Accrued liabilities consisted of the following: | | | | | | | | | | | | | | | | (in thousands) | | August 1, 2026 | | August 2, 2025 | | Compensation and related benefits | | $ | 26,408 | | | $ | 21,425 | | | Advertising | | 9,744 | | | 10,712 | | | Sales taxes | | 6,328 | | | 5,785 | | | Shipping and freight | | 8,624 | | | 10,546 | | | Accrued accounts payable | | 4,697 | | | 4,189 | | | Inventory purchases | | 11,537 | | | 13,007 | | | Sales refund reserve | | 8,599 | | | 7,419 | | Settlement accrual(1) | | 32,000 | | | — | | | Other | | 1,830 | | | 3,265 | | | Total accrued liabilities | | $ | 109,767 | | | $ | 76,348 | |
(1) Settlement accrual is related to a specific class action lawsuit and is within the limits of the Company’s insurance policies. Refer to Note 8 herein for additional information.
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