1 800 FLOWERS COM INC
For the period ended Mar 29, 2026. Filed May 7, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 29, 2026 · Filed May 7, 2026
FLWS$2.58-1.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-12-28; filed 2026-01-29.
0001084869-26-000007
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-29; filed 2026-05-07.
0001084869-26-000019
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 121 previous paragraphs and 133 current paragraphs.
87 unchanged; 32 reworded; 14 added; 2 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 17 previous and 18 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
Net revenues decreased 18.7% and 19.4% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth.
Current report
Goodwill and intangible impairment
Current report
During the quarter ended March 29, 2026, the Company recorded a non-cash goodwill and intangible impairment charge of $45.2 million, comprised of $34.6 million related to goodwill for its Consumer Floral & Gifts segment and $10.6 million attributable to the Personalization Mall tradename.
Current report
During the quarter ended March 30, 2025, the Company recorded a non-cash goodwill and intangible impairment charge of $138.2 million, comprised of $113.4 million related to goodwill for its Consumer Floral & Gifts segment and $24.8 million attributable to the Personalization Mall tradename.
Current report
See Note 6 - Goodwill, trademarks with indefinite lives and other intangibles, net in Item 1 for further information.
Current report
Other expense (income), net
Current report
Goodwill & Intangible Assets Assessment and Impairment
Current report
Interim Impairment Evaluation
Current report
During the quarter ended March 29, 2026, the Company evaluated whether events or circumstances had changed such that it was more likely than not that the fair value of its goodwill, intangibles and other long-lived assets were less than their carrying amounts. After consideration of current and projected operating results, changes in macro-economic conditions, and a decline in the Company’s market capitalization, the Company concluded that a triggering event had occurred for its Consumer Floral & Gifts reporting unit. As such, the Company performed an impairment test of the reporting unit’s goodwill, intangibles and long-lived assets as of March 29, 2026.
Current report
Impairment Assessments – Goodwill and Intangibles
Current report
The Company performed its goodwill impairment test by comparing the fair value of its Consumer Floral and Gifts reporting unit to its respective carrying value. The Company estimated the fair value of the Consumer Floral and Gifts reporting unit using an equal weighting of the income and market approaches, and a discount rate of 14.5%. The Company used industry accepted valuation models and set criteria that were reviewed and approved by various levels of management. Under the income approach, the Company used a discounted cash flow methodology that required management to make significant estimates and assumptions related to forecasted revenues, gross profit margins, operating income margins, perpetual growth rates, and long-term discount rates, among others. For the market approach, the Company used the guideline public company method. Under this method, the Company utilized information from comparable publicly traded companies with similar operating and investment characteristics as the reporting units, to create valuation multiples that were applied to the operating performance of the reporting unit being tested, in order to obtain their respective fair values. The Company also reconciled the aggregate fair values of its reporting units to its current market capitalization.
Current report
The Company’s impairment test for indefinite-lived intangible assets encompassed calculating a fair value of the indefinite-lived intangible asset and comparing that result to its carrying value. To determine fair value of indefinite-lived intangible assets, the Company used an income approach, the relief-from-royalty method. This method assumes that, in lieu of ownership, a third party would be willing to pay a royalty in order to obtain the rights to use the comparable asset. Indefinite-lived intangible assets’ fair values require significant judgments in determining both the assets’ estimated cash flows as well as the appropriate discount and royalty rates applied to those cash flows to determine fair value.
Current report
The Company’s impairment test for definite-lived and other long-lived assets was performed through a recoverability test, comparing projected undiscounted cash flows from the use and eventual disposition of the asset or asset group to its carrying value.
Current report
Based on the impairment assessment performed for the period ended March 29, 2026, the Company recorded a non-cash goodwill and intangible impairment charge of $45.2 million, comprised of $34.6 million attributable to the Consumer Floral & Gifts reporting unit's goodwill and $10.6 million attributable to the Personalization Mall tradename within the same reporting unit. The Company concluded that definite-lived and other long-lived assets of the reporting unit were not impaired.
Removed paragraphs (2)
Previous report
Net revenues decreased 22.7% and 19.7% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth.
Previous report
Other income, net
Reworded paragraphs (32)
Previous wording
1-800-FLOWERS.COM, Inc. and its subsidiaries (collectively, the “Company”) is a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships. The Company’s e-commerce business platform features our all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Scharffen Berger®, and Simply Chocolate®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, the Company strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad range of products and services designed to help its members grow their businesses profitably; Napco®, a resource for floral gifts and seasonal décor; and DesignPac®, a manufacturer of gift baskets and towers; and Card Isle®, an e-commerce greeting card service.
Current wording
1-800-FLOWERS.COM, Inc. and its subsidiaries (collectively, the “Company”) is a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships. The Company’s e-commerce business platform features our all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Scharffen Berger®, and Simply Chocolate®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, the Company strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad range of products and services designed to help its members grow their businesses profitably; Napco®, a resource for floral gifts and seasonal décor; DesignPac®, a manufacturer of gift baskets and towers; and Card Isle®, an e-commerce greeting card service.
Previous wording
The following table presents the adjusted net income and adjusted net income per common share:
Current wording
The following table presents the adjusted net loss and adjusted net loss per common share:
Previous wording
The following table presents the net revenues, gross profit, segment contribution margin, and adjusted segment contribution margin from each of the Company’s business segments:
Current wording
The following tables present the net revenues, gross profit, segment contribution margin, and adjusted segment contribution margin from each of the Company’s business segments:
Previous wording
(c) See reconciliation of the Company's net income to Adjusted EBITDA (non-GAAP) above.
Current wording
(c) See reconciliation of the Company's net loss to Adjusted EBITDA (non-GAAP) above.
Previous wording
Net revenues decreased 9.5% and 9.8% during the three and six months ended December 28, 2025, respectively, mainly due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth, offset in part by increased wholesale volume.
Current wording
Net revenues decreased 11.6% and 10.3% during the three and nine months ended March 29, 2026, respectively, mainly due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth, offset in part by increased wholesale volume.
Previous wording
E-commerce revenues (combined online and telephonic) decreased 12.1% and 12.2% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, primarily due to the decline in demand across our segments.
Current wording
E-commerce revenues (combined online and telephonic) decreased 14.4% and 12.7% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to the decline in demand in the Consumer Floral & Gifts segment of 18.9% and 19.5%, respectively.
Previous wording
During the three and six months ended December 28, 2025, the Company fulfilled approximately 6.2 million and 8.2 million orders through its e-commerce sales channel (online and telephonic sales), a decrease of 16.4% and 16.0% compared to the same periods of the prior year. During the three and six months ended December 28, 2025, the average order value increased 5.2% and 4.6% to $96.82 and $92.88, respectively, compared to the same periods of the prior year.
Current wording
During the three and nine months ended March 29, 2026, the Company fulfilled approximately 3.0 million and 11.2 million orders through its e-commerce sales channel (online and telephonic sales), a decrease of 18.5% and 16.6%, respectively, compared to the same periods of the prior year. During the three and nine months ended March 29, 2026, the average order value increased 5.0% and 4.6% to $83.39 and $90.49, respectively, compared to the same periods of the prior year.
Previous wording
Other revenues during the three and six months ended December 28, 2025 increased 8.5% and 3.8%, respectively, compared to the same periods of the prior year, primarily due to higher wholesale volume within the Gourmet Foods & Gift Baskets segment due to increased orders from big box retailers.
Current wording
Other revenues during the three and nine months ended March 29, 2026 increased 8.9% and 4.9%, respectively, compared to the same periods of the prior year, primarily due to higher wholesale volume within the Gourmet Foods & Gift Baskets segment due to increased orders from big box retailers.
Previous wording
Consumer Floral & Gifts – this segment, which includes the operations of the 1-800-Flowers.com®, Personalization Mall®, and Things Remembered®, derives revenue from the sale of consumer floral products and gifts through its e-commerce sales channels (telephonic and online sales), retail stores, and royalties from its franchise operations.
Current wording
Consumer Floral & Gifts – this segment, which includes the operations of the 1-800-Flowers.com®, Personalization Mall®, and Things Remembered® brands, derives revenues from the sale of consumer floral products and gifts through its e-commerce sales channels (telephonic and online sales), retail stores, and royalties from its franchise operations.
Previous wording
During the three and six months ended December 28, 2025, Consumer Floral & Gifts orders through the Company's e-commerce sales channel (online and telephonic sales) decreased 26.0% and 23.0%, respectively, compared to the same periods of the prior year. In addition, during the three and six months ended December 28, 2025, the average order value increased 4.4% and 4.1%, respectively, compared to the same periods of the prior year.
Current wording
During the three and nine months ended March 29, 2026, Consumer Floral & Gifts orders through the Company's e-commerce sales channel (online and telephonic sales) decreased 24.3% and 23.4%, respectively, compared to the same periods of the prior year. In addition, during the three and nine months ended March 29, 2026, the average order value increased 7.1% and 5.1%, respectively, compared to the same periods of the prior year.
Previous wording
Net revenues decreased 3.1% and 1.4% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year. The revenue decrease was primarily due to lower membership and transaction revenues primarily from lower network order volumes and lower directory revenue.
Current wording
Net revenues decreased 5.9% and 3.1% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year. The revenue decrease was primarily due to lower membership and wholesale revenues primarily from lower network order volumes and lower directory revenue.
Previous wording
Net revenues within this segment decreased 3.8% and 4.4% during thethree and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, primarily due to lower e-commerce revenue due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth partially offset by higher wholesale volume due to increased orders from big box retailers.
Current wording
Net revenues within this segment decreased 0.1% and 3.8% during thethree and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to lower e-commerce revenue due to a focus on marketing effectiveness and profitability being prioritized over near-term revenue growth, partially offset by higher wholesale volume due to increased orders from big box retailers.
Previous wording
During the three and six months ended December 28, 2025, Gourmet Foods & Gift Baskets orders through its e-commerce sales channel (online and telephonic sales) decreased 8.6% and 8.7%, respectively, compared to the same periods of the prior year. In addition, the average order value for the three and six months ended December 28, 2025 increased 2.4% and 2.3%, respectively, compared to the same periods of the prior year.
Current wording
During the three and nine months ended March 29, 2026, Gourmet Foods & Gift Baskets orders through its e-commerce sales channel (online and telephonic sales) decreased 8.0% and 8.3%, respectively, compared to the same periods of the prior year. In addition, the average order value for the three and nine months ended March 29, 2026 increased 2.8% and 2.1%, respectively, compared to the same periods of the prior year.
Previous wording
Gross profit decreased 12.0% and 13.0% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, primarily due to lower revenues as noted above.
Current wording
Gross profit decreased 7.3% and 11.9% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to lower revenues as noted above.
Previous wording
During the three and six months ended December 28, 2025, the gross profit percentage decreased 120 basis points and 150 basis points, respectively, compared to the same periods of the prior year. The gross profit percentage declines were across all segments.
Current wording
During the three and nine months ended March 29, 2026, the gross profit percentage increased 150 basis points and decreased 70 basis points, respectively, compared to the same periods of the prior year.
Previous wording
Consumer Floral & Gifts segment- Gross profit decreased by 26.0% and 23.5% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, due to the impact of the lower revenues noted above, as well as unfavorable gross profit percentage primarily attributable to deleveraging on the sales decline and increased tariffs and commodity costs.
Current wording
Consumer Floral & Gifts segment- Gross profit decreased by 15.8% and 21.0% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, due to the impact of the lower revenues noted above, as well as an unfavorable gross profit percentage during the nine months ended March 29, 2026 compared to the same period of the prior year primarily attributable to deleveraging on the sales decline and increased fulfillment and tariff costs. Gross profit percentage was favorable during the three months ended March 29, 2026, due to increased pricing discipline, more targeted promotional activity, and better alignment between florist-fulfilled and direct shipment offerings, offset in part by higher tariff costs.
Previous wording
BloomNet® segment - Gross profit decreased by 3.1% and 3.7% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, due to the impact of the lower revenues noted above. The decline for the six months ended December 28, 2025, was also due to an unfavorable gross profit percentage primarily due to higher florist fulfillment costs and a less favorable mix between wholesale and service revenue.
Current wording
BloomNet® segment - Gross profit decreased by 6.9% and 4.9% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to the impact of the lower revenues noted above. The decline for the nine months ended March 29, 2026 was also due to an unfavorable gross profit percentage primarily due to higher fulfillment costs and a less favorable mix between wholesale and service revenue, which impacted the nine-month period.
Previous wording
Gourmet Foods & Gift Baskets segment- Gross profit decreased by 6.3% and 7.5% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, due to the decrease in revenue noted above, as well as unfavorable gross profit percentage primarily attributable to deleveraging on the sales decline and increased tariff, commodity, and shipping costs.
Current wording
Gourmet Foods & Gift Baskets segment- Gross profit increased by 24.3% and decreased by 5.3% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year. The increase in gross profit for the three months ended March 29, 2026 compared to the prior year period was due to lower labor and facility costs on relatively flat revenue. The decline for the nine months ended March 29, 2026 compared to the prior year was due to the decrease in revenue noted above, as well as unfavorable gross profit percentage primarily attributable to deleveraging on the sales decline and increased tariff, commodity, and shipping costs.
Previous wording
Marketing and sales expenses decreased 16.5% and 16.3% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year and also decreased as a percentage of revenues, primarily due to a focus on marketing effectiveness and profitability.
Current wording
Marketing and sales expenses decreased 19.2% and 17.1% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year and also decreased as a percentage of revenues, primarily due to a focus on marketing effectiveness and profitability.
Previous wording
Technology and development expense decreased by 9.6% during both the three and six months ended December 28, 2025, compared to the same periods of the prior year, primarily due to the prior year period including costs related to a new customer service platform and order management system.
Current wording
Technology and development expense decreased by 0.2% and 6.6% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to the prior year period, including costs related to a new customer service platform and order management system.
Previous wording
General and administrative expenses increased 35.2% and 21.9% during the three and six months ended December 28, 2025, respectively, compared to the same periods of the prior year, primarily due to higher professional fees, and changes in the value of the Company's NQDC Plan investments (offset in Other income, net below), as well as severance costs related to an enterprise reduction in workforce.
Current wording
General and administrative expenses increased 28.2% and 23.9% during the three and nine months ended March 29, 2026, respectively, compared to the same periods of the prior year, primarily due to higher severance costs related to enterprise reductions in workforce, increased consulting costs and changes in the value of the Company's NQDC Plan investments (offset in Other expense (income), net below).
Previous wording
Depreciation and amortization expenses decreased 4.0% and 2.6% during the three and six months ended December 28, 2025, respectively, due to timing of certain assets becoming fully depreciated.
Current wording
Depreciation and amortization expenses decreased 1.6% and 2.3% during the three and nine months ended March 29, 2026, respectively, due to timing of certain assets becoming fully depreciated.
Previous wording
Interest income decreased 74.8% and 62.2% during the three and six months ended December 28, 2025, respectively, due to a decline in interest earned on lower available cash balances.
Current wording
Interest income decreased 28.4% and 43.2% during the three and nine months ended March 29, 2026, respectively, due to a decline in interest earned on lower available cash balances.
Previous wording
Interest expense increased 27.2% and 21.7% during the three and six months ended December 28, 2025, respectively, due to an increase in borrowings and interest rates.
Current wording
Interest expense increased 10.5% and 18.9% during the three and nine months ended March 29, 2026, respectively, due to an increase in borrowings and interest rates.
Previous wording
Other income, net consists primarily of investment losses (gains) on the Company’s NQDC Plan investments (for which the offsetting expense was recorded in general and administrative expense above).
Current wording
Other expense (income), net consists primarily of investment losses (gains) on the Company’s NQDC Plan investments (for which the offsetting expense or income was recorded in general and administrative expense above).
Previous wording
The Company recorded an income tax benefit of $0.4 million and income tax expense of $38.0 thousand during the three and six months ended December 28, 2025, respectively, compared to income tax expense of $23.5 million and $9.1 million during the three and six months ended December 29, 2024, respectively. The Company’s effective tax rate for the three and six months ended December 28, 2025 was (0.6)% and 0.2%, respectively, compared to 26.7% and 23.2% in the same respective periods of the prior year. The Company’s effective tax rate for the three and six months ended December 28, 2025 differed from the U.S. federal statutory rate of 21.0% primarily due to the change in valuation allowance, state income taxes and interest on uncertain tax positions. The Company’s effective tax rate for the three and six months ended December 29, 2024 differed from the U.S. federal statutory rate of 21.0% primarily due to state income taxes, tax deficiencies (shortfalls) from stock-based compensation and increases in valuation allowances, partially offset by tax credits.
Current wording
The Company recorded an income tax expense of $0.2 million during both the three and nine months ended March 29, 2026, compared to income tax benefit of $18.5 million and $9.4 million during the three and nine months ended March 30, 2025, respectively. The Company’s effective tax rate for the three and nine months ended March 29, 2026 was (0.2)% and (0.3)%, respectively, compared to 9.4% and 5.9% in the same respective periods of the prior year. The Company’s effective tax rate for the three and nine months ended March 29, 2026 differed from the U.S. federal statutory rate of 21.0% primarily due to the change in valuation allowance, state income taxes and interest on uncertain tax positions. The Company’s effective tax rate for the three and nine months ended March 30, 2025 differed from the U.S. federal statutory rate of 21.0% primarily due to establishing a valuation allowance on certain federal and state deferred tax assets (including charitable contribution carryforwards) and the permanent portion of goodwill impairment charges. The Company's effective tax rate for the three and nine months ended March 30, 2025 was also impacted by state income taxes and tax deficiencies (shortfalls) from stock-based compensation, partially offset by tax credits.
Previous wording
The Company's principal sources of liquidity are cash on hand, cash flows generated from operations, and borrowings available under the Company’s credit agreement (see Note 10 – Long-term debt, net in Item 1 for details). At December 28, 2025, the Company had working capital of $84.5 million, including cash and cash equivalents of $193.3 million, compared to working capital of $61.3 million, including cash and cash equivalents of $46.5 million, at June 29, 2025.
Current wording
The Company's principal sources of liquidity are cash on hand, cash flows generated from operations, and borrowings available under the Company’s credit agreement (see Note 10 – Long-term debt, net in Item 1 for details). At March 29, 2026, the Company had working capital of $30.6 million, including cash and cash equivalents of $50.7 million, compared to working capital of $61.3 million, including cash and cash equivalents of $46.5 million, at June 29, 2025.
Previous wording
Net cash provided by operating activities of $170.9 million, for the six months ended December 28, 2025, was primarily attributable to net income during the period, adjusted by non-cash charges for depreciation and amortization and stock based compensation, combined with seasonal changes in working capital, including increases in accounts payable and accrued expenses and trade receivables and a decrease in inventory.
Current wording
Net cash provided by operating activities of $42.9 million, for the nine months ended March 29, 2026, was primarily attributable to the net loss during the period, adjusted by non-cash charges for goodwill and intangible impairment, depreciation and amortization and stock based compensation, combined with changes in working capital, including decreases in inventory and prepaid and other, offset in part by an increase in trade receivables.
Previous wording
Net cash used in investing activities of $14.3 million, for the six months ended December 28, 2025, was primarily attributable to capital expenditures related to the Company's technology initiatives.
Current wording
Net cash used in investing activities of $22.8 million, for the nine months ended March 29, 2026, was primarily attributable to capital expenditures related to the Company's technology initiatives.
Previous wording
Net cash used in financing activities of $9.8 million, for the six months ended December 28, 2025, primarily related to net repayment of bank borrowings under the Company's working capital line of credit, as well as payments made on the Company's Term Loan.
Current wording
Net cash used in financing activities of $15.8 million, for the nine months ended March 29, 2026, primarily related to net repayment of bank borrowings under the Company's working capital line of credit, as well as payments made on the Company's Term Loan.
Previous wording
Free cash flow was $156.6 million for the six months ended December 28, 2025, compared with free cash flow of $128.3 million for the six months ended December 29, 2024. The improvement of $28.3 million was primarily due to improved working capital management, coupled with favorable timing. Refer to "Definitions of non-GAAP Financial Measures" for reconciliation of non-GAAP results to applicable GAAP results.
Current wording
Free cash flow was $20.0 million for the nine months ended March 29, 2026, compared with free cash flow of negative $31.7 million for the nine months ended March 30, 2025. The improvement of $51.7 million was primarily due to improved working capital management. Refer to "Definitions of non-GAAP Financial Measures" for reconciliation of non-GAAP results to applicable GAAP results.
Previous wording
As disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended June 29, 2025, the discussion and analysis of the Company’s financial condition and results of operations are based upon the consolidated financial statements, which have been prepared in conformity with U.S. generally accepted accounting principles. The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. Management bases its estimates and assumptions on historical experience and on various other factors that are believed to be reasonable under the circumstances, and management evaluates its estimates and assumptions on an ongoing basis. Actual results may differ from these estimates under different assumptions or conditions. The Company’s most critical accounting policies relate to goodwill and other intangible assets. There have been no significant changes to the assumptions and estimates related to the Company’s critical accounting policies since June 29, 2025.
Current wording
As disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended June 29, 2025, the discussion and analysis of the Company’s financial condition and results of operations are based upon the consolidated financial statements, which have been prepared in conformity with U.S. generally accepted accounting principles. The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. Management bases its estimates and assumptions on historical experience and on various other factors that are believed to be reasonable under the circumstances, and management evaluates its estimates and assumptions on an ongoing basis. Actual results may differ from these estimates under different assumptions or conditions. The Company’s most critical accounting policies relate to goodwill and other intangible assets. There have been no significant changes to the assumptions and estimates related to the Company’s critical accounting policies since June 29, 2025, except as noted below: