Leases
We have operating leases through which we utilize facilities, offices and equipment in our manufacturing operations, research and development activities and selling, general and administrative functions. Sublease income was not significant in any period presented. The components of operating lease expense were as follows:
Year endedAugust 29,
2025
August 30,
2024
August 25,
2023
Fixed lease cost$11,486 $12,894 $16,574 
Variable lease cost2,433 1,834 1,386 
Short-term lease cost1,903 2,086 2,266 
 $15,822 $16,814 $20,226 
Cash flows used for operating activities included payments for operating leases of $8.0 million, $9.0 million and $7.7 million in 2025, 2024 and 2023, respectively. Acquisitions of right-of-use assets were $10.5 million, $2.3 million and $10.8 million in 2025, 2024 and 2023, respectively.
As of August 29, 2025 and August 30, 2024, the weighted-average remaining lease term for our operating leases was 9.0 years and 10.1 years, respectively, and the weighted-average discount rate was 6.1% respectively. Certain of our operating leases include one or more options to extend the lease term for periods from two to five years. In determining the present value of our operating lease liabilities, we have assumed we will not extend any lease terms.
As of August 29, 2025, minimum payments of lease liabilities were as follows:
2026$9,687 
20279,615 
20289,606 
20299,665 
20309,835 
2031 and thereafter43,812 
 92,220 
Less imputed interest(23,734)
Present value of total lease liabilities$68,486 

Historical Timeline

Fiscal YearFiled
2025Oct 21, 2025Showing above
2024Oct 24, 2024
2023Oct 20, 2023
2022Oct 14, 2022
2021Oct 25, 2021
2017Oct 13, 2017

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.