Leases

9 Months Ended

Mar. 29, 2026

The Company leases various assets under non-cancellable operating and finance leases. These assets include location-based entertainment venues, office space, vehicles, and equipment.

Most of our leases contain payments for some or all of the following: base rent, contingent rent, common area maintenance, insurance, real-estate taxes, and other operating expenses. Rental payments are subject to escalation depending on future changes in designated indices or based on pre-determined amounts agreed upon at lease inception.

On July 10, 2025, the Company acquired 58 existing properties that were previously under a master lease agreement with Carlyle for $306,000. Spanning 16 states, the 58 property portfolio includes prime locations in California, Illinois, Georgia, Arizona, and Colorado.

The following table summarizes the components of the net lease cost for each reporting period:


		Three Months Ended				Nine Months Ended
Lease Costs:	Location on Condensed Consolidated Statements of Operations	March 29, 2026		March 30, 2025		March 29, 2026		March 30, 2025
Operating Lease Costs: (1)
Operating lease costs associated with master leases for locations	Primarily Location operating costs	$	3,678	$	4,427	$	11,126	$	13,283
Operating lease costs associated with non-master leases for locations	Primarily Location operating costs	16,140		15,970		49,124		46,266
Percentage rental costs for locations (2)	Primarily Location operating costs	1,949		1,760		5,781		4,817
Equipment and other operating lease costs (3)	Primarily Location operating costs	2,626		2,402		7,210		3,310
Total Operating Lease Costs:		24,393		24,559		73,241		67,676

Finance Lease Costs:
Amortization of right-of-use assets	Depreciation and amortization	2,781		4,367		8,222		13,081
Interest expense	Interest expense, net	7,621		12,427		22,969		37,214
Total Finance Lease Costs:		10,402		16,794		31,191		50,295

Financing Obligation Costs:
Interest expense	Interest expense, net	10,400		10,210		31,057		30,488
Total Financing Obligation Costs:		10,400		10,210		31,057		30,488

Other Costs, Net:
Variable occupancy costs (4)	Primarily Location operating costs	14,944		13,095		45,501		51,452
Loss (gain) from modifications to operating leases	Other operating expense (income), net	—		(144)		(1,441)		(144)
Other lease costs (5)	Primarily Location operating costs	104		213		754		482
Sublease income (6)	Revenues - Amusement & other	(1,194)		(1,163)		(3,617)		(3,563)
Total Other Costs, Net		13,854		12,001		41,197		48,227

Total Lease Costs, Net		$	59,049	$	63,564	$	176,686	$	196,686

(1)Operating lease costs includes both cash and non-cash expenses for operating leases. The operating lease costs associated with our locations are recognized evenly over the lease term, therefore, the timing of the expense may differ from the timing of actual cash payments. Cash payments and lease costs can differ due to (a) the timing of cash payments relative to the level expense, (b)

non-cash adjustments as a result of purchase accounting, and (c) various other non-cash adjustments to lease costs. Please see the table below for cash paid for amounts included within our lease liabilities.

(2)Percentage rental costs for our locations primarily represents leases where we pay an extra rental amount based on a percentage of revenue in excess of predetermined revenue thresholds.

(3)Equipment and other operating lease costs primarily represents operating leases costs for equipment leases, common area maintenance charges, rent relief from the impacts of COVID-19, and other variable lease costs for operating leases where the lease payments escalate based on an index or rate.

(4)Variable occupancy costs primarily represents utilities, property insurance, and real estate taxes.

(5)Other lease costs primarily includes short-term lease costs and other variable payments for various equipment leases.

(6)Sublease income primarily represents short-term leases with pro-shops and various retail tenants.

Cash paid for amounts included in the measurement of lease liabilities for each reporting period:


	Nine Months Ended
	March 29, 2026		March 30, 2025
Cash paid for amounts included in the measurement of lease liabilities (1)

Operating leases:
Operating cash flows paid for operating leases	$	55,962	$	48,230
Total cash paid for operating lease liabilities	55,962		48,230

Finance leases:
Operating cash flows paid for interest portion of finance leases	20,472		35,190
Financing cash flows paid for principal portion of finance leases	1,503		2,236
Total cash paid for finance lease liabilities	21,975		37,426

Financing Obligations:
Operating cash flows paid for interest portion of financing obligations	24,682		24,264
Total cash paid for financing obligations:	24,682		24,264

Total cash amounts paid that are included in the measurement of lease liabilities: (2)	$	102,619	$	109,920

(1)This table includes cash paid for amounts included in the measurement of our lease liabilities. Since the lease liability only includes amounts that are contractually fixed, this table excludes cash paid for amounts that are variable in nature, such as utilities, common area maintenance, property insurance, real estate taxes, and percentage rent.

(2)For the period ended March 30, 2025, total cash amounts within the above table include deferred repayments of $2,013 for operating leases and $4,341 for finance leases. As of March 29, 2026, there were no deferred payments remaining.

Supplemental balance sheet information related to leases was as follows:


	Condensed Consolidated Balance Sheets Location	March 29, 2026		June 29, 2025
Operating leases:
ROU Assets, net	Operating lease ROU assets, net	$	553,294	$	588,594
Lease liabilities, Short-term	Operating lease liabilities, ST	35,391		33,103
Lease liabilities, Long-term	Operating lease liabilities, LT	570,152		606,692

Finance leases:
ROU Assets, net	Finance lease ROU assets, net	302,322		507,701
Lease liabilities, Short-term	Other current liabilities	1,649		780
Lease liabilities, Long-term	Finance lease liabilities, LT	427,992		683,161

Financing Obligations:
Financing obligation, long-term	Long-term financing obligations	455,590		449,215

Lease incentive receivables from landlords of $1,580 and $3,975 as of March 29, 2026 and June 29, 2025, respectively, are reflected as a reduction of the operating and finance lease liability.

Other supplemental cash flow information related to leases was as follows for each reporting period:


	Nine Months Ended
	March 29, 2026		March 30, 2025
Supplemental Cash flow Information:
Operating Cash Flows from landlord contributions	$	1,817	$	8,389
Financing Cash Flows from landlord contributions	1,481		417
Purchases of operating lease assets	31,186		—
Purchases of operating lease liabilities	33,393		—
Purchases of finance lease assets	206,064		—
Purchases of finance lease liabilities	267,715		—

For the purchase of previously leased property, the Company treated the net difference between operating lease assets and liabilities as a reduction of operating cash flows on the purchase date. Similarly, the Company treated the net difference between finance lease assets and liabilities as a reduction of financing cash flows on the purchase date. The remainder of the purchase price is being allocated to investing cash outflows.

Leases