v3.26.1
LEASES
 9 Months Ended
Jul. 03, 2026
Leases [Abstract]  
LEASES LEASES:
The Company has lease arrangements primarily related to real estate, vehicles and equipment. Finance leases primarily relate to vehicles. The Company assesses whether an arrangement is a lease, or contains a lease, upon inception of the related contract. A right-of-use asset and corresponding lease liability are not recorded for leases with an initial term of 12 months or less (“short-term leases”).
Variable lease payments, which primarily consist of real estate taxes, common area maintenance charges, insurance costs and other operating expenses, are not included in the operating lease right-of-use asset or operating lease liability balances and are recognized in the period in which the expenses are incurred. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain they will be exercised or not, respectively. Options to extend lease terms that are reasonably certain of exercise are recognized as part of the operating lease right-of-use asset and operating lease liability balances.
The Company is required to discount its future minimum lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, the incremental borrowing rate. The Company uses a portfolio approach to determine the incremental borrowing rate based on the geographic location of the lease and the remaining lease term. The incremental borrowing rate is calculated using a base line rate plus an applicable margin.
The following table summarizes operating lease costs, consisting of fixed lease costs, variable lease costs and short-term lease costs. Additionally, the table summarizes finance lease costs, consisting of amortization of right-of-use asset and interest on lease liabilities (in thousands):
Three months endedNine months ended
July 3,
2026		June 27,
2025		July 3,
2026		June 27,
2025
Lease costs:
Operating lease costs$11,456 $11,271 $34,060 $33,398 
Finance lease costs$11,551 $10,604 $33,684 $31,074 
Supplemental cash flow information related to leases for the periods reported was as follows (in thousands):
Nine months ended
July 3,
2026		June 27,
2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases
$20,788 $18,391 
Operating cash flows from finance leases 5,706 5,340 
Financing cash flows from finance leases 28,220 25,630 
Three months endedNine months ended
July 3,
2026		June 27,
2025		July 3,
2026		June 27,
2025
Lease assets obtained in exchange for lease obligations:
Operating leases
$1,412 $10,234 $10,724 $26,513 
Finance leases
$5,050 $9,158 $22,432 $31,898 
Other information related to operating lease right-of-use assets, and lease liabilities was as follows:

July 3,
2026		October 3,
2025
Weighted average remaining lease term (in years)
Operating leases 5.45.8
Finance leases 5.55.8
Weighted average discount rate
Operating leases 7.2 %6.9 %
Finance leases 4.2 %4.7 %
Future minimum lease payments under non-cancelable leases as of July 3, 2026 are as follows (in thousands):
Operating leasesFinance leasesTotal
2026 (remaining three months)$6,874 $10,845 $17,719 
202726,093 40,995 67,088 
202822,817 36,792 59,609 
202918,094 31,603 49,697 
203013,606 25,410 39,016 
Thereafter 27,221 38,233 65,454 
Total future minimum lease payments $114,705 $183,878 $298,583 
Less: Interest (21,721)(24,155)(45,876)
Present value of lease liabilities $92,984 $159,723 $252,707 
LEASES LEASES:
The Company has lease arrangements primarily related to real estate, vehicles and equipment. Finance leases primarily relate to vehicles. The Company assesses whether an arrangement is a lease, or contains a lease, upon inception of the related contract. A right-of-use asset and corresponding lease liability are not recorded for leases with an initial term of 12 months or less (“short-term leases”).
Variable lease payments, which primarily consist of real estate taxes, common area maintenance charges, insurance costs and other operating expenses, are not included in the operating lease right-of-use asset or operating lease liability balances and are recognized in the period in which the expenses are incurred. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain they will be exercised or not, respectively. Options to extend lease terms that are reasonably certain of exercise are recognized as part of the operating lease right-of-use asset and operating lease liability balances.
The Company is required to discount its future minimum lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, the incremental borrowing rate. The Company uses a portfolio approach to determine the incremental borrowing rate based on the geographic location of the lease and the remaining lease term. The incremental borrowing rate is calculated using a base line rate plus an applicable margin.
The following table summarizes operating lease costs, consisting of fixed lease costs, variable lease costs and short-term lease costs. Additionally, the table summarizes finance lease costs, consisting of amortization of right-of-use asset and interest on lease liabilities (in thousands):
Three months endedNine months ended
July 3,
2026		June 27,
2025		July 3,
2026		June 27,
2025
Lease costs:
Operating lease costs$11,456 $11,271 $34,060 $33,398 
Finance lease costs$11,551 $10,604 $33,684 $31,074 
Supplemental cash flow information related to leases for the periods reported was as follows (in thousands):
Nine months ended
July 3,
2026		June 27,
2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases
$20,788 $18,391 
Operating cash flows from finance leases 5,706 5,340 
Financing cash flows from finance leases 28,220 25,630 
Three months endedNine months ended
July 3,
2026		June 27,
2025		July 3,
2026		June 27,
2025
Lease assets obtained in exchange for lease obligations:
Operating leases
$1,412 $10,234 $10,724 $26,513 
Finance leases
$5,050 $9,158 $22,432 $31,898 
Other information related to operating lease right-of-use assets, and lease liabilities was as follows:

July 3,
2026		October 3,
2025
Weighted average remaining lease term (in years)
Operating leases 5.45.8
Finance leases 5.55.8
Weighted average discount rate
Operating leases 7.2 %6.9 %
Finance leases 4.2 %4.7 %
Future minimum lease payments under non-cancelable leases as of July 3, 2026 are as follows (in thousands):
Operating leasesFinance leasesTotal
2026 (remaining three months)$6,874 $10,845 $17,719 
202726,093 40,995 67,088 
202822,817 36,792 59,609 
202918,094 31,603 49,697 
203013,606 25,410 39,016 
Thereafter 27,221 38,233 65,454 
Total future minimum lease payments $114,705 $183,878 $298,583 
Less: Interest (21,721)(24,155)(45,876)
Present value of lease liabilities $92,984 $159,723 $252,707