TORO CO

We operate in two reportable business segments: Professional and Residential. Segment earnings for our Professional and Residential segments are defined as earnings from operations plus other income, net. Our remaining activities are presented as "Other" due to their insignificance. Operating loss for our Other activities included earnings (loss) from our wholly-owned domestic distribution company, Red Iron joint venture, corporate activities, other income, and interest expense. Corporate activities include general corporate expenditures, such as finance, human resources, legal, information services, public relations, and similar activities, as well as other unallocated corporate assets and liabilities, such as corporate facilities and deferred tax assets and liabilities. The following tables summarize net sales for our reportable business segments and Other activities:

The following tables summarize segment earnings for our reportable business segments and operating (loss) for our Other activities:

Professional Segment

Segment Net Sales

Worldwide net sales for our Professional segment for the first quarter of fiscal 2024 decreased 14.1 percent compared to the first quarter of fiscal 2023. The decrease was driven primarily by lower shipments of zero-turn mowers and snow and ice management products, partially offset by higher shipments of underground and specialty construction products, and golf and grounds equipment.

Segment Earnings

Professional segment earnings for the first quarter of fiscal 2024 decreased 21.7 percent compared to the first quarter of fiscal 2023, and Professional segment earnings margin decreased to 14.9 percent from 16.4 percent in the first quarter of fiscal 2023. The decrease in Professional segment earnings margin was primarily due to lower net sales volume, partially offset by favorable product mix.

Residential Segment

Segment Net Sales

Worldwide net sales for our Residential segment for the first quarter of fiscal 2024 decreased 9.3 percent compared to the first quarter of fiscal 2023. The decrease was primarily driven by lower shipments of snow products and zero-turn mowers, partially offset by higher shipments of walk-power mowers and portable power products.

Segment Earnings

Residential segment earnings for the first quarter of fiscal 2024 decreased 37.8 percent compared to the first quarter of fiscal 2023, and Residential segment earnings margin decreased to 9.8 percent from 14.3 percent in the first quarter of fiscal 2023. The decrease in Residential segment earnings margin for the first quarter of fiscal 2024 was largely driven by product mix.

Other Activities

Other Net Sales

Net sales for our Other activities includes sales from our wholly-owned domestic distribution company net of intersegment sales from the Professional and Residential segments to the distribution company. Net sales for our Other activities in the first quarter of fiscal 2024 increased by $1.8 million compared to the same period in fiscal 2023.

Other Operating Loss

The operating loss for our Other activities for the first quarter of fiscal 2024 increased $5.6 million compared to the first quarter of fiscal 2023 and was primarily due to higher corporate expenses and higher interest expense.