODWILL AND OTHER INTANGIBLE ASSETS As described in Note M — Segment Reporting, our segment structure is based upon the markets we serve and goodwill has been allocated to the segments using a relative fair value approach. The changes in the net carrying amount of goodwill by reporting segment for the years ended December 25, 2021 and December 26, 2020, are as follows (in thousands): Retail Industrial Construction All Other Corporate Total Balance as of December 28, 2019 $ 58,098 $ 81,276 $ 82,911 $ 7,251 $ — $ 229,536 2020 Acquisitions 3,643 6,549 18,902 4,441 — 33,535 2020 Purchase Accounting Adjustments 202 2 — — — 204 2020 Impairments — — (11,485) — — (11,485) Foreign Exchange, Net — — 401 2 — 403 Balance as of December 26, 2020 $ 61,943 $ 87,827 $ 90,729 $ 11,694 $ — $ 252,193 2021 Acquisitions 13,115 43,006 4,502 13,880 — 74,503 2021 Purchase Accounting Adjustments (1,682) (2,292) (6,228) (478) — (10,680) Foreign Exchange, Net — — (3) (975) — (978) Balance as of December 25, 2021 $ 73,376 $ 128,541 $ 89,000 $ 24,121 $ — $ 315,038 As of the date of the most recent goodwill impairment test, which utilized data and assumptions as of September 25, 2021, all reporting units had fair values that were substantially in excess of their carrying values. In the prior year, we experienced significantly lower than expected operating results within our commercial reporting unit, which is within the Construction segment. It was determined that the carrying value of the reporting unit exceeded its fair value and we recorded a non-cash goodwill impairment charge of $11.5 million as of December 26, 2020, which represented the entire amount of the goodwill recorded within the reporting unit, as a result. Indefinite-lived intangible assets totaled $7.4 million as of December 25, 2021 and December 26, 2020 related to the commercial unit within the construction segment, the international unit within the all other segment, and the Deckorators unit within the retail segment. The following amounts were included in other amortizable intangible assets, net as of December 25, 2021 and December 26, 2020 (in thousands): 2021 2020 Accumulated Accumulated Assets Amortization Net Value Assets Amortization Net Value Non-compete agreements $ 8,490 $ (4,160) $ 4,330 $ 4,847 $ (2,728) $ 2,119 Customer relationships and other 101,158 (25,012) 76,146 80,343 (17,021) 63,322 Licensing agreements 4,589 (4,589) — 4,589 (4,589) — Patents 3,221 (1,137) 2,084 965 (509) 456 Tradename 30,392 (4,599) 25,793 8,019 (2,123) 5,896 Software 959 (295) 664 505 (46) 459 Total $ 148,809 $ (39,792) $ 109,017 $ 99,268 $ (27,016) $ 72,252 Amortization is computed principally by the straight-line method over the estimated useful lives of the intangible assets as follows: Weighted Average Intangible Asset Type Estimated Useful Life Amortization Period Non-compete agreements 3 to 15 years 7.8 years Customer relationship 5 to 15 years 9.7 years Licensing agreements 10 years 10 years Patents 10 years 10 years Tradename (amortizable) 5 to 15 years 11 years Software 3 to 5 years 3.5 years Amortization expense of intangibles totaled $13.9 million, $8.7 million and $6.3 million in 2021, 2020 and 2019, respectively. The estimated amortization expense for intangibles for each of the five succeeding fiscal years is as follows (in thousands): 2022 $ 13,734 2023 12,878 2024 12,409 2025 11,901 2026 10,944 Thereafter 47,151 Total $ 109,017 |
DEBT
DEBT | 12 Months Ended |
Dec. 25, 2021 | |
DEBT | E. DEBT On November 1, 2018, we entered into a five-year, $375 million unsecured revolving credit facility with a syndicate of U.S. banks led by JPMorgan Chase Bank, N.A., as administrative agent and Wells Fargo Bank, N.A., as syndication agent. The facilities include up to $40 million which may be advanced in the form of letters of credit, and up to $100 million (U.S. dollar equivalent) which may be advanced in Canadian dollars, Australian dollars, pounds Sterling, Euros and such other foreign currencies as may subsequently be agreed upon among the parties. Cash borrowings are charged interest based upon an index selected by the Company, plus a margin that is determined based upon the index selected and upon the financial performance of the Company and certain of its subsidiaries. We are charged a facility fee on the entire amount of the lending commitment, at a per annum rate ranging from 12.5 to 30.0 basis points, also determined based upon our performance. The facility fee is payable quarterly in arrears. On February 28, 2021, our credit agreement was amended to increase the availability from $375 million to $550 million by exercising the accordion feature in the original agreement. On August 10, 2020, we entered into an unsecured Note Purchase Agreement under which we issued our 3.04% Series 2020 E Senior Notes, due August 10, 2032, in the aggregate principal amount of $50 million, our 3.08% Series 2020 F Senior Notes, due August 10, 2033, in the aggregate principal amount of $50 million, and our 3.15% Series 2020 G Senior Notes, due August 10, 2035, in the aggregate principal amount of $50 million. Proceeds from the sale of the Series E, F and G Senior Notes were used to fund the acquisition of PalletOne in January 2021. Outstanding letters of credit extended on our behalf on December 25, 2021 and December 26, 2020 aggregated $54.2 million and $41.0 million; respectively, which includes approximately $7.1 million related to industrial development revenue bonds. We had an outstanding balance of $7.8 million and $4.7 million, which includes foreign subsidiary borrowings, on the revolver at December 25, 2021, and December 26, 2020, respectively. After considering letters of credit, we had $535.1 million and $363.2 million in remaining availability on the revolver on December 25, 2021, and December 26, 2020, respectively. Letters of credit have one-year terms, include an automatic renewal clause, and are charged an annual interest rate of 112.5 basis points, based upon our financial performance. Long-term debt obligations are summarized as follows on December 25, 2021 and December 26, 2020 (amounts in thousands): 2021 2020 Series 2020 Senior Notes E, due on August 10, 2032, interest payable semi-annually at 3.04% $ 50,000 $ 50,000 Series 2020 Senior Notes F, due on August 10, 2033, interest payable semi-annually at 3.08% 50,000 50,000 Series 2020 Senior Notes G, due on August 10, 2035, interest payable semi-annually at 3.15% 50,000 50,000 Series 2018 Senior Notes C, due on June 14, 2028, interest payable semi-annually at 4.20% 40,000 40,000 Series 2018 Senior Notes D, due on June 14, 2030, interest payable semi-annually at 4.27% 35,000 35,000 Series 2012 Senior Notes Tranche A, due on December 17, 2022, interest payable semi-annually at 3.89% 35,000 35,000 Series 2012 Senior Notes Tranche B, due on December 17, 2024, interest payable semi-annually at 3.98% 40,000 40,000 Foreign subsidiary borrowings under revolving credit facility, due on November 1, 2023, interest payable monthly at a floating rate (1.06% on December 25, 2021 and 1.125% on December 26, 2020) 7,818 4,715 Series 1999 Industrial Development Revenue Bonds, due on August 1, 2029, interest payable monthly at a floating rate (0.14% on December 25, 2021 and 0.20% on December 26, 2020) 3,300 3,300 Series 2002 Industrial Development Revenue Bonds, due on December 1, 2022, interest payable monthly at a floating rate (0.18% on December 25, 2021 and 0.22% on December 26, 2020) 3,700 3,700 Finance leases and foreign affiliate debt 5,544 138 320,362 311,853 Less current portion (42,683) (100) Less debt issuance costs (112) (146) Long-term portion $ 277,567 $ 311,607 Financial covenants on the unsecured revolving credit facility and unsecured notes include minimum interest coverage tests and a maximum leverage ratio. The agreements also restrict the amount of additional indebtedness we may incur and the amount of assets which may be sold among other industry standard covenants. We were within all of our lending requirements on December 25, 2021 and December 26, 2020. On December 25, 2021, the principal maturities of long-term debt and finance lease obligations are as follows (in thousands): 2022 $ 42,683 2023 8,863 2024 40,214 2025 — 2026 302 Thereafter 228,300 Total $ 320,362 On December 25, 2021, the estimated fair value of our long-term debt, including the current portion, was $334.6 million, which was $14.3 million more than the carrying value. The estimated fair value is based on rates anticipated to be available to us for debt with similar terms and maturities. We consider the valuations of our long-term debt, including the current portion, to be Level 2 liabilities which rely on quoted prices in markets that are not active or observable inputs over the full term of the liability. |
LEASES
LEASES | 12 Months Ended |
Dec. 25, 2021 | |
LEASES | F. LEASES We determine if an arrangement is a lease at inception. We lease certain real estate under non-cancelable operating lease agreements with typical original terms ranging from one renewal five equipment and aircraft operating one We believe finance leases have no significant impact to our consolidated balance sheet and statement of earnings as of December 25, 2021. As of December 25, 2021, we have no leases that have not yet commenced that would significantly impact the rights, obligations, and our financial position. There were no lease transactions between related parties as of December 25, 2021. The rates implicit in our leases are primarily not readily available. To determine the discount rate used to present value the lease payments, we utilize the 7-year treasury note rate plus a blend of rate spreads associated with our revolver and 10-12-year senior notes along with estimated spreads based on current market conditions. We feel the determined rate is a reasonable representation of our lease population. Lease costs under non-cancelable operating leases on December 25, 2021 and December 26, 2020 are as follows (in thousands): 2021 2020 Operating lease cost $ 30,054 $ 21,594 Short-term lease cost 5,264 2,863 Variable lease cost 4,761 3,985 Sublease income (3,109) (1,013) Total lease cost $ 36,970 $ 27,429 The amounts paid for operating leases, included in the measurement of lease liabilities, were $27.4 million in the year ended December 25, 2021 and $20.0 million in the year ended December 26, 2020. In addition, right-of-use assets obtained in exchange for new operating lease liabilities were approximately $46.7 million and $12.8 million, respectively, for the years ended December 25, 2021 and December 29, 2019. Future minimum payments under non-cancelable operating leases on December 25, 2021 are as follows (in thousands): Operating Leases 2022 $ 26,378 2023 21,040 2024 15,842 2025 13,164 2026 11,140 Thereafter 27,123 Total minimum lease payments $ 114,687 Less present value discount (14,900) Total lease liability $ 99,787 Rent expense was approximately $40.1 million, $28.4 million, and $29.9 million in 2021, 2020, and 2019, respectively. As of December 25, 2021 and December 26, 2020, the weighted average lease term for operating leases was 7.33 years and 6.84 years, respectively. Similarly, the weighted average discount rate for operating leases was 2.87% and 3.12%, respectively. |
DEFERRED COMPENSATION
DEFERRED COMPENSATION | 12 Months Ended |
Dec. 25, 2021 | |
DEFERRED COMPENSATION | G. DEFERRED COMPENSATION We have a program whereby certain executives irrevocably elected to defer receipt of certain compensation in 1985 through 1988. Deferred compensation payments to these executives commenced upon their retirement. The remaining deferred compensation liability on December 25, 2021 and December 26, 2020 was $0.2 million. We purchased life insurance on these executives, payable to us in amounts which, if assumptions made as to mortality experience, policy dividends, and other factors are realized, will accumulate cash values adequate to reimburse us for all payments for insurance and deferred compensation obligations. The investment in life insurance contracts as of December 25, 2021 and December 26, 2020, was $12.7 million and $13.3 million, respectively, and is recorded in “Other Assets” on the Consolidated Balance Sheet. We also maintain a non-qualified deferred compensation plan (the "Plan") for the benefit of senior management employees who may elect to defer a portion of their annual bonus payments and salaries. The Plan provides investment options similar to our 401(k) plan, including our stock. The investment in our stock is funded by the issuance of shares to a Rabbi trust, and may only be distributed in kind. Assets held by the Plan totaled approximately |
COMMON STOCK
COMMON STOCK | 12 Months Ended |
Dec. 25, 2021 | |
COMMON STOCK | H. COMMON STOCK We maintain and administer our shareholder approved Employee Stock Purchase Plan ("Stock Purchase Plan"). The Stock Purchase Plan allows eligible employees to purchase shares of our stock at a share price equal to 85% of fair market value on the purchase date. We have expensed the fair value of the compensation associated with these awards, which approximates the discount. The amount of expense is nominal. We maintain and administer our shareholder approved Directors’ Retainer Stock Plan ("Stock Retainer Plan"). The Stock Retainer Plan allows eligible members of the Board of Directors to defer the cash portion of their retainer and committee fees and receive shares of our stock at the time of or following their retirement, disability or death. The number of shares to be received is equal to the amount of the cash portion of their retainer and committee fees deferred multiplied by 110%, divided by the fair market value of a share of our stock at the time of deferral. The number of units is increased by the amount of dividends paid on our common stock. The units are immediately vested as of the grant date, since they are considered payment for services rendered quarterly. We recognized expense for this plan of $1.7 million in 2021, and $1.8 million in both 2020 and 2019. Effective January 1, 2017, this plan was amended to allow directors to defer payment of the annual retainer paid in the form of our common stock. The number of shares to be received for their portion of the retainer that is deferred is equal to the amount of shares plus the number of shares attributable to cash dividends payable on those deferred shares. Finally, we maintain and administer our shareholder approved Long Term Stock Incentive Plan (the "LTSIP”). The LTSIP provides for the grant of stock options, stock appreciation rights, restricted stock, performance shares and other stock-based awards. Executive Stock Match awards are granted in the year following the requisite service period, which begins at the beginning of each fiscal year, and fully vest on the fifth anniversary of the grant date. There is no unrecognized compensation expense remaining for stock options in 2021, 2020, and 2019. Below is a summary of common stock issuances for 2021 and 2020: December 25, 2021 Share Issuance Activity Common Stock Average Share Price Shares issued under the employee stock purchase plan 33 $ 75.18 Shares issued under the employee stock gift program 2 78.37 Shares issued under the director retainer stock program 5 72.66 Shares issued under the bonus plan 487 59.56 Shares issued under the executive stock match plan 77 60.24 Forfeitures (24) Total shares issued under stock grant programs 547 $ 59.84 Shares issued under the deferred compensation plans 117 $ 64.14 December 26, 2020 Share Issuance Activity Common Stock Average Share Price Shares issued under the employee stock purchase plan 35 $ 46.71 Shares issued under the employee stock gift program 3 48.10 Shares issued under the director retainer stock program 46 25.31 Shares issued under the bonus plan 271 47.52 Shares issued under the executive stock grants plan 79 47.60 Forfeitures (9) Total shares issued under stock grant programs 390 $ 44.96 Shares issued under the deferred compensation plans 128 $ 53.79 A summary of the nonvested restricted stock awards granted under the LTSIP is as follows: Weighted- Unrecognized Average Weighted- Compensation Period to Restricted Average Grant Expense Recognize Awards Date Fair Value (in millions) Expense Nonvested at December 29, 2018 1,160,079 $ 23.32 $ 7.6 1.12 years Granted 318,496 32.60 Vested (224,894) 23.42 Forfeited (50,786) 24.18 Nonvested at December 28, 2019 1,202,895 $ 29.68 $ 7.9 0.86 years Granted 348,016 47.60 Vested (177,790) 22.69 Forfeited (9,327) 33.46 Nonvested at December 26, 2020 1,363,794 $ 35.14 $ 6.3 0.62 years Granted 560,516 60.24 Vested (274,271) 26.50 Forfeited (23,007) 39.68 Nonvested at December 25, 2021 1,627,032 $ 45.23 $ 6.6 0.43 years Under the Stock Purchase Plan and LTSIP, we recognized share-based compensation expense of $11.2 million, $4.0 million, and $4.0 million and the related total income tax benefits of $2.7 million, $1.0 million, and $0.8 million in 2021, 2020 and 2019, respectively. For the year-ended December 25, 2021, we determined that $60 million of share-based bonus awards, representing 751,978 shares, will be awarded to qualified employees as it relates to the company’s 2021 performance and granted in 2022. Awards granted generally vest after a period of three five In 2021, 2020 and 2019, cash received from share issuances under our plans was $2.1 million, $1.4 million and $1.1 million, respectively. Effective February 15, 2022, our Board authorized an additional 1.5 million shares to be repurchased under our existing share repurchase program. We repurchased no |
RETIREMENT PLANS
RETIREMENT PLANS | 12 Months Ended |
Dec. 25, 2021 | |
RETIREMENT PLANS | I. RETIREMENT PLANS We have a profit sharing and 401(k) plan for the benefit of substantially all of our employees, excluding the employees of certain wholly-owned subsidiaries. Amounts contributed to the plan are made at the discretion of the Board of Directors. We matched 25%of employee contributions in 2021, 2020, and 2019, on a discretionary basis, totaling $9.2 million, $7.2 million, and $6.5 million respectively. Included within the total employee matched contribution was an additional matched contribution for hourly employees of $3.7 million, $2.9 million and $2.6 million for 2021, 2020 and 2019, respectively, based on meeting certain performance goals during those years. The basis for matching contributions may not exceed the lesser of 6% of the employee’s annual compensation or the IRS limitation. We maintain a retirement plan for certain officers of the Company (who have at least 20 years of service with the Company and at least 10 years of service as an officer) whereby we will pay, upon retirement, certain benefits including health care benefits, for a specified period of time if certain eligibility requirements are met. Approximately $13.1 million and $11.8 million are accrued in “Other Liabilities” for this plan on December 25, 2021 and December 26, 2020, respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 25, 2021 | |
INCOME TAXES | J. INCOME TAXES Income tax provisions for the years ended December 25, 2021, December 26, 2020, and December 28, 2019 are summarized as follows (in thousands): 2021 2020 2019 Currently Payable: Federal $ 115,077 $ 59,055 $ 35,267 State and local 30,441 16,709 10,071 Foreign 21,095 8,601 5,834 166,613 84,365 51,172 Net Deferred: Federal 6,242 2,292 6,895 State and local 118 (1,518) 805 Foreign 999 1,962 (602) 7,359 2,736 7,098 Total income tax expense $ 173,972 $ 87,101 $ 58,270 The components of earnings before income taxes consist of the following: 2021 2020 2019 U.S. $ 645,316 $ 308,167 $ 220,532 Foreign 81,020 32,816 20,142 Total $ 726,336 $ 340,983 $ 240,674 The effective income tax rates are different from the statutory federal income tax rates for the following reasons: 2021 2020 2019 Statutory federal income tax rate 21.0 % 21.0 % 21.0 % State and local taxes (net of federal benefits) 3.3 3.4 3.9 Effect of noncontrolling owned interest in earnings of partnerships n/a n/a (0.1) Tax credits, including foreign tax credit (0.6) (0.9) (1.3) Change in uncertain tax positions reserve (0.1) (0.1) (0.1) Other permanent differences (0.4) 0.6 0.5 Other, net 0.7 1.5 0.3 Effective income tax rate 23.9 % 25.5 % 24.2 % Temporary differences which give rise to deferred income tax assets and (liabilities) on December 25, 2021 and December 26, 2020 are as follows (in thousands): 2021 2020 Employee benefits $ 27,543 $ 23,236 Lease liability 24,627 19,376 Net operating loss carryforwards 5,502 6,463 Foreign subsidiary capital loss carryforward 527 527 Other tax credits 450 391 Inventory 2,007 1,633 Reserves on receivables 1,446 1,630 Accrued expenses 5,735 3,071 Other, net 5,233 8,483 Gross deferred income tax assets 73,070 64,810 Valuation allowance (3,952) (4,044) Deferred income tax assets 69,118 60,766 Depreciation (64,387) (41,403) Intangibles (38,367) (22,840) Right of use assets (23,866) (19,376) Deferred income tax liabilities (126,620) (83,619) Net deferred income tax liability $ (57,502) $ (22,853) As of December 25, 2021, we had federal, state and foreign net operating loss carryforwards of $5.5 million and state tax credit carryforwards of $0.5 million, which will expire at various dates. The NOL and credit carryforwards expire as follows: Net Operating Losses Tax Credits U.S. State Foreign U.S. State 2022 - 2026 $ — $ — $ 536 $ — $ — 2027 - 2031 — 436 1,424 — — 2032 - 2036 — 670 106 — 450 2037 - 2041 790 808 — — — Thereafter — 438 294 — — Total $ 790 $ 2,352 $ 2,360 $ — $ 450 As of December 25, 2021, we believe that it is more likely than not that the benefit from certain state and foreign NOL carryforwards will not be realized. In recognition of this risk, we have provided a valuation allowance of $3.4 million against the various NOLs. Furthermore, there is a valuation allowance of $0.5 million against a capital loss carryforward we have for a wholly-owned subsidiary, UFP Canada, Inc. Based upon the business activity and the nature of the assets of this subsidiary, our ability to realize a future benefit from this carryforward is doubtful. The capital loss has an unlimited carryforward and therefore will not expire unless there is a change in control of the subsidiary. |
ACCOUNTING FOR UNCERTAINTY IN I
ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES | 12 Months Ended |
Dec. 25, 2021 | |
ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES | K. ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ASC 740, Income Taxes A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): 2021 2020 2019 Gross unrecognized tax benefits beginning of year $ 3,892 $ 4,166 $ 4,378 Increase in tax positions for prior years 437 (82) (129) Increase in tax positions for current year 839 730 768 Lapse in statute of limitations (1,565) (922) (851) Gross unrecognized tax benefits end of year $ 3,603 $ 3,892 $ 4,166 Our effective tax rate would have been affected by the unrecognized tax benefits had this amount been recognized as a reduction to income tax expense. We recognized interest and penalties for unrecognized tax benefits in our provision for income taxes. The liability for unrecognized tax benefits included accrued interest and penalties of $0.5 million for each of the years December 25, 2021, December 26, 2020, and December 28, 2019. We file income tax returns in the United States and in various state, local and foreign jurisdictions. The federal and a majority of state and foreign jurisdictions are no longer subject to income tax examinations for years before 2017. A number of routine state and local examinations are currently ongoing. Due to the potential for resolution of state examinations, the expiration of various statutes of limitation, and new positions that may be taken, it is reasonably possible that the amount of unrecognized tax benefits in the next twelve months $1.1 million. |
COMMITMENTS, CONTINGENCIES, AND
COMMITMENTS, CONTINGENCIES, AND GUARANTEES | 12 Months Ended |
Dec. 25, 2021 | |
COMMITMENTS, CONTINGENCIES, AND GUARANTEES | L. COMMITMENTS, CONTINGENCIES, AND GUARANTEES We are self-insured for environmental impairment liability, including certain liabilities which are insured through a wholly owned subsidiary, Ardellis Insurance Ltd., a licensed captive insurance company. In addition, on December 25, 2021, we were parties either as plaintiff or defendant to a number of lawsuits and claims arising through the normal course of our business. In the opinion of management, our consolidated financial statements will not be materially affected by the outcome of these contingencies and claims. On December 25, 2021, we had outstanding purchase commitments on commenced capital projects of approximately $52.7 million. We provide a variety of warranties for products we manufacture. Historically, warranty claims have not been material. We distribute products manufactured by other companies, some of which are no longer in business. While we do not warrant these products, we have received claims as a distributor of these products when the manufacturer no longer exists or has the ability to pay. Historically, these costs have not had a material effect on our consolidated financial statements. As part of our operations, we supply building materials and labor to site-built construction projects or we jointly bid on contracts with framing companies for such projects. In some instances we are required to post payment and performance bonds to insure the project owner that the products and installation services are completed in accordance with our contractual obligations. We have agreed to indemnify the surety for claims made against the bonds. As of December 25, 2021, we had approximately $31.5 million in outstanding payment and performance bonds for open projects. We had approximately $10.7 million in payment and performance bonds outstanding for completed projects which are still under warranty. On December 25, 2021, we had outstanding letters of credit totaling $54.2 million, primarily related to certain insurance contracts and industrial development revenue bonds described further below. In lieu of cash deposits, we provide irrevocable letters of credit in favor of our insurers and other lenders to guarantee our performance under certain contracts. We currently have irrevocable letters of credit outstanding totaling approximately $47.1 million for these types of arrangements. We have reserves recorded on our balance sheet, in accrued liabilities, that reflect our expected future liabilities under these arrangements. We are required to provide irrevocable letters of credit in favor of the bond trustees for all industrial development revenue bonds that have been issued. These letters of credit guarantee principal and interest payments to the bondholders. We currently have irrevocable letters of credit outstanding totaling approximately $7.1 million related to our outstanding industrial development revenue bonds. These letters of credit have varying terms but may be renewed at the option of the issuing banks. Certain wholly owned domestic subsidiaries have guaranteed the indebtedness of UFP Industries, Inc. in certain debt agreements, including the Series 2012, 2018 and 2020 Senior Notes and our revolving credit facility. The maximum exposure of these guarantees is limited to the indebtedness outstanding under these debt arrangements and this exposure will expire concurrent with the expiration of the debt agreements. We did not enter into any new guarantee arrangements during 2021 which would require us to recognize a liability on our balance sheet. |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 25, 2021 | |
SEGMENT REPORTING | M. SEGMENT REPORTING ASC 280, Segment Reporting (“ASC 280”), defines operating segments as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. We operate manufacturing, treating and distribution facilities internationally, but primarily in the United States. Our business segments consist of UFP Retail Solutions, UFP Industrial and UFP Construction and align with the end markets we serve. This segment structure allows for a specialized and consistent sales approach among Company operations, efficient use of resources and capital, and quicker introduction of new products and services. We manage the operations of our individual locations primarily through a market-centered reporting structure under which each location is included in a business unit and business units are included in our Retail, Industrial, and Construction segments. Two customers, The Home Depot and Lowes, accounted for approximately 16% and 10%, respectively, of our total net sales in fiscal 2021. These customers accounted for approximately 24% and 4%, respectively, of our total net sales in fiscal 2020 and 19% and 4%, respectively, in 2019. The exception to this market-centered reporting and management structure is our International segment, which comprises our Mexico, Canada, Europe, India, and Australia operations and sales and buying offices in other parts of the world and our Ardellis segment, which represents our wholly owned fully licensed captive insurance company based in Bermuda. Our International and Ardellis segments do not meet the quantitative thresholds in order to be separately reported and accordingly, the International and Ardellis segments have been aggregated in the “All Other” segment for reporting purposes. “Corporate” includes purchasing, transportation and administrative functions that serve our operating segments. Operating results of Corporate primarily consist net sales to external customers initiated by UFP Purchasing and UFP Transportation and over (under) allocated costs. The operating results of UFP Real Estate, Inc., which owns and leases real estate, and UFP Transportation Ltd., which owns, leases and operates transportation equipment, are also included in the Corporate column. Inter-company lease and service charges are assessed to our operating segments for the use of these assets and services at fair market value rates. Total assets in the Corporate column include unallocated cash and cash equivalents, certain prepaid assets, certain property, equipment and other assets pertaining to the centralized activities of Corporate, UFP Real Estate, Inc., UFP Transportation Ltd, and UFP Purchasing. 2021 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 3,418,337 $ 2,148,142 $ 2,698,434 $ 362,473 $ 8,748 $ 8,636,134 Intersegment net sales 214,400 85,954 82,026 455,874 (838,254) — Interest expense 98 12 1 184 13,519 13,814 Amortization expense 2,780 6,093 3,525 1,336 214 13,948 Depreciation expense 16,955 26,219 13,151 2,094 25,765 84,184 Segment earnings before income taxes 124,790 264,958 264,238 80,905 (8,555) 726,336 Segment assets 844,189 741,672 736,157 343,363 579,890 3,245,271 Capital expenditures 40,408 42,652 22,344 5,140 40,622 151,166 2020 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 2,167,122 $ 1,072,117 $ 1,695,684 $ 217,094 $ 1,981 $ 5,153,998 Intersegment net sales 142,839 45,217 68,294 283,689 (540,039) — Interest expense 2 22 — 90 9,197 9,311 Amortization expense 1,482 4,159 2,152 877 46 8,716 Depreciation expense 11,675 15,163 12,123 1,619 23,384 63,964 Segment earnings before income taxes 155,364 83,430 69,092 38,333 (5,236) 340,983 Segment assets 510,464 416,487 510,972 196,856 770,112 2,404,891 Capital expenditures 16,277 21,141 16,902 2,258 32,604 89,182 2019 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 1,498,710 $ 1,085,635 $ 1,637,156 $ 193,785 $ 723 $ 4,416,009 Intersegment net sales 135,705 45,010 56,116 200,426 (437,257) — Interest expense — 108 16 97 8,479 8,700 Amortization expense 1,380 3,034 1,164 747 — 6,325 Depreciation expense 11,041 14,340 11,465 1,532 22,116 60,494 Segment earnings before income taxes 61,708 82,913 82,407 22,025 (8,379) 240,674 Segment assets 402,221 377,329 522,638 136,990 450,299 1,889,477 Capital expenditures 15,502 20,134 16,097 2,150 31,050 84,933 Information regarding principal geographic areas was as follows (in thousands): 2021 2020 2019 Long-Lived Long-Lived Long-Lived Tangible Tangible Tangible Net Sales Assets Net Sales Assets Net Sales Assets United States $ 8,395,737 $ 679,757 $ 5,022,014 $ 478,325 $ 4,308,618 $ 469,605 Foreign 240,397 54,873 131,984 36,380 107,391 36,878 Total $ 8,636,134 $ 734,630 $ 5,153,998 $ 514,705 $ 4,416,009 $ 506,483 The following table presents, for the periods indicated, our disaggregated net sales (in thousands) by business unit for each segment and our percentage of value-added and commodity-based sales to total net sales by segment. Year Ended December 25, December 26, December 28, 2021 2020 2019 Retail Deckorators $ 248,765 $ 219,930 $ 185,221 Prowood 1,349,901 1,215,201 786,720 Outdoor Essentials 392,826 299,684 227,767 Sunbelt 773,909 — — UFP Edge 148,927 114,987 95,608 Handprint 101,090 88,351 52,553 Retail Building Materials 395,894 225,253 149,153 Other 7,025 3,716 1,688 Total Retail $ 3,418,337 $ 2,167,122 $ 1,498,710 Industrial North Industrial $ 615,092 $ 385,132 $ 376,515 Southeast Industrial 395,069 229,316 255,419 Southwest Industrial 400,515 238,643 241,774 West Industrial 363,300 206,022 197,686 PalletOne 355,347 — — Protective Packaging 18,819 13,004 14,241 Total Industrial $ 2,148,142 $ 1,072,117 $ 1,085,635 Construction Factory Built $ 1,098,905 $ 597,017 $ 479,927 Site Built 1,190,393 725,899 708,767 Commercial 259,360 221,988 290,785 Concrete Forming 149,776 150,780 157,677 Total Construction $ 2,698,434 $ 1,695,684 $ 1,637,156 All Other $ 362,473 $ 217,094 $ 193,785 Corporate $ 8,748 $ 1,981 $ 723 Total Net Sales $ 8,636,134 $ 5,153,998 $ 4,416,009 Value-Added Retail 43.2% 53.8% 57.8% Industrial 67.7% 64.7% 66.2% Construction 73.0% 76.3% 81.4% All Other and Corporate 74.9% 75.6% 75.8% Total 59.7% 64.3% 69.3% Commodity-Based Retail 56.8% 46.2% 42.2% Industrial 32.3% 35.3% 33.8% Construction 27.0% 23.7% 18.6% All Other and Corporate 25.1% 24.4% 24.2% Total 40.3% 35.7% 30.7% |
QUARTERLY FINANCIAL INFORMATION
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 12 Months Ended |
Dec. 25, 2021 | |
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | N. QUARTERLY FINANCIAL INFORMATION (UNAUDITED) The following table sets forth selected financial information for all of the quarters, consisting of 13 weeks during the years ended December 25, 2021 and December 26, 2020, respectively, (in thousands, except per share data): First Second Third Fourth 2021 2020 2021 2020 2021 2020 2021 2020 Net sales $ 1,825,004 $ 1,032,062 $ 2,700,541 $ 1,242,001 $ 2,093,784 $ 1,486,227 $ 2,016,805 $ 1,393,708 Gross profit 286,554 167,236 421,294 204,931 327,555 241,074 371,564 187,055 Net earnings 104,251 40,570 175,360 69,694 125,747 78,861 147,006 64,757 Net earnings attributable to controlling interest 103,311 40,159 173,382 66,463 121,041 77,204 137,906 62,952 Basic earnings per share 1.67 0.65 2.79 1.08 1.94 1.25 2.21 1.02 Diluted earnings per share 1.67 0.65 2.78 1.08 1.94 1.25 2.21 1.02 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 25, 2021 | |
SUBSEQUENT EVENTS | O. SUBSEQUENT EVENTS On December 27, 2021, we closed on an agreement to purchase 100 percent of the equity of Ultra Aluminum Manufacturing, Inc. (Ultra) located in Howell, Michigan for approximately $26.8 million. Ultra designs and produces an extensive selection of ornamental aluminum fence and railing products for contractors, landscapers, fence dealers and wholesalers. At this time the net tangible assets and intangible assets acquired cannot be disclosed as these are pending final valuations. Initial estimates of Ultra‘s identifiable intangibles, goodwill, and deferred taxes have been made, however, the amounts will be finalized in 2022. Effective February 15, 2022, our Board authorized an additional 1.5 million shares to be repurchased under our existing share repurchase program. Following the most recent authorization, the cumulative total authorized shares available for repurchase is approximately 2.6 million shares through the period ending February 3, 2023. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 25, 2021 | |
PRINCIPLES OF CONSOLIDATION | PRINCIPLES OF CONSOLIDATION The consolidated financial statements include our accounts and those of our wholly-owned and majority-owned subsidiaries and partnerships. In addition, we consolidate any entity which we own 50% or more and exercise control. Intercompany transactions and balances have been eliminated. |
NONCONTROLLING INTEREST IN SUBSIDIARIES | NONCONTROLLING INTEREST IN SUBSIDIARIES Noncontrolling interest in results of operations of consolidated subsidiaries represents the noncontrolling shareholders’ share of the income or loss of various consolidated subsidiaries. The noncontrolling interest reflects the original investment by these noncontrolling shareholders combined with their proportional share of the earnings or losses of these subsidiaries, net of distributions paid. |
FISCAL YEAR | FISCAL YEAR Our fiscal year is a 52 or 53 week period, ending on the last Saturday of December. Unless otherwise stated, references to 2021, 2020, and 2019 relate to the fiscal years ended December 25, 2021, December 26, 2020, and December 28, 2019, respectively. Fiscal years 2021, 2020, and 2019 were comprised of 52 weeks. |
FAIR VALUE DISCLOSURES OF FINANCIAL INSTRUMENTS | FAIR VALUE DISCLOSURES OF FINANCIAL INSTRUMENTS We follow ASC Topic 820, Fair Value Measurements and Disclosures ● Level 1 — Financial instruments with unadjusted, quoted prices listed on active market exchanges. ● Level 2 — Financial instruments lacking unadjusted, quoted prices from active market exchanges, including over-the-counter traded financial instruments. Financial instrument values are determined using prices for recently traded financial instruments with similar underlying terms and direct or indirect observational inputs, such as interest rates and yield curves at commonly quoted intervals. ● Level 3 — Financial instruments not actively traded on a market exchange and there is little, if any, market activity. Values are determined using significant unobservable inputs or valuation techniques. Our investment portfolio includes restricted investments within our wholly-owned subsidiary, Ardellis Insurance Ltd. There are $19.3 million of restricted investments recorded as of December 25, 2021. |
CASH AND CASH EQUIVALENTS | CASH AND CASH EQUIVALENTS Cash and cash equivalents consist of cash and highly liquid investments purchased with an original maturity of three months or less. |
INVESTMENTS | INVESTMENTS Investments are deemed to be "available for sale" and are, accordingly, carried at fair value being the quoted market value. |
ACCOUNTS RECEIVABLE AND ALLOWANCES | ACCOUNTS RECEIVABLE AND ALLOWANCES We perform periodic credit evaluations of our customers and generally do not require collateral. Accounts receivable are due under a range of terms we offer to our customers. Discounts are offered, in most instances, as an incentive for early payment. We base our allowances related to receivables on historical credit and collections experience, reasonable and supportable forecasts, and the specific identification of other potential problems, including the general economic climate. Actual collections can differ, requiring adjustments to the allowances. Individual accounts receivable balances are evaluated on a monthly basis, and those balances considered uncollectible are charged to the allowance. The following table presents the activity in our accounts receivable allowances (in thousands): Additions Charged to Beginning Costs and Ending Balance Expenses Deductions* Balance Year Ended December 25, 2021: Allowance for possible losses on accounts receivable $ 4,629 $ 66,883 $ (66,427) $ 5,085 Year Ended December 26, 2020: Allowance for possible losses on accounts receivable $ 4,440 $ 48,954 $ (48,765) $ 4,629 Year Ended December 28, 2019: Allowance for possible losses on accounts receivable $ 2,601 $ 39,481 $ (37,642) $ 4,440 * Includes accounts charged off, discounts given to customers and actual customer returns and allowances. We record estimated sales returns, discounts, and other applicable adjustments as a reduction of net sales in the same period revenue is recognized. Accounts receivable retainage amounts related to long term construction contracts totaled $7.8 million and $8.7 million as of December 25, 2021 and December 26, 2020, respectively. All amounts are expected to be collected within 18 months. Concentration of accounts receivable related to our two largest customers totaled $87.6 million and $97.9 million as of December 25, 2021 and December 26, 2020, respectively. In June 2016, the FASB issued ASU 2016-13, Financial Instrument-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13), which changes the current incurred loss model to a forward looking expected credit loss model for most financial assets, such as trade and other receivables, loans and other instruments. The ASU is effective for fiscal years beginning after December 15, 2019. Entities are required to apply the provisions of the standard through a cumulative-effect adjustment to retained earnings as of effective date. We have adopted the new standard as of the beginning of fiscal year 2020 and have concluded the standard does not have a material impact on our consolidated financial statements and disclosures, accounting processes, and internal controls. |
INVENTORIES | INVENTORIES Inventories are stated at the lower of cost or market. The cost of inventories includes raw materials, direct labor, and manufacturing overhead. Cost is determined on a weighted average basis. Raw materials consist primarily of unfinished wood products and other materials expected to be manufactured or treated prior to sale, while finished goods represent various manufactured and treated wood products ready for sale. We have inventory on consignment at customer locations valued at $37.8 million as of December 25, 2021 and $20.8 million as of December 26, 2020. |
PROPERTY, PLANT, AND EQUIPMENT | PROPERTY, PLANT, AND EQUIPMENT Property, plant, and equipment are stated at cost. Expenditures for renewals and betterments are capitalized, and maintenance and repairs are expensed as incurred. Amortization of assets held under finance leases is included in depreciation and amortized over the shorter of the estimated useful life of the asset or the lease term. Depreciation is computed principally by the straight-line method over the estimated useful lives of the assets as follows: Land improvements 5 to 15 years Buildings and improvements 10 to 32 years Machinery, equipment and office furniture 2 to 20 years |
LONG-LIVED ASSETS | LONG-LIVED ASSETS In accordance with ASC 360, Property, Plant, and Equipment |
GOODWILL | GOODWILL Goodwill represents the excess of the purchase price over the fair value of net tangible and identifiable intangible assets of acquired businesses. Goodwill and intangible assets deemed to have indefinite lives are not amortized and are subject to impairment tests at least annually in accordance with ASC 350, Intangibles-Goodwill and Other. We review the carrying amounts of goodwill and other non-amortizable intangibles by reporting unit to determine if such assets may be impaired. As of the date of the most recent goodwill impairment test, which utilized data and assumptions as of September 25, 2021, all other reporting units had a fair value that was substantially in excess of the carrying value. In the fourth quarter of 2020, we recorded a non-cash goodwill impairment charge of $11.5 million related to the commercial reporting unit within our construction segment. We believe we have sufficient available information, both current and historical, to support our assumptions, judgments and estimates used in the goodwill impairment test. Our annual testing date for evaluating goodwill and indefinite-lived intangible asset impairment is the first day of our fourth fiscal quarter for all reporting units. Additionally, we review various triggering events throughout the year to determine whether a mid-year impairment analysis is required. |
FOREIGN CURRENCY | FOREIGN CURRENCY Our foreign operations use the local currency as their functional currency. Accordingly, assets and liabilities are translated at exchange rates as of the balance sheet date and revenues and expenses are translated using weighted average rates, with translation adjustments included as a separate component of shareholders’ equity. Gains and losses arising from re-measuring foreign currency transactions are included in earnings. |
INSURANCE RESERVES | INSURANCE RESERVES Our wholly-owned insurance company, Ardellis Insurance Ltd.(“Ardellis”), was incorporated on April 21, 2001 under the laws of Bermuda and is licensed as a Class 3A insurer under the Insurance Act 1978 of Bermuda. On April 14, 2017 the U.S. Branch of Ardellis Insurance Ltd. was granted its Certificate of Authority to transact property and casualty insurance lines as an admitted carrier in the State of Michigan. We are primarily self-insured for certain employee health benefits, and have self-funded retentions for general liability, automobile liability, property and workers’ compensation. We are fully self-insured for environmental liabilities. The general liability, automobile liability, property, workers’ compensation, and certain environmental liabilities are managed through Ardellis; the related assets and liabilities of which are included in the consolidated financial statements as of December 25, 2021 and December 26, 2020. Our policy is to accrue amounts equal to actuarially determined or internally computed liabilities. The actuarial and internal valuations are based on historical information along with certain assumptions about future events. Changes in assumptions for such matters as legal actions, medical cost trends, and changes in claims experience could cause these estimates to change in the future. In addition to providing coverage for the Company, Ardellis provides Excess Loss Insurance (primarily medical and prescription drug) to certain third parties. As of December 25, 2021, Ardellis had 43 such contracts in place. Reserves associated with these contracts were $7.1 million at December 25, 2021, and $4.5 million at December 26, 2020, and are accrued based on third party actuarial valuations of the expected future liabilities. |
INCOME TAXES | INCOME TAXES Deferred income tax assets and liabilities are computed for differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future. Such deferred income tax asset and liability computations are based on enacted tax laws and rates. Valuation allowances are established when necessary to reduce deferred income tax assets to the amounts expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred income tax assets and liabilities. |
REVENUE RECOGNITION | REVENUE RECOGNITION Within the three primary segments (Retail, Industrial, and Construction) that the Company operates, there are a variety of written agreements governing the sale of our products and services. The transaction price is stated at the purchase order level, which includes shipping and/or freight costs and any applicable governmental authority taxes. The majority of our contracts have a single performance obligation concentrated around the delivery of goods to the carrier, Free On Board (FOB) shipping point. Therefore, revenue is recognized when this performance obligation is satisfied. Generally, title and control passes at the time of shipment. In certain circumstances, the customer takes title when the shipment arrives at the destination. However, our shipping process is typically completed the same day. Certain customer products that we provide require installation by the Company or a third party. Installation revenue is recognized upon completion. If we use a third party for installation, the party will act as an agent to us until completion of the installation. Installation revenue represents an immaterial share of our total net sales. We utilize rebates, credits, discounts and/or cash-based incentives with certain customers which are accounted for as variable consideration. We estimate these amounts based on the expected amount to be provided to customers and reduce revenues recognized. We believe that there will not be significant changes to our estimates of variable consideration. The allocation of these costs are applied at the invoice level and recognized in conjunction with revenue. Additionally, returns and refunds are estimated on a historical and expected basis which is a reduction of revenue recognized. Earnings on construction contracts are reflected in operations using over time accounting, under either cost to cost or units of delivery methods, depending on the nature of the business at individual operations, which is in accordance with ASC 606 as revenue is recognized when certain performance obligations are performed. Under over time accounting using the cost to cost method, revenues and related earnings on construction contracts are measured by the relationships of actual costs incurred related to the total estimated costs. Under over time accounting using the units of delivery method, revenues and related earnings on construction contracts are measured by the relationships of actual units produced related to the total number of units. Revisions in earnings estimates on the construction contracts are recorded in the accounting period in which the basis for such revisions becomes known. Projected losses on individual contracts are charged to operations in their entirety when such losses become apparent. Our construction contracts are generally entered into with a fixed price and completion of the projects can range from 6 The following table presents our net sales disaggregated by revenue source (in thousands): Year Ended December 25, December 26, December 28, 2021 vs. 2020 2020 vs. 2019 2021 2020 2019 % Change % Change FOB Shipping Point Revenue $ 8,512,012 $ 5,025,895 $ 4,272,583 69.4% 17.6% Construction Contract Revenue 124,122 128,103 143,426 (3.1)% (10.7)% Total Net Sales $ 8,636,134 $ 5,153,998 $ 4,416,009 67.6% 16.7% The Construction segment comprises the construction contract revenue shown above. Construction contract revenue is primarily made up of site-built and framing customers. The following table presents the balances of over time accounting accounts on December 25, 2021 and December 26, 2020 which are included in “Other current assets” and “Accrued liabilities: Other”, respectively (in thousands): December 25, December 26, 2021 2020 Cost and Earnings in Excess of Billings $ 5,602 $ 4,169 Billings in Excess of Cost and Earnings 10,744 11,530 SHIPPING AND HANDLING OF PRODUCT Shipping and handling costs that are charged to and reimbursed by the customer are recognized as revenue. Costs incurred related to the shipment and handling of products are classified in cost of goods sold. |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION We account for share-based awards in accordance with ASC Topic 718, Compensation – Stock Compensation |
EARNINGS PER SHARE | EARNINGS PER SHARE Earnings per share (“EPS”) is computed using the two-class method. The two-class method determines EPS for each class of common stock and participating securities according to dividends and their respective participation rights in undistributed earnings. Participating securities include non-vested shares of restricted stock in which the participants have non-forfeitable rights to dividends during the performance period. EPS, basic and diluted, is calculated by dividing net earnings attributable to controlling interest, net of applicable taxes, by the weighted average number of shares of common stock outstanding for the period. The computation of EPS is as follows (in thousands): December 25, December 26, December 28, 2021 2020 2019 Numerator: Net earnings attributable to controlling interest $ 535,640 $ 246,778 $ 179,650 Adjustment for earnings allocated to non-vested restricted common stock (17,342) (6,903) (4,496) Net earnings for calculating EPS $ 518,298 $ 239,875 $ 175,154 Denominator: Weighted average shares outstanding 62,209 61,632 61,649 Adjustment for non-vested restricted common stock (2,014) (1,724) (1,543) Shares for calculating basic EPS 60,195 59,908 60,106 Effect of dilutive restricted common stock 159 20 24 Shares for calculating diluted EPS 60,354 59,928 60,130 Net earnings per share: Basic $ 8.61 $ 4.00 $ 2.91 Diluted $ 8.59 $ 4.00 $ 2.91 |
USE OF ACCOUNTING ESTIMATES | USE OF ACCOUNTING ESTIMATES The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. We believe our estimates to be reasonable; however, actual results could differ from these estimates. |
SEGMENT REPORTING | ASC 280, Segment Reporting (“ASC 280”), defines operating segments as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. We operate manufacturing, treating and distribution facilities internationally, but primarily in the United States. Our business segments consist of UFP Retail Solutions, UFP Industrial and UFP Construction and align with the end markets we serve. This segment structure allows for a specialized and consistent sales approach among Company operations, efficient use of resources and capital, and quicker introduction of new products and services. We manage the operations of our individual locations primarily through a market-centered reporting structure under which each location is included in a business unit and business units are included in our Retail, Industrial, and Construction segments. Two customers, The Home Depot and Lowes, accounted for approximately 16% and 10%, respectively, of our total net sales in fiscal 2021. These customers accounted for approximately 24% and 4%, respectively, of our total net sales in fiscal 2020 and 19% and 4%, respectively, in 2019. The exception to this market-centered reporting and management structure is our International segment, which comprises our Mexico, Canada, Europe, India, and Australia operations and sales and buying offices in other parts of the world and our Ardellis segment, which represents our wholly owned fully licensed captive insurance company based in Bermuda. Our International and Ardellis segments do not meet the quantitative thresholds in order to be separately reported and accordingly, the International and Ardellis segments have been aggregated in the “All Other” segment for reporting purposes. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Schedule of Accounts Receivable Allowances | The following table presents the activity in our accounts receivable allowances (in thousands): Additions Charged to Beginning Costs and Ending Balance Expenses Deductions* Balance Year Ended December 25, 2021: Allowance for possible losses on accounts receivable $ 4,629 $ 66,883 $ (66,427) $ 5,085 Year Ended December 26, 2020: Allowance for possible losses on accounts receivable $ 4,440 $ 48,954 $ (48,765) $ 4,629 Year Ended December 28, 2019: Allowance for possible losses on accounts receivable $ 2,601 $ 39,481 $ (37,642) $ 4,440 * Includes accounts charged off, discounts given to customers and actual customer returns and allowances. |
Schedule of Estimated Useful Lives of Property, Plant, and Equipment | Land improvements 5 to 15 years Buildings and improvements 10 to 32 years Machinery, equipment and office furniture 2 to 20 years |
Schedule of Disaggregation of revenue | The following table presents our net sales disaggregated by revenue source (in thousands): Year Ended December 25, December 26, December 28, 2021 vs. 2020 2020 vs. 2019 2021 2020 2019 % Change % Change FOB Shipping Point Revenue $ 8,512,012 $ 5,025,895 $ 4,272,583 69.4% 17.6% Construction Contract Revenue 124,122 128,103 143,426 (3.1)% (10.7)% Total Net Sales $ 8,636,134 $ 5,153,998 $ 4,416,009 67.6% 16.7% |
Schedule of Percentage of Completion Account Balances | The following table presents the balances of over time accounting accounts on December 25, 2021 and December 26, 2020 which are included in “Other current assets” and “Accrued liabilities: Other”, respectively (in thousands): December 25, December 26, 2021 2020 Cost and Earnings in Excess of Billings $ 5,602 $ 4,169 Billings in Excess of Cost and Earnings 10,744 11,530 |
Schedule of Computation of earnings per share | The computation of EPS is as follows (in thousands): December 25, December 26, December 28, 2021 2020 2019 Numerator: Net earnings attributable to controlling interest $ 535,640 $ 246,778 $ 179,650 Adjustment for earnings allocated to non-vested restricted common stock (17,342) (6,903) (4,496) Net earnings for calculating EPS $ 518,298 $ 239,875 $ 175,154 Denominator: Weighted average shares outstanding 62,209 61,632 61,649 Adjustment for non-vested restricted common stock (2,014) (1,724) (1,543) Shares for calculating basic EPS 60,195 59,908 60,106 Effect of dilutive restricted common stock 159 20 24 Shares for calculating diluted EPS 60,354 59,928 60,130 Net earnings per share: Basic $ 8.61 $ 4.00 $ 2.91 Diluted $ 8.59 $ 4.00 $ 2.91 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Assets measured at fair value | December 25, 2021 December 26, 2020 Quoted Prices with Quoted Prices with Prices in Other Prices with Prices in Other Prices with Active Observable Unobservable Active Observable Unobservable Markets Inputs Inputs Markets Inputs Inputs (Level 1) (Level 2) (Level 3) Total (Level 1) (Level 2) (Level 3) Total Money market funds $ 19 $ 9,392 $ — $ 9,411 $ 19 $ 4,643 $ — $ 4,662 Fixed income funds 1,668 16,910 — 18,578 246 16,224 — 16,470 Treasury securities 342 — — 342 — — — — Equity securities 20,163 — — 20,163 12,602 — — 12,602 Alternative investments — — 3,785 3,785 — — 2,040 2,040 Mutual funds: Domestic stock funds 10,910 — — 10,910 8,088 — — 8,088 International stock funds 1,687 — — 1,687 1,440 — — 1,440 Target funds 23 — — 23 114 — — 114 Bond funds 146 — — 146 147 — — 147 Alternative funds 483 — — 483 482 — — 482 Total mutual funds 13,249 — — 13,249 10,271 — — 10,271 Total $ 35,441 $ 26,302 $ 3,785 $ 65,528 $ 23,138 $ 20,867 $ 2,040 $ 46,045 Assets at fair value $ 35,441 $ 26,302 $ 3,785 $ 65,528 $ 23,138 $ 20,867 $ 2,040 $ 46,045 |
Available for sale investment portfolio | December 25, 2021 December 26, 2020 Unrealized Unrealized Cost Gain Fair Value Cost Gain Fair Value Fixed Income $ 18,169 $ 409 $ 18,578 $ 15,325 $ 1,145 $ 16,470 Treasury Securities 342 — 342 — — — Equity 15,196 4,967 20,163 9,787 2,815 12,602 Mutual Funds 9,222 3,325 12,547 8,235 1,430 9,665 Alternative Investments 3,003 782 3,785 1,904 136 2,040 Total $ 45,932 $ 9,483 $ 55,415 $ 35,251 $ 5,526 $ 40,777 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Business Acquisitions Accounted for Using Purchase Method | We completed the following business combinations in fiscal 2021 and 2020, which were accounted for using the purchase method (in thousands). Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment December 20, 2021 $20,854 $ 11,481 $ 9,373 Industrial Advantage Labels & Packaging, Inc. (Advantage) Based in Grand Rapids, Michigan, Advantage provides blank and customized labels, printers, label applicators and other packaging supplies. Key industries served by the company include beer and beverage; body armor; food production and processing; greenhouse and nursery; hobby and craft; manufacturing; and automotive. The company had trailing 12-month sales through November 2021 of approximately $19.8 million. November 22, 2021 $11,155 $ 9,106 $ 2,049 Other Ficus Pax Private Limited (Ficus) Headquartered in Bangalore, India, Ficus manufactures mixed-material cases and crates, nail-less plywood boxes, wooden pallets and other packaging products through 10 facilities located in major industrial markets throughout southern India. Ficus also owns a majority stake in Wadpack, a manufacturer of corrugated fiber board containers, corrugated pallets and display solutions. The company had trailing 12-month sales through August 2021 of approximately $39 million USD. November 1, 2021 $5,984 $ 5,681 $ 303 Other Boxpack Packaging (Boxpack) Based near Melbourne, Australia, Boxpack specializes in flexographic and lithographic cardboard packaging, using the latest CAD design and finishing techniques. Boxpack serves multiple industries, including food and beverage, confectionary, pharmaceutical, industrial and agricultural. The company had trailing 12-month sales through June 30, 2021, of $8.2 million AUD. September 27, 2021 $6,443 $ 4,039 $ 2,404 Construction Shelter Products, Inc. (Shelter) Based in Haleyville, Alabama, Shelter operates its distribution and logistics business from an 87,800 sq.-ft. warehouse that specializes in manufactured housing industry customers. Shelter’s facility is adjacent to a UFP manufacturing facility that supplies trusses to manufactured housing builders, and the proximity will enable additional operational synergies. The Company had sales of approximately $11.4 million in 2020. April 29, 2021 $10,129 $ 7,099 $ 3,030 Construction Endurable Building Products, LLC (Endurable) Based near Minneapolis, Minnesota, Endurable is a leading manufacturer of customized structural aluminum systems and products for exterior purposes, such as deck framing, balconies, sunshades, railings and stairs. The company’s trademarked alumiLAST aluminum deck and balcony systems are known for their low-maintenance design and ease of installation. Endurable serves general contractors in the multifamily market throughout the U.S. and had sales of approximately $15 million in 2020. April 19, 2021 $8,549 $ 1,526 $ 7,023 Retail Walnut Hollow Farm, Inc. Walnut Hollow Farm, located in Wisconsin, is engaged in the business of designing, manufacturing, selling, and distributing wood products, tools, and accessories for the craft and hobby, outdoor sportsman art, personalized home décor, and hardware categories, with sales of approximately $11.6 million in 2020. Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment April 12, 2021 $153,462 $ — $ 153,462 Retail Spartanburg Forest Products, Inc. Headquartered in Greer, South Carolina, Spartanburg Forest Products and its affiliates are a premier wood treating operation in the U.S., with approximately 150 employees and operations in five states. Its affiliates include Appalachian Forest Products, Innovative Design Industries, Blue Ridge Wood Preserving, Blue Ridge Wood Products, and Tidewater Wood Products and had combined sales of approximately $543.0 million in 2020. March 1, 2021 $4,724 $ 4,264 $ 460 Other J.C. Gilmore Pty Ltd (Gilmores) Founded in 1988 and operating from its distribution facility in Port Melbourne, Australia, Gilmores is a leading distributor in the industrial and construction industries of packaging tapes, stretch films, packaging equipment, strapping, construction protection products and other items, with 2020 sales of $15 million AUD ($10 million USD). December 28, 2020 $259,011 $ 79,917 $ 179,094 Retail/Industrial PalletOne, Inc. (PalletOne) Based in Bartow, Florida, PalletOne is a leading manufacturer of new pallets in the U.S., with 17 pallet manufacturing facilities in the southern and eastern regions of the country. The company also supplies other specialized industrial packaging, including custom bins and crates, and its Sunbelt Forest Products (Sunbelt) subsidiary operates five pressure-treating facilities in the Southeastern U.S. PalletOne and its affiliates had 2020 sales of November 10, 2020 $21,268 $ 11,923 $ 9,345 Construction Atlantic Prefab, Inc.; Exterior Designs, LLC; and Patriot Building Systems, LLC Based in Wilton, New Hampshire, Atlantic Prefab produces prefabricated steel wall panels and light gauge metal trusses. The company’s steel component and prefinished wall panel lines are new, value-added product additions for UFP Construction that help shorten project timelines. Exterior Designs is a leading installer of siding and exterior cladding such as fiber cement, ACM (aluminum composite material) panels, phenolic panels, and EIFS (exterior insulation and finish systems). The company is based in Londonderry, New Hampshire, and serves commercial and multi-family clients throughout the Northeast. Also based in Londonderry, Patriot Building Systems provides commercial and multi-family framing services in the Northeast and will focus on markets not currently served by companies of UFP Industries. The companies had combined annual sales of approximately $28 million. October 1, 2020 $5,936 $ 5,222 $ 714 Retail Fire Retardant Chemical Technologies, LLC (FRCT) Founded in 2014 and based in Matthews, North Carolina, FRCT’s business includes a research and development laboratory specializing in developing and testing a wide range of high-performance chemicals, including fire retardants and water repellants. The company had annual sales of approximately $6.4 million. Net Company Acquisition Intangible Tangible Operating Name Date Purchase Price Assets Assets Segment September 30, 2020 $3,475 $ 7,267 $ (1,369) Other Enwrap Logistic & Packaging S.r.l. (Enwrap) Enwrap is a newly formed company dedicated to the logistics and packaging business of its predecessor, Job Service S.p.A. Headquartered in Milan, Italy, Enwrap provides high-value, mixed material industrial packaging and logistics services through eight locations in Italy. These locations generated annual sales of approximately $14 million. July 14, 2020 $18,496 $ 12,458 $ 6,038 Industrial T&R Lumber Company (T&R) A manufacturer and distributor of a range of products used primarily by nurseries, including plastic growing containers, pots and trays; wooden stakes; trellises; tree boxes; shipping racks; and other nursery supplies based in Rancho Cucamonga, California. T&R had annual sales of approximately $31 million. The acquisition of T&R will allow us to leverage their expertise using our national manufacturing capacity to grow our agricultural product offerings and customer base across the country. March 13, 2020 $22,951 $ 20,262 $ 2,689 Construction Quest Design & Fabrication and Quest Architectural Millwork (Quest) A designer, fabricator, and installer of premium millwork and case goods for a variety of commercial uses. Quest had annual sales of approximately $22 million. The acquisition of Quest expands our architectural millwork capabilities and expertise in our commercial construction business unit, and will allow us to use our national manufacturing capacity to grow and diversify our sales to this end market |
Acquired Intangible Assets | At December 25, 2021, the amounts assigned to major intangible classes for the business combinations mentioned above are as follows (in thousands): Non- Intangibles - Compete Customer Tax Agreements Patents Relationships Tradename Goodwill Deductible Advantage $ — $ — $ — $ — $ 11,481 * $ 11,481 Ficus — — — — 8,889 * 8,889 Boxpack — — 2,694 * — 1,978 * 4,672 Shelter — — 2,019 * — 2,020 * 4,039 Endurable — — 4,617 * — 2,482 * 7,099 Walnut Hollow — — 1,263 * — 263 * 1,526 Gilmores — — 1,938 * — 1,938 * 3,876 PalletOne — — 18,089 17,450 44,378 79,917 Atlantic Prefab 417 — 1,620 150 1,356 3,543 Exterior Designs 667 — 2,592 240 2,241 5,740 Patriot Building Systems 306 — 1,188 110 1,036 2,640 FRCT 1,090 — 1,960 210 1,962 5,222 Enwrap 790 1,293 558 474 3,705 6,820 T&R 600 — 5,000 2,600 4,258 12,458 Quest — — 10,318 1,903 8,041 20,262 *(estimate) |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Schedule of Goodwill by Segment | The changes in the net carrying amount of goodwill by reporting segment for the years ended December 25, 2021 and December 26, 2020, are as follows (in thousands): Retail Industrial Construction All Other Corporate Total Balance as of December 28, 2019 $ 58,098 $ 81,276 $ 82,911 $ 7,251 $ — $ 229,536 2020 Acquisitions 3,643 6,549 18,902 4,441 — 33,535 2020 Purchase Accounting Adjustments 202 2 — — — 204 2020 Impairments — — (11,485) — — (11,485) Foreign Exchange, Net — — 401 2 — 403 Balance as of December 26, 2020 $ 61,943 $ 87,827 $ 90,729 $ 11,694 $ — $ 252,193 2021 Acquisitions 13,115 43,006 4,502 13,880 — 74,503 2021 Purchase Accounting Adjustments (1,682) (2,292) (6,228) (478) — (10,680) Foreign Exchange, Net — — (3) (975) — (978) Balance as of December 25, 2021 $ 73,376 $ 128,541 $ 89,000 $ 24,121 $ — $ 315,038 |
Other Intangible Assets | The following amounts were included in other amortizable intangible assets, net as of December 25, 2021 and December 26, 2020 (in thousands): 2021 2020 Accumulated Accumulated Assets Amortization Net Value Assets Amortization Net Value Non-compete agreements $ 8,490 $ (4,160) $ 4,330 $ 4,847 $ (2,728) $ 2,119 Customer relationships and other 101,158 (25,012) 76,146 80,343 (17,021) 63,322 Licensing agreements 4,589 (4,589) — 4,589 (4,589) — Patents 3,221 (1,137) 2,084 965 (509) 456 Tradename 30,392 (4,599) 25,793 8,019 (2,123) 5,896 Software 959 (295) 664 505 (46) 459 Total $ 148,809 $ (39,792) $ 109,017 $ 99,268 $ (27,016) $ 72,252 |
Estimated Useful Lives of Intangible Assets | Weighted Average Intangible Asset Type Estimated Useful Life Amortization Period Non-compete agreements 3 to 15 years 7.8 years Customer relationship 5 to 15 years 9.7 years Licensing agreements 10 years 10 years Patents 10 years 10 years Tradename (amortizable) 5 to 15 years 11 years Software 3 to 5 years 3.5 years |
Expected Amortization Expense | Amortization expense of intangibles totaled $13.9 million, $8.7 million and $6.3 million in 2021, 2020 and 2019, respectively. The estimated amortization expense for intangibles for each of the five succeeding fiscal years is as follows (in thousands): 2022 $ 13,734 2023 12,878 2024 12,409 2025 11,901 2026 10,944 Thereafter 47,151 Total $ 109,017 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Long-term Debt and Capital Lease Obligations | Long-term debt obligations are summarized as follows on December 25, 2021 and December 26, 2020 (amounts in thousands): 2021 2020 Series 2020 Senior Notes E, due on August 10, 2032, interest payable semi-annually at 3.04% $ 50,000 $ 50,000 Series 2020 Senior Notes F, due on August 10, 2033, interest payable semi-annually at 3.08% 50,000 50,000 Series 2020 Senior Notes G, due on August 10, 2035, interest payable semi-annually at 3.15% 50,000 50,000 Series 2018 Senior Notes C, due on June 14, 2028, interest payable semi-annually at 4.20% 40,000 40,000 Series 2018 Senior Notes D, due on June 14, 2030, interest payable semi-annually at 4.27% 35,000 35,000 Series 2012 Senior Notes Tranche A, due on December 17, 2022, interest payable semi-annually at 3.89% 35,000 35,000 Series 2012 Senior Notes Tranche B, due on December 17, 2024, interest payable semi-annually at 3.98% 40,000 40,000 Foreign subsidiary borrowings under revolving credit facility, due on November 1, 2023, interest payable monthly at a floating rate (1.06% on December 25, 2021 and 1.125% on December 26, 2020) 7,818 4,715 Series 1999 Industrial Development Revenue Bonds, due on August 1, 2029, interest payable monthly at a floating rate (0.14% on December 25, 2021 and 0.20% on December 26, 2020) 3,300 3,300 Series 2002 Industrial Development Revenue Bonds, due on December 1, 2022, interest payable monthly at a floating rate (0.18% on December 25, 2021 and 0.22% on December 26, 2020) 3,700 3,700 Finance leases and foreign affiliate debt 5,544 138 320,362 311,853 Less current portion (42,683) (100) Less debt issuance costs (112) (146) Long-term portion $ 277,567 $ 311,607 |
Principal Maturities of Long-term Debt and Capital Lease Obligations | On December 25, 2021, the principal maturities of long-term debt and finance lease obligations are as follows (in thousands): 2022 $ 42,683 2023 8,863 2024 40,214 2025 — 2026 302 Thereafter 228,300 Total $ 320,362 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Schedule of lease costs | Lease costs under non-cancelable operating leases on December 25, 2021 and December 26, 2020 are as follows (in thousands): 2021 2020 Operating lease cost $ 30,054 $ 21,594 Short-term lease cost 5,264 2,863 Variable lease cost 4,761 3,985 Sublease income (3,109) (1,013) Total lease cost $ 36,970 $ 27,429 |
Future Minimum Lease Payments | Future minimum payments under non-cancelable operating leases on December 25, 2021 are as follows (in thousands): Operating Leases 2022 $ 26,378 2023 21,040 2024 15,842 2025 13,164 2026 11,140 Thereafter 27,123 Total minimum lease payments $ 114,687 Less present value discount (14,900) Total lease liability $ 99,787 |
COMMON STOCK (Tables)
COMMON STOCK (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Schedule of common stock issuances | December 25, 2021 Share Issuance Activity Common Stock Average Share Price Shares issued under the employee stock purchase plan 33 $ 75.18 Shares issued under the employee stock gift program 2 78.37 Shares issued under the director retainer stock program 5 72.66 Shares issued under the bonus plan 487 59.56 Shares issued under the executive stock match plan 77 60.24 Forfeitures (24) Total shares issued under stock grant programs 547 $ 59.84 Shares issued under the deferred compensation plans 117 $ 64.14 December 26, 2020 Share Issuance Activity Common Stock Average Share Price Shares issued under the employee stock purchase plan 35 $ 46.71 Shares issued under the employee stock gift program 3 48.10 Shares issued under the director retainer stock program 46 25.31 Shares issued under the bonus plan 271 47.52 Shares issued under the executive stock grants plan 79 47.60 Forfeitures (9) Total shares issued under stock grant programs 390 $ 44.96 Shares issued under the deferred compensation plans 128 $ 53.79 |
Nonvested Restricted Shares Activity | A summary of the nonvested restricted stock awards granted under the LTSIP is as follows: Weighted- Unrecognized Average Weighted- Compensation Period to Restricted Average Grant Expense Recognize Awards Date Fair Value (in millions) Expense Nonvested at December 29, 2018 1,160,079 $ 23.32 $ 7.6 1.12 years Granted 318,496 32.60 Vested (224,894) 23.42 Forfeited (50,786) 24.18 Nonvested at December 28, 2019 1,202,895 $ 29.68 $ 7.9 0.86 years Granted 348,016 47.60 Vested (177,790) 22.69 Forfeited (9,327) 33.46 Nonvested at December 26, 2020 1,363,794 $ 35.14 $ 6.3 0.62 years Granted 560,516 60.24 Vested (274,271) 26.50 Forfeited (23,007) 39.68 Nonvested at December 25, 2021 1,627,032 $ 45.23 $ 6.6 0.43 years |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Components of Income Tax Expense (Benefit) | Income tax provisions for the years ended December 25, 2021, December 26, 2020, and December 28, 2019 are summarized as follows (in thousands): 2021 2020 2019 Currently Payable: Federal $ 115,077 $ 59,055 $ 35,267 State and local 30,441 16,709 10,071 Foreign 21,095 8,601 5,834 166,613 84,365 51,172 Net Deferred: Federal 6,242 2,292 6,895 State and local 118 (1,518) 805 Foreign 999 1,962 (602) 7,359 2,736 7,098 Total income tax expense $ 173,972 $ 87,101 $ 58,270 |
Components of Earnings Before Income Taxes | 2021 2020 2019 U.S. $ 645,316 $ 308,167 $ 220,532 Foreign 81,020 32,816 20,142 Total $ 726,336 $ 340,983 $ 240,674 |
Effective Income Tax Rate Reconciliation | 2021 2020 2019 Statutory federal income tax rate 21.0 % 21.0 % 21.0 % State and local taxes (net of federal benefits) 3.3 3.4 3.9 Effect of noncontrolling owned interest in earnings of partnerships n/a n/a (0.1) Tax credits, including foreign tax credit (0.6) (0.9) (1.3) Change in uncertain tax positions reserve (0.1) (0.1) (0.1) Other permanent differences (0.4) 0.6 0.5 Other, net 0.7 1.5 0.3 Effective income tax rate 23.9 % 25.5 % 24.2 % |
Components of Deferred Tax Assets and Liabilities | Temporary differences which give rise to deferred income tax assets and (liabilities) on December 25, 2021 and December 26, 2020 are as follows (in thousands): 2021 2020 Employee benefits $ 27,543 $ 23,236 Lease liability 24,627 19,376 Net operating loss carryforwards 5,502 6,463 Foreign subsidiary capital loss carryforward 527 527 Other tax credits 450 391 Inventory 2,007 1,633 Reserves on receivables 1,446 1,630 Accrued expenses 5,735 3,071 Other, net 5,233 8,483 Gross deferred income tax assets 73,070 64,810 Valuation allowance (3,952) (4,044) Deferred income tax assets 69,118 60,766 Depreciation (64,387) (41,403) Intangibles (38,367) (22,840) Right of use assets (23,866) (19,376) Deferred income tax liabilities (126,620) (83,619) Net deferred income tax liability $ (57,502) $ (22,853) |
Schedule of NOL and credit carryforwards | Net Operating Losses Tax Credits U.S. State Foreign U.S. State 2022 - 2026 $ — $ — $ 536 $ — $ — 2027 - 2031 — 436 1,424 — — 2032 - 2036 — 670 106 — 450 2037 - 2041 790 808 — — — Thereafter — 438 294 — — Total $ 790 $ 2,352 $ 2,360 $ — $ 450 |
ACCOUNTING FOR UNCERTAINTY IN_2
ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): 2021 2020 2019 Gross unrecognized tax benefits beginning of year $ 3,892 $ 4,166 $ 4,378 Increase in tax positions for prior years 437 (82) (129) Increase in tax positions for current year 839 730 768 Lapse in statute of limitations (1,565) (922) (851) Gross unrecognized tax benefits end of year $ 3,603 $ 3,892 $ 4,166 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Segment Reporting | 2021 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 3,418,337 $ 2,148,142 $ 2,698,434 $ 362,473 $ 8,748 $ 8,636,134 Intersegment net sales 214,400 85,954 82,026 455,874 (838,254) — Interest expense 98 12 1 184 13,519 13,814 Amortization expense 2,780 6,093 3,525 1,336 214 13,948 Depreciation expense 16,955 26,219 13,151 2,094 25,765 84,184 Segment earnings before income taxes 124,790 264,958 264,238 80,905 (8,555) 726,336 Segment assets 844,189 741,672 736,157 343,363 579,890 3,245,271 Capital expenditures 40,408 42,652 22,344 5,140 40,622 151,166 2020 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 2,167,122 $ 1,072,117 $ 1,695,684 $ 217,094 $ 1,981 $ 5,153,998 Intersegment net sales 142,839 45,217 68,294 283,689 (540,039) — Interest expense 2 22 — 90 9,197 9,311 Amortization expense 1,482 4,159 2,152 877 46 8,716 Depreciation expense 11,675 15,163 12,123 1,619 23,384 63,964 Segment earnings before income taxes 155,364 83,430 69,092 38,333 (5,236) 340,983 Segment assets 510,464 416,487 510,972 196,856 770,112 2,404,891 Capital expenditures 16,277 21,141 16,902 2,258 32,604 89,182 2019 All Retail Industrial Construction Other Corporate Total Net sales to outside customers $ 1,498,710 $ 1,085,635 $ 1,637,156 $ 193,785 $ 723 $ 4,416,009 Intersegment net sales 135,705 45,010 56,116 200,426 (437,257) — Interest expense — 108 16 97 8,479 8,700 Amortization expense 1,380 3,034 1,164 747 — 6,325 Depreciation expense 11,041 14,340 11,465 1,532 22,116 60,494 Segment earnings before income taxes 61,708 82,913 82,407 22,025 (8,379) 240,674 Segment assets 402,221 377,329 522,638 136,990 450,299 1,889,477 Capital expenditures 15,502 20,134 16,097 2,150 31,050 84,933 |
Information Regarding Principal Geographic Areas | Information regarding principal geographic areas was as follows (in thousands): 2021 2020 2019 Long-Lived Long-Lived Long-Lived Tangible Tangible Tangible Net Sales Assets Net Sales Assets Net Sales Assets United States $ 8,395,737 $ 679,757 $ 5,022,014 $ 478,325 $ 4,308,618 $ 469,605 Foreign 240,397 54,873 131,984 36,380 107,391 36,878 Total $ 8,636,134 $ 734,630 $ 5,153,998 $ 514,705 $ 4,416,009 $ 506,483 |
Gross Sales by Major Product Classification | The following table presents, for the periods indicated, our disaggregated net sales (in thousands) by business unit for each segment and our percentage of value-added and commodity-based sales to total net sales by segment. Year Ended December 25, December 26, December 28, 2021 2020 2019 Retail Deckorators $ 248,765 $ 219,930 $ 185,221 Prowood 1,349,901 1,215,201 786,720 Outdoor Essentials 392,826 299,684 227,767 Sunbelt 773,909 — — UFP Edge 148,927 114,987 95,608 Handprint 101,090 88,351 52,553 Retail Building Materials 395,894 225,253 149,153 Other 7,025 3,716 1,688 Total Retail $ 3,418,337 $ 2,167,122 $ 1,498,710 Industrial North Industrial $ 615,092 $ 385,132 $ 376,515 Southeast Industrial 395,069 229,316 255,419 Southwest Industrial 400,515 238,643 241,774 West Industrial 363,300 206,022 197,686 PalletOne 355,347 — — Protective Packaging 18,819 13,004 14,241 Total Industrial $ 2,148,142 $ 1,072,117 $ 1,085,635 Construction Factory Built $ 1,098,905 $ 597,017 $ 479,927 Site Built 1,190,393 725,899 708,767 Commercial 259,360 221,988 290,785 Concrete Forming 149,776 150,780 157,677 Total Construction $ 2,698,434 $ 1,695,684 $ 1,637,156 All Other $ 362,473 $ 217,094 $ 193,785 Corporate $ 8,748 $ 1,981 $ 723 Total Net Sales $ 8,636,134 $ 5,153,998 $ 4,416,009 Value-Added Retail 43.2% 53.8% 57.8% Industrial 67.7% 64.7% 66.2% Construction 73.0% 76.3% 81.4% All Other and Corporate 74.9% 75.6% 75.8% Total 59.7% 64.3% 69.3% Commodity-Based Retail 56.8% 46.2% 42.2% Industrial 32.3% 35.3% 33.8% Construction 27.0% 23.7% 18.6% All Other and Corporate 25.1% 24.4% 24.2% Total 40.3% 35.7% 30.7% |
QUARTERLY FINANCIAL INFORMATI_2
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 25, 2021 | |
Quarterly Financial Information | The following table sets forth selected financial information for all of the quarters, consisting of 13 weeks during the years ended December 25, 2021 and December 26, 2020, respectively, (in thousands, except per share data): First Second Third Fourth 2021 2020 2021 2020 2021 2020 2021 2020 Net sales $ 1,825,004 $ 1,032,062 $ 2,700,541 $ 1,242,001 $ 2,093,784 $ 1,486,227 $ 2,016,805 $ 1,393,708 Gross profit 286,554 167,236 421,294 204,931 327,555 241,074 371,564 187,055 Net earnings 104,251 40,570 175,360 69,694 125,747 78,861 147,006 64,757 Net earnings attributable to controlling interest 103,311 40,159 173,382 66,463 121,041 77,204 137,906 62,952 Basic earnings per share 1.67 0.65 2.79 1.08 1.94 1.25 2.21 1.02 Diluted earnings per share 1.67 0.65 2.78 1.08 1.94 1.25 2.21 1.02 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 26, 2020USD ($) | Dec. 25, 2021USD ($)itemcontractcustomer | Dec. 26, 2020USD ($) | Dec. 28, 2019 | |
Summary of significant accounting policies | ||||
Number of markets | item | 3 | |||
Requisite ownership to consolidate (in hundredths) (or more) | 50.00% | |||
Length of fiscal year | 364 days | 364 days | 364 days | |
Restricted investments | $ 19,300 | |||
Accounts receivable retainage | $ 8,700 | $ 7,800 | $ 8,700 | |
Accounts receivable retainage, collection period | 18 months | |||
Inventory on consignment | 20,800 | $ 37,800 | 20,800 | |
Number of insurance contracts with third party by Ardellis | contract | 43 | |||
Reserve associated with contracts to third party by Ardellis | 4,500 | $ 7,100 | 4,500 | |
Goodwill | ||||
Goodwill impairment | 11,485 | |||
New accounting pronouncement | ||||
Retained earnings | 1,182,680 | 1,678,121 | 1,182,680 | |
Right-of-use assets | 77,245 | 96,703 | 77,245 | |
Operating lease liability | $ 99,787 | |||
Construction | Commercial | ||||
Goodwill | ||||
Goodwill impairment | 11,500 | |||
Accounts receivables | Customer Concentration | Top two customers | ||||
Summary of significant accounting policies | ||||
Top two customers | customer | 2 | |||
Concentration of accounts receivable related to largest customers | $ 97,900 | $ 87,600 | $ 97,900 | |
Minimum | ||||
Summary of significant accounting policies | ||||
Length of fiscal year | 364 days | |||
Maximum | ||||
Summary of significant accounting policies | ||||
Length of fiscal year | 371 days |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Accounts Receivable Allowances (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Beginning Balance | $ 4,629 | $ 4,440 | $ 2,601 |
Additions Charged to Costs and Expenses | 66,883 | 48,954 | 39,481 |
Deductions | (66,427) | (48,765) | (37,642) |
Ending Balance | $ 5,085 | $ 4,629 | $ 4,440 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Estimated Useful Lives of Property, Plant, and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 25, 2021 | Dec. 26, 2020 | |
Property, Plant and Equipment | ||
Property, plant and equipment | $ 1,212,113 | $ 974,497 |
Accumulated amortization | $ 623,093 | 557,335 |
Land Improvements | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 5 years | |
Land Improvements | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 15 years | |
Building and Improvements | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 10 years | |
Building and Improvements | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 32 years | |
Machinery, Equipment and Office Furniture | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 2 years | |
Machinery, Equipment and Office Furniture | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 20 years | |
Software costs | ||
Property, Plant and Equipment | ||
Property, plant and equipment | $ 6,000 | 5,500 |
Accumulated amortization | $ 5,300 | $ 4,900 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021USD ($) | Sep. 25, 2021USD ($) | Jun. 26, 2021USD ($) | Mar. 27, 2021USD ($) | Dec. 26, 2020USD ($) | Sep. 26, 2020USD ($) | Jun. 27, 2020USD ($) | Mar. 28, 2020USD ($) | Dec. 25, 2021USD ($)segment | Dec. 26, 2020USD ($) | Dec. 28, 2019USD ($) | |
Revenue Recognition. | |||||||||||
Retained earnings | $ 1,678,121 | $ 1,182,680 | $ 1,678,121 | $ 1,182,680 | |||||||
Number of primary segments the Company operates | segment | 3 | ||||||||||
Net sales | $ 2,016,805 | $ 2,093,784 | $ 2,700,541 | $ 1,825,004 | $ 1,393,708 | $ 1,486,227 | $ 1,242,001 | $ 1,032,062 | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
Change % in net sales | 67.60% | 16.70% | |||||||||
FOB Shipping Point Revenue | |||||||||||
Revenue Recognition. | |||||||||||
Net sales | $ 8,512,012 | $ 5,025,895 | 4,272,583 | ||||||||
Change % in net sales | 69.40% | 17.60% | |||||||||
Construction Contract Revenue | |||||||||||
Revenue Recognition. | |||||||||||
Net sales | $ 124,122 | $ 128,103 | $ 143,426 | ||||||||
Change % in net sales | (3.10%) | (10.70%) | |||||||||
Minimum | |||||||||||
Revenue Recognition. | |||||||||||
Number of months to complete contract projects | 6 months | 6 months | |||||||||
Maximum | |||||||||||
Revenue Recognition. | |||||||||||
Number of months to complete contract projects | 18 months | 18 months |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Percentage of Completion Account Balances (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Cost and Earnings in Excess of Billings | $ 5,602 | $ 4,169 |
Billings in Excess of Cost and Earnings | $ 10,744 | $ 11,530 |
SUMMARY OF SIGNIFICANT ACCOUN_9
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Computation of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021 | Sep. 25, 2021 | Jun. 26, 2021 | Mar. 27, 2021 | Dec. 26, 2020 | Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Numerator: | |||||||||||
Net earnings attributable to controlling interest | $ 137,906 | $ 121,041 | $ 173,382 | $ 103,311 | $ 62,952 | $ 77,204 | $ 66,463 | $ 40,159 | $ 535,640 | $ 246,778 | $ 179,650 |
Adjustment for earnings allocated to non-vested restricted common stock | (17,342) | (6,903) | (4,496) | ||||||||
Net earnings for calculating EPS | $ 518,298 | $ 239,875 | $ 175,154 | ||||||||
Denominator: | |||||||||||
Weighted average shares outstanding (in shares) | 62,209 | 61,632 | 61,649 | ||||||||
Adjustment for non-vested restricted common stock (in shares) | (2,014) | (1,724) | (1,543) | ||||||||
Shares for calculating basic EPS (in shares) | 60,195 | 59,908 | 60,106 | ||||||||
Effect of dilutive restricted common stock (in shares) | 159 | 20 | 24 | ||||||||
Shares for calculating diluted EPS (in shares) | 60,354 | 59,928 | 60,130 | ||||||||
Net earnings per share | |||||||||||
Basic (USD per share) | $ 2.21 | $ 1.94 | $ 2.79 | $ 1.67 | $ 1.02 | $ 1.25 | $ 1.08 | $ 0.65 | $ 8.61 | $ 4 | $ 2.91 |
Diluted (USD per share) | $ 2.21 | $ 1.94 | $ 2.78 | $ 1.67 | $ 1.02 | $ 1.25 | $ 1.08 | $ 0.65 | $ 8.59 | $ 4 | $ 2.91 |
FAIR VALUE - Asset Measured at
FAIR VALUE - Asset Measured at Fair Value (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Money market funds | Cash and Cash Equivalents | ||
Fair Value | ||
Investments at fair value | $ 9,000 | |
Money market funds | Restricted Investment | ||
Fair Value | ||
Investments at fair value | 400 | |
Fixed Income | Restricted Investment | ||
Fair Value | ||
Investments at fair value | 18,900 | |
Mutual funds, equity and alternative investments | Investments | ||
Fair Value | ||
Investments at fair value | 36,500 | |
Money market and mutual funds | Other Non current Assets | ||
Fair Value | ||
Investments at fair value | 700 | |
Ardellis Insurance Ltd. | ||
Fair Value | ||
Total Fair Value | 55,415 | $ 40,777 |
Estimate of Fair Value Measurement | Recurring | ||
Fair Value | ||
Investments at fair value | 65,528 | 46,045 |
Assets at fair value | 65,528 | 46,045 |
Estimate of Fair Value Measurement | Recurring | Money market funds | ||
Fair Value | ||
Investments at fair value | 9,411 | 4,662 |
Estimate of Fair Value Measurement | Recurring | Fixed Income | ||
Fair Value | ||
Investments at fair value | 18,578 | 16,470 |
Estimate of Fair Value Measurement | Recurring | Treasury securities | ||
Fair Value | ||
Investments at fair value | 342 | |
Estimate of Fair Value Measurement | Recurring | Equity | ||
Fair Value | ||
Investments at fair value | 20,163 | 12,602 |
Estimate of Fair Value Measurement | Recurring | Alternative Investments | ||
Fair Value | ||
Investments at fair value | 3,785 | 2,040 |
Estimate of Fair Value Measurement | Recurring | Mutual Fund | ||
Fair Value | ||
Investments at fair value | 13,249 | 10,271 |
Estimate of Fair Value Measurement | Recurring | Domestic stock | ||
Fair Value | ||
Investments at fair value | 10,910 | 8,088 |
Estimate of Fair Value Measurement | Recurring | International stock funds | ||
Fair Value | ||
Investments at fair value | 1,687 | 1,440 |
Estimate of Fair Value Measurement | Recurring | Target funds | ||
Fair Value | ||
Investments at fair value | 23 | 114 |
Estimate of Fair Value Measurement | Recurring | Bond funds | ||
Fair Value | ||
Investments at fair value | 146 | 147 |
Estimate of Fair Value Measurement | Recurring | Alternative funds | ||
Fair Value | ||
Investments at fair value | 483 | 482 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | ||
Fair Value | ||
Investments at fair value | 35,441 | 23,138 |
Assets at fair value | 35,441 | 23,138 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Money market funds | ||
Fair Value | ||
Investments at fair value | 19 | 19 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Fixed Income | ||
Fair Value | ||
Investments at fair value | 1,668 | 246 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Treasury securities | ||
Fair Value | ||
Investments at fair value | 342 | |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Equity | ||
Fair Value | ||
Investments at fair value | 20,163 | 12,602 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Mutual Fund | ||
Fair Value | ||
Investments at fair value | 13,249 | 10,271 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Domestic stock | ||
Fair Value | ||
Investments at fair value | 10,910 | 8,088 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | International stock funds | ||
Fair Value | ||
Investments at fair value | 1,687 | 1,440 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Target funds | ||
Fair Value | ||
Investments at fair value | 23 | 114 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Bond funds | ||
Fair Value | ||
Investments at fair value | 146 | 147 |
Estimate of Fair Value Measurement | Recurring | Quoted Prices in Active Markets (Level 1) | Alternative funds | ||
Fair Value | ||
Investments at fair value | 483 | 482 |
Estimate of Fair Value Measurement | Recurring | Prices with Other Observable Inputs (Level 2) | ||
Fair Value | ||
Investments at fair value | 26,302 | 20,867 |
Assets at fair value | 26,302 | 20,867 |
Estimate of Fair Value Measurement | Recurring | Prices with Other Observable Inputs (Level 2) | Money market funds | ||
Fair Value | ||
Investments at fair value | 9,392 | 4,643 |
Estimate of Fair Value Measurement | Recurring | Prices with Other Observable Inputs (Level 2) | Fixed Income | ||
Fair Value | ||
Investments at fair value | 16,910 | 16,224 |
Estimate of Fair Value Measurement | Recurring | Prices with Unobservable Inputs (Level 3) | ||
Fair Value | ||
Investments at fair value | 3,785 | 2,040 |
Assets at fair value | 3,785 | 2,040 |
Estimate of Fair Value Measurement | Recurring | Prices with Unobservable Inputs (Level 3) | Alternative Investments | ||
Fair Value | ||
Investments at fair value | $ 3,785 | $ 2,040 |
FAIR VALUE - Available for Sale
FAIR VALUE - Available for Sale Investment Portfolio (Details) - Ardellis Insurance Ltd. - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Available-for-sale securities | ||
Total Securities Cost | $ 45,932 | $ 35,251 |
Unrealized Gain (Loss) | 9,483 | 5,526 |
Total Fair Value | 55,415 | 40,777 |
Fixed Income | ||
Available-for-sale securities | ||
Debt Securities Cost | 18,169 | 15,325 |
Debt Securities Unrealized Gain/(Loss) | 409 | 1,145 |
Debt Securities Fair Value | 18,578 | 16,470 |
Treasury securities | ||
Available-for-sale securities | ||
Debt Securities Cost | 342 | |
Debt Securities Fair Value | 342 | |
Equity | ||
Available-for-sale securities | ||
Equity Securities Cost | 15,196 | 9,787 |
Equity Securities Unrealized Gain/(Loss) | 4,967 | 2,815 |
Equity Securities Fair Value | 20,163 | 12,602 |
Mutual Fund | ||
Available-for-sale securities | ||
Debt Securities Cost | 9,222 | 8,235 |
Debt Securities Unrealized Gain/(Loss) | 3,325 | 1,430 |
Debt Securities Fair Value | 12,547 | 9,665 |
Alternative Investments | ||
Available-for-sale securities | ||
Debt Securities Cost | 3,003 | 1,904 |
Debt Securities Unrealized Gain/(Loss) | 782 | 136 |
Debt Securities Fair Value | $ 3,785 | $ 2,040 |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) $ in Thousands, $ in Millions | Dec. 20, 2021USD ($) | Nov. 22, 2021USD ($)location | Nov. 01, 2021USD ($) | Nov. 01, 2021AUD ($) | Sep. 27, 2021USD ($)ft² | Apr. 29, 2021USD ($) | Apr. 19, 2021USD ($) | Apr. 12, 2021USD ($)employeestate | Mar. 01, 2021USD ($) | Mar. 01, 2021AUD ($) | Dec. 28, 2020USD ($)facility | Nov. 10, 2020USD ($) | Oct. 01, 2020USD ($) | Sep. 30, 2020USD ($)location | Jul. 14, 2020USD ($) | Mar. 13, 2020USD ($) | Dec. 25, 2021USD ($) |
Business Acquisition | |||||||||||||||||
Aggregate acquisitions' net sales | $ 1,200 | ||||||||||||||||
Aggregate acquisitions' operating profit | $ 50,500 | ||||||||||||||||
Advantage | Industrial | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 20,854 | ||||||||||||||||
Percentage of stock purchase (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 11,481 | ||||||||||||||||
Net Tangible Assets | 9,373 | ||||||||||||||||
Acquired entity, trailing 12-months sales | $ 19,800 | ||||||||||||||||
Ficus | All Other | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 11,155 | ||||||||||||||||
Percentage of stock purchase (as a percent) | 70.00% | ||||||||||||||||
Number of plant locations | location | 10 | ||||||||||||||||
Intangible Assets | $ 9,106 | ||||||||||||||||
Net Tangible Assets | 2,049 | ||||||||||||||||
Acquired entity, trailing 12-months sales | $ 39,000 | ||||||||||||||||
Boxpack Packaging | All Other | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 5,984 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 5,681 | ||||||||||||||||
Net Tangible Assets | $ 303 | ||||||||||||||||
Acquired entity, trailing 12-months sales | $ 8.2 | ||||||||||||||||
Shelter Products | Construction | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 6,443 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 4,039 | ||||||||||||||||
Net Tangible Assets | 2,404 | ||||||||||||||||
Acquired entity, prior year sales | $ 11,400 | ||||||||||||||||
Square feet of warehouse | ft² | 87,800 | ||||||||||||||||
Endurable Building Products | Construction | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 10,129 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 7,099 | ||||||||||||||||
Net Tangible Assets | 3,030 | ||||||||||||||||
Acquired entity, prior year sales | $ 15,000 | ||||||||||||||||
Walnut Hollow Farm, Inc. | Retail | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 8,549 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 1,526 | ||||||||||||||||
Net Tangible Assets | 7,023 | ||||||||||||||||
Acquired entity, prior year sales | $ 11,600 | ||||||||||||||||
Spartanburg Forest Products, Inc. | Retail | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 153,462 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Net Tangible Assets | $ 153,462 | ||||||||||||||||
Acquired entity, prior year sales | $ 543,000 | ||||||||||||||||
Number of Employees | employee | 150 | ||||||||||||||||
Number of states in which the entity operates | state | 5 | ||||||||||||||||
J. C. Gilmore Pty Ltd | All Other | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 4,724 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 4,264 | ||||||||||||||||
Net Tangible Assets | 460 | ||||||||||||||||
Acquired entity, prior year sales | $ 10,000 | $ 15 | |||||||||||||||
PalletOne | Industrial | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 259,011 | ||||||||||||||||
Percentage of stock purchase (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 79,917 | ||||||||||||||||
Net Tangible Assets | 179,094 | ||||||||||||||||
Acquired entity, trailing 12-months sales | $ 698,000 | ||||||||||||||||
Number of pallet manufacturing facilities | facility | 17 | ||||||||||||||||
Number of pressure-treating facilities | facility | 5 | ||||||||||||||||
Atlantic Prefab, Inc., Exterior Designs, LLC and Patriot Building Systems, LLC | Construction | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 21,268 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 11,923 | ||||||||||||||||
Net Tangible Assets | 9,345 | ||||||||||||||||
Acquired entity, prior year sales | $ 28,000 | ||||||||||||||||
FRCT | Retail | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 5,936 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 5,222 | ||||||||||||||||
Net Tangible Assets | 714 | ||||||||||||||||
Acquired entity, prior year sales | $ 6,400 | ||||||||||||||||
Enwrap | All Other | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 3,475 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 50.00% | ||||||||||||||||
Number of plant locations | location | 8 | ||||||||||||||||
Intangible Assets | $ 7,267 | ||||||||||||||||
Net Tangible Assets | (1,369) | ||||||||||||||||
Acquired entity, prior year sales | $ 14,000 | ||||||||||||||||
T&R Lumber Company | Industrial | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 18,496 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 12,458 | ||||||||||||||||
Net Tangible Assets | 6,038 | ||||||||||||||||
Acquired entity, prior year sales | $ 31,000 | ||||||||||||||||
Quest Design | Construction | |||||||||||||||||
Business Acquisition | |||||||||||||||||
Purchase Price | $ 22,951 | ||||||||||||||||
Percentage of assets purchased (as a percent) | 100.00% | ||||||||||||||||
Intangible Assets | $ 20,262 | ||||||||||||||||
Net Tangible Assets | 2,689 | ||||||||||||||||
Acquired entity, prior year sales | $ 22,000 |
BUSINESS COMBINATIONS - Acquire
BUSINESS COMBINATIONS - Acquired Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 |
Business Acquisition | |||
GOODWILL | $ 315,038 | $ 252,193 | $ 229,536 |
Advantage | |||
Business Acquisition | |||
GOODWILL | 11,481 | ||
Goodwill - Tax Deductible | 11,481 | ||
Ficus | |||
Business Acquisition | |||
GOODWILL | 8,889 | ||
Goodwill - Tax Deductible | 8,889 | ||
Boxpack Packaging | |||
Business Acquisition | |||
GOODWILL | 1,978 | ||
Goodwill - Tax Deductible | 4,672 | ||
Shelter Products | |||
Business Acquisition | |||
GOODWILL | 2,020 | ||
Goodwill - Tax Deductible | 4,039 | ||
Endurable Building Products | |||
Business Acquisition | |||
GOODWILL | 2,482 | ||
Goodwill - Tax Deductible | 7,099 | ||
Walnut Hollow Farm, Inc. | |||
Business Acquisition | |||
GOODWILL | 263 | ||
Goodwill - Tax Deductible | 1,526 | ||
J. C. Gilmore Pty Ltd | |||
Business Acquisition | |||
GOODWILL | 1,938 | ||
Goodwill - Tax Deductible | 3,876 | ||
PalletOne | |||
Business Acquisition | |||
GOODWILL | 44,378 | ||
Goodwill - Tax Deductible | 79,917 | ||
Atlantic Prefab | |||
Business Acquisition | |||
GOODWILL | 1,356 | ||
Goodwill - Tax Deductible | 3,543 | ||
Exterior Designs | |||
Business Acquisition | |||
GOODWILL | 2,241 | ||
Goodwill - Tax Deductible | 5,740 | ||
Patriot Building Systems | |||
Business Acquisition | |||
GOODWILL | 1,036 | ||
Goodwill - Tax Deductible | 2,640 | ||
FRCT | |||
Business Acquisition | |||
GOODWILL | 1,962 | ||
Goodwill - Tax Deductible | 5,222 | ||
Enwrap | |||
Business Acquisition | |||
GOODWILL | 3,705 | ||
Goodwill - Tax Deductible | 6,820 | ||
T&R Lumber Company | |||
Business Acquisition | |||
GOODWILL | 4,258 | ||
Goodwill - Tax Deductible | 12,458 | ||
Quest Design | |||
Business Acquisition | |||
GOODWILL | 8,041 | ||
Goodwill - Tax Deductible | 20,262 | ||
Non-compete agreements | Atlantic Prefab | |||
Business Acquisition | |||
Intangible assets other than goodwill | 417 | ||
Non-compete agreements | Exterior Designs | |||
Business Acquisition | |||
Intangible assets other than goodwill | 667 | ||
Non-compete agreements | Patriot Building Systems | |||
Business Acquisition | |||
Intangible assets other than goodwill | 306 | ||
Non-compete agreements | FRCT | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,090 | ||
Non-compete agreements | Enwrap | |||
Business Acquisition | |||
Intangible assets other than goodwill | 790 | ||
Non-compete agreements | T&R Lumber Company | |||
Business Acquisition | |||
Intangible assets other than goodwill | 600 | ||
Patents | Enwrap | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,293 | ||
Customer relationships | Boxpack Packaging | |||
Business Acquisition | |||
Intangible assets other than goodwill | 2,694 | ||
Customer relationships | Shelter Products | |||
Business Acquisition | |||
Intangible assets other than goodwill | 2,019 | ||
Customer relationships | Endurable Building Products | |||
Business Acquisition | |||
Intangible assets other than goodwill | 4,617 | ||
Customer relationships | Walnut Hollow Farm, Inc. | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,263 | ||
Customer relationships | J. C. Gilmore Pty Ltd | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,938 | ||
Customer relationships | PalletOne | |||
Business Acquisition | |||
Intangible assets other than goodwill | 18,089 | ||
Customer relationships | Atlantic Prefab | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,620 | ||
Customer relationships | Exterior Designs | |||
Business Acquisition | |||
Intangible assets other than goodwill | 2,592 | ||
Customer relationships | Patriot Building Systems | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,188 | ||
Customer relationships | FRCT | |||
Business Acquisition | |||
Intangible assets other than goodwill | 1,960 | ||
Customer relationships | Enwrap | |||
Business Acquisition | |||
Intangible assets other than goodwill | 558 | ||
Customer relationships | T&R Lumber Company | |||
Business Acquisition | |||
Intangible assets other than goodwill | 5,000 | ||
Customer relationships | Quest Design | |||
Business Acquisition | |||
Intangible assets other than goodwill | 10,318 | ||
Tradename | PalletOne | |||
Business Acquisition | |||
Intangible assets other than goodwill | 17,450 | ||
Tradename | Atlantic Prefab | |||
Business Acquisition | |||
Intangible assets other than goodwill | 150 | ||
Tradename | Exterior Designs | |||
Business Acquisition | |||
Intangible assets other than goodwill | 240 | ||
Tradename | Patriot Building Systems | |||
Business Acquisition | |||
Intangible assets other than goodwill | 110 | ||
Tradename | FRCT | |||
Business Acquisition | |||
Intangible assets other than goodwill | 210 | ||
Tradename | Enwrap | |||
Business Acquisition | |||
Intangible assets other than goodwill | 474 | ||
Tradename | T&R Lumber Company | |||
Business Acquisition | |||
Intangible assets other than goodwill | 2,600 | ||
Tradename | Quest Design | |||
Business Acquisition | |||
Intangible assets other than goodwill | $ 1,903 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Goodwill impairment | $ 11,485 | ||
Indefinite-lived intangible assets | $ 7,369 | 7,401 | |
Amortization of intangibles | $ 13,948 | $ 8,716 | $ 6,325 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Goodwill by Reporting Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 25, 2021 | Dec. 26, 2020 | |
Goodwill | ||
Goodwill, Beginning Balance | $ 252,193 | $ 229,536 |
Acquisitions | 74,503 | 33,535 |
Purchase Accounting Adjustments | (10,680) | 204 |
Impairments | (11,485) | |
Foreign Exchange, Net | (978) | 403 |
Goodwill, Ending Balance | 315,038 | 252,193 |
Retail | ||
Goodwill | ||
Goodwill, Beginning Balance | 61,943 | 58,098 |
Acquisitions | 13,115 | 3,643 |
Purchase Accounting Adjustments | (1,682) | 202 |
Goodwill, Ending Balance | 73,376 | 61,943 |
Industrial | ||
Goodwill | ||
Goodwill, Beginning Balance | 87,827 | 81,276 |
Acquisitions | 43,006 | 6,549 |
Purchase Accounting Adjustments | (2,292) | 2 |
Goodwill, Ending Balance | 128,541 | 87,827 |
Construction | ||
Goodwill | ||
Goodwill, Beginning Balance | 90,729 | 82,911 |
Acquisitions | 4,502 | 18,902 |
Purchase Accounting Adjustments | (6,228) | |
Impairments | (11,485) | |
Foreign Exchange, Net | (3) | 401 |
Goodwill, Ending Balance | 89,000 | 90,729 |
Construction | Commercial | ||
Goodwill | ||
Impairments | (11,500) | |
All Other | ||
Goodwill | ||
Goodwill, Beginning Balance | 11,694 | 7,251 |
Acquisitions | 13,880 | 4,441 |
Purchase Accounting Adjustments | (478) | |
Foreign Exchange, Net | (975) | 2 |
Goodwill, Ending Balance | $ 24,121 | $ 11,694 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Included in Other Amortizable Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Finite-Lived Intangible Assets | ||
Assets | $ 148,809 | $ 99,268 |
Accumulated Amortization | (39,792) | (27,016) |
Net Value | 109,017 | 72,252 |
Non-compete agreements | ||
Finite-Lived Intangible Assets | ||
Assets | 8,490 | 4,847 |
Accumulated Amortization | (4,160) | (2,728) |
Net Value | 4,330 | 2,119 |
Customer relationships | ||
Finite-Lived Intangible Assets | ||
Assets | 101,158 | 80,343 |
Accumulated Amortization | (25,012) | (17,021) |
Net Value | 76,146 | 63,322 |
Licensing agreements | ||
Finite-Lived Intangible Assets | ||
Assets | 4,589 | 4,589 |
Accumulated Amortization | (4,589) | (4,589) |
Patents | ||
Finite-Lived Intangible Assets | ||
Assets | 3,221 | 965 |
Accumulated Amortization | (1,137) | (509) |
Net Value | 2,084 | 456 |
Tradename | ||
Finite-Lived Intangible Assets | ||
Assets | 30,392 | 8,019 |
Accumulated Amortization | (4,599) | (2,123) |
Net Value | 25,793 | 5,896 |
Software | ||
Finite-Lived Intangible Assets | ||
Assets | 959 | 505 |
Accumulated Amortization | (295) | (46) |
Net Value | $ 664 | $ 459 |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLE ASSETS - Estimated Useful Lives of Intangible Assets (Details) | 12 Months Ended |
Dec. 25, 2021 | |
Non-compete agreements | |
Acquired Finite-Lived Intangible Assets | |
Weighted average amortization period | 7 years 9 months 18 days |
Customer relationships | |
Acquired Finite-Lived Intangible Assets | |
Weighted average amortization period | 9 years 8 months 12 days |
Licensing agreements | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 10 years |
Weighted average amortization period | 10 years |
Patents | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 10 years |
Weighted average amortization period | 10 years |
Tradename | |
Acquired Finite-Lived Intangible Assets | |
Weighted average amortization period | 11 years |
Software | |
Acquired Finite-Lived Intangible Assets | |
Weighted average amortization period | 3 years 6 months |
Minimum | Non-compete agreements | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 3 years |
Minimum | Customer relationships | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 5 years |
Minimum | Tradename | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 5 years |
Minimum | Software | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 3 years |
Maximum | Non-compete agreements | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 15 years |
Maximum | Customer relationships | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 15 years |
Maximum | Tradename | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 15 years |
Maximum | Software | |
Acquired Finite-Lived Intangible Assets | |
Estimated useful life | 5 years |
GOODWILL AND OTHER INTANGIBLE_7
GOODWILL AND OTHER INTANGIBLE ASSETS - Estimated Amortization Expense for Intangibles (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity | ||
2022 | $ 13,734 | |
2023 | 12,878 | |
2024 | 12,409 | |
2025 | 11,901 | |
2026 | 10,944 | |
Thereafter | 47,151 | |
Net Value | $ 109,017 | $ 72,252 |
DEBT - Narrative (Details)
DEBT - Narrative (Details) - USD ($) $ in Millions | Nov. 01, 2018 | Dec. 25, 2021 | Feb. 28, 2021 | Feb. 27, 2021 | Dec. 26, 2020 | Aug. 10, 2020 |
Debt | ||||||
Outstanding letters of credit | $ 54.2 | $ 41 | ||||
Fair value of long-term debt including current portion | 334.6 | |||||
Difference between fair value and carrying value of debt | 14.3 | |||||
Revolving Credit Facility | ||||||
Debt | ||||||
Term of debt | 5 years | |||||
Maximum borrowing capacity | $ 375 | $ 550 | $ 375 | |||
Outstanding letters of credit | 40 | |||||
Outstanding letters of credit that can be converted to foreign currency | $ 100 | |||||
Remaining borrowing capacity | $ 535.1 | $ 363.2 | ||||
Revolving Credit Facility | Minimum | ||||||
Debt | ||||||
Facility fee (in hundredths) | 0.125% | |||||
Revolving Credit Facility | Maximum | ||||||
Debt | ||||||
Facility fee (in hundredths) | 0.30% | |||||
Series 2018 C Senior Notes | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 4.20% | 4.20% | ||||
Series 2018 D Senior Notes | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 4.27% | 4.27% | ||||
Series 2020 E Senior Notes | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 3.04% | 3.04% | ||||
Debt | $ 50 | |||||
Series 2020 F Senior Notes | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 3.08% | 3.08% | ||||
Debt | $ 50 | |||||
Series 2020 G Senior Notes | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 3.15% | 3.15% | ||||
Debt | $ 50 | |||||
Series 2012 Senior Notes Tranche A | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 3.89% | 3.89% | ||||
Series 2012 Senior Notes Tranche B | Senior Notes | ||||||
Debt | ||||||
Interest rate (in hundredths) | 3.98% | 3.98% | ||||
Letter of Credit | ||||||
Debt | ||||||
Interest rate (in hundredths) | 1.125% | |||||
Term of debt | 1 year | |||||
Letter of Credit | Industrial Development Revenue Bonds | ||||||
Debt | ||||||
Outstanding letters of credit | $ 7.1 |
DEBT - Long-term Debt Obligatio
DEBT - Long-term Debt Obligations (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Feb. 28, 2021 | Feb. 27, 2021 | Dec. 26, 2020 | Aug. 10, 2020 | Nov. 01, 2018 |
Debt | ||||||
Total | $ 320,362 | $ 311,853 | ||||
Less current portion | (42,683) | (100) | ||||
Less debt issuance costs | (112) | (146) | ||||
Long-term portion | 277,567 | 311,607 | ||||
Finance Leases and Foreign Affiliate Debt | ||||||
Debt | ||||||
Total | 5,544 | 138 | ||||
Senior Notes | Series 2020 E Senior Notes | ||||||
Debt | ||||||
Total | $ 50,000 | 50,000 | ||||
Interest rate (in hundredths) | 3.04% | 3.04% | ||||
Senior Notes | Series 2020 F Senior Notes | ||||||
Debt | ||||||
Total | $ 50,000 | 50,000 | ||||
Interest rate (in hundredths) | 3.08% | 3.08% | ||||
Senior Notes | Series 2020 G Senior Notes | ||||||
Debt | ||||||
Total | $ 50,000 | 50,000 | ||||
Interest rate (in hundredths) | 3.15% | 3.15% | ||||
Senior Notes | Series 2018 C Senior Notes | ||||||
Debt | ||||||
Total | $ 40,000 | $ 40,000 | ||||
Interest rate (in hundredths) | 4.20% | 4.20% | ||||
Senior Notes | Series 2018 D Senior Notes | ||||||
Debt | ||||||
Total | $ 35,000 | $ 35,000 | ||||
Interest rate (in hundredths) | 4.27% | 4.27% | ||||
Senior Notes | Series 2012 Senior Notes Tranche A | ||||||
Debt | ||||||
Total | $ 35,000 | $ 35,000 | ||||
Interest rate (in hundredths) | 3.89% | 3.89% | ||||
Senior Notes | Series 2012 Senior Notes Tranche B | ||||||
Debt | ||||||
Total | $ 40,000 | $ 40,000 | ||||
Interest rate (in hundredths) | 3.98% | 3.98% | ||||
Revolving Credit Facility | ||||||
Debt | ||||||
Maximum borrowing capacity | $ 550,000 | $ 375,000 | $ 375,000 | |||
Revolving Credit Facility | Domestic and Foreign Borrowings | ||||||
Debt | ||||||
Total | $ 7,800 | $ 4,700 | ||||
Revolving Credit Facility | Foreign Affiliate Debt | ||||||
Debt | ||||||
Total | $ 7,818 | $ 4,715 | ||||
Interest rate at period end (in hundredths) | 1.06% | 1.125% | ||||
Corporate Debt Securities | Series 1999 Industrial Development Revenue Bonds | ||||||
Debt | ||||||
Total | $ 3,300 | $ 3,300 | ||||
Interest rate at period end (in hundredths) | 0.14% | 0.20% | ||||
Corporate Debt Securities | Series 2002 Industrial Development Revenue Bonds | ||||||
Debt | ||||||
Total | $ 3,700 | $ 3,700 | ||||
Interest rate at period end (in hundredths) | 0.18% | 0.22% |
DEBT - Principal Maturities of
DEBT - Principal Maturities of Long-Term Debt and Capital Lease Obligations (Details) $ in Thousands | Dec. 25, 2021USD ($) |
Principal Maturities | |
2022 | $ 42,683 |
2023 | 8,863 |
2024 | 40,214 |
2026 | 302 |
Thereafter | 228,300 |
Total | $ 320,362 |
LEASES (Details)
LEASES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Leases | |||
Retained earnings | $ 1,678,121 | $ 1,182,680 | |
Right-of-use assets | 96,703 | 77,245 | |
Operating lease liability | $ 99,787 | ||
Lessee, Operating Lease, Existence of Option to Extend | true | ||
Rent expense | $ 40,100 | $ 28,400 | $ 29,900 |
Operating lease weighted average remaining term | 7 years 3 months 29 days | 6 years 10 months 2 days | |
Operating lease weighted average discount rate | 2.87% | 3.12% | |
Lease costs | |||
Operating lease cost | $ 30,054 | $ 21,594 | |
Short-term lease cost | 5,264 | 2,863 | |
Variable lease cost | 4,761 | 3,985 | |
Sublease Income | 3,109 | 1,013 | |
Total lease cost | 36,970 | 27,429 | |
Cash paid - operation leases | 27,400 | $ 20,000 | |
Right-of-use assets obtained in exchange for new operating leases | 46,700 | $ 12,800 | |
Future minimum payments | |||
2022 | 26,378 | ||
2023 | 21,040 | ||
2024 | 15,842 | ||
2025 | 13,164 | ||
2026 | 11,140 | ||
Thereafter | 27,123 | ||
Total minimum lease payments | 114,687 | ||
Less present value discount | (14,900) | ||
Total lease liability | $ 99,787 | ||
Minimum | |||
Leases | |||
Length of lease (in years) | 1 year | ||
Renewal options of lease | 5 years | ||
Minimum | Motor vehicles | |||
Leases | |||
Length of lease (in years) | 1 year | ||
Minimum | Equipment | |||
Leases | |||
Length of lease (in years) | 1 year | ||
Minimum | Aircraft | |||
Leases | |||
Length of lease (in years) | 1 year | ||
Maximum | |||
Leases | |||
Length of lease (in years) | 10 years | ||
Renewal options of lease | 15 years | ||
Maximum | Motor vehicles | |||
Leases | |||
Length of lease (in years) | 10 years | ||
Maximum | Equipment | |||
Leases | |||
Length of lease (in years) | 10 years | ||
Maximum | Aircraft | |||
Leases | |||
Length of lease (in years) | 10 years |
DEFERRED COMPENSATION (Details)
DEFERRED COMPENSATION (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019 | Dec. 25, 2021 | Dec. 26, 2020 | |
Deferred compensation | |||
Deferred compensation liability | $ 200 | $ 200 | |
Increase in investment in life insurance contracts | $ 15,253 | ||
Liabilities related to Plan | 42,100 | 36,600 | |
Other Assets | |||
Deferred compensation | |||
Investment in life insurance contracts | 12,700 | 13,300 | |
Assets held by the Plan | $ 700 | $ 600 |
COMMON STOCK (Details)
COMMON STOCK (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | Feb. 15, 2022 | |
Common stock | ||||
Granted (in shares) | 560,516 | 348,016 | 318,496 | |
Share-based compensation expense | $ 11.2 | $ 4 | $ 4 | |
Income tax benefit from share-based compensation | 2.7 | 1 | 0.8 | |
Cash received from option exercises and share issuances under plans | $ 2.1 | $ 1.4 | 1.1 | |
Stock Repurchase Program [Abstract] | ||||
Repurchase of shares (in shares) | 0 | 756,397 | ||
Subsequent Event | ||||
Stock Repurchase Program [Abstract] | ||||
Additional shares authorized for repurchase (in shares) | 1,500,000 | |||
Cumulative total authorized shares available for repurchase (in shares) | 2,600,000 | |||
Stock Purchase Plan | ||||
Common stock | ||||
Discount rate from fair market value on purchase date (in hundredths) | 85.00% | |||
Stock Retainer Plan | ||||
Common stock | ||||
Multiplier of retainer fee (in hundredths) | 110.00% | |||
Stock Retainer Plan expense | $ 1.7 | $ 1.8 | 1.8 | |
Stock Options | ||||
Common stock | ||||
Unrecognized compensation expense of stock options | 0 | 0 | $ 0 | |
Bonus Awards | ||||
Common stock | ||||
Amount of grants | $ 60 | |||
Granted (in shares) | 751,978 | |||
Share-based compensation expense | $ 11.5 | $ 4 | ||
Bonus Awards | Awards with three year vesting | ||||
Common stock | ||||
Vesting period (in years) | 3 years | |||
Bonus Awards | Awards with five year vesting | ||||
Common stock | ||||
Vesting period (in years) | 5 years | |||
Bonus Awards | Awards with eight year vesting | ||||
Common stock | ||||
Vesting period (in years) | 8 years | |||
Performance Shares | ||||
Common stock | ||||
Amount of grants | $ 2.3 | |||
Granted (in shares) | 28,866 | |||
Vesting period (in years) | 3 years |
COMMON STOCK - Common Stock Iss
COMMON STOCK - Common Stock Issuances (Details) - $ / shares | 12 Months Ended | |
Dec. 25, 2021 | Dec. 26, 2020 | |
Common Stock | ||
Forfeitures | (9,000) | |
Repurchase of common stock | 0 | 756,397 |
Stock Purchase Plan | ||
Common Stock | ||
Common stock issued | 33,000 | 35,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 75.18 | $ 46.71 |
Stock Gift Program | ||
Common Stock | ||
Common stock issued | 2,000 | 3,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 78.37 | $ 48.10 |
Stock Retainer Plan | ||
Common Stock | ||
Common stock issued | 5,000 | 46,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 72.66 | $ 25.31 |
Bonus Plan | ||
Common Stock | ||
Common stock issued | 487,000 | 271,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 59.56 | $ 47.52 |
Executive Stock Grants Plan | ||
Common Stock | ||
Common stock issued | 77,000 | 79,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 60.24 | $ 47.60 |
Deferred Compensation Plans | ||
Common Stock | ||
Common stock issued | 117,000 | 128,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 64.14 | $ 53.79 |
Stock grant programs | ||
Common Stock | ||
Forfeitures | (24,000) | |
Common stock issued, net of forfeitures | 547,000 | 390,000 |
Average Share Price | ||
Common stock issued (dollars per share) | $ 59.84 | $ 44.96 |
COMMON STOCK - Nonvested Restri
COMMON STOCK - Nonvested Restricted Shares Awards (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | Dec. 29, 2018 | |
Restricted Awards | ||||
Nonvested, beginning balance (in shares) | 1,363,794 | 1,202,895 | 1,160,079 | |
Granted (in shares) | 560,516 | 348,016 | 318,496 | |
Vested (in shares) | (274,271) | (177,790) | (224,894) | |
Forfeited (in shares) | (23,007) | (9,327) | (50,786) | |
Nonvested, ending balance (in shares) | 1,627,032 | 1,363,794 | 1,202,895 | 1,160,079 |
Weighted Average Grant Date Fair Value | ||||
Nonvested, beginning balance (in dollars per share) | $ 35.14 | $ 29.68 | $ 23.32 | |
Granted (in dollars per share) | 60.24 | 47.60 | 32.60 | |
Vested (in dollars per share) | 26.50 | 22.69 | 23.42 | |
Forfeited (in dollars per share) | 39.68 | 33.46 | 24.18 | |
Nonvested, ending balance (in dollars per share) | $ 45.23 | $ 35.14 | $ 29.68 | $ 23.32 |
Unrecognized Compensation Expense | ||||
Nonvested restricted awards, unrecognized compensation expense | $ 6.6 | $ 6.3 | $ 7.9 | $ 7.6 |
Nonvested restricted awards, weighted-average period to recognize expense | 5 months 4 days | 7 months 13 days | 10 months 9 days | 1 year 1 month 13 days |
RETIREMENT PLANS (Details)
RETIREMENT PLANS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Employer matching contribution, percent (in hundredths) | 25.00% | 25.00% | 25.00% |
Defined contribution plan, cost recognized | $ 9.2 | $ 7.2 | $ 6.5 |
Additional matching contributions | $ 3.7 | 2.9 | $ 2.6 |
Maximum annual contribution per employee (in hundredths) | 6.00% | ||
Number of years of service with the Company | 20 years | ||
Number of years of service with the Company as on officer | 10 years | ||
Other Liabilities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Liabilities related to Plan | $ 13.1 | $ 11.8 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Currently Payable: | |||
Federal | $ 115,077 | $ 59,055 | $ 35,267 |
State and local | 30,441 | 16,709 | 10,071 |
Foreign | 21,095 | 8,601 | 5,834 |
Total current payable | 166,613 | 84,365 | 51,172 |
Net Deferred: | |||
Federal | 6,242 | 2,292 | 6,895 |
State and local | 118 | (1,518) | 805 |
Foreign | 999 | 1,962 | (602) |
Total net deferred | 7,359 | 2,736 | 7,098 |
Income Tax Expense (Benefit), Total | $ 173,972 | $ 87,101 | $ 58,270 |
INCOME TAXES - Components of Ea
INCOME TAXES - Components of Earnings before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Components of earnings before income taxes [Abstract] | |||
U.S. | $ 645,316 | $ 308,167 | $ 220,532 |
Foreign | 81,020 | 32,816 | 20,142 |
Total. | $ 726,336 | $ 340,983 | $ 240,674 |
INCOME TAXES - Effective Income
INCOME TAXES - Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Effective income tax rate reconciliation | |||
Statutory federal income tax rate | 21.00% | 21.00% | 21.00% |
State and local taxes (net of federal benefits) | 3.30% | 3.40% | 3.90% |
Effect of noncontrolling owned interest in earnings of partnerships | (0.10%) | ||
Tax credits, including foreign tax credit | (0.60%) | (0.90%) | (1.30%) |
Change in uncertain tax positions reserve | (0.10%) | (0.10%) | (0.10%) |
Other permanent differences | (0.40%) | 0.60% | 0.50% |
Other, net | 0.70% | 1.50% | 0.30% |
Effective income tax rate | 23.90% | 25.50% | 24.20% |
INCOME TAXES - Components of De
INCOME TAXES - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 25, 2021 | Dec. 26, 2020 |
Deferred Tax Assets | ||
Employee benefits | $ 27,543 | $ 23,236 |
Lease liability | 24,627 | 19,376 |
Net operating loss carryforwards | 5,502 | 6,463 |
Foreign subsidiary capital loss carryforward | 527 | 527 |
Other tax credits | 450 | 391 |
Inventory | 2,007 | 1,633 |
Reserves on receivables | 1,446 | 1,630 |
Accrued expenses | 5,735 | 3,071 |
Other, net | 5,233 | 8,483 |
Gross deferred income tax assets | 73,070 | 64,810 |
Valuation allowance | (3,952) | (4,044) |
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent, Total | 69,118 | 60,766 |
Deferred Tax Liabilities | ||
Depreciation | (64,387) | (41,403) |
Intangibles | (38,367) | (22,840) |
Right of use assets | (23,866) | (19,376) |
Deferred income tax liabilities | (126,620) | (83,619) |
Net deferred income tax liability | $ (57,502) | $ (22,853) |
INCOME TAXES - NOL and Credit C
INCOME TAXES - NOL and Credit Carryforwards (Details) $ in Thousands | Dec. 25, 2021USD ($) |
Operating Loss and Credit Carryforwards | |
Valuation allowance - NOL carryforwards | $ 3,400 |
Domestic Tax Authority | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 790 |
Domestic Tax Authority | 2037 - 2041 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 790 |
State | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 2,352 |
Tax Credits | 450 |
State | 2027 - 2031 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 436 |
State | 2036 - 2036 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 670 |
Tax Credits | 450 |
State | 2037 - 2041 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 808 |
State | Thereafter | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 438 |
Foreign Country | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 2,360 |
Foreign Country | 2022 - 2026 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 536 |
Foreign Country | 2027 - 2031 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 1,424 |
Foreign Country | 2036 - 2036 | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 106 |
Foreign Country | Thereafter | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 294 |
Federal, state and foreign | |
Operating Loss and Credit Carryforwards | |
Net Operating Losses | 5,500 |
Capital Loss Carryforward | |
Operating Loss and Credit Carryforwards | |
Valuation allowance - NOL carryforwards | 500 |
Wholly-owned subsidiary | Capital Loss Carryforward | |
Operating Loss and Credit Carryforwards | |
Valuation allowance - NOL carryforwards | $ 500 |
ACCOUNTING FOR UNCERTAINTY IN_3
ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Reconciliation of beginning and ending amount of unrecognized tax benefits [Roll Forward] | |||
Gross unrecognized tax benefits beginning of year | $ 3,892 | $ 4,166 | $ 4,378 |
Increase in tax positions for prior years | 437 | ||
Decrease in tax positions for prior years | (82) | (129) | |
Increase in tax positions for current year | 839 | 730 | 768 |
Lapse in statute of limitations | (1,565) | (922) | (851) |
Gross unrecognized tax benefits end of year | 3,603 | 3,892 | 4,166 |
Income tax penalties and interest accrued | 500 | $ 500 | $ 500 |
Increase in unrecognized tax benefits is reasonably possible | $ 1,100 |
COMMITMENTS, CONTINGENCIES, A_2
COMMITMENTS, CONTINGENCIES, AND GUARANTEES (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 25, 2021 | Dec. 26, 2020 | |
Long-term commitment | ||
Outstanding purchase commitments on capital projects | $ 52.7 | |
Surety Bonds and Letters of Credit | ||
Outstanding letters of credit | 54.2 | $ 41 |
Open Projects | ||
Surety Bonds and Letters of Credit | ||
Payment and performance bonds outstanding | 31.5 | |
Completed Projects | ||
Surety Bonds and Letters of Credit | ||
Payment and performance bonds outstanding | 10.7 | |
Insurance Contracts | ||
Surety Bonds and Letters of Credit | ||
Outstanding letters of credit | 47.1 | |
Revenue Bonds | ||
Surety Bonds and Letters of Credit | ||
Outstanding letters of credit | $ 7.1 |
SEGMENT REPORTING - NARRATIVE (
SEGMENT REPORTING - NARRATIVE (Details) - Total Sales - Customer Concentration - customer | 12 Months Ended | ||
Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Two Customers | |||
Concentration risk | |||
Number of customers | 2 | 2 | 2 |
Home Depot | |||
Concentration risk | |||
Percent of sales | 16.00% | 24.00% | 19.00% |
Lowes | |||
Concentration risk | |||
Percent of sales | 10.00% | 4.00% | 4.00% |
SEGMENT REPORTING - Information
SEGMENT REPORTING - Information By Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021 | Sep. 25, 2021 | Jun. 26, 2021 | Mar. 27, 2021 | Dec. 26, 2020 | Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Segment Reporting | |||||||||||
Net sales | $ 2,016,805 | $ 2,093,784 | $ 2,700,541 | $ 1,825,004 | $ 1,393,708 | $ 1,486,227 | $ 1,242,001 | $ 1,032,062 | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
Interest expense | 13,814 | 9,311 | 8,700 | ||||||||
Amortization expense | 13,948 | 8,716 | 6,325 | ||||||||
Depreciation | 84,184 | 63,964 | 60,494 | ||||||||
Segment earnings before income taxes | 726,336 | 340,983 | 240,674 | ||||||||
Segment assets | 3,245,271 | 2,404,891 | 3,245,271 | 2,404,891 | 1,889,477 | ||||||
Capital expenditures | 151,166 | 89,182 | 84,933 | ||||||||
Intersegment net sales | |||||||||||
Segment Reporting | |||||||||||
Net sales | (838,254) | (540,039) | (437,257) | ||||||||
Corporate | |||||||||||
Segment Reporting | |||||||||||
Net sales | 8,748 | 1,981 | 723 | ||||||||
Interest expense | 13,519 | 9,197 | 8,479 | ||||||||
Amortization expense | 214 | 46 | |||||||||
Depreciation | 25,765 | 23,384 | 22,116 | ||||||||
Segment earnings before income taxes | (8,555) | (5,236) | (8,379) | ||||||||
Segment assets | 579,890 | 770,112 | 579,890 | 770,112 | 450,299 | ||||||
Capital expenditures | 40,622 | 32,604 | 31,050 | ||||||||
Retail | Operating Segments | |||||||||||
Segment Reporting | |||||||||||
Net sales | 3,418,337 | 2,167,122 | 1,498,710 | ||||||||
Interest expense | 98 | 2 | |||||||||
Amortization expense | 2,780 | 1,482 | 1,380 | ||||||||
Depreciation | 16,955 | 11,675 | 11,041 | ||||||||
Segment earnings before income taxes | 124,790 | 155,364 | 61,708 | ||||||||
Segment assets | 844,189 | 510,464 | 844,189 | 510,464 | 402,221 | ||||||
Capital expenditures | 40,408 | 16,277 | 15,502 | ||||||||
Retail | Intersegment net sales | |||||||||||
Segment Reporting | |||||||||||
Net sales | 214,400 | 142,839 | 135,705 | ||||||||
Industrial | Operating Segments | |||||||||||
Segment Reporting | |||||||||||
Net sales | 2,148,142 | 1,072,117 | 1,085,635 | ||||||||
Interest expense | 12 | 22 | 108 | ||||||||
Amortization expense | 6,093 | 4,159 | 3,034 | ||||||||
Depreciation | 26,219 | 15,163 | 14,340 | ||||||||
Segment earnings before income taxes | 264,958 | 83,430 | 82,913 | ||||||||
Segment assets | 741,672 | 416,487 | 741,672 | 416,487 | 377,329 | ||||||
Capital expenditures | 42,652 | 21,141 | 20,134 | ||||||||
Industrial | Intersegment net sales | |||||||||||
Segment Reporting | |||||||||||
Net sales | 85,954 | 45,217 | 45,010 | ||||||||
Construction | Operating Segments | |||||||||||
Segment Reporting | |||||||||||
Net sales | 2,698,434 | 1,695,684 | 1,637,156 | ||||||||
Interest expense | 1 | 16 | |||||||||
Amortization expense | 3,525 | 2,152 | 1,164 | ||||||||
Depreciation | 13,151 | 12,123 | 11,465 | ||||||||
Segment earnings before income taxes | 264,238 | 69,092 | 82,407 | ||||||||
Segment assets | 736,157 | 510,972 | 736,157 | 510,972 | 522,638 | ||||||
Capital expenditures | 22,344 | 16,902 | 16,097 | ||||||||
Construction | Intersegment net sales | |||||||||||
Segment Reporting | |||||||||||
Net sales | 82,026 | 68,294 | 56,116 | ||||||||
All Other | Operating Segments | |||||||||||
Segment Reporting | |||||||||||
Net sales | 362,473 | 217,094 | 193,785 | ||||||||
Interest expense | 184 | 90 | 97 | ||||||||
Amortization expense | 1,336 | 877 | 747 | ||||||||
Depreciation | 2,094 | 1,619 | 1,532 | ||||||||
Segment earnings before income taxes | 80,905 | 38,333 | 22,025 | ||||||||
Segment assets | $ 343,363 | $ 196,856 | 343,363 | 196,856 | 136,990 | ||||||
Capital expenditures | 5,140 | 2,258 | 2,150 | ||||||||
All Other | Intersegment net sales | |||||||||||
Segment Reporting | |||||||||||
Net sales | $ 455,874 | $ 283,689 | $ 200,426 |
SEGMENT REPORTING - Informati_2
SEGMENT REPORTING - Information Regarding Principal Geographic Areas (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021 | Sep. 25, 2021 | Jun. 26, 2021 | Mar. 27, 2021 | Dec. 26, 2020 | Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Revenues and Long-Lived Assets | |||||||||||
Net sales | $ 2,016,805 | $ 2,093,784 | $ 2,700,541 | $ 1,825,004 | $ 1,393,708 | $ 1,486,227 | $ 1,242,001 | $ 1,032,062 | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
Long-Lived Tangible Assets | 734,630 | 514,705 | 734,630 | 514,705 | 506,483 | ||||||
United States | |||||||||||
Revenues and Long-Lived Assets | |||||||||||
Net sales | 8,395,737 | 5,022,014 | 4,308,618 | ||||||||
Long-Lived Tangible Assets | 679,757 | 478,325 | 679,757 | 478,325 | 469,605 | ||||||
Foreign | |||||||||||
Revenues and Long-Lived Assets | |||||||||||
Net sales | 240,397 | 131,984 | 107,391 | ||||||||
Long-Lived Tangible Assets | $ 54,873 | $ 36,380 | $ 54,873 | $ 36,380 | $ 36,878 |
SEGMENT REPORTING - Gross Sales
SEGMENT REPORTING - Gross Sales by Major Product Classification (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021 | Sep. 25, 2021 | Jun. 26, 2021 | Mar. 27, 2021 | Dec. 26, 2020 | Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
Revenue | |||||||||||
Net sales | $ 2,016,805 | $ 2,093,784 | $ 2,700,541 | $ 1,825,004 | $ 1,393,708 | $ 1,486,227 | $ 1,242,001 | $ 1,032,062 | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
Value-Added | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 59.70% | 64.30% | 59.70% | 64.30% | 69.30% | ||||||
Commodity-Based Sales | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 40.30% | 35.70% | 40.30% | 35.70% | 30.70% | ||||||
Intersegment net sales | |||||||||||
Revenue | |||||||||||
Net sales | $ (838,254) | $ (540,039) | $ (437,257) | ||||||||
Corporate | |||||||||||
Revenue | |||||||||||
Net sales | $ 8,748 | $ 1,981 | $ 723 | ||||||||
Retail | Value-Added | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 43.20% | 53.80% | 43.20% | 53.80% | 57.80% | ||||||
Retail | Commodity-Based Sales | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 56.80% | 46.20% | 56.80% | 46.20% | 42.20% | ||||||
Retail | Operating Segments | |||||||||||
Revenue | |||||||||||
Net sales | $ 3,418,337 | $ 2,167,122 | $ 1,498,710 | ||||||||
Retail | Operating Segments | Deckorators | |||||||||||
Revenue | |||||||||||
Net sales | 248,765 | 219,930 | 185,221 | ||||||||
Retail | Operating Segments | Prowood | |||||||||||
Revenue | |||||||||||
Net sales | 1,349,901 | 1,215,201 | 786,720 | ||||||||
Retail | Operating Segments | Outdoor Essentials | |||||||||||
Revenue | |||||||||||
Net sales | 392,826 | 299,684 | 227,767 | ||||||||
Retail | Operating Segments | Sunbelt | |||||||||||
Revenue | |||||||||||
Net sales | 773,909 | ||||||||||
Retail | Operating Segments | UFP Edge | |||||||||||
Revenue | |||||||||||
Net sales | 148,927 | 114,987 | 95,608 | ||||||||
Retail | Operating Segments | Handprint | |||||||||||
Revenue | |||||||||||
Net sales | 101,090 | 88,351 | 52,553 | ||||||||
Retail | Operating Segments | Retail Building Materials | |||||||||||
Revenue | |||||||||||
Net sales | 395,894 | 225,253 | 149,153 | ||||||||
Retail | Operating Segments | Other Retail | |||||||||||
Revenue | |||||||||||
Net sales | 7,025 | 3,716 | 1,688 | ||||||||
Retail | Intersegment net sales | |||||||||||
Revenue | |||||||||||
Net sales | $ 214,400 | $ 142,839 | $ 135,705 | ||||||||
Industrial | Value-Added | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 67.70% | 64.70% | 67.70% | 64.70% | 66.20% | ||||||
Industrial | Commodity-Based Sales | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 32.30% | 35.30% | 32.30% | 35.30% | 33.80% | ||||||
Industrial | Operating Segments | |||||||||||
Revenue | |||||||||||
Net sales | $ 2,148,142 | $ 1,072,117 | $ 1,085,635 | ||||||||
Industrial | Operating Segments | North Industrial | |||||||||||
Revenue | |||||||||||
Net sales | 615,092 | 385,132 | 376,515 | ||||||||
Industrial | Operating Segments | Southeast Industrial | |||||||||||
Revenue | |||||||||||
Net sales | 395,069 | 229,316 | 255,419 | ||||||||
Industrial | Operating Segments | Southwest Industrial | |||||||||||
Revenue | |||||||||||
Net sales | 400,515 | 238,643 | 241,774 | ||||||||
Industrial | Operating Segments | West Industrial | |||||||||||
Revenue | |||||||||||
Net sales | 363,300 | 206,022 | 197,686 | ||||||||
Industrial | Operating Segments | PalletOne | |||||||||||
Revenue | |||||||||||
Net sales | 355,347 | ||||||||||
Industrial | Operating Segments | Protective Packaging | |||||||||||
Revenue | |||||||||||
Net sales | 18,819 | 13,004 | 14,241 | ||||||||
Industrial | Intersegment net sales | |||||||||||
Revenue | |||||||||||
Net sales | $ 85,954 | $ 45,217 | $ 45,010 | ||||||||
Construction | Value-Added | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 73.00% | 76.30% | 73.00% | 76.30% | 81.40% | ||||||
Construction | Commodity-Based Sales | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 27.00% | 23.70% | 27.00% | 23.70% | 18.60% | ||||||
Construction | Operating Segments | |||||||||||
Revenue | |||||||||||
Net sales | $ 2,698,434 | $ 1,695,684 | $ 1,637,156 | ||||||||
Construction | Operating Segments | Factory Built | |||||||||||
Revenue | |||||||||||
Net sales | 1,098,905 | 597,017 | 479,927 | ||||||||
Construction | Operating Segments | Site Built | |||||||||||
Revenue | |||||||||||
Net sales | 1,190,393 | 725,899 | 708,767 | ||||||||
Construction | Operating Segments | Commercial | |||||||||||
Revenue | |||||||||||
Net sales | 259,360 | 221,988 | 290,785 | ||||||||
Construction | Operating Segments | Concrete Forming | |||||||||||
Revenue | |||||||||||
Net sales | 149,776 | 150,780 | 157,677 | ||||||||
Construction | Intersegment net sales | |||||||||||
Revenue | |||||||||||
Net sales | 82,026 | 68,294 | 56,116 | ||||||||
All Other | Operating Segments | |||||||||||
Revenue | |||||||||||
Net sales | 362,473 | 217,094 | 193,785 | ||||||||
All Other | Intersegment net sales | |||||||||||
Revenue | |||||||||||
Net sales | $ 455,874 | $ 283,689 | $ 200,426 | ||||||||
All Other and Corporate | Value-Added | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 74.90% | 75.60% | 74.90% | 75.60% | 75.80% | ||||||
All Other and Corporate | Commodity-Based Sales | |||||||||||
Revenue | |||||||||||
Portion of total net sales (as a percent) | 25.10% | 24.40% | 25.10% | 24.40% | 24.20% |
QUARTERLY FINANCIAL INFORMATI_3
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 25, 2021 | Sep. 25, 2021 | Jun. 26, 2021 | Mar. 27, 2021 | Dec. 26, 2020 | Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Dec. 25, 2021 | Dec. 26, 2020 | Dec. 28, 2019 | |
NET SALES | $ 2,016,805 | $ 2,093,784 | $ 2,700,541 | $ 1,825,004 | $ 1,393,708 | $ 1,486,227 | $ 1,242,001 | $ 1,032,062 | $ 8,636,134 | $ 5,153,998 | $ 4,416,009 |
Gross profit | 371,564 | 327,555 | 421,294 | 286,554 | 187,055 | 241,074 | 204,931 | 167,236 | 1,406,967 | 800,296 | 685,518 |
NET EARNINGS | 147,006 | 125,747 | 175,360 | 104,251 | 64,757 | 78,861 | 69,694 | 40,570 | 552,364 | 253,882 | 182,404 |
Net earnings attributable to controlling interest | $ 137,906 | $ 121,041 | $ 173,382 | $ 103,311 | $ 62,952 | $ 77,204 | $ 66,463 | $ 40,159 | $ 535,640 | $ 246,778 | $ 179,650 |
EARNINGS PER SHARE - BASIC (USD per share) | $ 2.21 | $ 1.94 | $ 2.79 | $ 1.67 | $ 1.02 | $ 1.25 | $ 1.08 | $ 0.65 | $ 8.61 | $ 4 | $ 2.91 |
EARNINGS PER SHARE - DILUTED (USD per share) | $ 2.21 | $ 1.94 | $ 2.78 | $ 1.67 | $ 1.02 | $ 1.25 | $ 1.08 | $ 0.65 | $ 8.59 | $ 4 | $ 2.91 |
Minimum | |||||||||||
Length of fiscal quarter | 91 days | 91 days |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event - USD ($) shares in Millions, $ in Millions | Dec. 27, 2021 | Feb. 15, 2022 |
Subsequent Event | ||
Additional shares authorized for repurchase (in shares) | 1.5 | |
Cumulative total authorized shares available for repurchase (in shares) | 2.6 | |
Ultra | ||
Subsequent Event | ||
Percentage of stock purchase (as a percent) | 100.00% | |
Purchase Price | $ 26.8 |