Quarterly report [Sections 13 or 15(d)]

Commitments and Contingencies (Tables)

v3.25.3
Commitments and Contingencies (Tables)
 9 Months Ended
Sep. 25, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Components of Lease Expense
The table below presents components of lease expense for operating leases within the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income:
Thirteen Weeks Ended Thirty-nine Weeks Ended
in thousands September 25, 2025 September 26, 2024 September 25, 2025 September 26, 2024
Fixed operating lease cost: Selling and store operating $ 48,082  $ 44,648  $ 142,683  $ 131,223 
Cost of sales 13,457  6,551  37,377  19,464 
Pre-opening 2,429  3,988  5,684  11,202 
General and administrative 1,153  1,029  3,417  3,089 
Total fixed operating lease cost $ 65,121  $ 56,216  $ 189,161  $ 164,978 
Variable lease cost (1): Selling and store operating $ 19,132  $ 17,170  $ 61,559  $ 53,261 
Cost of sales 1,986  764  5,713  3,114 
Pre-opening 300  108  586  443 
General and administrative 541  718  1,337  1,875 
Total variable lease cost $ 21,959  $ 18,760  $ 69,195  $ 58,693 
Sublease income Cost of sales (333) (691) (1,963) (2,053)
Total operating lease cost (2) $ 86,747  $ 74,285  $ 256,393  $ 221,618 
(1)Includes variable costs for common area maintenance, property taxes, and insurance on leased real estate.
(2)Excludes short-term lease costs, which were immaterial for the thirteen and thirty-nine weeks ended September 25, 2025 and September 26, 2024.
Schedule of Future Minimum Lease Payments under Non Cancelable Operating Leases
Future minimum lease payments under non-cancelable operating leases as of September 25, 2025 were as follows:
in thousands Amount
Thirteen weeks ending December 25, 2025 $ 58,202 
2026 257,438 
2027 248,753 
2028 229,016 
2029 216,656 
Thereafter 1,615,652 
Total minimum lease payments (1) (2) 2,625,717 
Less: amount of lease payments representing interest 836,678 
Present value of future minimum lease payments 1,789,039 
Less: current obligations under leases 150,560 
Long-term lease obligations $ 1,638,479 
(1)Future lease payments exclude approximately $26.3 million of legally binding minimum lease payments for operating leases signed but not yet commenced.
(2)Operating lease payments include $288.7 million related to options to extend lease terms that are reasonably certain of being exercised.