Income Taxes (Tables)

12 Months Ended

Jan. 06, 2024

Income Tax Disclosure [Abstract]

Summary of Components of Income Tax Expense

The components of income tax expense were as follows:

	For the Years Ended
	January 6, 2024		December 31, 2022			December 25, 2021
Current:
Federal	$	—	$	—		$	—
State		613		523			114
		613		523			114
Deferred:
Federal		4,330		(45,423	)		—
State		1,293		(8,291	)		—
		5,623		(53,714	)		—
Income Tax Expense	$	6,236	$	(53,191	)	$	114

Schedule of Reconciliation of Statutory Federal Income Tax Rate to Effective Rate

A reconciliation of the statutory federal income tax rate to our effective rate for continuing operations is provided below:

	For the Years Ended
	January 6, 2024			December 31, 2022			December 25, 2021
Statutory federal income tax rate		21.0	%		21.0	%		21.0	%
State income taxes, net		9.6	%		19.9	%		2.2	%
Pre-IPO period not subject to income tax		—			—			(53.1	)%
Income attributable to noncontrolling interests		(3.8	)%		3.4	%		15.1	%
Nondeductible executive compensation		0.3	%		(0.2	)%		0.8	%
Tax receivable agreement		0.3	%		(10.9	)%		—
Investment in EWC Ventures		6.3	%		(11.7	)%		47.4	%
Valuation allowance		—			112.2	%		(30.6	)%
Other		(0.1	)%		0.7	%		—
		33.6	%		134.4	%		2.8	%

Summary of Temporary differences to Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities, were as follows as of January 6, 2024 and December 31, 2022:

	January 6, 2024		December 31, 2022
Deferred tax assets
Net operating losses	$	18,496	$	15,592
Investment in EWC Ventures		72,009		55,804
Tax receivable agreement		43,251		33,205
Excess interest expense		3,089		995
Equity-based compensation		1,117		562
Other		253		36
Total deferred tax assets		138,215		106,194
Deferred tax liabilities
Other		—		(7	)
Total deferred tax liabilities		—		(7	)
Net deferred tax asset	$	138,215	$	106,187

Summary of change in valuation allowance against our deferred tax assets

The change in our valuation allowance against our deferred tax assets for the years ended January 6, 2024, December 31, 2022 and December 25, 2021 was as follows:

	For the Years Ended
	January 6, 2024		December 31, 2022			December 25, 2021
Beginning balance	$	—	$	(48,069	)	$	—
Recorded to additional-paid-in-capital		—		—			(50,373	)
Recorded to other comprehensive income		—		—			32
Recorded to income tax expense		—		48,069			2,272
Ending balance	$	—	$	—		$	(48,069	)