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SEGMENT REPORTING | 12 Months Ended
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Dec. 31, 2022
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 Packaging 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, Packaging, and Construction segments. In the case of locations which serve multiple segments, results are allocated and accounted for by segment. Two customers, The Home Depot and Lowes, accounted for approximately 15% and 11%, respectively, of our total net sales in fiscal 2022, 16% and 10%, respectively, of our total net sales in fiscal 2021 and 24% and 4%, respectively, in 2020. 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 of 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, UFP Purchasing, and UFP RMS, LLC. The tables below are presented in thousands. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2022
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | All | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Retail |  | Packaging |  | Construction |  | Other |  | Corporate |  | Total
Net sales to outside customers | ​ | $ | 3,650,639 | ​ | $ | 2,394,681 | ​ | $ | 3,143,868 | ​ | $ | 431,611 | ​ | $ | 5,940 | ​ | $ | 9,626,739
Intersegment net sales | ​ |  | 392,740 | ​ |  | 78,409 | ​ |  | 110,523 | ​ |  | 421,406 | ​ |  | (1,003,078) | ​ |  | —
Interest expense | ​ |  | 177 | ​ |  | (2) | ​ |  | — | ​ |  | (1,310) | ​ |  | 15,045 | ​ |  | 13,910
Amortization expense | ​ |  | 4,131 | ​ |  | 6,925 | ​ |  | 3,358 | ​ |  | 4,571 | ​ |  | 514 | ​ |  | 19,499
Depreciation expense | ​ |  | 19,898 | ​ |  | 28,191 | ​ |  | 15,364 | ​ |  | 2,992 | ​ |  | 27,618 | ​ |  | 94,063
Segment earnings before income taxes | ​ |  | 150,165 | ​ |  | 333,087 | ​ |  | 397,446 | ​ |  | 56,813 | ​ |  | (2,695) | ​ |  | 934,816
Segment assets | ​ |  | 889,417 | ​ | ​ | 885,878 | ​ | ​ | 712,837 | ​ | ​ | 308,688 | ​ | ​ | 875,253 | ​ |  | 3,672,073
Capital expenditures | ​ |  | 55,806 | ​ | ​ | 55,129 | ​ | ​ | 54,167 | ​ | ​ | 3,968 | ​ | ​ | 5,054 | ​ |  | 174,124
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2021
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | All | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Retail |  | Packaging |  | 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 |  | Packaging |  | 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
​ Information regarding principal geographic areas was as follows (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2022 | ​ | 2021 | ​ | 2020
​ | ​ | ​ | ​ | ​ | Long-Lived | ​ | ​ | ​ | ​ | Long-Lived | ​ | ​ | ​ | ​ | Long-Lived
​ | ​ | ​ | ​ | ​ | Tangible | ​ | ​ | ​ | ​ | Tangible | ​ | ​ | ​ | ​ | Tangible
​ |  | Net Sales |  | Assets |  | Net Sales |  | Assets |  | Net Sales |  | Assets
United States | ​ | $ | 9,254,676 | ​ | $ | 770,921 | ​ | $ | 8,395,737 | ​ | $ | 679,757 | ​ | $ | 5,022,014 | ​ | $ | 478,325
Foreign | ​ |  | 372,063 | ​ | ​ | 126,840 | ​ | ​ | 240,397 | ​ | ​ | 54,873 | ​ | ​ | 131,984 | ​ | ​ | 36,380
Total | ​ | $ | 9,626,739 | ​ | $ | 897,761 | ​ | $ | 8,636,134 | ​ | $ | 734,630 | ​ | $ | 5,153,998 | ​ | $ | 514,705
​ ​ ​ The following table presents, for the periods indicated, our disaggregated net sales (in thousands) by business unit for each segment.
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | 2022 |  | 2021 |  | 2020
Retail | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Deckorators | ​ | $ | 326,011 | ​ | $ | 248,765 | ​ | $ | 219,930
Prowood and Outdoor Essentials | ​ |  | 2,228,509 | ​ |  | 2,239,711 | ​ |  | 1,828,489
Sunbelt | ​ | ​ | 924,441 | ​ | ​ | 773,909 | ​ | ​ | —
UFP Edge | ​ |  | 168,190 | ​ |  | 148,927 | ​ |  | 114,987
Other | ​ |  | 3,488 | ​ |  | 7,025 | ​ |  | 3,716
Total Retail | ​ | $ | 3,650,639 | ​ | $ | 3,418,337 | ​ | $ | 2,167,122
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Packaging | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
North (1) | ​ | $ | 646,278 | ​ | $ | 615,092 | ​ | $ | 385,132
Southeast (1) | ​ | ​ | 445,203 | ​ | ​ | 395,069 | ​ | ​ | 229,316
Southwest (1) | ​ | ​ | 468,274 | ​ | ​ | 400,515 | ​ | ​ | 238,643
West (1) | ​ | ​ | 379,038 | ​ | ​ | 363,300 | ​ | ​ | 206,022
PalletOne | ​ | ​ | 399,356 | ​ | ​ | 355,347 | ​ | ​ | —
Protective Packaging | ​ | ​ | 56,532 | ​ | ​ | 18,819 | ​ | ​ | 13,004
Total Packaging | ​ | $ | 2,394,681 | ​ | $ | 2,148,142 | ​ | $ | 1,072,117
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Construction | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Factory Built | ​ | $ | 1,181,837 | ​ | $ | 1,098,905 | ​ | $ | 597,017
Site Built | ​ |  | 1,361,607 | ​ |  | 1,190,393 | ​ |  | 725,899
Commercial | ​ | ​ | 336,298 | ​ | ​ | 259,360 | ​ | ​ | 221,988
Concrete Forming | ​ |  | 264,126 | ​ |  | 149,776 | ​ |  | 150,780
Total Construction | ​ | $ | 3,143,868 | ​ | $ | 2,698,434 | ​ | $ | 1,695,684
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
All Other | ​ | $ | 431,611 | ​ | $ | 362,473 | ​ | $ | 217,094
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Corporate | ​ | $ | 5,940 | ​ | $ | 8,748 | ​ | $ | 1,981
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total Net Sales | ​ | $ | 9,626,739 | ​ | $ | 8,636,134 | ​ | $ | 5,153,998
(1) Effective January 1, 2023, the Packaging segment established new business units as followings: Structural Packaging, PalletOne, and Protective Packaging Solutions. This change will result in the transfer of net sales from the these geographic business units to Structural Packaging and PalletOne in 2023. The following table presents, for the periods indicated, our percentage of value-added and commodity-based sales to total net sales by segment.
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2022 |  | 2021 |  | 2020
Value-Added | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Retail | ​ | ​ | 44.9% | ​ | ​ | 43.2% | ​ | ​ | 53.8%
Packaging | ​ | ​ | 72.0% | ​ | ​ | 67.7% | ​ | ​ | 64.7%
Construction | ​ | ​ | 77.2% | ​ | ​ | 73.0% | ​ | ​ | 76.3%
All Other | ​ | ​ | 76.3% | ​ | ​ | 74.7% | ​ | ​ | 76.0%
Corporate | ​ | ​ | 44.3% | ​ | ​ | 67.9% | ​ | ​ | 100.0%
Total | ​ | ​ | 63.4% | ​ | ​ | 59.7% | ​ | ​ | 64.3%
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Commodity-Based | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Retail | ​ | ​ | 55.1% | ​ | ​ | 56.8% | ​ | ​ | 46.2%
Packaging | ​ | ​ | 28.0% | ​ | ​ | 32.3% | ​ | ​ | 35.3%
Construction | ​ | ​ | 22.8% | ​ | ​ | 27.0% | ​ | ​ | 23.7%
All Other | ​ | ​ | 23.7% | ​ | ​ | 25.3% | ​ | ​ | 24.0%
Corporate | ​ | ​ | 55.7% | ​ | ​ | 32.1% | ​ | ​ | 0.0%
Total | ​ | ​ | 36.6% | ​ | ​ | 40.3% | ​ | ​ | 35.7%
​ fddf

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
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