In accordance with ASC 718, Compensation – Stock Compensation, the Company measures compensation cost for all stock-based awards at fair value on the date of grant and recognizes compensation expense, net of forfeitures, using the straight-line method over the requisite service period of awards expected to vest, which for each of the awards is the service vesting period. Stock-based compensation expense within the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income for the twenty-six weeks ended June 25, 2026 and June 26, 2025 was $15.9 million and $15.5 million, respectively.

The Company periodically grants restricted stock units (“RSUs”), each of which represents an unfunded, unsecured right to receive a share of the Company’s Class A common stock upon vesting. During the twenty-six weeks ended June 25, 2026, the Company granted RSUs to certain employees, executive officers, and non-employee directors comprised of service-based RSUs and performance-based RSUs. Service-based RSUs vest based on the grantee’s continued service through the vesting date. The performance-based RSUs cliff vest based on (i) the Company’s achievement of predetermined financial metrics at the end of a three-year performance period and (ii) the grantee’s continued service through the vesting date. Depending on the extent to which the relevant performance goals are achieved, the number of common shares earned upon vesting may range from 0% to 200% of the award granted. The Company assesses the probability of achieving all performance goals on a quarterly basis. The service period for RSUs granted during the period varies by grantee and is one year from the grant date for non-employee directors and two to three years from the grant date for employees and executive officers. The grant-date fair value of service-based RSUs and performance-based RSUs is based on the closing market price of the Company’s Class A common stock on the date of grant.


	Restricted Stock Units
	Service-based			Performance-based			Total shareholder return
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
Unvested at December 26, 2025	561,965	$	98.20	266,308	$	94.72	37,835	$	104.67
Granted	510,767	$	65.41	130,067	$	68.34	—	$	—
Vested	(262,020)	$	98.32	—	$	—	—	$	—
Forfeited	(66,862)	$	83.59	(145,657)	$	90.15	(37,835)	$	104.67
Unvested at June 25, 2026	743,850	$	76.98	250,718	$	83.69	—	$	—

On April 23, 2026, the Company’s Board of Directors approved a share repurchase program authorizing the Company to repurchase up to $400.0 million of the Company’s common stock. The share repurchase program has no expiration date and does not obligate the Company to repurchase any shares under the program. As of June 25, 2026, the Company had remaining authorization under the share repurchase program of $334.3 million.


	Thirteen Weeks Ended				Twenty-six Weeks Ended
	June 25, 2026		June 26, 2025		June 25, 2026		June 26, 2025
Total number of shares repurchased	1,330,975		—		1,330,975		—
Average price paid per share (1)	$	49.36	$	—	$	49.36	$	—
Total cost of shares repurchased (in thousands) (1)	$	65,700	$	—	$	65,700	$	—