Information for the segment, including the significant expenses regularly provided to the CODM, is provided in the following tables for the periods presented (amounts in thousands):


	13 Weeks Ended
	April 4, 2026		March 29, 2025
Net sales	$	1,166,352	$	1,125,567
Less:
Cost of sales (1)	819,446		781,769
Commission expenses (2)	169,368		161,720
Other selling expenses (3)	78,217		74,530
General and administrative expenses (4)	66,233		60,826
Restructuring charges (5)	18,191		33,875
Goodwill impairment	158,000		—
Other segment items (6)	3,755		5,458
Depreciation and amortization expenses	31,156		29,897
Interest income	(1,175)		(1,290)
Interest expense (7)	7,544		7,810
Income tax benefit	(4,061)		(5,711)
Net loss and comprehensive loss	$	(180,322)	$	(23,317)

(1)Cost of sales includes merchandise costs, inventory markdowns, inventory losses, transportation costs and distribution and warehousing costs and excludes depreciation and amortization expenses, which were $1.7 million and $1.4 million for the first quarter of fiscal 2026 and fiscal 2025, respectively.

(3)Other selling expenses include occupancy for all stores, our portion of maintenance costs for IO stores, the cost of opening new IO stores and payroll, benefits, maintenance, supplies and utilities for company-operated stores.

(4)General and administrative expenses include payroll and benefits for corporate and field support, marketing and advertising, insurance and professional services and operator recruiting and training costs.

(5)Restructuring charges include costs associated with the Optimization Plan and the Restructuring Plan. See Note 12 for additional information.

(7)Interest expense primarily includes interest on loans, amortization of debt issuance costs and debt discounts, and interest on finance leases, less capitalized interest. See Note 4 for further discussion.


	13 Weeks Ended
	April 4, 2026		March 29, 2025
Purchases of property and equipment	$	52,751	$	60,452
Investments in intangible assets and licenses	4,049		4,834
Total capital expenditures	$	56,800	$	65,286