What was the net income for Apricot Lane in 2024?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
holders' Equity | | 8 | 1,674,622 | . $ | 1,895,292 |
| 2024 | 2023 | |
|---|---|---|
| Revenues | ||
| Royalties | $ 1,940,979 | $ 2,060,277 |
| Franchise fees | 732,500 | 994,000 |
| Advertising fees | 357,906 | 379,936 |
| Sponsorship | 40,350 | 11,100 |
| Total Revenues | 3,071,735 | 3,445,313 |
| Operating expenses | ||
| General and administrative | 2,381,195 | 2,789,406 |
| Franchise advertising | 429,599 | 551,000 |
| Depreciation | 51,794 | 33,509 |
| Total Operating Expenses | ||
| 2,862,588 | 3,373,915 | |
| Income (Loss) from Operations | 209,147 | 71,398 |
| Other Income/(Expense) | ||
| Other income | 37,453 | 14,942 |
| Other expense | - | (511) |
| Interest expense | (30,120) | (22,567) |
| Total Other Income/(Expense) | ||
| 7,333 | (8,136) | |
| Income (Loss) before provisions for income taxes | 216,480 | 63,262 |
| Income Tax Expense | ||
| Provision for income taxes | ||
| 1,984 | 59,242 | |
| Net Income (Loss) | $ 214,496 | $ 4,020 |
|
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the net income for 2024 was $214,496. This figure represents the company's profit after all revenues and expenses, including income tax, have been accounted for during that year. In comparison, the net income for the previous year, 2023, was significantly lower at $4,020. This substantial increase in net income from 2023 to 2024 indicates a positive financial trend for Apricot Lane.
Specifically, the revenues for Apricot Lane in 2024 included $1,940,979 in royalties, $732,500 in franchise fees, $357,906 in advertising fees, and $40,350 in sponsorship. The total revenues for 2024 amounted to $3,071,735. The operating expenses, including general and administrative costs ($2,381,195), franchise advertising ($429,599), and depreciation ($51,794), totaled $2,862,588. The income from operations was $209,147. After accounting for other income and expenses, and income tax expenses, the net income was $214,496.
For a prospective franchisee, this information is crucial as it provides insight into the financial health and profitability of Apricot Lane. A higher net income suggests a more stable and successful franchise system. However, it is important to consider other factors such as the initial investment, ongoing fees, and individual store performance to fully assess the potential return on investment. Reviewing these figures in the context of the broader financial statements and comparing them to previous years can offer a more comprehensive understanding of the franchise's financial trajectory.