Restructuring Charges |
9 Months Ended | ||||||||||||||||||||||||||||||||||||
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Jun. 28, 2025 | |||||||||||||||||||||||||||||||||||||
| Restructuring and Related Activities [Abstract] | |||||||||||||||||||||||||||||||||||||
| Restructuring Charges | Restructuring Charges During the third quarter of fiscal year 2025, management committed to a reduction of the Company’s workforce by approximately 325 employees primarily related to employees that joined the Company’s workforce in connection with the ASR Acquisition. The Company expects the workforce reduction will be substantially completed by the end of the first quarter of fiscal year 2026. The costs incurred related to employee severance are recorded as a liability when it is probable that employees will be entitled to termination benefits and the amounts can be reasonably estimated. The liability related to these charges is included in accrued expenses and other current liabilities in the Company’s condensed consolidated balance sheets. As the ASR Purchase Agreement contemplated reimbursement for certain types of restructuring costs, a receivable was recorded as part of purchase accounting, which is included within prepaid expenses and other current assets in the purchase price allocation in Note 8, Business Acquisitions. The following table presents the activity related to the Company’s severance liability as of June 28, 2025 (in thousands).
The Company did not have material severance activity for the three or nine months ended June 29, 2024 or year ended September 28, 2024. For the three and nine months ended June 28, 2025, the Company recognized $16.4 million of restructuring expense, which is included within restructuring charges on the Company’s condensed consolidated statements of operations.
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