Operating margins have faced persistent compression, declining from a peak of 7.8% in 2024Q2 to 5.2% in 2026Q1, reflecting the difficulty of managing inflationary costs.
| Metric | TTM | Jan'26 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 |
|---|
| Sales/Revenue | 5.27B | 5.26B | 5.1B | 5.09B | 4.81B | 4.33B | 4.39B | 4.12B | 3.95B | 3.92B | 3.93B | 3.78B | 3.75B | 3.73B | 3.03B | 2.77B | 2.57B | 2.6B | 2.41B | 2.04B | 1.89B | 1.72B | 1.55B | 1.45B | 1.33B | 1.3B | 1.56B | 1.51B | 1.48B |
| Revenue Growth % | 3.8% | 3% | 0.25% | 5.93% | 10.97% | -1.3% | 6.4% | 4.36% | 0.79% | -0.16% | 3.93% | 0.79% | 0.44% | 23.14% | 9.29% | 7.75% | -1.04% | 7.7% | 18.57% | 7.84% | 10.07% | 10.61% | 6.77% | 9.36% | 2.24% | -16.85% | 3.68% | 1.64% | - |
| Cost of Goods Sold | 2.74B | 2.69B | 2.58B | 2.63B | 2.5B | 2.18B | 2.2B | 2.16B | 2.07B | 2.01B | 2.03B | 1.96B | 1.95B | 1.97B | 1.62B | 1.47B | 1.35B | 1.39B | 1.26B | 1.04B | 949.61M | 861.58M | 779.44M | 720.16M | 651.89M | 640.87M | 900.2M | 883.88M | 795.08M |
| COGS % of Revenue | - | 51.13% | 50.5% | 51.7% | 52.06% | 50.23% | 50.05% | 52.27% | 52.3% | 51.25% | 51.61% | 51.96% | 52.03% | 52.84% | 53.37% | 53.12% | 52.33% | 53.45% | 52.34% | 51.02% | 50.28% | 50.21% | 50.24% | 49.56% | 49.07% | 49.32% | 57.6% | 58.64% | 53.61% |
| Gross Profit | 2.53B | 2.57B | 2.53B | 2.46B | 2.3B | 2.16B | 2.19B | 1.97B | 1.89B | 1.91B | 1.9B | 1.82B | 1.8B | 1.76B | 1.41B | 1.3B | 1.23B | 1.21B | 1.15B | 997.66M | 939.04M | 854.29M | 771.87M | 732.83M | 676.72M | 658.62M | 662.68M | 623.54M | 688.06M |
| Gross Margin % | 47.99% | 48.87% | 49.5% | 48.3% | 47.94% | 49.77% | 49.95% | 47.73% | 47.7% | 48.75% | 48.39% | 48.04% | 47.97% | 47.16% | 46.63% | 46.88% | 47.67% | 46.55% | 47.66% | 48.98% | 49.72% | 49.79% | 49.76% | 50.44% | 50.93% | 50.68% | 42.4% | 41.36% | 46.39% |
| Gross Profit Growth % | - | 1.69% | 2.75% | 6.72% | 6.88% | -1.66% | 11.36% | 4.42% | -1.37% | 0.59% | 4.66% | 0.95% | 2.16% | 24.56% | 8.7% | 5.96% | 1.35% | 5.19% | 15.36% | 6.24% | 9.92% | 10.68% | 5.33% | 8.29% | 2.75% | -0.61% | 6.28% | -9.38% | - |
| Operating Expenses | 2.22B | 2.24B | 2.18B | 2.29B | 2B | 1.86B | 1.87B | 1.74B | 1.67B | 1.75B | 1.64B | 1.52B | 1.52B | 1.43B | 1.19B | 1.11B | 1.02B | 1.01B | 965.81M | 853.91M | 820.55M | 755M | 689.6M | 654.95M | 612.98M | 641.59M | 653.05M | 642.5M | 645.62M |
| OpEx % of Revenue | - | 42.67% | 42.68% | 44.9% | 41.63% | 42.96% | 42.62% | 42.26% | 42.33% | 44.64% | 41.64% | 40.16% | 40.62% | 38.18% | 39.42% | 40.06% | 39.67% | 38.73% | 39.99% | 41.93% | 43.45% | 44% | 44.45% | 45.08% | 46.14% | 49.37% | 41.78% | 42.62% | 43.53% |
| Selling, General & Admin | 2.08B | 2.08B | 2B | 2.12B | 1.85B | 1.72B | 1.69B | 1.58B | 1.51B | 1.51B | 1.47B | 1.38B | 1.37B | 1.36B | 1.09B | 1.02B | 936M | 926.42M | 894.8M | 787.82M | 759.39M | 695.66M | 632.89M | 601.01M | 554.08M | 557.96M | 585.43M | 582.62M | 527.61M |
| SG&A % of Revenue | - | 39.48% | 39.21% | 41.64% | 38.51% | 39.71% | 38.59% | 38.19% | 38.14% | 38.51% | 37.42% | 36.56% | 36.5% | 36.35% | 36.03% | 36.65% | 36.37% | 35.62% | 37.05% | 38.68% | 40.21% | 40.54% | 40.8% | 41.36% | 41.7% | 42.94% | 37.46% | 38.65% | 35.57% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 3M | 167.43M | 176.92M | 166.11M | 150.02M | 140.8M | 176.97M | 167.72M | 165.42M | 240.24M | 165.75M | 135.95M | 154.66M | 68.42M | 102.69M | 94.64M | 85.12M | 80.93M | 71.01M | 66.09M | 61.16M | 59.34M | 56.7M | 53.94M | 58.91M | 83.63M | 67.61M | 59.88M | 118M |
| Operating Income | 310.37M | 326.1M | 348.29M | 172.87M | 303.21M | 294.92M | 321.49M | 225.43M | 212.34M | 161M | 264.9M | 297.88M | 275.39M | 335.23M | 218.51M | 189.03M | 197.95M | 203.32M | 185.12M | 143.75M | 118.49M | 99.29M | 82.27M | 77.89M | 63.74M | 17.04M | 9.63M | -18.96M | 42.45M |
| Operating Margin % | 5.88% | 6.2% | 6.82% | 3.4% | 6.31% | 6.81% | 7.33% | 5.47% | 5.37% | 4.11% | 6.75% | 7.88% | 7.35% | 8.98% | 7.21% | 6.82% | 7.69% | 7.82% | 7.67% | 7.06% | 6.27% | 5.79% | 5.3% | 5.36% | 4.8% | 1.31% | 0.62% | -1.26% | 2.86% |
| Operating Income Growth % | - | -6.37% | 101.48% | -42.99% | 2.81% | -8.26% | 42.61% | 6.16% | 31.89% | -39.22% | -11.07% | 8.16% | -17.85% | 53.42% | 15.6% | -4.51% | -2.64% | 9.83% | 28.78% | 21.31% | 19.35% | 20.68% | 5.64% | 22.2% | 274.15% | 76.82% | 150.82% | -144.66% | - |
| EBITDA | 480.31M | 493.53M | 507.5M | 324.58M | 445.17M | 431.48M | 462.87M | 369.66M | 356.47M | 307.72M | 405.77M | 430.05M | 404.36M | 453.72M | 321.2M | 283.66M | 283.07M | 284.25M | 258.44M | 209.84M | 182.74M | 158.63M | 138.98M | 131.82M | 120.51M | 74.16M | 76.74M | 34.93M | 95.99M |
| EBITDA Margin % | 9.11% | 9.39% | 9.94% | 6.38% | 9.26% | 9.96% | 10.55% | 8.96% | 9.02% | 7.85% | 10.33% | 11.38% | 10.79% | 12.16% | 10.6% | 10.23% | 11% | 10.93% | 10.7% | 10.3% | 9.68% | 9.24% | 8.96% | 9.07% | 9.07% | 5.71% | 4.91% | 2.32% | 6.47% |
| EBITDA Growth % | -2.4% | -2.75% | 56.36% | -27.09% | 3.17% | -6.78% | 25.22% | 3.7% | 15.84% | -24.16% | -5.65% | 6.36% | -10.88% | 41.26% | 13.23% | 0.21% | -0.41% | 9.99% | 23.16% | 14.83% | 15.2% | 14.14% | 5.43% | 9.38% | 62.5% | -3.36% | 119.67% | -63.61% | - |
| D&A (Non-Cash Add-back) | 169.95M | 167.43M | 159.21M | 151.71M | 141.96M | 136.56M | 141.38M | 144.23M | 144.12M | 146.72M | 140.87M | 132.18M | 128.96M | 118.49M | 102.69M | 94.64M | 85.12M | 80.93M | 73.31M | 66.09M | 64.25M | 59.34M | 56.7M | 53.94M | 56.77M | 57.12M | 67.1M | 53.89M | 53.54M |
| EBIT | 181.44M | 191.73M | 366.07M | 193.72M | 327.63M | 302.31M | 239.36M | 250.93M | 232.85M | 185.85M | 284.44M | 319.85M | 296.34M | 350.43M | 232.18M | 202.14M | 218.54M | 219.35M | 196.19M | 156.53M | 118.49M | 99.29M | 82.27M | 77.89M | 63.74M | 17.04M | 9.63M | -18.96M | 42.45M |
| Net Interest Income | -64.88M | -59.29M | -19.62M | -16.03M | -5.28M | -8M | -12.09M | -11.1M | -7.93M | -13.62M | -14.35M | -4.85M | -7.34M | -12.86M | -9.74M | 2.94M | 4.52M | 1.43M | 7.35M | 8.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 12.63M | 17.37M | 17.51M | 20.58M | 23.64M | 23.53M | 26.7M | 27.75M | 27.75M | 22.94M | 20.55M | 21.97M | 20.95M | 16.02M | 13.67M | 13.11M | 12.68M | 13.01M | 13.49M | 11.85M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 77.51M | 76.67M | 37.13M | 36.61M | 28.92M | 31.53M | 38.79M | 38.85M | 35.69M | 36.56M | 34.91M | 26.82M | 28.29M | 28.88M | 23.41M | 10.17M | 8.16M | 11.59M | 6.14M | 3.45M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -206.44M | -211.03M | -19.35M | -15.76M | -4.5M | -24.15M | -120.78M | -13.35M | -15.18M | -11.71M | -15.36M | -4.85M | -7.34M | -12.86M | -9.74M | 2.94M | 4.52M | 4.44M | 4.93M | 9.34M | 4.95M | 6.34M | 8.83M | 7.98M | 6.97M | -777K | -68.37M | 18.96M | -42.45M |
| Pretax Income | 103.93M | 115.07M | 328.94M | 157.11M | 298.71M | 270.77M | 200.71M | 212.08M | 197.16M | 149.29M | 249.54M | 293.03M | 268.05M | 322.37M | 208.77M | 191.97M | 210.38M | 207.76M | 190.05M | 153.09M | 123.44M | 105.62M | 91.1M | 85.87M | 70.71M | 16.26M | -58.74M | 0 | 0 |
| Pretax Margin % | 1.97% | 2.19% | 6.45% | 3.09% | 6.22% | 6.25% | 4.57% | 5.14% | 4.99% | 3.81% | 6.35% | 7.76% | 7.15% | 8.64% | 6.89% | 6.92% | 8.17% | 7.99% | 7.87% | 7.52% | 6.54% | 6.16% | 5.87% | 5.91% | 5.32% | 1.25% | -3.76% | - | - |
| Income Tax | 31.04M | 31.24M | 80.83M | 33.69M | 70.32M | 64.58M | 48.39M | 47.55M | 40M | -827K | 85.76M | 103.84M | 92.31M | 91.48M | 72.65M | 68.54M | 73.33M | 74.05M | 67.74M | 54.97M | 45.3M | 39.86M | 35.07M | 33.06M | 27.22M | 7.24M | -16.46M | -7.29M | -45.03M |
| Effective Tax Rate % | 29.87% | 27.15% | 24.57% | 21.44% | 23.54% | 23.85% | 24.11% | 22.42% | 20.29% | -0.55% | 34.37% | 35.44% | 34.44% | 28.38% | 34.8% | 35.7% | 34.86% | 35.64% | 35.65% | 35.91% | 36.7% | 37.74% | 38.5% | 38.5% | 38.5% | 44.53% | 28.02% | - | - |
| Net Income | 72.88M | 83.83M | 248.12M | 123.42M | 228.39M | 206.19M | 152.32M | 164.54M | 157.16M | 150.12M | 163.78M | 189.19M | 175.74M | 230.89M | 136.12M | 123.43M | 137.05M | 130.3M | 119.23M | 94.61M | 81.04M | 61.23M | 50.77M | 14.66M | -16.95M | -14.29M | 45.53M | 7.29M | 41.9M |
| Net Margin % | 1.38% | 1.59% | 4.86% | 2.42% | 4.75% | 4.76% | 3.47% | 3.99% | 3.98% | 3.83% | 4.17% | 5.01% | 4.69% | 6.19% | 4.49% | 4.45% | 5.32% | 5.01% | 4.94% | 4.65% | 4.29% | 3.57% | 3.27% | 1.01% | -1.28% | -1.1% | 2.91% | 0.48% | 2.83% |
| Net Income Growth % | -68.04% | -66.22% | 101.04% | -45.96% | 10.77% | 35.37% | -7.43% | 4.69% | 4.69% | -8.34% | -13.43% | 7.65% | -23.89% | 69.62% | 10.28% | -9.94% | 5.18% | 9.28% | 26.02% | 16.75% | 32.36% | 20.6% | 246.39% | 186.45% | -18.62% | -131.39% | 524.17% | -82.59% | - |
| Net Income (Continuing) | 72.88M | 83.83M | 248.12M | 123.42M | 228.39M | 206.19M | 152.32M | 164.54M | 157.16M | 150.12M | 163.78M | 189.19M | 175.74M | 230.89M | 136.12M | 123.43M | 137.05M | 133.71M | 122.31M | 94.61M | 74.88M | 65.76M | 54.26M | 52.8M | 43.48M | 9.02M | -42.28M | 7.29M | 45.03M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 6.73M | -1.63M | -3.49M | -38.15M | -37.36M | -23.31M | 87.81M | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 12.08M | 9.34M | 7.8M | 5.87M | 4.56M | 2.84M | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.34 | 0.40 | 1.17 | 0.58 | 1.07 | 0.97 | 0.72 | 0.78 | 0.74 | 0.71 | 0.78 | 0.89 | 0.82 | 1.09 | 0.65 | 0.60 | 0.66 | 0.63 | 0.57 | 0.45 | 0.26 | 0.28 | 0.23 | 0.06 | -0.05 | -0.06 | -0.02 | 0.03 | 0.18 |
| EPS Growth % | -67.59% | -65.81% | 101.72% | -45.79% | 10.31% | 34.72% | -7.69% | 5.41% | 4.23% | -8.97% | -12.36% | 8.54% | -24.77% | 67.69% | 8.33% | -9.09% | 4.76% | 10.53% | 26.67% | 73.08% | -7.14% | 21.74% | 263.92% | 226.4% | 20.76% | -226.94% | -160.5% | -82.28% | - |
| EPS (Basic) | - | 0.40 | 1.18 | 0.59 | 1.08 | 0.98 | 0.72 | 0.78 | 0.75 | 0.71 | 0.79 | 0.89 | 0.84 | 1.11 | 0.66 | 0.61 | 0.67 | 0.63 | 0.57 | 0.46 | 0.26 | 0.29 | 0.24 | 0.07 | -0.05 | -0.06 | 0.20 | 0.03 | 0.18 |
| Diluted Shares Outstanding | 212.58M | 212.11M | 212.14M | 213.36M | 213.23M | 213.03M | 212.34M | 211.97M | 211.63M | 210.44M | 210.35M | 213.36M | 213.09M | 211.93M | 207.67M | 205.32M | 207.24M | 208.65M | 209.33M | 207.83M | 312.52M | 214.58M | 221.43M | 231.7M | 347.73M | 226.29M | 225.83M | 228.6M | 228.6M |
| Basic Shares Outstanding | 211.87M | 212.11M | 210.6M | 210.42M | 211.13M | 211.39M | 211.78M | 211.51M | 211.63M | 209.57M | 209.97M | 212.27M | 209.35M | 211.83M | 206.24M | 203.08M | 205.69M | 207.45M | 209.33M | 204.68M | 307.91M | 208.54M | 215.73M | 227.61M | 339.85M | 226.29M | 225.83M | 228.6M | 228.6M |
| Dividend Payout Ratio | - | 249.69% | 81.83% | 158.18% | 81.66% | 85.31% | 109.82% | 97.23% | 95.58% | 93.91% | 80.03% | 63.66% | 58.21% | 40.21% | 63.54% | 64.07% | 51.72% | 47.71% | 44.64% | 44.52% | 35.78% | 38.63% | 40.9% | 102.8% | - | - | 115.03% | - | - |
Independent Distributor Litigation Exposure
As reported in recent financial filings, Flowers Foods' revenue growth remains inconsistent, fluctuating between a 1.4% contraction and an 11.0% expansion over the last ten quarters, suggesting that the company struggles to maintain sustained top-line momentum despite its premium brand positioning in the packaged bread category.
The revenue trajectory appears heavily influenced by seasonal demand cycles rather than underlying organic growth. Investors should monitor whether the company's expansion into snack bars can effectively offset the inherent maturity of its core bread business.
Based on the provided income statement data, Flowers Foods' operating margins have struggled to maintain consistency, peaking at 7.8% in 2024Q2 before compressing to 5.2% in 2026Q1, which highlights the difficulty of passing through inflationary input costs to price-sensitive consumers in the packaged food sector.
The gap between gross margins near 49% and operating margins in the low-to-mid single digits suggests that high distribution and selling expenses are effectively cannibalizing the value created by premium brands. This structural inefficiency warrants further investigation into the scalability of the current direct-store-delivery model.
According to the latest quarterly figures, SG&A expenses remain a significant burden, consistently consuming a large portion of gross profit and limiting bottom-line expansion, which suggests that the company's reliance on independent distributors may be creating a rigid cost structure that is difficult to optimize.
The lack of R&D investment, while typical for the industry, places the entire burden of growth on marketing and distribution efficiency. If management cannot better control these selling costs, the company may remain trapped in a low-margin cycle regardless of brand strength.
As evidenced by the net loss of $67.1 million in 2025Q4 despite positive operating income, Flowers Foods' bottom-line results are frequently impacted by non-operating charges, which complicates the assessment of true recurring profitability and suggests that investors should focus on operating income as a more reliable metric.
The presence of stock-based compensation and periodic legal or restructuring charges appears to create significant noise in EPS figures. Analysts should be cautious when extrapolating recent earnings performance, as these one-time items may obscure the underlying operational health of the business.
While the company touts its DSD network as a competitive moat, the persistent legal scrutiny regarding distributor classification, as noted in industry analysis, poses a material risk that could force a transition to a higher-cost employee-based delivery model, potentially leading to permanent margin degradation.
Short-term investors might overlook the long-term liability associated with the independent distributor model. If regulatory or legal pressures force a change in this structure, the current operating margin profile may prove unsustainable, necessitating a significant re-rating of the company's valuation.
Quick answers to the most common questions about buying FLO stock.
For fiscal year 2025, Flowers Foods, Inc. (FLO) reported total revenue of $5.26B. This represents a 254.4% increase compared to $1.48B in 1998.
Flowers Foods, Inc. (FLO) is profitable, generating $83.8M in net income for the fiscal year ending 2025 with a net profit margin of 1.6%.
Flowers Foods, Inc. (FLO) reported an operating income of $326.1M, resulting in an operating profit margin of 6.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Flowers Foods, Inc. (FLO) generated $2.57B in gross profit for the year, representing a gross profit margin of 48.9%. This demonstrates the company's core pricing power and production efficiency.