LEASES (Tables)

12 Months Ended

Dec. 31, 2025

LEASES

Schedule of lease cost

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

	December 31, 2025						December 25, 2024						December 27, 2023
	Property		Equipment				Property		Equipment				Property		Equipment
	Leases		Leases		Total		Leases		Leases		Total		Leases		Leases		Total
Finance lease cost:
Amortization of right-of-use assets	$	84	$	118	$	202	$	76	$	100	$	176	$	73	$	2	$	75
Interest on lease liabilities		41		14		55		36		18		54		40		5		45
Operating lease cost:
Fixed rent cost		29,544		412		29,956		28,287		332		28,619		27,597		387		27,984
Short-term lease cost		—		52		52		—		1		1		—		8		8
Variable lease cost		534		1,449		1,983		553		1,344		1,897		546		1,279		1,825
Sublease income		(7,244)		—		(7,244)		(7,053)		—		(7,053)		(5,570)		—		(5,570)
Total lease cost, net	$	22,959	$	2,045	$	25,004	$	21,899	$	1,795	$	23,694	$	22,686	$	1,681	$	24,367

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

	December 31, 2025		December 25, 2024		December 27, 2023
Lease cost – Occupancy and other operating expenses	$	24,042	$	23,046	$	23,736
Lease cost – General & administrative		704		366		492

Lease cost – Depreciation and amortization		192		176		75
Lease cost – Interest expense		55		54		45
Lease cost – Closed-store reserve		11		52		19
Total lease cost, net	$	25,004	$	23,694	$	24,367

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

	December 31, 2025								December 25, 2024								December 27, 2023
	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	$	28,982		$	371		$	29,353	$	28,376		$	310		$	28,686	$	27,835		$	321		$	28,156
Financing cash flows used for finance leases	$	95		$	128		$	223	$	93		$	114		$	207	$	93		$	65		$	158
Non-cash investing and financing activities:
Operating lease ROU assets obtained in exchange for lease liabilities:
Operating lease ROU assets	$	17,464		$	3		$	17,467	$	20,504		$	1,294		$	21,798	$	21,448		$	54		$	21,502
Finance lease ROU assets obtained in exchange for lease liabilities:
Finance lease ROU assets	$	—		$	—		$	—	$	—		$	148		$	148	$	—		$	135		$	135
Derecognition of ROU assets due to terminations, impairment or modifications	$	—		$	—		$	—	$	—		$	—		$	—	$	(40)		$	(4)		$	(44)
Other Information
Weighted-average remaining years in lease term—finance leases		14.86			2.69					15.88			3.24					16.87			3.15
Weighted-average remaining years in lease term—operating leases		9.62			2.79					10.13			3.78					10.42			3.33
Weighted-average discount rate—finance leases		2.57	%		6.27	%				2.57	%		6.49	%				2.57	%		5.68	%
Weighted-average discount rate—operating leases		5.36	%		6.42	%				5.31	%		6.73	%				5.00	%		4.52	%

Schedule of Operating Leases

Information regarding the Company’s minimum future lease obligations at December 31, 2025 is as follows (in thousands):

	Finance Leases		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 30, 2026	$	169	$	28,905	$	5,680
December 29, 2027		159		28,199		5,704
December 27, 2028		115		24,763		5,410
December 26, 2029		99		21,972		4,834
December 25, 2030		93		19,079		4,485
Thereafter		957		102,570		29,750
Total	$	1,592	$	225,488	$	55,863
Less: imputed interest (2.57% - 6.42%)		(14)		(37,060)
Present value of lease obligations		1,578		188,428
Less: current maturities		(142)		(17,616)
Noncurrent portion	$	1,436	$	170,812

Schedule of Financing Leases

Information regarding the Company’s minimum future lease obligations at December 31, 2025 is as follows (in thousands):

	Finance Leases		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 30, 2026	$	169	$	28,905	$	5,680
December 29, 2027		159		28,199		5,704
December 27, 2028		115		24,763		5,410
December 26, 2029		99		21,972		4,834
December 25, 2030		93		19,079		4,485
Thereafter		957		102,570		29,750
Total	$	1,592	$	225,488	$	55,863
Less: imputed interest (2.57% - 6.42%)		(14)		(37,060)
Present value of lease obligations		1,578		188,428
Less: current maturities		(142)		(17,616)
Noncurrent portion	$	1,436	$	170,812