Farmer Brothers Co (NASDAQ: FARM)

Farmer Brothers Co is a leading coffee roaster, wholesaler, equipment servicer and distributor of coffee, tea and allied products. The company produces roast and ground coffee, frozen liquid coffee, teas, culinary products and other beverages under its owned brands and private label arrangements. It also provides market insight, beverage planning and equipment placement services to its customers. Sustainability is a core focus, with offerings that include organic, Fair Trade Certified and Rainforest Alliance Certified products. Through these activities Farmer Brothers Co serves a broad range of foodservice customers across the United States.

Revenue is generated primarily from the sale of coffee, tea, culinary items and other beverages to foodservice customers. The company sells products through its direct store delivery network, which consists of over 200 routes and more than 90 storage locations as of December 31, 2025. Additional revenue comes from equipment servicing and value added services such as market analysis and beverage planning. For the six months ended December 31, 2025, roasted coffee accounted for 51.1% of net sales, tea and other beverages for 25.4%, culinary products for 16.4%, spices for 5.8% and delivery surcharges for 1.3%. Sales are made off truck at customer locations, with the company relying on its own fleet and third party logistics providers for long haul transport.

The company operates through the following segments. It reports a single business segment that encompasses all of its production, distribution and service activities.

• Business Segment: This segment includes the roasting, wholesaling, equipment servicing and distribution of coffee, tea, culinary products and other beverages, supported by a nationwide direct store delivery network and value added services such as market insight, beverage planning and equipment placement.

Farmer Brothers Co holds a leading position as a coffee roaster and distributor in the U. S. foodservice industry. Its competitive advantages stem from a broad portfolio of owned and private label brands, sustainability initiatives and an extensive distribution network that enables direct delivery to a diverse range of customers. These strengths allow the company to compete effectively against regional and national coffee distributors.

The company serves small independent restaurants, large institutional buyers such as hotels, casinos, healthcare facilities, grocery chains, department and convenience store retailers, gourmet coffee houses and foodservice distributors. It emphasizes consistent product quality and reliable delivery to maintain long term relationships with its customers.