Revenue Disclosures

6 Months Ended

Jun. 15, 2025

Revenue from Contract with Customer [Abstract]

Revenue Disclosures

7. Revenue Disclosures

Contract Liabilities

Contract liabilities primarily consist of deferred franchise fees and deferred development fees. Deferred franchise fees and deferred development fees of $5.0 million and $5.1 million were included in current other accrued liabilities as of June 15, 2025 and December 29, 2024, respectively. Deferred franchise fees and deferred development fees of $14.6 million and $15.8 million were included in long-term other accrued liabilities as of June 15, 2025 and December 29, 2024, respectively.

Changes in deferred franchise fees and deferred development fees for the two fiscal quarters of 2025 and 2024 were as follows:

	Two Fiscal Quarters Ended
	June 15,			June 16,
	2025			2024
Deferred franchise fees and deferred development fees, beginning of period	$	20,946		$	25,195
Revenue recognized during the period		(3,046	)		(2,737	)
New deferrals due to cash received and other		1,675			1,769
Deferred franchise fees and deferred development fees, end of period	$	19,575		$	24,227

Advertising Fund Assets

As of June 15, 2025, advertising fund assets, restricted of $123.1 million consisted of $100.0 million of cash and cash equivalents, $15.1 million of accounts receivable and $8.0 million of prepaid expenses. As of June 15, 2025, advertising fund cash and cash equivalents included $2.3 million of cash contributed from U.S. Company-owned stores that had not yet been expended.

As of December 29, 2024, advertising fund assets, restricted of $103.4 million consisted of $80.9 million of cash and cash equivalents, $14.3 million of accounts receivable and $8.2 million of prepaid expenses. As of December 29, 2024, advertising fund cash and cash equivalents included $1.8 million of cash contributed from U.S. Company-owned stores that had not yet been expended.