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Business Segment Reporting | 9 Months Ended
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Feb. 28, 2021
Segment Reporting [Abstract] |
Business Segment Reporting | Business Segment Reporting The Company operates using three strategic reportable business segments, aligned with how the Chief Executive Officer, who is the chief operating decision maker (“CODM”), manages the business: the Curation Foods segment, the Lifecore segment, and the Other segment. The Curation Foods segment includes (i) four natural food brands, including activities to market and pack specialty packaged whole and fresh-cut fruits and vegetables under the Eat Smart or various private labels, sale of premium olive oil and vinegars under the O Olive Oil & Vinegar label, and the sale of avocado products under the Yucatan Foods and Cabo Fresh labels, (ii) BreatheWay® activities, and (iii) activity related to our 26.9% investment in Windset. The Lifecore segment sells products utilizing hyaluronan, a naturally occurring polysaccharide that is widely distributed in the extracellular matrix of connective tissues in both animals and humans, and non-HA products for medical use primarily in the Ophthalmic, Orthopedic and other markets. The Other segment includes corporate general and administrative expenses (which includes costs associated with legal claims, including the Tanok compliance matters and related litigation, and Pacific and Rancho litigation matter), non-Curation Foods and non-Lifecore interest expense, interest income, and income tax expenses. Corporate overhead is allocated between segments based on actual utilization and relative size. All of the Company's assets are located within the United States of America except for its Yucatan production facility located in Mexico. The Company’s international sales by geography are based on the billing address of the customer and were as follows:
| Three Months Ended |  | Nine Months Ended
(In millions) | February 28, 2021 |  | February 23, 2020 |  | February 28, 2021 |  | February 23, 2020
Canada | $ | 14.8 |  |  | $ | 19.6 |  |  | $ | 45.6 |  |  | $ | 58.8 |
Belgium | 6.0 |  |  | 9.3 |  |  | 12.6 |  |  | 12.4 |
Czech Republic | 0.8 |  |  | 2.1 |  |  | 2.5 |  |  | 2.1 |
Switzerland | 1.6 |  |  | 0.3 |  |  | 2.4 |  |  | 1.6 |
United Kingdom | 1.2 |  |  | 0.2 |  |  | 2.4 |  |  | 0.7 |
Ireland | 0.3 |  |  | — |  |  | 1.5 |  |  | 1.9 |
All Other Countries | 1.8 |  |  | 0.1 |  |  | 2.7 |  |  | 1.0 |
Operations by business segment consisted of the following:
(In thousands) | Curation Foods |  | Lifecore |  | Other |  | Total
Three Months Ended February 28, 2021 |  |  |  |  |  |  |
Net sales | $ | 110,557 |  |  | $ | 27,225 |  |  | $ | — |  |  | $ | 137,782 |
Gross profit | 8,128 |  |  | 11,561 |  |  | — |  |  | 19,689 |
Net (loss) income | (5,615) |  |  | 5,104 |  |  | (4,987) |  |  | (5,498) |
Depreciation and amortization | 2,994 |  |  | 1,385 |  |  | 22 |  |  | 4,401 |
Dividend income | 281 |  |  | — |  |  | — |  |  | 281 |
Interest income | — |  |  | — |  |  | 13 |  |  | 13 |
Interest expense | 1,375 |  |  | — |  |  | 2,803 |  |  | 4,178 |
Income tax (benefit) expense | (1,773) |  |  | 1,612 |  |  | (56) |  |  | (217) |
Corporate overhead allocation | 1,275 |  |  | 1,102 |  |  | (2,377) |  |  | — |
Nine Months Ended February 28, 2021 |  |  |  |  |  |  |
Net sales | $ | 332,080 |  |  | $ | 72,248 |  |  | $ | — |  |  | $ | 404,328 |
Gross profit | 29,635 |  |  | 27,036 |  |  | — |  |  | 56,671 |
Net (loss) income | (26,268) |  |  | 9,708 |  |  | (13,239) |  |  | (29,799) |
Depreciation and amortization | 9,310 |  |  | 4,055 |  |  | 76 |  |  | 13,441 |
Dividend income | 844 |  |  | — |  |  | — |  |  | 844 |
Interest income | — |  |  | — |  |  | 31 |  |  | 31 |
Interest expense | 4,127 |  |  | — |  |  | 6,199 |  |  | 10,326 |
Income tax (benefit) expense | (8,296) |  |  | 3,066 |  |  | (1,996) |  |  | (7,226) |
Corporate overhead allocation | 4,533 |  |  | 3,668 |  |  | (8,201) |  |  | — |
Three Months Ended February 23, 2020 |  |  |  |  |  |  |
Net sales | $ | 127,482 |  |  | $ | 25,446 |  |  | $ | — |  |  | $ | 152,928 |
Gross profit | 9,162 |  |  | 10,885 |  |  | — |  |  | 20,047 |
Net (loss) income | (12,636) |  |  | 4,910 |  |  | (3,792) |  |  | (11,518) |
Depreciation and amortization | 3,356 |  |  | 1,272 |  |  | 22 |  |  | 4,650 |
Dividend income | 281 |  |  | — |  |  | — |  |  | 281 |
Interest income | — |  |  | — |  |  | 46 |  |  | 46 |
Interest expense | 1,376 |  |  | — |  |  | 835 |  |  | 2,211 |
Income tax (benefit) expense | (4,901) |  |  | 1,467 |  |  | (1,876) |  |  | (5,310) |
Corporate overhead allocation | 1,401 |  |  | 1,043 |  |  | (2,444) |  |  | — |
Nine Months Ended February 23, 2020 |  |  |  |  |  |  |
Net sales | $ | 373,906 |  |  | $ | 60,329 |  |  | $ | — |  |  | $ | 434,235 |
Gross profit | 28,874 |  |  | 22,023 |  |  | — |  |  | 50,897 |
Net (loss) income | (23,154) |  |  | 6,974 |  |  | (6,862) |  |  | (23,042) |
Depreciation and amortization | 9,704 |  |  | 3,705 |  |  | 69 |  |  | 13,478 |
Dividend income | 843 |  |  | — |  |  | — |  |  | 843 |
Interest income | 31 |  |  | — |  |  | 65 |  |  | 96 |
Interest expense | 4,128 |  |  | — |  |  | 2,327 |  |  | 6,455 |
Income tax (benefit) expense | (7,210) |  |  | 1,920 |  |  | (2,550) |  |  | (7,840) |
Corporate overhead allocation | 4,510 |  |  | 2,979 |  |  | (7,489) |  |  | — |
During the nine months ended February 28, 2021 and February 23, 2020, sales to the Company’s top five customers accounted for 50% and 44% of sales, respectively. The Company’s top two customers, Walmart Stores, Inc. and Costco Wholesale Corporation, from the Curation Foods segment, accounted for 16% and 15%, respectively, of revenues for the nine months ended February 28, 2021, and 18% and 15%, respectively, for the nine months ended February 23, 2020.

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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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&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 http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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