McCormick & Company (MKC) FY2025 10-K Annual Report

Filed: Jan 22, 2026
Consumer Staples
Miscellaneous Food Preparations & Kindred ProductsSEC EDGAR

McCormick & Company (MKC) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Jan 22, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

McCormick & Company FY2025 10-K Analysis

Business Overview

  • Core business model: Global producer and marketer of spices, seasonings, and flavor solutions for consumer and food industry customers
  • New focus on digital marketing to enhance personalized consumer engagement and improve brand marketing ROI
  • Strategic acquisition raised ownership in McCormick de Mexico to 75% for $750 million, enabling growth and Latin America expansion
  • Operating income rose 1.0% to $1,070.8 million with adjusted operating income up 2.3%, driven by CCI cost savings and pricing actions
  • Special charges increased in 2025, reducing EPS by $0.07 vs $0.03 in 2024, impacting earnings despite operational gains

Management Discussion & Analysis

  • Revenue $6,840.3M in 2025, up 1.7% YoY from $6,723.7M in 2024, organic growth 1.9%, pricing +0.7%, volume/product mix +1.2%
  • Gross profit $2,592.2M in 2025 flat YoY; gross margin down 60 bps to 37.9% from 38.5% in 2024 due to commodity costs and unfavorable mix
  • Consumer segment volume/mix up 2.1%, best performer; Flavor Solutions down 0.2%, worst performer
  • SG&A $1,500.3M in 2025, down $20.9M YoY, SG&A margin 21.9% vs 22.6% in 2024; lower compensation and distribution costs offset by higher marketing spend
  • 2026 outlook: net sales +13-17% driven by McCormick de Mexico acquisition (11-13%), organic +1-3%; adjusted operating income +16-20%; adjusted EPS $3.05-$3.13 (+2-5%)

Risk Factors

  • Trade restrictions and tariffs risk from U.S. and global trade policies raising raw material costs, impacting product pricing and sales volume
  • Geopolitical conflicts causing supply chain disruptions and increased costs, with uncertain duration and scope affecting operations globally
  • Concentrated production risk with key products made at single locations, vulnerable to natural disasters or other disruptions
  • Competitive pressure from private label brands and rivals using AI and advanced analytics, threatening brand relevance and market share
  • Customer concentration risk with two large customers accounting for ~24% of 2025 sales, loss or relationship damage could materially harm results

McCormick & Company FY2025 Key Financial Metrics
XBRL

Revenue

$6.8B

+1.7% YoY

Net Income

$789M

+0.1% YoY

Gross Margin

37.9%

-64bp YoY

Operating Margin

15.7%

-12bp YoY

Net Margin

11.5%

-19bp YoY

ROE

13.8%

-114bp YoY

Total Assets

$13.2B

+1.0% YoY

EPS (Diluted)

$2.93

+0.3% YoY

Operating Cash Flow

$962M

+4.4% YoY

Source: XBRL data from McCormick & Company FY2025 10-K filing on SEC EDGAR. All figures in USD.

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