Note Q - Leases

6 Months Ended

Sep. 28, 2025

Notes to Financial Statements

Leases, Disclosure [Text Block]

NOTE Q – LEASES

The Company is party as lessee to various leases for land, buildings and certain office equipment for its Company-owned restaurants and corporate office, as well as a lessee/sublessor to one other property.

Company as lessee

The components of the net lease cost for the thirteen and twenty-six week periods ended September 28, 2025 and September 29, 2024 were as follows (in thousands):

	Thirteen weeks ended						Twenty-six weeks ended
	September 28, 2025			September 29, 2024			September 28, 2025			September 29, 2024
Operating lease cost	$	417		$	420		$	855		$	861
Variable lease cost		645			638			1,109			1,098
Less: Sublease income, net		(21	)		(21	)		(42	)		(42	)
Total net lease cost	$	1,041		$	1,037		$	1,922		$	1,917

The components of the net lease cost are included in the Condensed Consolidated Statements of Earnings for the thirteen and twenty-six week periods ended September 28, 2025 and September 29, 2024 as follows (in thousands):

	Thirteen weeks ended						Twenty-six weeks ended
	September 28, 2025			September 29, 2024			September 28, 2025			September 29, 2024
Restaurant operating expenses	$	858		$	861		$	1,540		$	1,548
General and administrative expenses		204			197			424			411
Less: Other income, net		(21	)		(21	)		(42	)		(42	)
Total net lease cost	$	1,041		$	1,037		$	1,922		$	1,917

Cash paid for amounts included in the measurement of lease liabilities for the thirteen and twenty-six week periods ended September 28, 2025 and September 29, 2024 were as follows (in thousands):

	Thirteen weeks ended				Twenty-six weeks ended
	September 28, 2025		September 29, 2024		September 28, 2025		September 29, 2024
Operating cash flows from operating leases		$561		$551		$1,122		$1,104

The weighted average remaining lease term and weighted average discount rate for operating leases as of September 28, 2025 were as follows:       

Weighted average remaining lease term (years):	3.1
Weighted average discount rate:	8.472	%

Future lease commitments to be paid and received by the Company as of September 28, 2025 were as follows (in thousands):

	Payments			Receipts
	Operating Leases			Subleases		Net Leases
Fiscal year:
2026 (a)	$	803		$	84	$	719
2027		1,940			281		1,659
2028		1,790			129		1,661
2029		440			-		440
2030		171			-		171
Thereafter		-			-		-
Total lease commitments	$	5,144		$	494	$	4,650
Less: Amount representing interest		(580	)
Present value of lease liabilities (b)	$	4,564

(a)	Represents future lease commitments to be paid and received by the Company for the remainder of the 2026 fiscal year. Amount does not include $920 of lease commitments paid and received by the Company for the twenty-six week period ended September 28, 2025.
(b)	The present value of minimum operating lease payments of $1,933 and $2,631 are included in “Current portion of operating lease liabilities” and “Long-term portion of operating lease liabilities,” respectively on the Condensed Consolidated Balance Sheet.

Company as lessor

The components of net lease income for the thirteen and twenty-six week periods ended September 28, 2025 and September 29, 2024 were as follows (in thousands):

	Thirteen weeks ended				Twenty-six weeks ended
	September 28, 2025		September 29, 2024		September 28, 2025		September 29, 2024
Operating lease income, net	$	21	$	21	$	42	$	42