v3.24.2.u1
Leases (Tables)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2024
Leases [Abstract]    
Schedule of Real Estate Properties As of June 30, 2024, the nature of restaurants operated by the Company and its franchisees was as follows:
June 30,
2024
Company-operated restaurants:
Owned land and building155
Owned building and held long-term land leases145
Leased land and building111
Total Company-operated restaurants411
Franchisee-operated restaurants:
Company-owned properties leased to franchisees492
Company-leased properties subleased to franchisees1,173
Other franchisee-operated restaurants5,185
Total franchisee-operated restaurants6,850
Total Company-operated and franchisee-operated restaurants7,261
  
Lease, Cost  
The components of lease cost are as follows:
Three Months EndedSix Months Ended
June 30,
2024		July 2,
2023		June 30,
2024		July 2,
2023
Finance lease cost:
Amortization of finance lease assets$4,372 $4,058 $8,669 $8,121 
Interest on finance lease liabilities10,699 10,743 21,357 21,493 
15,071 14,801 30,026 29,614 
Operating lease cost21,524 21,429 43,225 42,878 
Variable lease cost (a)17,365 17,519 33,853 33,600 
Short-term lease cost1,226 1,461 2,620 2,967 
Total operating lease cost (b)40,115 40,409 79,698 79,445 
Total lease cost$55,186 $55,210 $109,724 $109,059 
_______________

(a)Includes expenses for executory costs of $10,033 and $10,172 for the three months ended June 30, 2024 and July 2, 2023, respectively, and $20,254 and $20,020 for the six months ended June 30, 2024 and July 2, 2023, respectively, for which the Company is reimbursed by sublessees.

(b)Includes $32,355 and $32,329 for the three months ended June 30, 2024 and July 2, 2023, respectively, and $64,073 and $62,927 for the six months ended June 30, 2024 and July 2, 2023, respectively, recorded to “Franchise rental expense” for leased properties that are subsequently leased to franchisees. Also includes $7,402 and $7,546 for the three months ended June 30, 2024 and July 2, 2023, respectively, and $14,790 and $15,411 for the six months ended June 30, 2024 and July 2, 2023, respectively, recorded to “Cost of sales” for leases for Company-operated restaurants.
Lease, Income  
The components of lease income are as follows:
Three Months EndedSix Months Ended
June 30,
2024		July 2,
2023		June 30,
2024		July 2,
2023
Sales-type and direct-financing leases:
Selling profit$88 $1,072 $72 $1,201 
Interest income (a)7,178 7,868 14,897 15,730 
Operating lease income42,950 40,629 84,447 82,785 
Variable lease income17,688 17,404 34,177 33,055 
Franchise rental income (b)$60,638 $58,033 $118,624 $115,840 
_______________

(a)Included in “Interest expense, net.”
(b)Includes sublease income of $45,049 and $42,961 recognized during the three months ended June 30, 2024 and July 2, 2023, respectively, and $87,832 and $85,912 recognized during the six months ended June 30, 2024 and July 2, 2023, respectively. Sublease income includes lessees’ variable payments to the Company for executory costs of $10,155 and $10,115 for the three months ended June 30, 2024 and July 2, 2023, respectively, and $20,244 and $19,893 for the six months ended June 30, 2024 and July 2, 2023, respectively.