PROPERTY AND EQUIPMENT

6 Months Ended

Jun. 30, 2024

Property, Plant and Equipment [Abstract]

Property and equipment are stated at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life. A summary of property and equipment is as follows:


(dollar amounts in thousands)	As of June 30, 2024		As of December 31, 2023
Kitchen equipment	$	95,447	$	89,814
Computers and other equipment	40,493		37,984
Furniture and fixtures	39,429		36,692
Leasehold improvements	277,333		262,191
Assets not yet placed in service	36,303		26,269
Total property and equipment	489,005		452,950
Less: accumulated depreciation	(212,727)		(186,048)
Property and equipment, net	$	276,278	$	266,902

Depreciation expense for the thirteen weeks ended June 30, 2024 and June 25, 2023 was $14.0 million and $12.0 million, respectively.

Depreciation expense for the twenty-six weeks ended June 30, 2024 and June 25, 2023 was $27.6 million and $23.1 million, respectively.

As of June 30, 2024, the Company had 13 facilities under construction due to open during fiscal year 2024. As of December 31, 2023, the Company had 7 facilities under construction, all of which were opened in fiscal year 2024. Depreciation commences after a store opens and the related assets are placed in service.

Total research and development cost for the thirteen weeks ended June 30, 2024 and June 25, 2023 was $0.3 million and $0.2 million, respectively. Total research and development cost for the twenty-six weeks ended June 30, 2024 and June 25, 2023 was $0.6 million and $0.5 million, respectively. Research and

development cost is recorded within general and administrative cost in the Company’s accompanying condensed consolidated statement of operations