Accrued Expenses and Other Liabilities

6 Months Ended

Jun. 27, 2026

5. Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities consist of the following (in thousands):



	June 27, 2026		December 31, 2025
Selling, promotional and advertising	$	47,239	$	71,618
Warranty reserve	28,630		26,800
Employee compensation and benefits	24,654		37,230
Inventory purchases	17,159		16,315
Freight	12,382		8,926
Insurance reserve	10,692		30,410
Operating lease liability - short term	8,816		10,048
Payroll taxes	5,336		5,195
Taxes - non income	4,371		2,987
Professional fees	3,714		2,548
Deferred income	2,265		3,211





Other accrued liabilities	5,469		8,934
Total	$	170,727	$	224,222

The Company offers warranties on certain of its products and records an accrual for estimated future claims. Such accruals are based on historical experience and management’s estimate of the level of future claims.

The following table summarizes the warranty reserve activities (in thousands):


Balance at December 31, 2025	$	26,800

Accrual for warranties issued during the period	8,136
Payments	(6,972)
Balance at March 28, 2026	27,964

Accrual for warranties issued during the period	10,841
Payments	(10,175)
Balance at June 27, 2026	$	28,630


Balance at December 31, 2024	$	25,306

Accrual for warranties issued during the period	8,122
Payments	(6,741)
Balance at March 29, 2025	26,687

Accrual for warranties issued during the period	10,385
Payments	(9,693)
Balance at June 28, 2025	$	27,379

Warranty expenses for the three and six months ended June 27, 2026 were $10.8 million and $19.0 million, respectively, and $10.4 million and $18.5 million, respectively, for the three and six months ended June 28, 2025.