v3.26.1
Leases
 7 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Leases Leases
Substantially all current lease activity comes from two active facilities near the Company’s owned headquarters facility in Chaska, Minnesota. Additionally, an operating lease liability for the abandoned headquarters of the Company’s former Curation Foods businesses in Santa Maria, California was settled with the landlord in March 2025 for a gain of $2,642. None of the Company’s other leases are material to the periods presented.
In January 2016, a lease commenced for the Company’s warehouse and final packaging building in Chaska, Minnesota. The lease has since been amended twice to accomplish the following: (i) to extend the term of the lease to September 2034, (ii) to add a purchase option equal to the balance of the lessor’s mortgage loan, valued at $3,100 as of December 31, 2025; and (iii) to provide a $2,400 cash payment to the Company in October 2024 in exchange for an increased rent payment schedule and the updated purchase option. The lease is classified as a finance lease and has a discount rate of 9%, which was the Company’s incremental borrowing rate at the time of the most recent amendment to the lease in August 2024.
In January 2021, a lease commenced for the Company’s warehouse and office space in Chanhassen, Minnesota. The lease expires in March 2028 with an option to extend through March 2033 that the Company is reasonably certain to exercise. The lease is classified as an operating lease and has a discount rate of 3%, which was the Company’s incremental borrowing rate at lease inception.
The components of lease cost were as follows:
May 26, 2025 throughYear endedYear ended
December 31, 2025May 25, 2025May 26, 2024
Finance lease cost:
Amortization of leased assets$93 $160 $137 
Interest on lease liabilities304 456 373 
Operating lease cost172 336 344 
Variable lease cost— — 306 
Sublease income— — (148)
Total lease cost$569 $952 $1,012 
The Company’s maturity analysis of operating and finance lease liabilities as of December 31, 2025 are as follows:
Operating
leases		Finance
leases
2026$410 $691 
2027414 707 
2028144 725 
2029148 729 
2030153 724 
Thereafter348 5,975 
Total lease payments1,617 9,551 
Less: interest(125)(3,676)
Present value of lease liabilities$1,492 $5,875 
Classification on consolidated balance sheet:
Accrued expenses and other current liabilities (see note 7)
$372 $181 
Debt, net of current portion
— 5,694 
Other liabilities
1,120 — 
Present value of lease liabilities$1,492 $5,875 
Supplemental cash flow information related to leases are as follows:
May 26, 2025 throughYear endedYear ended
December 31, 2025May 25, 2025May 26, 2024
Cash paid (received) for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $237 $445 $761 
Operating cash flows from finance leases 304 443 373 
Financing cash flows from finance leases 90 (2,230)136 
Lease liabilities arising from obtaining right-of-use assets:
Finance leases
— 2,737 — 
Leases Leases
Substantially all current lease activity comes from two active facilities near the Company’s owned headquarters facility in Chaska, Minnesota. Additionally, an operating lease liability for the abandoned headquarters of the Company’s former Curation Foods businesses in Santa Maria, California was settled with the landlord in March 2025 for a gain of $2,642. None of the Company’s other leases are material to the periods presented.
In January 2016, a lease commenced for the Company’s warehouse and final packaging building in Chaska, Minnesota. The lease has since been amended twice to accomplish the following: (i) to extend the term of the lease to September 2034, (ii) to add a purchase option equal to the balance of the lessor’s mortgage loan, valued at $3,100 as of December 31, 2025; and (iii) to provide a $2,400 cash payment to the Company in October 2024 in exchange for an increased rent payment schedule and the updated purchase option. The lease is classified as a finance lease and has a discount rate of 9%, which was the Company’s incremental borrowing rate at the time of the most recent amendment to the lease in August 2024.
In January 2021, a lease commenced for the Company’s warehouse and office space in Chanhassen, Minnesota. The lease expires in March 2028 with an option to extend through March 2033 that the Company is reasonably certain to exercise. The lease is classified as an operating lease and has a discount rate of 3%, which was the Company’s incremental borrowing rate at lease inception.
The components of lease cost were as follows:
May 26, 2025 throughYear endedYear ended
December 31, 2025May 25, 2025May 26, 2024
Finance lease cost:
Amortization of leased assets$93 $160 $137 
Interest on lease liabilities304 456 373 
Operating lease cost172 336 344 
Variable lease cost— — 306 
Sublease income— — (148)
Total lease cost$569 $952 $1,012 
The Company’s maturity analysis of operating and finance lease liabilities as of December 31, 2025 are as follows:
Operating
leases		Finance
leases
2026$410 $691 
2027414 707 
2028144 725 
2029148 729 
2030153 724 
Thereafter348 5,975 
Total lease payments1,617 9,551 
Less: interest(125)(3,676)
Present value of lease liabilities$1,492 $5,875 
Classification on consolidated balance sheet:
Accrued expenses and other current liabilities (see note 7)
$372 $181 
Debt, net of current portion
— 5,694 
Other liabilities
1,120 — 
Present value of lease liabilities$1,492 $5,875 
Supplemental cash flow information related to leases are as follows:
May 26, 2025 throughYear endedYear ended
December 31, 2025May 25, 2025May 26, 2024
Cash paid (received) for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $237 $445 $761 
Operating cash flows from finance leases 304 443 373 
Financing cash flows from finance leases 90 (2,230)136 
Lease liabilities arising from obtaining right-of-use assets:
Finance leases
— 2,737 —