What changed in this filing

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Item 1. Business

2025-06-12 compared with 2024-06-13 · 31 added, 23 removed, 111 unchanged (33% of the section changed)

12 unchanged sentences

The Company’s Internet address is www.senecafoods.com .

The Company’s annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, are available on the Company’s web site, as soon as reasonably practicable after they are electronically filed with or furnished to the SEC.

All such filings on the Company’s web site are available free of charge.

The Company’s annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, are available on the Company’s website, as soon as reasonably practicable after they are electronically filed with or furnished to the SEC.

All such filings on the Company’s website are available free of charge.

Information on our website is not part of the annual report on Form 10-K.

4 unchanged sentences

Vegetable and Fruit/Snack.

The Other category comprises non-food operations including revenue derived from the sale of cans, ends, seed, and outside revenue from the Company's trucking and aircraft operations, and certain corporate items.

The Other category comprises non-food operations including revenue derived from the sale of cans, ends, seed, and outside revenue from the Company's aircraft operations, and certain corporate items.

The Company’s food operations constituted 98% of total net sales in fiscal year 2025.

24 unchanged sentences

The cost of raw materials, fuel, labor, distribution and other costs related to our operations can increase from time to time significantly and unexpectedly.

The Company continues to experience material cost inflation for many of its raw materials and other input costs attributable to a number of factors, including but not limited to, supply chain disruptions (including raw material shortages), labor shortages, the conflict between Russia and Ukraine, and the conflict in Israel and Gaza.

While the Company has no direct exposure to these conflicts, it has continued to experience increased costs for transportation, energy, and raw materials due in part to the negative impact on the global economy.

The Company attempts to manage cost inflation risks by locking in prices through short-term supply contracts, advance grower purchase agreements, and by implementing cost saving measures.

The Company experienced material cost increases to various production inputs during the last several years due to a number of factors, including but not limited to, supply chain disruptions, steel supply and pricing, raw material shortages, labor shortages, and the conflict between Russia and Ukraine.

While the Company has no direct exposure to this foreign conflict, it had a negative impact on the global economy which increased certain of our input costs.

While some of the factors mentioned above have started to ease and stabilize during fiscal year 2025, the Company’s costs remain elevated as compared to historical levels.

The Company attempts to manage costs by locking in prices through short-term supply contracts, advance grower purchase agreements, and by implementing cost saving measures.

The Company also attempts to offset rising input costs by raising sales prices to its customers.

However, increases in the prices the Company charges its customers may lag behind rising input costs.

Competitive pressures also may limit the Company’s ability to quickly raise prices in response to rising costs.

Competitive pressures and pricing methodologies employed in the various sales channels in which the Company competes also may limit its ability to raise prices in response to rising costs.

To the extent the Company is unable to avoid or offset any present or future cost increases, its operating results could be materially adversely affected.

Domestic and International Sales

The following table sets forth domestic and international sales (in thousands, except percentages):

United States and International Sales

The following table sets forth United States and international net sales (in thousands, except percentages):

United States

International

1 unchanged sentence

As a percentage of net sales:

United States

International

3 unchanged sentences

The Company holds the Libby's® brand name pursuant to a trademark license.

The license is limited to vegetables which are shelf-stable, frozen, and thermally packaged, and includes the Company's major vegetable varieties – corn, peas and green beans – as well as certain other thermally packaged vegetable varieties and sauerkraut.

The license is limited to vegetables which are shelf-stable, frozen, and thermally packaged, and includes the Company's major vegetable varieties – sweet corn, peas and green beans – as well as certain other thermally packaged vegetable varieties and sauerkraut.

The license is renewable by the Company every 10 years for an aggregate period expiring in March 2081.

2 unchanged sentences

The Company also sells canned vegetables, frozen vegetables, jarred fruit, and other food products under several other brands for which the Company has obtained registered trademarks, including, Aunt Nellie’s®, CherryMan®, Green Valley®, READ®, Seneca®, and other regional brands.

While individual vegetables have seasonal cycles of peak production and sales, the different cycles are somewhat offsetting.

The Company’s production cycle begins with planting in the spring followed by harvesting and packaging during the second and third fiscal quarters with sales spanning over the following twelve months.

Minimal food packaging occurs in the Company's last fiscal quarter ending March 31, which is the optimal time for maintenance, repairs and equipment changes in its packaging plants.

1 unchanged sentence

When the seasonal harvesting periods of the Company's major vegetables are newly completed, inventories for these packaged vegetables are at their highest levels.

For peas, the peak inventory time is mid-summer and for corn and green beans, the Company's highest volume vegetables, the peak inventory is in mid-autumn.

The seasonal nature of the Company’s production cycle results in inventory and accounts payable reaching their lowest point late in mid-to-late first quarter prior to the new seasonal pack commencing.

For peas, the peak inventory time is mid-summer and for sweet corn and green beans, the Company's highest volume vegetables, the peak inventory is in mid-autumn.

The seasonal nature of the Company’s production cycle results in inventory and accounts payable typically reaching their lowest point in mid-to-late first quarter prior to the new seasonal pack commencing.

As the seasonal pack progresses, these components of working capital both increase until the pack is complete.

The Company’s revenues typically are highest in the second and third fiscal quarters.

This is due, in part, because the Company’s fruit and vegetable sales exhibit seasonal increases in the third fiscal quarter due to increased retail demand during the holiday season.

In addition, the Company sells canned and frozen vegetables to a co-pack customer on a bill and hold basis at the end of each pack cycle, which typically occurs during these quarters.

The Company’s fruit and vegetable sales exhibit seasonal increases in the third fiscal quarter due to increased retail demand during the holiday season.

In addition, the Company sells canned and frozen vegetables to a co-pack customer on a bill and hold basis during the pack cycle, which typically occurs in the second and third quarters.

Given the seasonal nature of the Company's sales, the accounts receivable balance typically reaches its highest point at the end of the second fiscal quarter.

These seasonal fluctuations are illustrated in the following table, which presents certain unaudited quarterly financial information for the periods indicated (in thousands):

Fiscal Year 2025:

Net earnings (loss)

Accounts receivable, net (at quarter end)

Inventories (at quarter end)

Accounts payable (at quarter end)

Revolver outstanding (at quarter end)

1 unchanged sentence

Net earnings (loss)

Accounts receivable, net (at quarter end)

Inventories (at quarter end)

Accounts payable (at quarter end)

Revolver outstanding (at quarter end)

1 unchanged sentence

The Company believes that it is a major producer of canned vegetables, frozen vegetables, and jarred fruit but some producers of these products have sales which exceed the Company's sales.

The Company is aware of at least 13 competitors in the U.S.

packaged fruit and vegetable industry, many of which are privately held companies.

The Company is aware of at least 13 competitors in the United States packaged fruit and vegetable industry, many of which are privately held companies.

Government Regulation

7 unchanged sentences

There has been a broad range of proposed and promulgated state, national and international regulations aimed at reducing the effects of climate change.

In the United States, there is a significant possibility that some form of regulation will be forthcoming at the federal level to address the effects of climate change.

In the United States, there is a possibility that some form of regulation will be forthcoming at the federal level to address the effects of climate change.

Such regulation could result in the creation of additional costs in the form of taxes, consultant expenses, the restriction of output, investments of capital to maintain compliance with laws and regulations or required acquisition or trading of emission allowances.

Climate change regulation continues to evolve, and while it is not possible to accurately estimate either a timetable for implementation or the Company’s future compliance costs relating to implementation, such regulation could have a material effect on our business, financial condition and results of operations.

Environmental Matters

Seneca publishes an annual Corporate Responsibility Report which highlights its vision for and approach to corporate sustainability and details key initiatives it is undertaking in the areas of environmental stewardship, social responsibility, and corporate governance.

Seneca publishes an annual Business Responsibility and Sustainability Report which highlights its vision for and approach to corporate sustainability and details key initiatives it is undertaking in the areas of environmental stewardship, social responsibility, and corporate governance.

The report is available on our website and is not a part of this Annual Report on Form 10-K.

2 unchanged sentences

The Board of Directors provides oversight as part of their evaluation of business responsibility and sustainability initiatives, and we will continue to monitor emerging developments and assess our performance in this area.

We may face additional economic and operational impacts from ESG regulations as well as impacts from our suppliers and customers as they adhere to the laws and regulations.

We may face additional economic and operational impacts from environmental and climate protection laws and regulations as well as impacts from our suppliers and customers as they adhere to such laws and regulations.

Human Capital

9 unchanged sentences

At Seneca, we believe that safety is everyone’s responsibility, and the HERO program reflects that commitment, with close to 100% employee participation.

The Company also conducts annual safety audits at all processing locations to ensure compliance with Seneca and OSHA safety standards.

The Company also conducts regular safety audits at all processing locations to ensure compliance with Seneca and OSHA safety standards.

External risk management services are also consulted as part of this process.

12 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business