XML 30 R16.htm IDEA: XBRL DOCUMENT

Share-Based Compensation

12 Months Ended

Aug. 01, 2025

Share-Based Compensation

Share-Based Compensation

9.Share-Based Compensation

Stock Compensation Plans

The Company’s employee compensation plans are administered by the Compensation Committee of the Company’s Board of Directors (the “Committee”). The Committee is authorized to determine, at time periods within its discretion and subject to the direction of the Board of Directors, which employees will be granted awards, the number of shares covered by any awards granted, and within applicable limits, the terms and provisions relating to the exercise and vesting of any awards.

On November 19, 2020, the Company’s shareholders approved the 2020 Omnibus Incentive Plan (the “2020 Omnibus Plan”) which became effective on that date. The 2020 Omnibus Plan authorizes the following types of awards for employees and non-employee directors: stock options, stock appreciation rights, nonvested stock, restricted stock units, other share-based awards and performance awards. After the effective date of the 2020 Omnibus Plan, no additional awards could be granted under the Company’s 2010 Omnibus Incentive Stock and Incentive Plan (the “Prior Plan”).

The 2020 Omnibus Plan allows the Committee to grant awards for an aggregate of 1,033,441 shares, the number of shares that were available for issuance as of September 24, 2020 (the “Cutoff Date”) pursuant to the Prior Plan, plus the number of shares that became available for issuance pursuant to the terms of the Prior Plan following the Cutoff Date and prior to the effective date. However, this share reserve is increased by shares awarded under this and the Prior Plan which are forfeited, expired, settled for cash and shares withheld by the Company in payment of a tax withholding obligation after the effective date of the 2020 Omnibus Plan. Additionally, this share reserve was decreased by shares granted from the 2020 Omnibus Plan after the effective date. At August 01, 2025, the number of shares authorized for future issuance under the Company’s active plan is 925,994. At August 01, 2025, the number of outstanding awards under the 2020 Omnibus Plan and the Prior Plan was 544,988 and 1,259, respectively.

In 2025, the Company issued stock options to certain executives. These stock options have a contractual term of ten years and will vest in three equal installments on each anniversary of the grant date, subject to continued employment.

A summary of the Company’s stock option activity as of August 01, 2025, and changes during 2025 is presented in the following table:



					Weighted-Average	Weighted-Average
Stock Options		Shares			Price	Fair Value
Outstanding at August 02, 2024		—		$	—	—
Granted		119,232		$	45.96	17.83
Vested		—		$	—	—
Forfeited		—		$	—	—
Outstanding at August 01, 2025		119,232		$	45.96	17.83

The weighted-average grant-date fair value of the stock options granted during 2025 was $17.83. The weighted-average remaining contractual term of the stock options outstanding as of August 01, 2025, was 9.2 years, and the aggregate intrinsic value of the outstanding stock options was $1,558. The intrinsic value for stock options is defined as the difference between the current market value and the grant price. As of August 01, 2025, none of the stock options were exercisable and none were exercised during 2025.

The fair value of each option award was estimated on the date of grant using the Black-Scholes-Merton option pricing model, which incorporates the assumptions for inputs shown in the following table. The assumptions used are as follows:

●

The Company has not granted option awards in several years and does not have adequate historical exercise/cancellation behavior on which to base the expected life assumption. As such, the Company used the simplified method in SEC Staff Accounting Bulletin No. 107 and Staff Accounting Bulletin No. 110 to determine the expected life. Under this method, the expected term equals the vesting term plus original contractual term divided by two.

●

The expected volatility was measured using the Company’s daily stock price volatility over the last six years, which is commensurate with the expected term.

●

The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods within the contractual life of the option.

●

The expected dividend yield is based on the Company’s current dividend yield as the best estimate of projected dividend yield for periods within the contractual life of the option.


		2025
Expected term (in years)		6.0
Expected volatility		44.9	%
Risk-free interest rate		3.6	%
Dividend yield		2.2	%

The Company’s nonvested stock awards consist of the Company’s common stock, generally accrue dividend equivalents and vest over one to three years. The fair value of the Company’s nonvested stock awards which accrue dividends is equal to the market price of the Company’s stock at the date of the grant. Dividends are forfeited for any nonvested stock awards that do not vest.

The Company’s nonvested stock awards include its long-term performance plans which were established by the Committee for the purpose of rewarding certain officers with shares of the Company’s common stock if the Company achieves certain performance targets. The stock awards under the long-term performance plans are calculated or estimated based on achievement of financial performance measures.

The following table summarizes the performance periods and vesting periods for the Company’s nonvested stock awards under its long-term performance plans at August 01, 2025:


				Vesting Period
Long-Term Performance Plan (“LTPP”)		Performance Period		(in Years)
2025 LTPP		2025 – 2027		3
2024 LTPP		2024 – 2026		3
2023 LTPP		2023 – 2025		3

The following table summarizes the shares that have been accrued under the 2025 LTPP, 2024 LTPP and 2023 LTPP at August 01, 2025:


2025 LTPP		27,650
2024 LTPP		49,156
2023 LTPP		13,654

A summary of the Company’s nonvested stock activity as of August 01, 2025, and changes during 2025 are presented in the following table:


				Weighted-Average Grant
Nonvested Stock		Shares		Date Fair Value
Unvested at August 02, 2024		226,155		$	87.92
Granted		222,064			46.14
Vested		(96,204)			87.50
Forfeited		(15,460)			57.66
Unvested at August 01, 2025		336,555		$	61.86

The following table summarizes the total fair value of nonvested stock that vested for each of the three years:


		2025			2024			2023
Total fair value of nonvested stock		$	8,418		$	8,571		$	4,947

Compensation Expense

The following table highlights the components of share-based compensation expense for each of the three years:


		2025			2024			2023
Total compensation expense		$	11,742		$	10,298		$	9,045

The following table highlights the total unrecognized compensation expense related to the outstanding nonvested stock awards and nonvested stock units and the weighted-average periods over which the expense is expected to be recognized as of August 01, 2025:


			Stock Option			Nonvested
			Awards			Stock Awards
Total unrecognized compensation		$	1,031		$	7,237
Weighted-average period in years			1.54			1.72

During 2025, the Company issued 64,681 shares of its common stock resulting from the vesting of share-based compensation awards. Related tax withholding payments on these share-based compensation awards resulted in a net reduction to shareholders’ equity of $1,448.