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Income Tax (Tables) | 12 Months Ended
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Dec. 30, 2023
Income Tax Disclosure [Abstract] |
Summary of Income Tax Provision for Continuing Operations | The income tax provision for continuing operations is made up of the following components:
(In thousands) | 2023 |  |  | 2022 |  |  | 2021 |
Current income tax expense: |  |  |  |  |  |  |  |  |  |  |
Federal | $ |  | 6,698 |  |  | $ |  | 8,585 |  |  | $ |  | 5,436 |
State |  |  | 2,961 |  |  |  |  | 2,397 |  |  |  |  | 1,867 |
Total current income tax expense |  |  | 9,659 |  |  |  |  | 10,982 |  |  |  |  | 7,303 |
Deferred income tax expense: |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 6,546 |  |  |  |  | 46 |  |  |  |  | 14,877 |
State |  |  | 1,683 |  |  |  |  | 1,369 |  |  |  |  | 2,726 |
Total deferred income tax expense |  |  | 8,229 |  |  |  |  | 1,415 |  |  |  |  | 17,603 |
Total income tax expense | $ |  | 17,888 |  |  | $ |  | 12,397 |  |  | $ |  | 24,906 |
Reconciliation of Statutory Federal Rate to Effective Rate | A reconciliation of the statutory federal rate to the effective rate is as follows:
| 2023 |  | 2022 |  | 2021
Federal statutory income tax rate |  | 21.0 |  | % |  |  | 21.0 |  | % |  |  | 21.0 |  | %
Stock compensation |  | (0.9 | ) |  |  |  | (2.8 | ) |  |  |  | 0.0 |  |
Non-deductible expenses |  | 3.4 |  |  |  |  | 5.5 |  |  |  |  | 1.7 |  |
Change in tax contingencies |  | (1.3 | ) |  |  |  | (0.1 | ) |  |  |  | 0.0 |  |
Charitable product donations |  | (0.2 | ) |  |  |  | (0.3 | ) |  |  |  | (0.1 | ) |
Other, net |  | (0.3 | ) |  |  |  | 0.1 |  |  |  |  | (0.3 | ) |
State taxes, net of federal income tax benefit |  | 5.3 |  |  |  |  | 6.7 |  |  |  |  | 3.8 |  |
Tax credits |  | (1.5 | ) |  |  |  | (3.7 | ) |  |  |  | (0.9 | ) |
Effective income tax rate |  | 25.5 |  | % |  |  | 26.4 |  | % |  |  | 25.2 |  | %
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities resulting from temporary differences as of December 30, 2023 and December 31, 2022 are as follows:
| December 30, |  |  | December 31, |
(In thousands) | 2023 |  |  | 2022 |
Deferred tax assets: |  |  |  |  |  |  |
Employee benefits | $ |  | 21,074 |  |  | $ |  | 27,387 |
Accrued workers' compensation |  |  | 2,082 |  |  |  |  | 2,126 |
Allowance for credit losses |  |  | 1,500 |  |  |  |  | 1,823 |
Restructuring |  |  | 601 |  |  |  |  | 655 |
Deferred revenue |  |  | 987 |  |  |  |  | 1,266 |
Stock warrant |  |  | 31 |  |  |  |  | 626 |
Lease liabilities |  |  | 82,970 |  |  |  |  | 82,284 |
Accrued insurance |  |  | 1,045 |  |  |  |  | 985 |
State net operating loss carryforwards (a) |  |  | 5,507 |  |  |  |  | 5,608 |
All other |  |  | 8,538 |  |  |  |  | 4,433 |
Total deferred tax assets |  |  | 124,335 |  |  |  |  | 127,193 |
Valuation allowances |  |  | (399 | ) |  |  |  | (357 | )
Net deferred tax assets |  |  | 123,936 |  |  |  |  | 126,836 |
Deferred tax liabilities: |  |  |  |  |  |  |
Property and equipment |  |  | 49,038 |  |  |  |  | 48,251 |
Lease assets |  |  | 74,472 |  |  |  |  | 73,986 |
Inventory |  |  | 31,618 |  |  |  |  | 33,290 |
Goodwill |  |  | 36,936 |  |  |  |  | 33,606 |
Intangible assets |  |  | 2,200 |  |  |  |  | 1,195 |
All other |  |  | 3,576 |  |  |  |  | 2,801 |
Total deferred tax liabilities |  |  | 197,840 |  |  |  |  | 193,129 |
Net deferred tax liability | $ |  | 73,904 |  |  | $ |  | 66,293 |
(a) As of December 30, 2023, the Company’s state net operating loss carryforwards in various taxing jurisdictions expire in tax years 2024 through 2043 if not utilized.
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
(In thousands) | 2023 |  |  | 2022 |
Balance at beginning of year | $ |  | 1,165 |  |  | $ |  | 1,220 |
Lapsed statutes of limitations |  |  | (185 | ) |  |  |  | (55 | )
Effectively settled |  |  | (836 | ) |  |  |  | — |
Balance at end of year | $ |  | 144 |  |  | $ |  | 1,165 |

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