Intangible Assets

8 Months Ended

Sep. 06, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

A summary of our amortizable intangible assets is as follows:


	9/6/2025						12/28/2024
	Gross		Accumulated Amortization		Net		Gross		Accumulated Amortization		Net
Acquired franchise rights	$	833	$	(239)	$	594	$	821	$	(223)	$	598
Customer relationships (a)	766		(330)		436		565		(279)		286
Brands	1,080		(1,013)		67		1,051		(977)		74
Other identifiable intangibles	433		(289)		144		420		(276)		144
Total	$	3,112	$	(1,871)	$	1,241	$	2,857	$	(1,755)	$	1,102

(a)Increase is primarily related to acquisitions of VNGR Beverage, LLC (poppi) and Garza Food Ventures LLC (Siete). See Note 12 for further information on acquisitions.

The components of indefinite-lived intangible assets are as follows:


	9/6/2025		12/28/2024
Goodwill	$	18,845	$	17,534
Other indefinite-lived intangible assets
Reacquired franchise rights	7,532		7,437
Acquired franchise rights	1,886		1,858
Brands (a)	4,193		4,404
Total indefinite-lived intangible assets	$	32,456	$	31,233

(a)Decrease is primarily related to impairments to the Rockstar and Be & Cheery brands as well as the sale of the Rockstar brand in connection with the transaction described below, partially offset by acquisitions of poppi and Siete. See Note 12 for further information on acquisitions.

During the 36 weeks ended September 6, 2025, recent business performance in conjunction with lower expectations of future business performance compared to projections, as well as the transaction discussed below, indicated a deterioration of the significant inputs used to determine the fair value of our indefinite-lived intangible assets in certain markets and required us to perform quantitative assessments on certain assets. The fair value of our indefinite-lived intangible assets was estimated using discounted cash flows under the income approach, which we consider to be a Level 3 (significant unobservable inputs) measurement. We determined that the carrying value exceeded the fair value, which reflected our most current estimates of future sales and their contributions to operating profit and expected future cash flows (including perpetuity growth assumptions), as well as an increase in the weighted-average cost of capital. As a result of the quantitative assessments, in the 36 weeks ended September 6, 2025, we recorded pre-tax impairment charges of $1.9 billion ($1.5 billion after-tax or $1.07 per share) in impairment of intangible assets primarily comprised of the Rockstar brand in our PBNA, EMEA, and IB Franchise segments, with $0.1 billion ($0.1 billion after-tax or $0.06 per share) recorded during the 12 weeks ended September 6, 2025 related to the Rockstar brand in our IB Franchise and PBNA segments. For further information on our policies for indefinite-lived intangible assets, see Note 2 to our consolidated financial statements in our Recast Segment Information.

On August 28, 2025, we consummated a transaction with Celsius Holdings, Inc. (Celsius), pursuant to which we acquired convertible preferred shares and transferred cash and certain non-cash assets, primarily the Rockstar brand of $0.5 billion in the United States and Canada (Celsius Transaction). For further information on the convertible preferred shares, see Note 9. On the same date, we entered into an agreement with Celsius to be the exclusive distributor for the Alani Nu brand in certain channels in the United States and Canada for approximately $0.2 billion, to start in the fourth quarter of 2025.

The change in the book value of goodwill is as follows:


	PFNA		PBNA		IB Franchise		EMEA(b)		LatAm Foods		Asia Pacific Foods		Total
Balance as of December 28, 2024	$	791	$	11,925	$	1,918	$	2,194	$	354	$	352	$	17,534
Acquisitions (a)	625		179		—		—		—		—		804

Translation and other	5		18		3		442		25		14		507
Balance as of September 6, 2025	$	1,421	$	12,122	$	1,921	$	2,636	$	379	$	366	$	18,845

(a)Related to the acquisitions of Siete in our PFNA segment and poppi in our PBNA segment. See Note 12 for further information on acquisitions.

(b)Translation and other primarily reflects the appreciation of the Russian ruble and the euro.