Derivative Financial Instruments (Tables)

6 Months Ended

Dec. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments

As of December 30, 2023, the aggregate notional amount of the Company’s outstanding foreign currency contracts along with their unrealized gain (losses) are expected to mature as summarized below (in thousands):

Quarter Ending	Notional Contracts in MXN		Notional Contracts in USD		Estimated Fair Value
March 30, 2024	$	61,775	$	3,369	$	247

Schedule of Gain (Loss) of Derivative Instruments in Statement of Operations

The following tables summarize the gain (loss) on derivative instruments, net of tax, on the Consolidated Statements of Income for the three months ended December 30, 2023 and December 31, 2022, respectively (in thousands):

Derivatives Designated as Hedging Instruments	Classification of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	AOCI Balance as of September 30, 2023		Effective Portion Recorded In AOCI		Effective Portion Reclassified From AOCI Into Income		AOCI Balance as of December 30, 2023
Forward contracts	Cost of sales	$	—	$	263	$	(72)	$	191
Interest rate swap	Interest expense	(39)		—		39		—
Total		$	(39)	$	263	$	(33)	$	191
Derivatives Designated as Hedging Instruments	Classification of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	AOCI Balance as of October 1, 2022		Effective Portion Recorded In AOCI		Effective Portion Reclassified From AOCI Into Income		AOCI Balance as of December 31, 2022
Forward contracts	Cost of sales	$	—	$	—	$	—	$	—
Interest rate swap	Interest expense	(272)		—		59		(213)
Total		$	(272)	$	—	$	59	$	(213)

The following tables summarize the gain (loss) on derivative instruments, net of tax, on the Consolidated Statements of Income for the six months ended December 30, 2023 and December 31, 2022, respectively (in thousands):

Derivatives Designated as Hedging Instruments	Classification of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	AOCI Balance as of Ju1y 1, 2023		Effective Portion Recorded In AOCI		Effective Portion Reclassified From AOCI Into Income		AOCI Balance as of December 30, 2023
Forward contracts	Cost of sales	$	—	$	263	$	(72)	$	191
Interest rate swap	Interest expense	(97)		—		97		—
Total		$	(97)	$	263	$	25	$	191
Derivatives Designated as Hedging Instruments	Classification of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	AOCI Balance as of July 2, 2022		Effective Portion Recorded In AOCI		Effective Portion Reclassified From AOCI Into Income		AOCI Balance as of December 31, 2022
Forward contracts	Cost of sales	$	(79)	$	—	$	79	$	—
Interest rate swap	Interest expense	(346)		—		133		(213)
Total		$	(425)	$	—	$	212	$	(213)