Note 7 - Leases

6 Months Ended

Jul. 04, 2026

Note 7 - Leases

Our facilities for corporate offices, sales offices, research and development facilities, storage facilities, and a data center are leased under operating leases, which expire at various times through 2035. Our leases have remaining lease terms of less than 1 year up to 9 years, some of which include options to extend for up to 5 years, and some of which include options to terminate within 1 year. The weighted-average remaining lease term was 6.0 years and the weighted-average discount rate was 4.9% as of July 4, 2026.

We recorded fixed operating lease expenses of $2.2 million and $2.3 million for the second quarter of fiscal 2026 and 2025, respectively, and $4.6 million and $4.4 million for the first six months of fiscal 2026 and 2025, respectively.

The following table presents the lease balance classifications within the Consolidated Balance Sheets and summarizes their activity during the first six months of fiscal 2026:

Operating lease right-of-use assets	(In thousands)
Balance as of January 3, 2026	$	39,459
Right-of-use assets obtained for new or renewed lease contracts during the period		997
Amortization of right-of-use assets during the period		(3,647	)
Adjustments for present value and foreign currency effects		(648	)
Balance as of July 4, 2026	$	36,161

Operating lease liabilities	(In thousands)
Balance as of January 3, 2026	$	42,107
Lease liabilities accrued for new or renewed lease contracts during the period		997
Accretion of lease liabilities		946
Operating cash used for payments on lease liabilities		(5,276	)
Adjustments for present value and foreign currency effects		(692	)
Balance as of July 4, 2026		38,082
Less: Current portion of operating lease liabilities (included in Accrued liabilities)		(5,491	)
Long-term operating lease liabilities, net of current portion	$	32,591

Maturities of operating lease liabilities as of July 4, 2026 are as follows:

Fiscal year	(In thousands)
2026 (Remaining 2 quarters)	$	2,611
2027		8,825
2028		7,987
2029		5,368
2030		5,417
Thereafter		14,522
Total lease payments		44,730
Less: amount representing interest		(6,648	)
Present value of lease liabilities	$	38,082