SEGMENT INFORMATION

12 Months Ended

Dec. 28, 2024

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

Our Chief Operating Decision Maker (“CODM”), who is our Chief Executive Officer, reviews financial information, makes operating decisions, evaluates operating performance, and allocates resources based on consolidated net income. We manage our business as one reportable operating segment that constitutes consolidated results. Our operational structure, which includes sales, research, product design, operations, marketing, and administrative functions, is focused on the entire product suite rather than individual product categories, channels, and geographies.

The following table presents segment information for net sales, segment profit, and significant expenses (in thousands):

	Fiscal Year Ended
	December 28, 2024		December 30, 2023		December 31, 2022
Net sales	1,829,873		1,658,713		1,595,222
Cost of goods sold(1)	766,589		715,527		831,821
Gross profit	1,063,284		943,186		763,401
Selling, general, and administrative expenses
Distribution and fulfillment	322,957		310,148		261,803
Compensation and benefits(2)	193,366		153,511		109,954
Marketing	141,490		126,894		110,981
General and administration(3)	129,099		108,710		93,316
Depreciation and amortization	29,155		29,847		29,076
Product recall(4)	1,841		(11,382)		31,910
Total selling, general and administrative expenses	817,908		717,728		637,040
Operating income	245,376		225,458		126,361
Interest income (expense), net	660		(942)		(4,466)
Other (expense) income, net	(13,188)		1,430		(5,718)
Income before income taxes	232,848		225,946		116,177
Income tax expense	(57,159)		(56,061)		(26,484)
Net income	$	175,689	$	169,885	$	89,693

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(1)Includes depreciation expense of $19.0 million,, $16.6 million, and $10.8 million for the years ended December 28, 2024, December 30, 2023 and December 31, 2022.

(2)Represents employee compensation and benefits, including non-cash stock-based compensation expense.

(3)Includes information technology, corporate infrastructure costs, contract labor, professional fees and services, asset impairments, and organizational realignment costs.

(4)Represents adjustments and charges associated with product recalls. Refer to Note 12 for further information.

For net sales by geographic region, refer to Note 3. For long-lived asset by geographic region, refer to Note 5.