Leases The Company enters into lease arrangements to facilitate its operations, including manufacturing, storage, as well as engineering, sales, marketing and administration resources. The Company measures its lease obligations in accordance with ASC 842, which requires lessees to record a ROU asset and lease liability for most lease arrangements. Finance leases are not material to the Company's consolidated financial statements and therefore are excluded from the following disclosures.
SUPPLEMENTAL BALANCE SHEET INFORMATION
Supplemental operating lease balance sheet information is summarized as follows:
| | | | | | | | | | | | | | |
| | As of | | As of |
| | June 27, 2025 | | June 28, 2024 |
| Operating lease right-of-use assets, net | | $ | 52,264 | | | $ | 60,860 | |
| | | | |
| Accrued expenses(1) | | $ | 11,810 | | | $ | 11,614 | |
| Operating lease liabilities | | 52,738 | | | 62,584 | |
| Total operating lease liabilities | | $ | 64,548 | | | $ | 74,198 | |
(1) The short term portion of the Operating lease liabilities is included within Accrued expenses on the Consolidated Balance Sheet.
OTHER SUPPLEMENTAL INFORMATION
Other supplemental operating lease information is summarized as follows:
| | | | | | | | | | | | | | |
| | For the Fiscal Year Ended |
| | June 27, 2025 | | June 28, 2024 |
| Cash paid for amounts included in the measurement of operating lease liabilities | | $ | 11,401 | | | $ | 10,343 | |
Right-of-use assets obtained in exchange for new lease liabilities
| | $ | 2,261 | | | $ | 7,249 | |
| Weighted average remaining lease term | | 5.7 years | | 6.4 years |
| Weighted average discount rate | | 5.59 | % | | 5.50 | % |
| | | | |
MATURITIES OF LEASE COMMITMENTS
Maturities of operating lease commitments as of June 27, 2025 were as follows:
| | | | | | | | |
| Fiscal Year | | Totals |
| 2026 | | $ | 14,368 | |
| 2027 | | 14,203 | |
| 2028 | | 12,841 | |
| 2029 | | 11,045 | |
| 2030 | | 9,343 | |
| Thereafter | | 12,942 | |
| Total lease payments | | 74,742 | |
| Less: imputed interest | | (10,194) | |
| | |
| Present value of operating lease liabilities | | $ | 64,548 | |
During fiscal 2025, 2024 and 2023 the Company recognized operating lease expense of $14,587, $13,775, and $13,763, respectively. There were no material restrictions, covenants, sale and leaseback transactions, variable lease payments or residual value guarantees imposed by the Company's leases at June 27, 2025.