FARMER BROTHERS CO

CIK:0000034563|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2025	Dec. 31, 2024	Dec. 31, 2025	Dec. 31, 2024
Income Statement [Abstract]
Net sales	$ 88,923	$ 90,021	$ 170,524	$ 175,086
Cost of goods sold	56,656	51,182	105,821	98,930
Gross profit	32,267	38,839	64,703	76,156
Selling expenses	26,706	26,760	52,509	53,987
General and administrative expenses	8,805	9,534	17,602	20,786
Net losses on disposal of assets	892	1,527	1,909	3,193
Operating expenses	36,403	37,821	72,020	77,966
(Loss) income from operations	(4,136)	1,018	(7,317)	(1,810)
Other (expense) income:
Interest expense	(1,200)	(1,922)	(2,524)	(3,713)
Other, net	470	1,033	950	783
Total other expense	(730)	(889)	(1,574)	(2,930)
(Loss) income before taxes	(4,866)	129	(8,891)	(4,740)
Income tax (benefit) expense	0	(81)	0	52
Net (loss) income	$ (4,866)	$ 210	$ (8,891)	$ (4,792)
Net (loss) income available to common stockholders per common share, basic (in dollars per share)	$ (0.22)	$ 0.01	$ (0.41)	$ (0.23)
Net (loss) income available to common stockholders per common share, diluted (in dollars per share)	$ (0.22)	$ 0.01	$ (0.41)	$ (0.23)
Weighted average common shares outstanding, basic (in shares)	21,669,663	21,314,911	21,631,753	21,289,073
Weighted average common shares outstanding, diluted (in shares)	21,669,663	22,357,699	21,631,753	21,289,073

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2025	Dec. 31, 2024
Cash flows from operating activities:
Net loss	$ (8,891)	$ (4,792)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities
Depreciation and amortization	5,208	5,817
Net losses on disposal of assets	1,909	3,193
Net losses on derivative instruments	0	3,183
401(k) and share-based compensation expense	1,001	1,037
Provision for credit losses	464	322
Change in operating assets and liabilities:
Accounts receivable, net	(1,233)	(782)
Inventories	444	4,458
Derivative assets, net	0	(3,635)
Other assets	(208)	(115)
Accounts payable	1,033	(3,795)
Accrued expenses and other	(5,520)	155
Net cash (used in) provided by operating activities	(5,793)	5,046
Cash flows from investing activities:
Purchases of property, plant and equipment	(3,762)	(5,362)
Proceeds from sales of property, plant and equipment	50	165
Net cash used in investing activities	(3,712)	(5,197)
Cash flows from financing activities:
Proceeds from Credit Facilities	7,000	7,000
Repayments on Credit Facilities	0	(7,000)
Payments of finance lease obligations	(98)	(96)
Payment of financing costs	(7)	(24)
Net cash provided by (used in) financing activities	6,895	(120)
Net (decrease) in cash and cash equivalents and restricted cash	(2,610)	(271)
Cash and cash equivalents and restricted cash at beginning of period	6,974	6,005
Cash and cash equivalents and restricted cash at end of period	4,364	5,734
Supplemental disclosure of non-cash investing and financing activities:
Right-of-use assets obtained in exchange for new operating lease liabilities	3,356	8,890
Non cash additions to property, plant and equipment	$ 0	$ 54

CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands	Dec. 31, 2025	Jun. 30, 2025
Current assets:
Cash and cash equivalents	$ 4,186	$ 6,796
Restricted cash	178	178
Accounts receivable, net of allowance for credit losses of $652 and $650, respectively	25,527	24,758
Inventories	49,395	49,839
Prepaid expenses	4,351	3,975
Total current assets	83,637	85,546
Property, plant and equipment, net	25,704	27,845
Intangible assets, net	7,933	9,033
Right-of-use operating lease assets	33,875	38,347
Other assets	301	461
Total assets	151,450	161,232
Current liabilities:
Accounts payable	38,704	37,669
Accrued payroll expenses	8,199	12,692
Right-of-use operating lease liabilities - current	15,263	16,773
Other current liabilities	3,784	3,893
Total current liabilities	65,950	71,027
Long-term borrowings under revolving credit facility	21,300	14,300
Accrued pension liabilities	6,509	7,322
Accrued workers’ compensation liabilities	2,513	2,619
Right-of-use operating lease liabilities - noncurrent	19,258	22,195
Other long-term liabilities	262	221
Total liabilities	115,792	117,684
Commitments and contingencies
Stockholders’ equity:
Common stock, $1.00 par value, 50,000,000 shares authorized; 21,720,306 and 21,560,985 shares issued and outstanding as of December 31, 2025 and June 30, 2025, respectively	21,720	21,561
Additional paid-in capital	82,508	81,666
Accumulated deficit	(53,761)	(44,870)
Accumulated other comprehensive loss	(14,809)	(14,809)
Total stockholders’ equity	35,658	43,548
Total liabilities and stockholders’ equity	$ 151,450	$ 161,232