Company: CHEF
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001628280-25-036589
Chunk: 43

Company: Chefs' Warehouse, Inc.
Filing Date: 2025-07-30
Form: 10-Q
Item: Item 8
Chunk 43
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17,455 Add effect of dilutive securities   Interest on convertible notes, net of tax1,226 1,322 2,451 2,628 Net income available to common shareholders$22,467 $16,846 $33,980 $20,083 Denominator:   Weighted average basic common shares outstanding38,883,019 37,924,931 38,788,843 37,871,080 Dilutive effect of unvested common shares581,013 573,930 700,950 642,767 Dilutive effect of stock options and warrants72,125 56,050 70,933 52,397 Dilutive effect of convertible notes6,494,970 7,392,817 6,494,970 7,392,817 Weighted average diluted common shares outstanding46,031,127 45,947,728 46,055,696 45,959,061  Potentially dilutive securities that have been excluded from the calculation of diluted net income per common share because the effect is anti-dilutive are as follows: Thirteen Weeks EndedTwenty-Six Weeks Ended June 27, 2025June 28, 2024June 27, 2025June 28, 2024Restricted share awards (“RSAs”) and restricted stock units (“RSUs”)215,454 160,273 259,505 286,769 

11

Note 4 – Fair Value Measurements

 Assets and Liabilities Measured at Fair Value The Company’s contingent earn-out liabilities are measured at fair value. These liabilities were estimated using Level 3 inputs. The fair value of contingent consideration was predominantly determined based on a probability-based approach which includes projected results, percentage probability of occurrence and the application of a discount rate to present value the payments. A significant change in projected results, discount rate, or probabilities of occurrence could result in a significantly higher or lower fair value measurement. Changes in the fair value of contingent earn-out liabilities are reflected in other operating expenses, net on the condensed consolidated statements of operations.Contingent earn-out liabilities of $750 as of June 27, 2025 and December 27, 2024 are reflected as accrued liabilities on the Company’s condensed consolidated balance sheets. Contingent earn-out liability payments in excess of the acquisition date fair value of the