Lamb Weston Holdings, Inc. (NYSE: LW)

Lamb Weston Holdings, Inc. is a leading global producer, distributor, and marketer of value-added frozen potato products, headquartered in Eagle, Idaho. The company operates as the number one supplier of value-added frozen potato products in North America and maintains a strong presence in high-growth emerging markets internationally. Lamb Weston offers a broad portfolio of frozen potato products, with French fries representing the majority of its offerings. The company serves a diverse range of customers across over 100 countries, catering to quick service and full-service restaurants, foodservice distributors, non-commercial channels, and retailers.

Lamb Weston generates revenue through the sale of its value-added frozen potato products, which include frozen potatoes, commercial ingredients, and appetizers. The company's primary brands include Lamb Weston, Grown in Idaho, and Alexia, along with various licensed equities and customer labels. These products are sold to a wide customer base, including chain restaurants, wholesale distributors, grocery retailers, mass merchants, club retailers, specialty retailers, and foodservice distributors and institutions. The company's revenue is driven by its ability to meet the specific needs of these customers, providing high-quality, innovative frozen potato products that cater to various market segments.

• North America: This segment includes frozen potato products sold in the United States, Canada, and Mexico. The product portfolio under this segment includes frozen potatoes, commercial ingredients, and appetizers sold under the Lamb Weston brand, as well as products sold under owned or licensed brands such as Grown in Idaho and Alexia. The North America segment serves quick service and full-service restaurants and chains, foodservice distributors, non-commercial channels, and retailers.

• International: The International segment encompasses frozen potato products sold outside of North America. Similar to the North America segment, it includes frozen potatoes, commercial ingredients, and appetizers sold under the Lamb Weston brand, along with many customer labels. This segment caters to quick service and full-service restaurant chains, foodservice distributors, non-commercial channels, and retailers in international markets.

Lamb Weston holds a prominent position in the value-added frozen potato products industry, competing with other large North American and European companies, as well as local and regional players. Key competitors include Agristo NV, Aviko B.V., Cavendish Farms Corporation, Clarebout Potatoes NV, Farm Frites International B.V., J.R. Simplot Company, The Kraft Heinz Company, and McCain Foods Limited. The company's competitive advantages lie in its strong brand recognition, product innovation, and ability to identify and satisfy customer preferences. Lamb Weston's extensive research and development resources enable it to drive growth through innovation and enhance the quality of existing products. The company's strategic relationships with key suppliers and long-term grower contracts further strengthen its position in the market.

Lamb Weston serves a diverse customer base, including leading quick service and fast casual restaurant chains, global foodservice distributors, large grocery retailers, and mass merchants. The company's ten largest customers accounted for approximately 50% of its net sales in fiscal 2025, with McDonald's Corporation being the largest customer, representing around 15% of consolidated net sales. No other customer accounted for more than 10% of net sales during the same period. The company's ability to maintain strong relationships with a diverse set of customers is a testament to its market leadership and customer-centric approach.