Property and Equipment and Other Noncurrent Assets

3 Months Ended

Mar. 28, 2025

Property, Plant and Equipment [Abstract]

Property and Equipment and Other Noncurrent Assets


Note 3 – Property and Equipment and Other Noncurrent Assets

Property and equipment consist of the following:


	March 28, 2025		December 27, 2024
Machinery	$	136,561	$	123,509
Leasehold improvements	49,281		48,487
Computer software, hardware, and equipment	9,173		8,707
Office furniture, fixtures, and equipment	1,611		1,593
Vehicles	393		395
Construction-in-process	12,185		12,612
	209,204		195,303
Less accumulated depreciation	(105,832)		(100,436)
Total property and equipment, net	$	103,372	$	94,867

Depreciation expense was $5.6 million and $5.2 million for the first quarter of 2025 and 2024, respectively.

Cloud Computing Implementation Costs

We capitalize implementation costs associated with hosting arrangements that are service contracts. These costs are recorded to prepaid expenses or other noncurrent assets. To date, these costs have been those incurred to implement a new company-wide enterprise resource planning system. The balance of capitalized cloud computing implementation costs, net of accumulated amortization, was $13.7 million and $11.2 million as of March 28, 2025 and December 27, 2024, respectively, and is included in other noncurrent assets on our consolidated balance sheets. The related amortization expense, which is included in selling, general, and administrative expenses on our consolidated statements of operations, was $0.4 million and $0.3 million for the first quarter of 2025 and 2024, respectively.