What were the total capital expenditures for Aplus for the year ended December 31, 2023?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
s lease income from properties that we lease or sublease.
All Other Segment
All Other segment includes the Partnership's credit card services, franchise royalties and retail operations in Hawaii and New Jersey.
The following tables present financial information by segment for the years ended December 31, 2023, 2022 and 2021.
| Year Ended December 31, 2023 | |||||||
|---|---|---|---|---|---|---|---|
| Fuel Distribution and Marketing | All Other | Intersegment Eliminations | Totals | ||||
| Revenue | |||||||
| Motor fuel sales | $ | 21,908 | $ | 617 | $ | 22,525 | |
| Non-motor fuel sales | 148 | 244 | 392 | ||||
| Lease income | 139 | 12 | 151 | ||||
| Intersegment sales | 447 | — | (447) | — | |||
| Total revenue | $ | 22,642 | $ | 873 | $ (447) | $ | 23,068 |
| Net income and comprehensive income | $ | 394 | |||||
| Depreciation, amortization and accretion | 187 | ||||||
| Interest expense, net | 217 | ||||||
| Income tax expense | 36 | ||||||
| Non-cash unit-based compensation expense | 17 | ||||||
| Gain on disposal of assets | (7) | ||||||
| Unrealized gain on commodity derivatives | (21) | ||||||
| Inventory adjustments | 114 | ||||||
| Equity in earnings of unconsolidate |
Source: Item 22 — CONTRACTS (FDD page 68)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, the total capital expenditures for the year ended December 31, 2023, were $215. This figure represents the investments Aplus made in its business operations during that year. Capital expenditures are funds used by a company to acquire or upgrade physical assets such as property, buildings, or equipment. These expenditures are intended to improve the future performance of the company.
For a prospective Aplus franchisee, understanding the capital expenditures of the franchisor can provide insight into the company's growth strategy and investment in its infrastructure. Aplus's capital expenditures can reflect investments in new technologies, facility upgrades, or expansion into new markets. These investments can potentially benefit franchisees by enhancing the brand's competitiveness and attractiveness to customers.
It is important to note that this figure reflects Aplus's overall capital expenditures and may not directly correlate with the specific investments required by a new franchisee to start their own Aplus franchise. Prospective franchisees should carefully review Item 7 of the FDD, which outlines the estimated initial investment, including costs for real estate, equipment, and other startup expenses. Additionally, franchisees should inquire about any ongoing capital expenditure requirements or recommendations to maintain brand standards and operational efficiency.