Leases

9 Months Ended

Sep. 30, 2023

Leases [Abstract]

Leases

Note 9: Leases

The Company leases its retail stores, certain distribution space, and office space. Leases generally have an initial term of ten to fifteen years, and contain renewal options. Assets acquired under operating leases are included in the Company’s right of use assets in the accompanying Consolidated Balance Sheet. The Company’s lease agreements do not contain significant residual value guarantees, restrictions or covenants. Leasehold improvements are amortized using the straight-line method over the shorter of the original lease term, the renewal term if the lease renewal is reasonably certain or the useful life of the improvement.

Leases (in thousands)	Classification		September 30, 2023		December 31, 2022
Assets
Operating lease assets	Right of use asset	$	119,619	$	118,501
Total leased assets		$	119,619	$	118,501
Liabilities
Current
Operating	Current portion of lease liability	$	27,214	$	27,866
Noncurrent
Operating	Long-term lease liability, net		103,786		103,353
Total lease liabilities		$	131,000	$	131,219

		Three Months Ended
Lease cost (in thousands)	Classification		September 30, 2023		September 30, 2022
Operating lease cost	SG&A expenses	$	9,052	$	7,848
Variable lease cost(1)	SG&A expenses		3,800		3,709
Short term lease cost	SG&A expenses		42		104
Net lease cost		$	12,894	$	11,661

		Nine Months Ended
Lease cost (in thousands)	Classification		September 30, 2023		September 30, 2022
Operating lease cost	SG&A expenses	$	26,890	$	25,130
Variable lease cost(1)	SG&A expenses		11,179		10,670
Short term lease cost	SG&A expenses		223		346
Net lease cost		$	38,292	$	36,146

⁽¹⁾ Variable lease cost consists primarily of taxes, insurance, and common area or other maintenance costs for the Company’s leased facilities.

	Nine Months Ended
Other Information (in thousands)		September 30, 2023		September 30, 2022
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	28,619	$	28,147
Lease right-of-use assets obtained or modified in exchange for lease obligations	$	21,769	$	12,420