Wingstop (WING) 10-Q 3 May 23 2023 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Apr. 01, 2023	May 02, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Apr. 01, 2023
Document Transition Report	false
Entity File Number	001-37425
Entity Registrant Name	WINGSTOP INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	47-3494862
Entity Address, Address Line One	15505 Wright Brothers Drive
Entity Address, City or Town	Addison
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75001
City Area Code	972
Local Phone Number	686-6500
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	WING
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		29,968,872
Entity Central Index Key	0001636222
Current Fiscal Year End Date	--12-30
Document Period Year Focus	2023
Document Fiscal Period Focus	Q1
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Apr. 01, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 196,198	$ 184,496
Restricted cash	13,281	13,296
Accounts receivable, net	10,137	9,461
Prepaid expenses and other current assets	3,061	4,252
Advertising fund assets, restricted	26,725	15,167
Total current assets	249,402	226,672
Property and equipment, net	71,518	66,851
Goodwill	62,514	62,514
Trademarks	32,700	32,700
Other non-current assets	26,467	26,438
Total assets	451,297	424,190
Current liabilities
Accounts payable	6,848	5,219
Other current liabilities	38,438	34,726
Current portion of debt	7,300	7,300
Advertising fund liabilities	26,725	15,167
Total current liabilities	79,311	62,412
Long-term debt, net	705,483	706,846
Deferred revenues, net of current	27,667	27,052
Deferred income tax liabilities, net	3,380	4,180
Other non-current liabilities	15,246	14,561
Total liabilities	831,087	815,051
Commitments and contingencies (see Note 7)
Stockholders' deficit
Common stock, $0.01 par value; 100,000,000 shares authorized; 29,968,872 and 29,932,668 shares issued and outstanding as of April 1, 2023 and December 31, 2022, respectively	300	300
Additional paid-in-capital	809	2,797
Retained deficit	(380,409)	(393,321)
Accumulated other comprehensive loss	(490)	(637)
Total stockholders' deficit	(379,790)	(390,861)
Total liabilities and stockholders' deficit	451,297	424,190
Customer relationships, net
Current assets
Customer relationships, net	$ 8,696	$ 9,015

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Apr. 01, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Common stock, par value (in USD per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	29,968,872	29,932,668
Common stock, shares outstanding (in shares)	29,968,872	29,932,668

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Apr. 01, 2023	Mar. 26, 2022
Revenue:
Total revenue		$ 108,721	$ 76,205
Costs and expenses:
Cost of sales	[1]	16,695	15,674
Advertising expenses		39,643	23,167
Selling, general and administrative		23,645	18,086
Depreciation and amortization		2,989	2,227
Loss on disposal of assets		77	444
Total costs and expenses		83,049	59,598
Operating income		25,672	16,607
Interest expense, net		4,573	4,192
Loss on debt extinguishment		0	814
Other expense		188	65
Income before income tax expense		20,911	11,536
Income tax expense		5,242	2,860
Net income		$ 15,669	$ 8,676
Earnings per share
Basic (in USD per share)		$ 0.52	$ 0.29
Diluted (in USD per share)		$ 0.52	$ 0.29
Weighted average shares outstanding
Basic (in shares)		29,947	29,851
Diluted (in shares)		30,031	29,974
Dividends per share (in USD per share)		$ 0.19	$ 4.17
Other comprehensive income (loss)
Currency translation adjustment		$ 147	$ (66)
Other comprehensive income (loss)		147	(66)
Comprehensive income		15,816	8,610
Royalty revenue, franchise fees and other
Revenue:
Total revenue		48,188	35,070
Advertising fees
Revenue:
Total revenue		37,463	22,539
Company-owned restaurant sales
Revenue:
Total revenue		$ 23,070	$ 18,596
[1]Cost of sales includes all operating expenses of company-owned restaurants, including advertising expenses, and excludes depreciation and amortization, which are presented separately.

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Deficit - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Deficit	Accumulated Other Comprehensive Loss
Balance at beginning of period (in shares) at Dec. 25, 2021		29,837,454
Balance at beginning of period at Dec. 25, 2021	$ (309,525)	$ 299	$ 463	$ (310,031)	$ (256)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	8,676			8,676
Shares issued under stock plans (in shares)		41,289
Shares issued under stock plans	125		125
Tax payments for restricted stock upon vesting (in shares)		(1,923)
Tax payments for restricted stock upon vesting	(298)			(298)
Stock-based compensation expense	2,191		2,191
Dividends declared on common stock and equivalents	(125,330)		(2,370)	(122,960)
Currency translation adjustment	(66)				(66)
Balance at end of period (in shares) at Mar. 26, 2022		29,876,820
Balance at end of period at Mar. 26, 2022	$ (424,227)	$ 299	409	(424,613)	(322)
Balance at beginning of period (in shares) at Dec. 31, 2022	29,932,668	29,932,668
Balance at beginning of period at Dec. 31, 2022	$ (390,861)	$ 300	2,797	(393,321)	(637)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	15,669			15,669
Shares issued under stock plans (in shares)		49,817
Shares issued under stock plans	111		111
Tax payments for restricted stock upon vesting (in shares)		(13,613)
Tax payments for restricted stock upon vesting	(2,292)			(2,292)
Stock-based compensation expense	3,345		3,345
Dividends declared on common stock and equivalents	(5,909)		(5,444)	(465)
Currency translation adjustment	$ 147				147
Balance at end of period (in shares) at Apr. 01, 2023	29,968,872	29,968,872
Balance at end of period at Apr. 01, 2023	$ (379,790)	$ 300	$ 809	$ (380,409)	$ (490)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Operating activities
Net income	$ 15,669	$ 8,676
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	2,989	2,227
Deferred income taxes	(800)	(490)
Stock-based compensation expense	3,345	2,191
Loss on disposal of assets	77	444
Amortization of debt issuance costs	515	373
Loss on debt extinguishment	0	814
Changes in operating assets and liabilities:
Accounts receivable	(676)	608
Prepaid expenses and other assets	1,647	263
Advertising fund assets and liabilities, net	9,605	9,403
Accounts payable and other current liabilities	2,633	(2,931)
Deferred revenue	654	(1,125)
Other non-current liabilities	40	(87)
Cash provided by operating activities	35,698	20,366
Investing activities
Purchases of property and equipment	(4,319)	(6,293)
Proceeds from sales of assets	0	1,479
Cash used in investing activities	(4,319)	(4,814)
Financing activities
Proceeds from exercise of stock options	111	125
Borrowings of long-term debt	0	250,000
Repayments of long-term debt	(1,825)	0
Payment of deferred financing costs and other debt-related costs	0	(5,442)
Tax payments for restricted stock upon vesting	(2,292)	(298)
Dividends paid	(6,081)	(5,294)
Cash provided by (used in) financing activities	(10,087)	239,091
Net increase in cash, cash equivalents, and restricted cash	21,292	254,643
Cash, cash equivalents, and restricted cash at beginning of period	205,715	54,906
Cash, cash equivalents, and restricted cash at end of period	227,007	309,549
Supplemental information:
Accrued capital expenditures	$ 6,668	$ 5,189

Basis of Presentation and Updat

Basis of Presentation and Update to Significant Accounting Policies	3 Months Ended
	Apr. 01, 2023
Accounting Policies [Abstract]
Basis of Presentation and Update to Significant Accounting Policies	Basis of Presentation and Update to Significant Accounting Policies Nature of operations. Wingstop Inc., together with its consolidated subsidiaries (collectively, “Wingstop” or the “Company”), is in the business of franchising and operating Wingstop restaurants. As of April 1, 2023, the Company had a total of 1,996 restaurants in its system. The Company’s restaurant base is approximately 98% franchised, with 1,953 franchised locations (including 243 international locations) and 43 company-owned restaurants as of April 1, 2023. Basis of presentation. The accompanying unaudited consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Consequently, financial information and disclosures normally included in financial statements prepared annually in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted. Balance sheet amounts are as of April 1, 2023 and December 31, 2022, and operating results are for the thirteen weeks ended April 1, 2023 and March 26, 2022. In the Company’s opinion, all necessary adjustments have been made for the fair presentation of the results of the interim periods presented. The results of operations for such interim periods are not necessarily indicative of the results to be expected for the full year. The accompanying interim unaudited consolidated financial statements should be read in conjunction with the audited financial statements and the related notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. Fiscal year. The Company uses a 52- or 53-week fiscal year that ends on the last Saturday of the calendar year. Fiscal years 2023 and 2022 have 52 and 53 weeks, respectively. Cash, Cash Equivalents, and Restricted Cash. Cash, cash equivalents, and restricted cash within the Consolidated Balance Sheets and the Consolidated Statements of Cash Flows as of April 1, 2023 and December 31, 2022 were as follows (in thousands): April 1, 2023 December 31, 2022 Cash and cash equivalents $ 196,198 $ 184,496 Restricted cash 13,281 13,296 Restricted cash, included in Advertising fund assets, restricted 17,528 7,923 Total cash, cash equivalents, and restricted cash $ 227,007 $ 205,715 Recently issued accounting pronouncements. We reviewed all recently issued accounting pronouncements and concluded that they were either not applicable or not expected to have a significant impact on our consolidated financial statements.

Earnings per Share

Earnings per Share	3 Months Ended
	Apr. 01, 2023
Earnings Per Share [Abstract]
Earnings per Share	Earnings per ShareBasic earnings per share is computed by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding for the reporting period. Diluted earnings per share reflects the potential dilution that could occur if securities convertible into, or other contracts to issue, common stock were exercised or converted into common stock. For the calculation of diluted earnings per share, the basic weighted average number of shares is increased by the dilutive effect of the exercise and vesting of stock options and restricted stock units, respectively, as determined using the treasury stock method. Basic weighted average shares outstanding is reconciled to diluted weighted average shares outstanding as follows (in thousands): Thirteen Weeks Ended April 1, March 26, Basic weighted average shares outstanding 29,947 29,851 Dilutive shares 84 123 Diluted weighted average shares outstanding 30,031 29,974

Dividends

Dividends	3 Months Ended
	Apr. 01, 2023
Dividends [Abstract]
Dividends	DividendsIn connection with the Company’s regular dividend program, on February 21, 2023, our Board of Directors declared a quarterly dividend of $0.19 per share of common stock, resulting in a total dividend of approximately $5.7 million. This dividend was paid on March 31, 2023 to stockholders of record as of March 10, 2023.Subsequent to the first quarter, on May 2, 2023, the Company’s Board of Directors declared a quarterly dividend of $0.19 per share of common stock for stockholders of record as of May 19, 2023. The regular quarterly dividend is to be paid on June 9, 2023, totaling approximately $5.7 million.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Apr. 01, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value is the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability. Assets and liabilities are classified using a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value as follows: Level 1 — Unadjusted quoted prices for identical instruments traded in active markets. Level 2 — Observable market-based inputs or unobservable inputs corroborated by market data. Level 3 — Unobservable inputs reflecting management’s estimates and assumptions. The carrying values of cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to their short-term nature. Fair value of debt and the investment in bonds issued by the Company’s United Kingdom master franchisee, Lemon Pepper Holdings Ltd. (“LPH”), are determined on a non-recurring basis, which results are summarized as follows (in thousands): Fair Value Hierarchy April 1, 2023 December 31, 2022 Carrying Value Fair Value Carrying Value Fair Value Securitized Financing Facility: 2020-1 Class A-2 Senior Secured Notes (1) Level 2 $ 474,000 $ 408,233 $ 475,200 $ 406,462 2022-1 Class A-2 Senior Secured Notes (1) Level 2 $ 248,750 $ 215,169 $ 249,375 $ 215,709 Investments in bonds of LPH (2) Level 3 $ 3,305 $ 4,030 $ 3,196 $ 3,906 (1) The fair value of the 2020-1 and 2022-1 Class A-2 Senior Secured Notes was estimated using available market information. (2) The fair value approximates discounted cash flows using current market rates for debt investments with similar maturities and credit risk. The Company also measures certain non-financial assets (primarily long-lived assets, intangible assets, and goodwill) at fair value on a non-recurring basis in connection with its periodic evaluations of such assets for potential impairment.

Income Taxes

Income Taxes	3 Months Ended
	Apr. 01, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income TaxesIncome tax expense and the effective tax rate were $5.2 million and 25.1%, respectively, for the thirteen weeks ended April 1, 2023, and $2.9 million and 24.8%, respectively, for the thirteen weeks ended March 26, 2022. The effective tax rate remained comparable to the prior fiscal first quarter.

Debt Obligations

Debt Obligations	3 Months Ended
	Apr. 01, 2023
Debt Disclosure [Abstract]
Debt Obligations	Debt Obligations Long-term debt consisted of the following components (in thousands): April 1, 2023 December 31, 2022 2020-1 Class A-2 Senior Secured Notes $ 474,000 $ 475,200 2022-1 Class A-2 Senior Secured Notes 248,750 249,375 Debt issuance costs, net of amortization (9,967) (10,429) Total debt 712,783 714,146 Less: current portion of debt (7,300) (7,300) Long-term debt, net $ 705,483 $ 706,846 The Company’s outstanding debt was issued by Wingstop Funding LLC, a limited-purpose, bankruptcy-remote, wholly-owned indirect subsidiary of Wingstop Inc. and consists of (i) Series 2020-1 2.84% Fixed Rate Senior Secured Notes, Class A-2 (the “2020 Class A-2 Notes”), (ii) Series 2022-1 3.734% Fixed Rate Senior Secured Notes, Class A-2 (the “2022 Class A-2 Notes”), and (iii) a revolving financing facility of Series 2022-1 Variable Funding Senior Notes, Class A-1 (the “2022 Variable Funding Notes,” and together with the 2022 Class A-2 Notes, the “2022 Notes”), which permits borrowings of up to a maximum principal amount of $200 million, subject to certain borrowing conditions, a portion of which may be used to issue letters of credit. No borrowings were outstanding under the 2022 Variable Funding Notes as of April 1, 2023 and December 31, 2022.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Apr. 01, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and ContingenciesThe Company is subject to legal proceedings, claims, and liabilities, such as employment-related claims and premises-liability cases, which arise in the ordinary course of business and are generally covered by insurance. In the opinion of management, the amount of ultimate liability with respect to such actions is not likely to have a material adverse impact on the Company’s financial position, results of operations, or cash flows.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Apr. 01, 2023
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation During the thirteen weeks ended April 1, 2023, the Company granted 38,338 restricted stock units (“RSUs”) to certain employees. The RSUs granted to certain employees generally vest in equal annual amounts over a three-year period, subsequent to the grant date and had a weighted-average grant-date fair value of $170.17 per unit. In addition, the Company granted 34,242 performance stock units (“PSUs”) to certain employees during the thirteen weeks ended April 1, 2023. Of the total PSUs granted, 27,258 PSUs are subject to a service condition and a performance vesting condition based on return on incremental invested capital (“ROI PSUs”). The ROI PSUs are generally eligible to cliff-vest approximately three years from the grant date, and the maximum vesting percentage that could be realized for each of the ROI PSUs is 250% based on the level of performance achieved for the awards. The remaining 6,984 PSUs granted are subject to a service condition and a performance vesting condition based on the number of net new restaurants opened over the performance period (“NNR PSUs”). The NNR PSUs vest in equal annual amounts over a three-year period, and the maximum vesting percentage that could be realized for each of the NNR PSUs is 100% based on the level of performance achieved for the awards. The PSUs had a weighted-average grant-date fair value of $169.77 per unit. Total compensation cost for the PSUs is determined based on the most likely outcome of the performance condition and the number of awards expected to vest based on the outcome.

Revenue from Contracts with Cus

Revenue from Contracts with Customers	3 Months Ended
	Apr. 01, 2023
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	Revenue from Contracts with Customers The following table represents a disaggregation of revenue from contracts with customers for the thirteen weeks ended April 1, 2023 and March 26, 2022 (in thousands): Thirteen Weeks Ended April 1, 2023 March 26, 2022 Royalty revenue $ 43,513 $ 32,204 Advertising fees and related income 37,463 22,539 Franchise fees 1,061 960

Subsequent Event

Subsequent Event	3 Months Ended
	Apr. 01, 2023
Subsequent Events [Abstract]
Subsequent Event	Subsequent EventSubsequent to the end of first fiscal quarter 2023, the Company acquired two existing restaurants in the Dallas, TX market from a franchisee. The total purchase price was $4.4 million, funded by cash on hand. The restaurant acquisitions are accounted for as business combinations and the Company is still determining the estimated fair value of assets acquired and liabilities assumed. The excess of the purchase price over the aggregate fair value of assets acquired will be allocated to goodwill. The results of operations of these locations will be included in our Consolidated Statements of Comprehensive Income as of the respective dates of acquisition.

Basis of Presentation and Upd_2

Basis of Presentation and Update to Significant Accounting Policies (Policies)	3 Months Ended
	Apr. 01, 2023
Accounting Policies [Abstract]
Fiscal Year	Fiscal year. The Company uses a 52- or 53-week fiscal year that ends on the last Saturday of the calendar year. Fiscal years 2023 and 2022 have 52 and 53 weeks, respectively.
Basis of presentation	Basis of presentation. The accompanying unaudited consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Consequently, financial information and disclosures normally included in financial statements prepared annually in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted. Balance sheet amounts are as of April 1, 2023 and December 31, 2022, and operating results are for the thirteen weeks ended April 1, 2023 and March 26, 2022. In the Company’s opinion, all necessary adjustments have been made for the fair presentation of the results of the interim periods presented. The results of operations for such interim periods are not necessarily indicative of the results to be expected for the full year. The accompanying interim unaudited consolidated financial statements should be read in conjunction with the audited financial statements and the related notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022.
Recently Issued Accounting Pronouncements	Recently issued accounting pronouncements. We reviewed all recently issued accounting pronouncements and concluded that they were either not applicable or not expected to have a significant impact on our consolidated financial statements.

Basis of Presentation and Upd_3

Basis of Presentation and Update to Significant Accounting Policies (Tables)	3 Months Ended
	Apr. 01, 2023
Accounting Policies [Abstract]
Schedule of Cash, Cash Equivalents, and Restricted Cash	Cash, Cash Equivalents, and Restricted Cash. Cash, cash equivalents, and restricted cash within the Consolidated Balance Sheets and the Consolidated Statements of Cash Flows as of April 1, 2023 and December 31, 2022 were as follows (in thousands): April 1, 2023 December 31, 2022 Cash and cash equivalents $ 196,198 $ 184,496 Restricted cash 13,281 13,296 Restricted cash, included in Advertising fund assets, restricted 17,528 7,923 Total cash, cash equivalents, and restricted cash $ 227,007 $ 205,715

Earnings per Share (Tables)

Earnings per Share (Tables)	3 Months Ended
	Apr. 01, 2023
Earnings Per Share [Abstract]
Schedule of Reconciliation of Basic Shares Outstanding to Diluted Shares Outstanding	Basic weighted average shares outstanding is reconciled to diluted weighted average shares outstanding as follows (in thousands): Thirteen Weeks Ended April 1, March 26, Basic weighted average shares outstanding 29,947 29,851 Dilutive shares 84 123 Diluted weighted average shares outstanding 30,031 29,974

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Apr. 01, 2023
Fair Value Disclosures [Abstract]
Schedule of Fair Value Measurements	Fair value of debt and the investment in bonds issued by the Company’s United Kingdom master franchisee, Lemon Pepper Holdings Ltd. (“LPH”), are determined on a non-recurring basis, which results are summarized as follows (in thousands): Fair Value Hierarchy April 1, 2023 December 31, 2022 Carrying Value Fair Value Carrying Value Fair Value Securitized Financing Facility: 2020-1 Class A-2 Senior Secured Notes (1) Level 2 $ 474,000 $ 408,233 $ 475,200 $ 406,462 2022-1 Class A-2 Senior Secured Notes (1) Level 2 $ 248,750 $ 215,169 $ 249,375 $ 215,709 Investments in bonds of LPH (2) Level 3 $ 3,305 $ 4,030 $ 3,196 $ 3,906 (1) The fair value of the 2020-1 and 2022-1 Class A-2 Senior Secured Notes was estimated using available market information. (2) The fair value approximates discounted cash flows using current market rates for debt investments with similar maturities and credit risk.

Debt Obligations (Tables)

Debt Obligations (Tables)	3 Months Ended
	Apr. 01, 2023
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	Long-term debt consisted of the following components (in thousands): April 1, 2023 December 31, 2022 2020-1 Class A-2 Senior Secured Notes $ 474,000 $ 475,200 2022-1 Class A-2 Senior Secured Notes 248,750 249,375 Debt issuance costs, net of amortization (9,967) (10,429) Total debt 712,783 714,146 Less: current portion of debt (7,300) (7,300) Long-term debt, net $ 705,483 $ 706,846

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	3 Months Ended
	Apr. 01, 2023
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue	The following table represents a disaggregation of revenue from contracts with customers for the thirteen weeks ended April 1, 2023 and March 26, 2022 (in thousands): Thirteen Weeks Ended April 1, 2023 March 26, 2022 Royalty revenue $ 43,513 $ 32,204 Advertising fees and related income 37,463 22,539 Franchise fees 1,061 960

Basis of Presentation and Upd_4

Basis of Presentation and Update to Significant Accounting Policies - Additional Information (Details)	3 Months Ended
	Apr. 01, 2023 restaurant
Franchisor Disclosure [Line Items]
Number of restaurants	1,996
Franchised Units
Franchisor Disclosure [Line Items]
Number of restaurants	1,953
Proportion of restaurants that are franchised (as a percent)	98%
Franchised Units | Non-US
Franchisor Disclosure [Line Items]
Number of restaurants	243
Entity operated units
Franchisor Disclosure [Line Items]
Number of restaurants	43

Basis of Presentation and Upd_5

Basis of Presentation and Update to Significant Accounting Policies - Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands	Apr. 01, 2023	Dec. 31, 2022	Mar. 26, 2022	Dec. 25, 2021
Accounting Policies [Abstract]
Cash and cash equivalents	$ 196,198	$ 184,496
Restricted cash	13,281	13,296
Restricted cash, included in Advertising fund assets, restricted	17,528	7,923
Total cash, cash equivalents, and restricted cash	$ 227,007	$ 205,715	$ 309,549	$ 54,906

Earnings per Share - Schedule o

Earnings per Share - Schedule of Reconciliation of Basic Shares Outstanding to Diluted Shares Outstanding (Details) - shares shares in Thousands	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Earnings Per Share [Abstract]
Basic weighted average shares outstanding (in shares)	29,947	29,851
Dilutive shares (in shares)	84	123
Diluted weighted average shares outstanding (in shares)	30,031	29,974

Earnings per Share - Additional

Earnings per Share - Additional Information (Details) - shares shares in Thousands	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Earnings Per Share [Abstract]
Equity awards outstanding (in shares)	13	8

Dividends (Details)

Dividends (Details) - USD ($) $ / shares in Units, $ in Millions			3 Months Ended
	May 02, 2023	Feb. 21, 2023	Apr. 01, 2023	Mar. 26, 2022	May 03, 2023
Dividends Payable [Line Items]
Dividends paid per share (in USD per share)			$ 0.19	$ 4.17
Subsequent event
Dividends Payable [Line Items]
Dividends payable per share (in USD per share)	$ 0.19
Dividends payable					$ 5.7
Dividend paid
Dividends Payable [Line Items]
Dividends paid per share (in USD per share)		$ 0.19
Dividends paid		$ 5.7

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Nonrecurring - USD ($) $ in Thousands	Apr. 01, 2023	Dec. 31, 2022
Level 3 | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments at fair value	$ 3,305	$ 3,196
Level 3 | Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments at fair value	4,030	3,906
2020-1 Class A-2 Senior Secured Note | Level 2 | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument at fair value	474,000	475,200
2020-1 Class A-2 Senior Secured Note | Level 2 | Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument at fair value	408,233	406,462
2022-1 Class A-2 Senior Secured Note | Level 2 | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument at fair value	248,750	249,375
2022-1 Class A-2 Senior Secured Note | Level 2 | Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument at fair value	$ 215,169	$ 215,709

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Income Tax Disclosure [Abstract]
Income tax expense	$ 5,242	$ 2,860
Effective income tax rate (as a percent)	25.10%	24.80%

Debt Obligations - Components o

Debt Obligations - Components of Long-term Debt (Details) - USD ($) $ in Thousands	Apr. 01, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Debt issuance costs, net of amortization	$ (9,967)	$ (10,429)
Total debt	712,783	714,146
Less: current portion of debt	(7,300)	(7,300)
Long-term debt, net	705,483	706,846
2020-1 Class A-2 Senior Secured Notes
Debt Instrument [Line Items]
Gross debt	474,000	475,200
2022-1 Class A-2 Senior Secured Notes
Debt Instrument [Line Items]
Gross debt	$ 248,750	$ 249,375

Debt Obligations - Additional I

Debt Obligations - Additional Information (Details) - USD ($)	Apr. 01, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Maximum borrowing capacity for line of credit	$ 200,000,000
2020-1 Class A-2 Senior Secured Notes
Debt Instrument [Line Items]
Senior secured note fixed interest rate (as a percent)	2.84%
2022-1 Class A-2 Senior Secured Notes
Debt Instrument [Line Items]
Senior secured note fixed interest rate (as a percent)	3.734%
2020 Variable Funding Notes | Line of Credit
Debt Instrument [Line Items]
Line of credit	$ 0	$ 0

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 3.3	$ 2.2
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSUs granted (in shares)	38,338
Vesting period (in years)	3 years
Weighted average grant date fair value of RSUs granted (in USD per share)	$ 170.17
Performance shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSUs granted (in shares)	34,242
Performance shares | Tranche one
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSUs granted (in shares)	27,258
Performance units, service period (in years)	3 years
Performance shares | PSUs based On operational targets
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSUs granted (in shares)	6,984
Performance units, service period (in years)	3 years
Performance shares | PSUs based On operational targets | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
PSU vesting (as a percent)	250%
Performance shares | Market-based vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant date fair value of RSUs granted (in USD per share)	$ 169.77
Performance shares | Market-based vesting | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
PSU vesting (as a percent)	100%

Revenue from Contracts with C_3

Revenue from Contracts with Customers - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2023	Mar. 26, 2022
Disaggregation of Revenue [Line Items]
Total revenue	$ 108,721	$ 76,205
Royalty revenue
Disaggregation of Revenue [Line Items]
Total revenue	43,513	32,204
Advertising fees and related income
Disaggregation of Revenue [Line Items]
Total revenue	37,463	22,539
Franchise fees
Disaggregation of Revenue [Line Items]
Total revenue	$ 1,061	$ 960

Revenue from Contracts with C_4

Revenue from Contracts with Customers - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Apr. 01, 2023	Dec. 31, 2022
Disaggregation of Revenue [Line Items]
Average franchise license term (in years)	10 years
Deferred revenue not yet being amortized	$ 8.4	$ 7.7
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-02
Disaggregation of Revenue [Line Items]
Remaining amortization period for deferred revenue related to open restaurants (in years)	7 years 1 month 6 days

Subsequent Event (Details)

Subsequent Event (Details) - Existing restaurants from franchisees - Subsequent event $ in Millions	1 Months Ended
	May 03, 2023 USD ($) restaurant
Subsequent Event [Line Items]
Total purchase price | $	$ 4.4
Entity operated units
Subsequent Event [Line Items]
Number of restaurants re-franchised | restaurant	2