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Revenues
 6 Months Ended
Jun. 30, 2021
Revenue from Contract with Customer [Abstract]  
Revenues Revenues
Our revenues are derived primarily from two sales channels, which we operate as one segment: company restaurants and franchised and licensed restaurants. The following table disaggregates our revenue by sales channel and type of good or service:

 Quarter EndedTwo Quarters Ended
 June 30, 2021June 24, 2020June 30, 2021June 24, 2020
 (In thousands)
Company restaurant sales$47,572 $15,128 $81,141 $57,419 
Franchise and license revenue:
Royalties27,117 6,719 47,961 30,566 
Advertising revenue18,600 7,232 32,711 24,758 
Initial and other fees2,066 1,346 3,904 3,043 
Occupancy revenue 10,810 9,736 21,024 21,070 
Franchise and license revenue 
58,593 25,033 105,600 79,437 
Total operating revenue$106,165 $40,161 $186,741 $136,856 

Franchise occupancy revenue consisted of the following:

 Quarter EndedTwo Quarters Ended
 June 30, 2021June 24, 2020June 30, 2021June 24, 2020
 (In thousands)
Operating lease revenue$7,668 $8,060 $15,581 $16,682 
Variable lease revenue
3,142 1,676 5,443 4,388 
Total occupancy revenue
$10,810 $9,736 $21,024 $21,070 

Balances related to contracts with customers consist of receivables, deferred franchise revenue and deferred gift card revenue. See Note 3 for details on our receivables.
Deferred franchise revenue consists primarily of the unamortized portion of initial franchise fees that are currently being amortized into revenue and amounts related to development agreements and unopened restaurants that we will begin amortizing into revenue when the related restaurants are opened. Deferred franchise revenue represents our remaining performance obligations to our franchisees, excluding amounts of variable consideration related to sales-based royalties and advertising.

The components of the change in deferred franchise revenue are as follows:

 (In thousands)
Balance, December 30, 2020$20,806 
Fees received from franchisees303 
Revenue recognized (1)
(1,175)
Balance, June 30, 202119,934 
Less current portion included in other current liabilities1,946 
Deferred franchise revenue included in other noncurrent liabilities$17,988 

(1) Of this amount $1.2 million was included in the deferred franchise revenue balance as of December 30, 2020.
Deferred gift card liabilities consist of the unredeemed portion of gift cards sold in company restaurants and at third party locations. The balance of deferred gift card liabilities represents our remaining performance obligations to our customers. The balance of deferred gift card liabilities as of June 30, 2021 and December 30, 2020 was $5.6 million and $6.1 million, respectively. During the two quarters ended June 30, 2021, we recognized revenue of $0.2 million from gift card redemptions at company restaurants.