What was the total cost of sales and operating expenses for Aplus in 2023?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
| $ 6,826 | $ 6,830 |
|---|
The accompanying notes are an integral part of these consolidated financial statements.
SUNOCO LP CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Dollars in millions, except per unit data)
| Year Ended December 31, | |||||
|---|---|---|---|---|---|
| 2023 | 2022 | 2021 | |||
| REVENUES: | |||||
| Motor fuel sales | $ 22,525 | $ | 25,216 | $ | 17,152 |
| Non-motor fuel sales | 392 | 370 | 306 | ||
| Lease income | 151 | 143 | 138 | ||
| Total revenues | 23,068 | 25,729 | 17,596 | ||
| COST OF SALES AND OPERATING EXPENSES: | |||||
| Cost of sales | 21,703 | 24,350 | 16,246 | ||
| General and administrative | 126 | 120 | 109 | ||
| Other operating | 356 | 338 | 270 | ||
| Lease expense | 68 | 63 | 59 | ||
| Gain on disposal of assets | (7) | (13) | (14) | ||
| Depreciation, amortization and accretion | 187 | 193 | 177 | ||
| Total cost of sales and operating expenses | 22,433 | 25,051 | 16,847 | ||
| OPERATING INCOME | 635 | 678 | 749 | ||
| OTHER INCOME (EXPENSE): | |||||
| Interest expense, net | (217) | (182) | (163) | ||
| Other income, net | 7 | 1 | — | ||
| Equity in earnings of unconsolidated affiliates | 5 | 4 | 4 | ||
| Loss on extinguishment of debt | — | — | (36) | ||
| INCOME BEFORE INCOME TAXES | 430 | 501 | 554 | ||
| Income tax expense | 36 | 26 | 30 | ||
| NET INCOME AND COMPREHENSIVE INCOME | $ 394 | $ | 475 | $ | 524 |
| NET INCOME PER COMMON UNIT: | |||||
| Common units - basic | $ 3.70 | $ | 4.74 | $ | 5.35 |
| Common units - diluted | $ 3.65 | $ | 4.68 | $ | 5.28 |
| WEIGHTE |
Source: Item 22 — CONTRACTS (FDD page 68)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, the total cost of sales and operating expenses for the year ended December 31, 2023, was $22,433. This figure represents the sum of several expense categories, including the cost of sales ($21,703), general and administrative expenses ($126), other operating expenses ($356), lease expenses ($68), and depreciation, amortization, and accretion ($187), minus a gain on the disposal of assets (($7)).
Understanding the components of Aplus's cost of sales and operating expenses is crucial for potential franchisees. The cost of sales, which constitutes the largest portion of this total, likely includes the direct costs associated with motor fuel and non-motor fuel sales. General and administrative expenses cover overhead costs, while other operating expenses may include various day-to-day costs of running the business. Lease expenses reflect the costs associated with property leases, and depreciation accounts for the wear and tear of assets.
The reported gain on disposal of assets reduces the overall expenses. Monitoring these individual categories can provide insights into the efficiency and profitability of Aplus's operations. A prospective franchisee should analyze these expenses in relation to revenue to assess the company's financial health and identify areas for potential cost management.
It's also beneficial to compare these figures with previous years (2022 and 2021, as provided in the FDD) and industry benchmarks to understand trends and relative performance. This comprehensive view will help a potential Aplus franchisee make an informed decision about the financial viability of investing in the franchise.