v3.26.1
Leases
 6 Months Ended
Jun. 27, 2026
Leases [Abstract]  
Leases Leases
The Company has finance leases for its corporate headquarters, lab and innovation space in El Segundo, California (the "Campus Headquarters"), a warehousing facility in the Netherlands and for certain equipment used for research and development and operations. The Company also has operating leases including lease arrangements for the Company’s corporate offices (other than the Campus Headquarters), manufacturing facilities, warehouses, vehicles, and certain equipment. Such leases generally have original lease terms between 2 years and 16 years, and often include one or more options to extend. Some leases also include early termination options, which can be exercised under specific conditions. The Company includes options to extend the lease term if the options are reasonably certain of being exercised. The Company does not have residual value guarantees or material restrictive covenants associated with its leases.
For details of the Company's Campus Headquarters lease, including amendments thereto (which resulted in, among other things, a reclassification from an operating to a finance lease and a revised letter of credit reduction schedule), and the Company's subleases, see Note 5, Leases, to the Notes to Consolidated Financial Statements included in the 2025 10-K.
Subsequent to the three months ended June 27, 2026, the Company entered into a Fifth Amendment to Lease, dated as of July 31, 2026, (the “Fifth Amendment to Lease”) to the Campus Headquarters lease. The impact of the Fifth Amendment to Lease is not reflected in the tables below. See Note 17.
The Company subleases a portion of its Campus Headquarters to a third party. Sublease income is recognized on a straight-line basis and included in the Company’s unaudited condensed consolidated statements of operations as a credit to Research and development expenses. See Note 12.
The following table presents the Company’s sublease income (in thousands):
Three Months Ended
Six Months Ended
June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Sublease income$311 $— $608 $— 
Subsequent to the three months ended June 28, 2026, in connection with the Fifth Amendment to Lease, the Company entered into a First Amendment to Sublease, dated as of July 31, 2026 (the “First Amendment to Sublease”), with the subtenant. The impact of the First Amendment to Sublease is not reflected in the tables below. See Note 17.

Lease costs for operating and finance leases were as follows (in thousands):
Three Months Ended
Statement of Operations LocationJune 27, 2026June 28, 2025
Operating lease cost:
Lease costCost of goods sold$455 $419 
Lease costResearch and development expenses— 485 
Lease costSG&A expenses105 557 
Variable lease cost(1)
Cost of goods sold125 66 
Variable lease cost(1)
SG&A expenses— 370 
Operating lease cost685 1,897 
Short- term lease cost:
Short-term lease costCost of goods sold60 118 
Short-term lease costResearch and development expenses10 15 
Short-term lease costSG&A expenses40 109 
Short-term lease cost110 242 
Finance lease cost:
Amortization of right-of use assetsCost of goods sold142 272 
Amortization of right-of use assetsResearch and development expenses1,586 1,561 
Amortization of right-of use assetsSG&A expenses630 — 
Interest on lease liabilitiesInterest expense1,656 1,016 
Variable lease cost(1)
Cost of goods sold3 16 
Variable lease cost(1)
Research and development expenses1 1 
Variable lease cost(1)
SG&A expenses2,543 585 
Finance lease cost6,561 3,451 
Total lease cost$7,356 $5,590 
____________
(1) Variable lease cost primarily consists of common area maintenance, such as cleaning and repairs.
Six Months Ended
Statement of Operations LocationJune 27, 2026June 28, 2025
Operating lease cost:
Lease costCost of goods sold$912 $826 
Lease costResearch and development expenses— 2,872 
Lease costSG&A expenses206 1,180 
Variable lease cost(1)
Cost of goods sold319 102 
Variable lease cost(1)
SG&A expenses— 1,468 
Operating lease cost1,437 6,448 
Short- term lease cost:
Short-term lease costCost of goods sold120 195 
Short-term lease costResearch and development expenses14 29 
Short-term lease costSG&A expenses103 245 
Short-term lease cost237 469 
Finance lease cost:
Amortization of right-of use assetsCost of goods sold319 526 
Amortization of right-of use assetsResearch and development expenses3,349 1,564 
Amortization of right-of use assetsSG&A expenses1,322 — 
Interest on lease liabilitiesInterest expense3,336 1,056 
Variable lease cost(1)
Cost of goods sold4 28 
Variable lease cost(1)
Research and development expenses1 1 
Variable lease cost(1)
SG&A expenses3,160 585 
Finance lease cost11,491 3,760 
Total lease cost$13,165 $10,677 
____________
(1) Variable lease cost primarily consists of common area maintenance, such as cleaning and repairs.

The following is a schedule by year of the maturities of lease liabilities with original terms in excess of one year, as of June 27, 2026 (in thousands):
June 27, 2026
Operating LeasesFinance Leases
Remainder of 2026$1,204 $5,475 
20271,957 9,592 
2028946 9,173 
2029654 9,264 
2030513 9,519 
Thereafter294 86,046 
Total undiscounted future minimum lease payments5,568 129,069 
Less imputed interest(348)(50,272)
Total discounted future minimum lease payments$5,220 $78,797 
Weighted average remaining lease terms and weighted average discount rates were:
June 27, 2026
Operating Leases
Finance Leases
Weighted average remaining lease term (years)3.412.2
Weighted average discount rate4.7%8.4%
Supplemental cash flow information (in thousands):
Three Months Ended
Six Months Ended
June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Cash paid for amounts included in the measurement of operating lease liabilities
$435 $1,568 $1,048 $3,823 
Cash paid for interest on finance lease liabilities$1,656 $2,082 $3,336 $2,082 
Leases Leases
The Company has finance leases for its corporate headquarters, lab and innovation space in El Segundo, California (the "Campus Headquarters"), a warehousing facility in the Netherlands and for certain equipment used for research and development and operations. The Company also has operating leases including lease arrangements for the Company’s corporate offices (other than the Campus Headquarters), manufacturing facilities, warehouses, vehicles, and certain equipment. Such leases generally have original lease terms between 2 years and 16 years, and often include one or more options to extend. Some leases also include early termination options, which can be exercised under specific conditions. The Company includes options to extend the lease term if the options are reasonably certain of being exercised. The Company does not have residual value guarantees or material restrictive covenants associated with its leases.
For details of the Company's Campus Headquarters lease, including amendments thereto (which resulted in, among other things, a reclassification from an operating to a finance lease and a revised letter of credit reduction schedule), and the Company's subleases, see Note 5, Leases, to the Notes to Consolidated Financial Statements included in the 2025 10-K.
Subsequent to the three months ended June 27, 2026, the Company entered into a Fifth Amendment to Lease, dated as of July 31, 2026, (the “Fifth Amendment to Lease”) to the Campus Headquarters lease. The impact of the Fifth Amendment to Lease is not reflected in the tables below. See Note 17.
The Company subleases a portion of its Campus Headquarters to a third party. Sublease income is recognized on a straight-line basis and included in the Company’s unaudited condensed consolidated statements of operations as a credit to Research and development expenses. See Note 12.
The following table presents the Company’s sublease income (in thousands):
Three Months Ended
Six Months Ended
June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Sublease income$311 $— $608 $— 
Subsequent to the three months ended June 28, 2026, in connection with the Fifth Amendment to Lease, the Company entered into a First Amendment to Sublease, dated as of July 31, 2026 (the “First Amendment to Sublease”), with the subtenant. The impact of the First Amendment to Sublease is not reflected in the tables below. See Note 17.

Lease costs for operating and finance leases were as follows (in thousands):
Three Months Ended
Statement of Operations LocationJune 27, 2026June 28, 2025
Operating lease cost:
Lease costCost of goods sold$455 $419 
Lease costResearch and development expenses— 485 
Lease costSG&A expenses105 557 
Variable lease cost(1)
Cost of goods sold125 66 
Variable lease cost(1)
SG&A expenses— 370 
Operating lease cost685 1,897 
Short- term lease cost:
Short-term lease costCost of goods sold60 118 
Short-term lease costResearch and development expenses10 15 
Short-term lease costSG&A expenses40 109 
Short-term lease cost110 242 
Finance lease cost:
Amortization of right-of use assetsCost of goods sold142 272 
Amortization of right-of use assetsResearch and development expenses1,586 1,561 
Amortization of right-of use assetsSG&A expenses630 — 
Interest on lease liabilitiesInterest expense1,656 1,016 
Variable lease cost(1)
Cost of goods sold3 16 
Variable lease cost(1)
Research and development expenses1 1 
Variable lease cost(1)
SG&A expenses2,543 585 
Finance lease cost6,561 3,451 
Total lease cost$7,356 $5,590 
____________
(1) Variable lease cost primarily consists of common area maintenance, such as cleaning and repairs.
Six Months Ended
Statement of Operations LocationJune 27, 2026June 28, 2025
Operating lease cost:
Lease costCost of goods sold$912 $826 
Lease costResearch and development expenses— 2,872 
Lease costSG&A expenses206 1,180 
Variable lease cost(1)
Cost of goods sold319 102 
Variable lease cost(1)
SG&A expenses— 1,468 
Operating lease cost1,437 6,448 
Short- term lease cost:
Short-term lease costCost of goods sold120 195 
Short-term lease costResearch and development expenses14 29 
Short-term lease costSG&A expenses103 245 
Short-term lease cost237 469 
Finance lease cost:
Amortization of right-of use assetsCost of goods sold319 526 
Amortization of right-of use assetsResearch and development expenses3,349 1,564 
Amortization of right-of use assetsSG&A expenses1,322 — 
Interest on lease liabilitiesInterest expense3,336 1,056 
Variable lease cost(1)
Cost of goods sold4 28 
Variable lease cost(1)
Research and development expenses1 1 
Variable lease cost(1)
SG&A expenses3,160 585 
Finance lease cost11,491 3,760 
Total lease cost$13,165 $10,677 
____________
(1) Variable lease cost primarily consists of common area maintenance, such as cleaning and repairs.

The following is a schedule by year of the maturities of lease liabilities with original terms in excess of one year, as of June 27, 2026 (in thousands):
June 27, 2026
Operating LeasesFinance Leases
Remainder of 2026$1,204 $5,475 
20271,957 9,592 
2028946 9,173 
2029654 9,264 
2030513 9,519 
Thereafter294 86,046 
Total undiscounted future minimum lease payments5,568 129,069 
Less imputed interest(348)(50,272)
Total discounted future minimum lease payments$5,220 $78,797 
Weighted average remaining lease terms and weighted average discount rates were:
June 27, 2026
Operating Leases
Finance Leases
Weighted average remaining lease term (years)3.412.2
Weighted average discount rate4.7%8.4%
Supplemental cash flow information (in thousands):
Three Months Ended
Six Months Ended
June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Cash paid for amounts included in the measurement of operating lease liabilities
$435 $1,568 $1,048 $3,823 
Cash paid for interest on finance lease liabilities$1,656 $2,082 $3,336 $2,082