LEASES (Tables)

12 Months Ended

Dec. 25, 2024

LEASES

Schedule of lease cost

The following table presents the Company’s total lease cost, disaggregated by underlying asset (in thousands):

	December 25, 2024						December 27, 2023						December 28, 2022
	Property		Equipment				Property		Equipment				Property		Equipment
	Leases		Leases		Total		Leases		Leases		Total		Leases		Leases		Total
Finance lease cost:
Amortization of right-of-use assets	$	76	$	100	$	176	$	73	$	2	$	75	$	73	$	2	$	75
Interest on lease liabilities		36		18		54		40		5		45		42		3		45
Operating lease cost:
Fixed rent cost		28,287		332		28,619		27,597		387		27,984		26,537		1,005		27,542
Short-term lease cost		—		1		1		—		8		8		—		18		18
Variable lease cost		553		1,344		1,897		546		1,279		1,825		597		677		1,274
Sublease income		(7,053)		—		(7,053)		(5,570)		—		(5,570)		(4,555)		—		(4,555)
Total lease cost	$	21,899	$	1,795	$	23,694	$	22,686	$	1,681	$	24,367	$	22,694	$	1,705	$	24,399

The following table presents the Company’s total lease cost on the consolidated statement of income (in thousands):

	December 25, 2024		December 27, 2023		December 28, 2022
Lease cost – Occupancy and other operating expenses	$	23,046	$	23,736	$	23,730
Lease cost – General & administrative		418		492		465
Lease cost – Depreciation and amortization		176		75		73
Lease cost – Interest expense		54		45		45
Lease cost – Closed-store reserve		—		19		86
Total lease cost	$	23,694	$	24,367	$	24,399

The Company had the following cash and non-cash activities associated with its leases (dollar amounts in thousands):

	December 25, 2024								December 27, 2023								December 28, 2022
	Property			Equipment					Property			Equipment					Property			Equipment
	Leases			Leases			Total		Leases			Leases			Total		Leases			Leases			Total
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows used for operating leases	$	28,376		$	310		$	28,686	$	27,835		$	321		$	28,156	$	27,221		$	953		$	28,174
Financing cash flows used for finance leases	$	93		$	114		$	207	$	93		$	65		$	158	$	106		$	56		$	162
Non-cash investing and financing activities:
Operating lease ROU assets obtained in exchange for lease liabilities:
Operating lease ROU assets	$	20,504		$	1,294		$	21,798	$	21,448		$	54		$	21,502	$	12,978		$	92		$	13,070
Finance lease ROU assets obtained in exchange for lease liabilities:
Finance lease ROU assets	$	—		$	148		$	148	$	—		$	135		$	135	$	—		$	28		$	28
Derecognition of ROU assets due to terminations, impairment or modifications	$	—		$	—		$	—	$	(40)		$	(4)		$	(44)	$	(39)		$	(35)		$	(74)
Other Information
Weighted-average remaining years in lease term—finance leases		15.88			3.24					16.87			3.15					17.87			3.19
Weighted-average remaining years in lease term—operating leases		10.13			3.78					10.42			3.33					10.73			1.73
Weighted-average discount rate—finance leases		2.57	%		6.49	%				2.57	%		5.68	%				2.57	%		1.53	%
Weighted-average discount rate—operating leases		5.31	%		6.73	%				5.00	%		4.52	%				4.54	%		3.80	%

Schedule of Financing Leases

Information regarding the Company’s minimum future lease obligations at December 25, 2024 is as follows (in thousands):

	Finance Leases		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 31, 2025	$	224	$	29,262	$	5,033
December 30, 2026		191		28,160		4,728
December 29, 2027		180		26,846		4,676
December 27, 2028		134		24,917		4,387
December 26, 2029		118		21,820		3,743
Thereafter		1,274		118,874		23,053
Total	$	2,121	$	249,879	$	45,620
Less: imputed interest (2.57% - 6.73%)		(368)		(59,612)
Present value of lease obligations		1,753		190,267
Less: current maturities		(170)		(19,738)
Noncurrent portion	$	1,583	$	170,529

Schedule of Operating Leases

Information regarding the Company’s minimum future lease obligations at December 25, 2024 is as follows (in thousands):

	Finance Leases		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 31, 2025	$	224	$	29,262	$	5,033
December 30, 2026		191		28,160		4,728
December 29, 2027		180		26,846		4,676
December 27, 2028		134		24,917		4,387
December 26, 2029		118		21,820		3,743
Thereafter		1,274		118,874		23,053
Total	$	2,121	$	249,879	$	45,620
Less: imputed interest (2.57% - 6.73%)		(368)		(59,612)
Present value of lease obligations		1,753		190,267
Less: current maturities		(170)		(19,738)
Noncurrent portion	$	1,583	$	170,529