McCormick (MKC) FY2025 results: revenue $6.8 billion, up 1.7% on the year

McCormick makes, markets and distributes herbs, spices, seasoning mixes, condiments and other flavourful products to retailers, food manufacturers and foodservice businesses. It also holds joint ventures that make and sell flavour products, the largest being McCormick de Mexico, and on 2 January 2026 it bought a further 25% of that venture, taking its stake to a 75% controlling interest in a company whose portfolio covers mayonnaise, spices, marmalades, mustard, hot sauce and tea under McCormick brands. Major sales, distribution and production facilities sit in North America, Europe and China, with more in Australia, Central America, Thailand and South Africa. The business runs in two segments, Consumer and Flavor Solutions; in 2025 Consumer was approximately 58% of consolidated net sales and 67% of operating income while Flavor Solutions was approximately 42% and 33%, the Consumer side carrying the higher margin.

Consumer

The brands reach consumers in approximately 150 countries and territories. In the Americas the main ones are McCormick, French's, Frank's RedHot, Lawry's, Cholula and Club House, alongside Gourmet Garden and OLD BAY and the regional brands Zatarain's, Stubb's, Thai Kitchen and Simply Asia. In Europe, the Middle East and Africa the major brands are Ducros, Schwartz, Kamis and La Drogheria in spices, herbs and seasonings, plus a line of Vahiné dessert items. In the Asia/Pacific region the spices and seasonings carry the McCormick and DaQiao names, desserts the Aeroplane brand and packaged chilled herbs the Gourmet Garden brand. Approximately two-thirds of segment sales are spices and seasonings and condiments and sauces; the filing states the company is the global brand leader in the first category and one of the brand leaders globally and in the United States in the second. Customers span grocery, mass merchandise, warehouse clubs, discount and drug stores and e-commerce retailers, served directly and through distributors or wholesalers, and the company also supplies private label store brands.

Flavor Solutions

The segment supplies multinational food manufacturers and foodservice customers, the latter taking branded packaged products directly and through distributors, except in China where foodservice sales are managed and reported inside the Consumer segment. The range covers seasoning blends, spices and herbs, condiments, coating systems and compound flavours, described as one of the broadest in the industry, with many customer relationships running for decades and customers drawing on the company's work in sensory testing, culinary research, food safety and flavour application. Competitors include firms that specialise in a particular range of products with limited geographic reach and large publicly held flavour companies that are more global and tend to offer integrated solutions extending beyond flavour into other functional and nutritional ingredients.

Customers and brands

Products are sold directly and through brokers, wholesalers and distributors: in Flavor Solutions they are used by food and beverage manufacturers as ingredients in finished goods and by foodservice customers for menu items and their own dine-in and take-out trade. Walmart accounted for approximately 12% of consolidated sales in each of 2025, 2024 and 2023, and PepsiCo for approximately 12% in 2025 and 13% in each of the two prior years, while the top three Flavor Solutions customers were 49% of global Flavor Solutions sales in each of those years. The company owns many trademark registrations, material in aggregate, though losing any single one other than a named list including McCormick, French's, Frank's RedHot, Lawry's, Zatarain's, Cholula, Ducros, Schwartz, OLD BAY and Gourmet Garden would not have a material adverse effect. It also licenses its trademarks to affiliated and non-affiliated entities, generally for two to three years or until either party terminates, and owns various patents, none individually material.

Inputs, seasons and people

The main raw materials are dairy products, pepper, garlic, onion, capsicums, salt, tomato products, sugar and soybean oil. Pepper and various spices and herbs generally come from outside the United States while dairy, onion and soybean oil are mostly obtained locally, and because these are agricultural products their price and availability move with weather, growing and harvesting conditions, market conditions including inflation and global trade policy, and other factors beyond the company's control. It responds with strategic raw material purchases, buying for future delivery, customer price adjustments and savings from its continuous improvement programme, though the timing of those adjustments does not always match when cost inflation hits, and pricing actions have run into price elasticity that hurt sales volume and mix. It also relies on third-party transport providers, where labour shortages and higher fuel costs have reduced available capacity and raised costs. Sales, operating income and cash from operations are generally higher in the fourth quarter because of the holiday season, mainly reflecting buying patterns in the Consumer segment. At 30 November 2025 it had approximately 14,100 full-time employees worldwide, with approximately 400 in the United States covered by a collective bargaining contract and approximately 2,450 covered by such agreements at subsidiaries elsewhere.

From McCormick's annual report on Form 10-K for the year ended 30 November 2025. The filing

Written from the 10-K filed 22 January 2026: read the full 10-K.