Revenue from Contracts with Customers (Tables)

9 Months Ended

Sep. 28, 2022

Disaggregation of Revenue [Line Items]

Disaggregation of Revenue

The following table presents the Company’s revenues disaggregated by revenue source and market (in thousands):

	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	September 28,		September 29,			September 28,		September 29,
	2022		2021			2022		2021
Core Market(1):
Company-operated restaurant revenue	$	98,732	$	95,292	$	289,798	$	281,945
Franchise revenue		4,501		4,184		13,559		11,956
Franchise advertising fee revenue		3,336		3,129		10,008		8,989
Total core market	$	106,569	$	102,605	$	313,365	$	302,890
Non-Core Market(2):
Company-operated restaurant revenue	$	4,442	$	4,694	$	13,787	$	19,172
Franchise revenue		5,042		4,733		15,303		12,963
Franchise advertising fee revenue		3,825		3,668		11,582		10,381
Total non-core market	$	13,309	$	13,095	$	40,672	$	42,516
Total revenue	$	119,878	$	115,700	$	354,037	$	345,406

(1) Core Market includes markets with existing company-operated restaurants at the time of the Company’s IPO on July 28, 2014.

(2) Non-Core Market includes markets entered into by the Company subsequent to the IPO date.

The following table presents the Company’s revenues disaggregated by geographic market:

	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	September 28, 2022		September 29, 2021		September 28, 2022		September 29, 2021
Greater Los Angeles area market	71.9	%	71.6	%	71.2	%	70.8	%
Other markets	28.1	%	28.4	%	28.8	%	29.2	%
Total	100	%	100	%	100	%	100	%

Schedule of Estimated Revenue to be Recognized Related to Performance Obligations

The following table illustrates the estimated revenue to be recognized in future periods related to performance obligations under the applicable contracts that are unsatisfied as of September 28, 2022 (in thousands):

Franchise revenues:
2022	$	167
2023		608
2024		515
2025		468
2026		445
Thereafter		4,185
Total	$	6,388

Loyalty reward program

Disaggregation of Revenue [Line Items]

Schedule of Change in Franchise Contract Liability Balances

Changes in the loyalty rewards program liability included in deferred revenue within other accrued expenses and current liabilities on the condensed consolidated balance sheets were as follows (in thousands):

	September 28,		December 29,
	2022		2021
Loyalty rewards liability, beginning balance	$	687	$	900
Revenue deferred		2,039		2,677
Revenue recognized		(2,189)		(2,890)
Loyalty rewards liability, ending balance	$	537	$	687

Gift card liability

Disaggregation of Revenue [Line Items]

Schedule of Change in Franchise Contract Liability Balances

The gift card liability included in other accrued expenses and current liabilities on the condensed consolidated balance sheets was as follows (in thousands):

	September 28,		December 29,
	2022		2021
Gift card liability	$	3,957	$	4,622

Revenue recognized from the redemption of gift cards that was included in other accrued expenses and current liabilities at the beginning of the year was as follows (in thousands):

	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	September 28, 2022		September 29, 2021		September 28, 2022		September 29, 2021
Revenue recognized from gift card liability balance at the beginning of the year	$	237	$	220	$	967	$	903

Franchise revenue

Disaggregation of Revenue [Line Items]

Schedule of Change in Franchise Contract Liability Balances

The following table provides information about the change in the franchise contract liability balances during the thirty-nine weeks ended September 28, 2022 and September 29, 2021 (in thousands):

December 29, 2021	$	6,328
Revenue recognized - beginning balance		(558)
Additional contract liability		618
September 28, 2022	$	6,388
December 30, 2020	$	5,628
Revenue recognized - beginning balance		(514)
Additional contract liability		1,330
September 29, 2021	$	6,444