v3.26.1
Note 11 - Leases
6 Months Ended
Jun. 27, 2026
Notes to Financial Statements  
Lessee, Leases [Text Block]

11.

Leases

 

We lease certain of our facilities, equipment and vehicles under non-cancelable operating and finance leases. Leases with initial terms of 12 months or less are not recorded on the condensed consolidated balance sheet, but we recognize those lease payments in the condensed consolidated statements of operations on a straight-line basis over the lease term. Lease and non-lease components are included in the calculation of the ROU asset and lease liabilities.

 

Our leases have remaining lease terms of up to 32 years, some of which include one or more options to extend the lease for up to 25 years. Our lease terms include renewal terms when we are reasonably certain that we will exercise the renewal options. We sublease certain leased assets to third parties, mainly as a result of unused space in our facilities.

 

Supplemental balance sheet information related to leases was as follows:

 

(in thousands)

Classification

 

June 27, 2026

   

December 27, 2025

 

Assets

                 

Operating lease assets

Operating lease right-of-use assets

  $ 27,715     $ 29,271  

Finance lease assets

Property, plant and equipment, net

    40       68  

Total lease assets

  $ 27,755     $ 29,339  

Liabilities

                 

Current

                 

Operating

Other accrued liabilities

  $ 4,301     $ 3,100  

Noncurrent

                 

Operating

Long-term lease liabilities

    30,713       31,693  

Total lease liabilities

  $ 35,014     $ 34,793  
                   

Weighted-average remaining lease term (years)

               

Operating leases

    8.7       9.0  
                   

Weighted-average discount rate

               

Operating leases

    6.5 %     6.5 %

 

 

The components of lease expense were as follows:

 

   

Three Months Ended

   

Six Months Ended

 

(in thousands)

 

June 27, 2026

   

June 28, 2025

   

June 27, 2026

   

June 28, 2025

 

Operating leases

  $ 1,692     $ 1,498     $ 3,375     $ 3,020  

Variable lease expense

    504       650       1,414       1,296  

Short-term operating leases

    8       15       16       29  

Finance leases

                               

Amortization of leased assets

    12       20       25       41  

Interest on lease liabilities

    -       -       -       1  

Net lease cost

  $ 2,216     $ 2,183     $ 4,830     $ 4,387  

 

Supplemental cash flow information related to leases was as follows:

 

   

Six Months Ended

 

(in thousands)

 

June 27, 2026

   

June 28, 2025

 

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

               

Operating cash flows from operating leases

  $ 3,087     $ 3,055  

Financing cash flows from finance leases

  $ -     $ 6  

Leased assets obtained in exchange for new operating lease liabilities

  $ 1,155     $ 20,990  

 

Future minimum lease payments on June 27, 2026, are as follows:

 

   

Operating

   

Finance

         

(in thousands)

 

leases

   

leases

   

Total

 

2026

  $ 3,390     $ -     $ 3,390  

2027

    5,627       -       5,627  

2028

    4,609       -       4,609  

2029

    4,717       -       4,717  

2030

    4,872       -       4,872  

Thereafter

    23,503       -       23,503  

Total lease payments

    46,718       -       46,718  

Less: Interest

    (11,704 )     -       (11,704 )

Present value of lease liabilities

  $ 35,014     $ -     $ 35,014