Leases (Tables)

3 Months Ended

Mar. 31, 2024

Supplemental Information Related to Leases

The following table includes a detail of lease assets and liabilities:


(in thousands)	Consolidated Balance Sheets Classification	MARCH 31, 2024		DECEMBER 31, 2023
Operating lease right-of-use assets	Operating lease right-of-use assets	$	422,589	$	420,001
Finance lease assets	Property, fixtures and equipment, net	923		1,033
Total lease assets		$	423,512	$	421,034

Operating lease liabilities (1) - current	Current portion of operating lease liabilities	41,316		40,281
Operating lease liabilities - non-current	Operating lease liabilities	444,384		441,290
Finance lease liabilities - current	Current portion of long-term debt	534		628
Finance lease liabilities - non-current	Long-term debt, net	406		448
Total lease liabilities		$	486,640	$	482,647

_____________

(1) Excludes all variable lease expense.

Supplemental information related to leases was as follows:


	THIRTEEN WEEKS ENDED
	MARCH 31, 2024		MARCH 26, 2023
Weighted-average remaining lease term (in years)
Operating leases	13.6		14.4
Finance leases	2.9		2.7
Weighted-average discount rate (1)
Operating leases	8.3	%	8.6	%
Finance leases	6.8	%	7.6	%

____________

(1) Based on the Company’s incremental borrowing rate.

Supplemental Cash Flow Information

The components of lease expense are as follows:


(in thousands)	Consolidated Statements of Operations and Comprehensive Income Classification	THIRTEEN WEEKS ENDED
		MARCH 31, 2024		MARCH 26, 2023
Operating lease expense	Other restaurant operating expenses Occupancy expenses Pre-opening expenses General and administrative expenses	$	15,693	$	12,969
Variable lease expense	Food and beverage costs Occupancy expenses General and administrative expenses	4,608		3,880
Finance lease expense:
Amortization of leased assets	Depreciation and amortization	128		127
Interest on lease liabilities	Interest expense	18		26
Total lease expense (1)		$	20,447	$	17,002

_____________

(1) Includes contingent rent expense of $0.5 million and $0.5 million during the thirteen weeks ended March 31, 2024 and March 26, 2023, respectively.

Supplemental cash flow information related to leases was as follows:


(in thousands)	THIRTEEN WEEKS ENDED
	MARCH 31, 2024		MARCH 26, 2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows - operating leases	$	14,144	$	9,827
Operating cash flows - finance leases	$	18	$	26
Financing cash flows - finance leases	$	155	$	132

Operating Lease Maturity

As of March 31, 2024, future minimum lease payments for operating and finance leases consisted of the following:


(in thousands)	OPERATING LEASES		FINANCE LEASES
Fiscal year
2024	$	28,564	$	480
2025	60,647		275
2026	61,434		89
2027	60,757		77
2028	60,317		64
Thereafter	573,904		50
Total future minimum lease payments (1)	845,623		1,035
Less: imputed interest	(359,923)		(95)
Total present value of lease liabilities	$	485,700	$	940

_____________

(1) Excludes approximately $149.4 million of executed operating leases that have not commenced as of March 31, 2024

Finance Lease Maturity

As of March 31, 2024, future minimum lease payments for operating and finance leases consisted of the following:


(in thousands)	OPERATING LEASES		FINANCE LEASES
Fiscal year
2024	$	28,564	$	480
2025	60,647		275
2026	61,434		89
2027	60,757		77
2028	60,317		64
Thereafter	573,904		50
Total future minimum lease payments (1)	845,623		1,035
Less: imputed interest	(359,923)		(95)
Total present value of lease liabilities	$	485,700	$	940

_____________

(1) Excludes approximately $149.4 million of executed operating leases that have not commenced as of March 31, 2024