Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 26, 2023 | May 01, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 26, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-25 | |
Entity Registrant Name | Vital Farms, Inc. | |
Entity Central Index Key | 0001579733 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Security 12b Title | Common Stock, par value $0.0001 per share | |
Trading Symbol | VITL | |
Security Exchange Name | NASDAQ | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-39411 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-0496985 | |
Entity Address, Address Line One | 3601 South Congress Avenue | |
Entity Address, Address Line Two | Suite C100 | |
Entity Address, City or Town | Austin | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 78704 | |
City Area Code | 877 | |
Local Phone Number | 455-3063 | |
Entity Common Stock, Shares Outstanding | 40,847,624 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 25,838 | $ 12,914 |
Investment securities, available-for-sale | 57,233 | 65,814 |
Accounts receivable, net | 40,199 | 40,227 |
Inventories | 33,942 | 26,849 |
Prepaid expenses and other current assets | 5,342 | 3,810 |
Total current assets | 162,554 | 149,614 |
Property, plant and equipment, net | 58,772 | 59,155 |
Operating lease right-of-use assets | 1,549 | 1,895 |
Goodwill and other assets | 3,904 | 4,002 |
Total assets | 226,779 | 214,666 |
Current liabilities: | ||
Accounts payable | 26,586 | 25,972 |
Accrued liabilities | 18,854 | 18,477 |
Operating lease liabilities, current | 970 | 1,208 |
Finance lease liabilities, current | 1,596 | 1,570 |
Income taxes payable | 2,514 | 425 |
Total current liabilities | 50,520 | 47,652 |
Operating lease liabilities, non-current | 770 | 892 |
Finance lease liabilities, non-current | 6,617 | 7,023 |
Other liabilities | 1,342 | 767 |
Total liabilities | 59,249 | 56,334 |
Commitments and contingencies (Note 19) | 0 | 0 |
Stockholders’ equity: | ||
Common stock, $0.0001 par value per share, 310,000,000 shares authorized as of March 26, 2023 and December 25, 2022; 40,839,050 and 40,746,990 shares issued and outstanding as of March 26, 2023 and December 25, 2022, respectively | 4 | 4 |
Additional paid-in capital | 157,343 | 155,716 |
Retained earnings | 11,309 | 4,159 |
Accumulated other comprehensive loss | (1,126) | (1,547) |
Total stockholders’ equity | 167,530 | 158,332 |
Total liabilities and stockholders' equity | $ 226,779 | $ 214,666 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 26, 2023 | Dec. 25, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 310,000,000 | 310,000,000 |
Common stock, shares issued | 40,839,050 | 40,746,990 |
Common stock, shares outstanding | 40,839,050 | 40,746,990 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Income Statement [Abstract] | ||
Net revenue | $ 119,172 | $ 77,058 |
Cost of goods sold | 76,504 | 55,358 |
Gross profit | 42,668 | 21,700 |
Operating expenses: | ||
Selling, general and administrative | 23,946 | 17,624 |
Shipping and distribution | 7,826 | 8,162 |
Total operating expenses | 31,772 | 25,786 |
Income (loss) from operations | 10,896 | (4,086) |
Other income, net: | ||
Interest expense | (139) | (8) |
Interest income | 340 | 130 |
Other (expense) income, net | (1,425) | 49 |
Total other income, net | (1,224) | 171 |
Net income (loss) before income taxes | 9,672 | (3,915) |
Income tax provision (benefit) | 2,522 | (2,377) |
Net income (loss) | 7,150 | (1,538) |
Less: Net loss attributable to noncontrolling interests | 0 | (2) |
Net income (loss) attributable to Vital Farms, Inc. common stockholders | $ 7,150 | $ (1,536) |
Earnings Per Share | ||
Basic: | $ 0.18 | $ (0.04) |
Diluted: | $ 0.16 | $ (0.04) |
Weighted average common shares outstanding: | ||
Basic: | 40,764,546 | 40,532,779 |
Diluted: | 43,398,336 | 40,532,779 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ 7,150 | $ (1,538) |
Other comprehensive income (loss), before tax: | ||
Unrealized net holding gain (loss) | 517 | (1,075) |
Amounts reclassified for realized losses to earnings | 34 | 50 |
Available-for-sale debt securities, before tax | 551 | (1,025) |
Other comprehensive income (loss), before tax | 551 | (1,025) |
Income tax (expense) benefit related to items of other comprehensive income (loss) | (130) | 242 |
Other comprehensive income (loss), net of tax | 421 | (783) |
Total comprehensive income (loss) | $ 7,571 | $ (2,321) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY(Unaudited) - USD ($) $ in Thousands | Total | Redeemable Noncontrolling Interest Variable Interest Entity, Primary Beneficiary | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total Stockholders' Equity Attributable to Vital Farms, Inc. Stockholders | Noncontrolling Interests |
Beginning balance at Dec. 26, 2021 | $ 151,585 | $ 5 | $ 149,000 | $ 2,746 | $ (281) | $ 151,470 | $ 115 | |
Beginning balance at Dec. 26, 2021 | $ 175 | |||||||
Beginning balance, shares at Dec. 26, 2021 | 40,493,969 | |||||||
Exercise of stock options | 254 | 254 | 254 | |||||
Exercise of stock options, Shares | 102,328 | |||||||
Stock-based compensation expense | 1,296 | 1,296 | 1,296 | |||||
Net loss attributable to noncontrolling interests - stockholders | (2) | 162 | 162 | (164) | ||||
Other comprehensive income, net | (783) | (783) | (783) | |||||
Net loss attributable to Vital Farms, Inc. stockholders | (1,536) | (1,536) | (1,536) | |||||
Ending balance at Mar. 27, 2022 | 150,814 | $ 5 | 150,550 | 1,372 | (1,064) | $ 150,863 | $ (49) | |
Ending balance at Mar. 27, 2022 | $ 175 | |||||||
Ending balance, shares at Mar. 27, 2022 | 40,596,297 | |||||||
Beginning balance at Dec. 25, 2022 | $ 158,332 | $ 4 | 155,716 | 4,159 | (1,547) | |||
Beginning balance, shares at Dec. 25, 2022 | 40,746,990 | |||||||
Exercise of stock options, Shares | 0 | |||||||
Vesting of restricted stock units, shares | 92,060 | |||||||
Stock-based compensation expense | $ 1,627 | 1,627 | ||||||
Net loss attributable to noncontrolling interests - stockholders | 0 | |||||||
Other comprehensive income, net | 421 | 421 | ||||||
Net loss attributable to Vital Farms, Inc. stockholders | 7,150 | 7,150 | ||||||
Ending balance at Mar. 26, 2023 | $ 167,530 | $ 4 | $ 157,343 | $ 11,309 | $ (1,126) | |||
Ending balance, shares at Mar. 26, 2023 | 40,839,050 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 7,150 | $ (1,538) |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 1,693 | 948 |
Amortization of right-of-use assets | 793 | 413 |
Amortization of available-for-sale debt securities | 163 | 321 |
Stock-based compensation expense | 2,241 | 1,296 |
Increase (decrease) in inventory provision | 120 | (29) |
Deferred taxes | 445 | (2,572) |
Unrealized loss on derivative instruments | 1,047 | 0 |
Other | 19 | 228 |
Net change in operating assets and liabilities | (8,268) | (4,006) |
Net cash provided by (used in) operating activities | 5,403 | (4,939) |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | (1,802) | (1,686) |
Purchases of available-for-sale debt securities | 0 | (13,973) |
Maturities and call redemptions of available-for-sale debt securities | 8,935 | 14,254 |
Proceeds from the sale of property, plant and equipment | 1,054 | 50 |
Cash paid for purchases of derivative instruments | (220) | 0 |
Return of investment in variable interest entity | 552 | 0 |
Net cash provided by (used in) investing activities | 8,519 | (1,355) |
Cash flows from financing activities: | ||
Payment of contingent consideration | 0 | (26) |
Principal payments under finance lease obligations | (384) | (126) |
Proceeds from exercise of stock options | 0 | 254 |
Payment of tax withholding obligation on RSU shares withheld | (614) | 0 |
Net cash (used in) provided by financing activities | (998) | 102 |
Net increase (decrease) in cash and cash equivalents | 12,924 | (6,192) |
Cash and cash equivalents at beginning of the period | 12,914 | 30,966 |
Cash and cash equivalents at end of the period | 25,838 | 24,774 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Purchases of property, plant and equipment included in accounts payable and accrued liabilities | 891 | 2,147 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 134 | 8 |
Cash paid for income taxes | 2 | 7 |
Revolving Line of Credit | ||
Cash flows from financing activities: | ||
Proceeds from borrowing under revolving line of credit | 7,500 | 0 |
Repayment of revolving line of credit | $ (7,500) | $ 0 |
Nature of the Business and Basi
Nature of the Business and Basis of Presentation | 3 Months Ended |
Mar. 26, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of the Business and Basis of Presentation | Note 1. Nature of the Business and Basis of Presentation Vital Farms, Inc. (the “Company,” “we,” “us” or “our”) was incorporated in Delaware on June 6, 2013 and is headquartered in Austin, Texas. The Company packages, markets and distributes shell eggs, butter and other products. These products are sold under the trade names Vital Farms and RedHill Farms, primarily to retail and foodservice channels in the United States. The accompanying unaudited condensed consolidated financial statements as of March 26, 2023 and for the 13-week periods ended March 26, 2023 and March 27, 2022 have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and note disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto on our Annual Report on Form 10-K for the fiscal year ended December 25, 2022 (the “Annual Report”). In the opinion of management, the included disclosures are adequate, and the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary for a fair statement of our consolidated financial position as of March 26, 2023, consolidated results of operations for the 13-week periods ended March 26, 2023 and March 27, 2022, and consolidated cash flows for the 13-week periods ended March 26, 2023 and March 27, 2022. Such adjustments are of a normal and recurring nature and certain reclassifications of previously reported amounts have been made to conform to the current year presentation. The condensed consolidated balance sheet as of December 25, 2022 was derived from audited annual financial statements but does not contain all of the footnote disclosures from the audited annual financial statements. The condensed consolidated results of operations for the 13-week period ended March 26, 2023 are not necessarily indicative of the consolidated results of operations that may be expected for the fiscal year ending December 31, 2023. Fiscal Year: The Company’s fiscal year ends on the last Sunday in December and contains either 52 or 53 weeks. In a 52-week fiscal year, each of the Company’s fiscal quarters consist of 13 weeks. The additional week in a 53-week fiscal year is added to the fourth quarter, making such quarter consist of 14 weeks. Therefore, the financial results of certain 53-week fiscal years, and the associated 14-week quarters, will not be exactly comparable to the prior and subsequent 52-week fiscal years and the associated 13-week quarters. The fiscal quarters ended March 26, 2023 and March 27, 2022 both contain operating results for 13 weeks. The fiscal year ending December 31, 2023 will include 53 weeks. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 26, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies The significant accounting policies and estimates used in preparation of the unaudited condensed consolidated financial statements are described in the Company’s audited consolidated financial statements as of and for the fiscal year ended December 25, 2022, and the notes thereto, which are included in our Annual Report. Other than the adoption of the new accounting pronouncements and standards as further described below, there have been no material changes to the Company’s significant accounting policies during the 13-week period ended March 26, 2023, except for the following. As of December 26, 2022, the Company has entered into derivative instruments as part of its risk management strategy. Our business operations give rise to certain market risk exposures, mostly due to changes in commodity prices. We use derivative financial instruments to reduce our exposure to commodity price risk. Credit risks associated with derivative contracts are not significant, as the Company minimizes counterparty exposure by dealing with credit-worthy counterparties and collateralized insurers and by utilizing exchange traded instruments and insurance backed commodity settlement contracts. While the Company may be exposed to potential losses due to the credit risk of non-performance by these counterparties, losses are not anticipated. We do not hold derivative instruments for trading purposes. Additionally, the Company’s derivative contracts are short-term in duration, and do not make use of credit-risk-related contingent features. Derivatives used to manage commodity price risk are not designated for hedge accounting treatment. Therefore, the changes in fair value of these derivatives are recorded as incurred within other income (expense), net in the unaudited condensed consolidated statements of operations. Cash flows related to derivative instruments are considered an investing activity of the Company. Cash settlements we receive represent realized gains on derivative instruments, while cash settlements we pay represent realized losses related to our commodity derivative instruments. Recently Adopted Accounting Pronouncements The new accounting pronouncements recently adopted by the Company are described in the Company’s audited consolidated financial statements as of and for the fiscal year ended December 25, 2022, and the notes thereto, which are included in our Annual Report. Except as described below, there have been no new accounting pronouncements adopted by the Company during the 13-week period ended March 26, 2023. In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) and also issued subsequent amendments to the initial guidance, ASU 2018-19, ASU 2019-04, ASU 2019-05, ASU 2019-10, ASU 2019-11, ASU 2020-02, ASU 2020-03 and ASU 2022-02 (collectively, “Topic 326”), to introduce a new impairment model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Topic 326 requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amounts. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. The Company adopted ASU 2016-13 on December 26, 2022. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. There was no impact on the Company's unaudited condensed consolidated financial statements at adoption. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which intends to simplify the guidance by removing certain exceptions to the general principles and clarifying or amending existing guidance. ASU 2019-12 is effective for fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. The Company adopted ASU 2019-12 during fiscal year 2022 and there was no material impact on the Company’s consolidated financial statements for the year ended December 25, 2022 or on the unaudited condensed consolidated financial statements presented herein. Recently Issued Accounting Pronouncements Not Yet Adopted None. |
Investment Securities
Investment Securities | 3 Months Ended |
Mar. 26, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Note 3. Investment Securities The following table summarizes the Company’s available-for-sale investment securities as of March 26, 2023: Amortized Cost Unrealized Losses Fair Value U.S. corporate bonds and U.S. dollar $ 57,526 $ ( 1,458 ) $ 56,068 U.S. Treasury 1,176 ( 11 ) 1,165 Total $ 58,702 $ ( 1,469 ) $ 57,233 The following table summarizes the Company’s available-for-sale investment securities as of December 25, 2022: Amortized Cost Unrealized Losses Fair Value U.S. corporate bonds and U.S. dollar $ 66,658 $ ( 1,996 ) $ 64,662 U.S. Treasury 1,176 ( 24 ) 1,152 Total $ 67,834 $ ( 2,020 ) $ 65,814 For the 13-week periods ended March 26, 2023 and March 27, 2022 , there were no proceeds from the sale of available-for-sale securities. During the 13-week period ended March 26, 2023, the unrealized losses in our U.S. corporate bond portfolio consist of losses on 81 diversified issuances with credit ratings ranging from BBB to AAA. As of March 26, 2023, there are no individual bonds with unrealized losses exceeding $ 73 , and 59 issuances have been in a loss position greater than 12 months with aggregate unrealized losses of $ 1,198 . The decline in fair value has resulted primarily from rising interest rates over the last 12 months, and the Company does not believe there has been any significant decline in the creditworthiness of the issuers. The Company also does not believe it is likely that the bonds will be called early and it does not have current liquidity needs that would necessitate a sale of any material investments prior to maturity. Therefore, the Company has no t recorded an allowance for credit losses on the investment securities as of March 26, 2023. Actual maturities may differ from contractual maturities because some borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Contractual maturities of investment securities as of March 26, 2023 are as follows: Amortized Cost Fair Value Due within one year $ 28,758 $ 28,152 Due in 1-5 years 29,944 29,081 Total available-for-sale $ 58,702 $ 57,233 |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 26, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Note 4. Derivative Financial Instruments The Company enters into derivative instruments to partially mitigate the impact of commodity price volatility. Such instruments may include call options on commodity price contracts. Realized and unrealized gains and losses on our commodity derivatives not designated as hedging instruments are recorded in other (expense) income, net in the unaudited condensed consolidated statements of operations. The Company recognizes all derivative instruments as either assets or liabilities in the unaudited condensed consolidated balance sheets. The following table presents the aggregated outstanding notional amounts related to the Company’s derivative financial instruments for the periods presented: Metric March 26, December 25, Commodity: Corn Bushels (in thousands) 2,527 — Soybean Meal Tons 28 — For the 13-week periods ended March 26, 2023 and March 27, 2022, the pre-tax amount of commodity contract derivative losses recognized in other (expense) income, net in the unaudited condensed consolidated statements of operations was $ 1,415 and $ 0 , respectively. The fair value and location of all outstanding derivative instruments in the unaudited condensed consolidated balance sheets are included in “Fair Value Measurements” in Note 5 below. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 26, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 5. Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The three levels of inputs that may be used to measure fair value are defined below: • Level 1 - Quoted prices in active markets for identical assets or liabilities. • Level 2 - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 - Unobservable inputs that are supported by little or no market activity that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques. Assets Measured at Fair Value on a Recurring Basis The fair value hierarchy requires the use of observable market data when available. In instances where the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular item to the fair value measurement in its entirety requires judgment, including the consideration of inputs specific to the asset or liability. The following tables present information about the Company’s financial assets measured at fair value on a recurring basis for the periods presented: Fair Value Measurements as of March 26, 2023, Using: Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market $ 13,115 $ — $ — $ 13,115 Available-for-sale debt securities: U.S. corporate bonds and U.S. dollar — 56,068 — 56,068 U.S. Treasury — 1,165 — 1,165 Prepaid expenses and other current assets: Derivative financial instruments — 1,105 — 1,105 Total assets measured at fair value $ 13,115 $ 58,338 $ — $ 71,453 Fair Value Measurements as of December 25, 2022, Using: Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market $ 6,740 $ — $ — $ 6,740 Available-for-sale debt securities: U.S. corporate bonds and U.S. dollar — 64,662 — 64,662 U.S. Treasury — 1,152 — 1,152 Total assets measured at fair value $ 6,740 $ 65,814 $ — $ 72,554 During the 13-week period ended March 26, 2023 , there were no transfers between fair value measurement levels. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 26, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 6. Revenue Recognition The following table summarizes the Company’s net revenue by primary product for the periods presented: 13-Weeks Ended March 26, March 27, Net Revenue: Egg and egg-related products $ 112,790 $ 72,121 Butter and butter-related products 6,382 4,937 Net Revenue $ 119,172 $ 77,058 Net revenue is primarily generated from the sale of eggs and butter. The Company’s product offerings include shell eggs, hard-boiled eggs, liquid whole eggs and butter (including stick butter and spreadable tub butter). The Company’s previous convenient breakfast product line (including egg bites and egg-based breakfast bars) was discontinued in 2022, and the Company's ghee product line was discontinued during the 13-week period ended March 26, 2023. As of March 26, 2023 and December 25, 2022, the Company had customers that individually represented 10% or more of the Company’s accounts receivable, net, and during the 13-week periods ended March 26, 2023 and March 27, 2022 , the Company had customers that individually exceeded 10% or more of the Company’s net revenue. The percentage of net revenue from significant customers during the 13-week periods ended March 26, 2023 and March 27, 2022 is as follows: Net Revenue Net Revenue Customer A 25 % 35 % Customer B * 11 % Customer C * 11 % * Revenue was less than 10% The decrease in the percentage of net revenue for Customers A, B and C for the 13-week period ended March 26, 2023 compared to the 13-week period ended March 27, 2022 is due to a shift in the Company's distribution channels away from these customers. The percentage of accounts receivable, net due from significant customers as of March 26, 2023 and December 25, 2022 is as follows: Accounts Receivable, Net as of March 26, 2023 Accounts Receivable, Net as of December 25, 2022 Customer A 19 % 23 % Customer C 12 % 12 % Customer D 12 % 13 % * Accounts receivable was less than 10% |
Accounts Receivable
Accounts Receivable | 3 Months Ended |
Mar. 26, 2023 | |
Receivables [Abstract] | |
Accounts Receivable | Note 7. Accounts Receivable As of March 26, 2023 and December 25, 2022, the Company had an allowance for doubtful accounts of $ 783 and $ 699 , respectively. Changes in the allowance for doubtful accounts were as follows: Allowance for As of December 25, 2022 $ ( 699 ) Provisions charged to operating results ( 84 ) Account write-off and recoveries, net — As of March 26, 2023 $ ( 783 ) |
Inventories
Inventories | 3 Months Ended |
Mar. 26, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 8. Inventories Inventory consisted of the following as of the periods presented: March 26, December 25, Eggs and egg-related products $ 18,722 $ 13,675 Butter and butter-related products 7,036 5,718 Packaging 6,565 5,452 Pullets 1,251 981 Other 1,248 1,121 Reserve for inventory obsolescence ( 880 ) ( 98 ) Inventories $ 33,942 $ 26,849 On a periodic basis, the Company compares the amount of inventory on hand with its latest forecasted requirements to determine whether provisions for excess or obsolete inventory reserves are required. |
Property, Plant and Equipment
Property, Plant and Equipment | 3 Months Ended |
Mar. 26, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Note 9. Property, Plant and Equipment Property, plant and equipment consisted of the following as of the periods presented: March 26, December 25, Land $ 552 $ 552 Land improvements 835 835 Buildings and improvements 29,953 29,667 Vehicles 894 894 Machinery and equipment 35,179 34,978 Leasehold improvements 919 919 Furniture and fixtures 714 685 Construction in progress 3,321 3,312 72,367 71,842 Less: Accumulated depreciation and amortization ( 13,595 ) ( 12,687 ) Property, plant and equipment, net $ 58,772 $ 59,155 During the 13-week periods ended March 26, 2023 and March 27, 2022, depreciation and amortization of property, plant and equipment was approximately $ 1,693 and $ 948 , respectively. |
Leases
Leases | 3 Months Ended |
Mar. 26, 2023 | |
Leases [Abstract] | |
Leases | Note 10. Leases Operating lease cost is recognized on a straight-line basis over the lease term and finance lease cost is recognized as amortization expense for the right-of-use (“ROU”) assets and interest expense associated with the finance lease liabilities. The components of lease cost, classified within cost of goods sold, selling, general and administrative and interest expense in the unaudited condensed consolidated statement of operations for the 13-week periods ended March 26, 2023 and March 27, 2022, are below: 13-Weeks Ended March 26, March 27, Operating lease cost $ 361 $ 361 Finance lease cost - amortization of right-of-use assets 447 78 Finance lease cost - interest on lease liabilities 132 3 Short-term lease cost 117 3 Variable lease cost 1,563 418 Variable lease cost - long-term supply contracts 43,086 30,183 Total lease cost $ 45,706 $ 31,046 Future undiscounted cash flows are as follows: As of March 26, 2023 Operating Leases Finance Leases 2023 $ 879 $ 1,545 2024 471 2,060 2025 338 2,060 2026 115 2,060 2027 — 1,711 Thereafter — — Total lease payments 1,803 9,436 Less imputed interest ( 63 ) ( 1,223 ) Total present value of lease liabilities $ 1,740 $ 8,213 During the 13-week periods ended March 26, 2023 and March 27, 2022, ROU assets obtained in exchange for new finance lease obligations were $ 4 and $ 20 , respectively. |
Accrued Liabilities
Accrued Liabilities | 3 Months Ended |
Mar. 26, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Note 11. Accrued Liabilities Accrued liabilities consisted of the following as of the periods presented: March 26, December 25, Accrued employee related costs $ 3,356 $ 7,453 Accrued promotions and customer deductions 4,043 4,414 Accrued distribution fees and freight 2,900 2,351 Accrued marketing and broker commissions 2,343 1,598 Accrued purchases of inventory 1,670 1,349 Accrued professional fees 1,400 761 Accrued derivative premiums 2,152 — Accrued property, plant and equipment 322 153 Other 668 398 Accrued liabilities $ 18,854 $ 18,477 |
Product Exit Costs
Product Exit Costs | 3 Months Ended |
Mar. 26, 2023 | |
Restructuring and Related Activities [Abstract] | |
Product Exit Costs | Note 12. Product Exit Costs During the fiscal year ended December 25, 2022, the Company made the determination to exit its convenient breakfast product category due to a shift in the Company's focus to product categories that are core to its operations. Charges incurred in connection with these product exits were substantially complete by December 25, 2022. Charges related to the exit of our ghee product category during 2023 are immaterial. As of the fiscal year ended December 25, 2022, the ending liability balance related to this category exit was $ 119 . As of the 13-week period ended March 26, 2023, remaining charges of $ 45 are expected to be settled or released by the end of the 13-week period ending June 25, 2023 . The following tables summarizes the activity related to the exit of the Company's convenient breakfast product category during the periods presented: For the 13-Weeks Ended March 26, 2023 Description Statement of Operations Beginning Liability Balance Charges Incurred Amounts Paid or Settled Amounts Released as Unutilized Ending Liability Balance Asset write-downs Cost of goods sold $ 119 $ — $ ( 74 ) $ — $ 45 Total $ 119 $ — $ ( 74 ) $ — $ 45 For the 13-Weeks Ended March 27, 2022 Description Statement of Operations Charges Incurred Amounts Paid or Settled Amounts Released as Unutilized Ending Liability Balance Contract terminations Selling, general and administrative $ 1,126 $ ( 49 ) $ — $ 1,077 Inventory obsolescence Cost of goods sold 749 ( 433 ) — 316 Customer allowances Net revenue 146 — — 146 Asset write-downs Cost of goods sold 119 — — 119 Co-manufacturer charges Cost of goods sold 135 ( 135 ) — — Asset disposals Selling, general and administrative 66 ( 66 ) — — Total $ 2,341 $ ( 683 ) $ — $ 1,658 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 26, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 13. Long-Term Debt In October 2017, the Company entered into a credit facility agreement with PNC Bank, National Association (the “Credit Facility”) that initially included a $ 4.7 million term a loan, a $ 10.0 million revolving line of credit and an equipment loan with a maximum borrowing capacity of $ 1.5 million. Subsequently, the terms of the Credit Facility were modified at various times between fiscal 2018 and fiscal 2022. Such amendments (i) amended various definitions, (ii) waived a technical default in May 2020 which was triggered by exceeding the capital expenditure limit, (iii) increased borrowing capacity and (iv) extended the maturity date. The Ninth Amendment to the Credit Facility in April 2021 eliminated the term loan and equipment loan. The Tenth Amendment to the Credit Facility in December 2022 modified certain covenants related to commodity hedging, provided consent for the dissolution of immaterial subsidiaries and implemented changes related to the discontinuation of LIBOR. The revolving line of credit matures in April 2024 . The maximum borrowing capacity under the revolving line of credit is $ 20.0 million. Interest on borrowings under the revolving line of credit, as well as loan advances thereunder, accrues at a rate, at the Company’s election at the time of borrowing, equal to (i) the secured overnight financing rate as administered by the Federal Reserve Bank of New York plus 2.00 % or (ii) 1.00 % plus the alternate base rate, as defined in the Credit Facility. During the 13-week period ended March 26, 2023, the Company borrowed and repaid $ 7.5 million under the revolving line of credit. As of March 26, 2023 , there were no outstanding amounts under the revolving line of credit. The Credit Facility is secured by all of the Company’s assets (other than real property and certain other property excluded pursuant to the terms of the Credit Facility) and requires the Company to maintain three financial covenants: a fixed charge coverage ratio, a leverage ratio and a minimum tangible net worth requirement. The Credit Facility also contains various covenants relating to limitations on indebtedness, acquisitions, mergers, consolidations and the sale of properties and liens. As a result of the limitations contained in the Credit Facility, certain of the net assets on the Company’s consolidated balance sheet as of March 26, 2023 are restricted in use. Vital Farms’ wholly owned subsidiaries are non-operating and do not hold any assets or liabilities; therefore, these subsidiaries have no restricted net assets within the meaning of Rule 4-08(e)(3) or Rule 12-04 of Regulation S-X. The Credit Facility also contains other customary covenants, representations and events of default. As of March 26, 2023 , the Company was in compliance with all covenants under the Credit Facility. During the 13-week periods ended March 26, 2023 and March 27, 2022, the Company recognized interest expense related to draws on the revolving line of credit of $ 7 and $ 0 , respectively. |
Common Stock
Common Stock | 3 Months Ended |
Mar. 26, 2023 | |
Equity [Abstract] | |
Common Stock | Note 14. Common Stock As of March 26, 2023 , the Company’s amended and restated certificate of incorporation authorized the Company to issue 310,000,000 shares of common stock, par value $ 0.0001 per share, of which 40,839,050 shares were issued and outstanding. The voting, dividend and liquidation rights of the holders of the Company’s common stock are subject to and qualified by the rights, powers and preferences of the holders of the preferred stock, if any. Each share of the Company’s common stock is entitled to one vote on all matters submitted to a vote of the Company’s stockholders. Holders of the Company’s common stock are entitled to receive dividends as may be declared by the Company’s board of directors, if any, subject to the preferential dividend rights of preferred stock, if any. No cash dividends had been declared or paid during the periods presented. As of each balance sheet date, the Company had reserved shares of common stock for issuance in connection with the following: March 26, December 25, Options to purchase common stock 5,123,860 4,634,205 Restricted stock units 675,029 505,504 Shares available for grant under the 2020 Equity Incentive 12,796,409 11,503,459 Total 18,595,298 16,643,168 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 26, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Note 15. Stock-Based Compensation The Company measures compensation expense for all stock-based awards based on the estimated fair values on the date of the grant. Stock options generally vest ratably over three years from the date of grant and expire 10 years from the date of grant. Restricted stock awards generally vest ratably over three years from the date of grant and contain no other service or performance conditions. The Company's policy is to recognize stock-based compensation expense on a straight-line basis over the requisite service or vesting period. Forfeitures for stock options and restricted stock awards are recognized as they occur. The Company recognized stock-based compensation expense in the condensed consolidated statements of operations for the periods presented: 13-Weeks Ended March 26, March 27, Cost of goods sold $ 53 $ 29 Selling, general and administrative expense 2,188 1,267 Total $ 2,241 $ 1,296 Stock Option Activity The following table summarizes the Company’s stock option activity since December 25, 2022: Number of Weighted- Weighted- Aggregate Outstanding as of December 25, 2022 4,634,205 $ 9.35 $ 38,522 Granted 508,920 $ 15.06 Exercised — $ — $ — Cancelled/Forfeited ( 19,265 ) $ 17.20 $ 61 Outstanding as of March 26, 2023 5,123,860 $ 9.88 5.8 $ 36,625 Options exercisable as of March 26, 2023 3,309,518 $ 7.17 4.6 $ 30,934 Options vested and expected to vest as of March 26, 2023 5,123,777 $ 9.88 5.8 $ 36,624 The fair value of shares vested during the 13-week periods ended March 26, 2023 and March 27, 2022 was $ 1,015 and $ 959 , respectively. As of March 26, 2023, total unrecognized stock-based compensation expense related to unvested stock options was $ 7,377 , which is expected to be recognized over a weighted-average period of 2.15 years. Restricted Stock Unit Activity The following table summarizes the Company’s restricted stock units (“RSU”) activity since December 25, 2022: Number of Weighted- Unvested as of December 25, 2022 505,504 $ 13.58 Granted 305,606 $ 15.14 Vested ( 127,595 ) $ 12.97 Forfeited ( 8,486 ) $ 14.17 Unvested as of March 26, 2023 675,029 $ 14.40 The fair value of RSU shares vested during the 13-week periods ended March 26, 2023 and March 27, 2022 was $ 1,655 and $ 288 , respectively. As of March 26, 2023, total unrecognized stock-based compensation expense related to unvested stock options and the RSUs was $ 8,424 , which is expected to be recognized over a weighted-average period of 2.42 years. 2020 Equity Incentive Plan: In July 2020, the Company’s board of directors adopted its 2020 Equity Incentive Plan (“2020 Incentive Plan”), which was subsequently approved by the Company's stockholders and became effective on July 30, 2020. Initially, the maximum number of the Company’s common stock that may be issued under the 2020 Incentive Plan was 8,595,871 shares. The 2020 Incentive Plan provides that the number of shares reserved and available for issuance under the 2020 Incentive Plan will automatically increase each January 1, beginning on January 1, 2021 and ending on (and including) January 1, 2030, by an amount equal to 4 % of the outstanding number of shares of common stock on the immediately preceding December 31 or such lesser number of shares as determined by the Company’s board of directors. As of March 26, 2023, 10,709,893 shares were available for future grants of the Company’s common stock, which includes 1,629,884 shares of stock that were automatically added to the available reserve on January 1, 2023. Awards issued under the 2020 Incentive Plan generally have a three-year ratable vesting period beginning on the date of grant. Employee Stock Purchase Plan: In July 2020, the Company’s board of directors adopted the 2020 Employee Stock Purchase Plan (“2020 ESPP”), which was subsequently approved by the Company’s stockholders and became effective on July 30, 2020 . The 2020 ESPP authorizes the initial issuance of up to 900,000 shares of the Company’s common stock to eligible employees of the Company or, as designated by the Company’s board of directors, employees of a related company. The 2020 ESPP provides that the number of shares reserved and available for issuance under the 2020 ESPP will automatically increase each January 1, beginning on January 1, 2021 and ending on (and including) January 1, 2030, by an amount equal to the lesser of (i) 1 % of the outstanding number of shares of common stock on the immediately preceding December 31 and (ii) 900,000 , or such lesser number of shares as determined by the Company’s board of directors. As of March 26, 2023, 2,086,516 shares of the Company’s common stock were available for future issuance, which includes 407,471 shares of common stock that were automatically added to the available reserve on January 1, 2023. In November 2021, the Company’s board of directors authorized an offering period commencing on March 1, 2022 and ending on May 15, 2022. The Company’s board of directors has authorized subsequent additional six-month offering periods, with the most recent beginning on November 16, 2022. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 26, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 16. Income Taxes The Company’s effective tax rate for the 13-week periods ended March 26, 2023 and March 27, 2022 was approximately 26 % and 61 % , respectively. In the 13-week period ended March 26, 2023, the estimated annual effective tax rate was driven by permanent differences related to incentive stock options and the impact of compensation deduction limitations under Internal Revenue Code Section 162(m). For interim periods, our income tax expense and resulting effective tax rate are based upon an estimated annual effective tax rate adjusted for the effects of items required to be treated as discrete to the period, including changes in tax laws, changes in estimated exposures for uncertain tax positions, and other items. |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 3 Months Ended |
Mar. 26, 2023 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share | Note 17. Net Income (Loss) Per Share Basic and diluted net income (loss) per share attributable to Vital Farms, Inc. common stockholders were calculated as follows: 13-Weeks Ended March 26, March 27, Numerator: Net income (loss) $ 7,150 $ ( 1,538 ) Less: Net loss attributable to noncontrolling interests — ( 2 ) Net income (loss) attributable to Vital Farms, Inc. stockholders’ — basic and diluted $ 7,150 $ ( 1,536 ) Denominator: Weighted average common shares outstanding — basic 40,764,546 40,532,779 Weighted average effect of potentially dilutive securities: Effect of potentially dilutive stock options 2,423,087 — Effect of potentially dilutive restricted stock units 208,947 — Effect of potentially dilutive common stock issuable pursuant to the ESPP 1,756 — Weighted average common shares outstanding — diluted 43,398,336 40,532,779 Net income (loss) per share attributable to Vital Farms, Inc. stockholders Basic $ 0.18 $ ( 0.04 ) Diluted $ 0.16 $ ( 0.04 ) The Company excluded the following shares of common stock, outstanding at each period end, from the computation of diluted net income (loss) per share attributable to Vital Farms, Inc. common stockholders for the periods indicated because including them would have had an anti-dilutive effect: 13-Weeks Ended March 26, March 27, Options to purchase common stock 22,363 2,624 Unvested restricted stock 704 25,922 23,067 28,546 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 26, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Note 18. Accumulated Other Comprehensive Loss The amounts reclassified from accumulated other comprehensive loss to the unaudited consolidated statements of operations were as follows (in thousands): Amounts Reclassified from AOCI 13-Week Period Ended AOCI Component Statement of Operations Classification March 26, March 27, Losses on available-for-sale securities Other income (expense), net $ ( 34 ) ( 50 ) Total before tax ( 34 ) ( 50 ) Tax (expense) benefit 8 12 Net of tax $ ( 26 ) $ ( 38 ) The gross amount and related tax benefit (expense) recorded in, and associated with, each component of other comprehensive income were as follows (in thousands): 13-Weeks Ended March 26, 2023 March 27, 2022 Before Tax Tax After Tax Before Tax Tax After Tax Available-for-sale debt securities: Unrealized net holding gain (loss) $ 517 $ ( 122 ) $ 395 $ ( 1,075 ) $ 254 $ ( 821 ) Amounts reclassified for realized losses to earnings 34 ( 8 ) 26 50 ( 12 ) 38 Total other comprehensive income (loss) $ 551 $ ( 130 ) $ 421 $ ( 1,025 ) $ 242 $ ( 783 ) |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 26, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 19. Commitments and Contingencies Supplier Contracts: The Company purchases its egg inventories under long-term supply contracts with farms. Purchase commitments contained in these arrangements are variable dependent on the quantity of eggs produced by the farms. Accordingly, there are no estimable future purchase commitments associated with these supplier contracts and there are no minimum payments associated with these long-term supply contracts. The Company records the total cost of eggs into inventory, and they are expensed to cost of goods sold when the associated eggs are sold to customers and are also reported as part of our variable lease cost. Indemnification Agreements: In the ordinary course of business, the Company may provide indemnification of varying scope and terms to vendors, lessors, business partners and other parties with respect to certain matters including, but not limited to, losses arising out of breach of such agreements or from intellectual property infringement claims made by third parties. In addition, the Company has entered into indemnification agreements with members of its board of directors and its executive officers that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is, in many cases, unlimited. As of March 26, 2023, the Company has not incurred any material costs as a result of such indemnification agreements. Litigation: The Company is subject to various claims and contingencies which are in the scope of ordinary and routine litigation incidental to its business, including those related to regulation, litigation, business transactions, employee-related matters and taxes, among others. When the Company becomes aware of a claim or potential claim, the likelihood of any loss or exposure is assessed. If it is probable that a loss will result and the amount of the loss can be reasonably estimated, the Company records a liability for the loss. The liability recorded includes probable and estimable legal costs incurred to date and future legal costs to the point in the legal matter where the Company believes a conclusion to the matter will be reached. If the loss is not probable or the amount of the loss cannot be reasonably estimated, the Company discloses the claim if the likelihood of a potential loss is reasonably possible. Compensatory Arrangement of Certain Officers: On February 4, 2023, the Board of Directors of the Company appointed Thilo Wrede as Chief Financial Officer and principal financial officer of the Company, effective March 17, 2023 (the “Transition Date”). Mr. Wrede replaced Bo Meissner, who stepped down from his role as Chief Financial Officer and principal financial officer, effective as of the Transition Date. As of the Transition Date, Mr. Meissner was no longer an officer, executive or agent of the Company, but remained with the Company as an employee through April 30, 2023 (the “Departure Date”) to ensure a smooth leadership transition, after which he transitioned to a non-employee advisory role through July 31, 2023. The Company entered into a transition agreement with Mr. Meissner, pursuant to which he will continue to receive his current base salary and medical benefits, provided that Mr. Meissner performs such job duties for the Company and assists in such transition-related duties as the Company may deem necessary and appropriate. Following the Departure Date, in exchange for a general release of claims in favor of the Company, Mr. Meissner will receive severance benefits pursuant to the Company’s Severance Plan in the form of: (i) 12 months of his annual base salary over the twelve-month period following the Departure Date; (ii) his 2022 fiscal year bonus based on actual performance; and (iii) reimbursement of COBRA premiums for a period of up to 12 months. Mr. Meissner will be retained through July 31, 2023 as a non-employee advisor for such transition services as may be requested by the Company. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 26, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 20. Related Party Transactions Ovabrite, Inc.: Ovabrite, Inc., a Delaware corporation (“Ovabrite”), has been deemed a related party because its founders were stockholders of the Company, with the majority stockholder in Ovabrite also serving as the Company’s executive chairperson and member of the Company’s board of directors. Since Ovabrite’s incorporation in November 2016, the Company has been deemed to have had a variable interest in Ovabrite, and Ovabrite has been deemed to have been a variable interest entity, of which the Company has been the primary beneficiary. Accordingly, the Company has consolidated the results of Ovabrite since November 2016. All significant intercompany transactions between the Company and Ovabrite have been eliminated in consolidation. Effective August 30, 2022, Ovabrite’s board of directors and the holders of the majority of its outstanding capital stock consented to dissolving the entity, and a Certificate of Dissolution was filed with the Delaware Secretary of State. As of March 26, 2023, Ovabrite was in the process of winding up its business activities and liquidating its remaining assets. For the 13-week periods ended March 26, 2023 and March 27, 2022, the results of operations of the Ovabrite entity were immaterial. Sandpebble Builders Preconstruction, Inc.: The Company utilizes Sandpebble Builders Preconstruction, Inc. and Sandpebble South, Inc. (collectively “Sandpebble”) for project management and related services associated with the construction and expansion of our egg processing facilities, including site selection, project management and related services for our potential new egg packing facility. Victor Canseco, the owner and principal of Sandpebble, is the father of Russell Diez-Canseco, the Company’s President and Chief Executive Officer and a member of the Company’s board of directors. In connection with the services described above, the Company paid Sandpebble $ 116 and $ 121 during the 13-week periods ended March 26, 2023 and March 27, 2022, respectively. Amounts paid to Sandpebble are included in property, plant and equipment, net and selling, general and administrative costs in the unaudited condensed consolidated statements of operations. As of the 13-week periods ended March 26, 2023 and March 27, 2022, amounts owed to Sandpebble were $ 373 and $ 945 , respectively, and are included in accounts payable and accrued liabilities in the unaudited condensed consolidated balance sheets. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 26, 2023 | |
Accounting Policies [Abstract] | |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements The new accounting pronouncements recently adopted by the Company are described in the Company’s audited consolidated financial statements as of and for the fiscal year ended December 25, 2022, and the notes thereto, which are included in our Annual Report. Except as described below, there have been no new accounting pronouncements adopted by the Company during the 13-week period ended March 26, 2023. In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) and also issued subsequent amendments to the initial guidance, ASU 2018-19, ASU 2019-04, ASU 2019-05, ASU 2019-10, ASU 2019-11, ASU 2020-02, ASU 2020-03 and ASU 2022-02 (collectively, “Topic 326”), to introduce a new impairment model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Topic 326 requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amounts. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. The Company adopted ASU 2016-13 on December 26, 2022. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. There was no impact on the Company's unaudited condensed consolidated financial statements at adoption. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which intends to simplify the guidance by removing certain exceptions to the general principles and clarifying or amending existing guidance. ASU 2019-12 is effective for fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. The Company adopted ASU 2019-12 during fiscal year 2022 and there was no material impact on the Company’s consolidated financial statements for the year ended December 25, 2022 or on the unaudited condensed consolidated financial statements presented herein. |
Recently Issued Accounting Pronouncements Not Yet Adopted | Recently Issued Accounting Pronouncements Not Yet Adopted None. |
Investment Securities (Tables)
Investment Securities (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Available-for-sale Investment Securities | The following table summarizes the Company’s available-for-sale investment securities as of March 26, 2023: Amortized Cost Unrealized Losses Fair Value U.S. corporate bonds and U.S. dollar $ 57,526 $ ( 1,458 ) $ 56,068 U.S. Treasury 1,176 ( 11 ) 1,165 Total $ 58,702 $ ( 1,469 ) $ 57,233 The following table summarizes the Company’s available-for-sale investment securities as of December 25, 2022: Amortized Cost Unrealized Losses Fair Value U.S. corporate bonds and U.S. dollar $ 66,658 $ ( 1,996 ) $ 64,662 U.S. Treasury 1,176 ( 24 ) 1,152 Total $ 67,834 $ ( 2,020 ) $ 65,814 |
Summary of Contractual Maturities of Investment Securities | Contractual maturities of investment securities as of March 26, 2023 are as follows: Amortized Cost Fair Value Due within one year $ 28,758 $ 28,152 Due in 1-5 years 29,944 29,081 Total available-for-sale $ 58,702 $ 57,233 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule Of Notional Amounts of Outstanding Derivative Instruments | The following table presents the aggregated outstanding notional amounts related to the Company’s derivative financial instruments for the periods presented: Metric March 26, December 25, Commodity: Corn Bushels (in thousands) 2,527 — Soybean Meal Tons 28 — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Assets Measured at Fair Value | The following tables present information about the Company’s financial assets measured at fair value on a recurring basis for the periods presented: Fair Value Measurements as of March 26, 2023, Using: Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market $ 13,115 $ — $ — $ 13,115 Available-for-sale debt securities: U.S. corporate bonds and U.S. dollar — 56,068 — 56,068 U.S. Treasury — 1,165 — 1,165 Prepaid expenses and other current assets: Derivative financial instruments — 1,105 — 1,105 Total assets measured at fair value $ 13,115 $ 58,338 $ — $ 71,453 Fair Value Measurements as of December 25, 2022, Using: Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market $ 6,740 $ — $ — $ 6,740 Available-for-sale debt securities: U.S. corporate bonds and U.S. dollar — 64,662 — 64,662 U.S. Treasury — 1,152 — 1,152 Total assets measured at fair value $ 6,740 $ 65,814 $ — $ 72,554 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Net Revenue by Primary Product | The following table summarizes the Company’s net revenue by primary product for the periods presented: 13-Weeks Ended March 26, March 27, Net Revenue: Egg and egg-related products $ 112,790 $ 72,121 Butter and butter-related products 6,382 4,937 Net Revenue $ 119,172 $ 77,058 |
Summary of Percentage of Net Revenue and Accounts Receivable, Net Due from Significant Customers | The percentage of net revenue from significant customers during the 13-week periods ended March 26, 2023 and March 27, 2022 is as follows: Net Revenue Net Revenue Customer A 25 % 35 % Customer B * 11 % Customer C * 11 % * Revenue was less than 10% The decrease in the percentage of net revenue for Customers A, B and C for the 13-week period ended March 26, 2023 compared to the 13-week period ended March 27, 2022 is due to a shift in the Company's distribution channels away from these customers. The percentage of accounts receivable, net due from significant customers as of March 26, 2023 and December 25, 2022 is as follows: Accounts Receivable, Net as of March 26, 2023 Accounts Receivable, Net as of December 25, 2022 Customer A 19 % 23 % Customer C 12 % 12 % Customer D 12 % 13 % * Accounts receivable was less than 10% |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Receivables [Abstract] | |
Schedule of Changes in Allowance for Doubtful Accounts Receivable | Changes in the allowance for doubtful accounts were as follows: Allowance for As of December 25, 2022 $ ( 699 ) Provisions charged to operating results ( 84 ) Account write-off and recoveries, net — As of March 26, 2023 $ ( 783 ) |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventory consisted of the following as of the periods presented: March 26, December 25, Eggs and egg-related products $ 18,722 $ 13,675 Butter and butter-related products 7,036 5,718 Packaging 6,565 5,452 Pullets 1,251 981 Other 1,248 1,121 Reserve for inventory obsolescence ( 880 ) ( 98 ) Inventories $ 33,942 $ 26,849 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consisted of the following as of the periods presented: March 26, December 25, Land $ 552 $ 552 Land improvements 835 835 Buildings and improvements 29,953 29,667 Vehicles 894 894 Machinery and equipment 35,179 34,978 Leasehold improvements 919 919 Furniture and fixtures 714 685 Construction in progress 3,321 3,312 72,367 71,842 Less: Accumulated depreciation and amortization ( 13,595 ) ( 12,687 ) Property, plant and equipment, net $ 58,772 $ 59,155 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Leases [Abstract] | |
Schedule of Components of Lease Cost | The components of lease cost, classified within cost of goods sold, selling, general and administrative and interest expense in the unaudited condensed consolidated statement of operations for the 13-week periods ended March 26, 2023 and March 27, 2022, are below: 13-Weeks Ended March 26, March 27, Operating lease cost $ 361 $ 361 Finance lease cost - amortization of right-of-use assets 447 78 Finance lease cost - interest on lease liabilities 132 3 Short-term lease cost 117 3 Variable lease cost 1,563 418 Variable lease cost - long-term supply contracts 43,086 30,183 Total lease cost $ 45,706 $ 31,046 |
Summary of Operating and Finance Leases Future Undiscounted Cash Flows | Future undiscounted cash flows are as follows: As of March 26, 2023 Operating Leases Finance Leases 2023 $ 879 $ 1,545 2024 471 2,060 2025 338 2,060 2026 115 2,060 2027 — 1,711 Thereafter — — Total lease payments 1,803 9,436 Less imputed interest ( 63 ) ( 1,223 ) Total present value of lease liabilities $ 1,740 $ 8,213 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consisted of the following as of the periods presented: March 26, December 25, Accrued employee related costs $ 3,356 $ 7,453 Accrued promotions and customer deductions 4,043 4,414 Accrued distribution fees and freight 2,900 2,351 Accrued marketing and broker commissions 2,343 1,598 Accrued purchases of inventory 1,670 1,349 Accrued professional fees 1,400 761 Accrued derivative premiums 2,152 — Accrued property, plant and equipment 322 153 Other 668 398 Accrued liabilities $ 18,854 $ 18,477 |
Product Exit Costs (Tables)
Product Exit Costs (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Restructuring and Related Activities [Abstract] | |
Summary of Activity Related to Exit of Breakfast Products | The following tables summarizes the activity related to the exit of the Company's convenient breakfast product category during the periods presented: For the 13-Weeks Ended March 26, 2023 Description Statement of Operations Beginning Liability Balance Charges Incurred Amounts Paid or Settled Amounts Released as Unutilized Ending Liability Balance Asset write-downs Cost of goods sold $ 119 $ — $ ( 74 ) $ — $ 45 Total $ 119 $ — $ ( 74 ) $ — $ 45 For the 13-Weeks Ended March 27, 2022 Description Statement of Operations Charges Incurred Amounts Paid or Settled Amounts Released as Unutilized Ending Liability Balance Contract terminations Selling, general and administrative $ 1,126 $ ( 49 ) $ — $ 1,077 Inventory obsolescence Cost of goods sold 749 ( 433 ) — 316 Customer allowances Net revenue 146 — — 146 Asset write-downs Cost of goods sold 119 — — 119 Co-manufacturer charges Cost of goods sold 135 ( 135 ) — — Asset disposals Selling, general and administrative 66 ( 66 ) — — Total $ 2,341 $ ( 683 ) $ — $ 1,658 |
Common Stock (Tables)
Common Stock (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Equity [Abstract] | |
Schedule of Reserved Shares of Common Stock for Issuance | As of each balance sheet date, the Company had reserved shares of common stock for issuance in connection with the following: March 26, December 25, Options to purchase common stock 5,123,860 4,634,205 Restricted stock units 675,029 505,504 Shares available for grant under the 2020 Equity Incentive 12,796,409 11,503,459 Total 18,595,298 16,643,168 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Recognized Stock - Based Compensation Expense | The Company recognized stock-based compensation expense in the condensed consolidated statements of operations for the periods presented: 13-Weeks Ended March 26, March 27, Cost of goods sold $ 53 $ 29 Selling, general and administrative expense 2,188 1,267 Total $ 2,241 $ 1,296 |
Summary of Stock Option Activity | The following table summarizes the Company’s stock option activity since December 25, 2022: Number of Weighted- Weighted- Aggregate Outstanding as of December 25, 2022 4,634,205 $ 9.35 $ 38,522 Granted 508,920 $ 15.06 Exercised — $ — $ — Cancelled/Forfeited ( 19,265 ) $ 17.20 $ 61 Outstanding as of March 26, 2023 5,123,860 $ 9.88 5.8 $ 36,625 Options exercisable as of March 26, 2023 3,309,518 $ 7.17 4.6 $ 30,934 Options vested and expected to vest as of March 26, 2023 5,123,777 $ 9.88 5.8 $ 36,624 |
Summary of Restricted Stock Unit Activity | The following table summarizes the Company’s restricted stock units (“RSU”) activity since December 25, 2022: Number of Weighted- Unvested as of December 25, 2022 505,504 $ 13.58 Granted 305,606 $ 15.14 Vested ( 127,595 ) $ 12.97 Forfeited ( 8,486 ) $ 14.17 Unvested as of March 26, 2023 675,029 $ 14.40 The fair value of RSU shares vested during the 13-week periods ended March 26, 2023 and March 27, 2022 was $ 1,655 and $ 288 , respectively. As of March 26, 2023, total unrecognized stock-based compensation expense related to unvested stock options and the RSUs was $ 8,424 , which is expected to be recognized over a weighted-average period of 2.42 years. |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Income (Loss) Per Share | Basic and diluted net income (loss) per share attributable to Vital Farms, Inc. common stockholders were calculated as follows: 13-Weeks Ended March 26, March 27, Numerator: Net income (loss) $ 7,150 $ ( 1,538 ) Less: Net loss attributable to noncontrolling interests — ( 2 ) Net income (loss) attributable to Vital Farms, Inc. stockholders’ — basic and diluted $ 7,150 $ ( 1,536 ) Denominator: Weighted average common shares outstanding — basic 40,764,546 40,532,779 Weighted average effect of potentially dilutive securities: Effect of potentially dilutive stock options 2,423,087 — Effect of potentially dilutive restricted stock units 208,947 — Effect of potentially dilutive common stock issuable pursuant to the ESPP 1,756 — Weighted average common shares outstanding — diluted 43,398,336 40,532,779 Net income (loss) per share attributable to Vital Farms, Inc. stockholders Basic $ 0.18 $ ( 0.04 ) Diluted $ 0.16 $ ( 0.04 ) |
Schedule of Common Shares Excluded from Computation of Diluted Earnings Per Share | The Company excluded the following shares of common stock, outstanding at each period end, from the computation of diluted net income (loss) per share attributable to Vital Farms, Inc. common stockholders for the periods indicated because including them would have had an anti-dilutive effect: 13-Weeks Ended March 26, March 27, Options to purchase common stock 22,363 2,624 Unvested restricted stock 704 25,922 23,067 28,546 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 26, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | The amounts reclassified from accumulated other comprehensive loss to the unaudited consolidated statements of operations were as follows (in thousands): Amounts Reclassified from AOCI 13-Week Period Ended AOCI Component Statement of Operations Classification March 26, March 27, Losses on available-for-sale securities Other income (expense), net $ ( 34 ) ( 50 ) Total before tax ( 34 ) ( 50 ) Tax (expense) benefit 8 12 Net of tax $ ( 26 ) $ ( 38 ) |
Schedule of Component of Other Comprehensive Income | The gross amount and related tax benefit (expense) recorded in, and associated with, each component of other comprehensive income were as follows (in thousands): 13-Weeks Ended March 26, 2023 March 27, 2022 Before Tax Tax After Tax Before Tax Tax After Tax Available-for-sale debt securities: Unrealized net holding gain (loss) $ 517 $ ( 122 ) $ 395 $ ( 1,075 ) $ 254 $ ( 821 ) Amounts reclassified for realized losses to earnings 34 ( 8 ) 26 50 ( 12 ) 38 Total other comprehensive income (loss) $ 551 $ ( 130 ) $ 421 $ ( 1,025 ) $ 242 $ ( 783 ) |
Nature of the Business and Ba_2
Nature of the Business and Basis of Presentation - Additional Information (Details) | 3 Months Ended |
Mar. 26, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Date of incorporation | Jun. 06, 2013 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Summary of Significant Accounting Policies [Line Items] | ||
Right-of-use asset | $ 1,549 | $ 1,895 |
Lease liability | $ 1,740 |
Investment Securities - Summary
Investment Securities - Summary of Available-for-sale Investment Securities (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 58,702 | $ 67,834 |
Unrealized Losses | (1,469) | (2,020) |
Fair Value | 57,233 | 65,814 |
U.S. corporate bonds and U.S. dollar denominated foreign bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 57,526 | 66,658 |
Unrealized Losses | (1,458) | (1,996) |
Fair Value | 56,068 | 64,662 |
U.S. Treasury | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,176 | 1,176 |
Unrealized Losses | (11) | (24) |
Fair Value | $ 1,165 | $ 1,152 |
Investment Securities - Additio
Investment Securities - Additional Information (Details) | 3 Months Ended | ||
Mar. 26, 2023 USD ($) Position Security | Mar. 27, 2022 USD ($) | Dec. 25, 2022 USD ($) | |
Schedule Of Available For Sale Securities [Line Items] | |||
Proceeds from the sale of available-for-sale securities | $ 0 | $ 0 | |
Unrealized Losses | $ 1,469,000 | $ 2,020,000 | |
Unrealized Loss Position greater than 12 months | Position | 59 | ||
Aggregate unrealized losses | $ 1,198,000 | ||
Allowance for credit losses on the investment securities | 0 | ||
Maximum [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Unrealized Losses | $ 73,000 | ||
AFS Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Number of Securities Issuances for unrealized losses | Security | 81 | ||
U.S. corporate bonds and U.S. dollar denominated foreign bonds | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Unrealized Losses | $ 1,458,000 | $ 1,996,000 |
Investment Securities - Summa_2
Investment Securities - Summary of Contractual Maturities of Investment Securities (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Investments, Debt and Equity Securities [Abstract] | ||
Due within one year Amortized Cost | $ 28,758 | |
Due in 1-5 years Amortized Cost | 29,944 | |
Amortized Cost | 58,702 | $ 67,834 |
Due within one year Fair Value | 28,152 | |
Due in 1-5 years Fair Value | 29,081 | |
Total available-for-sale Fair Value | $ 57,233 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Schedule Of Notional Amounts of Outstanding Derivative Instruments (Details) Bushels in Thousands | Mar. 26, 2023 Bushels T | Dec. 25, 2022 Bushels T |
Corn | ||
Derivative [Line Items] | ||
Notional amounts of derivative financial instruments | Bushels | 2,527 | 0 |
Soybean Meal | ||
Derivative [Line Items] | ||
Notional amounts of derivative financial instruments | T | 28 | 0 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Commodity Contract [Member] | Non designated [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Pre-tax amount of derivative losses | $ (1,415) | $ 0 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Financial Assets Measured at Fair Value (Details) - Recurring - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | $ 71,453 | $ 72,554 |
Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 13,115 | 6,740 |
Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 58,338 | 65,814 |
Money market | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 13,115 | 6,740 |
Money market | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 13,115 | 6,740 |
U.S. corporate bonds and U.S. dollar denominated foreign bonds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 56,068 | 64,662 |
U.S. corporate bonds and U.S. dollar denominated foreign bonds | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 56,068 | 64,662 |
U.S. Treasury | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 1,165 | 1,152 |
U.S. Treasury | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 1,165 | $ 1,152 |
Derivative financial instruments | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | 1,105 | |
Derivative financial instruments | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Assets measured at fair value | $ 1,105 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | Mar. 26, 2023 USD ($) |
Fair Value Disclosures [Abstract] | |
Fair value liabilities transfers, Level 2 to Level 1 | $ 0 |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Net Revenue by Primary Product (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Disaggregation Of Revenue [Line Items] | ||
Net revenue | $ 119,172 | $ 77,058 |
Egg and Egg Related Products | ||
Disaggregation Of Revenue [Line Items] | ||
Net revenue | 112,790 | 72,121 |
Butter and Butter Related Products | ||
Disaggregation Of Revenue [Line Items] | ||
Net revenue | $ 6,382 | $ 4,937 |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of Percentage of Net Revenue from Significant Customers (Details) - Customer Concentration Risk - Net Revenue | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Customer A | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 25% | 35% |
Customer B | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 11% | |
Customer C | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 11% |
Revenue Recognition - Summary_3
Revenue Recognition - Summary of Percentage of Accounts Receivable, Net Due from Significant Customers (Details) - Customer Concentration Risk - Accounts Receivable | 3 Months Ended | 12 Months Ended |
Mar. 26, 2023 | Dec. 25, 2022 | |
Customer A | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 19% | 23% |
Customer C | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 12% | 12% |
Customer D | ||
Disaggregation Of Revenue [Line Items] | ||
Concentration risk percentage | 12% | 13% |
Accounts Receivable - Additiona
Accounts Receivable - Additional Information (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Receivables [Abstract] | ||
Allowance for doubtful accounts | $ 783 | $ 699 |
Accounts Receivable - Summary o
Accounts Receivable - Summary of Changes in Allowance for Doubtful Accounts (Details) $ in Thousands | 3 Months Ended |
Mar. 26, 2023 USD ($) | |
Receivables [Abstract] | |
Allowance for doubtful accounts, Beginning balance | $ (699) |
Provisions charged to operating results | (84) |
Account write-off and recoveries, net | 0 |
Allowance for doubtful accounts, Ending balance | $ (783) |
Inventories - Schedule of Inven
Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Inventory [Line Items] | ||
Reserve for inventory obsolescence | $ (880) | $ (98) |
Inventories | 33,942 | 26,849 |
Eggs and Egg Related Products | ||
Inventory [Line Items] | ||
Inventory gross | 18,722 | 13,675 |
Butter and Butter Related Products | ||
Inventory [Line Items] | ||
Inventory gross | 7,036 | 5,718 |
Packaging | ||
Inventory [Line Items] | ||
Inventory gross | 6,565 | 5,452 |
Pullets | ||
Inventory [Line Items] | ||
Inventory gross | 1,251 | 981 |
Other | ||
Inventory [Line Items] | ||
Inventory gross | $ 1,248 | $ 1,121 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 72,367 | $ 71,842 |
Less: Accumulated depreciation and amortization | (13,595) | (12,687) |
Property, plant and equipment, net | 58,772 | 59,155 |
Land | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 552 | 552 |
Land improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 835 | 835 |
Buildings and Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 29,953 | 29,667 |
Vehicles | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 894 | 894 |
Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 35,179 | 34,978 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 919 | 919 |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 714 | 685 |
Construction in Progress | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 3,321 | $ 3,312 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Property Plant And Equipment [Line Items] | ||
Depreciation and amortization of property, plant and equipment | $ 1,693 | $ 948 |
Leases - Schedule of Components
Leases - Schedule of Components of Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Leases [Abstract] | ||
Operating lease cost | $ 361 | $ 361 |
Finance lease cost - amortization of right-of-use assets | 447 | 78 |
Finance lease cost - interest on lease liabilities | 132 | 3 |
Short-term lease cost | 117 | 3 |
Variable lease cost | 1,563 | 418 |
Variable lease cost - long-term supply contracts | 43,086 | 30,183 |
Total lease cost | $ 45,706 | $ 31,046 |
Leases - Summary of Operating a
Leases - Summary of Operating and Finance Leases Future Undiscounted Cash Flows (Details) $ in Thousands | Mar. 26, 2023 USD ($) |
Leases [Abstract] | |
Operating leases 2023 | $ 879 |
Operating leases 2024 | 471 |
Operating leases 2025 | 338 |
Operating leases 2026 | 115 |
Operating leases 2027 | 0 |
Operating leases Thereafter | 0 |
Total lease payments | 1,803 |
Less imputed interest | (63) |
Total present value of lease liabilities | 1,740 |
Finance leases 2023 | 1,545 |
Finance leases 2024 | 2,060 |
Finance leases 2025 | 2,060 |
Finance leases 2026 | 2,060 |
Finance leases 2027 | 1,711 |
Finance leases Thereafter | 0 |
Total lease payments | 9,436 |
Less imputed interest | (1,223) |
Total present value of lease liabilities | $ 8,213 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Leases [Abstract] | ||
ROU assets obtained in exchange for new finance lease obligations | $ 4 | $ 20 |
Accrued Liabilities - Schedule
Accrued Liabilities - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands | Mar. 26, 2023 | Dec. 25, 2022 |
Payables and Accruals [Abstract] | ||
Accrued employee related costs | $ 3,356 | $ 7,453 |
Accrued promotions and customer deductions | 4,043 | 4,414 |
Accrued distribution fees and freight | 2,900 | 2,351 |
Accrued marketing and broker commissions | 2,343 | 1,598 |
Accrued purchases of inventory | 1,670 | 1,349 |
Accrued professional fees | 1,400 | 761 |
Accrued derivative premiums | 2,152 | 0 |
Accrued property, plant and equipment | 322 | 153 |
Other | 668 | 398 |
Accrued liabilities | $ 18,854 | $ 18,477 |
Product Exit Costs - Additional
Product Exit Costs - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 26, 2023 | Dec. 25, 2022 | Mar. 27, 2022 | |
Restructuring and Related Activities [Abstract] | |||
Liability balance related to exit | $ 45 | $ 119 | $ 1,658 |
Liability balance settled or released date | Jun. 25, 2023 |
Product Exit Costs - Summary of
Product Exit Costs - Summary of Activity Related to Exit of Breakfast Products (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Restructuring Cost And Reserve [Line Items] | ||
Restructuring Reserve, Beginning Balance | $ 119 | |
Charges Incurred | 0 | $ 2,341 |
Amounts Paid or Settled | (74) | (683) |
Amounts Released as Unutilized | 0 | 0 |
Restructuring Reserve, Ending Balance | 45 | 1,658 |
Net Revenue | Customer Allowances | ||
Restructuring Cost And Reserve [Line Items] | ||
Charges Incurred | 146 | |
Amounts Paid or Settled | 0 | |
Amounts Released as Unutilized | 0 | |
Restructuring Reserve, Ending Balance | 146 | |
Cost of Goods Sold | Inventory Obsolescence | ||
Restructuring Cost And Reserve [Line Items] | ||
Charges Incurred | 749 | |
Amounts Paid or Settled | (433) | |
Amounts Released as Unutilized | 0 | |
Restructuring Reserve, Ending Balance | 316 | |
Cost of Goods Sold | Asset Write-downs | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring Reserve, Beginning Balance | 119 | |
Charges Incurred | 0 | 119 |
Amounts Paid or Settled | (74) | 0 |
Amounts Released as Unutilized | 0 | 0 |
Restructuring Reserve, Ending Balance | $ 45 | 119 |
Cost of Goods Sold | Co-manufacturer Charges | ||
Restructuring Cost And Reserve [Line Items] | ||
Charges Incurred | 135 | |
Amounts Paid or Settled | (135) | |
Amounts Released as Unutilized | 0 | |
Restructuring Reserve, Ending Balance | 0 | |
Selling, General and Administrative | Asset Disposals | ||
Restructuring Cost And Reserve [Line Items] | ||
Charges Incurred | 66 | |
Amounts Paid or Settled | (66) | |
Amounts Released as Unutilized | 0 | |
Restructuring Reserve, Ending Balance | 0 | |
Selling, General and Administrative | Contract Terminations | ||
Restructuring Cost And Reserve [Line Items] | ||
Charges Incurred | 1,126 | |
Amounts Paid or Settled | (49) | |
Amounts Released as Unutilized | 0 | |
Restructuring Reserve, Ending Balance | $ 1,077 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) - USD ($) | 3 Months Ended | |||
Mar. 26, 2023 | Mar. 26, 2023 | Mar. 27, 2022 | Oct. 31, 2017 | |
Revolving Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Proceeds from borrowing under revolving line of credit | $ 7,500,000 | $ 0 | ||
Repayment of revolving line of credit | 7,500,000 | 0 | ||
Outstanding Debt | 0 | $ 0 | ||
Interest expense | $ 7,000 | $ 0 | ||
PNC Bank, National Association | Revolving Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility maximum borrowing capacity | $ 10,000,000 | |||
Debt instrument, maturity | 2024-04 | |||
PNC Bank, National Association | Revolving Line of Credit | Sixth Amendment | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility maximum borrowing capacity | $ 20,000,000 | $ 20,000,000 | ||
PNC Bank, National Association | Revolving Line of Credit | Tenth Amendment | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument basis spread on variable rate | 2% | |||
PNC Bank, National Association | Revolving Line of Credit | Tenth Amendment | Alternate Base Rate | ||||
Debt Instrument [Line Items] | ||||
Debt instrument basis spread on variable rate | 1% | |||
PNC Bank, National Association | Term Loan | ||||
Debt Instrument [Line Items] | ||||
Debt instrument face amount | 4,700,000 | |||
PNC Bank, National Association | Equipment Loan | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility maximum borrowing capacity | $ 1,500,000 | |||
PNC Bank, National Association | Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility covenant terms | The Credit Facility is secured by all of the Company’s assets (other than real property and certain other property excluded pursuant to the terms of the Credit Facility) and requires the Company to maintain three financial covenants: a fixed charge coverage ratio, a leverage ratio and a minimum tangible net worth requirement. The Credit Facility also contains various covenants relating to limitations on indebtedness, acquisitions, mergers, consolidations and the sale of properties and liens. | |||
Line of credit facility covenant compliance | As of March 26, 2023, the Company was in compliance with all covenants under the Credit Facility. | |||
PNC Bank, National Association | Credit Facility | Term Loan And Equipment Loan | ||||
Debt Instrument [Line Items] | ||||
Debt instrument eliminated | 2021-04 |
Common Stock - Additional Infor
Common Stock - Additional Information (Details) - USD ($) | 3 Months Ended | |
Mar. 26, 2023 | Dec. 25, 2022 | |
Class Of Stock [Line Items] | ||
Common stock, shares authorized | 310,000,000 | 310,000,000 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares issued | 40,839,050 | 40,746,990 |
Common stock, shares outstanding | 40,839,050 | 40,746,990 |
Common stock voting rights | Each share of the Company’s common stock is entitled to one vote on all matters submitted to a vote of the Company’s stockholders. | |
Common stock dividend declared or paid | $ 0 |
Common Stock - Schedule of Rese
Common Stock - Schedule of Reserved Shares of Common Stock for Issuance (Details) - shares | Mar. 26, 2023 | Dec. 25, 2022 |
Class Of Stock [Line Items] | ||
Common stock for issuance | 18,595,298 | 16,643,168 |
Employee Stock Option | ||
Class Of Stock [Line Items] | ||
Common stock for issuance | 5,123,860 | 4,634,205 |
Restricted Stock Units | ||
Class Of Stock [Line Items] | ||
Common stock for issuance | 675,029 | 505,504 |
Shares Available for Grant | 2020 Equity Incentive Plan and 2020 Employee Stock Purchase Plan | ||
Class Of Stock [Line Items] | ||
Common stock for issuance | 12,796,409 | 11,503,459 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |||
Jan. 01, 2023 | Jul. 31, 2020 | Mar. 26, 2023 | Mar. 27, 2022 | Dec. 25, 2022 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Fair value of shares vested | $ 1,015 | $ 959 | |||
Common stock for issuance | 18,595,298 | 16,643,168 | |||
Employee Stock Option | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unrecognized stock-based compensation expense | $ 7,377 | ||||
Expected weighted-average period of recognition | 2 years 1 month 24 days | ||||
Stock options - vest year | 3 years | ||||
Stock options - date of grant and expire | 10 years | ||||
Common stock for issuance | 5,123,860 | 4,634,205 | |||
Restricted Stock Units | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unrecognized stock-based compensation expense | $ 8,424 | ||||
RSU of shares vested | $ 1,655 | $ 288 | |||
Expected weighted-average period of recognition | 2 years 5 months 1 day | ||||
Common stock for issuance | 675,029 | 505,504 | |||
Restricted Stock | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock options - vest year | 3 years | ||||
2020 Equity Incentive Plan | Common Stock | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Maximum number of shares issuable | 8,595,871 | ||||
Percentage of outstanding common stock | 4% | ||||
Share-based compensation award, description | Initially, the maximum number of the Company’s common stock that may be issued under the 2020 Incentive Plan was 8,595,871 shares. The 2020 Incentive Plan provides that the number of shares reserved and available for issuance under the 2020 Incentive Plan will automatically increase each January 1, beginning on January 1, 2021 and ending on (and including) January 1, 2030, by an amount equal to 4% of the outstanding number of shares of common stock on the immediately preceding December 31 or such lesser number of shares as determined by the Company’s board of directors. | ||||
Number of shares available for future grants | 10,709,893 | ||||
Number of new shares issued | 1,629,884 | ||||
2020 Employee Stock Purchase Plan | Common Stock | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Maximum number of shares issuable | 900,000 | ||||
Percentage of outstanding common stock | 1% | ||||
Share-based compensation award, description | . The 2020 ESPP authorizes the initial issuance of up to 900,000 shares of the Company’s common stock to eligible employees of the Company or, as designated by the Company’s board of directors, employees of a related company. The 2020 ESPP provides that the number of shares reserved and available for issuance under the 2020 ESPP will automatically increase each January 1, beginning on January 1, 2021 and ending on (and including) January 1, 2030, by an amount equal to the lesser of (i) 1% of the outstanding number of shares of common stock on the immediately preceding December 31 and (ii) 900,000, or such lesser number of shares as determined by the Company’s board of directors. As of March 26, 2023, 2,086,516 shares of | ||||
Number of new shares issued | 407,471 | ||||
Common stock for issuance | 2,086,516 |
Stock-Based Compensation -Summa
Stock-Based Compensation -Summary of Recognized Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 2,241 | $ 1,296 |
Cost of Goods Sold | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Stock-based compensation expense | 53 | 29 |
Selling, General and Administrative | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 2,188 | $ 1,267 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 26, 2023 USD ($) $ / shares shares | |
Share-Based Payment Arrangement [Abstract] | |
Number of Options, Beginning balance | shares | 4,634,205 |
Number of Options, Granted | shares | 508,920 |
Number of Options, Exercised | shares | 0 |
Number of Options, Cancelled | shares | (19,265) |
Number of Options, Ending balance | shares | 5,123,860 |
Number of Options, Options exercisable as of June 26, 2022 | shares | 3,309,518 |
Number of Options, Options vested and expected to vest as of June 26, 2022 | shares | 5,123,777 |
Weighted-Average Exercise Price, Beginning balance | $ / shares | $ 9.35 |
Weighted-Average Exercise Price, Options Granted | $ / shares | 15.06 |
Weighted-Average Exercise Price, Options Exercised | $ / shares | 0 |
Weighted-Average Exercise Price, Options Cancelled | $ / shares | 17.20 |
Weighted-Average Exercise Price, Ending balance | $ / shares | 9.88 |
Weighted-Average Exercise Price, Options exercisable as of June 26, 2022 | $ / shares | 7.17 |
Weighted-Average Exercise Price, Options vested and expected to vest as of June 26, 2022 | $ / shares | $ 9.88 |
Weighted Average Remaining Contractual Life (Years), Balance | 5 years 9 months 18 days |
Weighted Average Remaining Contractual Life (Years), Options exercisable as of June 26, 2022 | 4 years 7 months 6 days |
Weighted Average Remaining Contractual Life (Years), Options vested and expected to vest as of June 26, 2022 | 5 years 9 months 18 days |
Aggregate Intrinsic Value, Beginning balance | $ | $ 38,522 |
Aggregate Intrinsic Value, Exercised | $ | 0 |
Aggregate Intrinsic Value, Cancelled | $ | 61 |
Aggregate Intrinsic Value, Ending balance | $ | 36,625 |
Aggregate Intrinsic Value, Options exercisable as of June 26, 2022 | $ | 30,934 |
Aggregate Intrinsic Value, Options vested and expected to vest as of June 26, 2022 | $ | $ 36,624 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units | 3 Months Ended |
Mar. 26, 2023 $ / shares shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of RSUs, Beginning balance | shares | 505,504 |
Number of RSUs, Granted | shares | 305,606 |
Number of RSUs, Vested | shares | (127,595) |
Number of RSUs, Forfeited | shares | (8,486) |
Number of RSUs, Ending balance | shares | 675,029 |
Weighted-Average Grant Date Fair Value, Beginning balance | $ / shares | $ 13.58 |
Weighted-Average Grant Date Fair Value, Granted | $ / shares | 15.14 |
Weighted-Average Grant Date Fair Value, Vested | $ / shares | 12.97 |
Weighted-Average Grant Date Fair Value, Forfeited | $ / shares | 14.17 |
Weighted-Average Grant Date Fair Value, Ending balance | $ / shares | $ 14.40 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate | 26% | 61% |
Net Income (Loss) Per Share - S
Net Income (Loss) Per Share - Schedule of Basic and Diluted Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Numerator: | ||
Net income (loss) | $ 7,150 | $ (1,538) |
Less: Net loss attributable to noncontrolling interests | 0 | (2) |
Net income (loss) attributable to Vital Farms, Inc. common stockholders | $ 7,150 | $ (1,536) |
Denominator: | ||
Weighted average common shares outstanding — basic | 40,764,546 | 40,532,779 |
Weighted average effect of potentially dilutive securities: | ||
Weighted average common shares outstanding — diluted | 43,398,336 | 40,532,779 |
Net income (loss) per share attributable to Vital Farms, Inc. stockholders | ||
Basic | $ 0.18 | $ (0.04) |
Diluted | $ 0.16 | $ (0.04) |
Employee Stock Option | ||
Weighted average effect of potentially dilutive securities: | ||
Effect of potentially dilutive stock options | 2,423,087 | 0 |
Restricted Stock Units | ||
Weighted average effect of potentially dilutive securities: | ||
Effect of potentially dilutive stock options | 208,947 | 0 |
Employee Stock Purchase Plan | ||
Weighted average effect of potentially dilutive securities: | ||
Effect of potentially dilutive stock options | 1,756 | 0 |
Net Income (Loss) Per Share -_2
Net Income (Loss) Per Share - Schedule of Excluded Common Shares Including at Anti-dilutive Effect (Details) - shares | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 23,067 | 28,546 |
Options to Purchase Common Stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 22,363 | 2,624 |
Unvested Restricted Stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 704 | 25,922 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Amounts reclassified from accumulated other comprehensive loss to earnings | $ (34) | $ (50) |
Tax (expense) benefit | 8 | 12 |
Net of tax | (26) | (38) |
Losses on available-for-sale securities | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Amounts reclassified from accumulated other comprehensive loss to earnings | $ (34) | $ (50) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Schedule of Component of Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized net holding gain (loss), Before Tax | $ 517 | $ (1,075) |
Unrealized net holding gain (loss), Tax | (122) | 254 |
Unrealized net holding gain (loss), After Tax | 395 | (821) |
Amounts reclassified for realized losses to earnings, Before Tax | 34 | 50 |
Amounts reclassified for realized losses to earnings, Tax | (8) | (12) |
Net of tax | 26 | 38 |
Income tax (expense) benefit related to items of other comprehensive income (loss) | (130) | 242 |
Other comprehensive income (loss), net of tax | 421 | (783) |
Other comprehensive income (loss), before tax | 551 | (1,025) |
Available-for-Sale Debt Securities | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Amounts reclassified for realized losses to earnings, Before Tax | $ 34 | $ 50 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - Sandpebble Builders Preconstruction, Inc - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 26, 2023 | Mar. 27, 2022 | |
Related Party Transaction [Line Items] | ||
Expense paid to related party | $ 116 | $ 121 |
Amounts owed to related party | $ 373 | $ 945 |