v3.26.1
Derivative Financial Instruments
 9 Months Ended
Jun. 27, 2026
Derivative Instruments and Hedges, Assets [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
We principally use derivative financial instruments to manage foreign exchange risk related to foreign operations and foreign currency transactions. We enter into derivative financial instruments with a number of major financial institutions to minimize counterparty credit risk.

Derivatives designated as hedging instruments
We use foreign currency contracts as cash flow hedges to effectively fix the exchange rates on future payments and revenue. To mitigate exposure in movements between various currencies, including the Philippine peso, we had outstanding foreign currency contracts with notional amounts of $58,440 at June 27, 2026. These contracts mature at various times through April 12, 2028.

Foreign currency contracts are recorded in the Consolidated Balance Sheets at fair value and the related gains or losses are deferred in Shareholders’ Equity as a component of Accumulated Other Comprehensive Income (Loss) ("AOCIL"). These deferred gains and losses are reclassified into the Consolidated Statements of Earnings, as necessary, during the periods in which the related payments or receipts affect earnings. However, to the extent the foreign currency contracts are not perfectly effective in offsetting the change in the value of the payments and revenue being hedged, the ineffective portion of these contracts is recognized in earnings immediately. Ineffectiveness was not material in the first nine months of 2026 or 2025.
Derivatives not designated as hedging instruments
We also have foreign currency exposure on balances, primarily intercompany, that are denominated in a foreign currency and are adjusted to current values using period-end exchange rates. The resulting gains or losses are recorded in the Consolidated Statements of Earnings. To minimize foreign currency exposure, we have foreign currency contracts with notional amounts of $165,247 at June 27, 2026. The foreign currency contracts are recorded in the Consolidated Balance Sheets at fair value and resulting gains or losses are recorded in the Consolidated Statements of Earnings. We recorded the following gains and losses on foreign currency contracts which are included in other income or expense and generally offset the gains or losses from the foreign currency adjustments on the intercompany balances that are also included in other income or expense:
Three Months EndedNine Months Ended
Statements of Earnings locationJune 27,
2026		June 28,
2025		June 27,
2026		June 28,
2025
Net gain (loss)
Foreign currency contractsOther$(2,305)$13,048 $(5,631)$4,310 
Summary of derivatives
The fair value and classification of derivatives is summarized as follows:
Balance Sheets locationJune 27,
2026		September 27,
2025
Derivatives designated as hedging instruments:
Foreign currency contractsOther current assets$5 $250 
Foreign currency contractsOther assets147 39 
Total asset derivatives$152 $289 
Foreign currency contractsAccrued liabilities and other$640 $— 
Foreign currency contractsOther long-term liabilities168 8 
Total liability derivatives$808 $8 
Derivatives not designated as hedging instruments:
Foreign currency contractsOther current assets$7 $— 
Foreign currency contractsAccrued liabilities and other$1,045 $1,502