11.    Leases

Components of lease expense were as follows (in thousands):

  ​ ​ ​

Fiscal Year

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Operating

$

168,504

$

154,233

$

145,774

Variable

92,798

90,686

 

87,047

Short-term

157

158

 

142

Total

$

261,459

$

245,077

$

232,963

Supplemental disclosures of cash flow information related to leases were as follows: (in thousands):

 

Fiscal Year

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Cash paid for amounts included in the measurement of lease liabilities:

Operating cash flows for operating leases

$

165,944

$

142,259

$

145,836

Right-of-use assets obtained in exchange for new operating lease liabilities

122,116

169,831

114,373

The weighted-average remaining lease term and discount rate were as follows:

  ​ ​ ​

Fiscal Year

 

2025

  ​ ​ ​

2024

 

Weighted-average remaining lease term — operating leases (in years)

 

14.4

14.7

Weighted-average discount rate — operating leases

 

5.8

%  

5.6

%

As of December 30, 2025, the maturities of our operating lease liabilities were as follows (in thousands):

Fiscal year 2026

  ​ ​ ​

$

173,093

Fiscal year 2027

 

166,279

Fiscal year 2028

 

175,894

Fiscal year 2029

 

158,211

Fiscal year 2030

141,426

Thereafter

 

1,476,059

Total future lease payments

2,290,962

Less: Interest

(791,201)

Present value of lease liabilities

$

1,499,761

Operating lease liabilities include $817.4 million related to options to extend lease terms that are reasonably certain of being exercised and exclude $291.3 million of legally binding minimum lease payments for leases signed but not yet commenced.

Historical Timeline

Fiscal YearFiled
2025Feb 23, 2026Showing above
2024Feb 24, 2025
2023Feb 27, 2023
2021Feb 22, 2022
2020Feb 24, 2021
2019Mar 12, 2020

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.