AVNET INC Leases Disclosure
11. Leases
The components of lease cost related to the Company’s operating leases were as follows (in thousands):
Years Ended | |||||||||
June 28, | June 29, | July 1, | |||||||
2025 |
| 2024 |
| 2023 | |||||
Operating lease cost | $ | 64,349 | $ | 63,514 | $ | 67,478 | |||
Variable lease cost | 33,036 | 29,560 | 21,422 | ||||||
Total lease cost | $ | 97,385 | $ | 93,074 | $ | 88,900 | |||
Future minimum operating lease payments as of June 28, 2025, are as follows (in thousands):
Fiscal Year | ||
2026 | $ | 60,682 |
2027 | 41,206 | |
2028 |
| 29,736 |
2029 |
| 21,986 |
2030 |
| 14,800 |
Thereafter |
| 212,104 |
Total future operating lease payments | 380,514 | |
Total imputed interest on operating lease liabilities | (164,818) | |
Total operating lease liabilities | $ | 215,696 |
Other information pertaining to operating leases consists of the following:
Years Ended | |||||||||
June 28, | June 29, | July 1, | |||||||
2025 |
| 2024 | 2023 | ||||||
Operating Lease Term and Discount Rate | |||||||||
Weighted-average remaining lease term in years | 14.0 | 7.5 | 8.2 | ||||||
Weighted-average discount rate | 4.1 | % | 3.8 | % | 3.8 | % | |||
Supplemental Cash Flow Information (in thousands) | |||||||||
Cash paid for operating lease liabilities | $ | 58,474 | $ | 57,572 | $ | 58,111 | |||
Operating lease assets obtained from new operating lease liabilities | $ | 92,647 | $ | 47,668 | $ | 48,038 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Aug 15, 2025 | Showing above |
| 2024 | Aug 14, 2024 | |
| 2023 | Aug 18, 2023 | |
| 2022 | Aug 12, 2022 | |
| 2021 | Aug 13, 2021 | |
| 2020 | Aug 14, 2020 | |
| 2018 | Aug 17, 2018 | |
| 2017 | Aug 17, 2017 | |
| 2016 | Aug 12, 2016 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.