Income Taxes (Tables)
|
12 Months Ended |
Dec. 28, 2025 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of Income (Loss) Before Income Tax |
Income (loss) before income taxes included the following components for the fiscal years ended December 28, 2025, December 29, 2024, and December 31, 2023 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
2023 |
| U.S. |
|
$ |
(23,019) |
|
|
$ |
(77,641) |
|
|
$ |
(20,894) |
|
| Foreign |
|
(7) |
|
|
10 |
|
|
(24) |
|
Income (loss) before income taxes |
|
$ |
(23,026) |
|
|
$ |
(77,631) |
|
|
$ |
(20,918) |
|
|
| Schedule of Provision (Benefit) for Income Taxes |
Income tax (benefit) expense included the following components for the fiscal years ended December 28, 2025, December 29, 2024, and December 31, 2023 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
2023 |
| Current: |
|
|
|
|
|
|
| Federal |
|
$ |
(11) |
|
|
$ |
(37) |
|
|
$ |
37 |
|
| State |
|
269 |
|
|
(53) |
|
|
273 |
|
| Foreign |
|
— |
|
|
— |
|
|
— |
|
Total current income tax (benefit) expense |
|
$ |
258 |
|
|
$ |
(90) |
|
|
$ |
310 |
|
| Deferred: |
|
|
|
|
|
|
| Federal |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
| State |
|
— |
|
|
— |
|
|
— |
|
| Foreign |
|
— |
|
|
— |
|
|
— |
|
Total deferred income tax (benefit) expense |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
Income tax (benefit) expense, net |
|
$ |
258 |
|
|
$ |
(90) |
|
|
$ |
310 |
|
|
| Schedule of Reconciliation of Income Tax Provision that would Result from Applying the Federal Statutory Rate to Income Tax Provision |
The reconciliation between the income tax (benefit) expense and the amount of income tax computed by applying the U.S. federal statutory rate to income (loss) before income taxes as shown in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for fiscal years ended December 28, 2025, December 29, 2024, and December 31, 2023 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
2023 |
|
|
Amount |
|
% |
|
Amount |
|
% |
|
Amount |
|
% |
| Tax provision at U.S. federal statutory rate |
|
$ |
(4,835) |
|
|
21.0 |
% |
|
$ |
(16,257) |
|
|
21.0 |
% |
|
$ |
(4,382) |
|
|
21.0 |
% |
State and local income tax, net of federal (national) income tax effect(1)
|
|
220 |
|
|
(1.0) |
|
|
(512) |
|
|
0.7 |
|
|
(15) |
|
|
0.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign tax effects |
|
317 |
|
|
(1.4) |
|
|
(586) |
|
|
0.8 |
|
|
121 |
|
|
(0.6) |
|
Changes in valuation allowance |
|
3,512 |
|
|
(15.2) |
|
|
14,321 |
|
|
(18.6) |
|
|
2,868 |
|
|
(13.8) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nontaxable or nondeductible items |
|
546 |
|
|
(2.4) |
|
|
621 |
|
|
(0.8) |
|
|
698 |
|
|
(3.3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other |
|
498 |
|
|
(2.1) |
|
|
2,323 |
|
|
(3.0) |
|
|
1,020 |
|
|
(4.9) |
|
| Effective tax rate |
|
$ |
258 |
|
|
(1.1) |
% |
|
$ |
(90) |
|
|
0.1 |
% |
|
$ |
310 |
|
|
(1.5) |
% |
(1) State taxes in California, Colorado, Illinois, Oregon, and Texas made up the majority (greater than 50%) of the tax effect in this category.
|
| Schedule of the Company's Total Deferred Tax Assets and Liabilities |
The Company's federal and state deferred taxes as of December 28, 2025 and December 29, 2024 were as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
| Deferred tax assets: |
|
|
|
|
| Leasing transactions |
|
$ |
92,318 |
|
|
$ |
104,831 |
|
| General business and other tax credits |
|
39,718 |
|
|
41,009 |
|
| Net operating loss carryover |
|
50,302 |
|
|
50,688 |
|
| Accrued compensation and related costs |
|
4,907 |
|
|
4,810 |
|
| Goodwill |
|
7,332 |
|
|
7,250 |
|
| Stock-based compensation |
|
5,933 |
|
|
6,423 |
|
| Advanced payments |
|
— |
|
|
— |
|
| Interest expense |
|
21,670 |
|
|
15,938 |
|
Property & Equipment |
|
7,463 |
|
|
8,318 |
|
| Other non-current deferred tax assets |
|
1,561 |
|
|
1,594 |
|
| Subtotal |
|
$ |
231,204 |
|
|
$ |
240,861 |
|
| Valuation allowance |
|
$ |
(141,148) |
|
|
$ |
(136,595) |
|
| Total |
|
$ |
90,056 |
|
|
$ |
104,266 |
|
|
|
|
|
|
| Deferred tax liabilities: |
|
|
|
|
| Leasing transactions |
|
$ |
(80,035) |
|
|
$ |
(89,804) |
|
| Property and equipment |
|
— |
|
|
— |
|
| Supplies inventory |
|
(4,114) |
|
|
(4,349) |
|
| Prepaid expenses |
|
(1,282) |
|
|
(1,862) |
|
| Advanced Payments |
|
(1,056) |
|
|
(364) |
|
| Other non-current deferred tax liabilities |
|
(3,569) |
|
|
(7,887) |
|
| Total |
|
$ |
(90,056) |
|
|
$ |
(104,266) |
|
|
|
|
|
|
| Net deferred tax asset |
|
$ |
— |
|
|
$ |
— |
|
|
| Schedule of the Company's Unrecognized Tax Benefits |
The following table summarizes the Company's unrecognized tax benefits as of December 28, 2025, December 29, 2024, and December 31, 2023 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
2023 |
| Beginning of year |
|
$ |
51 |
|
|
$ |
185 |
|
|
$ |
185 |
|
| Increase due to current year tax positions |
|
— |
|
|
— |
|
|
— |
|
| Due to decrease to a position taken in a prior year |
|
— |
|
|
— |
|
|
— |
|
| Settlements |
|
— |
|
|
— |
|
|
— |
|
| Reductions related to lapses in the statute of limitations |
|
(51) |
|
|
(134) |
|
|
— |
|
| End of year |
|
$ |
— |
|
|
$ |
51 |
|
|
$ |
185 |
|
|
| Schedule of Cash Flow Supplemental Disclosures |
Supplemental cash flow information related to leases are as follows (in thousands, except other information):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended |
|
|
December 28, 2025 |
|
December 29, 2024 |
|
December 31, 2023 |
Cash flows from operating activities: |
|
|
|
|
|
|
| Cash paid related to lease liabilities |
|
|
|
|
|
|
| Operating leases |
|
$ |
80,358 |
|
|
$ |
83,043 |
|
|
$ |
80,469 |
|
| Finance leases |
|
385 |
|
|
438 |
|
|
520 |
|
Cash flows from financing activities: |
|
|
|
|
|
|
| Cash paid related to lease liabilities |
|
|
|
|
|
|
| Finance leases |
|
$ |
1,036 |
|
|
$ |
923 |
|
|
$ |
898 |
|
| Cash paid for amounts included in the measurement of lease liabilities |
|
$ |
81,779 |
|
|
$ |
84,404 |
|
|
$ |
81,887 |
|
|
|
|
|
|
|
|
| Right of use assets obtained in exchange for operating lease obligations |
|
$ |
20,446 |
|
|
$ |
26,089 |
|
|
$ |
53,915 |
|
| Right of use assets obtained in exchange for finance lease obligations |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
81 |
|
|
|
|
|
|
|
|
| Other information related to operating leases as follows: |
|
|
|
|
|
|
| Weighted average remaining lease term |
|
7.69 |
|
8.25 |
|
8.68 |
| Weighted average discount rate |
|
9.11 |
% |
|
8.62 |
% |
|
8.15 |
% |
|
|
|
|
|
|
|
| Other information related to financing leases as follows: |
|
|
|
|
|
|
| Weighted average remaining lease term |
|
7.64 |
|
8.47 |
|
9.34 |
| Weighted average discount rate |
|
4.83 |
% |
|
4.85 |
% |
|
4.87 |
% |
The following table summarizes the Company's net cash paid (refunds received) for income taxes, which consisted of the following as of December 28, 2025, December 29, 2024, and December 31, 2023 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
2023 |
Federal |
|
$ |
72 |
|
|
$ |
21 |
|
|
$ |
50 |
|
Aggregated state and local jurisdictions |
|
53 |
|
|
96 |
|
|
168 |
|
Disaggregated state and local jurisdictions |
|
|
|
|
|
|
Maryland |
|
(293) |
|
|
(191) |
|
|
— |
|
Oregon |
|
50 |
|
|
55 |
|
|
43 |
|
Pennsylvania |
|
31 |
|
|
31 |
|
|
118 |
|
Texas |
|
57 |
|
|
71 |
|
|
75 |
|
Foreign |
|
— |
|
|
— |
|
|
— |
|
Net (refunds received) cash paid for income taxes |
|
$ |
(30) |
|
|
$ |
83 |
|
|
$ |
454 |
|
|